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QUESTION 1 Affan was an accountant at a construction company. He was concerned that his employer was committing fraud. In particular, Affan believed his employer

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QUESTION 1 Affan was an accountant at a construction company. He was concerned that his employer was committing fraud. In particular, Affan believed his employer was processing personal transactions with company finances, creating fake employees on payroll records, and falsifying company invoices. Affan raised these concerns with his manager. Unfortunately, his manager dismissed Affan concerns and told him to tum a blind eye to his employer's financial malpractice. Affan did not feel comfortable with this outcome, considered leaving the company as a result. He then contacted PROTECT for advice. As it appeared that Affan had exhausted all internal routed for raising his concerns, PROTECT advised Affan to raise them with the Ministry of Domestic Trade and Consumer Affair, the relevant regulator. PROTECT explained to Affan that if he left his employment and suffered any post-employment detriment linked to his disclosure to the Managing Director, he could potentially receive protection as a whistle-blower under the Public Interest Disclosure Act 2010 (Act 711) Based on the above, execute your answer for the following questions below a) Define the whistle-blowing Professional Ethics (2 marks) b) Give the differences between internal and external whistle-blowing (4 marks) c) As an accounting student, list out the issues arising and give your opinion on the above case based on justification of whistle-blowing (10 marks) QUESTION 2 Star Corp. is the largest retailer in Malaysia, Indonesia, Singapore and Brunei with RMIS billion in sales. The company employs 50,000 employees in the four countries and serves 20 million customers per week. Star Corp. carry an extensive range of products from groceries and households items to home improvement and leisure products. The company has a core of loyal customers who love the fast, friendly service and high quality products with lower prices. The CEO who is also the grandson of Star Corp's founder always ensures the company lives up to its credo of supplying consumers with low-cost quality prods Business Week reported that Star Corp was one of the most profitable companies in South East Asia Employees receive good training in customer service. Customers are assured of a pleasant shopping experience where Star Corp's employees are friendly and ready to assist whenever they need help. However, this good image is tainted with complaints against the way Star Corp treats its employees. In Indonesia, for example, employees complained that they were forced to work "round the clock without or with only lintie overtime pay. The backroom employees receive low pay and low benefits, mainly because they are immigrant workers Employees often asked to sacrifice their test and meal breaks In Malaysia, Star Comp was acused of hiring illegal immigrants with low pay to do menial jobs. These employment practices are clearly against the law, but Star Corp got away due to weak enforcement of me While customers love Star Corp, small local sundry shops and merchants complain of unfair competition. Many went out of business because Star Carpells similar products, but at lower prices. Star Corp.could affond lower prices due to hefty discounts given by its suppliers for large orders. In additional, in Malaysia many local suppliers complained that Star Corp gives priority to foreign products such as those from China and Bangladesh. Some even had to close their business. Star Corp. buys its products from these two countries due to cheaper prices In Indonesia, Star Corp, has embarked on an aggressive expansion strategy due to the great market potential Star Corp plans to open 20 stores each is cast java and northern Sumatra next year. Ten new stores are due to be opened in Sulawesi this year. Starcorp receives severe resistance from local communities in some of the new locations. Their main grouses are traffic congestion, noise and other forms of pollution during and after the construction of the new stores. They do not want star corps presence disturbing their daily lives. In Malaysia, star corp gets the same resistance, but at a lower scale. The main grease is the employment of illegal immigrants to construct new stores, which raises security concerns among locals due to a sudden influx of foreign workers I their area In spite of its critics, star corp received wide support and many consider the company to be socially responsible in addition to being a provider of thousands of jobs, low prices and high value and service. Star corp also undertakes some initiatives to give back to the society. For example, star corp awards annual scholarships to secondary school children from poor an underprivileged families in Indonesia and Malaysia. The company is also active in promoting pood environmental practices such as recycling and using paper taps. Moreover, it also sponsors educational programmed organized by local environmental groups to educate the public about recycling and other environmental topics Based on the case above, execute your answer for the following questions below a) Star Corp is a good player in every aspect. Customers love them and their products foo but they are not worrying about their stakeholders te employees, competitors and society. Identifies issues raised by its various stakeholders (12 marks) b) Assess Star Corp's corporate social responsibility using Caroll's four layer CSR model (20 marks) $) As an accountant, give your overall comments about Sur Correlated to Corporate Goverance and Corporate Social Responsibility (4 marks

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