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Government intervention in business
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The Department of Labor believed that Eileen Foster a whistleblower at Countrywide Financial was improperly terminated by Bank of America Corp. Foster was a vice president in charge of investigating fraud at Countrywide Financial who took her job seriously. A Countrywide employee in Boston contacted Eileen Foster with evidence of widespread loan fraud, foster investigated and confirmed the employee’s report and eventually shut down six Countrywide offices in Massachusetts. As a government investigator for this case, I feel that the employee did the right thing by contacting Foster (Fraedrich, Ferrell, & Jackson, 2011). I support the Department of Labor’s decision in Foster favor in October 2011. In this case, they tried to bribe Foster
with a gag order, which was a 14-page document for her to sign to shut her up. She was also offered $228,000 to shut up or be fired. She did the right thing by filing the complaint with the Department of Labor under the Sarbanes-Oxley whistleblowers Provision. This Act helped her to keep her job while she told of misconduct within the company. She was one of 1,500 whistleblowers that got a favorable response from the Department of Labor. Foster was featured on CBS News’ 60 minutes to tell her story (Eileen Foster, Countrywide and the Failure, 2012). Foster fought her batter with the Department of Labor for three years to clear her name, and establish that she and other employees were punished for doing the right thing. The United States Department of Labor ruled that Bank of America had illegally fired her as payback for exposing fraud and retaliation against whistleblowers. The bank was ordered to pay her $930,000, even though they denied Foster’s allegations and still stands behind its decision to fire her. Foster felt that because she followed protocol she was eliminated. According to Corporate Crime Reporter, she stated in an interview that “critics insist that a whistleblower is compelled to first report problems internally, supposedly to provide the corrupt company the chance to correct wrong doing” (Eileen Foster, Countrywide and the Failure, 2012). The muzzling of whistleblowers has played an important role in allowing corruption to flourish as lenders pumped up loan volume and profits, the code of silence at many lenders, former employees claim, helped discourage media, regulators, and policymakers from taking a hard look at illegal practices that ultimately harmed borrowers, investors and the economy. Advocates of whistleblowers believe that weak federal and state laws also help prevent finance industry workers from being heard. Hence the reason that Congress has passed tougher laws in the wake of financial crisis such as the Countrywide scandal (Hudson, 2011).
Under these circumstances, the court agreed that Summit had no reason to know or suspect that Kellar was working before her shift. Kellar’s wage payment claim under Indiana law was derivative of her FLSA claim, it failed for the same reasons. Thus, the Seventh Circuit affirmed summary judgment on both claims in Summit’s favor.
1. As the person, responsible for labor relations at Barrera Recycling Company, articulate a case to support your contention that there was just cause for the discharge of Erin McNamara.
First of all, they will not be able to buy tangible properties such as house, car and etc. because of that their credit ratings got a huge hit. Moreover, only 5,300 of the employees that were fired from the Bank, 10% were Managers. What could have motivated them to engage in this sham? This is not an attempt to imply all were of malicious but certainly most them led the way. The aggressive sales goals pushed employees to break the rules. “On average one percent 1 percent of employees have not done the right thing, and we terminated them. I don’t want them here if they don’t represent the culture of the company,” says John Stumpf, the company’s longtime chief executive, in an interview with The Washington Post. It is obvious that simple employees and managers could not break the law if someone from the top did not allow them to do so. But the executive board of Wells Fargo claimed that they only fired 1 percent of below employees and some managers for fraudulent accounts, however they also might be involved in that business crime although to build a case against a company executive, prosecutors would have to show “they knew there was a plan to create false accounts to drive up sales,” said Brandon L. Garret, a professor at the University of Virginia School of Law. Even if it appears that the executive purposefully attempted to avoid knowing about the fraud, prosecutors may be able to build a case. Because they don’t have to participate if there is willful
Reading through the very beginning of Susan Griffin’s “Our Secret” felt like reading Shakespeare for the first time as a sticky fingered, toothless, second grader. It just did not make sense...my mind couldn’t quite comprehend it yet. Nothing in the essay seemed to be going in any clear direction, and the different themes in each of the paragraphs did not make sense to me. There was no flow – as soon as you began to comprehend and get used to one subject, she would switch it up on you and start talking about something else that seemed unrelated. As I pushed forward, it seriously was beginning to feel like she was drawing topics out of a hat as she went. That was until I hit around halfway through the second page. This is where Griffin introduces her third paragraph about cell biology: “Through the pores of the nuclear membrane a steady stream of ribonucleic acid, RNA, the basic material from which the cell is made, flows out (234).” She was talking about the basic unit of
It took for the losing in the case with two Bear Stearns hedge fund managers for the government to realize that there was a problem within their justice system. If they couldn’t take down two people accused of deceiving investors, how did they assume that they would be able to take down numerous high-end executives within Wall Street? So in fall 2009, over a year after the initial hit of the financial crisis, Obama introduced the Financial Fraud Enforcement Task to oversee prosecution for fraud and financial crime a week before the hearing to discuss ’08 financial crisis prosecution. With such a department now put in place, the government believed they could go back and review the “fraud” that took place within Wall Street years before and place a blame somewhere, revealing another flaw of the US government and justice system. The government wasn’t taking the cases as serious as they should have. They weren’t finding ways to filter through Due Diligence underwriters and they weren’t calling forth whistleblowers. They were losing the case before it could even
Farflex. (2008, n/a n/a). The Free Dictionary. Retrieved June 16, 2008, from The Free Dictionary: http://www.thefreedictionary.com/austerity
Last June in 2001, a 37-year-old lady by the name of Andrea Yates, was arrested for killing her five children. Most people like me would agree that she was sane, and the death penalty would have been the right punishment for Mrs. Andrea Yates.
The Sarbanes-Oxley Act was drafted to encourage and protect whistleblowers from retaliation after the fraud scandal that cause the collapse of Enron in 2001. In a 2010 Senate Report found that “external auditors detected only 4.1 percent of uncovered fraud schemes, “whistleblower tips detected 54.1% of uncovered fraud schemes in public companies” and were thirteen times more effective than external audits” (Turpan, 2016). Whistleblowers serve an important service to the public and are more effective than external audits. The CFAA has been used to by employers to retaliate against employees who act as informants for agencies like Internal Revenue Service or Security Exchange Commission to expose fraud. There employees, not to their financial gain, gather information as evidence of fraud by the company. With a broad interpretation of CFAA, the employee would "exceed their authority" and was "unauthorized" to access the information, therefore allowing the company to hide their illegal
Center stage in Kaye Gibbons’ inspiring bildungsroman, Ellen Foster, is the spunky heroine Ellen Foster. At the start of the novel, Ellen is a fiery nine-year old girl. Her whole life, especially the three years depicted in Ellen Foster, Ellen is exposed to death, neglect, hunger and emotional and physical abuse. Despite the atrocities surrounding her, Ellen asks for nothing more than to find a “new mama” to love her. She avoids facing the harsh reality of strangers and her own family’s cruelty towards her by using different forms of escapism. Thrice Ellen is exposed to death (Gibbons 27). Each time, Ellen has a conversation with a magician to cope with the trauma (Gibbons 22-145). Many times Ellen’s actions and words cause it to be difficult to tell that she is still a child. However, in order to distract herself, Ellen will play meaningful games (Gibbons 26). These games become a fulcrum for Ellen’s inner child to express itself. Frequently, Ellen will lapse into a daydream (Gibbons 67). Usually, these daydreams are meant to protect herself from the harsh reality around her. Ellen Foster’s unique use of escapism resounds as the theme of Kaye Gibbon’s Ellen Foster.
In the story Ellen Foster, Ellen was a great example of a dynamic character. Ellen had a very tough life. Ellen’s life was like a rollercoaster going up and down dramatically not knowing what was going to happen next. Ellen was a racist child at the beginning but changes her opinion after going through many challenges throughout the story.
The majority of families were once considered perfect. The father went to work everyday, while the mother stayed at home and cared for her two children, “Henry” and “Sue”. The children never fought and the parents were involved in all the community events. Our society has grown to accept that there is no such thing as a perfect family. Eleven-year-old Ellen from the book Ellen Foster, by Kaye Gibbons, grows up in a household where her father is an abusive alcoholic and her mother is too sick to complete everyday tasks. By using her positive assets, and learning from her negative assets, Ellen was able to overcome a lot of challenges throughout the book.
The CFO, Andrew Fastow, systematically falsified there earnings by moving company losses off book and only reporting earnings, which led to Enron’s bankruptcy. Any safeguards or mechanisms that were in place to catch unethical behavior were thrown out the window when the corporate culture became a situation where every person was looking out for their own best interests. There were a select few employees that tried to get in front of the unethical accounting practices, but they were pushed aside and silenced. The corporate culture at Enron became a place where if an employee would not make unethical decisions then they would be terminated and the next person that would make those unethical decisions would replace them. Enron executives had no conscience or they would have cared for the people they ended up hurting. At one time, Enron probably was a growing company that had potential to make a difference, but because their lack of social responsibility and their excessive greed the company became known for the negative affects it had on society rather than the potential positive ones it could have had. Enron’s coercive power created fear amongst the employees, which created a corporate culture that drove everyone to make unethical decisions and eventually led to the downfall and bankruptcy of
In the same study “quantitative and qualitative analyses are conducted of 33 cases of internal and external whistleblowers wrongfully fired for reporting wrongdoing” found that “The choice of internal versus external channels may vary depending on the employee's level of education, training, or skills (Terry).” They found “highly skilled or educated employees likely rely on internal reporting channels, while less educated employees often select external channels (Miceli and Near, 1992, 1984) (Terry).” Also “highly educated or skilled employees often have greater knowledge of where to report wrongdoing, including possible alternative reporting channels within
At the age of ten, most children are dependent on their parents for everything in their lives needing a great deal of attention and care. However, Ellen, the main character and protagonist of the novel Ellen Foster, exemplifies a substantial amount of independence and mature, rational thought as a ten-year-old girl. The recent death of her mother sends her on a quest for the ideal family, or anywhere her father, who had shown apathy to both she and her fragile mother, was not. Kaye Gibbons’ use of simple diction, unmarked dialogue, and a unique story structure in her first novel, Ellen Foster, allows the reader to explore the emotions and thoughts of this heroic, ten-year-old girl modeled after Gibbons’ own experiences as a young girl.