The Ethical and Legal Implications of the University of Miami Ponzi Scheme
The University of Miami case was one of the biggest financial scandals in the past year. Former UM Football Booster, Nevin Shapiro, orchestrated a $930 million Ponzi scheme, with which numerous NCAA rules were violated. Shapiro allegedly provided cash, goods, prostitutes, assorted favors and on one occasion, an abortion to University of Miami football players. This paper will examine the various legal and ethical implications involved in this case, including an analysis of the university’s social responsibility, and an overview of the scandal in terms of three ethical theories: utilitarianism, Kant’s categorical imperative, and ethical relativism.
Table of Contents I. Introduction (Stephanie) A. Purposes of Paper * Analytical paper - “3 value” analysis of law, ethics, and social responsibility * Current, controversial, and narrowly focused topic involving business directly or indirectly * Significance of topic B. Background Information regarding topic
II. Legal Section (Ashley) A. Introduction to Legal Section B. Statement of Relevant Legal Principles and Rules of Law C. Application of Law to Topic and Legal Analysis D. Legal Conclusion (and transition to Ethics Section)
III. Ethics Section A. Utilitarian Ethical Analysis (Stephanie) * Introduction (brief) to ethics as a branch of philosophy * Introduction and brief explanation of Utilitarian theory * See Cavico and Mujtaba Business Ethics text Chapter 7 for discussion of Utilitarianism * Stakeholder, pleasure v. pain, numerical model of Utilitarianism - Utilitarian analysis as per required model (See required Utilitarian model below) * Moral conclusion pursuant to Utilitarian model
B. Kantian Ethical Analysis (Brett) * Introduction and brief explanation of Kantian ethics
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