Mesh Apparels Ltd., a well-established garments manufacturing and exporting company where you have joined recently as financial controller, is owned by Habibur Rahman (40%), Mominur Rahman (35%) and Rashidul Huq (25%). Upon joining you identified that the company has documentation lacking specially in revenue and payable segments. The company has various bank loans amounting to Tk. 180 crore but revenue stream does not match fixed expenses. You came to know that Mominur Rahman who is the Chairman leads a flamboyant life. A few days after your joining suddenly Habibur Rahman who was the Managing Director of the company died of cardiac arrest. After MD's sudden death Mominur took over all executive authorities of the company and invited Shafa Habib, who is the widow of Habib and who gave her properties as mortgage against bank loans, to join the company as MD only as a formality merely to sign loan related official documents. In the first week after MD's demise, the sales director (Chairman's spouse) brings to you a cheque in settlement of the account of a major buying house. She explains that the cheque (which appears to clear the amount due) is in fact an overpayment, as the balance showing on the sales ledger is before allowing bulk discount (which is calculated retrospectively). The sales director shows you her calculations and the agreement as authorized by the board. The sales director states that the buying house's Managing Director has come to collect the discount in cash. She says that this is not an unusual occurrence for some of the company's better parties. It helps to maintain a good relationship with those parties, which leads to purchasing loyalty. Another benefit of this arrangement is that it gives the sales director regular face-to-face meetings with the senior staff of those parties. It also reduces the high charges that the bank makes for handling cash. You ask the sales director why the customers prefer to receive a refund in cash, rather than simply pay the net amount needed to settle the account. She replies that it is not appropriate for her to question their motives. In the second week the production manager gave you a panic call that the workers in the factory started agitation for demand of paying-off their wages and overtimes, which 3 are pending for last two months. When you talked to the Chairman he advised you to pursue bank to release more fund to pay the workers. When you talked the bank manager straight forwardly said that no fund will be released until a trust worthy Accounts Receivables list is submitted to the bank. You also received a call from warehouse manager who informed you that there is significant mismatch between production data and actual physical inventory at the warehouse. At this issue your chairman advised you to launch an investigation against Rashidul Huq, who was salaried factory in-charge before being taken as shareholder and director. The company received a letter from tax authority claiming huge pending tax and penalty. When you consulted with the company's tax retainer for submitting appeal petition, he accepted that the company's tax returns were submitted based on fake sales figures and using tampered vouchers so chances of winning the appeal is bleak. The above situation led you to seriously confronting with ethical choices and moral dilemmas in the course of discharging your professional duties.

Requirement: In given situation above, what are the main ethical issues & the ethical choices and moral dilemmas you are confronting? What should be your responses to those ethical issues as an individual professional accountant?