@tracer said:
In our strata, 2 members of the 7 member EC have a direct conflict of interest in the provision of trade services to the building. Although they do not vote when the contracts / agreements are approved at committee meetings, they have ‘won’ all work in this particular field since joining the committee.And the amounts involved aren’t petty – the most recent contract signed was $28,000.
The EC believe that is is all above board as they didn’t vote on the issue. However it smells.
Understand that there is no provision in NSW strata legislation covering this (we are an old building).
Any advice appreciated.
Perhaps they are generously quoting to provide the services to the place where they live at little or no profit to themselves and consequently are cheaper than others. Perhaps they are acting with self-interest because they know they will do a quality job but others might not. They seem to be doing the right thing by abstaining from voting on the EC.
The best evidence that things are not so rosy would be if the same services could be provided distinctly cheaper by someone else. Did the EC get other quotes? If you really thought there were grounds to be worried you could perhaps get an indicative quote from someone else.