Duty to Disclose Policy Quiz

Questions and Answers

Who should a conflict be disclosed to if the employee is not comfortable reporting it to HR?

The Chairman of the Board (correct)

A colleague

The CEO

The HR manager

What is the maximum time frame for the CEO to be informed of a disclosure?

Immediately

Within five working days (correct)

Within seven working days

Within two working days

What action can the CEO take if HR finds a breach of policy after an investigation?

Ignore the findings

Refer the matter to external counsel

Consult with other employees

Take disciplinary action up to termination (correct)

If a conflict of interest complaint is made but the details are undisclosed, who is responsible for handling the matter?

HR Signup and view all the answers

In the event of a suspected violation of law, what action is advised?

Refer to external counsel Signup and view all the answers

What is the primary responsibility of employees regarding conflicts of interest?

To disclose any potential conflicts as soon as they are known. Signup and view all the answers

What is the Credit Union's policy regarding retaliation for reporting conflicts of interest?

No retaliation will occur against employees reporting in good faith. Signup and view all the answers

Who is considered an insider according to the policy?

Employees, auditors, and any individual with access to confidential information. Signup and view all the answers

What should an employee do upon discovering a potential conflict of interest?

Submit a written disclosure using the Conflict-of-Interest Disclosure Form to HR. Signup and view all the answers

What consequence does the Credit Union impose on individuals making false allegations?

They may be subjected to disciplinary action. Signup and view all the answers

What format is required for the annual conflicts declaration by employees?

A written form as specified in Appendix 1 of the policy. Signup and view all the answers

How is information disclosed about conflicts of interest treated?

Information will be kept confidential to protect relevant parties. Signup and view all the answers

What must be done immediately upon becoming aware of a potential conflict of interest?

Fill out the Conflict-of-Interest Disclosure Form and submit it to HR. Signup and view all the answers

Study Notes

Duty to Disclose

Employees are required to disclose potential conflicts of interest immediately upon awareness.
Conflicts may arise from personal gain or relationships influencing Credit Union decisions.
Protection against retaliation is ensured for employees reporting in good faith about potential violations.

Insiders

Insiders are individuals who exploit non-public information, resulting in unfair advantages.
Obvious insiders include management and employees, along with auditors, attorneys, appraisers, brokers, consultants, and vendors.

Declaration Requirement

Annual conflicts declaration is mandatory for all employees, recording perceived or actual conflicts as outlined in Appendix 1 of the policy.
A conflict-of-interest register is maintained by Human Resources (HR) to track disclosures.

Conflict of Interest Procedures

Employees must complete a Conflict-of-Interest Disclosure Form to report conflicts, detailing nature and extent of the concern.
If conflicts involve HR or the CEO, disclosure should be directed to the Chairman of the Board.
All disclosures must be communicated to the CEO within five working days.

Investigative Process

The CEO consults relevant parties after receiving disclosures and assigns undisclosed complaints to HR.
HR investigates any identified breaches of policy and recommends actions to the CEO.
Disciplinary measures may include termination or other actions based on HR’s findings.

Legal Violations

Any suspected legal violations may be referred to external legal counsel for further action.

Description

Test your knowledge on the Duty to Disclose policy and the importance of reporting potential conflicts of interest. Learn how to recognize situations that may influence Credit Union decisions and the protections in place for employees who report concerns. This quiz is essential for ensuring a transparent and ethical workplace.