Thread Options
#2050300 - 11/18/15 05:42 PM Conflict of Interest with a Sponsorship
Hi Offline
Member
Joined: Jun 2003
Posts: 54
We have a bank director that holds an annual nationally recognized event. The bank has sponsored the event prior to the event holder joining the Board (sponsored for 3 years - been a director for one year). Since the event owner is now a director, is there any documentation and/or review we should do to document that sponsorship of the Director's event does not cause a conflict of interest?

Are there any other issues we should consider regarding the sponsorship now that the owner is a director?

Return to Top
Audit
#2050308 - 11/18/15 06:09 PM Re: Conflict of Interest with a Sponsorship Hi
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 77,215
Galveston, TX
I don't see any issues, but I am assuming you are talking about some sort of non-profit event.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top
#2050314 - 11/18/15 06:26 PM Re: Conflict of Interest with a Sponsorship Hi
RR Jen Offline
Power Poster
RR Jen
Joined: May 2003
Posts: 3,759
Running and riding everywhere ...
I'd need more details such as...what type of event? Anything political (fundraiser) would be a no no, but I doubt that's it since you sponsored before. Is the Director also an owner of the bank? It cant hurt to document that the amount of the sponsorship is the same as in prior years. If it's something you get CRA credit for, that would be an easy way to track.
_________________________
I don't need any more negativity in my life...be positive and helpful people or I will kick you in the shins!!!

Return to Top
#2050322 - 11/18/15 06:36 PM Re: Conflict of Interest with a Sponsorship Hi
Hi Offline
Member
Joined: Jun 2003
Posts: 54
My understanding the event does make a profit. It is a hunting related competition event where prizes are award to entrants of the competition. No cost to enter the contest. There are also individual retail exhibitors at the event. We are one of 9 major sponsors. The director is a shareholder but not a principal shareholder.

Return to Top
#2050326 - 11/18/15 06:50 PM Re: Conflict of Interest with a Sponsorship Hi
RR Jen Offline
Power Poster
RR Jen
Joined: May 2003
Posts: 3,759
Running and riding everywhere ...
I don't see an issue...notating that the amount is similar to prior years cant hurt.
_________________________
I don't need any more negativity in my life...be positive and helpful people or I will kick you in the shins!!!

Return to Top
#2050332 - 11/18/15 07:07 PM Re: Conflict of Interest with a Sponsorship Hi
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 77,215
Galveston, TX
I don't see anything of note either.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top

Moderator:  Andy_Z