§ 503. — Financial transactions between labor organization and officers and employees.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 29USC503]
TITLE 29--LABOR
CHAPTER 11--LABOR-MANAGEMENT REPORTING AND DISCLOSURE PROCEDURE
SUBCHAPTER VI--SAFEGUARDS FOR LABOR ORGANIZATIONS
Sec. 503. Financial transactions between labor organization and
officers and employees
(a) Direct and indirect loans
No labor organization shall make directly or indirectly any loan or
loans to any officer or employee of such organization which results in a
total indebtedness on the part of such officer or employee to the labor
organization in excess of $2,000.
(b) Direct or indirect payment of fines
No labor organization or employer shall directly or indirectly pay
the fine of any officer or employee convicted of any willful violation
of this chapter.
(c) Penalty for violations
Any person who willfully violates this section shall be fined not
more than $5,000 or imprisoned for not more than one year, or both.
(Pub. L. 86-257, title V, Sec. 503, Sept. 14, 1959, 73 Stat. 536.)
