WHISTLE BLOWING Group 01 Name Roll No. Sameer Ashar 03 Ravindra Chhangani 11 Ramesh Mallya 30 Vipul Bhandari 62

SCOPE OF PRESENTATION Concept of Whistle blowing How & When - To do Whistle blowing Whistle blowing is beneficial or not Laws of Whistle blowing Companies adopted policy Case Studies

What is Whistle blowing? Whistle blowing in its most general form involves calling(public) attention to wrong doing, typically in order to avert harm Whistle blowing is an attempt by a member or former member of an organization to disclose wrong doing in or by the organization Who is Whistleblower? A whistleblower is an employee, former employee, or member of an organization, especially a business or government agency, who reports misconduct to people or entities that have the power and presumed willingness to take corrective action.

Types of Whistle blowing Internal Personal External Internal Whistle blowing is made to someone within the organization Personal Whistle blowing is blowing the whistle on the offender, here the charge is not against the organization or system but against one individual External whistle blower is complaint is made to an outside body, like newspaper and other forms of media

How to Whistle blow? Do it anonymously Collect any hard evidence Work through internal channels Work through external channels

When to Whistle blow? Consult with independent observer If matter is material and Misleading to company in a harmful manner Utilize formal appeals mechanisms-before consulting superiors If superior is involved, notify people in responsible positions including the board of directors If internal appeals fail, what's next? Consult with independent outside observers whether harmful consequence can be prevented or stopped. Public awareness (if only way to stop the problem)

Point of view People’s 1. Need for truth 2. Better relation between the public and company Company’s 1. Accuses whistle blowers of breaching confidentiality agreement. 2. Can view whistle blowing as an act towards money and fame Whistleblower's 1. Caught up between integrity, commitment and truth. 2. The consequences of the blowing the whistle are pretty immense and heavy

Protection laws Whistleblower protection refers to laws and regulation that offers protection who exposes wrongdoing and dishonest activities. The wrongdoing may take the form of fraud, corruption or mismanagement. Also, it offers punishment against false complaints.

Whistleblowing policy in India 2003: Narayan Murthy pressed for whistleblowing policy for corporate governance standard in India 2010: ‘Public Interest disclosure and protection to person disclosing bill tabled’ in Loksabha 2011: Bill passed in Loksabha after getting consent from cabinet 2014: Bill passed in Rajyasabha May 9th, 2014: Bill got consent from President The Act has not come into force till now

Whistle blowing Policy implemented by Indian companies Wipro: employees are encouraged to report any conduct that results in violation of the company's code of business conduct and ethics Tata motors: A mechanism to approach the Ethics Counsellor/ Chairman of the Audit Committee Steel Authority of India Limited: Follows the Whistle Blower Policy of Central Vigilance Commission (CVC)

Advantages Disadvantages Whistle blowing leads to good results Diminishes Trust in the Workplace Severe damage to the environment has been stopped by the actions Can Negatively Affect Your Career The actions of whistle blowers are potentially beneficial to society Can Destroy the Company Risk to Personal Safety

Case 1: Satyanendra Dubey An IITian and Indian Engineering Services (IES) officer Project Director in the (NHAI) at Koderma, Jharkhand Exposed  corruption in the Golden Quadrilateral highway construction project Exposed large-scale flouting of NHAI rules regarding sub-contracting and quality control Assassinated on 27 November 2003 This case ignited tremendous public hue and cry

Case 2: Shanmughan Manjunath An IIM, Lucknow graduate A manager (grade A officer) for the Indian Oil Corporation (IOC) Ordered two petrol pumps at Lakhimpur Kheri  sealed for selling adultered fuel When the pump started operating again he conducted a surprise raid Murdered on 19 November 2005 A pan IIM initiative, "The Manjunath Shanmugam Trust" registered

Case 3: Dinesh Thakur A former director of project and information management at Ranbaxy Exposed company falsifying drug data and violating good management practices Ranbaxy pleaded guilty to charges related to the manufacture and distribution of certain adulterated drugs May 2013: Ranbaxy fined for 500 bn USD Dinesh Thakur awarded with 50bn USD: Civil settlement lawsuit under the qui tam, or whistleblower, provisions of the False Claims Act:

Conclusion “Too see wrong and not to expose it, is to become a silent partner to its continuance”. - “Dr. John Raymond“ Whistle-blowing is a moral obligation and the deeper interests of the professional, morality Whistle blowing is the right decision depends on its outcome Whistle blowing is an issue received public attention and systematic study Need to have a well-developed theoretical framework to support it To save the interest of all stakeholders and no more person's loss their lives, a strong whistle blowing policy is need of an hour

Thank You Keep Whistling