ACFID Code of Conduct

Prevention of financial wrongdoing has a number of touchpoints across an INGO’s operations, and accordingly activities that fall under several of the ACFID Code of Conduct’s Principles contribute to this end. The Code has a specific Commitment that deals with the prevention of financial wrongdoing in the Resource Management Principle, and it is also a component of the Quality and Effectiveness, Collaboration, Governance and People and Culture sections. The sections are as follows:

8. Resource management

Development and humanitarian organisations acquire, manage and report on resources ethically and responsibly.

Commitment 2.

We ensure that funds and resources entrusted to us are properly controlled and managed.

Compliance Indicator 8.2.1

Members can control and manage their financial resources and risks. 

The Verifier for this Compliance Indicator requires that members have:

Policy, procedure or guidance documents that address:

  • Risk management and control mechanisms.
  • Financial wrong-doing, especially fraud, corruption, counter-terrorism and money-laundering and violation of sanctions imposed by the Australian government.
  • Checks of individuals and organisations receiving funds against the Criminal Code list of terrorist organisations and the DFAT consolidated list of individuals and entities subject to targeted financial sanctions.
  • Appropriate and effective internal controls.

Members are required to extend the financial wrongdoing requirements of this compliance indicator and verifier to partners through MOUs or similar

Other Code of Conduct sections with controls that support the prevention of financial wrongdoing:

4. Quality and effectiveness

Development and humanitarian organisations and responses are informed by evidence, planning, assessment and learning.

Commitment 2.

We analyse and understand the contexts in which we work.

Compliance Indicator 4.2.2

Members assess and manage risk in their development and humanitarian activities.

5. Collaboration

Commitment 1.

We respect and understand those with whom we collaborate.

Compliance Indicator 5.1.2

Members undertake due diligence and capacity assessments of organisations with whom they work in formal partnerships.

7. Governance

Commitment 2.

We meet our legal and compliance obligations.

Compliance Indicator 7.2.1

Members are registered and meet their reporting and legal obligations to the relevant authorities.

8. Resource management

Development and humanitarian organisations acquire, manage and report on resources ethically and responsibly.

Commitment 1.

We source our resources ethically.

Compliance Indicator 8.1.1

Members have organisational standards for the acceptance of donations.

Compliance Indicator 8.1.3

Members have organisational standards for the procurement of goods and services.

9. People and culture

Commitment 4.

We enable our people to conduct themselves professionally and according to our stated values.

Compliance Indicator 9.4.1

Members specify the expectation of professional conduct of all staff and volunteers.