Ethical Obligations and Decision-Making in Accounting 2nd Edition by Steven Mintz, Roselyn Morris

Exercise 20

A report by 60-Minutes in October 2009 claimed that the cost to the government from Medicare fraud is at least $60 billion each year. In the debates over health care reform in Congress during 2009 and 2010, one version of a bill called for the recovery of $500 billion from health care fraud as a way to finance reform. Review the cases described in Appendix 1 of Case 3-7. (Your instructor may ask you to look at only one or two cases) Do you think it is reasonable to expect the U.S. government to recover half-a-trillion-dollars from Medicare fraud? Why or why not?

Step 1 of 2

Ethics:

Ethics is the set of some moral values and principal that differentiate right and wrong morally.

Fraud:

Fraud means the willingly wrong representation of something, to hide some material facts from outsiders or mislead them about some facts.