What is a potential disadvantage of voluntarily disclosing information to the government?

Voluntary disclosure of information to the government can indeed come with several potential disadvantages, which is why selecting all the listed options is appropriate.

Financial loss can occur as a result of self-disclosure, particularly if the disclosure reveals fraudulent activities that lead to fines, penalties, or loss of business. Organizations may face immediate financial repercussions as they work to remedy the issues exposed through the disclosure process.

Increased government scrutiny is another significant concern. Once an organization opens the door to government investigation through voluntary disclosure, it often invites a deeper examination of not just the disclosed matter, but potentially other aspects of the organization’s operations as well. This increased oversight can be burdensome and can lead to further complications or allegations.

Finally, while voluntary disclosure can sometimes lead to leniency or reduced penalties, it does not guarantee immunity from liability. Organizations may still face legal consequences, including civil or criminal penalties resulting from their previously undisclosed actions.

Thus, understanding these potential disadvantages—financial, scrutiny, and lack of immunity—underscores the importance of careful consideration before deciding to disclose information to government authorities.