ABSTRACT

In Norway, employees’ right to report on misconduct in their company is enshrined in the law, and companies are required to implement an internal control system for whistleblowing. Although such a system plays a significant role in effective whistleblowing, especially outside the company in public spheres, it rarely protects internal whistleblowers. Norsk Tipping, the high-profile case examined here, had a weak internal control system, so once the scandal broke into the public sphere, the whistleblower himself, Peer, paid a heavy price. This chapter discusses how internal control systems, if properly designed, can allow, support, and protect whistleblowers effectively. It also chronicles how a lack of effective whistleblowing can result in public debate and harm the company on a broader scale.