CLG 006 Certifying Officer Practice Exam 2026 - Free Certifying Officer Practice Questions and Study Guide

An improper payment refers to payments that are made without adherence to established regulations, guidelines, or contractual requirements. This can include payments made for services not rendered, payments based on incorrect data, unauthorized payments, or violations of statutory or contractual terms. The consequences of improper payments can be severe, including financial penalties, legal repercussions, loss of funding, and damage to organizational integrity and reputation.

In contrast, the other options do not encapsulate the definition of an improper payment. Payments made after project completion, for instance, can be legitimate if they are part of the agreed terms. Similarly, payments that strictly follow a budget or receive positive feedback do not imply any regulatory breach and therefore are not considered improper payments. The distinction lies in the compliance with regulatory frameworks, which is central to identifying improper payments.