ETHICAL AND UNETHICAL PRACTICES BY INFOSYS

Ethical and unethical practices by various companies (INFOSYS CASE)

Ethical values provide the moral compass by which we live our lives make decisions (doing the right thing because it is right to do ) it improves our morale and reduces the risk that may arise from unethical practices .

Following are a few ethical business practices that should be followed to build an honest reputation and ensure smooth running of the organization :
1. Investors: Ensuring safety of their money and timely payment of interest.

2.Employees: Provision of fair opportunities in promotions and training, good working conditions, and timely payment of salaries.

3.Customer: Complete information of the service and product should be made available. Personal information of the customers should not be used for personal gain.

4.Competition: Unscrupulous tactics and methods should be avoided while handling competitors.

5.Government: Rules and regulations regarding taxes, duties, restrictive and monopolistic trade practices, and unlawful activities like corruption and bribing should be adhered to






On the other hand unethical practice  is an action that falls outside of what is considered morally right or proper for a person, a profession or an industry. Individuals can behave unethically, as can businesses, professionals and politicians.

Few examples of unethical practices are :

1. distortion of facts to mislead or confuse 
2. manipulating people emotionally by exploiting their vulnerabilities 
3.greed to amass excessive profit 
4.avoiding fines or penalty for unlawful acts 
5.harming the environment 
6.sexual discrimination
7.creation of false document to show excessive profit 
and many more .................

Now i am going to discuss about the unethical practice by the very famous company that is INFOSYS this is according to the latest news published in various newspapers 



Unethical practices Infosys CEO:

For Infosys, India's second largest IT services company the woes causes by whistle blowers just dont seem to end.

In its latest missive , ethical employees a whistle blower group has allegedly
complained to the U.S. Securities and Exchange Commission (SEC) and the Infosys' board that CEO Salil Parekh was indulging in “unethical practices” to boost short-term revenue and profit.

The e-mail to the board and the SEC is dated September 20, 2019, while another e-mail dated October 3, 2019, had been sent to the U.S. Labour Department's Office of the Whistleblower Protection Program enclosing "documentary evidence" voice recordings on several allegations made in the earlier e-mail. "We have not sent to the company as our identity would be revealed' " the e-mail to the U.S. Labour Office said.


The complaint alleges that Mr. Parekh bypassed reviews and approvals for large deals. First reported by a financial newspaper, the complaint alleges that Mr. Parekh directed his key employees to make "assumptions" to show margins.

 

It also claims that the CFO was complicit in the wrongdoing. It alleged that several billion-dollar deals in the last few quarters had a nil margin and asked the company to get deal proposals, margins, undisclosed up-front commitments and revenue recognition checked by auditors.

The whistleblowers’ allegations talks about how the complainants were asked to not fully recognize visa costs in the quarter and were pressurised into not immediately recognising $50 million in reversals in a contract.

It alleged that Mr. Parekh as well as chief financial officer Nilanjan Roy were pressuring the finance team to show more profit in their treasury management by taking risks and making changes to policies.

Previously, in 2017 and 2018, a whistleblower had raised questions about corporate governance issues at the firm

After several developments, the then Infosys CEO Vishal Sikka had to step down from office.