Rutledge

BACKGROUND

Rutledge was the president and chairman of the board of a large non-profit corporation, Unity House, Inc., incorporated under the laws of Hawaii. Unity House was originally funded by members of two labor unions. Over the years, the corpora- tion made various investments that permitted it to continue to offer support services to its members.1 At the time of the dis- trict court’s injunction, Unity House had listed assets of approximately $42,000,000. Unity House has board members, 1 The articles of incorporation adopted in 1951 stated the corporation’s purpose to be that of assisting “union members . . . or friends of Labor in the State of Hawaii[,] . . . by seeking to enhance the quality and quantity of jobs in the State of Hawaii, . . . by promoting benevolent and fraternal relationships between all members, past members, and friends of Labor[,] . . . by assisting Workers and their families . . . when in trouble and need or in distress, [and] by providing suitable quarters for the meeting, assem- bling, recreation, and education of the Beneficiaries.” UNITED STATES v. RUTLEDGE 1661 officers, and a corporate counsel and provides various legiti- mate…