Many people have heard of major scams committed by Elizabeth Holmes and Anna Sorokin. Have you ever thought of how these two young women compare? Both of these young women were trying to be young millionaires and got caught up in the power. After getting caught defrauding many people including friends, investors, and the government; these ladies were put to a stop. However, their stories are different, their outcome was the same. Both Elizabeth Holmes and Anna Sorokin broke the principle of honesty. Both women went out of their way to scam many people out of millions of dollars, just trying to make a dollar. Holmes broke the principle of honesty by falsely persuading many investors with her invention. She would bring in a couple of potential …show more content…
After the test was run the investors would come back and read the test results from what they thought was the Theranos. Holmes went on to tell patients, investors, and employees false. results knowing, she was wrong. She had all her employees sign multiple documents stating they would not talk disrespectfully about the company, or they would be sued. After several employees stood up and voiced their opinions, a Wall Street Journal reporter published about her false statements regarding her blood test. Holmes took it upon herself to lie on national news sites about the false accusations from the Wall Street Journal. Assuming Elizabeth Holmes had no bad intentions with her company, Theranos, she could’ve avoided losing millions of dollars and prison time. Edison said, “I will not say I failed 1,000 times, I will say that I discovered there are 1,000 ways that can cause failure.” Elizabeth Holmes stated that quote during her documentary, yet after failing one time with the blood results, she gave up and ran through the normal lab tests. These stories …show more content…
The Moral Hazard Theory is where the behavior of one party may change after the transaction has taken place. Holmes seems very honest and acted as if she knew how to run these machines and get the correct results. However, after the investors signed with her, she would use their money and still hand out false results. The same with Sorokin, she convinced the hotel staff that she was waiting on the paperwork for her trust fund and then she could pay them back. However, after the hotel staff let her stay for several months, she decided there was no point in paying them back. Both women could have been extremely successful if they would have changed just a few simple things. If Holmes would have taken the time to listen to her engineers' plans when they discussed making the “box” bigger to fit the necessary equipment, she would have gotten more accurate test results. Holmes could have also listened to her professor from Stanford University when she told her that her small invention would not work. She could have taken the information from her engineers and professors to perfect the small machine and she might’ve received accurate results. Holmes also could’ve come forth to the public about the inaccuracy of her machine and tried to fix it instead of scamming more investors for money. Elizabeth could have handled this situation completely different and could still be making money; however, she is now serving
They were promised free medical care, and told they were being treated for "bad blood" (Kronenwetter, 2023). The scientists lied to their participants and told them they were being treated for a disease they didn’t even have. They manipulated them by telling the participants that they would get free medical care after participating in the study. The participants did not know they will be given the syphilis disease.
When CliftonLarsonAllen saw the invoices, they did not see the edits Rita had created. For instance, there was no logo on the invoice, and there were some misspellings. The auditors from the CPA firm did not catch the fraudulent activities Rita engaged
Doctors thought, since patients were receiving quality treatment they thought it was okay to experiment on them in return. The doctors at Hopkins took advantage of their patients because they knew they were uneducated and they wanted to advance their personal
Once Dr. Davis looked at the chart and realized that the patient came about 15 times the last month and was a frequent flier, many thoughts occurred to him. When he thought to himself, “So now, despite my suspicions, I could not say with 100% certainty that Thomas was faking in order to get the drugs.” , I was surprised and intrigued because that was not the first thing I would think of after finding out that patient was a frequent flier (Davis 27-28). Some questions that he thought was what if the patient was faking his illness to get more drugs? If so, how would it be proved?
Even when the toxicology tests conducted by the medical examiner revealed that Diane was heavily intoxicated with both alcohol and
For such reason, Southam soon was meet with opposition by others in the medical field. Three doctors refused to help Southam continue his experiments because of the unethical way in which the studies were being performed. Eventually, Southam’s unethical experiments were exposed and his license was suspended for a year. The researcher then became president of American Association for Cancer Research. However, because of the fact that Southam’s unethical practice had been exposed The National Institutes of Health (NIH) realized that few of the researchers they funded used no informed consent.
In the context of medical research, informed consent provides individuals with the opportunity to accept or decline involvement in research, and thereby adheres to their right to choose. Obtaining consent from donors is not limited to simply seeking permission, but involves explaining the nature and consequences of research in an honest and understandable manner. When this aspect of informed consent is ignored, unethical research ensues. For example, during the infamous Tuskegee Syphilis Experiments, US Public Health researchers studied the progression of syphilis in African American men, under the false pretense of curing their “bad blood”. Though a treatment of penicillin was available at the time, researchers idly observed as subjects died painful, preventable deaths.
In fact, the men were not provided enough information to properly consent to the experiment. Even when the cure for syphilis was discovered in 1947, researchers did not offer the medication to their subjects. Consequently, researchers abused their powers by recruiting test subjects that were unaware of the real purpose of their study. In this scenario, the medical knowledge of the researchers gave them power and an unjust advantage over their ignorant subjects. Researchers proved their corruption when this study, originally projected to last only 6 months, lasted instead for 40
The reports never made mention of the freedom of the subjects to refuse taking part in the research which proves that the researchers are guilty of fooling these
But unfortunately, the experiment was also never clearly explained to them, they had thought it was just the best possible treatment expected to cure the sickness they might have had. Many unethical practices were evident in this study, in this case, the most important one was informed consent, which is a consent given by a patient to a doctor for treatment with full knowledge of the possible risks and benefits. None of the participants in the Tuskegee study
On the other hand, the baker could have wanted to buy a suit with that $250 but now has to spend that money to repair the broken window. Now
Second, the multiple tests were not possible as FDA approved one test, herpes, with Edison, which did not need FDA approval as it is not for marketing purposes (2). Lastly, Holmes’ big plan was to increase accessibility of the blood testing centers. But, it could not happen as Walgreens dropped the partnership after Theranos was under investigation by FDA and received warning letters and complaints(3). Hopefully one day, the nanotainer gets used the way Holmes
Executive Summary Lehman Brothers were an investment bank involved in transactions worth billions of dollars and one of the most powerful investment banks in the world. Lehman Brothers collapsed in 2008 following bad investment in the sub-prime mortgage market and used bad accounting practices called Repo 105 transactions to try and cover up the bad assets. This report sets out the use of the fraud triangle when describing the actions which led to the collapse. The pressure applied on the bank, the opportunity due to the lack of regulation to carry out the actions and the ability of the bank to rationalise their decision making.
In this Enron Scandal ,several moral issues and values are being discussed .The moral issues is the misconduct of code of ethics by management level of a corporation , violation of code of professional ,ethical dilemma that faced by a management level when involved own interest . The first moral issues that discussed in Enron Scandal is misconduct code of ethics by management level of a corporation .In this case ,the mastermind of this scandal is the company CEO , Mr .
This three element fraud is often referred as a fraud triangle by the researchers (Cohen, Ding, Lesage & Stolowy, 2010, p. 276). On the other hand the theory of planned behavior focuses on the intentions behind the planned behavior. Ajzen (1991, p. 188) explains this as “attitude toward the behavior… refers to the degree to which a person has a favorable or unfavorable evaluation or appraisal of the behavior in question”. Cohen, Ding, Lesage & Stolowy (2010) have combined the fraud triangle and theory of planned behavior to understand that how the two theories can be collectively studied to find out the reasons behind the unethical activities that results in corporate frauds. Cohen, Ding, Lesage & Stolowy (2010) in their work studied various organizations including WorldCom and identified following: • WorldCom’s management had an excessive interest in maintaining the entity’s stock price and earning trends (p. 287).