Accounting, like most other occupations, has a Code of Ethics. The accounting Code of Ethics is 232 pages long. It tells you what is right and what is wrong in most conceivable situations. If you have a dilemma, you can refer to the Code to help you decided how to act. There is no doubt that every profession should have such a Code of Ethics. It is essential.
For me, however, nothing beats your own instincts. When you start to think “I don’t want to miss out on a big fee” or “who is ever going to know?” you are skating on thin ice.
Occasionally, instincts can work the other way. A course of action might be technically against the rules but only good can come from it. When I was a hospital manager, Dick the Dentist came to me with a proposal to allow a specialist orthodontist to treat patients in the public hospital dental clinic on weekends. It was strictly against the rules at the time. No private practice was permitted. Dick put up an excellent case and I gave approval.
This worked well until someone from another town wrote to the Minister for Health and asked why Barcaldine could have a private orthodontist when no neighbouring hospitals could. I received a please explain letter, so I documented the case that Dick the Dentist had put to me. The orthodontist saw twelve patients in a day. That saved twelve people having to travel 600 kilometres for treatment at great cost, inconvenience and loss of work. Most of these patients would have been eligible for financial assistance under the patient travel scheme and this would have cost the health system a considerable amount of money. Dick the Dentist assisted the orthodontist all day at no charge. This actually counted towards his training hours so he did not have to travel to Brisbane for training, thus saving the health system more money. It also saved the busy dental clinic from being closed for three days. Everyone was better off and no one was worse off. The only cost to the health system was an estimated $6 for electricity.
I was not disciplined. The Director of Dental Services phoned me and told me that he was not in a position to change government policy, but added “I agree with you”.
Here is a poem by Brian Bilston which says it all when it comes to ethics. I publish it with his permission.
The only Way is Ethics
These days – given the corrupting nature of power
And self-interest – I prefer to outsource
All moral judgements to my ethics adviser.
Is it ok to steal? I am asked.
This is a matter for my ethics adviser, I now say.
A ruling should be made on that shortly.
What about lying? Or cheating? enquires another.
These are very complex questions, I respond.
My ethics adviser will investigate fully.
Kickbacks? Bullying? Human Rights abuses?
Do not worry, I reply. The ethics adviser
is a close personal friend of mine; he will look into it all.
It is important, I stress, to consult somebody
Who knows about such things; somebody who can tell
What is right and what is wrong.
Office Location
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PO Box 104, Barcaldine, QLD, 4725
Phone: 07 4651 1341
Email: admin@walshaccounting.com.au
ABN:
59 330 650 357
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