But on a site like this, it would be really hard to have mods that are not in some way connected to other members unless the mods are outside people who don't partake in the site.

What we really need are mods who are capable of keeping work and fun seperate, while being able to explain to people their reasoning for their decision if questioned. Especially if the rules call for them to support their friend in a situation, as that would immediately have people start yelling favoritism.