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Sarbanes Oxley And Whistleblowing Research Paper

Whistle-Blowing and Sarbanes-Oxley The relevance of whistleblowers in an organizational setting cannot be overstated. As a matter of fact, whistleblowers have in the past helped bring about the much needed changes in organizations. They can, therefore, be referred to as guardians of public accountability. It is, however, important to note that whistleblowing does have its own unique challenges. This is particularly the case given that whistleblowers risk isolation, ridicule, loss of employment, etc. once they go public with certain information.

In essence, a whistleblower, in an organizational setting, is an employee or any officer or representative of the firm who lifts the lid on issues or undertakings within the firm that he or she deems illegal, dubious, or generally harmful to the interests of various stakeholders (Holt, 2007). In general terms, whistleblowers possess specific characteristics. To begin with, in addition to being brave, whistleblowers are typically morally upright. To lift the veil on organizational malpractices, an individual must be ready to face the repercussions of his or her actions, which could include, but are not limited to, losing their job, court action, or even physical harm. Whistle blowers permit their own beliefs and attitudes, as well as the general good to guide their actions and are largely utilitarian, i.e. take a specific course of action...

There have been many instances of whistle blowing in organizations in the past. Some of the most notable whistleblowers of the last century, according to Secunda (2009) include, but they are not limited to, Jeffrey Wigand (who blew the whistle on a tobacco maker's attempt to introduce a harmful element in its products) and Courtland Kelley who was allegedly fired from her position at General Motors after she spoke up about the company's refusal to address a faulty ignition switch issue.
One of the more recent cases of whistleblowing involves Pfizer. The company concerns itself with not only the manufacture and development of veterinary and human drugs, but also the marketing and promotion of the same. The whistleblower, John Kopchinski, a sales rep hired by Pfizer, exposed the company for a number of alleged marketing misdeeds that involved fraudulent promotion of one of its drugs by the name Bextra (Mattera, 2015). It was the lawsuit Kopchinski filed against Pfizer's tactics that sparked state and federal interest, eventually leading to both criminal and civil penalties to the tune of $2.3 billion. One of the key issues raised was that the drug significantly increased the risk of not only strokes, but also heart attack. An army veteran, Kopchinski was used to protecting the people in his previous engagement (i.e. the army)…

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References

Holt, M.F. (2007). The Sarbanes-Oxley Act: Costs, Benefits, and Business Impacts. Burlington, MA: Butterworth-Heinemann.

Mattera, P. (2015). Pfizer: Corporate Rap Sheet. Retrieved from http://www.corp-research.org/pfizer

Secunda, P.M. (2009). Retaliation and Whistleblowers: Proceedings of the New York University 60th Annual Conference on Labor. Frederick, MD: Kluwer Law International.
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