1)Dalia lama is a Tibetan Buddhism spiritual leader. http://www.google.com.au/search?hl=en&defl=en&q=define:Dalai+&oi=glossary_definition&ct=title
2) The moral Integrity is that the dalia lama resigned just because there are riot going on and he was accused for it, so he is resigning as spiritual leader even though he sais hes not responsable for any of it.