ACCOUNTANCY: A DISCIPLINED PROFESSION PRESENTED

slide1. ACCOUNTANCY: A DISCIPLINED PROFESSIONPRESENTED BY:Professor Ahmed M. Kumshe, FCA Registrar/Chief Executiveat the68TH INDUCTION CEREMONY ICAN CENTRE, AMUWO ODOFIN, LAGOS Monday, November 08, 2021<br>
slide2. OUTLINES ICAN IN BRIEF
BACKGROUND TO ETHICS
THE INTERNATIONAL ETHICS STANDARD BOARD & THE FUNDAMENTAL PRINCIPLES OF ETHICS
CONCEPTUAL FRAMEWORK OF ETHIC
THREATS TO THE FUNDAMENTAL PRINCIPLES
PROFESSIONAL ACCOUNTANTS IN PUBLIC PRACTICE & IN BUSINESS
PROFESSIONAL DISCIPLINE IN ICAN
ANNUAL GENERAL MEETING
ICAN DISTRICT SOCIETIES
ICAN FACULTIES
MANDATORY CONTINUING PROFESSIONAL DEVELOPMENT, MCPD
ICAN CONTACT CENTRES
MEMBERS’ PROFILE
CONCLUSION 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 2<br>
slide3. ICAN IN BRIEF Established by Act of Parliament Number 15 of 1965;
Founding member of International Federation of Accountants (IFAC), Pan African Federation of Accountants (PAFA), the Association of Accountancy Bodies in West (ABWA) and Chartered Accountants Worldwide (CAW);
ICAN has reciprocity arrangements (opportunity of ICAN Members to belong to other PAOs) with Institute of Chartered Accountants of England and Wales (ICAEW), Chartered Institute of Management Accountants (CIMA) and Chartered Institute of Public Finance and Accountancy (CIPFA);
ICAN is empowered to set standards of the knowledge and skills to be attained by persons seeking to become members of the accountancy profession in Nigeria;
With 53,947 Professional Members (55,191 by tomorrow), and over 230,000 students;
Vision: To be a leading global professional body; and
Mission: To produce world-class Chartered Accountants, regulate and continually enhance their ethical standards and technical competence in the public interest. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 3<br>
slide4. ICAN IN BRIEF – Historical Development of the Institute Its forerunner, the Association of Accountants in Nigeria, incorporated in 1960 was an umbrella body for all Nigerian Accountants who qualified abroad before Independence in 1960.
The Association had the pioneering statutory rights to set standards and regulate the practice of accounting in Nigeria and still has these rights today.
The Institute spearheaded the formation of the Nigerian Accounting Standards Board (NASB) a body responsible for standard setting which later metamorphosised into the Financial Reporting Council (FRC) of Nigeria. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 4<br>
slide5. ICAN IN BRIEF –International Affiliations International Federation of Accountants, IFAC
Chartered Accountants Worldwide, CAW
Pan African Federation of Accountants, PAFA
Association of Accountancy Bodies West Africa, ABWA
Mentoring:
ONECCA Cameroon
ONECCA Niger
Liberian Institute of Certified Public Accountants (LICPA)
The Gambian Institute of Chartered Accountants (GICA)
Reciprocity and Co-Memberships
ICAEW
CIMA
CIPFA 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 5 Reciprocity Discussions:
AICPA
CPA, Canada;
Ghana Institute
MI, Malaysia
SAICA<br>
slide6. ICAN IN BRIEF - Structure The structure of the Institute is as follows:
Governing Council - the highest policy making body of the Institute;
Executive Coordinating Committee (ECC);
Standing Committees;
Registrar/Chief Executive; and
Secretariat. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 6<br>
slide7. ICAN IN BRIEF – The Governing Council The Governing Council is charged with the policy direction and general management of the Institute. The Council gives policy direction through its oversight functions and holds its meetings at least once a month.
The ICAN Council comprises thirty (30) members of the Institute. Twenty-four (24) are elected by Members while six (6) are nominated from the six geo-political zones of the country to ensure that the Council represents the main sectors and interests of the whole membership. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 7<br>
slide8. ICAN IN BRIEF – Executive Coordinating Committee The ECC is made up of Members of the Presidency –
the President;
the Vice-President,
the First Deputy Vice-President;
the Second Deputy Vice-President; and
the Immediate Past President.
The Council meets once a month. Where issues arise before the time designated for the Council to meet, the ECC may meet and make decision on behalf of the Council. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 8<br>
slide9. ICAN IN BRIEF – Standing Committees 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 9<br>
slide10. ICAN IN BRIEF – Registrar/Chief Executive Registrar - Establishes and maintains the registers of Fellows, Associates and Registered Accountants.

Chief Executive Officer - assist the Council in day-to-day administration/management of the Institute. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 10<br>
slide11. ICAN IN BRIEF – Secretariat Administrative organ of the Institute

The Secretariat is structured into 2 Divisions (Technical and Corporate), 9 directorates and 17 Departments including the Registrar’s Office. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 11<br>
slide12. ICAN IN BRIEF – Secretariat 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 12<br>
slide13. ICAN IN BRIEF – Membership Members admitted to the Institute shall be enrolled as Chartered Accountants in the category of –
Fellows
Five years Rule - been in continuous practice on their own account as accountants or in partnership with other accountants;
Ten years rule - whether in practice as accountants or not
Associates if they satisfy the Governing Council that they have:
passed examinations prescribed or accepted by the Institute; and
are otherwise fit persons to be enrolled in the register.
Registered Accountant
Applicant must be a member of a PAO outside Nigeria recognised by IFAC;
Application must possess three (3) years post qualification experience;
Applicant must be in good standing with the foreign PAO 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 13<br>
slide14. CONCEPTUAL FRAMEWORK OF ETHICS A conceptual framework approach is adopted for ethics in the accounting profession.
This is because the circumstances in which the professional accountants operate may give rise to specific threats to compliance with the fundamental principles. It is impossible to define every possible situation that creates such threats and specify the appropriate mitigating action.
The nature of engagements and work assignments may differ, and consequently different threats may exist, requiring the application of different safeguards.

A conceptual framework that requires a professional accountant to identify, evaluate and address threats to compliance with the fundamental principles, rather than merely comply with a set of rules which may be arbitrary, is in the public interest. ACCOUNTANCY: A DISCIPLINED PROFESSION 14 8 November 2021<br>
slide15. IESBA AND THE CODE The International Ethics Standards Board for Accountants (IESBA) is an independent standard-setting body that develops internationally appropriate Code of Ethics for Professional Accountants. The objective of IESBA is to serve the public interest by setting high quality ethics standards for Professional Accountants.
The Code of Ethics for Professional Accountants
Three (3) parts:
Part A – Fundamental Principles of ethics
Part B – Professional Accountants in Public Practice
Part C – Professional Accountants in Business 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 15<br>
slide16. THE FUNDAMENTAL PRINCIPLES OF ETHICS A Professional Accountant is required to comply with the following fundamental principles:
Integrity – straightforward and honest in all professional and business relationships;
Objectivity – not allow bias, conflict of interest or undue influence of others to override professional or business judgements;
Professional Competence and Due Care – continuing duty to maintain professional knowledge and skill at level required to ensure stakeholders receive competent services based on current development in practice, legislation, and techniques;
Confidentiality – respect the confidentiality of information acquired as a result of professional and business relation & should not disclose such information without proper and specific authority
Professional Behaviour – comply with relevant laws and regulations and avoid any action that discredits the profession. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 16<br>
slide17. THREATS TO THE FUNDAMENTAL PRINCIPLE Compliance with the fundamental principles may potentially be threatened by a broad range of circumstances. Many fall into the following categories:
Self-interest threat;
Self-review threat;
Advocacy threat;
Familiarity threat; and
Intimidation threat. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 17<br>
slide18. PROFESSIONAL ACCOUNTANTS IN PUBLIC PRACTICE Professional accountants should be alert to circumstances and relationships that would be incompatible with the fundamental principles of ethics. He/she shall not knowingly engage in any business, occupation, or activity that impairs or might impair integrity, objectivity or the good reputation of the profession
Professional Appointment: client acceptance; engagement acceptance; and changes in professional appointment
Conflict of interest;
Second opinion
Fees and other types of remuneration
Marketing and Professional services
Gifts and hospitality
Custody of client assets
Objectivity
Independence 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 18<br>
slide19. PROFESSIONAL ACCOUNTANTS IN BUSINESS A PA in business shall not knowingly engage in any business, occupation or activity that impairs integrity, objectivity or the good reputation of the profession and as a result would be incompatible with the fundamental principles of the ethical code:
Conflict of interest;
Preparation and reporting of general-purpose financial statements of an employing organisation;
Acting with sufficient expertise
Financial interests, compensation, and incentives linked to financial reporting and decision making;
Inducements: receiving offers; making offers 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 19<br>
slide20. PROFESSIONAL DISCIPLINE Rules of professional conduct
ICAN rules of Professional Conduct for Members
Breach in regulations is subject to sanctions;
Investigating panel
Disciplinary tribunal 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 20<br>
slide21. ICAN ANNUAL GENERAL MEETING General assembly of the Institute held once a year;
In exceptional circumstances, extra-ordinary general meetings are held;
The AGM receives and considers the annual reports and accounts of the Institute prepared by the Council;
Major decisions taken at this meeting: appointment of auditors, election of Council Members, special resolutions, etc;
ICAN Elections
usually held to elect Members desirous of serving in the Institute’s Council. The RCE who is the Secretary to the Council is not elected but appointed/employed by the Council;
Election into the Council is done through the Electronic Voting System since the 2011 Presidential year;
Contestants are not expected to campaign or solicit votes, except through the Candidate’s profile displayed on the Institute’s website;
A Committee, called the Scrutineers, headed by a Past President, usually open and close portal, receive all votes under confidential cover and release the results at the AGM
Succession procedure 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 21<br>
slide22. ICAN DISTRICT SOCIETIES To reach the Institute’s numerous Members
Sixty-nine (69) Districts and eight (8) chapters
Situated in most State capitals and principal cities in Nigeria, Cameroun, Canada, Malaysia, the United Kingdom and the United States;
Avails Members the opportunity for professional and social activities, provide information about the Institute’s activities to Members who are not often in touch with the Institute’s Secretariat;
To assist potential accountants in their quest for membership of the Institute
Project the image of the Institute in their immediate locality;
Serve as liaison offices in their localities
Each Member must belong to at least one District Society and serve the Institute at the District level. It is only those who distinguish themselves at this level that can rise on the ladder of the Institute. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 22<br>
slide23. ICAN FACULTIES Centres of excellence, designed to equip members with current developments in their specialist areas and disciplines;
Each Chartered Accountant must belong to at least one or at most three: 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 23<br>
slide24. MANDATORY CONTINUING PROFESSIONAL DEVELOPMENT, MCPD Objective is to ensure Members are able to maintain the fundamental principle of Professional Competence and Due Care;
Post-qualification knowledge update;
Members expected to have accumulated minimum of ninety (90) Credit Points over a period of three (3) years;
In-house (for organisations) - physical and virtual options 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 24<br>
slide25. ICAN CONTACT CENTRES Members and students’ enquiries can be channelled via the following:

Help Centre: Tel (01-7100311, 07050180122,,01-6309354)

WhatsApp: 07040327465

E-mail: contactcentre@ican.org.ng 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 25<br>
slide26. MEMBERS’ PROFILE There is a Members portal on the Institute’s website;
The Institute reaches Members through information provided. Members whose information are inaccurate or incomplete may not be reachable;
Database is currently being regularised to improve communication, serve Members and provide. enriched benefits;
www.icanportal.org/members is the link. To review and update information on Members’ profile ACCOUNTANCY: A DISCIPLINED PROFESSION 26 8 November 2021<br>
slide27. CONCLUSION Familiarise yourself with the Institute and grow through the MCPD and Faculties
Abide by the code of ethics and the Institute’s Motto Integrity and Accuracy
Add value to your immediate society and nation
This professional body does all in the public interest 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 27<br>
slide28. 8 November 2021 ACCOUNTANCY: A DISCIPLINED PROFESSION 28<br>