Ethics Scenario #20: Meals on Wheels

20. Peter, who runs a nonprofit “meals on wheels” organization, is seeking creative ways to generate revenue to stave off what appears to be certain bankruptcy for his organization. He decides to drive through the office parking lot late at night when no one is likely to be watching, and slowly crash the back of his car into the side of one of the organization’s vehicles, causing modest damage to the back door of the vehicle with virtually no recognizable damage to his own vehicle. He will wait until one of his drivers reports that there was damage done to the organization’s vehicle. He expects that his insurance company will routinely write out a check to the organization for the damage, which he will deposit into the organization’s checking account rather than using the check to repair the damage. He justifies this by recognizing that the agency has received little return from its vehicle insurance policies, and that the money would be used for a good cause rather than making an almost unrecognizable increase in the profits of the national insurance company.

a. Is Peter acting ethically?

b. Is Peter violating any laws?