...Ismir Fazlic 11/16/12 Case Analysis The case that I chose to discuss was the case of Bradley Birkenfeld. Bradley Birkenfeld has been awarded $104 million weeks after being released for withholding information about his own role in Swiss bank UBS tax avoidance schemes. Birkenfeld's $104 million reward works out at $4,600 for every hour of the two and a half years he spent in prison. He took advantage of a 2006 law passed by Congress that awards whistleblowers up to 30 percent of the revenue they help to recover with the information that they supply to the IRS. Part of a case that shook Swiss banking to its core in 2009 when UBS entered into a prosecution agreement and paid $780 million in fines, penalties, interest and restitution to settle charges that it helped 17,000 U.S. clients hide $20 billion. The money was awarded to Mr. Birkenfeld after he told U.S. authorities about illicit banking practices that were encouraged by the Swiss banking giant that led to UBS paying $780 million in fines and agreeing to hand over information on more than 4,000 Swiss bank account holders to avoid a criminal case. In 2006, Congress strengthened whistleblower rewards. The 2006 law targets high income tax dodgers, guaranteeing rewards for qualified whistleblowers if the company in question owes a least $2 million in unpaid taxes, interest and penalties. Some lawmakers, however, have complained that the IRS has been slow to pay out awards. Beginning in the summer of 2007...
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...Employment-at-Will Doctrine Professor: May 1, 2014 Assignment # 1 Employment-at-Will Summary of the Employment-at-Will Doctrine The concept of At-will means that an employer can terminate an employee because of any reason but the illegal dismissals does not come under this category. Similarly, the employee will also have a choice to leave the job at any time with or without any reason. There would not be any adverse legal consequence in such a case. In some cases, the contents related to the Employment-at-Will can be included in the contract. For instance, the contract can provide a specific duration of employment or include reasons for termination. The discussion of these factors during the preparation for the At-Will Employment Contract usually takes place between the employers and employees. The courts also provides legal cover for such contracts that has a lot of importance (Charles, 2001). Therefore, these are all the major aspects related to the Summary of the Employment-at-Will. This doctrine is followed in the United States at large whereas other countries, which has provided a chance of ‘good faith’ includes Canada, United Kingdom, Germany, Japan, Italy and Sweden. At-will doctrine serves to provide the employer the liberty to terminate any employee with or without any good or bad cause. Nevertheless, the good cause commitments are stated to the employee at the time of recruitment so that they can have their job security issues resolved (Free Dictionary,...
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...Employment-at-Will Doctrine Professor: May 1, 2014 Assignment # 1 Employment-at-Will Summary of the Employment-at-Will Doctrine The concept of At-will means that an employer can terminate an employee because of any reason but the illegal dismissals does not come under this category. Similarly, the employee will also have a choice to leave the job at any time with or without any reason. There would not be any adverse legal consequence in such a case. In some cases, the contents related to the Employment-at-Will can be included in the contract. For instance, the contract can provide a specific duration of employment or include reasons for termination. The discussion of these factors during the preparation for the At-Will Employment Contract usually takes place between the employers and employees. The courts also provides legal cover for such contracts that has a lot of importance (Charles, 2001). Therefore, these are all the major aspects related to the Summary of the Employment-at-Will. This doctrine is followed in the United States at large whereas other countries, which has provided a chance of ‘good faith’ includes Canada, United Kingdom, Germany, Japan, Italy and Sweden. At-will doctrine serves to provide the employer the liberty to terminate any employee with or without any good or bad cause. Nevertheless, the good cause commitments are stated to the employee at the time of recruitment so that they can have their job security issues resolved (Free Dictionary,...
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...University Cyberjaya 2015 | INTRODUCTION Fraud negatively impacts organizations in many ways including financial, reputation, psychological and social implications. According to various surveys, monetary losses from fraud are significant. Thus, the organization has to establish an effective fraud management program that also covers the organization response to the whistleblower in the company. It is clear that corporate have major responsibility in their response of complaints regarding accounting, internal accounting control or audit matters where they have to establish audit procedure for the receipt, retention and treatment of complaints. Moreover, the organization has to build appropriate structure of line of reporting for the internal audit to support the effective fraud management program. The report discuss in deep on the Sarbanes Oxley Act 2002 in relation with bursa listing requirement. Furthermore, the whistleblowing also become the main issues on this report. The thorough discussion about what whistleblowing is and the key characteristics to support good whistleblower hotline also is conferred. REPORT Summary and compare the requirements of section 301.4 of the Sarbanes Oxley Act 2002 and compare those requirement with those as required by Bursa Listing Requirement 2013. Sarbanes Oxley Act 2002 section 301 stated the corporate responsibility. It is following the Securities Exchange Act of 1934 (15 U.S.C. 78f) section 10A that have been amended by adding standards...
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...that the quality of nursing care necessitates nurses to reflect on nursing ethics in relation to their individual principled way of life. Cadwell, Lu & Harding (2010) paper explores these ideas. Summary: The fundamental nature of professional development implies personal development (Glen, 2005). ‘Encompassing multiple moral paradigms: a challenge for nursing educators’, is an in-depth analysis of nursing ethical dilemmas; the efforts that are undertaken to implement professional development through reflection, self-monitoring and self-control; and the challenges for nurse educators to integrate the syllabus into real-life clinical practice situations. Caldwell, Lu & Harding (2010) study analyses nursing ethics, Chinese ethical philosophies, and Judeo/Christian traditions as they endeavour to demonstrate the real-life issues of morally conflicting situations in nursing practice within these groups and the possible legal consequences. Relevant to topic yes/no? This paper clearly outlines ethico-legal nursing dilemmas in nursing practice, and the difficulties faced implementing them when striving to achieve competence in nursing. The acquirement of nursing competence and its relationship to different views of nursing is demonstrated by Cadwell, Lu & Harding (2010) through the case study of a Chinese student and her conflicts arising from her own...
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...Failures by Frederick D. Lipman In order for boards to fulfill their oversight obligations, the organizations they serve must have robust whistleblower and compliance policies and programs to encourage reporting that can help identify risk exposures, fraud, or other illegal activity. This report identifies common pitfalls in many current whistleblower and compliance programs, and it offers recommendations on how audit committees can strengthen them. Government investigations, bankruptcy receiver reports, and numerous books provide a rich source of information about the major corporate disasters of the first decade of the twenty-first century. Although the financial implosions, starting with Enron and ending with Lehman Brothers, have significant differences, one common corporate governance theme can be seen: The board, and, in particular, the independent directors, did not have the information required to properly perform their oversight duties, even though such information was known to various members of management. In almost all the cases, the directors claimed they were misinformed or “duped” by the CEO or CFO.1 In this respect, these disasters were partly the result of corporate governance failure and, in particular, a failure to establish a robust whistleblower system as an internal control. Those 1 Frederick Lipman, Whistleblowers: Incentives, Disincentives and Protection Strategies, (Hoboken: John Wiley & Sons, Inc. 2012), pp. 82-83. failures also offer evidence that...
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...fraud. Policy like Whistblowing had changed organizations. The article “Whistleblowing and Good Government” is describe how one company should implementing and researching the best method of preventing fraud within company internally and externally. This article also defines the term Whistleblowing, and how to develop the policy and suggesting the best practice that company could use as resources. Article Summary: Over the pass decade there was numerous, both corporate and Government sector had committed some type of fraud that cause company billion dollars a year across the United States. One of the most famous case where higher managers at World Bank took over $2 millions of dollar involved in kickbacks, payoffs, bribery, embezzlement and collusive bidding. With the increasing of fraud many company and non-profit began to implement the SOX within their organization. One of the most important tools of SOX is Whistleblowing policy, the act of reporting wrongdoing to another within the organization internally or externally parties. In 1989 The Whistleblower Protection Act was passed and amended in 1994, to protect any Federal Employees from a worked place from retaliation when they disclosed any fraud. The article discussed the reason why organization, non-profit, universities, and government entities are considering implementing whistleblowing practices due to high fraud and abuse of...
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...doctrine Summary The employment-at-will doctrine is a legal doctrine that gives employers the ability to fire employees “for a good reason, a bad reason, or no reason at all” (Halbert & Ingulli, 2012, p.46). This doctrine was developed in the 19th century under the theory that it would be just as fair for an employer to terminate an employee for any reason, as it would be for an employee to resign from employment at any time. There have been a few exceptions to this doctrine, but because they are so broad, the conditions under which an employee can claim their termination is unlawful is difficult to prove. According to the Bureau of Labor Statistics, there are three exceptions to the employment-at-will doctrine. These address terminations that do not seem just although they technically comply with the doctrine requirements (Muhl, 2001). The first exception is a termination that undermines an action that would be beneficial for society, or is a violation of a State’s public policies. The next exception prohibits employee termination after an implied contract has been established from written assurances, a company handbook, policies or behavior. Finally, an implied covenant of “good faith and fair dealings” between employer and employee is an exception that is the least used among the 50 states. In certain cases, such as those protecting financial service sectors and federal employees, whistleblowing is not a legal ground for termination. A whistleblower is someone...
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...Take a look at the “Meet with whistleblowers” link on the main page. There you will find a number of people who have “blown the whistle” on the organization they work for. Through additional research you will find that there have been a number of people who blew the whistle and rightfully so, and perhaps you’ll find others that are questionable. In a 6-8 page paper, research at least two people who blew the whistle and present your findings. Your findings will show one person who did it and came out with a win for him/herself as well as for the good of society. Your other one will show someone who perhaps should have done nothing, or at least show that so far (because there case is not done) they have only hurt themselves and/or their family. Remember this is research, not your opinion. Personal opinions do not count in research papers, just facts. Some things to consider: 1. What is the obligation of an employee to his company versus society? 2. What might be the consequences of whistleblowing? 3. How might you avoid the mistake of an inappropriate allegation? 4. Are there any laws to protect whistleblowers? 5. Who do you go to, to blow the whistle? 6. Depending on the severity of what you’re going to whistle on, do you think your life and/or your families could be in danger? Can you find a documented case on this? 7. There’s a perception in Washington that much more leaking is going on now than during previous administrations. Is leaking a form a whistleblowing...
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...Employment-At-Will Doctrine Kimbla Gordon Eaton LEG/500 October 31, 2013 Professor James P. Laurie III, Esq. Employment-At-Will Doctrine This paper will include a summary of the Employment-at-will Doctrine. As a review for understanding the paper will evaluate eight scenarios facing the writer as the new Chief Operating Officer (COO) of a medium size establishment. Additionally, the COO will make a recommendation to institute a whistleblower policy giving three essential components of the policy. Finally, the COO will give her rationale for each of the components chosen for the whistleblower policy. Summary of the Employment-At-Will Doctrine Employers have a right to terminate its relationship with any of its employees at any time. The essence of the employment-at-will doctrine gives employees this privilege. When there is not retaliatory or discriminatory reason which links the employer’s decision to the termination of one of or all of its employees the employer is exercising a lawful and permissible right. Furthermore, Title VII which is the Civil Rights Act of 1964, gives employers a guideline by which to follow to avoid discriminatory dismissals of employees (Halbert & Ingulli, 2012). Though terminating employees is the right of the employer with or without cause for the dismissal, it could be very costly to the employer if the termination is not handled appropriately. Employers have to consider union and non-union employees...
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...Chapter 1: Perspective on Business Ethics and Values * Identify the good, tragic, comic, satirical and farcical elements in the way in which people and organization deal with matters of ethics and morality * Stakeholder theory * Business case for business ethics * Arguments about the moral status of business and organization Moral conflict between self-interest and public duty, between social and environment duty what takes precedence? Should a business case be proven before an organization commit to appeal fund or should behave in a socially responsible way, beyond the requirement of law because it is the right thing to do? It would seem logical that a company would benefit from socially responsible conduct such as renewable resources, promoting fair trade, empowering gender fairness in employment and support the community in which they operate. However, the translation of benefits into economic profits is not guaranteed. For some consumers the buying decision is influenced by the social image of the company but by the value they get from the trade. Various factors can be employed to measure the corporate social responsibility performance are Dow Jones Sustainability Index, SERM rating and EIRIS. Stakeholder Theory: What responsibilities or obligation does an organization owes to its stakeholders? How should an organization cater to the competing need of different stakeholders? What legitimate interests justify a group of people being regarded as stakeholders...
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...Part 5: Organizational Culture ~Transparency: How Leaders Create a Culture of Candor I find that I can identify and agree with Patrick Heraty’s summary of this subject as today’s organizations seemingly desire to become more candid, open and accessible and they encourage and often demand that their leaders practice and give credence to such transparency. While there are advantages and disadvantages to organizations becoming more transparent, I am of the belief that the advantages of an open organizational culture can far outweigh the disadvantages of non-transparency as perhaps an understanding can be gained either individually or collectively that can aid in facilitating a healthier work atmosphere which can be subsequently beneficial to the employees as well as the employer. As mentioned by Heraty, transparency also promotes healthier communications. Heraty implies that whistleblowers experience less retaliation as a result of their speaking out regarding injustices or illegalities which may occur in the work place. I have come to witness that this may be true in as much as the organization is truly committed to transparency genuinely. Should the efforts of the organization (as was the case with myself), be somewhat disingenuous regarding transparency then whistleblowers will find themselves in a rather precarious position. I appreciate the efforts of companies like Whole Foods who even go so far as to make the salaries of their employees a matter of openness. I think...
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...Governance Section 2 Case study on Governance Failure at Satyam NAME | I.C NUMBER | MATRIC. NUMBER | BONG LUI LUI | 910710-15-5078 | AH100063 | EILEEN WONG PAK YEE | 911107-13-6184 | AH100066 | LAI JIA SIN | 901026-05-5500 | AH100072 | LIM SIN RUI | 910412-02-5152 | AH100074 | LINDA CHAN CHIN HUA | 910522-13-5360 | AH100075 | Table of Contents 1 Introduction 1 1.1 Summarization 1 2 Key Player 3 2.1 B. Ramalinga Raju and B. Rama Raju 3 2.2 Rammohan Rao 3 2.3 Auditors 3 2.4 Bank 3 2.5 Gopalakrishnan and Srinivas Talluri 3 3 Main issue 4 3.1 Weakness of corporate governance 4 3.2 Greedy of external parties 4 3.2.1 Pricewaterhouse Coopers (PwC) 4 3.2.2 World Bank Staff 5 4 Implication 6 4.1 Implication towards company 6 4.2 Implication towards stakeholder 7 4.3 Implication towards economy 8 4.4 Conclusion of Implication 8 5 Discussion 9 5.1 Theory of Ethics 9 5.1.1 Governance Failure and Resignation 9 5.1.2 Secretive Whistleblower 10 5.2 Moral Values 11 5.2.1 Responsibility as a chairman 11 5.2.2 Responsibility as board of directors 12 5.2.3 Loyalty and Truthfulness 12 6 Conclusion and Recommendation 14 6.1 Role played by corporate governance mechanism 14 6.2 Responsibilities and ways to prevent fraud 14 References 16 Introduction We are studying a fraud case which happened at Satyam. In this case study, we will divide into few parts to do analysis. First, we will make a summary of the case, identity the...
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...Examining a Business Failure: ENRON LDR 531 Organizational Leadership December 5, 2011 . Examining a Business Failure Effective managers and leaders contribute to the organizational success of an organization. Companies lacking strong managerial leaders failing to enforce the ethical code of conduct of an organization are prone to organizational failure. Yukl (2006), states, “One viewpoint is that leadership occurs only when people are influenced to do what is ethical and beneficial for the organization and themselves” (p. 4-5). The notorious Enron scandal created a historic impact to the organizational culture and processes of businesses in the United States. The following paragraphs will address organizational behavior theories, which could have predicted Enron’s failure. Furthermore, a comparison of management, leadership, and organizational structures is scrutinized to determine the influence each had on Enron’s failure. Who was ENRON? Enron was founded in 1985 when Kenneth Lay merged Houston Natural Gas and InterNorth creating Enron (CBCNews, 2006). In the early 1990s Kenneth Lay commenced the sale of electricity at reasonable prices. However, Congress deregulated sales of natural gas. As a result, Enron’s earnings increased and became the largest retailer of natural gas. To expand, Enron diversified and incorporated gas pipelines, pulp and paper, broadband services, water, and electricity plants. Furthermore, the deregulation allowed Enron executives...
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...Summary GlaxoSmithKline (GSK) is one of the main pharmaceutical and healthcare drug developer and manufacturer in the world. The product liability case with the British company, GSK includes the drugs Avandia, Paxil, Wellbutrin, and others (Thomas & Schmidt, 2012). The drug maker pleaded guilty and agreed to pay fines from the criminal charges in the case. GSK promoted its antidepressants for unapproved uses and failing to report safety data to the FDA on their diabetes drug. In addition, there are civil penalties within this case for improper marketing on six other drugs. The fines are the largest settlement within the pharmaceutical industry, totaling 3 billion (Thomas et al., 2012). There have not been any charges placed against personnel of GSK, at this time. However, GSK has agreed to withdraw bonuses from executives in their part of this illegal behavior. The claims in this case are improper practices during the 1990 to the mid 2000’s, came from former employees of GSK, which include the regional vice president and senior marketing manager (Thomas et al., 2012). The criminal and civil claims include the following: • Even though it was known the drug was linked to suicidal thoughts in teens, GSK promoted the use of Paxil to children. GSK misrepresented information on a clinical trial in a medical journal on the drug. • Wellbutrin was approved for depressive disorder; however, was promoted to use for off-label promotions of various products, “weight loss and...
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