the possession of an employee by reason of his employment (18 U.S.C. 654).

(0) The prohibition against unauthorized use of documents relating to claims from or by the Government (18 U.S.C. 285).

(p) The prohibition against proscribed political activities-The Hatch Act (5 U.S.C. 1181), and 18 U.S.C. 602, 603, 607, and 608.

Subpart C-Ethical and Other Conduct and Responsibilities of Special Government Employees

§ 0.735-21 Application of Subpart B of this part to special Government employees.

All provisions of Subpart B of this part except § 0.735-12(f) shall apply to special Government employees. In addition, the regulations in this Subpart C shall apply. § 0.735-22

ment.

Use of Government employ

A special Government employee shall not use his Government employment for a purpose that is, or gives the appearance of being, motivated by the desire for private gain for himself or another person, particularly one with whom he has family, business, or financial ties.

§ 0.735-23

Use of inside information.

Except as provided in § 0.735-12 (c), a special Government employee shall not use inside information obtained as a result of his Government employment for private gain for himself or another person either by direct action on his part or by counsel, recommendation, or suggestion to another person, particularly one with whom he has family, business, or financial ties. For the purpose of this section, "inside information" means information obtained under Government authority which has not become part of the body of public information. § 0.735-24

Coercion.

employed or in connection with his employment, shall not receive or solicit from a person having business with his agency anything of value as a gift, gratuity, loan, entertainment, or favor for himself or another person, particularly one with whom he has family, business, or financial ties.

§ 0.735-26 Miscellaneous statutory provisions.

Each special Government employee shall acquaint himself with each statute that relates to his ethical and other conduct as a special Government employee of the Commission and of the Government. The attention of special Government employees is directed to those statutory provisions listed in § 0.735-19. Subpart D-Statements of Employment and Financial Interests

§ 0.735-31 Form and content of state

ments.

The statements of employment and financial interests required under this subpart for use by employees, other than Commissioners, and special Government employees shall contain the information required by the formats prescribed by the Civil Service Commission in the Federal Personnel Manual.

§ 0.735-32 Employees required to sub

mit statements.

The following employees shall submit statements of employment and financial interests:

(a) Those in grade GS-15 or above of the General Schedule established by the Classification Act of 1949, as amended, or in comparable or higher positions not subject to that Act.

(b) Those in hearing examiner positions.

(c) Those employed as experts or consultants.

(d) Those in grade GS-9 or above whose duties involve authorizing or approving purchase orders or contracts.

§ 0.735-33 Presidential appointees.

A statement of employment and financial interests is not required by this part from the Chairman or other Commissioners. These officials are subject to separate reporting requirements under section 401 of the Executive order.

§ 0.735-34 Time and place for submission of statements.

An employee required to submit a statement of employment and financial interests under the regulations in this part shall submit that statement to the Executive Director not later than:

(a) Ninety days after the effective date of the regulations in this part if employed on or before that effective date; or

(b) Thirty days after his entrance on duty, but not earlier than 90 days after the effective date, if appointed after that effective date.

§ 0.735-35 Supplementary statements.

Changes in, or additions to, the information contained in a statement of employment and financial interests shall be reported in a supplementary statement at the end of the quarter in which the changes occur. Quarters end March 31, June 30, September 30, and December 31. If there are no changes or additions in a quarter, a negative report is not required. However, for the purpose of annual review, a supplementary statement, negative or otherwise, is required as of June 30 each year.

The interest of a spouse, minor child, or other member of an employee's immediate household is considered to be an interest of the employee. For the purpose of this section, "member of an employee's immediate household" means those blood relations who are residents of the employee's household.

§ 0.735-37 Information not known by employees.

If any information required to be included on a statement of employment and financial interests or supplementary statement, including holdings placed in trust, is not known to the employee but is known to another person, the employee shall request that other person to submit information in his behalf.

§ 0.735-38 Information prohibited.

This part does not require an employee to submit on a statement of employment and financial interests or supplementary statement any information relating to the employee's connection with, or interest in, a professional society or a charitable, religious, social, fraternal, recreational, public service, civic, or po

litical organization or a similar organization not conducted as a business enterprise. For the purpose of this section, educational and other institutions doing research and development or related work involving grants of money from or contracts with the Government are deemed "business enterprises" and are required to be included in an employee's statement of employment and financial interests.

§ 0.735-39

Confidentiality of employees' statements.

Each statement of employment and financial interests, and each supplementary statement, shall be held in confidence. Information from a statement shall not be disclosed except as the Civil Service Commission or the Chairman may determine for good cause shown. § 0.735-40 Effect of employees' statements on other requirements.

The statements of employment and financial interests and supplementary statements required of employees are in addition to, and not in substitution for, or in derogation of, any similar requirement imposed by law, order, or regulation. The submission of a statement or supplementary statement by an employee does not permit him or any other person to participate in a matter in which his or the other person's participation is prohibited by law, order, or regulation. § 0.735-41 Specific provisions for special Government employees.

(a) Except as provided in paragraph (b) of this section, each special Government employee shall submit a statement of employment and financial interests which reports:

(1) All other employment; and

(2) The financial interests of the special Government employee which relate either directly or indirectly to the duties and responsibilities of the special Government employee.

(b) The Chairman may waive the requirement in paragraph (a) of this section for the submission of a statement of employment and financial interests in the case of a special Government employee who is not a consultant or an expert when he finds that the duties of the position held by that special Government employee are of a nature and at such a level of responsibility that the submission of the statement by the incumbent is not necessary to protect

the integrity of the Government. For the purpose of this paragraph, "consultant" and "expert" have the meanings given those terms by Chapter 304 of the Federal Personnel Manual.

(c) A statement of employment and financial interests required to be submitted under this section shall be submitted to the Executive Director not later than the time of employment of the special Government employee. Each special Government employee shall keep his statement current throughout his employment with the Commission by the submission of supplementary statements. § 0.735-42 Reviewing statements.

The Executive Director or his designee shall review each statement of employment and financial interests to ascertain whether a conflict of interest or an apparent conflict of interest exists. If there is a conflict or apparent conflict, the procedures specified in §§ 0.735-6 and 0.735-7 shall be followed.

Subpart E-Statutory Disqualification and Provision for Exemptions Thereto

Pursuant to Public Law 87-849 (18 U.S.C. 208), except as permitted by § 0.735-52, no employee or special Government employee shall participate "personally and substantially as a Government officer or employee, through decision, approval, disapproval, recommendation, the rendering of advice, investigation, or otherwise, in a judicial or other proceeding, application, request for a ruling or other determination, contract, claim, controversy, charge, accusation, arrest, or other particular matter in which, to his knowledge, he, his spouse, minor child, partner, organization in which he is serving as officer, director, trustee, partner or employee, or any person or organization with whom he is negotiating or has any arrangement concerning prospective employment, has a financial interest." Conviction under 18 U.S.C. 208 carries a fine of not more than $10,000, or imprisonment for not more than 2 years, or both.

§ 0.735-52 Exemptions.

Section 0.735-51 and 18 U.S.C. 208(a) shall not apply if the employee or special Government employee sends prior written notification to the Chairman, through normal supervisory channels,

The Federal Trade Commission exercises responsibilities under the Federal Trade Commission Act of 1914 (15 U.S.C. 41), as amended by Public Law 447, 75th Congress (the Wheeler-Lea Act), Public Law 459, 81st Congress (the Oleomargarine Act), Public Law 542, 82d Congress (the McGuire Act), Public Law 909, 85th Congress, and other public laws; the Clayton Act of 1914 (15 U.S.C. 12), as amended by Public Law 692, 74th Congress (the Robinson-Patman Act), Public Law 899, 81st Congress (the Antimerger Act), Public Law 107, 86th

Congress, and other public laws; the Webb-Pomerene Export Trade Act of 1918 (15 U.S.C. 61); the Wool Products Labeling Act of 1939 (15 U.S.C. 68); Public Law 15, 79th Congress (1945), relating to the regulation of the business of insurance (15 U.S.C. 1011); the Lanham Trade-Mark Act of 1946 (15 U.S.C. 1051); the Fur Products Labeling Act of 1951 (15 U.S.C. 69); the Flammable Fabrics Act of 1953 (15 U.S.C. 1191); and the Textile Fiber Products Identification Act of 1958 (15 U.S.C. 70).

Federal

(b) Their addresses are: Trade Commission, 958 North Monroe Street, Arlington 1, Virginia; Federal Trade Commission, 30 Church Street, New York 7, New York; Federal Trade Commission, Room 1128, Standard Building, Cleveland 13, Ohio; Federal Trade Commission, Room 1310, 226 West Jackson Boulevard, Chicago 6, Illinois; Federal Trade Commission, Room 306, Pacific Building, San Francisco 3, California; Federal Trade Commission, Room 1212, 215 West Seventh Street, Los Angeles 14, California; Federal Trade Commission, Room 811, U.S. Courthouse, Seattle 4, Washington; Federal Trade Commission, 100 Masonic Temple Building, 333 St. Charles Street, New Orleans 12, Louisiana; Federal Trade Commission, 2806 Federal Office Building, Kansas City 6, Missouri; Federal Trade Commission, 915 Forsyth Building, 86 Forsyth Street, Atlanta 3, Georgia; Federal Trade Commission, Room 1001, 131 State Street, Boston 9, Massachusetts.

(c) Attorneys in charge are available for conferences with attorneys and other members of the public on matters relating to the Commission's activities. § 1.4 Textile and fur offices.

(a) For the limited purpose of administering the Wool, Fur, Textile Products,

and Flammable Fabrics Acts, additional offices are located at Charlotte, N.C., Dallas, Denver, Houston, Miami, Philadelphia, Portland, Oregon, and St. Louis. (b) Their addresses are: Federal Trade Commission, Room 204, 327 North Tryon Street, Charlotte 2, North Carolina; Federal Trade Commission, 405 Thomas Building, 1314 Wood Street, Dallas, Texas; Federal Trade Commission, 936 Equitable Building, 730-17th Street, Denver, Colorado; Federal Trade Commission, Room 10511, U.S. Courthouse & Federal Building, 515 Rusk Avenue, Houston, Texas; Federal Trade Commission, 918 Metropolitan Bank Building, 117 NE. First Avenue, Miami, Florida; Federal Trade Commission, 53 Long Lane, Upper Darby, Pennsylvania; Federal Trade Commission, 231 New Courthouse Building, Portland, Oregon; Federal Trade Commission, Room 1003C, U.S. Court & Custom House, St. Louis 1, Missouri. § 1.5

Hours.

(a) The Commission may meet and exercise all its power at any place, and may, by one or more of its members or by such representatives as it may designate, prosecute any inquiry necessary to its duties in any part of the United States.

(b) Sessions of the Commission for hearings will be held as ordered by the Commission. Sessions of the Commission for the purpose of making orders and for transaction of other business will be held, unless otherwise ordered, at the principal office of the Commission at Pennsylvania Avenue and Sixth Street NW., Washington 25, D.C.

Commission investigations and inquiries may be originated upon the request of the President, Congress, government agencies, or the Attorney General; upon referrals by the courts; upon complaint by members of the public; or by the Commission upon its own initiative.

§ 1.12 Request for Commission action.

(a) Any individual, partnership, corporation, association or organization may request the Commission to institute a proceeding in respect to any matter over which the Commission has jurisdiction.

(b) Such request should be in the form of a signed statement setting forth the alleged violation of law and the name and address of the person or persons complained of. No forms or formal procedures are required.

(c) The person making the request is not regarded as a party, for the Commission acts only in the public interest and its proceedings are for the purpose of vindicating public, not private, rights.

(d) It always has been and now is Commission policy not to publish or divulge the name of an applicant or complaining party, except as required by law.

§ 1.13 Policy as to private controversies.

The Commission acts only in the public interest, and it does not initiate investigation or take other action when the alleged violation of law is merely a matter of private controversy and does not tend adversely to affect the public. Subpart C-Informal Enforcement Procedure

§ 1.21 Voluntary compliance.

The Commission, when it has information indicating that a person or persons may be engaging in a practice which may involve violation of a law administered by it, and if it deems the public interest will be fully safeguarded thereby, may afford such person or persons the opportunity to have a matter disposed of on an informal nonadjudicatory basis. In determining whether the public interest will be fully safeguarded