In: Accounting
This video-based ethics case is titled "Trading
Places." Managers are regularly exposed to nonpublic company
information but not all managers choose to use nonpublic
information for personal gain. This case explores the experiences
of a day trader who was a member of a 17-year insider trading ring
that resulted in profits in excess of $37 million. We will use this
case as a source of a comprehensive and extensive discussion this
week.
Please access the e-case by following these
instructions. Student Access Instructions The instructions include
one username and one password to be used by the entire
class.
Once you have logged in, view the case titled "Trading
Places." When you have finished reviewing the videos, please
respond to the questions posted below. Please note that this
discussion is worth 50 points so I hope to see some serious thought
and constructive ideas communicated in your posts. There is a great
deal of opportunity for an excellent discussion this week, and I
look forward to reading your ideas.
Decision making is a critical skill for today’s
manager. In your opinion, what factors impacted Garrett’s decision
to commit fraud? If you were Garrett, how would you have
responded?
Do you believe that Ken Robinson, Garrett’s friend,
violated their friendship by wearing a wiring and implicating
Garrett in the scheme?
Do you think regulation can deter insider trading? Why
or why not?
Do you think Garrett’s loyalty to his friend (Ken
Robinson) was the driving force behind his decision to commit
insider trading?
If you were faced with the same opportunities as
Mathew Kluger by having access to confidential information, would
you engage in insider trading?