Rules of professional conduct : prepared by the Committee on Professional Ethics and approved by the Council April 9, 1917

              American I nstitute of Accountants
R ules of Professional Conduct
Prepared by the Committee on Professional Ethics and approved by the Council
April 9, 1917.
(1) A firm or partnership, all the individual members of which are
members of the Institute, may describe itself as “ Members of the American
Institute of Accountants,” but a firm or partnership, all the individual members
of which are not members of the Institute, or an individual practising under a
style denoting a partnership when in fact there be no partner or partners, or a cor­poration,
or an individual or individuals practising under a style denoting a
corporate organization, shall not describe themselves as “ Members of the American
Institute of Accountants.”
(2) The preparation and certification of exhibits, statements, schedules, or
other forms of accountancy work, containing an essential mis-statement of fact, or
omission therefrom of such a fact as would amount to an essential mis-statement
shall be, ipso facto, cause for expulsion, or for such other discipline as the Council
may determine, upon proper presentation of proof that such mis-statement was
either wilful or was the result of such gross negligence as to be inexcusable.
(3) No member shall allow any person to practice in his name as a public
accountant who is not a member of this Institute, or in partnership with him or in
his employ on a salary.
(4) No member shall directly or indirectly allow or agree to allow a com­mission,
brokerage, or other participation by the laity in the fees or profits of his
professional work, nor shall he accept directly or indirectly from the laity any such
commission, brokerage or other participation for professional or commercial business
turned over to others as an incident of his services to clients.
(5) No member shall engage in any business or occupation conjointly with
that of a public accountant, which in the opinion of the Executive Committee or of
the Council is incompatible or inconsistent therewith.
(6) No member shall certify to any accounts, exhibits, statements, schedules
or other forms of accountancy work which have not been verified entirely under
the supervision of himself, a member of his firm, one of his staff, a member of this
Institute or of a similar association of good standing in foreign countries which
has been approved by the Council.
(7) No member shall take part in any effort to secure the enactment,
alteration, or amendment of any state or federal law, or any regulation of any
governmental or civic body, affecting the practice of the profession without giving
immediate notice thereof to the Secretary of the Institute, who in turn shall at
once advise the Executive Committee or the Council.
(8) No member shall directly or indirectly solicit the clients nor encroach
upon the business of another member, but it is the right of any member to give
proper service and advice to those asking such service or advice.