Two tax partners from a major accounting firm attended a confidential tax forum with the Australian Taxation Office, assisting the government to design the new tax rules to prevent multi-national tax avoidance. Afterwards, they shared the knowledge gained with their colleagues, leading to the design and marketing of a tax avoidance scheme for multinational corporations.

Required:

1) Identify which fundamental ethical principles in APES110 Part 1 are not followed by the auditors and

2) Justify your answer.