NOCLAR: A New Era For Professional Ethics

While many may envision accountants sitting behind computers with spreadsheets and pencils, their unique position often places them as guardians of the public interest. Professional accountants may be the first to find evidence of possible fraud, health and safety violations, or corruption, which brings us to the latest buzz word in the profession - NOCLAR.

Quite simply it stands for non-compliance with laws and regulations. The International Ethics Standards Board for Accountants (IESBA) defines NOCLAR as, "any act of omission or commission, intentional or unintentional, committed by a client or employer, including by management or by others working for or under the direction of the client or employer, which is contrary to prevailing laws or regulations."