whistle blowing in india

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  • 7/30/2019 whistle blowing in india


    Submitted by :

    Kirandeep Kaur

    MBA II (4th sem)

    6387 (E)

  • 7/30/2019 whistle blowing in india


    Whistle blowing is a term used to describe the disclosureof information that one reasonably believes to be

    evidence of contravention of any laws or regulation or

    information that involves mismanagement, corruption orabuse of authority.

    In other words-raising a concern about wrongdoing withinan organisation or through an independent structure

    associated with it.

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    Who is not an whistle blower?Only an employee (or an ex-employee) can blow the

    whistle. An investigating journalist is not awhistleblower, she is just doing her job. A witness in a

    criminal case is not a whistleblower, if she answersquestions truthfully.

    The employee is hired to do as she is told by hersuperiors, and not to divulge confidential information

    to outsiders is part of the job. Whistleblowers musthave information (of significant misconduct by thecompany) that is not known outside of the company.

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    Types of whistle blowingInternal Whistle-Blowing

    When an individual advocates beliefs orrevelations within the organization.

    External Whistle-Blowing

    When and individual advocates beliefs orrevelations outside the organization.

    personal Whistle-blowing

    -is blowing the whistle on the offender

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    Criteria for justifiable whistle

    blowing1. The firm through its product or policy will do serious

    and considerable harm to the public, whether in theperson of the user of its product, an innocentbystander, or the general public.

    2. Once an employee identifies a serious threat to theuser of a product or to the general public he or she

    would report to his or her immediate superior andmake his or her moral concern known. unless he orshe do soothe act of whistle blowing is notjustifiable.

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    3. If ones immediate superior does nothing effectiveabout the concern or complaint,

    the employee should exhaust the internal proceduresand possibilities within the firm.

    This usually will involve taking the matter up the

    managerial ladder, and if necessary and possible tothe Board of Directors.

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    In addition

    whistleblower must have accessible documented

    evidencethat would convince a resonable,impartial observer

    that ones view of the situation is correct,

    and that the companys product or practice posses a

    serious and likely danger to the public or to the user ofthe product

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    The employee must have good reason to believe thatby going public the necessary changes will be broughtabout.

    The chances of being successful must be worth the riskone takes and danger to which one is exposed.

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    How to blow Do it anonymously

    Let the evidence speak for itself and protect yourself if

    possible. Do it in a group

    Charges have more weight and wont seem like apersonal vendetta.

    Present just the evidenceLeave interpretation of facts to others.

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    Work through internal channel

    Start with your immediate supervisor or follow the

    standard reporting procedure.Work through external channel

    Go public(biggest risk)

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    But then why is it so difficult?

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    Ethical dilemma The mum effectreluctance to blow the whistle

    -audit report may contradict the best judgment andvested interest of the powerful players backing a project;fear of reprisals.

    The dead effectreluctance to hear the whistle

    The blind effectreluctance to see the need to blow thewhistle

    -established audit functions do no operateeffectively because they try to conceal the information fromthe management.

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    Fear and doubtWill I be viewed as a rat who ratted out the company?

    I will be resented by my colleagues.

    If I loose this job, what will my family do?What if those guys find out and harm me?

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    Case study- Satyendra DubeyThe golden quadrilateral( Delhi, Mumbai, Kolkata and

    Chennai)..the end of the road for satyendra dubey

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    A 31 year old IIT- Kanpur civil Engineering graduate.

    Employee of National highways Authority of India

    Assigned Prime Ministers pet project- The GoldenQuadrilateral, to connect the four corners of India.

    Was posted in Koderma, jharkhand as project directorhe would be in charge of releasing funds for an

    extensive swathe of the under-construction highway.

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    Sloppy project report

    Contracts awarded on basis of forged documents

    Huge advance doled out to contractors Rampant subletting to local contractors who lacked

    the technical ability to work on this mega-project(Dubey discovered that the contracted firm,

    Larsen & turbo, had been subcontracting the actualwork to smaller low technology groups, controlled bythe local mafia).

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    Everyone from government engineers to MNCconstruction companies to local thug seemed involvedin LOOT OF PUBLIC MONEY

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    What did Dubey do?Wrote a letter to his boss, NHAI project director SK

    Soni, and to brig Satish Kapoor, engineer overlookingthe supervision, there was no action.

    Wrote a letter to the PM.

    Dubey also sent the same letter to the chairman ofNHAI

    Mr. Dubey anticipate trouble and wrote a secondletter, again requesting anonymity but was ignored.

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    The blind/deaf Effect The PMO didnt bother either to investigate.

    For in an act of murderous negligence, the PMOhanded over both the letter and the sheet withsatyendras particulars to the Ministry of RoadTransport and Highways.

    At least eight officials scanned it before passing it on

    the national Highway Authority of India.

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    Whistle blowing murder In 2003,Dubey was found dead in Gaya..

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    Effects of whistle blowing Forced to leave organization/demotion

    Credibility ruined

    Family, health, and/or life in jeopardy

    Outrage and divisiveness of peopledirectly or indirectly involved

    Physical or psychological isolation Organization experiences loss of

    money, restitution, productivity, andpositive reputations.


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    Whistle blowing protection in India

    introduction August 26,2010

    standing committee


    Sept 16,2010

    standing committeereport

    June 9,2011

    lok Sabah Passed on 27dec,2011

    Rajya Sabah Introduced on2 march 2012

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    The whistle blower resolution The ministry of personnel, public grievance &

    pensions notified a resolution empowering the centralvigilance commissioner to act on the complaints of


    Through the resolution, the govt. authorized the CVCto act as a designated agency to receive writtencomplaints.

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    Role of the CVC The CVC has announced that it has the responsibilty of

    keeping the identity of the complainant secret.

    However the complainant should comply with certainparameters :-

    The complaint should be in a closed and secured envelope;

    The envelope should be subscribed complaint under thePublic Interest Disclosure and the complainants nameand address should not be written on the envelope, but inan attached letter along with the complaint;

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    The text of the complaint should be carefully draftedso as not to give any details or clue about thecomplainants identity ;

    The CVC, under the resolution, is also expected toascertain from the complainant whether he or she wasthe person who made the compalint.

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    But loophole exist. No clarity on what appropriate steps would be taken

    against such a complaint.

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    Thank you !!!!