Whistleblowing and The Types of Whistleblowing

Types of Whistleblowing

What is Whistleblowing?

When we talk about whistleblowing, we all know that it is a procedure in which a person exposes wrongdoings, fraud, illegality, and unethical conduct happening in the government or any private company in front of the public.

Such unethical things are generally brought to the attention of statutory authorities, such as SEBI, through the media, and this regulatory body then takes appropriate action.

You all know that in government jobs, the irrationality of government officials is quite high and that such individuals rarely do any work without taking a bribe, and if they do work, they do it in an unethical way so that any particular party gets the most of the benefits.

In this scenario, the possibilities of becoming a whistleblower increase even more for someone who is truly committed to working ethically or who has become tired of all of these unethical activities of government officials. 

In the pastime, whistleblowers used it to strive to bring only unethical and illegal activities happening in government work to the attention of the public, but in recent years, whistleblowing activity in private companies has risen significantly and this is the biggest reason.

If wrongful activity is also taking place at a private firm then a whistleblower can report it to the company’s director or any other top executives of the company. 

Types of Whistleblowing

It would be very surprising to know one thing about whistleblowing that this process has been in demand not from today but from the year 1970. Actually, during the time of the year 1970, when people working with ethical process, try to expose any illegal and unethical activity were known as informers and in fact, all those people were seen as a negative sense only.

Well, look if we have to classify the whistleblowing process, then we can actually classify it into three main parts and these divisions are mainly internet whistleblowing, external whistleblowing and third-party whistleblowing. Let’s try to discuss all these three terms in detail.

(1) Internal Whistleblowing

If we talk about internal whistleblowing, then in this process the unethical and illegal activity in the organization or government is reflected only by any whistleblowers of the same organization and later by the company actually takes suitable action on that particular person who is doing unethical and fraudulent activities in the organization.

As we have already told you that when the Whistleblowing term was introduced, at that time no particular rule was made in this regard for the private companies.

But later SEBI made a special rule in the Companies Act of the year 2013 to ensure that every public listed company has to create a particular process to register the complaint of whistleblowing and work on that complaint.

(2) External Whistleblowing

External Whistleblowing is a process in which a whistleblower without disclosing himself, reveals all the unethical and fruitful activities taking place in the company, and to carry out this activity he/she actually takes the help of media houses or SEBI or any other Statutory Body or any lawyers and then exposes all the unethical and illegal working procedure happening in the particular firm.

Fraud, deception of employees, corruption, or any other act that misleads individuals might be a crime or violation. The Whistle Blowers Protection Act of 2011 establishes a comprehensive framework for investigating suspected misconduct.

(3) Third-Party Whistleblowing

This kind of whistleblowing process is actually considered fairly new in the market right now.

In this process, the whistleblower actually will use third-party sources to inform the individuals who are sitting at the top of the organization about the particular misconducting happening in the organization.

This generally happens when the whistleblowers do not want to reveal their identity to the public at all. Actually, this process is also considered one of the safest methods of whistleblowing in today’s time.

Whistleblowing process actually can be also be classified as public sector whistleblowing and private sector whistleblowing. When Scams and fraudulent ativities related to government and public setor undertakings is brought to light by a whistleblower it is called public sector whistleblowing where as any private sector scam internally or externally is termed as a private sector whistleblowing.

Final Conclusion on Types of Whistleblowing

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