Question

were CPA involved in Enron scandal act with integrity as defined by AICPA code of professional conduct? reason

Answer 1

CPA firm involved in the Enron case was Arther Anderson and other employeers who were CPA qualified and they were involved in the carrying out of scandal by taking the subjective interpretations of the law which were not the intention of law makers. Thus not acting with integrity and succumbing to the pressure from the top management

The code of conduct they violated was mainly Rule 101 of Independency which says that auditor should be independent of the auditee and not make decisions which compromise their professional judgements. They should not justify the acts of auditee in order to keep them happy and retain them as client.