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Reading: What is Ethics?

Professional Ethics

End of the Module

You have completed the Professional Ethics module. The purpose of this module was not only to explain rules, but to strengthen the professional character expected from every learner.

What you have learnt

In this module, you have been introduced to the main ethical responsibilities of accountants and accounting technicians. You have also seen how ethical conduct protects financial information, organisations, clients, employers, and the public.

Meaning of ethics

Ethics helps accountants decide what is right, fair, honest, and responsible in professional situations.

Fundamental principles

You have learnt about integrity, objectivity, professional competence and due care, confidentiality, and professional behaviour.

Threats to ethical conduct

You have learnt how self-interest, self-review, advocacy, familiarity, and intimidation threats may affect judgement.

Safeguards

You have learnt how consultation, review, documentation, disclosure, rotation, and proper controls can reduce ethical threats.

Independence

You have learnt that independence must exist in mind and in appearance, especially in audit and assurance work.

Record retention

You have learnt that records should be complete, secure, accessible, and retained for the required period.

Your responsibility after this module

Ethics is not only for examinations. It should guide how you handle records, money, information, reports, clients, employers, colleagues, and the public.

  • Do not record figures that are not supported by evidence.
  • Do not sign documents that you have not checked.
  • Do not disclose confidential information without proper authority.
  • Do not accept gifts, pressure, or relationships that affect judgement.
  • Do not hide errors, fraud, weak controls, or misleading information.
  • Ask for guidance when you are unsure.
  • Keep proper records and protect them from loss, misuse, or alteration.
Remember: The reputation of an accountant is built over time through honesty, discipline, care, and respect for professional responsibility.

ICPAS is your institute

The Institute of Certified Public Accountants of Somaliland exists to support and strengthen the accounting profession in Somaliland. As a learner, member, or future member, you are part of a profession that depends on trust.

Keep professionalism and ethics as a Muslim first and as an ICPAS member second. Your work should reflect honesty, trustworthiness, fairness, accountability, and respect for the public interest.

Being associated with ICPAS is not only a title. It is a responsibility to protect the name of the profession and to serve society with competence and integrity.

Professional commitment

As you complete this module, carry the following commitments into your studies and work:

  • I will act honestly and avoid misleading records or reports.
  • I will protect confidential information entrusted to me.
  • I will perform my work carefully and ask for guidance when needed.
  • I will avoid conflicts of interest and disclose them when they arise.
  • I will respect the profession and the public interest.
  • I will remember that ethical conduct is part of my responsibility before Allah and before the profession.
Professional Ethics

Definition of Ethics

Ethics helps professional accountants decide what is right, fair, and responsible, especially when laws or rules alone do not provide a complete answer.

What is ethics?

Ethics refers to the principles and values that guide behaviour and help individuals determine what is right or wrong.

Ethics influences decisions in situations where laws, rules, or written procedures are insufficient. In accounting, ethics helps professionals apply judgement, act in the public interest, and protect trust in financial information.

Examples of ethical behaviour

Honesty Reporting financial information truthfully and without misleading users.
Avoiding conflicts of interest Not allowing personal interests to influence professional judgement.
Confidentiality Protecting financial and business information obtained through professional work.
Fairness Acting fairly toward stakeholders, including clients, employers, investors, creditors, regulators, and the public.

Law vs Ethics

Law and ethics are related, but they are not the same. Something may be legal but still unethical. Professional accountants are expected to comply with the law and also uphold ethical principles.

Law Ethics
Rules established by governments. Moral principles guiding behaviour.
Mandatory and enforceable by legal authorities. Voluntary in nature, but expected from professionals.
Violation may lead to legal penalties, fines, or imprisonment. Violation may lead to professional consequences, loss of trust, disciplinary action, or reputational damage.
Key message: Professional accountants should not ask only, “Is it legal?” They should also ask, “Is it ethical, fair, transparent, and in the public interest?”



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