The case of Salving Hugh’s Jeego
Ethics
Charles Selcer, CPA, MBA | December 2023/January 2024 Footnote
Editor's note: Updated December 1, 2023
Bruno Skare owns a political consulting firm — Skare Tactics — in Embarrass, Minnesota. He worked quite hard on the campaign to elect Stu Pendisjurk as a St. Louis County commissioner. He asked his CPA, Hugh Jeego, to make a contribution to Stu’s campaign. Stu then sent Bruno a Rolex watch as a thank you. Skare Tactics is not an attest client for Hugh.
Q. Is it unethical for Bruno to accept the watch?
A. Yes. Independence is not the issue here. It is a matter of integrity and objectivity under 1.100.001, where it is noted: Threats to compliance with the Integrity and Objectivity Rule {1.100.001} would not be at an acceptable level and could not be reduced to an acceptable level through the application of safeguards if a member offers to a client or accepts gifts or entertainment from a client that is not reasonable in the circumstances. The member would be presumed to lack objectivity in violation of the Integrity and Objectivity Rule under these circumstances.
