This is a case of equity and trust. The University Grants Commission (UGC) promised to match dollar to dollar for donations collected by Universities inHong Kongfor the development of the research profile and teaching of these universities. The Hong KongUniversityreceived an immense response with donations reaching to two million dollars from the staff and benefactor.

The problem initiated when UGC backed out due to a lack of funds and their action was very much legal. The vice chancellor of the university broke the disappointing news but also added that their donations will now be used further development of the university’s research profile without discussing with the donors if they wished to do so or not. The benefactor had no qualms in letting the chancellor use the money for the university but the staff was not comfortable with the decision. The assignment aims to advice the university whether they should return the money back to the staff and benefactor or not.

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University Grants Commission Case Study
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