Research Daily news
Bernie Madoff's Ponzy Scheme
Contemporary Organization Ethics
Modern Business Ethics
Contemporary Business Ethics
Summer 16, 2012
Table of Contents
Moral issues involvedвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦.. 3 Relevant factsвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦. 4 Fairness to any or all concernedвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦5 Impact on societyвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦5 Impact to related industriesвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦. 6 Impact for the stakeholdersвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦... several Impact towards the employeesвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦.. eight Industry imageвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦.. 8 Federal guidelinesвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦. 9 Personal conscious if linked to a similar situationвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦.. 10 ReferencesвЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦вЂ¦11
Ethical problems involved
Bernie Madoff superficially demonstrated contradicting immoral personality and virtuous ethical principles, causing widespread loss of monetary assets to credulous patients. As such this individual gained these kinds of a good reputation in the marketplace that many of his buyers had all their life savings invested with him. Once clients expected to money in their opportunities, he would simply pay existing clients with new customers' money. Because of this, some of Madoff's investors had been divested of their entire life savings. Bernie Madoff failed to obey the regulations that are considered the minimum code of carry out to which society has decided to respect. " Breaking laws means smashing the social deal to which this individual agreed in becoming a member of societyвЂќ. In turn this means that society gets the right to reprimand him by simply revoking the rights granted by it.
If we were to apply utilitarianism theory Madoff did not promote a behavior that maximizes the very best for the stakeholders. His need for self-interest superseded the best interests of most other users of society. Indeed, many could argue that he proven classic sociopathic tendencies.
вЂў This individual promised substantial returns towards the clients despite economic recession. вЂў Fund approaches were to acquire securities from large and credible corporations with low risk together with the promise an excellent source of returns and secure theory. вЂў He never spent the money. It was deposited instead into his business accounts at Pursuit Manhattan lender. вЂў Bernard Madoff seated on the plank of administrators of the industry security affiliation. вЂў In December 2008, Madoff's daughters informed the federal specialists after this individual confessed to them the fact that investment was obviously a Ponzi system. вЂў In March 2009, he pleaded guilty to 11 felonies.
вЂў In Summer 11, 2009 Madoff was sentenced to maximum sentence in your essay of one hundred and fifty years in prison. вЂў SEC was scrutinized because of not investigating, in spite of complaints from Markopoulos and more. вЂў Scale loss to investors between $12 and $50 billion dollars
Fairness for all concerned
Bernie Madoff may be the world record holder to get a Ponzi system. He took over 50 dollars billion professing he had spent clients' money. Many investors lost all their entire life personal savings and that ruined all their lives. Regardless if he may be sentenced with capital punishment his fatality wouldn't amply punishment to get the damage he has caused for the stakeholders. Furthermore, the nonprofit organizations had been compelled to end their procedures. Hence, they are no longer able to contribute to the world. Life in prison and even capital consequence sometimes will not meet simply requirements. In extreme instances such as this, exactly where societal destruction occurs and reoccurs on multiple levels, affecting equally individuals and corporations, because of the acts of 1 immoral person, the rights system will need to deliver punishment in the swiftest and most thorough manner possible.
Impact on contemporary society
Besides a lot of people and businesses being affected by Madoff's Ponzi plan, there are different affected teams which are not directly involved possibly by...