Sara lands a new $2 million deposit with Silver Valley Estates and is negotiating a $300,000 mortgage for one of the clients' officials. Apparently, there were problems with the customer's deposit operations that took place earlier where a collection of deposits worth $20,000 were returned for insufficiency of funds by the Federal Reserve. Sara’s bank failed to act promptly on the checks and have now resurfaced to haunt the new deal.
R2
Incompetence and lack of proper work ethics are displayed by the operator who put the checks away and forgot about them. Also, the bank notes that checks accepted for deposit must not be returned after ten business days after the disposal date. It is unfortunate that the boss is willing to go against the bank’s policies and return the checks in addition to instructing Sara not to inform other seniors about this matter. This is contrary to ethical operations since all decisions must be communicated to avoid future problems.
Delegate your assignment to our experts and they will do the rest.
R3
The primary stakeholders, in this case, are Silver Valley Estates, Sara's bank as well as the Federal Reserve. The Federal Reserve here is to foster a sound banking framework in addition to a healthy economy. This bank here provides guidelines to be followed in all banking operations between Sara's bank and their client; Silver Valley Estates. Essentially, Silver Valley president as the customer provides deposits to Sara’s bank and therefore making a boom in business as well as the economy.
R4
In addressing the ethical issues presented in this case, Sara’s bank officials should convene a meeting to discuss the matter. After a solution is sought, the bank manager alongside Sara’ should communicate with Silver Estate Valley concerning the matter. Here, because this mistake emanates from the bank's side, officials should take significant actions to ensure such occurrences are dealt with appropriately and on a timely basis. The bank risks losing the client, but it would be against it to violate its policies.
R5
Here, the bank would have proven to its employees and competitors that regardless of the situation, laid down principles must be adhered to without question. A corporation that works against its regulations is bound to collapse. Communications is fundamental in this case because failure is imminent without the same. Also, it is ethical that all people with interest in a particular issue be included in decision-making processes.
R6
If the management of the firm agrees to bend its rules and debit the check, there will be financial problems. This is because the bank will have to foot the losses of the debited checks or if they decide to return them to Silver Valley Estate, the client may sue for the same as he was not informed about the matter on time. Filing for suits and conducting legal procedures may prove difficult for the bank as this is the waste of funds not budgeted for.
R7
Sara should consult with appropriate experts regarding this case because if she chooses to act on what her boss is suggesting, there may be ramifications when such information leaks. She needs to stand firm and inform the manager of her unwillingness to break the bank's protocols even if that means losing her job. She should tell other seniors within the corporation even if she risks losing her job because ethically, it is the correct course of action.
R8
Additional facts here include a clause that specifies the willingness of the bank to twist their policies when such matters arise. If this was the case, Sara should evaluate her boss’s suggestion for the good of the company. This is because the company would not risk losing the client.
