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2462. Loans To Union Officers And Payment Of Fines -- 29 U.S.C. 503

Section 503(a) prohibits labor organizations regulated by the Labor-Management Reporting and Disclosure Act (LMRDA) from making loans to any one officer or employee which result in a total indebtedness in excess of $2,000. Section 503(b) prohibits a labor organization or an employer regulated by the LMRDA from paying, directly or indirectly, a criminal fine imposed on an officer or employee convicted of a willful violation of the LMRDA. A willful violation of Section 503(a) or 503(b) can result in imprisonment of one year and/or a fine.

[cited in USAM 9-139.020]

Updated May 22, 2015