An Overview Of Financial Management From The E-Activity, Examine

From the e-Activity, examine ethical behavior within firms in relation to financial management. Provide two (2) examples of companies that have been guilty of ethics-based malfeasance related to financial management and determine why their comeuppance was deserved.Ethics is about making the right decisions. Businesses that operate ethically can succeed. Among the expected behavior include abiding by the financial management laws and whistleblowing. However, there is often the temptation to act unethically, and the consequences by far out ways the benefits. An example is the Enron Corporation. The company’s top management knew that the company was performing poorly, and therefore compelled the employees to buy shares using their retirement benefits. The company a later collapsed and the top managers jailed. Another case was the HSBC bank money laundering scandal which involved the bank accepting to accept deposits from drug traffickers. During the scandal, the employees and the management turned a blind eye on the scandal. On discovery, HSBC was fined a huge fine apart from the compulsory structural change that the company had to go through (Naheem, 2015). ReferencesNaheem, M. A. (2015). HSBC Swiss bank accounts-AML compliance and money laundering implications. Journal of Financial Regulation and Compliance, 23(3), 285-297.From the