Soldera, CPA, is performing management advisory services for a client whose shares are publicly traded. Soldera learns that the client's financial statements issued in the previous fiscal year, on which another CPA firm gave an unmodified opinion, were materially misstated due to a failure to record certain liabilities. These audited statements were issued 6 months ago. Soldera therefore informs the client and the provincial securities commission (at the same time) about the misleading financial statements.

Indicate whether the CPA-Canada Code of Ethical Principles and Rules of Conduct has been violated or not violated. Explain your reasoning.