retail-clothing store

Read the scenario and answers the questions that follow.
Scenario

Marie Fox is an assistant manager at a retail-clothing store. She is aware of numerous incidents of insider theft. The cash drawer is always short several dollars at a time and there are bogus returns with a common customer. Her manager, Paul Martin is also her friend. She has worked with him at other companies and he is responsible for her obtaining her present job as an assistant manager. Marie is in charge of the paperwork that deals with customer returns, deposits, and inventory. The entire staff only consists of six people, including the manager, Paul and assistant manager, Marie. Everyone is aware of the problems and Paul is telling you the sales associates are the ones he is suspicious of. You know that only the manager and assistant are allowed to do the deposits, paperwork, and all returns. All the clues are pointing to your manager, but he insists it is the lower level employees. All cash drawer shortages are reported to the corporate office of the company and it reflects on you. The customer that keeps getting the returns comes in and tries to return items that don’t have a receipt. Marie is already aware of the bogus returns and declines the return without proof of purchase. Paul realizes at this point that Marie has proof that he is acting unethically and in turn harming the company. She believes that most likely there are other instances of Paul’s unethical behavior.

What do you do? And, how do you do it?
Questions

Of the following 4 options, which one do you choose to do? As you explain your choice, make sure to consider:

1) What are the values involved in this situation?
2) Who could be hurt and who could benefit in this situation?
3) What are the societal, professional, and personal ethics that are important?

And, if you choose to speak to someone about the situation, write out exactly what you would say to that person.
OPTIONS

Keep quiet and continue to work under those unethical conditions so you don’t ruin your relationship with your manager and friend.
Go above his head to the District Manager and bring the proof of all the transactions.
Confront your manager and tell him you know and threaten to tell if he does not cease his unethical behavior.
Let him accuse innocent employees and let them get fired for his unethical behavior.

1) What are the values involved in this situation?

2) Who could be hurt and who could benefit in this situation?

3) What are the societal, professional, and personal ethics that are important?