I just saw the article College frat boys in "Borat" movie sue filmmakers which states

Two of the college fraternity brothers shown guzzling alcohol and making racist remarks in the "Borat" movie have sued the studio and producers for fraud, saying filmmakers duped them into appearing in the movie by getting them drunk.
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The scene at issue in the lawsuit depicts Borat conducting a drunken interview with three college frat boys in a motor home. As the four grow increasingly inebriated, they make racist remarks about slavery and how minorities in the United States "have all the power."
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"Believing the film would not be viewed in the United States and at the encouragement of (the filmmakers), plaintiffs engaged in behavior they otherwise would not have engaged in," the suit says.

"They took advantage of those kids for their own financial gain," plaintiffs' lawyer, Olivier Tailleiu, told Reuters.

Fallout from the movie, Tailleiu said, cost one of the students a job at a major corporation and another "a very prestigious internship." The third student involved in the scene did not take part in the suit, he said.

I guess the saying should be updated from "Character is what you do when no one is looking" to "Character is what you do when you think the only peoplelooking are foreigners who live thousands of miles away". As I watched that scene in the movie, I wondered how many people I've known sound like that once you loosen them up with a few beers and no minorities or women are around. My guess is quite a few.

PS:The Borat movie is hilarious and biting satire at the same time, if you haven't seen it you need to watch that as soon as you get the chance.