MACPA and AICPA members are bound by a set of
ethical standards and principles that are upheld and
jointly enforced.

The principles set forth in the MACPA and AICPA Code of Professional Conduct express the profession’s recognition of its responsibilities to the public, to clients and to colleagues. They guide members in the performance of their professional responsibilities and express the basic tenets of ethical and professional conduct. The principles call for an unwavering commitment to honorable behavior, even at the sacrifice of personal advantage.

The Joint Ethics Enforcement Program (JEEP)
The MACPA, as well as many other state CPA societies, joined together with the AICPA to create the Joint Ethics Enforcement Program (JEEP). Cooperatively, these bodies investigate allegations that a member of one or both organizations has violated the Code of Professional Conduct.

MACPA Professional Ethics Task Force
MACPA Professional Ethics Task Force members are seasoned CPA member volunteers. In accordance with JEEP procedures, the Task Force and the AICPA Professional Ethics Executive Committee investigate disciplinary matters involving members of one or both organizations.

Initiation of Complaints and Investigations
A potential disciplinary matter may come to the attention of the Ethics Task Force as a result of a complaint or from a federal, state or local governmental agency; a newspaper article; a media report; by announced decisions of judicial and regulatory authorities (for example, the Securities and Exchange Commission or the Michigan State Board of Accountancy); or by information that comes to light during a current investigation of the Task Force.

A complaint is a written communication to the Task Force that alleges, implies or suggests that a member or a firm has or may have violated one or more provisions of the Code of Professional Conduct. A member, a non-member or someone who remains anonymous may file a complaint.

Procedures of Investigations
When reviewing a complaint and potentially entering into an investigation, members of the AICPA, the MACPA Professional Ethics Task Force, and staff, follow the procedures outlined by JEEP.

The procedures require that an investigation be conducted in a confidential manner. However, the procedures do permit for the results of the investigation to be shared with the complainant, where one exists, and under certain circumstances, for the publication of disciplinary actions.

Investigation Deferrals
An investigation by the AICPA and/or the MACPA Task
Force may unfairly prejudice the litigation position of a CPA being investigated when the issues are concurrently the subject of:

• A formal legal proceeding pending before a state of federal civil or criminal court,
• A formal proceeding or investigation by a state or federal regulatory agency (for example, the Michigan State Board of Accountancy or the SEC), and/or
• A formal appeal actually undertaken from a decision
  of a state or federal civil or criminal court or regulatory agency.

As a result, the AICPA and the MACPA Professional
Ethics Task Force will defer any investigation until litigation is concluded.

Cooperation with Investigations
Members of the AICPA and MACPA are obligated by the conditions of membership to cooperate with the Professional Ethics Task Force in any disciplinary investigation of a member or partner or employee of his or her firm.
Non-cooperation in an investigation also constitutes a violation of the Code of Professional Conduct.

If Prima Facie Evidence is Found
If the Task Force finds prima facie evidence of a violation of a Code of Professional Conduct, the gravity of the violation is considered. The Task Force has three options to move forward. The case is either:

• Presented before a hearing panel of the joint trial board charging the CPA with violating an applicable Code provision,
• A letter of required corrective action with directives is issued, or
• The CPA is offered the opportunity to settle
  the charges.

If No Prima Facie Evidence is Found
If the Professional Ethics Task Force finds no prima facie evidence of a violation of an applicable Code of Professional Conduct by a CPA, the investigation is closed and the CPA
is informed.

Author’s Note
Members of the MACPA Professional Ethics Task Force frequently receive inquiries regarding JEEP procedures and the Code of Professional Conduct. This article is designed to address the basic principles of JEEP as they relate to the Code. View or download a copy of the Code of Professional Conduct; or view or download a copy of the Joint Ethics Enforcement Program (JEEP) Manual of Procedures.