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Smithsonian Officials’ Board Roles Come Under Fire

April 11, 2007 | Read Time: 1 minute

The former head of the Smithsonian Institution and its current deputy secretary held seats on the board of directors of one of the institution’s main insurance companies, a role that earned them cash and stock from the company, reports The Washington Post.

Both Lawrence M. Small, who resigned last month amid concerns over his salary and spending decisions, and Sheila P. Burke had served on the board at the Chubb Group since 1989 and 1997, respectively. The insurer has done business with the Smithsonian since 1992, and recently renewed its contract for more than a half-million dollars of annual business for the organization, the paper reports.

A Chubb spokeswoman declined to comment on the matter. A Smithsonian spokeswoman said that as long as there is no conflict, government rules allow employees to sit on private boards, the Post reports.

Sen. Charles E. Grassley, the ranking minority member of the Senate Finance Committee, called the arrangement a “departure from standard practice.” Another critic, Pablo Eisenberg, senior fellow at the Georgetown Public Policy Institute and a commentator for The Chronicle of Philanthropy, dubbed the board positions “a major conflict of interest.”

The Smithsonian’s compensation practices are at issue at a Senate committee hearing today, and another Senate investigation is looking into the Chubb-Smithsonian relationship, the Post reports.


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