Ethics Scenario #64: Bowling Promotion Association

64. David is the Chairman of the Board of the state’s Bowling Promotion Association, a 501(c)(6) tax-exempt nonprofit organization, which represents the interests of bowling alleys before the state legislature and executive branch. The current executive director, Genevieve, has just resigned, having eloped with the organization’s lobbyist, who also submitted his resignation. Both have relocated to another state, leaving the management of the organization in disarray. At the emergency board meeting held to discuss this situation, David tells the board he is willing to serve as the executive director of the organization for the next two years, if the rest of the board approves, but that he still wants to continue as the Chair of the Board. He is willing to serve at the same salary as Genevieve. He asks if there is anyone who objects to this, and no one responds.

a. Is David’s behavior ethical?

b.  Is the board acting ethically?