Which of the following is NOT true about Section 10A of the Securities Exchange Act of 1934? Question content area bottom Part 1 A. Under Section 10A, an illegal act is defined as an "act or omission that violates any law, or any rule or regulation having the force of law." B. Unless an illegal act is "clearly inconsequential," the auditor must inform the client's management and audit committee of the illegal act. C. If management fails to take timely and appropriate remedial action, the auditor must report the illegal act to the client's full board of directors if (a) the illegal act will have a material effect on the client's financial statements and (b) the auditor expects to issue a nonstandard audit report or intends to resign from the audit engagement. D. Section 10A imposes duties on auditors to detect and report illegal acts committed by their clients. E. Once the auditor reports the illegal act to the board of directors, the board of directors must inform the Securities and Exchange Commission of the auditor's conclusion within seven business days