The Value of Corporate Investigations: Avoid C Suite Resignations

3 Executives MeetingWhen a large corporate scandal began to unravel, many professionals in the private investigation field have come to wonder why a proper internal investigation into the phone hacking was never conducted.

Had News Corp. done so, they could have potentially avoided public embarrassment and the damage the phone hacking scandal has caused to their brand and reputation.

In the wake of the scandal, more resignations have occurred: Paul Stephenson, head of Scotland Yard; John Yates, the assistant commissioner of the Metropolitan Police in London; Les Hinton, the chief executive of Dow Jones; and, Rebekah Brooks, head of News International have each resigned in the last few days.

Rupert Murdoch and his son, James, appeared before British Parliament, but no charges have yet been filed against anyone at News Corp. These resignations are public displays of preemptive damage control but the integrity of their respective positions may have been compromised. The escalation of events at News Corp. has not yet revealed when the original ethics breach originated, or how far it reached.

As the author of the post so eloquently states, “We have found that when internal investigations are avoided it only exacerbates a corporate problem.  Had News Corp. conducted an independent investigation, relying on third-party investigators to thoroughly look into the company’s illegal activities and identify (and terminate) the origin of the problem, the fate of this scandal might play out differently.”

We couldn’t agree more.  A thorough independent investigation can keep a company’s internal problems in the boardroom and out of the headlines.

Read more about the corporate investigations at News Corp here and see how ECO Inc. can help with employee screening.

Posted in Corporate Investigations, Investigations and tagged , , , .

One Comment

  1. You have personnel in the work place that know how to, or have access to covert listening devices, hacking directions or skills etc. Once these people have these skills (thru training) who monitors that abuse is not happening or more so that these people are not breaking all kinds of ethics regulations and in the most dire cases they may be breaking the law. Where are the checks and balances?

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