The Member was co-executor of a deceased client’s estate. They were also the accountant for a beneficiary of the estate. A dispute arose among the beneficiaries, including the other co-executor who is also a beneficiary of the estate. The Member provided information and assistance to some of the beneficiaries in their dispute, including to his accounting client, concerning the dispute with the other co-executor.
The Member provided inappropriate tax advice to the other co-executor and counselled them to file inaccurate tax returns. The Member delayed work on estate matters, which resulted in a lengthy delay in resolving the estate. The Member also delayed in responding to the investigation and did not provide documents requested by the investigator in a timely way, or at all.
The Investigation Committee determined the Member contravened the following Rules of the CPABC Code of Professional Conduct:
104.1&.2 - Requirement to co-operate
201.1 - Maintenance of the good reputation of the profession
202.1 - Integrity and due care
205 (a) - False or misleading documentation
210 - Conflicts of interest
The Investigation Committee recommended the Member:
- Accept a reprimand;
- Pay a fine of $1,000;
- Pay expenses of $5,585; and
- Attend and successfully complete the following professional development courses:
- RIP - Estate and Testamentary Trust Returns;
- To Be or Not to Be: The Executor - Powers, Obligations and Liabilities.