It’s a conflict of interest if it’s not declared
Because it’s declared, it’s open and transparent.
As to if it means someone needs to “recuse” themselves from the decision-making process, that’s when it becomes a conflict of actual interest when they don’t and ought have
The ICAC NSW has this to say about conflicts of interest:
Conflicts of interest
Citizens rightly expect that public officials, or their close connections and associates, should never be in a position to obtain an undue personal benefit as a result of the public official doing their job. This reflects the view that public office is held for the public good, not the purposes or benefits of the officeholder...
...A conflict of interest exists when a reasonable person might perceive that a public official’s personal interest(s) could be favoured over their public duties.
Under the National Anti-Corruption Commission Act (2022) (the NACC Act):
‘…an act (or failure to act) by a public official could be improper because it:
• involves an undeclared or unmanaged conflict of interest…’
Where a public official engages in an “improper” act or omission in their official capacity, it is considered an ‘…abuse of office…’; and abuse of office is one of the ‘…4 types of corrupt conduct under the NACC Act’.
While failing to declare or manage the situation may, depending on the circumstances, be considered improper and an abuse of office (and therefore corrupt conduct), to my mind the conflict of interest remains whether it is declared or not.
Furthermore, whilst I acknowledge that selective quoting risks taking someone's words out of context, I note that according the UK's Chartered Institute of Internal Auditors:
In recent years, anti-bribery and corruption legislation has been introduced across a number of different countries including the UK, US, France and Germany, highlighting that the receiving of gifts or hospitality could amount to a bribe where intended to induce someone to behave in a certain manner. (Emphasis added)
Is the Chairman's Lounge '...intended to induce someone to behave in a certain manner...' or to provide a quiet environment for the upper echelons of business and government to discuss matters of mutual interest? What, if anything, does QF expect to gain in return by offering complimentary membership of the Chairman’s Lounge? Does VA expect something in return for complimentary membership of the Beyond Lounge?
Having worked for government agencies, I note that those public servants at lower levels of the organisation are not allowed to accept gifts and may be subject to disciplinary action, including dismissal, while those at the top of the tree (those who make the rules) often exempt themselves from that same level of scrutiny.
