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Ethics in Organizations: On Witnessing a Fraud - Essay Example

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In the paper “Ethics in Organizations: On Witnessing a Fraud” the author discusses two ethical problems in this case. Joe’s Supervisor is asking him to commit fraud and the other issue is subtle bribery as a reward for cooperation. …
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Ethics in Organizations: On Witnessing a Fraud

Download file to see previous pages... That should he cooperate, the new computer which he has been asking for will be installed and if worse comes to worst, it is the company who will be liable, not him. The bribe was offered as a reward for fraud which in the first place, the plan to install a new computer was part of Joe’s job. Though not stated in the problem, that requested new computer might be to improve the system of the club as such should not be used as a reward because it was not requested for Joe’s personal benefit.
 Stage 2. As mentioned above, Joe will be awarded the installation of the new computer he previously requested if he acceded to the “request” of his supervisor and as a “reward for his good behavior.”
Stage 3. With how the “request” to dig up nearly all of the underground cable to have a repair job that would come to $600,000, it seems that it is has been the norm to make the most of the insurance coverage as it was delivered casually, even without pausing to ponder that it is fraud.
 Stage 4. Joe was forthright that he does not want to do it saying “wow, I don’t think that is something I want to do”. And though persuaded by his superiors to cooperate and coerced when he refused, he replied “I’m sorry, it’s fraud, and I refuse to be a part of it.
 Stage 5. In this case, Joe may have a social contract to his employer to work for them to serve the end goal of the company. But this was placed at a crossroad when he was asked to commit fraud where Joe is not acceding as he is unwilling to commit fraud.
 Stage 6. Honesty is a universal principle that is honored by all societies and is not bound by time or cultural context. And fraud is fraud no matter how it is being rationalized. In this case, Joe refused to be a part of it.
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