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CMA Final · Strategic Performance Management and Business Valuation · Laws and Compliance in Business Valuation

Which statement about the legal consequence of professional misconduct by a registered valuer under the Registered Valuers Rules is correct?

After giving the valuer a reasonable opportunity of being heard, the authority may impose disciplinary action such as suspension or cancellation of registration. Action is not barred after the report is issued, nor is it restricted to civil courts or to the Registered Valuers Organisation.

  1. ANo action is possible once the valuation report has been issued
  2. BThe authority may, after giving an opportunity of being heard, impose penalties such as suspension or cancellation of registrationCorrect
  3. COnly a civil court can remove a valuer's name from the register
  4. DAction lies only against the Registered Valuers Organisation, never against the valuer

Explanation

The Rules provide a disciplinary process: after a show cause notice and hearing, the authority can suspend or cancel registration or take other action. The process is not limited to courts or to the RVO.

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