New York's Cooperative and Condominium Community
Hello. A co-op board member/president wants to purchase an additional apt/shares from a sponsor. A couple of other board members as well as some shareholders are aware of a proposed kickback scheme by the purchasing board member (unknown if any "benefit" has been consummated). It is understood that the same board member has attempted and acted on other very unethical, illegal arrangements and behavior in the context of coop governance. Should and could the remaining board members refuse to endorse shares and any other purchase-related documents due to this knowledge and therefore sink the purchase ? It seems to me that cooperating with the shady board member's enhancement of his presence in the corporation is not only unethical and immoral but would practically render the board members vulnerable to liability. Does anyone out there agree ?
Join the Conversation Comments (1)Introduce yourself to other members of Board Talk! Log in below or register here.
Board Talk members who registered prior to March 9th, 2016 will need to reset their password.
Habitat U: learn about how to manage a building, and what you should know as a co-op or condo board member.
Search, by word or phrase, all magazine articles from January 2002 to present. You may print or email your results. Print subscribers receive free access to the Habitat Article Archive.
Learn all the basics of NYC co-op and condo management, with straight talk from heavy hitters in the field of co-op or condo apartments
Professionals in some of the key fields of co-op and condo board governance and building management answer common questions in their areas of expertise
Got elected? Are you on your co-op/condo board?
Then don’t miss a beat! Stories you can use to make your building better, keep it out of trouble, save money, enhance market value, and make your board life a whole lot easier!
Nothing you can do, nor is it illegal.
Most "offering" plans exempt the sponsor from board approval when selling "unsold shares". And the sponsor is free to sell his unit to whomever they want to.
Thank you for rating!
You have already rated this page, you can only rate it once!
Your rating has been changed, thanks for rating!
Board Talk members who registered prior to March 9th, 2016 will need to reset their password.