Waterboarding at work: What were they thinking?

Looking for ways to boost morale around the office? “Simulated drowning” might not be the best option.
An ex-employee of executive coaching firm Prosper, Inc., claims his boss, as part of what was called a “team-building exercise,” asked him to lie face up on the ground. Then, several co-workers held him in place while the boss poured a gallon of water over his mouth and nose.
You read correctly: In other words, they “waterboarded” him. That’s the same technique the CIA has come under fire for using while interrogating suspected Al-Qaeda members. What the company planned to accomplish isn’t clear, but it isn’t denying that this happened – only claiming that it was OK because the guy volunteered for the exercise.
Broader lessons
What can other companies learn from this one’s mistake? (Assuming they already know that torture at work can be a real downer.) Mainly, the lesson is: Take complaints seriously. Allegedly, the victim filed a complaint with HR, but nothing was done about it.
If the claim had been investigated, a nasty court fight and a whole lot of negative publicity could have been avoided.