2013 Ethics Challenge

REPORTING CONCERNS

100

CIO President & CEO Director of Human Resources Supervisor Hotline

Where to report a corporate integrity concern.

200

1. You will be treated with dignity and respect. 2. Your communication will be proteted to the greatest extent possible. 3. Your concerns will be seriously addressed. 4. When accessing the corporate integrity website, yhou need not identify yourself.

What happens when you report a concern?

300

1. "Well, maybe just this once..." 2. "What's in it for me?" 3. "We can hide it."

Warning signs that a corporate integrity violation may be about to happen.

400

1. Are my actions legal? 2. Am I being fair and honest? 3. Will my actions stand the test of time? 4. How will I feel about myself afterwards? 5. Will I sleep soundly tonight? 6. What would I tell my child to do?

Questions to ask if in doubt about the right thing to do.

500

Protection for those reporting concerns in good faith.

What is non-retaliation and non-retribution?

CORPORATE CORRUPTION

100

This company's bankruptcy after allegations of massive accounting fraud, wiped out $78 billion in stock market value and led to the collapse of one of the "Big 7" US accounting firms and passage of the Sarbanes-Oxley Act. The former CEO is serving a 24 year prison sentence.

What is Enron?

200

This company, with $600 billion in assets, failed in 2008. It was the largest bankruptcy in history and a spark to the worldwide financial crisis and questionable practices by this firm's auditor, Ernst & Young.

What is Lehman Brothers?

300

This organization paid the SEC $400 million in 2006 to settle charges of misstating financial statements from 1998 through 2004. In December 2011 the SEc brought a civil suite charging 3 former top executives with securities fraud about the extent of higher-risk mortage loans held.

What is Fannie Mae?

400

This company, led by former Goldman Sachs Chairman and a former New Jersey Senator had $41 billion in assets before failing in October 2011, the 8th largest US bankruptcy. In 2012, $1.6 billion in customer assets were still missing and no SEC of DOJ charges had been filed.

What is MF Global?

500

This company's stock traded as high as $64 in 2000 before plummeting in 2002 to less than $1 because of a multi-year accounting fraud prompted by a whistleblower. Investors were paid pennies on the dollar.

What is Qwest Comm?

SCENARIOS

100

In a department meeting, your supervisor takes credit for some excellent work done by an associate who is absent? What do you do? A. Put the word out to as to who really did the work B. Seek a private meeting with the supervisor to make sure the associate gets proper credit. C. During an informal conversation with "the big boss", let it slip that your colleague did not get the credit deserved on a recent project. D. Inform your colleague as to what took place and let him take whatever action he/she desires.

D. This approach is fair to everyone and, in the long run, the best. After all, are you sure you know all the facts about who contributed to the work? It was your colleague who was "injured" - not you- so only he/she knows how serious the matter is.