Skip to main content
SpringerLink
Log in

Whistleblowing and corruption control: The GE case

  • Published:
Crime, Law and Social Change Aims and scope Submit manuscript

Abstract

This paper focuses on the use of the amended False Claims Act to counter defense contract fraud against the U.S. government. The case deals with the scheme of a former Israeli Air Force General and a GE marketing specialist to divert funds, provided by the U.S. to Israel, for unauthorized and private usage, and with the actions of the GE whistleblower, Chester L. Walsh, in bringing suit against GE under FCA. The paper analyzes poses the ethical problem of providing an economic bounty for the whistleblower even while acknowledging the effectiveness of this practice in countering fraud.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  • Alert International, Inc., “Money Laundering Alert”, August, 1992.Black's Law Dictionary, sixth edition (St. Paul, Minn. West Publishing Co. (1990).

    Google Scholar 

  • Boatright, John R.,Ethics and the Conduct of Business (Englewood Cliffs, N.J.: Prentice-Hall, 1993).

    Google Scholar 

  • Bowie, Norman E. and Ronald F. Duska,Business Ethics, second edition (Englewood Cliffs, N.J.: Prentice-Hall, 1990).

    Google Scholar 

  • Bureau of National Affairs, Inc., “Federal Contracts Report” (November 16, 1992).

  • Congressional Quarterly Inc.,1986 C Q Almanac, Washington D.C.

  • DeGeorge, Richard T.,Business Ethics, second edition (New York: MacMillan, 1986).

    Google Scholar 

  • Glazer, Myron P. and Penina M. Glazer,The Whistle-Blowers: Exposing Corruption in Government and Industry (New York: Basic Books, 1989).

    Google Scholar 

  • Grassley, Charles E., “Abe Lincoln vs. the Justice Department”,The New York Times, January 16, 1993.

  • Miceli, Marcia P. and Janet P. Near,Blowing the Whistle: The Organizational and Legal Implications for Companies and Employees (New York: Lexington Books, 1992).

    Google Scholar 

  • Naj, Amal Kumar “Whistle-Blower at GE to Get $11.5 Million”,The Wall Street Journal, April 26, 1993.

  • Stevenson, Richard W., “U.S. Accuses G.E. of Fraud in Israeli Deal”,The New York Times, August 15, 1991.

  • Stevenson, Richard W., “GE Guilty Plea in U.S. Aid to Israel”,The New York Times, July 23, 1992.The New York Times, March 28, 1991.The Washington Post, December 20, 1990.

  • U.S. House of Representatives, 1986. Committee on the Judiciary, Subcommittee on Administrative Law and Governmental Relations,Hearing, Serial No. 48, “False Claim Act Amendments”.

  • U.S. House of Representatives, 1993. Committee on Energy and Commerce, Subcommittee on Oversight and Investigations,Hearing, Serial No. 102-165, “Illegal Military Assistance to Israel”.

Download references

Author information

Authors and Affiliations

  1. Lubin School of Business, Pace University, 10038, New York, NY, USA

    Louis M. Seagull

Authors
  1. Louis M. Seagull
    View author publications

    You can also search for this author in PubMed Google Scholar

Rights and permissions

Reprints and permissions

About this article

Cite this article

Seagull, L.M. Whistleblowing and corruption control: The GE case. Crime Law Soc Change 22, 381–390 (1994). https://doi.org/10.1007/BF01302926

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1007/BF01302926

Keywords

Search

Navigation