Exam 7: Blowing the Whistle

Internal whistle-blowing occurs when an employee discovers corporate misconduct within his or her organization and brings it to the attention of law enforcement agencies and/or the media.

Under the _____ Act of 2002, congress took an integrated approach to the matter of whistle-blowing by prohibiting retaliation against whistle-blowers and encouraging the act of whistle-blowing.

Sandra, an executive officer of a company, has collected reports which prove that the CEO has been misappropriating company and investor funds. She takes the matter public and issues a statement against the CEO. Sandra is an _____ whistle-blower.

Under the federal Civil False Claims Act, whistle-blowers who expose fraudulent behavior against the government are entitled to a maximum of _____ percent of the amount recovered.

An employee who discovers corporate misconduct and chooses to bring it to the attention of others is referred to as a(n) _____.

Under the federal Civil False Claims Act, whistle-blowers are referred to as "relators."

Alan, an employee at Urania Corp., finds a major discrepancy in the company's inventory list. Upon further investigation, he discovers that his department head has been tampering with the inventory data for personal profits. He immediately reports it to a higher authority within the organization with proof. In this scenario, Alan plays the role of an _____ whistle-blower.

External whistle-blowing occurs when an employee brings the misconduct of the organization-that he or she is employed by-to the attention of law enforcement officials.

The "Office of the Whistleblower" was created by the _____.

Under the Dodd-Frank Wall Street Reform and Protection Act of 2010, a whistle-blower is penalized stiffly for acting against the Commodity Futures Trading Commission.

The original reason for the enactment of the Civil False Claims Act was to:

The _____ Act of 1989 first addressed the issue of retaliation against federal employees who bring accusations of unethical behavior.

Whistle-blowers are often severely criticized since they have in some way breached the trust and loyalty they owe to their employers.

If an employee's personal value system prompts him or her to speak up about the misconduct of the organization he or she works for, the employee takes on the role of a whistle-blower.

In _____ whistle-blowing, an employee who discovers corporate misconduct brings it to the attention of law enforcement agencies and/or the media.

For a whistle-blower hotline to work, trust must be established between employees and their employer.

What is a whistle-blower hotline? How can an organization ensure that it is effective?

The Whistleblower Protection Act of 1989 introduced a new reward program for whistle-blowers who report securities law violations to the Securities and Exchange Commission (SEC) or the Commodity Futures Trading Commission (CFTC).

The Sarbanes-Oxley Act of 2002 not only prohibits retaliation against whistle-blowers but also encourages the act of whistle-blowing itself.

The False Claims Act of 1863 specifically protected whistle-blowers from retaliatory behavior.