Eyebrows were raised when a Durban-based ethics researcher refused to recuse himself as a trustee in the body corporate he served when he had a conflict of interest in a matter being considered.
The trustee, who used his profession as an ethics researcher to rationalise his unethical actions, continued to be involved in decision-making within the body corporate despite his personal interests. This begs the question: can trustees influence decisions in which they have a conflict of interest?
The answer is more straightforward than one would think. Prescribed Management Rule 6(3) of the Sectional Titles Schemes Management (“STSM”) Regulations states that a body corporate trustee with a direct or indirect personal interest in a matter must not play any part in such matter.
Furthermore, Subsection 8(2)(b) of the STSM Act sets out that a body corporate trustee must avoid any material conflict between his interests and those of the body corporate.
As a result, it therefore remains unethical for a person to influence matters in which they have a conflict of interest, regardless of whether the said person works as an ethics researcher externally.
Ashwini Singh, Law academic, Durban
READER LETTER | Rules for a reason
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Eyebrows were raised when a Durban-based ethics researcher refused to recuse himself as a trustee in the body corporate he served when he had a conflict of interest in a matter being considered.
The trustee, who used his profession as an ethics researcher to rationalise his unethical actions, continued to be involved in decision-making within the body corporate despite his personal interests. This begs the question: can trustees influence decisions in which they have a conflict of interest?
The answer is more straightforward than one would think. Prescribed Management Rule 6(3) of the Sectional Titles Schemes Management (“STSM”) Regulations states that a body corporate trustee with a direct or indirect personal interest in a matter must not play any part in such matter.
Furthermore, Subsection 8(2)(b) of the STSM Act sets out that a body corporate trustee must avoid any material conflict between his interests and those of the body corporate.
As a result, it therefore remains unethical for a person to influence matters in which they have a conflict of interest, regardless of whether the said person works as an ethics researcher externally.
Ashwini Singh, Law academic, Durban
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