Solution To The Professional Ethics Challenge of August.
Ethics Case No. 6 - Resource Sector - Unauthorized Modification of Your Written Report

Anonymous

Brief Statement of the Situation

As you may recall, in August we described a situation whereby you, as a professional geoscientist, discovered that a report you prepared (to fulfill your obligation to your client) to evaluate a prospect was modified without your knowledge. You understood that your report, if favourable, would be used to promote the prospect to investors. The report contained your recommendation that the prospect warranted drilling.

After submitting your report to your client and while talking with a prospective investor, who values your opinion, you found out that a copy of your report was being used by the client in the offering material to market the prospect. You called up the client to get a copy of the offering material and discovered that a reserve estimate for the prospect, not prepared by you, was added to your recommendation. You contact the client about the modification to your report and instead of receiving an explanation you were given an opportunity to evaluate another prospect.

Solution

As the professional consulting geoscientist it is important to first determine if the addition to your report was done deliberately or whether it was simply a mistake. If the latter is the case, then you must see to it that the client has it corrected and the corrected brochure reissued. It would also be prudent to suggest to the client that the person(s) who prepared the extra section (the reserve report) receive appropriate credit for it.

If the changes to your report were made deliberately, then you must take further action to avoid any real or perceived complicity, recognizing that you are liable for the extra section. Therefore, you should send a letter to the client, by registered mail, pointing out the problem from your perspective and demanding that the offering brochure be withdrawn and corrected forthwith. If the client ignores your request, you must contact the authorities (securities commission) for your province/territory, the Better Business Bureau and your regulatory/licensing body for advice and guidance.

After word

To prevent this situation, the professional geoscientist might have added a clause to the contractual agreement whereby she/he would have the right to review the prospect brochure before it's issued to the public. As professional geoscientists, we need to protect our reputation, our credibility and our business. Besides, in today's litigious society it's important for professional geoscientists to take appropriate steps to protect themselves.

APGO does not necessarily advocate the solutions in this case. APGO'S intent in publishing the case, is simply to stimulate discussion and thought thereby, helping geoscience practitioners who may be faced with, or are facing, a similar predicament deal effectively with it. The ethical case is presented here to help geoscience practitioners who may be faced with, or are facing, a similar predicament deal effectively with it.
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Professional geoscientists are faced with ethical dilemmas, not unlike the one described above as they carry out their daily professional duties. Therefore, Field Notes wants you to send in examples from your own experience to share with its other readers such as ethical cases regarding incomplete disclosure, problems with conflicting test data results, insufficient information with which to draw stated conclusions, pressure to rewrite conclusions or any others that you can think of that affect geoscientists. Authors will remain anonymous. You are reminded that as a licensed professional geoscientist you are bound by your Association's Code of Ethics. Articles to be published in future issues of Field Notes.

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Copyright 2006, Association of Professional Geoscientists of Ontario (APGO)