Business Ethics

Their focus is Corporate Social Responsibility. However, their actions and litigation against them beg to differ. Since they merged together with one another, they seem to be more concerned about the revenue then the Impact their product has on society. Several ethical lapses have affected the quality of ASK. For example; the drug Paxar, It Is prescribe to patients with depression or anxiety. The side effects include; addictive behavior, birth defects, withdrawal symptoms, and suicidal tendencies. The side effects in children are worse.

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ASK had a class-action lawsuit filed against them. They were accused of marketing the drug Paxar for young children and hiding the fact that this drug was unsafe for children. Psychiatrist, Maria Carmen Palazzo was accused and sentenced to 13 month in prison for committing fraud, falsifying records, diagnosing patients under age and trying to cover up the crime. Another class- action suit was filed against ASK, this time Is was for a drug called Viand. This drug was used to treat patients with diabetes; however, studies have shown that the patients who consumed Viand suffered from heart attacks.

The lawsuit claims that the company knew about the risk but did not disclose of them. The cause of ASK leadership to fall In preventing ethical Issues related to Integrity failures Is the inability to hold true to their values of corporate social responsibility. Due to their allegations and class-action lawsuits against them, it appears that the leadership of ASK continues to act in unethical acts/behaviors. The company is facing allegations of “off-label” drug promotion, which could be very detrimental to the consumer. An example of this activity is a drug used for antidepressant prescribed to a patient for eight loss.

It could potentially lead the consumer to misuse of the medication. As a way to promote their drug products, ASK sponsors medical education programs, speaker events, advisory boards, and grants. The U. S. Senate Finance Committee has concerns that the grants are improperly and Illegally used to promote their drug products. In addition, when a former quality-control manager told her supervisor of many unethical Issues going on In the plant, nothing was done; however, when she sent a letter to seven executives giving them details, she “lost her job”. This employee filed a lawsuit against the company.

The company pleaded guilty too felony and paid millions in fees and penalties. The allegations and lawsuits against the company and their continuous behavior to hide the facts and ignore the serious issues in the plant, shows me that the company and its leadership has failed to meet their corporate social responsibilities. In order for ASK to prevent future ethical dilemmas and to repair their reputation from the damage and failure in product quality, they must take a good hard look into their leadership. Ethical values and reporter social responsibility start from the top and streams down.