AS A MERE boater, but having a great deal of experience with charitable organisations, the conflict of interest, such as Canal & River Trust people accepting free boating holidays is very clear, writes Peter Ponting.
Below is from the Charities Commission's own documentation, and clearly defines 'Conflict of Interest'.
Cannot receive benefit
3. What does the law say about conflicts of interest?
The law states that trustees cannot receive any benefit from their charity in return for any service they provide to the charity unless they have express legal authority to do so. 'Benefit' includes any property, goods or services which have a monetary value, as well as money. This legal authority will come either from a clause in the charity's governing document or, where there is no adequate clause in the governing document, from us or the Court.
The rule that a trustee cannot receive any benefit from his or her charity without explicit authority is based on the principle that trustees should not be in a position where their personal interests and their duty to the charity conflict, unless the possibility of personal benefit from which the conflict of interest arises is transparent. Transparency is achieved by requiring explicit authorisation of the benefit, and by ensuring that any particular conflict of interest is properly and openly managed.
The potential
It is the potential, rather than the actual, benefit from which the conflict of interest arises which requires authority. In order to avoid a breach of trust and to ensure transparency, authority is required where there is a possibility of benefit. This will avoid accusations of impropriety, which could in turn have a damaging effect on the charity's reputation.
Not all benefits enjoyed by trustees need to be authorised by the governing document, the Commission or the Courts. It is perfectly acceptable to repay reasonable out of pocket expenses to trustees. Any costs that are necessary to allow a trustee to carry out his or her duties as a trustee can be classed as expenses and recovered from the charity or met directly by the charity. This may include travel costs and the cost of providing care for a dependent whilst attending a trustee meeting or when undertaking trustee business. It may also include the cost of providing documents in Braille or on audio tape for a trustee who is blind, or providing special transport, equipment or facilities for any trustee with a disability.
Benefits that are available to all, or that are of inconsequential or little measurable value, will not normally need to be authorised, such as the use of the village hall facilities by one of the village hall trustees. This would not need to be authorised, as the facilities are available to all members of the local community, which includes the trustees.
Declare interest
Where a trustee has a conflict of interest or loyalties on a particular issue, but there is no potential for profit, the governing document may still require this trustee to declare his or her interest and take no part in deciding that issue. Any requirement of this kind must be strictly complied with.
In conclusion. Anything related to boating or boaters interests, CaRT people must declare a conflict of interest, and be excluded from any discussions relating to the subject on the agenda.Inland Waterways Association
Likewise the IWA representatives on the Board of Trustees, must also declare a conflict of interest on any matters relating to the upkeep of the canals
If CaRT wish to remain a charitable organisation they must adhere to the governing document they produced to the Charities Commission as it seems they are failing badly.