Discussion Question Whistleblowers

Use the internet or the library to research individuals who reported their employers’ illegal and/or unethical behavior. What effects have laws protecting whistleblowers had on the business environment? Did the companies change their policies and, if so, what effect have these policies had on the companies’ stakeholders? What effect did reporting the problems have on the whistleblowers themselves?

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Whistleblowers are known to report the illegal actions of their employers. For example, Sherron Watkins is widely known having reported the financial irregularities on Ken Lay, a former CEO of Enron Corporation (Shawver, 2011). The accusations by Watkins revealed false financial statements and wire fraud the institution which led to a scandal at Enron Corporation and its ultimate bankruptcy. Notably, whistleblowers are protected by laws including the False Claim act that was first formulated in 1863 (Shawver, 2011).

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