Accounting Irregularities at Xerox cases
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Review SOX mandates, and determine what protections are currently in place to protect whistle-blowers. Take a position on whether more employees would be willing to blow the whistle on corporate misbehavior due to the provisions for whistle-blowers within SOX. Recommend at least two additional mandates and sanctions that would encourage employees to report unethical behavior. Support your position and list references
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Solution Summary
This solution discusses SOX mandates and current protections regarding whistle-blowers. This solution also makes recommendations for mandates and sanctions for unethical behavior. A thorough discussion is provided to address each section of the student's question.
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Whistle blower protection is covered by Section 806 of the Act. Section 806 makes it illegal for companies to demote, fire, harass, or treat an employee or manager differently in any way that is negative, as a result of being a whistle blower. The reason for this section is because of Enron - specifically. People saw how Ms. Watkins was treated after she blew the whistle, and there were fears that even though Enron was over, whistle blowers from other companies would suffer the same type of treatment. One of the problems is that it was discovered a few years back that companies didn't necessarily adhere to Section 806, and ...
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