Ethical and unethical aspects of the accounting activities
Within the WorldCom case, it became evident that there were multiple unethical actions and decisions made by many individuals. The unethical actions began with the upper management of WorldCom when they falsie booked line rental expenses. The unethical actions continued to the accounting department when they recorded inaccurate entries without any reason or backup. The last unethical aspect occurred when Scott Sullivan and management attempted to cover up the falsified accounts while discouraging Cynthia Cooper’s investigation.
The ethical aspect came from Cynthia Cooper and her team. Determined to find the truth, Cynthia did not get discouraged when she was not getting the necessary answers. She interviewed every person involved in the case internally and externally. Cynthia demanded explanations for every action and decision that occurred by every member of the WorldCom case. Even when Cynthia was told to drop the investigation, she remained ethical and honest until the truth came out for the public to see.
Key Individuals in the WorldCom Case
Betty Vinson and Troy Normand
Two of the key individuals from WorldCom’s accounting department were Betty Vinson, the accounting director, and Troy Normand, the mid-level accounting director. Both Vinson and Normand made unethical decisions that led to the events of the WorldCom case. Betty Vinson was a key individual who entered some of the falsified amounts into the prepaid capacity accounts. However, when asked by Cynthia Cooper for support or reasoning on why the recorded amounts occurred, Vinson had no answer. In fact, Vinson admitted not knowing what the entries were for and had no support either (Mintz & Morris, 2011).
Troy Normand did not partake in the recording of the falsified accounts, yet he still acted in an unethical manner that affected the company. Normand admitted to observing Scott Sullivan manipulating the “rainy-day” line-cost...