“You might one day need to be a whistle-blower. Be
forewarned: Your personal and professional lives will suffer”, shares Patricia
Patrick, PHD, CFE, CPA, CGFM in her article with www.fraud-magazine.com, "Be Prepared
Before You Blow the Whistle".
True enough, once you blow the whistle, whether you
wanted to be anonymous or not, your life is significantly affected. Not only
yours, but that of your family and friends as well. Despite the risk, this
should not stop one from doing the right thing, if it is the right thing
indeed.
In recent times, whistle-blowing highlights its importance as
a useful means in unearthing malpractices and putting perpetrators behind bars.
It is interesting to note the trend where court cases initiated through
whistle-blowing efforts are being settled successfully. Government regulators in
progressive countries have started to consider taking extra steps toward
supporting whistle-blowers through appropriate legislation.
“As practicing accountants or auditors, take note to
always uphold this: Loyalty to your client, but fidelity to the public,”
reminds Rhad Vic to his young accounting students as they were starting off the
term’s discussion series.
But before even trying to blow the whistle, one must carefully
consider a few important things.
Briefly, one must take into account the Art of Whistle-blowing
Pyramid. The pyramid would show the ladder as to what steps to take first before
blowing the whistle.
First: Gather
enough evidence of the anomaly. This is the base of your pyramid; the very
foundation of what you want to expose. For purposes of this discussion, let’s
call the act being exposed as anomaly.
Claims of anomaly should be sufficiently substantiated.
Adequate proof is needed and can never be discounted. Emotions may come along
the way but don’t forget to stick to the facts.
Second: Exhaust
means with the authorities. This is located in the middle part of the
pyramid. Authorities comprise internal and external bodies. Internal include
your immediate supervisor, or your manager, or the board of directors. There
are times when your immediate supervisor or manager is directly involved in the
anomaly; hence, you have to jump directly to the board or to the next in rank.
Whatever the case is, it is important to follow the communication flow within the
organization. And if there are rules laid down regarding whistle-blowing, say,
it must be in writing and it must be within a specific period of time upon
discovery, this must be followed.
In this sense, authorities include the rules and
procedures that must be followed in the process. This also includes the
appropriate laws that are being used to support the claim. For this consideration,
you need to seek the help of a trusted lawyer to attack the problem with the
right bullets and with the right approach.
After seeking all possible solutions within the
organization but without reaching any resolution, then it is time to approach
external authorities – which may be the government, government agencies, or
governing organizations.
Finally (If
the authorities cannot make the resolution, then it is time to proceed to
blowing the whistle) – Expose the
anomaly to the allies. This comprises the tip of the pyramid.
The allies include the media and the public. Exposing the
anomaly outside should be the last option after taking all the possible
remedies in the first ladders. All possible considerations should be taken into
account before even trying to blow the whistle. In a study conducted in the
States, it was reported that most whistle-blowers were fired. In that study, it
was noted that 74 percent of the whistle-blowers were terminated, 6% were
suspended, and 5% percent were transferred against their wishes. The remaining
15 percent received poor evaluations, demoted or harassed. And 55% lost their
cases.
The effect to the whistle-blower’s life can be a 180
degree turn. Blowing the whistle, whether you wish to remain anonymous or not,
affect your livelihood, your career, your family, your privacy – your life.
In addition, JosephsonInstitute.com cautions that you
have to make sure the situation warrants whistle-blowing. If more serious trade
secrets or confidential company property is exposed, know the harm and
calculated risks.
It is also good to consider learning about whistle-blower
protection. It may vary depending on the jurisdiction you are in.
Blowing the whistle is a brave act of integrity. And acts
of bravery come with a huge cost. When we decide to take such courageous step, let
us remember to follow the art of whistle-blowing embedded in the pyramid. After
all, we are encouraged to speak up when we happen to know any wrongdoings.
Witnessing
some anomalies in your workplace? Considering blowing the whistle? Fear not.
The law is on your side.