One benefit of knowledge management systems (KMS) is “the right kind of knowledge” can be created, stored, and properly distributed to “the right persons” who need it. However, the same KMS can also be turned into a place of omnipresent surveillance. Our study reports the case of a web-based professional (teacher) KMS (SCTNet) in Taiwan that was put in place to facilitate knowledge creation and sharing. The research results show that the interplay of IT power and managerial surveillance creates a kind of Panopticon. In this setting, as participants pursue their quest for knowledge, they need to struggle against the gaze of other professionals and supervisors. This presents a hazard to knowledge creation and sharing in terms of knowledge ethics.