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where were their morals
Businesses don't have morals, they have fiduciary duties. They made more money by having Wiggins perform better, and they don't care about his long term reputation unless it comes back to bite them on the arse in financial terms later. It looks like that might be happening to some extent, but probably not enough to make it a bad business decision.
Any moderately intelligent person (which clearly excludes Wiggins) should know that the same strict liability which applies to doping also applies to pushing the envelope. The athlete always has the option to push back against management pressure to do morally dubious things.