The international; Bank of Commerce (IBC) is a publicly held audit client of your CIA firm. IBC is a multinational financial institute that operates in 23 countries. During the current years audit, you have discovered the following problems: 1. Improper loans were made to stockholders and other related parties, and 2. Loans were recorded on the books that appear to be either false or deceitful You are especially concerned about these findings because it appears that members of senior management were aware of, and participated, in these illegal activities. In accordance with SAS No. 54 Illegal Acts by Clients, you have communicated these illegal acts to IBCs audit committee of the board of directors. However, you are not satisfied with the committees reaction to the situation. The chairman of the audit committee thanked you cordially, but the committees took no action to investigation the activities or prevent their occurrence in the future. Required: a. Describes your appropriate course of action in this situation. b. Assuming that you are an auditor practicing in the United Kingdom, describe your appropriate course of action. c. c. Describe the consequences to your firm if you decided to notify the SEC or another regulatory agency about the problem. d. Present arguments for and against requiring auditors to report illegal acts directly to regulatory agencies.