A December 2008 University Wire news article reports on the former head of a Midwestern University’s Printing and Graphics Services Unit being indicted on charges he directed department contracts to his wife's businesses. From January 2003 until July 2008, the unit head allegedly awarded more than $100,000 in university contracts to three businesses owned by his wife. The investigation started with an anonymous tip to a University’s ethics report line on June 2008. The state auditor informed the University of receiving a similar complaint in early-July of that same year. The unit head was put on administrative leave on July 1, 2008, and he retired on July 25.

Lessons members of the UCSC community can learn from this:

1. Vendors should be reviewed before business is conducted with them to ensure that there are no conflicts of interest. Refer to the Procurement and Business Contracts Office Conflict of Interest Overview for further guidance.
2. The Business Contracts Office reviews contracts with vendors and prospective vendors to ensure they comply with all legal and policy requirement
3. In general, purchases and contracts involving $50,000 or more must be competitively bid to ensure that the campus obtains the best available price. Refer to the Procurement and Business Contracts website for more information.