Public trust: How does the accounting industry stack up?

Abstract

Public interest in unethical behaviour within the accounting industry has been gradually increasing over the last several decades. As a result, it is paramount that measures be taken to ensure accountability for ethical violations and to re-establish ongoing trust. Currently, the accounting industry is regulated solely by professional organizations. Consequently, it is important that the accounting industry adhere to a strict code of ethics and have a consistent disciplinary process to maintain public trust. The purpose of this paper is to review the three former Canadian accounting bodies (CA, CGA, and CMA) in Ontario to 1) explore the concept of maintaining the public’s trust; 2) discuss potential factors that have contributed to the occurrence of unethical behaviour; 3) determine whether fines levied by the accounting regulatory bodies could be considered as sufficient deterrents and 4) discuss how financial crimes may be further eroding the public’s trust.