Question:

Principle: A public official must avoid conflicts of interest that could undermine public trust, even if no actual wrongdoing occurs.
Facts: A city mayor awards a major construction contract to a company owned by her cousin. She discloses the relationship publicly and follows all procurement procedures.
Apply the principle and select the most appropriate option:

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For principle–fact questions, prioritize the core value in the principle—here, preservation of public trust.
  • Contract should proceed since procedures were followed
  • Contract should be avoided to maintain public trust
  • Cousin should sell the company before bidding
  • Mayor should resign
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The Correct Option is B

Solution and Explanation

Despite procedural compliance, awarding the contract to a relative creates a conflict of interest that can undermine public trust.
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