Standard Oil Company of Texas and Pasotex Pipe Line Company v. United States

JOHN R. BROWN, Circuit Judge.

This appeal by two corporate defendants, from fines imposed on judgments of conviction under the Connally Hot Oil Act, 1 raises this basic question. May a corporate employer be held liable for a crime committed by employees who, although ostensibly acting in the performance of their duties, were really cooperating with a third person in the accomplishment of a criminal purpose for the benefit of that third person, and whose acts not only did not benefit the employer, but in some instances, at least, result in a theft of its property? As to one count for failure to…