Paradise Paper Ethical Analysis

The article chosen for this presentation is called “More than 3,000 Canadian names in the Paradise Papers”. Paradise Papers is electronic documents containing offshore investments of the wealthiest people and companies worldwide. This article talks about how hundreds of people’s information was leaked from one the largest offshore law firm called Appleby. This involved many Canadians who set up trusts in other countries where they will legally avoid paying taxes in Canada. This is called a tax haven, where you take your money in Canada, have someone set up a “shell company” or trust which is a public company with nominal assets rather than money, then pay someone to act as the director or trustee. Some of the Canadian offshore clients include The Montreal Canadians, Loblaws, Toronto’s Ritz-Carlton and Fairmont Royal York, which have been doing such activity for years. Such as, the Montreal Canadians who’ve been clients to the huge firm since 1980 and Loblaw who have had their subsidiaries set up since 2005 and used millions from PC Financial credit cards to invest. Most companies that …show more content…
This relates to these organizations performing unethical practices and how internal audit activity helps an organization by bringing a systematic, disciplined approach to evaluate its effectiveness of risk management, control, and governance processes. In internal audit, there are the Code of Ethics that internal auditors must follow and its purpose is to promote an ethical culture in the internal audit profession. This article shows how many large companies in Canada will do illegal activity to avoid paying a high tax fee based on their revenue. If it wasn’t for the leak no one will be aware of these actions that are happening. Many firms will pay the price to cover their tracks and this concludes an auditor breaking the code of ethics. The code of ethics