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Former NBA Referee Tim Donaghy Entered a Guilty Plea to Two

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Former NBA referee Tim Donaghy entered a guilty plea to two federal felony charges in connection with his bets and tips to others on NBA games.    Mr. Donaghy picked teams to win in games he was scheduled to referee. Experts have said that Donaghy committed the equivalent of insider trading on Wall Street by providing outsiders with information about games, players, and referees. He got $5,000 from his tippees for correct picks. Apart from the criminal charges, what category of ethical breach does Mr. Donaghy's conduct fall into?


Definitions:

Creditors

Individuals or institutions that extend credit or lend money to others with the expectation of being repaid, usually with interest.

Shareholder

An individual or entity that owns shares in a company and holds a stake in its ownership and profits.

Dissolved

The process of legally dissolving a corporation or partnership, effectively ending its existence.

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