You are to assume the role of a financial analyst at RIVERBANK FINANCIAL, a reputable firm that manages investments and personal finances. You must address an ethical dilemma with the supervisor.
Earlier today, your supervisor asked you to conduct a routine audit of a client’s account. In reviewing recent transactions, you were alarmed to find that $250,000 was transferred from the client’s primary investment account to an external account with no established connection to the client. There is no written authorization, including email communications, or supporting documentation filed for the transfer, which is against company policies.
Upon closer inspection, the transaction was processed by a colleague who joined the firm six months ago. The colleague is known for a friendly personality but has occasionally overlooked standard procedures in the past.
Your supervisor is expecting a summary of the findings from the routine audit.
