StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Business Ethics - Friends of Angelo - Research Paper Example

Cite this document
Summary
Angelo Mozilo, who was the chief executive at Countrywide Financial, the biggest mortgage lenders in the United States, engaged various V.I.P personalities in trading favours for loans at abnormally favourable terms. This V.I.Ps included politicians, business partners and…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER97.9% of users find it useful
Business Ethics - Friends of Angelo
Read Text Preview

Extract of sample "Business Ethics - Friends of Angelo"

Friends of Angelo Angelo Mozilo, who was the chief executive at Countrywide Financial, the biggest mortgage lenders in the United States, engaged various V.I.P personalities in trading favours for loans at abnormally favourable terms. This V.I.Ps included politicians, business partners and prominent government officials. These leaders had the power to facilitate the policies that Angelo deemed profitable for the firm. A key example of a leader that undermined the ethical expectations of his position was a California state appeals court judge called Richard Aldrich (Ferrell et al., 2013).In this case, the judge needed funds to finance an expansion project he was undertaking for his house at Sherwood Country Club in Westlake Village.

He got the loan from Countrywide Financial, but the terms raised eyebrows for any keen eye. The terms were too good as compared to that offered to other borrowers. This favour was extended to the judge so that the same favour may be shown to the company. This was because the firm was being charged in the appellate court by borrowers who felt dissatisfied by what the firm had paid as settlement fees. Aldrich was part of a three-man bench that sure enough rejected the appeal of the borrowers. The fact that the judge failed to mention his previous contact with the defendant company was unethical and against the codes of conduct of a judge.

As a judge, he ought not to have received any favours or loan in the terms he did knowing that the company had a case pending in his court (Ferrell et al., 2013).This was replicated with all the leaders Angelo deemed fit to orchestrate the company’s progress. These leaders are called and appointed the servants of the people to have the interest of the ordinary populace at heart, but instead they have misused their powers to pursue personal gain. Leaders in this case acted in corrupt manners by conducting underhand deals that would otherwise not be permissible.

They ignored and neglected their oaths of office by using the office powers not in service to their country or its people as intended by the law, but in service to themselves (Ferrell et al., 2013).The implications on society of such conduct are, for example, mistrust of those in power. For if a judge, a person who is given the power to condemn, cannot check himself to know when he is going wrong then how can he judge others? It is then the biblical case of the blind leading the blind into a ditch.

Greed has obviously blinded many leaders to such an extent that the boundary of what is ethical and unethical is not clear anymore. The society will obviously, as a consequence of this, be keener in following up how what is publicly theirs is being used. The society through various human rights initiatives will petition for severe penalties for leaders caught in such dirty games and that more should be investigated and stiffer penalties be instituted against them (Ferrell et al., 2013).The customers of such firms such as Countrywide Financial felt cheated and extorted off their hard-earned money.

It makes no sense at all to offer the rich favours while there are those who are genuinely suffering to raise the little that is being demanded of them by the mortgage firm. Why not level the playing field so that there is equity and if any favours ought to be given why not offer them to those deserving of such. Leaders ought to set a good example at least that much they owe those they lead (Ferrell et al., 2013).ReferencesFerrell, O.C., Fraedrich, J. & Ferrell, L. (2013) Business ethics & social responsibility.

[OMM640 Custom edition] Mason, OH: Cengage Learning

Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Business Ethics - Friends of Angelo Research Paper”, n.d.)
Business Ethics - Friends of Angelo Research Paper. Retrieved from https://studentshare.org/business/1674371-business-ethics-friends-of-angelo
(Business Ethics - Friends of Angelo Research Paper)
Business Ethics - Friends of Angelo Research Paper. https://studentshare.org/business/1674371-business-ethics-friends-of-angelo.
“Business Ethics - Friends of Angelo Research Paper”, n.d. https://studentshare.org/business/1674371-business-ethics-friends-of-angelo.
  • Cited: 0 times

CHECK THESE SAMPLES OF Business Ethics - Friends of Angelo

Domination of Anglo-Saxon Corporations

The author of the paper gives a detailed information about social, legal and economic developments support the claim that contemporary 'Anglo-Saxon' corporations dominate other social and political institutions to further their own interests and invade the major markets of the world… The conclusion that can be derived from the above discussion is that large corporations do dominate the major markets of the world and further their own interests....
12 Pages (3000 words) Essay

Ethical Dillemmas and Decision Making Processes

ethics is the branch of philosophy that inquires into the normative and moral evaluation of human actions.... Normative ethical systems have been classified into three categories: deontological, teleological and virtue ethics.... Let us look at these three systems of ethics in some detail.... Kant's ideology follows a model of deontological or duty-based ethics....
11 Pages (2750 words) Coursework

Business and Utilitarian Ethics

She should have gone for a robust action against the company had she at least been sure that the practice of dumping the hospital waste in the landfill is 4 December business ethics Deborah should drop the case.... Let's analyze the matter with the utilitarian theory of ethics.... The utilitarian theory of ethics says that any action whose consequences are good is justified.... So the utilitarian theory of ethics suggests that Deborah should drop her plans of leaking this information....
2 Pages (500 words) Essay

The Countrywide Financial Scandal

One of those programs he created was the friends of angelo program.... Senators Chris Dodd and Kent Conrad were among the VIPs who received sweetheart mortgages under the friends of angelo program (Wsj, 2009).... The preferential treatment that Countrywide applied through its friends of angelo program was unfair to the common citizen.... The Secret friends of angelo.... business ethics Video: Countrywide Financial – Securities Fraud....
1 Pages (250 words) Essay

Business Ethics Issue

The paper "business ethics Issue" is the enlightened view of a highly distinguished research professor named Allan Hutchinson, who belongs to the Osgoode Hall Law School in Toronto.... Though for years now, many businesses use this simple labor strategy and continue to spread in competitive environments, yet the ethical issue involved here is that this strategy is used as a sort of tool or weapon in the arsenal of any progressive business unit and the legal department is no exception to this rule....
5 Pages (1250 words) Essay

Professional Orientation and Ethics in Counseling

Most of my friends used false means like preparing the assignments using professional services or influencing teachers to help them in their examinations etc.... One of my friends also has the same attitudes as me and he also kept strict ethical standards in his student life.... "Professional Orientation and ethics in Counseling" paper analyzes the role of an ethical practitioner, changes in ethical standards, competence in the profession.... People are often confused with the management of ethics in their professional life and the ethical practitioner can help them out in solving such issues....
5 Pages (1250 words) Coursework

Anglo-Saxon Market Economies

The paper “Anglo-Saxon Market Economies” tells about social, legal and economic events proving that contemporary Anglo-Saxon corporations dominate other social and political organizations pursuing their own interests.... nbsp; Such policies of Anglo-Saxon economics were ostracized even at the G20 summit....
12 Pages (3000 words) Essay

Ethical Responsibility Environment

n the external environment, organizations adopt business ethics to act responsibly towards the society and importantly the natural environment.... hellip; In the current business scenario, organizations' success is being judged based not only on its profit figures, brand image, and market share but whether they achieve it through ethical ways....
9 Pages (2250 words) Report
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us