Leadership affects employees’ attitudes and behaviors at work. Interdependence and collaboration among employees has been the norm for contemporary organizations. The promotion of mutual trust and accountability thus becomes a pressing issue for managers. This study aims to investigate the effect of transformational leadership on organizational trust and the subsequent effect on employees’ perceived accountability and ethical behavior. This study also explores the mediation of trust on the relationships between transformational leadership and perceived accountability as well as ethical behavior. It is found that transformational leadership is positively related to organizational trust. Organizational trust is positively related to employees’ perceived accountability and ethical behavior. In addition, it is also confirmed that trust mediates the relationship between transformational leadership and employees’ ethical behavior. Managerial implications and suggestions for future research are thus discussed.