NEW SOUTH WALES — The Australian Charities and Not-for-profits Commission has suspended Dr Sharmila Chandran as a responsible person of the Royal Australasian College of Physicians until 20 September 2026. The ACNC commissioner also appointed Adjunct Prof Susan Pascoe as interim board chair of the RACP.

On 5 May, SafeWork NSW issued a prohibition notice directing board members to refrain from communicating with RACP staff except for the chief executive. SafeWork NSW advised that failure to comply with the notice would expose RACP staff to immediate and serious risks to their psychological health and safety. Chandran persisted in communicating in writing with RACP staff in contravention of the directions made in the prohibition notice.

In March, SafeWork NSW found that the RACP had contravened workplace health and safety laws, issuing a notice stating that it did not adequately manage the risk of harmful behaviour within the operations of the board. RACP board members requested the ACNC to dissolve the board in March and April, but those requests were unsuccessful.

The ACNC met with the RACP board earlier this month and informed the college it intended to investigate. The RACP board agreed to work with the ACNC to meet its obligations under the ACNC governance standards and to provide a safe workplace for its employees and volunteers.

The ACNC said that if it could not be reasonably satisfied that the college would meet its governance obligations at the end of the suspension period, it could extend the suspension, remove Chandran as a responsible person, or take other regulatory action against the RACP. Pascoe served as the inaugural charities commissioner from 2012 to 2017.

Chandran declined to comment on her suspension. In August 2024, the RACP board passed a vote of no confidence in her. In May 2025, she lodged an anti-bullying order with the Fair Work Commission, and subsequently dropped the anti-bullying case against Prof Jennifer Martin and the RACP. "I don't think Fair Work is very fair. It's not serving the Australian community," Chandran said. Martin, the outgoing president of the RACP, was ousted five weeks early at an April vote.

The RACP comprises more than 32,000 physicians in Australia and New Zealand across 33 specialties including cardiology, neurology, gastroenterology, and haematology. RACP membership is mandatory for trainee doctors who wish to become accredited as specialists.