What is the ethical issue in the Rite Aid Inventory Surplus

Fraud case?

Multiple Choice

The internal auditor found and

blew the whistle on the surplus

inventory sales and kickback

cover$-$up$.$

Rite$-$Aid had a comprehensive

corporate governance system

that complied with all the

requirements of Sarbanes$-$Oxley.

The surplus inventory sales and

kickback involved collusion

between two officers of the

company. When Foster wanted

to stop the scheme, he was

blackmailed into continuing the

fraud.

Vice Presidents of the company

were involved in a material, nine$-$

year surplus inventory sales and

kickback scheme.