Results 1 to 3 of 3
  1. #1
    Join Date
    Apr 2012
    Location
    Texas
    Posts
    1

    Default City Employee Using a Sham Sale to Bid on Municipal Contracts

    My question involves criminal law for the state of: Texas

    Would this activity be considered illegal: A city employee has a business they operate during the off duty hours. The city has a very clear policy that city employees cannot engage in business with the city outside of their actually job responsibilities. The city posts a a public bid for service. The employee wants the contract but knows they cannot bid on it. So, the employee transfers the ownership of the business to an immediate relative for a $1.00. This business, per the employee, is worth $3 million. The business wins the contract and the employee profits from it. Is this in anyway considered fraud?

  2. #2
    Join Date
    Sep 2011
    Location
    OH10
    Posts
    17,019

    Default Re: City Employee Using a Sham Sale to Bid on Municipal Contracts

    It is fraudulent, if the employee is the one profiting. The owner of the business should be profiting. You should report this to the states Attorney General.

  3. #3
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: City Employee Using a Sham Sale to Bid on Municipal Contracts

    If the city has personnel rules prohibiting the employee's conduct, you can report your suspicions to whomever in the city is responsible for investigating employee misconduct, along with whatever evidence you have that this was a sham transaction and not a bona fide transfer of the business.

    1. Sponsored Links
       

Similar Threads

  1. Collective Bargaining: Can an Arrest be Grounds for Termination of a City Employee
    By Karen0929 in forum Employment and Labor
    Replies: 1
    Last Post: 05-17-2011, 11:26 AM
  2. Foreclosure: Mortgage Company Loses Short Sale Contracts
    By closb in forum Buying, Selling and Conveying Real Estate
    Replies: 11
    Last Post: 07-25-2008, 01:46 PM
  3. Tourist Visas: B1 Visas and Service Contracts Incident to Sale
    By domainjon in forum Visas for Business, Tourism and Family
    Replies: 1
    Last Post: 01-14-2008, 09:15 PM
  4. Non-Compete Agreements: Employee contracts, non-compete clauses, independent contractors, and theft
    By heat_84 in forum Employment and Labor
    Replies: 1
    Last Post: 01-10-2007, 07:21 AM
  5. Purchase Contracts: Assignment of Contracts for the Purchase or Sale of Real Estate
    By somedeity in forum Buying, Selling and Conveying Real Estate
    Replies: 3
    Last Post: 08-29-2006, 08:06 AM
 
 
Sponsored Links

Legal Help, Information and Resources