Ethics Flashcards
What are the 5 RICS Rules of Conduct?
1) Members & Firms must be honest, act with integrity, and comply with their professional obligations, including obligations to RICS.
2) Members & Firms must maintain their professional competence and ensure that services are provdided by competetent individuals w+
+
ho have the necessary expertise.
3) Members and Firms must provide a good-quality, diligent service.
4) Members and Firms must treat other with respect and encourage diveristy and inclusion.
5) Members and firms must act in the public interest, take responsibility for their actions, and act to prevent harm and maintain public confidence in the profession.
When did the new Rules of Conduct take effect?
2/2/2022
What are the core professional obligations of firms & members to RICS?
What are the ethical principles that the Rules of Conduct are based on?
1) Honesty
2) Integrity
3) Competence
4) Service
5) Respect
6) Responsibility
Give an example behaviour of each Rule of Conduct.
1) Members do not misuse client money and comply with controls intended to keep it safe.
2) Members & firms only undertake work that they have the knowledge skills and resources to carry out competently.
3) Members & firms agree with the scope of the service to be provided and its limitations and timescales for the work.
4) Members & firms develop an inclusive culture in their workplaces and support equal access and opportunity for all.
5) Members & firms respond to complaints made against them promptly openly and professionally.
What is a Conflict of Interest?
Arises where there may be an actual, perceived or potential risk that the professional judgmement of an RICS member/firm will be compromised when an undertaking an assignment.
What is the RICS professional statement on Conflicts?
RICS Conflict of Interest Global 1st Edition Effective March 208
What are the 3 types of Conflict of Interest?
Confidential Information, Own Interest, Party Conflict
What should you do if you identify a Conflict of Interest?
Members must not advise or represent a client where there is a Conflict or significant risk of one without Informed Consent (unless doing so would break the law).
What is a Confidential Information Conflict?
Where a members duty is to provide information to one client, that conflicts with the duty to keep that information confidential on behalf of another client.
What is a Party Conflict?
Where acting/advising a client conflicts with with the duty owed to another client on the same/related professional assignment.
What is an Own Interest Conflict?
Where the RICS member acting for a client on a professional assignment conflicts with the interests of that RICS member.
What is meant by ‘Informed Consent’?
Where the part(ies) who are affected by the Conflict give consent willingly to continue, despite a risk/conflict arising. As long as they can prove they understand the Conflict and the potential risk of the Member not being able to provide the full service to the best of their ability.
When should Conflicts of Interest be checked for?
Upon initial instruction and throughout an assignment.
Who is the current President of the RICS?
Tina Paillet
When did they become President?
January 2024.
What 4 types of professional documentation are published by the RICS?
1) Codes of Practice
2) Guidance Notes
3) Practice Statements
4) Information Papers
What are the level of compliance required for each professional documentation published by the RICS?
1) Code of Practice - Mandatory or Best Practice (will be stated in the document)
2) Guidance Notes - recommended best practice
3) Practice Statements - Mandatory
4) Information Papers - information/explanatory comments
What are the benefits of RICS Regulation for firms?
1) Quality assured competence through adherence to the Rules of Conduct.
2) Enhancement of members professional status by providing confidence to consumers
3) Providers guidance supoort and advice for members
What firms are required to register for regulation by RICS?
1) The firm provides surverying services to the public
2) the firm is operation in regulated area A (the UK)
3) At least 50% of the firms principals are RICS Members.
Name some obligations when registring a firm?
1) Comply with Rules of Conduct and rules of Registration of Firms
2) Inform Head of Regulations of any finding against it by any disciplinary or regulatory body, court or statutory authority.
3) inform Head of Regulations of any finding of insolvency againt the firm
4) notify Head of Regulaions of any material change in the firm.
What is the procedure for setting up a RICS registered firm?
1) Contact RICS for guidance & pbtain company start-up pack
2) Inform RICS & Register for regulation
3) Appoint contact office for all RICS communications
4) Prepare a Complaints Handling Procedure
5) Obtain PII
6) Abide by the rules of conduct
7) Use the designation ‘regulated by RICS’ on all practice material.
What insurances should firms have?
PII (prof. indemnity insurance)
Public Liability Insurance
Employers Liability Insurance
Building/Contents Insurance
What are the PII Insurance required by firms?
Firms Turnover / Indemnity Required:
£100k or less - £250k
£100k-£200k - £500k
£200k or more - £1million
What are the annual returns required by RICS for firms?
1) Type of Business & Staffing
2) Nature of client
3) Training provision
4) Complaints handling procedure, details & records
5) PII Details
6) Whether the firm handles client money
What is the purpose of PII?
‘To provide financial cover in the event a client suffers financial loss as a result of professional duty e.g. neglect, errors, emmissions
What is a notoroious case about PII?
Merrit v Babb
What are the requirements of PII?
1) Policy must be made on an each and every claim basis
2) RICS set out minimum levels of imdemnity
3) RICS set out maximum level of uninsured excess
4) Policy should cover post & present employees
When did the UK PII Version 9 come into effect and what did it introduce?
1st April 2022
- No maximum limit of uninsured excess for companies with a turnover of £10mil/annum
- Companies with a turnover or less than £10mil is the greater of £10,000 or 2.5% of insured sum.
What is the minimum required complaints handling procedure?
Stage 1 - Where there needs to be a consideration of the complaint by a senior member of the firm or the complaints handling officer.
Stage 2 - If the issue isn’t resolved the complaint is referred to an independent third party with the authority to award redress. The complainant may be expected to contibure towards costs at this stage.
What can you tell me about complaints handling procedure requirements?
- RICS provide a model form
- Process must include redress mechanism
- Details of policy must be issued to all clients with the Terms of Business
- Must be clear, quick, transparent & impartial and free of charge at 1st Stage.
- Name & contact details of investigating person must be stated
- Complaint must be investigated within 28 days
- All complaints, their progress & outcomes must be recorded
- Must notify PI Insurers of the Complaint
What rules must RICS registered firms follow when operating a client account?
- Clear segregation of duties for emplyees
- Principal officer oversees the client money functions
- Principals can’t override controls
- Competent & knowledgeable staff to process client money
- Accounting systems must be secure
- Client money must be kept seperate & clearly identifiable with the word client in the account name
- Clients must always have access to funds
- Agree terms & advise clients of bank details
- Account must not be over drawn
- Must maintain client ledgers & provide runnning balance
What is the RICS futures report?
Launched in 2015, it highlighted key trenders e.g urbanisatioin, disruption of big data & the climate crisis as presenting key challenges to the property and construction industries.
it found:
- construction industry produces 2nd largest amount of data and 95% of it is wasted.
- increase in the use of Drones presents challenges in compliance and regulation
What is the RICS Levitt Report?
- Commissioned by RICS folloowing a treasury audit in 2018.
- Prior to the audit RICS had to extend its overdraft facility by £3mil due to inaccurate cash flow forecasting.
- Report concluded a power struggle was at fault between Management and Executive Boards
- More transparency and involvement by boards required.
Who is the CEO of the RICS?
Justin Young
What are the changes to the Rules of Conduct in 2021?
Incoroporation of several documents.
What is the role of the RICS?
Protect consumers and businesses and to promote the usefulness of the profession for the public good.
What is a royal charter?
A document issued by the monarch that gives an organisation independent legal standing.F
What are they key functions of the RICS?
1) Advancing the highest ethical and technical standards for professional in land, property and the built environment
2) Protecting and providing benefits to consumers by enforcing standards and codes of best practice
3) Providing expert impartial advice to governments, business and the public
4) Equipping RICS members with leading edge advice, market insight and professional training
5) Promoting RICS status and standards in key worldwide markets as the mark of property professionalism
What do you understand by the term ‘self-regulation’?
In terms of the RICS it means that they operate under the within its own published regulatory framework, rather than being governed by the the government.
What is a Bye-Law?
RICS Bye-laws provide power to the Head of Regulation and Regulatory Tribunal to make disciplincary and regulatory decisions including disciplinary penalties and costs. Decisions are made in line with the Rules/Guidance set by the Standards and Regulation Board
Give an example of one of the RICS Bye-laws.
- Procedure for Annual General Meeting
- Composition of the governing council, officers & staff
- Contribution to funds (i.e. subscriptions)
- Membership & Registraiton (i.e. registration of firms)
Can you tell me what is meant by the Principles of Better Regulation?
A framework provided by the government to ensure that regulation is proportionate and effective and includes 5 main principles:
- Proportionality
- Accountability
- Consistency
- Transparency
- Targeting
What measures can the RICS disciplinary procedures impose?
- Caution
- Reprimand
- Undertakings as to future conducts
- Fines
- Condititons of the members continuted membership of RICS
- Conditions on the firms registration to RICS
- Expulsion of the member from the RICS
- Removal of a firms registration for regulation.
In what circumstances can disciplinary procedures been imposed?
- Failure to comply with the RICS code of Conduct
- Failure to comply with the RICS Obligations for Members & Firms
- Failure to comply with Rules of Registration for Firms
When did the RICS Disciplinary Panel last update their Rules?
1st October 2019
What do you understand by the term professional practice?
Balancing interests and using values and ethical to come to a decision about what is the right thing to do. The 5 RICS rules of conduct help members to do this.
What money laundering regulations or legislation are you aware of?
Money laundering, terrorist financing and Transfer of Funds (information on the buyer) regulations 2017 - Ammened 2022
Criminal finances act 2017
What is a red flag of money laundering?
- Unusual/non-market value sale price.
- Third-party involvement
- Unusual fund source
- Complex Trusts
- Quick re-sales
What bribery legislation are you aware of?
The Bribery Act 2010
What is a bribe?
The offer, promise, giving, demanding or acceptance of an advantage as an inducement for an action that is illegal, unethical, or a breach of trust.
What are the penalties for accepting a bribe?
Fine or imprisonment of up to 10 years.
What are the penalties for being involved in money-laundering?
Fine or imprisonment.
What constitues an offence under the Bribery Act 2010?
If a person offers, if they offer, promise or give an advantage, directly or indrectly to another person intending that a person is rewarded for, or induced to, performa relevamt funciton or activity improperly.
What constitutes an offence under the Money Laundering Regulations?
- Concealing criminmal property
- Possessing, acquiring or using criminal property
- Failure to disclose
How long should you keep anti-money laundering records for?
5 years
What is a Professional Indemnity Insurance?
Protects against claims from clients or third parties for loss or damage from negligent services or advice.
What does ‘claims made’ mean in terms of PII?
Describes a policy that only provides cover for claims which are notified during the term of the policy.
Is a PII excess usually paid per claim?
Yes.
What is a PII aggregation clause?
Clause included in policy that either allows or requires a number of, usually linked or similar claims to be treated as a singular claim.
In a negligence claim, what would help show you acted with consideration and due process?
- Duty of Care
- Breach of Duty
- Damage
- Foreseeability
- Proximity
- Fairness, justice and reasonableness
Can good record keeping help to provide a defence in a PII claim?
Yes
If you were providing services outside of your usual scope to a client, what might you need to do in relation your PII cover?
- Inform your PII provider & extend cover
- Inform client of lack of PII if cover not extended
What is run off cover?
A form of PII that applies when a business or individual ceases trading.
What are the RICS requirements in regards to run off cover?
- £1,000,000 minimum
- minimum of 6 years
What changes did RICS recently make to the Minimum Approvded PII Wording?
1st July 2024
- Fire safety insurance coverage for buildings above 4 storeys
- External wall assesments and fire risk appraisals of external walls
- ammending cyber-security cover wording in relatiing to protecting businesses from digitial threats, such as data breaches or malicious cyber hacks on a computer system.
Would a dictated report avoid the need to have written site notes?
No
How long can a PII claim arise after the work is under taken?
15 Years
What is the Assigned Risks Pool (ARP)?
A market facility that provides emergency PII cover to firms that are unable to attain PII from the insurance market.
Who might need access to the ARP?
- Companies with a poor claims record
- Risk factors
- Type of Service company provides
Explain your understanding of the RICS Professional Standard Risk Liability and Insurance (1st ED)
A guidance notes that helps members and clients understand the risks and liabilities associated with surveying. It also provides guidance on how to negotiate contracts, with clients and avoid risks including guidance on:
-PII
-Liability Cap
-Terms of Engagement
-Governing law & jurisdiction
Explain when you might agree a Liability cap.
- When a work is on-going or long term instructions
- Valuation work
- high value instructions
should always be below the PII
explicit and reasonable
logical calculation point
How would you set out third party reliance in Terms of Engagement?
- Make clear who is able to rely on the advice / for what uses.
What are the three key terms that should be considered from a risk perspective in the context of every instruction you undertake?
- The scope of work
- The basis on which the fee will be calculated
- The liability cap
What is an annual return?
Information that is required by RICS Registered Fims to the RICS & includes
- Staffing Levels
- CHP
- Client money handling
- PII
- Firms Turnover
- Annual regulatoty review fee (pays in CMPS)
Tell me what you understand about Complaints Handling Procedures (CHP)?
RICS registered firms, must have a CHP & they must be a minimum of a 2 stage process.
stage 1 must be free of charge and Complaints must be handled within 28 days
PII insurers should be told
Must have provisions for ADR
RICS should be notified in annual return
When & how can the RICS be involved in a complaint about a firm/member?
When a complaint has uncovered a serious breach by a firm or member (e.g missing client money) it should be reported to RICS in accordance with Bye-laws and rules for registration of firms.
Can you tell me about the CPD requirements for Members of the RICS?
- Minimum of 20 hours of CPD per annum
- 10 hours must be formal CPD
- Members must maintain undertanding of professional & ethical standards on a rolling 3 year basis
- members must record activity online by 31st Jan
Why is CPD important?
ensures members contintually update their skills and knowledge in order to remain professionally competent.
Tell me about the RICS guidance on dealing with Conflicts of Interest.
Guidance is set out in the Conflict of Interest Global Edition effective 1st Jan 2018 and is broken down into 3 types of conflict:
- Own interest
- Party Conflict
- Condifential Information
What is ‘double dipping’ (dual agency)?
When a surveyor acts for the buyer and the seller in a real estate transaction & is a conflict of interest.
Is dual agency an unacceptable practice and if so why?
Absolutely yes. This is a conflict of interest.
How can you close down a regulated firm?
- Inform RICS
- Update contact details
- Notify clients
- Notify other parties
- Set up system to notify people
- Arrange run-off cover
- Deal with client money
- Arrange files and records storage for minimum of 6 yrs
- Provide hand-over / advise on alternative firm
What can you tell me about RICS guidance relating to bribery, corruption or money laundering?
Guidance is set out in RICS Professional Standard Countering Bribery, Corruption, Money Laundering and Terrorist Financing Global Edition effective September 2019.
-part 1 mandatory
a bribery corruption
b money laundering and terrorist financing
psrt 2 best practice
part 3 information notes
What status does it hold?
Mandatory following
What are some of the key principles of this guidance?
money laundering
- Members & firms must not accept or offer, directly or indirectly anything that could constiture a bribe & should report any breaches
- Not facilitate or be complicit in money laundering or terrorist financing activities
- Have systems & training in place to avoid/deal with both
What must/should firms/members do to comply with Bribery, Corruption, Money Laundering and Terrorist Financing guidance?
- Provide clear guidance for staff
- Publish a code of behaviour
- Carry out appropriate due diligence
- Have a written policy
- Encourage transparency
What are the current RICS rules for registration of firms?
Rules for the Registration of Firms Effective February 2022
Who is a ‘qualified member’ of RICS?
Anyone with a RICS qualification (FRICS, MRICS, AssocRICS)
What is a Phoenix firm?
Firms that close in a disorderley way then rapidly re-establish themselves as a new trading entity.
What are the firm registration eligibility criteria?
- at least 25% of the firms principles must be be RICS registered
- must be providing surveying services to the public
- firm must designate a responsible principle
- firms must confirm that all work is carried out in accordance with RICS rules
operate in regulated area
Who is a responsible principal?
An appointed member that will have primary responsibility for esnuring RICS professional, ethical and technical standards are upheld. Normally a director/partner in the firm
What happens if a firm cannot comply with the elgibility criteria?
- can’t advertise as being regulated by RICS
- Can’t use chartered in company title
What are the rules around use of the RICS logo and ‘regulated by RICS’ designation?
- can only be used my members of RICS or registered firms
- must comply with all RICS standards
- not alter the logo in any way
- not use them in a way that could bring the RICS into disrepute
Tell me about the restrictions to the use of the designation ‘Chartered Surveyors’ by firms.
- Can be used by sole practioners who are members of the RICS
- or where 50% of a firms directors are chartered
- where no partner has been expelled from RICS
- where the firm is registered for regulation by RICS
What must be included in ToE relating to firm regulation?
That the RICS is able to regulate the work carried out for the client.
What is a locum and who might need one?
Another professional that is appointed to stand in for a surveyor if they are unable to work.
- holiday/sabbatical
- illness/maternity
- death
How could a sole trader set up their CHP using a locum?
Locum could be appointed by a sole practioner to handle their CHP/
What RICS guidance related to handling clients money?
Client Money Handling 1st Edition October 2022
When was the Client Money Handling last updated?
March 2024 - for RICS regisrted firms using third party transaction services
What do the RICS Rules of Conduct say about client money?
Rule 1) Members must be honest, act with integtrity, and comply with their professional obligations including their obligations to RICS
Explain your understanding of the RICS Scheme Rules relating to client money protection.
RICS operate a client money protection scheme (CMPS). It is a scheme which provides protection as a last resort in instances where a RICS regulated firm cannot repay a clients money
What are the main schemes available to firms?
- Firm regulation updated 2 Feb 2022
- designated professional body scheme for for general insurance distribution 2 Feb 2022
- Valuer registration 2 Feb 2022
- client money 1 April 2019
What does the annual regulatory review fee relate too?
The fee is paid by RICS registered firms that hold clients money & covers the cost of the client money regulatory review visit program,
What is the RICs current CMPS compensation limit?
£50,000
What might client money include?
- Rent collected
- Service charges
- Interest accredited to a client account
- Client money held but due to be paid to contractors
- Fee’s paid in advance
- Arbitration fees
How does this differ to office money?
Office money belongs to the firm, client money belongs to the client
What are some of the key principles of the RICS professional standard relating to client money protection?
- safeguards
- disclosures
- reconcilliation
- accounting
- unidentified funds
- information to client
- written procedures
Explain the key themes from the RICS futures 2020 report.
- population growth
- sustainability
- urbanisation
Explain the potential implications of the Hart v Large case
- being clear and advising clients on the survey level and scope of inspections, caveats & limitations
- recommending justifiable further investigations
- update advice if needs be
Explain your understanding of precedent set in Burgess v Legonvarn.
- Evidence is key
- Has to be linkage between the loss claim and the alleged breach.
What do RICS set out as good practice for the use of social media in their Regulation document June 2021?
posts that:
- are removed if a member requests you to do so
- use professional and respectful language
- are crtitcal of a companies policies or organisations rather than individuals
Explain your understanding of the Levitt review.
Independent review by Alison Levitt QC that was commissioned by RICS to investigate allegations that RICS tried to supress a critical internal report into its finances.
it found that the governance principles were not followed by the RICS in an attempt to cover up a forecasting error which caused an overdraft increase of
£3 mil. Levitt advised transparency and encouraged whistleblowing.
What is whistleblowing?
The reporting of wrongdoing in a firm or orgnaisation that you are a worker in.
What does good governance mean to you?
- Transparency
- Acting for the good of the organisation
- Respectful leadership
- Setting an example to be followed
Explain that the Pandora PApers are and the ethical issues raised within them
They revealed the inner workings of a shadow financial world exploted to hide the wealth of democratically elected leaders.
- conflicts of interest
- lack of transparency
- lack of trust
- money laundering
Explain what you understand by the Bichard review.
independent review by lord Bichard of the RICS’ purpose, governance and strategy, and was commissioned by the RICS following the Levitt Review.
Explin some of the recommendations of the Bichard review
- consider global strategy
- a review of its Charter
- reinvigoration of the RICS matrics
- diversity and inclusion panel should be established
How to professional integrity and professional ethics differ?
professional integrity is the practice of adhering to ethical principles and values, while ethics are the moral principles that guide a persons behaviour
What is modern slavery and how would you identify red flags of it?
the illegal exploitation of people for personal or commercial gain inclding human trafficking, forced labour, debt bondage.
red flags-
- Debt
- Appearance
- Money (of lack there of)
- underage pregnancy
- lack of identication
Explain the implcations of the Sanctions and Anti-Money Laundering Act 2018
- Anti money landering and terrorist financing detection
- requires secretary of state to publish reports on the profess of creating a register of beneficial owners of overseas entiries
- designation of persons, inclding freezing funds, preventing financial services
What is the Santions List and why should you be aware of it?
a compliation of people, orgaisations and countries that are subject to restrictions or penalties including asset freezes an financial prohibitions
Why was the register or overseas entities introduced?
to improve transparency around the ownership and control of overseas entiries that own UK land.
What are the six RICS values published as a result of the Levitt review?
- Integrity
- Inclusion
- Transparency
- Collaboration
- Advocacy
- Passion
Explain the impact of the Economic Crime (Transparency and Enforcement) Act 2022.
- Register of Overseas Entities
- More transparency required
- businesses liable for economic crimes
- prosection of corporations
How do you ensure you comply with Bribery legislation? lvl2
I ensure i comply with the six principles of bribery legsilation and follow company procedure such as on the receicpt of gifts/hospitality, and attend relevant training by my employer addressing bribery and corruption.
What are the six principles of bribery legislation?
Proportionate Procedures
Top level commitment
Risk assessment
Communication
third party dudiligence
Monitoring and review
How do you ensure you comply with money laundering regulation?
AML compliance company policies. carrying out customer due diligence (ID etc)
How do you ensure you comply with your firm’s bribery and gifts policy?
Have an up-to-date copy of my firms policy & declare all gifts offered or received.
Tell me about an instance of when you have been offered a gift or hospitality by a client.
I haven’t been personally offered a gift/hospitality, but if I was I would first state that I was grateful for the offer but would respectfully decline (& declare the offer). If they insisted I would declare the offer and inform my firms operations manager before acceptance.
Tell me about what you would do if you felt that an instruction was outside your scope of experience or knowledge.
- be honest with the client
- agree to subcontract parts/area of the instruction
- recommend another professional who may be competent
Tell me about an instance of when you have handled client’s money.
Through the management of a number of agricultural land properties, I manage the collection of rent on behalf of Landlords to be re-distributed.
How woudl you keep client’s money securely and safely held?
Ensure client money is held in the alloted client account
Have appropriate controls and procedures in place
Prevent account becoming overdrawn
ensure maintenance of central list of client bank accounts
ensure clients can have access to monies
obtain written consent from the client
Tell me about how you would handle a client complaint.
- 1st Supply with complainant with a written copy of my firms CHP and the nominated contact for the dealing of the complaint
- evaluate whether the issue warrants raising with PII
- handle the complaint within 28 days & ensure regular updates
- record complaints in complaints log
- ask indepdendent surveyors advice if complaint is about service/work provided
- if complaint cant be settled, inform complainant about ADR (inc in CHP)
Tell me about your understand of your firms process for escalating a complain to ADR?
- Notify PII if haven’t been already
- provide list of ADR
- inform that this process may cost the complainant but do not allow members to disuade from ADR
How did you handle the Conflict of Issue raised in your SOE?
As soon as I became aware of the Potential Conflict I informed my client and the associated risks. I advised that my client continue with another surveyor in the firm that could maintain neutrality. The client agreed and I ensured I made colleagues aware that I should not be cc’d into emails etc referencing the work.
STWL claim - how did you apply the rules of conduct?
I provided a diligent service, by speaking to other surveyors acting for other landowners to ensure that I had negotiated the best figure for my client. I was also honest with my client and and advised competently on the facts surrounding the case
How did you ensure your claim was transparent?
My claim included a break down of my workings, and I kept supporting evidence of all figures on file.
Give me an example when you have acted with integrity?
When quoting for work I ensure I am open and transparent about my fees upfront, and ensure they are aware of how my fees will be calculated.
Tell me about when you have provided a high standard of service.
I strive to do this in all aspects of my work, for example when creating terms of engagements for new instructions I ensure to detail the scope of work, and any restricitons
Tell me about when you have maintained professional competence?
Carrying out my CPD requirements.
Tell me about how you have promoted trust in the profession.
Tell me about how you have taken responsivility in your current role
Frequently left in charge to manage/oversee KMS, responsibility in all aspects including staffing, security, AML.
Tell me about how you treat clients with respect.
I respect a clients decisions even if their decision is against the advice I have given
Tell me about how you treat other surveyors with respect.
communicate respectfully
Explain the key steps you would take if you decided to set up in practice as a sole trader post qualifying.
PII
Notify the RICS
CHP
What would you do if you were asked by a client to reduce a fee proposal in order to win work?
Advise that I cannot change my fee but I could look at ways of reducing my fee by reducing the scope of work but explain this to the client.
What would you do if you became suspicious that a client was involved in money laundering?
Make my firms AML officer aware and submit a suspicious activity report (SAR) to the National Crime Agency
What would you do if you became suspicious that a client was involved in terrorist activities?
Tell the national crime agency
If you were to set up practice on your own, what insurance would you need?
PII
Public Liability insurance
building insurance if using an office space
STWL- how did you apply the rules of conduct?
Before adivsing my client i liaised with other agents to ensure the best price for my client which provided a good quality diligent service. I also was respectful when providing the advise.
i was transparent as to where the figures had come from
How did you deal with the complaint under STWL?
I provided my client with a copy of my firms CHP, and then de-escelated the complaint. Once my client fully understood the situation they withdrew their statement that they wished to complain. I liaisied with senior colleagues at an early point to ensure i was dealing with the situation ethically and appropriately.
How did you identify and manage the conflict of interest?
I carried out the advertisement of the property and once the property was launched, the family member contacted me for more information, as soon as this occured I identified this as a conflict and advised the client & family member of the conflict and advised a colleague take on the rest of the work who could maintain neutrality, the client agreed.
Why did you decline to act?
Because there was a potential risk of a conflict of interest which could prevent me from providing the best service to my client/
What principles of the RICS Professional standard did you apply?
Conflict Avoidance
