
Answer-first summary for fast verification
Answer: No
## Explanation Bradley's actions **did not violate** the Standard relating to preservation of confidentiality because: 1. **Legal consultation**: He consulted his firm's legal counsel before taking action, which demonstrates proper due diligence. 2. **Illegal activities**: The Standard III(E) - Preservation of Confidentiality allows disclosure of confidential information when it involves illegal activities. Both tax evasion and money laundering are illegal activities. 3. **Relevant information only**: He only disclosed confidential information that was relevant to the illegal activities being reported. 4. **No local laws**: The country has no applicable laws on information confidentiality, so there are no local legal restrictions preventing such disclosures. 5. **Professional duty**: CFA professionals have a duty to report illegal activities, especially when they involve financial crimes that could harm the integrity of financial markets. **Key takeaway**: When illegal activities are discovered, CFA professionals may disclose confidential client information to appropriate authorities after proper consultation, especially when reporting financial crimes.
Author: LeetQuiz Editorial Team
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A
No
B
Yes, by reporting Client 1 to the tax authorities
C
Yes, by reporting Client 2 to the financial regulator
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