Contemporary Business and Online Commerce Law 7th Edition by Henry R Cheeseman

Exercise 5

Bribery The city of Peoria, Illinois, received federal funds from the Department of Housing and Urban Development (HUD) to be used for housing rehabilitation assistance. The city of Peoria designated United Neighborhoods, Inc. (UNI), a corporation, to administer the funds. Arthur Dixon was UNI’s executive director, and James Lee Hinton was its housing rehabilitation coordinator. In these capacities, they were responsible for contracting with suppliers and trades people to provide the necessary goods and services to rehabilitate the houses. Evidence showed that Dixon and Hinton used their positions to extract 10 percent payments back on all contracts they awarded. What crimes have Dixon and Hinton committed? Dixon and Hinton v. United States, 465 U.S. 482, 104 S.Ct. 1172, 79 L.Ed.2d 458, Web 1984 U.S. Lexis 35 (Supreme Court of the United States)

Step 1 of 3

Facts of the Case

The case is related to the concept of bribery. The department of Housing and urban Development provided funds to the city of Peoria, Illinois for the rehabilitation of housing in the area. United Neighborhoods, Inc. (UNI) was the designated authority to look after to supervise and monitor the utilization of funds. The executive director of the corporation was AD and the coordinator of rehabilitation work was JLH.

The role of both of them was to enter into contracts with supplier and other trading entities so that the rehabilitation work falls in line with the plan. During this task it was evidenced that both of them took a pass back of close to 10 percent on different contracts given to all entities.