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HomeCA FinalfinancialreportingProfessional and Ethical Duty of a CA — Financial Interests, Inducements & NOCLAR › Within the NOCLAR framework, identify the statem…

Within the NOCLAR framework, identify the statement that is INCORRECT.

AWhere law allows, disclosure of NOCLAR to an appropriate authority may be made in good faith with caution in statements
BSenior CAs in service have a greater expectation to take action than other CAs because of their roles and spheres of influence
CNOCLAR covers laws with a direct effect on material amounts in the financial statements and laws compliance with which is fundamental to operations or to avoid material penalties
DResignation from the employing organisation is, in itself, sufficient discharge of the CA's responsibility to act in the public interest
Answer & Solution
Correct answer: D. Resignation from the employing organisation is, in itself, sufficient discharge of the CA's responsibility to act in the public interest
Resignation is explicitly NOT a substitute for taking other actions necessary to discharge public-interest responsibility — it may be a last resort but does not, of itself, discharge the duty. A, C and D faithfully restate the Code: scope of laws covered, greater expectation on senior CAs, and the gating of disclosure on legal permissibility.
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