It is often said, “if you aren’t cheating, you aren’t trying.” I have also heard, “cheaters never prosper.”

Cheating, stealing and spying came to the forefront in sports as two unprecedented penalties were handed out in two separate incidents.

Bill Belichick, Head Coach of the New England Patriots' was fined by NFL commissioner Roger Goodell for $500,000 while the team was docked $250,000 and a first-day draft pick next year. The penalty arose when the Patriots were causght using a video camera to spy on opposing coaches in a game last Sunday against the New York Jets. It was the biggest fine ever for a coach and the first time in NFL history a first-round draft pick has been confiscated as a penalty.

Meanwhile, across the pond, the International Automobile Federation (FIA) stripped Formula One racing team McLaren of their 2007 series points and potential championship and fined them a record $100 million. The sentence was imposed after a hearing concluded that the team had made use of a 780-page dossier of data from rival Ferrari.

Are these isolated instances or will we see more cheating, spying and stealing in the business of sports and business at large?

This question reminds me of a speech on business ethics and leadership that I heard recently by former Harvard Business School Dean, Kim B. Clark. Clark produced data to support his claim that the rapid increase in technological innovation has disrupted markets and significantly reduced transaction costs. These conditions have “created an opportunity for mischief” as regulations, laws and enforcement have not kept up. Clark suggested that when making ethical decisions, the logic of the market has become “if it is profitable, it is good.” Or perhaps in the case of Belichick and the McLaren, the logic is, “if we win, it is good.”

According to Clark, technology has provided more opportunities to cheat and in the absence of rules, laws and regulations, it is incumbent upon us, to live by a standard of honesty and integrity – not because we may get caught but because it is right.

I am not sure everyone gets that. I found it amazing and disappointing that the NFL and Belichick

“stressed that the camera was seized before the end of the first quarter and had no impact on the game, which the Patriots won 38-14.”

While I understand that it was important for the New York Jets to know how much spying was done, such a statement supports the idea that cheating is okay if it doesn’t change an outcome. Obviously, the penalty indicates cheating was not okay. But the ramifications go beyond this game. A draft choice has been forfeited and the credibility and character of a man and an organization has been tarnished.

Michael Silver, from Yahoo! Sports commented,

“Some people, including a few current members of the Philadelphia Eagles, are even questioning whether the Pats' three Super Bowl victories in the previous six seasons are tainted by this behavior.”

On the Formula One spying case, McLaren boss Ron Dennis seemed less than contrite when asked about the fine noting that his team can afford the fine and still maintain operations. From Reuters UK,

"But as you can see if you read our accounts, we turn over roughly $450-500 million a year, and we are debt-free, so obviously we are a very strong company with phenomenal growth."

Steroids in baseball, cyclists doping in the Tour de France, NBA official betting and throwing games and now cheating in the NFL and Formula One spying.

I am not sure people are any different today than 100 years or even 1,000 years ago. There will always be cheaters. But it seems like there is more opportunity today than ever before to cheat. Let’s hope that when teh cheat opportunity knocks, most of us don’t open the door, no matter how much money, fame or fortune appears to be on the other side.

photo credit to AP for Belichick and MacLaren