Two individuals were employed by a cable and radio corporation, one as a general systems analyst (analyst) and the other, a technical operations support manager (manager). They were allegedly very close as they lived in the same apartment. Sometime in 1984, the corporation received reports that equipment and spare parts worth thousands of dollars under the custody of the manager were missing. After a thorough investigation, it was discovered that the manager had entered into a partnership with a commercial and industrial company. This industrial company was a supplier of the corporation, often recommended by their manager.

In addition, the corporation also discovered an air conditioning unit missing and found that the unit was in the manager’s possession. He would use it for his own personal use without authorization from the corporation and with the intent to defraud it. It was also discovered that the analyst violated “company regulations by involving herself in transactions conflicting with the company’s interests” since it was proven that she had full knowledge of the loss and whereabouts of the air conditioner yet failed to inform her employer and even signed as a witness to the articles of partnership.

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