GS4 · UPSC Mains

Sagar Mehta, a 42-year-old professional with an impeccable track record in the corporate world, had recently accepted the position of CEO at Infratech Solutions, one of India's largest infrastructure companies. Known for its expertise in designing and constructing roads and bridges, Infratech had built a strong reputation over the past three decades, primarily working on projects for state public works departments and occasionally securing contracts with national agencies. For Sagar, this role was the culmination of 15 years of hard work and dedication. He had climbed the corporate ladder through sheer talent and integrity, always adhering to ethical business practices. His appointment as CEO of Infratech was seen as a breath of fresh air in an industry often marred by controversies. Eight months into his new role, Sagar was feeling confident about the direction in which he was steering the company. He had implemented new technologies, streamlined processes, and was pushing for more sustainable practices in their projects. One evening, while reviewing some financial documents, Sagar noticed a pattern of large outflows to various obscure entities just before major contract announcements. Intrigued and slightly concerned, he decided to dig deeper. He found out that Infratech had been making substantial political donations to the election campaigns of ruling party members in states where they were bidding for contracts. These donations were carefully timed and strategically distributed to maximize the company's chances of securing lucrative government projects. Sagar had always prided himself on running clean operations. Determined to address this issue, Sagar raised the matter at the next Board meeting. To his shock and dismay, the Board of Directors not only acknowledged the practice but also strongly defended it. The message was clear - the Board expected Sagar to continue this practice, and any deviation could jeopardize not just the company's stability but also his position as CEO. As Sagar left the meeting, he felt the weight of this ethical dilemma bearing down on him. On the one hand, he was responsible for the company's success and the livelihoods of thousands of employees who depended on Infratech. On the other hand, he was now complicit in a practice that he found ethically questionable and potentially illegal. (a) State the ethical issues involved in this case. (b) Evaluate the options available to Sagar. (c) What should be his course of action? Give reasons to support your answer. (Answer in 250 words)

250 words · 5 toppers answered this

GS4 · Case studies on the above issues GS4 · Public/civil service values & ethics in public administration — status & problems; ethical concerns & dilemmas; conflict of interest

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