Ethics Scenario #39: Kessler Chocolate Foundation

39. Leslie is part of the political elite of the community, or at least aspires to be. He has landed a plum position on the board of the Kessler Chocolate Company, where he earns a six-figure honorarium for simply attending four corporate board meetings each year. As a former elected member of the state legislature, he is expected to offer political advice to the corporation which, since all of the board members are long-time personal friends anyway, he would feel comfortable providing for free. As part of his service, he is expected to serve on the board of the corporation’s captive charity, for which he is paid an additional high five-figure stipend, and for which he is also expected to serve without making any waves or questioning the leadership. This reminds him of when he was a first-term member of the state legislator, and was expected to vote for whatever the leadership wanted without question, in exchange for financial help getting reelected, the approval of pet projects in his district, and a lifestyle augmented by taxpayer funded perks. At the board meeting of the Kessler Chocolate Foundation, the Chair of the board is suggesting that the salary of the officers of the board be increased from $100,000 to $150,000 annually. Leslie thinks that is perhaps excessive for a position that is typically volunteer, but recognizes that if he plays his cards right, he could become an officer within a few years and never have any money worries again. With the rest of his colleagues on the board, he votes to approve the chair’s motion.

a. Is Leslie being ethical by voting on the chair’s motion?

b. Is Leslie being ethical by serving on this board?