§ 6811 Director Fraudulent Distribution Crime

• •If a company boss helps make a decision to give out money or stuff to trick people the company owes money to, or to trick the company itself, that’s a crime.
• •The boss can go to jail for up to a year or pay a fine up to $1,000, or both.
• •The boss has to know what they’re doing is wrong and dishonest to be guilty.

A company is struggling and owes money to banks and suppliers. The boss and other leaders decide to give themselves big bonuses anyway, even though they know the company can’t pay its bills. They do this to hide money from the people they owe.

This is breaking the law because the bosses are knowingly taking money in a sneaky way to avoid paying back what the company owes. They could go to jail or have to pay a fine.