Integrity is doing the right thing even when no one is watching — and in accounting, it’s the whole foundation.
What integrity means for accountants
Integrity for accountants isn’t just “being honest.” It’s a professional standard written into codes of ethics like the AICPA Code, IFAC Code, and ICAN rules. It means:
• Honesty & straightforwardness: No fudging numbers, no misleading statements
• Objectivity: Not letting bias, conflicts of interest, or pressure sway your judgment
• Professional behavior: Following laws and standards, even if a client or boss wants shortcuts
• Courage: Being willing to say “no” when asked to cook the books, hide liabilities, or backdate transactions
Accountants “preach” it because the entire financial system runs on trust. Investors, banks, and the public rely on financial statements. If those are fake, people lose pensions, jobs, and life savings.
When accountants fail integrity — ending up “behind the bar and the bench”
“Behind the bar” = prison. “Behind the bench” = court, testifying or being sentenced.
Here are some high-profile cases where accountants chose fees over integrity:
Arthur Andersen & Enron – 2001
The classic case. Arthur Andersen was Enron’s auditor and shredded documents as the SEC investigated. They also ignored massive off-balance-sheet fraud to keep $50M+ in audit/consulting fees.
Result: Andersen, one of the “Big Five,” was criminally convicted, lost its license, and 85,000 people lost jobs. Several Andersen partners and Enron’s accountants did prison time.
Integrity failure: put client revenue above public duty.
WorldCom – 2002
CFO Scott Sullivan, a CPA, directed staff to hide $3.8B in expenses as capital investments. Internal accountants went along.
Result: Largest bankruptcy at the time. Sullivan got 5 years “behind the bar.” CEO Bernie Ebbers got 25 years. Thousands lost jobs and retirement funds.
3. David Friehling – Bernie Madoff’s auditor – 2009
Friehling was Madoff’s sole auditor for 17 years. He signed off on statements without doing real audits — didn’t verify trades or assets. Took $500k+ in fees for fake work.
Result: Pleaded guilty to securities fraud. Got prison time + house arrest. Integrity failure: Rubber-stamping instead of verifying.
KPMG “Steal the Exam” scandal – 2019
Senior KPMG partners got confidential PCAOB inspection lists from an ex-regulator they hired. They used it to cheat on upcoming audit reviews.
Result: Partners sentenced to prison. KPMG fined $50M. “Behind the bench” testifying against colleagues.
Nigeria – ICAN tribunal cases
The Institute of Chartered Accountants of Nigeria regularly sanctions members. Examples: accountants who helped clients launder funds, issued fake audit reports for bank loans, or diverted NGO donor money.
Result: Names struck off ICAN register, fines, and EFCC prosecution. Some got prison terms “behind the bar” for fraud and money laundering.
Why it happens 1. Pressure: CFO or client says “hit this target or you’re fired”
Greed: Higher fees for looking the other way
Rationalization: “Everyone does it” or “It’s just this once”
Lack of oversight: No one checking the checker
Integrity in accounting means your signature means something. Lose that, and you don’t just lose your job
you can lose your freedom. The bar and the bench are real risks when numbers stop reflecting truth.
Here’s how the ICAN Code of Professional Conduct handles integrity, especially when your boss or client asks you to lie, cook books, or “adjust” numbers.
The 5 fundamental principles every ICAN member must follow
Every Chartered Accountant in Nigeria is bound by these:
ICAN’s Code is in line with IESBA’s international code. Your responsibility isn’t just to your boss it’s to the public interest.
What ICAN says when your boss asks you to lie
This falls under NOCLAR — Non-Compliance with Laws and Regulations.
ICAN/IESBA rules are specific:
Step 1: Don’t do it
Integrity means you cannot be party to false accounting, falsification of records, or issuing false reports. Lying is specifically listed as discreditable behavior.
Step 2: Alert management / Those Charged With Governance
If you become aware of a potential illegal act by your employer, the code says you must alert management so they can deal with it or deter it if it hasn’t happened yet. Talk to your supervisor first, then higher-ups, audit committee, or board if needed.
Step 3: Push back & document
You must not subordinate your judgment to others. The code expects you to have “moral courage” to stand up to pressure. Document that you refused and advised against it.
Step 4: Take further action if it continues
If management doesn’t fix it, you must “take such further action as appropriate in the public interest”. That can include:
• Disclosing to external authorities if there’s a legal/regulatory duty
• Resigning from the engagement/employment if threats are too high
• Disassociating yourself from misleading info
Step 5: Don’t assume management roles or hide it
You can’t be involved in management decisions to cover it up — that creates a self-review threat. Audit firms must not assume management responsibilities.
3. Real examples ICAN uses in exams
ICAN tests this stuff. From past questions:
Mortgage/favor from client: If a boss/client offers you a loan or benefit to sway you, that’s a self-interest threat. You must assess if it impairs independence and apply safeguards like removing yourself from the job.
Secondment as HR Manager: If boss asks you to temporarily act as HR Manager while auditing the same company, that’s a management threat.
ICAN/IESBA says safeguards may not be enough — you likely have to refuse.
4. What happens if you go along with the lie?
. Disciplinary action by ICAN: You can lose your ACA/FCA and Certificate of Practice. ICAN has verdicts on disciplinary cases.
Legal trouble: Falsification of accounting records is fraud. EFCC can prosecute — that’s how accountants end up “behind the bar.”
Reputation: Acting without integrity discredits the profession and you personally.
The “culture check” ICAN expects you to do
Before taking a job, ICAN/IFAC says ask:
• How does the organization respond to appropriate challenge on integrity? • What routes exist for escalating ethical concerns?
• What action is taken against staff who breach policies?
If the answer is “we don’t like whistleblowers,” that’s a red flag.
In conclusion, for ICAN accountants: Your boss is not your client. The public is. If asked to lie: refuse, escalate, document, and if needed, walk away. The code requires moral courage, and integrity means you can’t be “straightforward” while signing false numbers.
– Benjamin Ibrahim writes from Lokoja, Kogi state.
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