Ethics in Financial Management Essay Example | Topics and Well Written Essays - 500 words - 1

Ethics in Financial Management - Essay ExampleIn the article discussed in this paper we see how a person in power takes advantage of his mental attitude for personal gain.Henry M. Paulson was the Treasury secretary during the Bush Administration. He was also a major shareowner of Goldman Sachs. Mr. Paulson wanted to make it seem as if his ethical standards were implacable. He sold all his shares of Goldman Sachs and vowed not to bring convoluted in any issues associated with the investment banking sector since he had galore(postnominal) friends and colleagues in the industry. Getting involved in issues associated with the investment banking sector would constitute a troth of interest ethical misdemeanor. A conflict of interest occurs when a person has a conflict between his private interest and the individual populace obligations (Answers, 2009). The Treasury secretary was in the middle of the entire bailout package scandal. When the government allocated $85 million horse of the bailout money to the American International Group (AIG), Mr. Paulsons former employer, Goldman Sachs, received millions of dollars in debt collection from AIG as a consequence of the bailout package deal.Even though Henry Paulson claims he did nothing wrong and that his actions were not unethical in any way because he was simply doing his job as secretary of treasury, many Wall Street experts believed Goldman Sachs received preferential treatment during the entire process. During the AIG bailout package took place Mr. Paulson spoke the chief executive officer of Goldman Sachs over two dozen times (Morgenson & Van Natta, 2009). The amount of phone calls exceeds by a chew the conversations the governmental official had with any other Wall Street executive. Mr. Paulson claimed he received an ethics firing. To me this waiver seems like a cheap excuse because the treasury secretarys actions were clearly an ethical violation since his former employer was receiving preferential