The Ethical Barometer

The Freeloading Downloaders File Suit Against a Cheating Detection Company for . . . Downloading Without Paying

There is a bit of a problem with students cheating in high school, in college, and now right on into graduate school – something that cannot be good for those of us counting on our doctors having memorized body parts and getting the multiple choice exam questions on tibia and fibula correct. We faculty face an uphill battle on cheating prevention and detection. However, we had found Turnitin, a software program that causes papers that have been lifted from or downloaded from the internet to light up like Christmas trees upon detecting those suspiciously similar passages from existing papers floating in cyberspace, including those featured on pay-to-get-your-term-paper sites. We had found a detective agency for ferreting out paper fraud. We fed 100,000 papers per day into the Turnitin data base. But, students from Fairfax County, Virginia and Tucson, Arizona protested mightily. You can’t download our papers and use them for free, they cried loudly with their iPods earbuds in place playing pirated music. So, the little darlings sued iParadigms, the LLC that developed Turnitin. Copyright infringement, cried they! Read more »

On Caring, Graciousness, and Apologies to Nancy Reagan

The late scholar, Robert Solomon, had a list of 33 admirable characteristics of those who are really trying to live the ethical way, or as it was known in days of yore, the examined life.  The list was published in his book, A Better Way To Think About Business.  Two of the qualities were “caring” and “graciousness.”  President-elect Obama, in his first news conference, was asked if he had spoken to the living presidents.  Mr. Obama laughed and joked with the press, “I didn’t want to get into a Nancy Reagan thing about, you know, doing seances.”  The press was giddy with a glee the Barometer heard even over the AM car radio.  Read more »

The Ethical Breaches of the 2008 Election

There were ethical lapses during the eternal 2006-2008 presidential election.  And those lapses were aplenty on both sides of the aisle. The Barometer does not grapple with ideology.  Reasonable minds can differ; this country was founded amidst passionate disagreement among the Philadelphia delegates.  However, a conflict is a conflict and truth is truth.  Breaches of ethics know no ideological bounds. But breaches of ethics sully the process.   The role of ethics is to keep the process pure.

In a democracy, the Fourth Estate plays the critical role of dissemination of information.  The Barometer is not sure the founders anticipated SNL and The Daily Show would play a critical role in elections, but, bless their hearts, they do disseminate information to those who do not read.   Still, their parody and satire may well be more accurate than the unsourced and anonymous source stories that became front-page stories in this election.  For the Fourth Estate: Write the truth and get the information to the public, but report via sources who are on the record.  Unsourced and anonymous source stories were a problem in this campaign.  The New York Times twice breached this simple ethical standard of journalism.  The first was the poorly sourced story on Senator McCain about Read more »

Beware the Golf Tournament

Ah, the tension between the need for “face time” and those ethics policies that prevent managers and employees from accepting “stuff” from vendors.  We’ve tried it all.  First, we put limits on gifts:  $25, $100.  The questions then sprung up: Is that face value?  Market value?  Then we tried the “No more than $200 per annum.”  From this approach sprung more questions and refinements, “Could I count this against my next annum?”  The response of confused “stuff” police was, “How many annums have you had this year?”  The new math on “stuff” soon drove us to “Nothing!” policies on “stuff.”  Nothing, and we mean nothing.  We even sent out cards at Thanksgiving, “Thank you for understanding we neither give nor accept gifts.  We wish you fine holidays.”  Translation:  Don’t even attempt “stuff.”  Where there’s a yearning for face time and a corresponding human need for stuff, the market finds a way. It found golf.  More precisely, it found the golf tournament. Read more »

Ferreting Out Fraud

The Association of Certified Fraud Examiners has given us some insight into uncovering fraud in companies.  First factoid:  Nearly one-half of the fraud cases were uncovered purely serendipitously.  Second factoid: Another 46% were uncovered by tips from employees.  So much for the heavy hand and success rate of SOX 404 requirements and internal controls.  The Barometer once again reminds all:  The single best source for uncovering financial fraud is your employees.  Put all your effort into tapping into their knowledge base. Work on getting what they know to those in your organization who can take action.  Protect those employees who throw down the flag.  Indeed, recognize and reward employees who do the right thing.  For more info on the insights of this new study go to www.asfe.org.  For more information on tapping into what those employees know and how they can help, see Marianne M. Jennings, “The Seven Signs of Ethical Collapse.”  

When Brad, Angelina, and Pop Culture Teach Us Ethical Lessons

During the filming of their movie, “Mr. and Mrs. Smith,” representatives of Angelina Jolie and Brad Pitt (the movie’s stars) denied that there was any romance, affair, or other activities untoward for the then married Mr. Pitt (his wife was Jennifer Aniston).  However, in an interview that appeared in the New York Times on October 19, 2008, Ms. Jolie indicated that she was looking forward to the time when the couple’s six children could watch “Mr. and Mrs. Smith” because, “Not a lot of people get to see a movie where their parents fell in love.”  Uh-oh.  We can’t keep a falsehood straight.  Truth does percolate.  Thanks to pop culture for a reminder of this principle through a vivid Entertainment Tonight moment.

You may have crossed a few ethical lines if you are driving drunk in the wee hours on your way to visit your mistress and child, all three being news to your spouse

Representative Vito J. Fossella (R) was convicted of drunk driving by a judge in Alexandria, Virginia.  Mr. Fossella, who is married and has three children, was pulled over after he ran a red light in the wee hours of the morning on Seminary Road (there is some irony here) in Alexandria.  Arresting officer Jamie Garrett indicated that Rep. Fossella’s eyes were bloodshot and his lips were stained red.  He had a blood alcohol content of 0.133 measured by a breathalyzer at the roadside arrest.  After his arrest, his BA level tested at 0.17.  The legal limit in Virginia is 0.08.   Publicity resulted in further investigation of the congressman.  He was on his way to visit his mistress and their child.  There had to be some tense conversations in the Fossella household that day.  Mr. Fossella has wisely abandoned his re-election bid.  The case was colorful.  Read more »

Classic Quotes:

“Following Felony Convictions, Alaska Senator Ted Stevens is ahead by 3,400 votes for re-election to U.S. Senate”

The Barometer can add no comment or commentary.

“We’ve got to give it to the man.”

Mikela Mercier, age 11, telling her mother that the $1,000 in $100 bills that she had just found tucked inside a Richard Simmons exercise video had to be turned into the Kailua-Kona, Hawaii Salvation Army store manager.  Her father said Mikela is just happy that the money will help the needy at Christmas.  In a world of CDOs, leverage, and $443,000 corporate retreats, hope springs eternal.  Mikela, we are beholden for your inspiration. 

“They’re not going to shoot us. It’s not Iraq. We might have to pay a fine and serve a little time in jail.”

Senator Ted Stevens to millionaire constituent Bill Allen who was cooperating (i.e., his phone was tapped) with the FBI in its investigation of Senator Stevens’ gifts from constituents. 

 


 

Ethical Dilemmas:

Froot Loops, Corn Pops, and the Wal-Mart Self Check-Out Lane

I was in the self check-out at Wal-Mart the other day — purchasing, among other items, some 2 for $5.00 cereal (Corn Pops and Froot Loops — very big in our household among teen boys). The scanner got the Froot Loops and charged me $2.50, but did not get the $2.50 for the Corn Pops. However, it allowed me to put both cereal boxes in the bags without setting off the usual. “UNEXPECTED ITEM IN CHECK-OUT AREA, DEVELOPING FELON IN LINE” loud voice that erupts when you bag but don’t scan.

I was in such a hurry (more…)

Using free water cups for free soda

The young men ordered their lunch at Taco Bell and were able to pay using coupons — there was a free lunch.  The late Studs Terkel perhaps did not know teens and coupons and their aversion to dignity.  The young men also asked for water cups — those cups fast food franchises give to customers who don’t want to spring for a beverage.  The young men then took the soda cups (about the size of religious sacrament cups) and filled them with free soda, several times over.  “So what?  Taco Bell’s rich!” was the response to the outraged Barometer.  Why should we care if others are able to beat the system?

Bonus for Voting Early and Often

A mother sent around her son’s e-mail cry for help, “If I can get 35 people to e-mail into the magazine that does the rankings, I get a $500 bonus.  All they have to do is send in an e-mail (preferably from a different computer each time and definitely using a different e-mail address) that says that they have used our company and how great their experience with us was.”  Mom explained that her son’s company was trying to keep its top standing in the magazine’s rankings of the businesses around the state and assured her recipients, “This worked last year, so help Todd out and send in your votes for his company.”

You receive the note from “mom,” but you wonder whether stuffing the ballot box is ethical.  You also have never used Todd’s company. ”Mom” responds to your concerns, “You know they are a good company.  But you don’t have to do this.  Just don’t report Todd or call and ask any questions.  Todd could get into trouble even though his supervisor never raised any objections to how they get the 35 votes.”  Evaluate Todd’s and “Mom’s” conduct.

The Legal Round-Up:

Governor Sarah Palin Cleared

Governor Sarah Palin was cleared by the Alaska Personnel Board of any ethical violations or abuse of power in her decision to fire the state’s public safety commissioner, Walt Monegan.  A previous legislative investigation concluded that Governor Palin had abused her power.  However, the testimony upon which that finding was based was categorically denied by statements and testimony given by several witnesses for the Personnel Board’s investigation.  Governor Palin had requested the Personnel Board investgation, which was onoing when the Alaska legislature began its investigation.  (more…)

Sentaor Ted Stevens Found Guilty on All 7 Counts

In deliberations that lasted about one-half day, a DC jury convicted Sentaor Ted Stevens of all 7 felony counts related to his failure to report expensive gifts, including everything from a barbecue to a steam room.  Senator Stevens needs to go.  However, based on the reception he received upon his return to Alaska, the Barometer predicts he will be re-elected.  What’s a felony here and there among friends?

Wall Street Tally

Three, count ‘em, three, U.S. Attorneys (Brooklyn, Manhattan, and New Jersey)are investigating Lehman Brothers.  Subpoenas are flying for e-mails that might contradict the public statements Lehman executives made in the days and weeks prior to its financial collapse and bankruptcy declaration.  Former Lehman executives (12, count ‘em, 12) who have received subpoenas include Robert S. Fuld, Jr. (former CEO), Joseph Gregory (former president), and Erin Callan (former CFO). 

Two former Bear Stearns managers, Ralph Cioffi and Matthew M. Tannin, were indicted in June for securities, mail, and wire fraud.  The Barometer will attempt to keep you posted as Wall Street unravels (in many different ways). 

Featured Books by Marianne Jennings

The Seven Signs of Ethical Collapse

Never trust the people you cheat with. They will throw you under the bus.

Not everyone has connected the dots on the patterns in ethical collapse. Ethical collapse is a state of moral malaise. Ethical collapse happens when organizations are unable to see the bright line betwee right and wrong. Now, there's help for keeping the line clear and bright - avoiding ethical collapse is possible. You just need to recognize the signs and get your antidotes in place.

A Business Tale: A Story of Ethics, Choices, Success

Meet Edgar P. Benchley. Charitable people tend to call him a nerd. Others use less subtle descriptions. If you hear Edgar chatting to himself, don't be alarmed. He has an invisible friend who's kind of a cousin to Harvey from the old movie of the same name with Jimmy Stewart. Edgar's rabbit, Ari, possesses many charms. Ari adores Aristotle and Peter Drucker, detests ambulance-chasing lawyers, is well versed in theories of moral development, and can't resist Godiva ice cream (Hey, even consciences have their weaknesses.)

A Business Tale is a delightful fable for all ages, including managers experienced and not so, that teaches that the seemingly high price we pay for honesty does bring tremendous payoffs in the long run. Includes "10 Pointers for Playing by the Rules" and a foreward by Dr. Laura Schlessinger.

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