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HEARINGS

BEFORE THE

ANTITRUST SUBCOMMITTEE
(SUBCOMMITTEE NO. 5)

OF THE

COMMITTEE ON THE JUDICIARY
HOUSE OF REPRESENTATIVES

EIGHTY-SEVENTH CONGRESS

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H.R. 302, H.R. 3050, H.R. 3411, H.R. 3412,
and H.R. 7139

BILLS DESIGNED TO STRENGTHEN AND IMPLEMENT
THE CRIMINAL LAWS RELATING TO CONFLICTS OF
INTEREST, AND TO PROMOTE ETHICS IN FEDERAL
GOVERNMENT EMPLOYMENT

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J8
19612

Serial No. 3

Printed for the use of the Committee on the Judiciary

U S. GOVERNMENT PRINTING OFFICE

WASHINGTON: 1961

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Bennett, Hon. Charles E., a Representative in Congress from the State of Florida____

Fordham, Jefferson, dean of the Law School, University of Pennsylvania__

Katzenbach, Hon. Nicholas deB., Assistant Attorney General, Office of
Legal Counsel, Department of Justice____.

Lindsay, Hon. John V., a Representative in Congress from the State of
New York..

Macy, Hon. John W., Jr., Chairman, Civil Service Commission__.
Perkins, Roswell B., chairman, Special Committee on the Conflict of
Interest Laws, the Association of the Bar of the City of New York;
and Charles A. Horsky, attorney, Covington & Burling__
Weitzell, Hon. Frank H., Assistant Comptroller General of the United
States; accompanied by O. B. Carpenter, Assistant General Counsel,
General Accounting Office___

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Additional information—

Analysis submitted by Roswell B. Perkins on conflict-of-interest laws and the provisions of H.R. 7139_.

Katzenbach, Hon. Nicholas deB.:

Analysis of H.R. 302

Analysis of H.R. 3050.

Analysis of H.R. 3411_

Comparative presentation of the conflict of interest provisions of
H.R. 3411, 87th Congress, amended to conform in substance to
the proposed conflict-of-interest legislation submitted by the
President to Congress on April 27, 1961_-.

Explanation of proposed bill entitled “Executive Employees'
Standards Act".

Prepared statement_

Prepared statements:

Fordham, Jefferson_

Weitzell, Hon. Frank H....

129

51

43

36

52

57

30

141

Katzenbach, Hon. Nicholas deB_.

30

82

Statements submitted for record:

National Association of Manufacturers_

145

Retired Officers Association___

144

Summary of recommendations of the Special Committee on the Federal Conflict of Interest Laws of the Association of the Bar of the City of New York.

100)

Vance, Cyrus R., General Counsel, Department of Defense, letter,
May 31, 1961, to Nicholas deB. Katzenbach____

63

III

646

CONFLICT-OF-INTEREST LEGISLATION

THURSDAY, JUNE 1, 1961

HOUSE OF REPRESENTATIVES,

ANTITRUST SUBCOMMITTEE

OF THE COMMITTEE ON THE JUDICIARY,

Washington, D.C. The subcommittee met, pursuant to call, at 10:05 a.m., in room 346, Old House Office Building, Hon. Emanuel Celler presiding.

Present: Representatives Celler, Rogers, Toll, McCulloch, and Meader.

Also present: Herbert N. Maletz, chief counsel; William H. Crabtree, associate counsel; Herbert Fuchs, assistant counsel.

The CHAIRMAN. The hearing will come to order.

The Antitrust Subcommittee of the House Committee on the Judiciary begins public hearings this morning on a number of bills of great importance designed to implement and strengthen the criminal laws relating to conflicts of interest, and to promote ethics in Federal Government employment. These bills are H.R. 3411 and H.R. 3412, identical measures introduced by the Chair and by the distinguished ranking minority member of the subcommittee, Representative McCulloch; H.R. 3050, a bill proposed by the Association of the Bar of the City of New York, and introduced by Representative Lindsay; and H.R. 7139, a bill proposed by the administration and introduced by Representative Holtzman. We shall also consider H.R. 302, introduced by Representative Bennett of Florida, which would prohibit for 2 years the employment of a former employee of the Federal Government by a concern with which certain transactions were handled. Copies of these bills will be placed in the record at the conclusion of this statement.

Recent years have recorded a growing concern, both in and out of Congress, with the ever present and perplexing problems of how best to assure high ethical standards in the conduct of the Federal Government. This committee, as well as other congressional committees, have conducted investigations into conflict-of-interest cases arising in executive agencies of the Government. The consensus of public expressions on the subject has criticized existing Federal laws in this area as inadequate, and confused.

As the staff report of this subcommittee observed:

Existing conflict-of-interest law comprises overlapping, inconsistent, and incomplete provisions ***.

Similarly, the chairman of a Special Committee on Federal Conflict of Interest Laws of the Association of the Bar of the City of New

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