(4) Acceptance of unsolicited advertising or promotional material, such as pens, pencils, note pads, calendars and other items of nominal intrinsic value. (c) [Reserved]

(d) An employee shall not solicit a contribution from another employee for a gift, or make a donation as a gift to an official superior. However, this paragraph does not prohibit a voluntary gift of nominal monetary value or donation in a nominal amount made on a special occasion such as marriage, illness, or retirement.

(e) An official superior shall not accept a gift from an employee receiving less pay than himself, except a gift of the type referred to in paragraph (d) of this section.

(f) An employee shall not, either directly or indirectly, lend to, or borrow from, another employee substantial sums of money. An employee borrowing money shall not have his note or other evidence of debt signed by any employee under his supervision.

(g) An employee shall not accept a gift, present, decoration, or other thing from a foreign government unless authorized by Congress as provided by the Constitution and in Public Law 89-673, 80 Stat. 952.

(h) Neither this section nor section 502.735-12 precludes an employee from receipt of bona fide reimbursement, unless prohibited by law, for expenses of travel and such other necessary subsistence as is compatible with this part for which no Government payment or reimbursement is made. However, this paragraph does not allow an employee to be reimbursed, or payment to be made on his behalf, for excessive personal living expenses, gifts, entertainment or other personal benefits, nor does it allow an employee to be reimbursed by a person for travel on official business under agency orders when reimbursement is proscribed by Decision B-128527 of the Comptroller General dated March 7, 1967.

[32 F.R. 13222, Sept. 19, 1967]

§ 502.735-12 Outside employment and other activity.

(a) An employee shall not engage in outside employment or other outside activity not compatible with the full and proper discharge of the duties and responsibilities of his Government employment. Incompatible activities include, but are not limited to:

(1) Acceptance of a fee, compensation, gift, payment of expense, or any other thing of monetary value in circumstances in which acceptance may result in, or create the appearance of a conflict of interest;

other

(2) Outside employment or activity which tends to impair his mental or physical capacity to perform his duties and responsibilities in an acceptable manner;

(3) Outside employment or other activity which may bring criticism of, or cause embarrassment to, the National Gallery of Art; or

(4) Outside employment or other activity which is in violation of a statute, Executive order, or regulation, including applicable State and local statutes and ordinances.

(b) Employees are encouraged to engage in teaching, lecturing, and writing to the extent that such is consistent with applicable laws, Executive Order 11222, 5 CFR Part 735, and the regulations in this part. However, an employee shall not, either for or without compensation, engage in teaching, lecturing, or writing that is dependent on information obtained as a result of his government employment, except when that information has been made available to the general public or will be made available on request, or when the Committee on Public Relations gives written authorization for the use of nonpublic information on the basis that the use is in the public interest.

(c) When teaching, writing, lecturing, or other activity is undertaken in a private capacity, the employee may not use his duty hours, the duty hours of other employees, or Government facilities in any manner contributing to the activity, but he may accept compensation. He may also use his official title, provided he makes it clear that he does not represent the National Gallery of Art.

(d) Before engaging in any private undertaking in which he will use his official title, the employee shall request in writing and secure the approval of the head of his division.

(e) Before an employee as a private undertaking delivers a formal speech or releases written material for publication in any form, he must submit for review and approval of the Committee on Public Relations all such speeches and materials which relate to matters connected with National Gallery of Art business.

(f) An employee shall not receive any salary or anything of monetary value from a private source as compensation for his services to the Government.

(g) An employee shall not engage in outside employment under a State or local government except in accordance with 5 CFR Part 734.

(h) An employee who engages in any kind of outside paid employment on a substantially regular basis shall submit to his immediate supervisor a memorandum describing the employment and stating approximately how many hours per week he is so employed. The immediate supervisor shall forward the memorandum through the appropriate supervisory channel to the Personnel Officer for inclusion in the employee's official personnel folder.

(1) This section does not preclude an employee from:

(1) [Reserved]

(2) Participation in the activities of national or state political parties not proscribed by law;

(3) Participation in the affairs of, or acceptance of an award for a meritorious public contribution or achievement given by a charitable, religious, professional, social, fraternal, nonprofit educational and recreational, public service, or civic organization; or

(4) Participation in the local self-government activities in the community in which he resides to the extent permitted by law.

[31 F.R. 6116, Apr. 21, 1966, as amended at 32 F.R. 13223, Sept. 19, 1967]

§ 502.735-13 Financial interests.

(a) An employee shall not:

(1) Have a direct or indirect financial interest that conflicts substantially, or appears to conflict substantially, with his duties and responsibilities as an employee of the National Gallery of Art; or

(2) Engage in, directly or indirectly, a financial transaction as a result of, or primarily relying on, information obtained through his employment at the National Gallery of Art.

(b) This section does not preclude an employee from having a financial interest or engaging in financial transactions to the same extent as a private citizen not employed by the Government so long as it is not prohibited by law, Executive Order 11222, 5 CFR Part 735, or the regulations in this part.

An employee shall not directly or indirectly use, or allow the use of, Government property of any kind, including property leased to the Government, for other than officially approved activities. An employee has a positive duty to protect and conserve Government property, including equipment, supplies, and other property entrusted or issued to him.

§ 502.735-16 Indebtedness.

(a) An employee shall pay each just financial obligation in a proper and timely manner, especially one imposed by law, such as Federal, State, or local taxes. For the purpose of this section, a "just financial obligation" means one acknowledged by the employee or reduced to judgment by a court.

(b) When an employee has a levy placed against his salary for failure to pay an indebtedness for Federal income taxes, he shall be issued a written reprimand stating that failure to make satisfactory arrangements regarding future tax liabilities will be grounds for removal.

(c) When an employee is the subject of a letter of complaint stating that he has not paid his State or local taxes and has failed to make satisfactory arrangements regarding the debt, he shall be interviewed by the Personnel Officer. In this interview he shall be instructed to make satisfactory arrangements for the payment of his debt immediately and informed that failure to do so will be grounds for removal.

(d) When an employee is the subject of a letter of complaint regarding any other kind of indebtedness to a unit of government, Federal, State, or local, the procedure prescribed in paragraph (c) of this section shall be observed.

(e) When a creditor who holds a legal judgment against an employee requests that the National Gallery of Art assist in collecting the debt, the employee shall be interviewed by the Personnel Officer. In

this interview he shall be instructed to pay the debt in full within 90 days, or within whatever longer period is specified by the Personnel Officer if he determines that a 90-day time limit would impose undue hardship on the employee, and informed that failure to do so will be grounds for removal.

(f) When an employee is the subject of a letter of complaint from a creditor who does not hold a legal judgment against the employee, the Personnel Officer shall forward a copy of the letter to the employee together with a memorandum calling the employee's attention to the provisions of this section. However, the National Gallery of Art will not assist the creditor in collecting the debt. § 502.735-17 Gambling, betting, and lotteries.

An employee shall not participate, while on Government-owned or leased property or while on duty for the Government, in any gambling activity, including the operation of a gambling device; in conducting a lottery or pool; in a game for money or property; or in selling or purchasing a numbers slip or ticket.

An employee shall not:

(a) Use his Government employment to influence or coerce, or give the appearance of influencing or coercing, a person to provide financial benefit to himself or another person, particularly one with whom he has family, business, or financial ties; or

(b) Permit the use of his official position, status, or designation in a manner which would indicate, or give the appearance of indicating, that such use is intended to further the business interests of the user.

and the Gallery authority granting the privileges to ensure that the employee receives no real or apparent advantage over the outsider.

§ 502.735-20

General conduct prejudicial to the Government.

An employee shall not engage in criminal, infamous, dishonest, immoral, or notorious disgraceful conduct or other conduct prejudicial to the Government. § 502.735-21 Miscellaneous statutory provisions.

The attention of each employee is directed to the following statutory provisions:

(a) House Concurrent Resolution 175, 85th Congress, 2d Session, 72 Stat. B12, the "Code of Ethics for Government Service."

(b) Chapter 11 of Title 18, United States Code, relating to bribery, graft, and conflicts of interest.

(c) The prohibitions against disloyalty and striking (5 U.S.C. 7311, 18 U.S.C. 1918).

(d) The prohibition against lobbying with appropriated funds (18 U.S.C. 1913).

(e) The prohibition against the employment of a member of a Communist organization (50 U.S.C. 784).

(f) The prohibitions against

(1) The disclosure of classified information (18 U.S.C. 798, 50 U.S.C. 783); and

(2) The disclosure of confidential information (18 U.S.C. 1905).

(g) The provision relating to the habitual use of intoxicants to excess (5 U.S.C. 7352).

(h) The prohibition against the misuse of a Government vehicle (31 U.S.C. 638a(c)).

(i) The prohibition against the misuse of the franking privilege (18 U.S.C. 1719).

(j) The prohibition against the use of deceit in an examination or personnel action in connection with Government employment (18 U.S.C. 1917).

(k) The prohibition against fraud or false statements in a Government matter (18 U.S.C. 1001).

(1) The prohibition against mutilating or destroying a public record (18 U.S.C. 2071).

(m) The prohibition against counterfeiting and forging transportation requests (18 U.S.C. 508).

(n) The prohibition against political activities in subchapter III of chapter 73 of title 5, United States Code and 18 U.S.C. 602, 603, 607, and 608.

(0) The prohibition against

(1) Embezzlement of Government money or property (18 U.S.C. 641);

(2) Failing to account for public money (18 U.S.C. 643); and

(3) Embezzlement of the money or property of another person in the possession of an employee by reason of his employment (18 U.S.C. 654).

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

(q) The provision relating to the denial of right to petition Congress (5 U.S.C. 652 (d)).

(r) The prohibition against an employee acting as the agent of a foreign principal registered under the Foreign Agents Registration Act (18 U.S.C. 219). [31 F.R. 6116, Apr. 21, 1966, as amended at 32 F.R. 13223, Sept. 19, 1967]

Subpart C-Conduct and Responsibilities of Special Government Employees

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.

§ 502.735-32 Use of inside information.

(a) 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.

(b) A special Government employee may engage in teaching, lecturing, and writing to the same extent, and subject to the same restrictions, as provided

in 502.735--12 (b) through (e), for employees.

§ 502.735-33 Gifts, entertainment, and favors.

(a) Except as provided in paragraph (b) of this section, a special Government employee, while so employed or in connection with his employment, shall not receive or solicit from a person having business with the National Gallery of Art 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.

(b) The restrictions set forth in paragraph (a) of this section do not apply to:

(1) Obvious family or personal relationships, such as those between the special Government employee and his parents, children, or spouse, when the circumstances make it clear that those relationships rather than the business of the persons concerned are the motivating factors;

(2) The acceptance of food and refreshments of nominal value on infrequent occasions in the ordinary course of a luncheon or dinner meeting or other meeting or on an inspection tour where a special Government employee may properly be in attendance;

(3) The acceptance of loans from banks or other financial institutions on customary terms to finance proper and usual activities of special Government employees, such as home mortgage loans; and

(4) The acceptance of unsolicited advertising or promotional material, such as pens, pencils, note pads, calendars, and other items of nominal intrinsic value.

§ 502.735-34 Applicability of other provisions.

The provisions of §§ 502.735-15 through 502.735-21 apply to special Government employees in the same manner as to employees.

Subpart D-Statements of Employment and Financial Interests § 502.735-41 Employees required to

submit statements.

The following employees shall submit statements of employment and financial interests in accordance with the provi

sions of §§ 502.735-42 through 502.73550:

(a) The Deputy Administrator.

(b) The Deputy Secretary, Treasurer, and General Counsel.

(c) The Personnel Officer.

(d) The Assistant Treasurer.

(e) All employees paid at a level of the Executive Schedule in subchapter II of chapter 53 of title 5, United States Code not otherwise identified in this section. [31 F.R. 6116, Apr. 21, 1966, as amended at 32 F.R. 13223, Sept. 19, 1967]

§ 502.735-41a Employee's complaint on filing requirement.

Any employee who believes that his position has been improperly included in 502.735-41 as a position requiring the submission of a statement of employment and financial interests is entitled to a review of the determination through the grievance procedure of the National Gallery of Art.

[32 F.R. 13223, Sept. 19, 1967]

§ 502.735-42 Form of statements.

An employee required to submit a statement of employment and financial interests shall submit that statement in the format prescribed by the Civil Service Commission in the Federal Personnel Manual.

[32 F.R. 13223, Sept. 19, 1967]

§ 502.735-43 Time for submission of statements.

An employee required to submit a statement of employment and financial interests shall submit that statement no later than:

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

the filing of the annual report required by this section, each employee shall at all times avoid acquiring a financial interest that could result, or taking an action that would result, in a violation of the conflicts-of-interest provisions of section 208 of title 18, United States Code, or Subpart B of this part. [32 F.R. 13223, Sept. 19, 1967]

§ 502.735-45 Interest of employee's relatives.

The interests of a spouse, minor child, or other member of an employee's immediate household are considered to be interests 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.

§ 502.735-46 Information not known by employees.

If any information required to be included on a statement of employment and financial interests or on a 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 the information in his behalf.

§ 502.735-47 Information prohibited.

An employee is not required to submit on a statement of employment and financial interests, or on a 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 political 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.

§ 502.735-48 Review of statements.

All employees covered under § 502.73541 and special Government employees covered under § 502.735-50 shall submit their statements of employment and