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Rule 301 AICPA Code Of Confidential Information

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“Cybersecurity is the body of technologies, processes and practices designed to protect networks, computers, programs, and data from attack, damage or unauthorized access (Lord, 2017).” The defining moment for cybersecurity started when the first internet worm was introduced in 1988 in MIT and resulted in the first felony conviction in the 1986 Computer Fraud and Abuse Act. Rule 301 AICPA Code of Professional Conduct Confidential information states that “members in private practice shall not disclose any confidential client information without the specific consent of the client.” (Code of Professional Conduct and Bylaws 2017). Whether you are in tax, AUDIT, advisory or other service areas, you will be in violation of this ethics requirement if your client’s information is stolen (Code of Professional Conduct and Bylaws 2017). …show more content…

Internal breaches can happen, for example, leaving your workstation unlocked, sharing logins and passwords with other co-workers, misplacing or losing sensitive documents, or by having poor internal controls where anybody can access confidential client information. The SEC Disclosure Guidance mentions that public traded companies should provide a disclosure of cyber incidents if they are issues that have a material effect that could make an investment in the company risky and speculative. (Trope, 2011). A cyber-security disclosure should adequately describe the nature of material risk and specify how each risk affects the company. Additionally, if those cyber incidents also have a material effect on a publicly traded company’s services, products, relationships with consumers and suppliers, the company should also provide a disclosure. customers and suppliers, the company “should” provide a disclosure (Trope,

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In addition, the business data will be stored on these devices, being or not protected only by the individual security awareness of each employee. Therefore, it is likely that the confidentiality of corporate data will be compromised if an employee’s device is lost or stolen. Take Godiva, a chocolate manufacturer, as an example. On November 25, 2014, they notified employees of the company of a data breach when a Human Resources employee, who was traveling to retail sites, had a briefcase stolen from a car. The briefcase contained a laptop that had employee information on it.

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The clients’ files cannot be in an exposed to the public place. The clients’ files should be saved or put in a safe place where only people with authorization have access to. Because the therapist is not aware that Merry accessed the client’s file, the therapist should talk to the receptionist about leaving unattended the client’s files, and explain to the receptionist the ethical issues regarding confidentiality. If the therapist becomes aware that Merry looked at the client’s file, the therapist should explain to Merry the importance of confidentiality. The therapist should also let the client know that his/her information was accessed by

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1727 Words | 7 Pages

For example, an informed car dealer selling a used car to a uniformed buyer, or an uninformed health insurance company selling insurance to an informed buyer. When this happens, ineffective results usually occur. This is because the person that is informed knows what the best outcome is, while the other person has no idea. Fanduel and Draftkings will be arguing this very principle in court for the next few years. The courts will have to decide wether or not these companies possess a clear advantage over the

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One may violate rule 301’s order to uphold client confidentiality when experiencing fraud and feeling justly bound to report it Confidentiality: Any information should not be disclosed to third parties without proper and specific authority except when there is a lawful or professional right as reverence to the discretion of information received as an outcome of professional business relationships by the professional

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939 Words | 4 Pages

Confidentiality is an ethical obligation and Privilege is a rule of evidence according to our text book. (Goldman, para. 3, pg. 28) Rule 1.6 of the ABA Model Rules of Professional Conduct says that lawyers are to “not reveal information relating to representation of a client”. (American Bar Association, 2016)

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It is important to notify the users about any changes company makes to privacy policy because these agreements administrate the relationship between company and its customers. The company will lawfully need to announce on their website about changes to let customers or users know when this new policy will take effect. As Milne (2000) reported, consumer privacy is enhanced when consumers are aware of information practices and are given a choice over information provision and use. The data that would be ethically responsible in sharing is to give customers the authorization to opt out if they don’t agree with any changes a company makes.

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When whistleblowers report a potential problem, some people may see that their actions are not reporting for the greater good of society, but rather a release of secrets. If an employee does something against company policy that they thought was right and gets fired, this could cause the SEC to get involved because they can prove that the displaced employee is a whistleblower. Employers do not want someone who is going to freely release information and call themselves a whistleblower. To discuss this problem, Catherine Fotl (2013, n.d), in her online article: Employers beware: Will the SEC be A Safety Net for Terminated Whistleblowers? That change will come for the SEC enforcement abilities and states that companies need to be vigilant in their actions against security violations.

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Many times the security threats come from within the company (Chen, Ramamurthy & Wen, 2012). Employee negligence is a contributing factor to security problems. I have seen precautions taken at my workplace to battle against this issue. Certain policies have been written that help to protect the company from problems caused by employees. For example, we have a policy that keeps us from accessing social media.

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It states “the right to privacy of clients and others should be enhanced however possible and in accordance with laws. However, it may be necessary to break confidentiality when serious harm or death to clients or others may result from maintaining such confidentiality” (Rothman, 2013). By following this principle, I would make my clients aware of the privacy and confidentiality policy regarding the information shared. I would ensure the client that I would protect their privacy from the public unless danger was to occur. I would inform them that I would never discuss their personal information out in public if I were to see them outside of the

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Companies should tell their users that they use their information. This teaches a lesson to always remember that everything we do in this century is tracked and recored. If you do not want someone knowing do not put it on the web. With internet access everywhere now, being aware of your privacy is prevalent more than

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For operational purposes, the company collects and stores confidential information about their customers, employees, suppliers, and vendors. For purposes of their rewards program, the company collects sensitive and confidential consumer information. Although security measures and information technology systems have been put in place to ensure secure transmission and storage of confidential information, security breaches, computer viruses, or even human error can occur. Any of these events could cause data to be lost or stolen, as well as disclosed and used with malicious intent. Such occurrence could lead to litigation, fines, increased security costs, and damage to

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The Singapore Nursing Board (SNB) Code of Ethics and Professional Conduct states that confidentiality means to protect the privacy of clients’ personal information (SNB, 2014). According to Lockwood (2005), confidentiality could be viewed as information that a doctor learns about a

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Often, employee is in dilemma whether to report the suspicious activities internally in the organization or to external bodies. In most of the cases, internal whistleblowing is better than external whistle blowing as this gives a company to rectify itself and monitor better while external whistleblowing hampers the organization’s reputation and the loyalty of the employer is questioned and the employee’s environment might become unfriendly in the organization. Sherron Watkins in Enron case is an example of internal

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We will not reveal your name and address or details about your account to anyone, including other companies in our group, other than in the following four exceptional cases when we are allowed to this by law.” With information being stored in computer databases which are prone to hacking, the issue of confidentiality has become more important. The Data Protection Act 1998 gives effect to European Council Directive 95/46 on the protection of individuals with regards to the processing and free movement of such

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2278 Words | 10 Pages

However, it does not reflect revealing of operational plans to media rather information dissemination should be on need to know

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