An SA land agent discovers that a colleague in the same agency is engaging in trust account fraud. What is the agent's ethical and legal obligation?
Correct Answer
B) Report the matter to the agency principal, and if not resolved, report to Consumer and Business Services and potentially the police, as failure to report may constitute complicity
An agent who becomes aware of trust account fraud has an ethical and legal obligation to report it. This includes notifying the agency principal and, if not appropriately addressed, reporting to CBS and potentially the police. Failure to report may constitute aiding the offence.
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