Juicy Energy Industries develops and produces bio mass, an alternative energy source. The company has an outstanding $10,000,000 30-year, 10% bond issue dated July 1, 2007. The bond issue is due June 30, 2046. Some bond indentures require the corporation issuing the bonds to transfer cash to a special cash fund, called a sinking fund, over the life of the bond. Such funds help assure investors that there will be adequate cash to pay the bonds at their maturity date.

The bond indenture requires a bond sinking fund, which has a balance of $1,200,000 as of July 1, 2021. The company is currently experiencing a shortage of funds due to a recent acquisition. Dillip Fogel, the company's treasure, is considering using the funds from the bond sinking fund to cover payroll and other bills that are coming due at the end of the month. Dillip's brother-in-law is a trustee in a sinking fund, who has indicated willingness to allow Dillip to use the funds from the sinking fund to temporarily see the company's cash needs.

Discuss whether Dillip's proposal is appropriate.