I was recently running network tests using a packet sniffer on our corporate LAN. It was about 22:00 an I thought I was alone in the building. Then I came accross some packets that shouldn't have been there and so took a closer look. Upon inspection I found that someone was using a terminal in another part of the building to access porn.

I should say first that we have a policy of reporting such abuse to the abusers direct superior. It was me who instigated the procedure (I am the technical director of said company) and I have never before had any hesitation in following the procedure I have laid down.

But here's the twist, and the moral dilemma. The orientation of the sites being browsed were of a homosexual nature, and no-one in the office has any idea that the user in question is gay (except - now - me). Usually the offender would get a verbal warning from their direct supervisor. Repeat offenders (though it's never happend) then a written warning, and then fired.

In this case however, if I were to report this to his direct supervisor I would have to produce the logs and whilst the guys sexual preference makes no difference to me I am aware that this could cause him a great many more problems in the office than just the normal slapped wrists routine.

I don't want to end up losing a good employee (and he is) but I need to reconcile that against my policy on internet abuse. Suggestions please...