Article July 29, 2002 Issue

Betrayed in business, Sustained by PRAYER

By Diane Maloney

One day in 1999, a local business owner called me and informed me that one of the partners in my investment advisory firm was attempting to commit tax fraud. I had been in business with this man, along with a third partner, for seven years. The partner accused of this illegal activity held a minority interest in the company, and was the vice president and treasurer. I, too, owned a minority interest. From the beginning, all of us were directors and officers of the company. We were affiliated with a large broker-dealer.

Over the years, the three of us had our disagreements, as might be expected with any three very different people, but we had always been able to work out our problems. I loved the company, and I worked very hard on its behalf. Both of my partners had acknowledged that at different times.

After receiving this disturbing information, I asked my partners about it, and they admitted that the story was true. We had long—and sometimes heated—discussions about our different standards of business ethics, integrity, and professional conduct.