Business Ethics

No : 1

PUBLIUS

Although many people believe that the World Wide Web is anonymous and secure from censorship, the reality is very different. Governments, law courts, and other officials who want to censor, examine, or trace a file of materials on the Web need merely go to the server (the online computer) where they think the file is stored. Using their subpoena power, they can comb through the server's drives to find the files they are looking for and the identify of the person who created the files.

On Friday June 30, 2000, however, researches at AT & T Labs announced the creation of Publius, a software program that enables Web users to encrypt (translate into a secret code) their files – text, pictures, or music – break them up like the pieces of a jigsaw puzzle, and store the encrypted pieces on many different servers scattered all over the globe on the World Wide Web. As a result, any one wanting to examine or censor the files or wanting to trace the original transaction that produced the file would find it impossible to succeed because they would have to examine the contents of dozens of different servers all over the world, and the files in the servers would be encrypted and fragmented in a way that would make the pieces impossible to identify without the help of the person who created the file. A person authorized to retrieve the file, however, would look through a directory of his files posted on a Publius – affiliated website, and the Publius network would reassemble the file for him at his request. Researchers published a description of Publius at www.cs.nyu.edu/waldman/publius.

Although many people welcomed the way that the new software would enhance freedom of speech on the Web, many others were dismayed. Bruce Taylor, an antipornography activist for the National Law Center for Children and Families, stated : "It's nice to be anonymous, but who wants to be more anonymous than criminals, terrorists, child molesters, child pornographers, hackers and e-mail virus punks." Aviel Rubin and Lorrie Cranor, the creators of Publius, however, hoped that their program would help people in countries where freedom of speech was repressed and individuals were punished for speaking out. The ideal user of Publius, they stated, was "a person in China observing abuses of human rights on a day – to – day basis."

Questions :

1. Analyze the ethics of marketing Publius using utilitarianism, rights, justice, and caring. In your judgement, is it ethical to market Publius ? Explain.

2. Are the creators of Publius in any way morally responsible for any criminal acts that criminals are able to carry out and keep secret by relying on Publius ? Is AT & T in any way morally responsible for these ? Explain your answers.

3. In your judgment, should governments allow the implementation of Publius ? Why or why not ?

NO. 2

A JAPANESE BRIBE

In July 1976, Kukeo Tanaka, former prime minister of Japan, was arrested on charges of taking bribes ($ 1.8 million) from Locjheed Aircraft Company to secure the purchase of several Lockheed jets. Tanaka's secretary and serial other government officials were arrested with him. The Japanese public reacted with angry demands for a complete disclosure of Tanaka's dealings. By the end of the year, they had ousted Tanaka's successor, Takeo Miki, who was widely believed to have been trying to conceal Tanaka's actions.

In Holland that same year, Prince Bernhard, husband of Queen Juliana, resigned from 300 hundred positions he held in government, military, and private organizations. The reason : He was alleged to have accepted $ 1.1 million in bribes from Lockheed in connection with the sale of 138 F – 104 Starfighter jets.

In Italy, Giovani Leone, president in 1970, and Aldo Moro and Mariano Rumor, both prime ministers, were accused of accepting bribes from Lockheed in connection with the purchase of $ 100 million worth of aircraft in the late 1960s. All were excluded from government.

Scandinavia, South Africa, Turkey, Greece, and Nigeria were also among the 15 countries in which Lockheed admitted to having handed out payments and at least $ 202 million in commissions since 1970.

Lockheed Aircraft's involvement in the Japanese bribes was revealed to have begun in 1958 when Lockheed and Grumman Aircraft (also an American firm) were competing for a Japanese Air Force jet aircraft contract. According to the testimony of Mr. William Findley, a partner in Arthur Young & Co. (auditors