Dealing with the Dilemma of Misappropriation of Funds in a University Club

The scenario discusses the misappropriation of funds in a university club where the president of the club submitted the money earned by selling T-shirts in his own account instead of the club's account. The article highlights the reasons, what's at stake for key parties, and the rational response to deal with the situation.

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Business Law

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Main dilemma in the scenario:
In this case, the main dilemma is faced by Erica who is a sophomore at the university. The
money which was earned by the selling of Tshirts by the club was not submitted in the account
of the club. Instead, it was submitted by the president of the club, Matt in his own account.
Consequently, there were no funds in the club for the upcoming year.
Reasons and Realizations
1. Matt and Erica shared a good friendship. Erica feared that their relationship could get
strained due to the involvement of money matters.
2. Matt had been the president of the Spirit Club for the past 2 years. While Erica was the
youngest and the newest member of the club who lacked the desired experience.
3. Despite Matt convincing Erica that he would submit the money and rectify the mistake,
he did not do it towards the end of the year (Sadgrove et al., 2012).
What’s at stake for the key parties
1. The good relationship between Erica and Matt could get strained out due to the
involvement of the money matters.
2. Matt, being the president since two years possessed power. He could deteriorate the
position of Erica both in the club as well as in the University.
3. In case Erica gets the desired help, Matt could be suspended from his presidentship on
account of his depriving the club of the desired money.
4. The Spirit Club would be deprived of the required money for its upcoming programs and
would to accomplish them.
Arguments to those who disagree
It is important for Erica to solve the situation which the Club is going through. She should
initially talk to Matt again. In case he does not take the desired step, she should approach to the
administrator of the Student’s Office to resolve the issue.

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Powerful and Rational Response
The amount received from the selling of Tshirts belongs to the club. The Administrator of the
Student office should look into the matter and order Matt to return the money which is due to the
club as soon as possible. This would ensure that the upcoming year of the Club could be well
planned according to the budget (Scaffer et al., 2011).

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References
Sadgrove, J., Vanderbeck, R. M., Andersson, J., Valentine, G., & Ward, K. (2012). Morality
plays and money matters: Towards a situated understanding of the politics of
homosexuality in Uganda. The Journal of Modern African Studies, 50(1), 103-129.
Schaffer, R., Agusti, F., Dhooge, L. J., & Earle, B. (2011). International business law and its
environment. London, UK: Cengage Learning.