Ethical Issues In Non-Profit Organizations

On 21 Sept, ‘05, Queen’s University returned a pledge of $1 million to David Radler .(Dunn, 2010) Return of funds that have been compromised is not new. Therefore, in the case of 11.1a, it is perceived that the donor is involved in some unethical practices; hence, it is clear that the decision to return the fund is easy. Non-profits Organizations (NPO) are bound by federal laws and regulations; along with applicable state policies. (Worth, pg.131) With that in mind, it is important that a careful consideration is made on behalf of the organization and its stakeholders. I would not accept the gift on behalf of the organization. Non-profit, are under a lot of scrutiny; therefore, it is important there is transparency. I would approach by telling the donor of the alleged allegations and reiterating what the organization stands for and its values. Hence refocusing the real issue on the intent behind the donated funds and not the donor.
If the donor is cleared of all allegations, our NPO would gladly accept the donation if the donor is willing to participate. “A tainted donor is a previously clean benefactor who has become socially unacceptable because of …show more content…
“The contributions made by individuals to not-for-profit organizations; therefore, do not represent a bartering transaction in which each party receives the same ‘value.’” (Rossouw, 2006) In most cases, there is not an equal exchange of value. Therefore, with the donor’s request to set-up the art gallery likes her home could cause issues. According to Worth, there are limits on how much influence a donor has, furthermore, a request as such, may go against the NPO values and mission. Therefore, it may be easier to tell the donor no thank you. If turning down the gift could cause potential relationship issues in the future, then the situation should be reevaluated and discussed with t the