Bullying, mismanagement allegations rock major medical body

The incoming president of one of Australia’s largest medical colleges has cast doubt on its long-term survival due to concerns over a $40 million IT overhaul, a dysfunctional board, and an external investigation into bullying allegations against the outgoing president.

Dr Sharmila Chandran, a Melbourne-based renal physician, is due in May to begin her term as president of the Royal Australasian College of Physicians (RACP), the body responsible for training and accrediting about 32,000 doctors across 33 specialties in Australia and New Zealand.

But her path has been disrupted by conflict inside the college resulting in a Fair Work Commission complaint, the resignation of most of the board, and three member votes on constitutional changes which would prevent her from assuming the dual roles of president and board chair. All three motions failed.

The outgoing president, Professor Jennifer Martin, is attempting to bring the organisation’s constitution in line with other colleges that separate the roles of president and board chair, but has faced firm opposition from Chandran and her supporters.

Writing for the medical trade website the limbic in August, Martin said the changes were common sense.

“Boards should have the skills to oversee complex organisations, and no one person should dominate by holding multiple roles,” she wrote. “The public has a right to expect that from us too.”

In a letter sent to members on February 11, Chandran said many were concerned about a lack of communication from the college’s board.

“Given the gravity of the issues facing the College, I do feel that members deserve transparency,” she wrote.

“I have escalating concerns about the financial governance, ethical leadership, and organisational culture of the RACP, causing great risks to its survival as a medical college.”

Chandran revealed the treasurer of the board, Vincent So, resigned earlier this month, leaving the four remaining directors “with no formal financial qualifications or specialist financial expertise”.

She alleged a three-person board approved the college’s $100 million budget in the absence of the treasurer and the president-elect. She also said there had been little board oversight of a $40 million project to revamp the college’s IT systems.

In a letter to members on Thursday, Martin disputed the allegations and said the IT overhaul was overseen by a committee “consisting of independent, highly skilled IT and technology experts”.

A spokesperson for the RACP said the college’s finances were stable, and all board decisions were made in line with requirements under its constitution and Australian law.

“Public disagreement within elected leadership can be unsettling,” the spokesperson said in a statement. “The board remains focused on ensuring institutional continuity, supporting fellows and trainees, and upholding the standards expected of a medical college.”

It is not the first time the college has faced such allegations. In 2018, former employees alleged the college fostered a “toxic culture” and senior doctors led calls for an investigation into its transparency, financial management, and handling of previous elections.

The college is a registered charity with an annual revenue of $87 million, mostly accrued from fees charged for training and ongoing membership.

Leaked report finds bullying allegations ‘substantiated’

The RACP hired external firm Centium in July to investigate separate bullying allegations made against Martin, this time by company secretary Fiona Davis.

A final report on the investigation, presented to the board in November and seen by this masthead, found seven allegations could be substantiated – three of which constituted disrespectful and “arguably bullying and harassing conduct” which did not “foster an atmosphere conducive to good working relations”.

Martin’s actions likely breached the college’s code of conduct, the report found.

The college’s spokesperson said the board had considered the findings and was implementing its recommendations.

“As this relates to confidential employment matters, it is neither appropriate nor lawful for the college to release the report or comment in detail on individual findings or any employment actions taken,” they said.

Martin said in a statement she respected the process and would not comment further on the report’s findings.

“My focus remains on serving the fellows and trainees of the college and ensuring continuity of leadership until the end of my term,” she said.

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