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Managing Conflicts of Interest

Managing Conflicts of Interest

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Managing Conflicts of Interest

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  1. Managing Conflicts of Interest Sovata, 11.07.2007 Sovata

  2. Definition “Conflict of interest” • A ‘conflict of interest’ involves a conflict between the public duty and the private interest of a public official, in which the official’s private-capacity interest could improperly influence the performance of their official duties and responsibilities. Sovata

  3. CoI and Corruption • Is CoI corruption? • The detrimental effects of Conflicts of Interest • Staying clear of the line Sovata

  4. The corruption line Corruption __________________________________ The ethics zone is here Not corruption Sovata

  5. The Dual Capacity • Exercises power… • But is also a citizen • Has duties • Has interests Sovata

  6. Trust • The PUBLIC OFFICIAL - …is trusted to make decisions, using statepowers and functions, • which affect the rights and interests of private citizens… Sovata

  7. Forms of Conflicts of Interest • Actual – there is a real interference between the official duty and the private interest • Perceived – it LOOKS like if there is a real interference between the official duty and the private interest • Potential – there is no actual conflict, but there surely will be one in the future. Sovata

  8. But also • Pecuniary - conflicts of interest may involve a monetary gain or loss • Non-pecuniary – conflicts of interest involve a different kind of gain or loss (friendship, attachment, animosity, love etc.) Sovata

  9. Can we prevent CoI? • To a certain extent, the most acute forms of CoI may be prevented (actual, pecuniary CoI) – see “incompatibility” • Most of the CoI have to be managed Sovata

  10. CoI management strategies • register • restrict • recruit • remove • relinquish • resign. Sovata

  11. CoI management strategies explained Register A conflict of interest management strategy where details of the existence of a possible or potential conflict of interest are formally registered. Sovata

  12. CoI management strategies explained Restrict A conflict of interest management strategy here restrictions are placed on the public official’s involvement in the matter. Sovata

  13. CoI management strategies explained Recruit A CoI management strategy where the management temporarily recruits assistance to replace the officer in conflict Sovata

  14. CoI management strategies explained Remove A conflict of interest management strategy where public officials remove themselves completely from the matter. Sovata

  15. CoI management strategies explained Relinquish A conflict of interest management strategy where a public official relinquishes the private interest that is creating the conflict. Sovata

  16. CoI management strategies explained Resign A conflict of interest management strategy where the public official resigns from their position with the agency. Sovata

  17. CoI management strategies explained • Different Conflicts require different management strategies • Whatever the strategy the Registration is a must have part of the process Sovata

  18. How to choose a CoI management strategy • Take into consideration the form of the conflict: actual, perceived or potential • Take into consideration whether it is pecuniary or non-pecuniary • Assess the importance of the competing interests • Take into consideration the personality of the public servant in question; his position, reputation etc. • Choose strategy Sovata