Ethical Issues in BusinessMGMT 2020Memo #4MemorandumTO: Dr. MelendezDepartment of Management and OrganizationsFROM: Michael Lemoine MJLMGMT 202RE: WSJ, Burr and Senate colleaguesDATE: April 2, 2020(1) What are conflicts of interest?Based on the article from the Wall Street Journal, several US Senators attended meetings around Jan 24, regarding the Coronavirus epidemic with disease experts. Several of the Senators eventually sold millions of dollars’ worth of stock before the market began to severely drop. The Senators used their private intelligence and used it for financial gains that other people and investors were not given. The conflict of interest includes the Senators who abused their position of power to help the financial circumstances.(2) Mr. Burr said he “understands the assumption that many could make in hindsight” and asked the Senate Ethics Committee chairman “to open a complete review of the matter with full transparency.” Does the fact that he asked the Senate Ethics Committee to open an investigation sway your thoughts on his possible guilt or innocence? Why or why not?I believe that Mr. Burr’s intention of saying that quote was to make people believe he is not guilty. The statement leads people to believe that he has nothing to hide and did nothing wrong. However, if you were to learn about how he and his wife managed to sell large amounts of stocks in companies promptly before the stock market crash, does not show that he was acting in good faith. Several Senators said that they had investment advisors making the trades for them or even their spouses were the ones making the big moves “without” there knowledge. The timing and amounts of these transactions show that they were not coincidenceat all. Additionally, I believe the Senators should be forced to resign from their positions as well charged with what I believe to be violating “insider trading