Presumably the 'consequence' was rack rate.
I would imagine the police would laugh if called in to arrest someone for 'fraud' because they used a rate they weren't entitled to & which someone could explain away as a mistake. Methinks the police have a few more important things to attend to (duh). And it's not like hotels always call the police when there are thefts from guests rooms
I'm not saying someone should use or not use a corporate rate. I responded (as others have) to the OP's original question.
Cheers.