H is a senior production manager for P Ltd which is about to make a strategic decision on setting up a new production line requiring $3 million of new specialist equipment.
H’s daughter is friends with and goes to school with the daughter of T, the sales manager in KK Ltd. KK Ltd is a potential supplier of the specialist equipment that P Ltd requires.
T owns a holiday home. H’s daughter regularly accompanies T’s daughter on family vacations at this holiday home, all at T’s expense.
H is the only person working for P Ltd who is qualified to select the specialist equipment.
KK Ltd will definitely bid for the sale.
What should H do?
A . H should exclude KK Ltd from the bidding process.
B . H should declare an interest and withdraw from the assessment process.
C . H should permit KK Ltd to bid, but should insist that T should not be involved.
D . H should declare an interest, giving details of his daughter’s friendship with T’s daughter, but should participate fully in the assessment process.
Answer: D
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