1. Case: Misuse of Company’s fund
Rohit is a marketing field executive in Global Marketing Company. He usually visits the
company’s various regional offices all throughout the country to consult with the marketing
representatives to help them develop their local strategies and to ensure consistency with the
overall corporate marketing objectives of the company. Company has a policy to give its
employees a definite sum of allowance for their travel & stay expenditure. But in some
extraordinary cases, it also reimburses any additional expenditure done by the employee on
producing a bill/cash memo. Rohit also gets a definite sum of allowance for his expenditure. But
he always brings cash memos, bills for some extra expenditure. Such expenditure includes such
costs which may be controlled by the employee. Since company had no strict policy norms about
reimbursements of such expenditure, he was able to get the reimbursement of that expenditure
every time.
At the end of every month, Rohit puts his extra bills in front of accountant for reimbursement
consecutively fourth time. Suresh, the accountant, informs Tarun, who was the Team leader of
Rohit, about his action. Tarun is afraid of Rohit‘s practice of putting extra bills for
reimbursement every month as he knows that Rohit can be trapped for this sort of practice and he
doesn’t want to loose such an efficient marketing executive. So one day he calls Rohit in his
office and asks about those additional expenses. He founds that Rohit’s reaction to his questions
shows his irresponsible attitude towards spending the money of the company. Tarun gives Rohit
a warning to change his way of doing over expenditure on an official trip. He also explained him
that these extra expenditures if can be controlled by the employees, it can have a huge effect on
the profitability of the firm and ultimately may be beneficial for the employee also. But in spite
of several warnings by the team leader, Rohit has not improved. In the mean time, sales done by
Rohit increased by 25%, which made Tarun happy.
Suresh when shows the details of the company expenditure on employees’ official visits to his
head, he asks him to fix a meeting with Tarun.

2. Next day, in the meeting, Tarun was pulled by the finance officer for his team’s huge
expenditure beyond the approved allowance given to them for travel and stay. Tarun remains
silent.
Questions:
1. What should Tarun answer to the finance officer?
2. Should Rohit be saved by his Team Leader?
By: Upasana Gupta