The State Ethics Commission has blocked an external vacancy. (Getty Images)
The State Ethics Commission has blocked an outside employment opportunity for a state employee involving whiskey barrels.
The chief operating officer and chief of staff of the Indiana Destination Development Corporation (IDDC) requested a formal ethics opinion regarding a new job. His name is not in the advice, but is on the IDDC website. He’s David Holt.
“I just wanted to do what was right. I had the opportunity and that’s why I asked,” Holt told the Indiana Capital Chronicle. “I kind of knew the opportunity was going to be turned down and so I moved on.”
IDDC is the marketing department of the state. It helps promote Indiana destinations, from sports facilities and music venues to zoos and amusement parks.
The opinion was prepared by Regan Perrodin, director of the State Ethics Commission. It was explained that the Holt regularly meets with venues and others to discuss how IDDC can assist with promotions to attract out-of-state visitors.
The tourist office often offers two ways to help these locations: a calendar of events and ticket giveaways.
According to the advice, while meeting with distilleries, Holt discovered that they are having trouble getting whiskey barrels at a good price because many larger distilleries in Tennessee and Kentucky are buying them up.
Holt casually mentioned this to a family friend while he was outside of work. The friend said the hardwood company he worked for had a relationship with barrel-making companies in Kentucky. The company suggested that Holt could work on his own time to help the distilleries with this problem.
In this potential role, Holt would give the distilleries or distillery guild a fixed price for each barrel if they have enough volume for the barrels. He acted as a “middleman” between the distillery or guild and his friend’s hardwood company. The company was already picking up supplies from the cooperage in Kentucky so that it would take the barrels to Indiana and deliver them to the distilleries.
Holt was reportedly paid by the friend’s hardwood lumber company.
The committee ruled that the arrangement would pose a conflict of interest.
It was specified that Holt would use the information he learned during his state duties to make a profit. It was also determined that he would use his official position to secure unwarranted privileges or exemptions of substantial value not available to similarly situated persons outside the state government.
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