[Code of Federal Regulations]

[Title 45, Volume 1]

[Revised as of October 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 45CFR73.735-803]



[Page 186]

 

                        TITLE 45--PUBLIC WELFARE

 

                    SUBTITLE A--DEPARTMENT OF HEALTH

                           AND HUMAN SERVICES

 

PART 73_STANDARDS OF CONDUCT--Table of Contents

 

                      Subpart H_Financial Interest

 

Sec.  73.735-803  Prohibition against involvement in financial 

transactions based on information obtained through Federal employment.



    An employee shall not engage in, directly or indirectly, a financial 

transaction as a result of, or in primary reliance upon, any information 

gained through his or her official duties. Information gained through 

official duties are those facts and other data that relate to the 

employee's official duties or to the functions of the employing 

component and would not be available to the employee were he or she not 

an officer of the Federal government.



    Example 1: An employee working part-time for a consulting firm that 

does no business with the employee's principal operating component, in 

the area of health care planning advises it, based upon his or her 

knowledge of a new health care planning program about to be initiated by 

the Public Health Service. The employee's knowledge of the program was 

acquired solely through reading policy statements and other PHS 

literature available to the public under the Freedom of Information Act. 

In such case, the employee would not violate this regulation if the 

outside activity was otherwise approvable under Subpart G.

    Example 2: A contracting officer with detailed knowledge of a 

negotiated procurement contract invests in a corporation that is likely 

to indirectly profit from the award of that contract. The officer's 

decision to invest is based upon technical details of the successful 

contract proposal that would not otherwise be available to a private 

citizen. The officer would violate this regulation in such a situation.