“As accountants, especially those in senior leadership or on audit committees, we are in a unique position to influence an organization’s ethical culture.“
In the recently concluded 41st ACPACI Annual National Conference in Baguio, I was asked why and how accounting continues to be relevant in the age of AI. I tell them that while GenAI is the new normal in our profession, it is not the new boss.
We, accountants, should remember that our mission is to go beyond reporting and to serve the public interest. This isn’t just about crunching numbers, which GenAI can do efficiently. It’s about being a pillar of trust, ensuring transparency and providing the reliable information that keeps our economy, and society stable.
Accountants are the gatekeepers of financial integrity, and we have a moral duty to guard against fraud and corruption. When we fail in this duty, the consequences are severe. The recent corruption scandals, especially the “ghost” flood control projects, are a stark and painful reminder of that.
As a professor, I know and tell my students that our public interest mission is multifaceted. It means protecting investors and creditors by ensuring financial reports are fair and accurate. It means giving the public confidence that organizations, both private and public, are operating legally and ethically. And it means contributing to the nation’s economic development and good governance.
This mission is particularly critical in developing countries like the Philippines, where robust financial systems are essential for attracting investment and fostering sustainable growth. Our professional bodies constantly reinforce this responsibility, urging every one of us to act with independence and professional skepticism. We should be the first line of defense against financial crimes, using our unique skills to identify and report irregularities before they cause widespread damage.
But let’s be honest. The history of corruption in the Philippines reveals instances where this trust has been betrayed. The recent “ghost” flood control and not-so-recent PDAF scandals are textbook examples of this failure. The impact of these frauds is more than just financial. They leave our communities vulnerable to deadly flooding, directly costing lives and livelihoods. This is not some abstract problem; it’s a very real human tragedy.
The complicity of our fellow accountants and auditors in these crimes is a dereliction of duty. For these schemes to work, it required someone to create and approve fraudulent financial documents—falsifying vouchers, manipulating payrolls, and issuing favorable audit opinions for projects that didn’t exist. When a CPA is involved in such activities, it’s a direct betrayal of everything our profession stands for. Forensic accountants are now working tirelessly to trace these illicit financial flows, but their work is a reactive measure. This is a problem that should have been prevented by diligent and ethical accounting in the first place.
So, how do we address this? We must adopt a more proactive and holistic approach to our public interest mission. It starts in the classroom and in every accounting curriculum across the country. Beyond just teaching the technical skills, we must emphasize the moral and social dimensions of our practice.
I want my students to see themselves not as mere technicians but as ethical guardians of a system that serves society. This means fostering a robust professional skepticism, teaching them to challenge assumptions and question the information they receive, even from those in power. By instilling this curious, questioning mindset, we can prepare a new generation of professionals who are less likely to be complicit or oblivious to fraud.
Beyond education, we must strengthen our regulatory frameworks. Our professional bodies, working with the government and civil society, must enforce a zero-tolerance policy for misconduct, with swift and transparent disciplinary action. I believe we need to build a permanent synergy between forensic accountants and corruption investigators to improve evidence collection and prosecution. Furthermore, we must empower whistleblowers with legal protection so as to create a cultural shift where blowing the whistle is not seen as an act of disloyalty but as a courageous fulfillment of one’s civic duty.
And finally, we must embrace our role in promoting good corporate governance. As accountants, especially those in senior leadership or on audit committees, we are in a unique position to influence an organization’s ethical culture.
By advocating for strong internal controls and transparent reporting, we can make it incredibly difficult for corruption to take root. This moves our function from mere compliance to active prevention. The rise of sustainability and ESG reporting also gives us a new way to serve the public interest, holding organizations accountable for their broader societal and environmental responsibilities. As my colleagues Garry Carnegie and others have articulated, our work can enable the “flourishing of organizations, people and nature.”
These corruption scandals are a wake-up call for our profession. By reforming our education, strengthening our institutions, empowering our colleagues, and actively promoting good governance, we can reclaim our role as vital guardians of financial integrity. This is not just about technical solutions, it’s about renewed commitment to the moral and social contract that underpins our entire profession. It is my hope that we can truly fulfill our mission and build a more transparent, accountable, and just Philippines for all.
Arnel Onesimo O. Uy is a Full Professor at the Department of Accountancy of the Ramon V. del Rosario College of Business of De La Salle University (DLSU). He is also the holder of the William and Dolores Bowler Chair in Accounting. He can be reached at arnel.uy@delasalle.ph.
The views expressed above are the author’s and do not necessarily reflect the official position of DLSU, its faculty, and its administrators.
