A junior accountant discovers that her manager has been inflating expenses to reduce the company's tax bill. Under the principle of integrity, what is the first thing she should do?
Answer and explanation
Correct answer: C. Use the organisation's internal procedures to report the concern to a senior person
- Step 1: Integrity requires honesty and not being associated with misleading information.
- Step 2: The usual first step is to use the internal reporting channel, such as a senior manager or the whistleblowing procedure.
- Step 3: Escalate externally only if that fails and the law allows.
Answer
Use the organisation's internal procedures to report the concern to a senior person.
Why not the others: Ignoring suspected wrongdoing is contrary to integrity. External disclosure is a last resort after internal routes are used. This is not an appropriate or proportionate first step.
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