Y a conflict of interest if RCMP investigate Crown?
Content
Y a conflict of interest if RCMP investigate Crown?
Attorney General “Judicial like” represents the Crown as guardian of the HE human enslaved interest
http: www!scri"d!com doc #$%&'($') *C+,-.arge-.tates-Apparently-/-0hought-1ere-Actually-Going-to/nvestigate-Government-Corruption-as-,er-Complaint http://71.18.145. 8/a!o"t#.ht$l Mc%ra"&s MP Motor'$o"th Prover!ial (cono$ics (nviron$ent cancere& opti$"$ no"rishe& op"lence $astication intellect"al crani"$ s)$posi"$ *+( at the e,ercise ta, eva&er-s ego'litarianis$ +(( tric.le'&own entreprene"r effect http://www.)o"t"!e.co$/watch?v/0!*CC1f23'c 2icker 2anker3s interest consuming knowledge erodes righters 4E1. 4ever Ending 1ar .tory 5ove of 1ar e6ponential "usiness http: www!youtu"e!com results7 search89uery:tesla;free;energy<o9:0esla;<gs8l:youtu"e!#!$!)%i)'l=>$l)>$i)l=>$l)!?#?!'$$(!$!#(#=&!%!(!$!#!#!$!) %&!'=%!=-=>#!)!$!!!$!$!!!#ac!#!##!youtu"[email protected]@ 0*/C5E. 0esla *ighteousness /nherently Cree 5egal Energy .anctimonious 1here3s the cents in that or this http: www!youtu"e!com watch7v:@)6-D>(yA+@ Cancer Cured OCCULT E"trusively Cancer Cure Dnleashes 5i9uidation 0rauma What's up Doc?
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http: www!scri"d!com doc #?'%$%)%F Ate-6-Ate-con-sums-&&-eh # page to e6asperate # line twitters 2eyond the scope of the twitter http: en!wikipedia!org wiki Conflict8of8interest
A conflict of interest GCE/H occurs when an individual or organiIation is involved in multiple interestsJ one of which could possi"ly corrupt the motivation for an act in another! 0he presence of a conflict of interest is independent from the e6ecution of impropriety! 0hereforeJ a conflict of interest can "e discovered and voluntarily defused "efore any corruption occurs! A widely used definition is: KA conflict of interest is a set of circumstances that creates a risk that professional >udgement or actions regarding a primary interest will "e unduly influenced "y a secondary interest!KL#M,rimary interest refers to the principal goals of the profession or activityJ such as the protection of clientsJ the health of patientsJ the integrity of researchJ and the duties of pu"lic office! .econdary interest includes not only financial gain "ut also such motives as the desire for professional advancement and the wish to do favours for family and friendsJ "ut conflict of interest rules usually focus on financial relationships "ecause they are relatively more o">ectiveJ fungi"leJ and 9uantifia"le! 0he secondary interests are not treated as wrong in themselvesJ "ut "ecome o">ectiona"le when they are "elieved to have greater weight than the primary interests! 0he conflict in a conflict of interest e6ists whether or not a particular individual is actually influenced "y the secondary interest! /t e6ists if the circumstances are reasona"ly "elieved Gon the "asis of past e6perience and o">ective evidenceH to create a risk that decisions may "e unduly influenced "y secondary interests! Contents LhideM # Conflicts of interest related to the practice of law = Conflicts of interest generally Gunrelated to the practice of lawH ) ErganiIational conflict of interest ( *elationship to medical research % 0ypes of conflicts of interests & E6amples &!# Environmental HaIards and Human Health &!= .elf-,olicing &!) /nsurance Claims Ad>usters &!( ,urchasing Agents and .ales ,ersonnel &!% Governmental Efficials &!& Cinance /ndustry and Elected Efficials &!? Cinance /ndustry and economists &!F .tock"rokers &!' +edia ? 1ays to mitigate conflicts of interests ?!# *emoval ?!= Nisclosure ?!) *ecusal ?!( 0hird-party evaluations ?!% Conclusion F .ee also ' E6ternal links #$ Curther reading ## *eferences Conflicts of interest related to the practice of lawLeditM ,rofessional responsi"ility Nuties to the client Confidentiality
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Avoiding conflict of interest Niligence and competence Avoid commingling Avoid self-dealing Effective assistance Avoid fee splitting 1ithdrawal from representation Nuties to the court Nisclosure of per>ury Nisclosure of adverse authority Nuties to the profession 5imitations on legal advertising *eport misconduct .ources of law A2A +odel *ules ,enalties for misconduct Nis"arment Judicial misconduct v t e Judicial dis9ualificationJ also referred to as recusalJ refers to the act of a"staining from participation in an official action such as a court caseOlegal proceeding due to a conflict of interest of the presiding court official or administrative officer! Applica"le statutes or canons ofethics may provide standards for recusal in a given proceeding or matter! ,roviding that the >udge or presiding officer must "e free from disa"ling conflicts of interest makes the fairness of the proceedings less likely to "e 9uestioned!L=M /n the legal professionJ the duty of loyalty owed to a client prohi"its an attorney Gor a law firmH from representing any other party with interests adverse to those of a current client! 0he few e6ceptions to this rule re9uire informed written consent from all affected clientsJ i!e!J an Kethical wallK! /n some circumstancesJ a conflict of interest can never "e waived "y a client! /n perhaps the most common e6ample encountered "y the general pu"licJ the same firm should not represent "oth parties in a divorce or child custody case! A prohi"ited or undisclosed representation involving a conflict of interest can su">ect an attorney to disciplinary hearingsJ the denial or disgorgement of legal feesJ or in some cases Gsuch as the failure to make mandatory disclosureHJ criminal proceedings! /n the Dnited .tatesJ a law firm usually cannot represent a client if its interests conflict with those of another clientJ even if they have separate lawyers within the firmJ unless Gin some >urisdictionsH the lawyer is segregated from the rest of the firm for the duration of the conflict! 5aw firms often employ software in con>unction with their case management and accounting systems in order to meet their duties to monitor their conflict of interest e6posure and to assist in o"taining waivers! Conflicts of interest generally Gunrelated to the practice of lawHLeditM .ociology
Eutline 0heory
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History ,ositivism Antipositivism Cunctionalism Conflict theories +iddle-range +athematical Critical theory .ocialiIation .tructure and agency *esearch methods Puantitative Pualitative Historical Computational Ethnographic 4etwork-analytic 0opics .u"fields Change Cities Class Crime Culture Nevelopment Neviance Nemography Education Economy Environment Camily Gender Health /ndustry
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/nternet Bnowledge 5aw 5iterature +edicine +o"ility +ovements 4etworks ErganiIations ,olitics *ace < ethnicity *eligion *ural .cience .oc! psychology .tratification 0echnology 2rowse ,ortal .ociologists Journals 5ists v t e +ore generallyJ conflicts of interest can "e defined as any situation in which an individual or corporation Geither private or governmentalH is in a position to e6ploit a professional or official capacity in some way for their personal or corporate "enefit! Nepending upon the law or rules related to a particular organiIationJ the e6istence of a conflict of interest may notJ in and of itselfJ "e evidence of wrongdoing! /n factJ for many professionalsJ it is virtually impossi"le to avoid having conflicts of interest from time to time! A conflict of interest canJ howeverJ "ecome a legal matter for e6ample when an individual tries Gand or succeeds inH influencing the outcome of a decisionJ for personal "enefit! A director or e6ecutive of a corporation will "e su">ect to legal lia"ility if a conflict of interest "reaches his her Nuty of 5oyalty! 0here often is confusion over these two situations! .omeone accused of a conflict of interest may deny that a conflict e6ists "ecause he she did not act improperly! /n factJ a conflict of interest can e6ist even if there are no improper acts as a result of it! GEne way to understand this is to use the term Kconflict of rolesK! A person with two rolesQan individual who owns stock and is also a government officialJ for e6ampleQmay e6perience situations where those two
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roles conflict! 0he conflict can "e mitigatedQsee "elowQ"ut it still e6ists! /n and of itselfJ having two roles is not illegalJ "ut the differing roles will certainly provide an incentive for improper acts in some circumstances!H As an e6ampleJ in the sphere of "usiness and controlJ according to the /nstitute of /nternal Auditors: conflict of interest is a situation in which an internal auditorJ who is in a position of trustJ has a competing professional or personal interest! .uch competing interests can make it difficult to fulfill his or her duties impartially! A conflict of interest e6ists even if nounethical or improper act results! A conflict of interest can create an appearance of impropriety that can undermine confidence in the internal auditorJ the internal audit activityJ and the profession! A conflict of interest could impair an individualRs a"ility to perform his or her duties and responsi"ilities o">ectively!L)ML(M ErganiIational conflict of interestLeditM An organiIational conflict of interest GEC/H may e6ist in the same way as descri"ed a"oveJ in the realm of the private sector providing services to the GovernmentJ where a corporation provides two types of services to the Government that have conflicting interest or appear o">ectiona"le Gi!e!: manufacturing parts and then participating on a selection committee comparing parts manufacturersH! Corporations may develop simple or comple6 systems to mitigate the risk or perceived risk of a conflict of interest! 0hese risks are typically evaluated "y a governmental office Gfor e6ampleJ in a D!.! Government *C,H to determine whether the risks pose a su"stantial advantage to the private organiIation over the competition or will decrease the overall competitiveness in the "idding process! *elationship to medical researchLeditM 0he influence of the pharmaceutical industry on medical research has "een a ma>or cause for concern! /n =$$' a study found that Ka num"er of academic institutionsK do not have clear guidelines for relationships "etween /nstitutional *eview 2oards and industry!L%M 0ypes of conflicts of interestsLeditM 0he following are the most common forms of conflicts of interests: .elf-dealingJ in which an official who controls an organiIation causes it to enter into a transaction with the officialJ or with another organiIation that "enefits the official! 0he official is on "oth sides of the Kdeal!K Eutside employmentJ in which the interests of one >o" contradict another! Camily interestsJ in which a spouseJ childJ or other close relative is employed Gor applies for employmentH or where goods or services are purchased from such a relative or a firm controlled "y a relative! Cor this reasonJ many employment applications ask if one is related to a current employee! /f this is the caseJ the relative could then recuse from any hiring decisions! A"use of this type of conflict of interest is called nepotism! Gifts from friends who also do "usiness with the person receiving the gifts! G.uch gifts may include non-tangi"le things of value such as transportation and lodging!H ,ump and dumpJ in which a stock "roker who owns a security artificially inflates the price "y KupgradingK it or spreading rumorsJ sells the security and adds short positionJ then KdowngradesK the security or spreads negative rumors to push the price down! Ether improper acts that are sometimes classified as conflicts of interests are pro"a"ly "etter classified elsewhere! Accepting "ri"es can "e classified as corruptionS almost everyone in a position of authorityJ particularly pu"lic authorityJ has the potential for such wrongdoing! .imilarlyJ use of government or corporate property or assets for personal use is fraudJ and classifying this as a conflict of interest does not improve the analysis of this pro"lem! 4or should unauthoriIed distri"ution of confidential informationJ in itselfJ "e considered a conflict of interest! Cor these improper actsJ there is no inherent conflict of roles Gsee a"oveHJ unless "eing a Gfalli"leH human "eing rather than GsayH a ro"ot in a position of power or authority is considered to "e a conflict! CE/ is sometimes termed competition of interest rather than KconflictKJ emphasiIing a connotation of natural competition "etween valid interests rather than violent conflict with its connotation of victimhood and unfair aggression! 4everthelessJ denotativelyJ there is too much overlap "etween the terms to make any o">ective differentiation! E6amplesLeditM 0he e6amples and perspective in this section deal primarily with the Dnited .tates and do not represent a worldwide view of the su">ect! ,lease improve this article and discuss the issue on the talk page! GApril =$#)H Environmental HaIards and Human HealthLeditM 2akerL&M summariIed #?& studies of the potential impact of 2isphenol A on human health as follows:L?M Cunding Harm 4o Harm
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/ndependent Ge!g!J governmentH #%= GF&TH ## G#(TH 5essigLFM noted that this does not mean that the funding source influenced the results! HoweverJ it does raise 9uestions a"out the validity of the industry-funded studies specificallyJ "ecause the researchers conducting those studies have a conflict of interestS they are su">ect at minimum to a natural human inclination to please the people who paid for their work! 5essig provided a similar summary of )=& studies of the potential harm from cell phone usage with results that were similar "ut not as stark!L'M http: www!scri"d!com doc #$%&'($') *C+,-.arge-.tates-Apparently-/-0hought-1ere-Actually-Going-to/nvestigate-Government-Corruption-as-,er-Complaint +cCrauds http: ?#!#F!#(%!=F a"out'!html .elf-,olicing LeditM .elf-policing of any group is also a conflict of interest! /f any organiIationJ such as a corporation or government "ureaucracyJ is asked to eliminate unethical "ehavior within their own groupJ it may "e in their interest in the short run to eliminate the appearance of unethical "ehaviorJ rather than the "ehavior itselfJ "y keeping any ethical "reaches hiddenJ instead of e6posing and correcting them! An e6ception occurs when the ethical "reach is already known "y the pu"lic! /n that caseJ it could "e in the groupRs interest to end the ethical pro"lem to which the pu"lic has knowledgeJ "ut keep remaining "reaches hidden! /nsurance Claims Ad>ustersLeditM /nsurance companies retain claims ad>usters to represent their interest in ad>usting claims! /t is in the "est interest of the insurance companies that the very smallest settlement is reached with its claimants! 2ased on the ad>usterRs e6perience and knowledge of the insurance policy it is very easy for the ad>uster to convince an unknowing claimant to settle for less than what they may otherwise "e entitled which could "e a larger settlement! 0here is always a very good chance of a conflict of interest to e6ist when one ad>uster tries to represent "oth sides of a financial transaction such as an insurance claim! 0his pro"lem is e6acer"ated when the claimant is toldJ or "elievesJ the insurance companyRs claims ad>uster is fair and impartial enough to satisfy "oth theirs and the insurance companyRs interests! 0hese types of conflicts could "e easily "e avoided "y the use of disclosures! ,urchasing Agents and .ales ,ersonnelLeditM A person working as the e9uipment purchaser for a company may get a "onus proportionate to the amount heRs under "udget "y year end! HoweverJ this "ecomes an incentive for him to purchase ine6pensiveJ su"standard e9uipment! 0hereforeJ this is counter to the interests of those in his company who must actually use the e9uipment! 1! Edwards Neming listed Kpurchasing on price aloneK as num"er ( of his famous #( pointsJ and he often said things to the effect that KHe who purchases on price alone deserves to get rooked!K Governmental EfficialsLeditM
conflict of interest in legislation *egulating conflict of interest in government is one of the aims of political ethics! ,u"lic officials are e6pected to put service to the pu"lic and their constituents ahead of their personal interests! Conflict of interest rules are intended to prevent officials from making decisions in circumstances that could reasona"ly "e perceived as violating this duty of office! *ules in the e6ecutive "ranch tend to "e stricter and easier to enforce than in the legislative "ranch!L#$M 0wo pro"lems make legislative ethics of conflicts difficult and distinctive!L##M CirstJ as James +adison wroteJ legislators
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should share a Kcommunion of interestsK with their constituents! 5egislators cannot ade9uately represent the interests of constituents without also representing some of their own! As .enator *o"ert .! Berr once saidJ K/ represent the farmers of EklahomaJ although / have large farm interests! / represent the oil "usiness in Eklahoma !!! and / am in the oil "usiness! !!! 0hey donRt want to send a man here who has no community of interest with themJ "ecause he wouldnRt "e worth a nickel to them!KL#=M0he pro"lem is to distinguish special interests from the general interests of all constituents! .econdJ the Kpolitical interestsK of legislatures include campaign contri"utions which they need to get electedJ and which are generally not illegal and not the same as a "ri"e! 2ut under many circumstances they can have the same effect! 0he pro"lem here is how to keep the secondary interest in raising campaign funds from overwhelming what should "e their primary interest: fulfilling the duties of office! ,olitics in the D!.! is dominated in many ways "y political campaign contri"utions!L=M Candidates are often not considered Kcredi"leK unless they have a campaign "udget far "eyond what could reasona"ly "e raised from citiIens of ordinary means! 0he pernicious impact of this money can "e found in many placesJ most nota"ly in studies of how campaign contri"utions affect legislative "ehavior! Cor e6ampleJ the price of sugar in the D. has "een roughly dou"le the international price for over half a century! /n the #'F$sJ this added U) "illion to the annual "udget of D. consumersJ according to .ternJL#)M who provided the following summary of one part of how this happens: Contri"utions from the sugar lo""yJ #'F)V#'F& ,ercent voting in #'F% against gradually reducing sugar su"sidies W U%J$$$ U=J%$$V%J$$$ U#J$$$V=J%$$ U#V#J$$$ #$$T '?T &FT (%T
U$ =$T 0his U) "illion translates into U(# per household per year! 0his is in essence a ta6 collected "y a nongovernmental agency: /t is a cost imposed on consumers "y governmental decisionsJ "ut never considered in any of the standard data on ta6 collections! .tern notes that sugar interests contri"uted U=!& million to political campaignsJ representing well over U#J$$$ return for each U# contri"uted to political campaigns! 0hisJ howeverJ does not include the cost of lo""ying! 5essigL#(M cites si6 different studies that consider the cost of lo""ying with campaign contri"utions on a variety of issues considered in 1ashingtonJ NC! 0hese studies produced estimates of the anticipated return on each U# invested in lo""ying and political campaigns that ranged from U& to U==$! 5essig notes that clients who pay tens of millions of dollars to lo""yists typically receive "illions! 5essigJLFM insists that this does not mean that any legislator has sold his or her vote! Ene of several possi"le e6planations 5essig gives for this phenomenon is that the money helped elect candidates more supportive of the issues pushed "y the "ig money spent on lo""ying and political campaigns! He notes that if any money perverts democracyJ it is the large contri"utions "eyond the "udgets of citiIens of ordinary meansS small contri"utions from common citiIens have long "een considered supporting of democracy!L#%M 1hen such large sums "ecome virtually essential to a politicianRs futureJ it generates a su"stantive conflict of interest contri"uting to a fairly well documented distortion on the nationRs priorities and policies! 2eyond thisJ governmental officialsJ whether elected or notJ often leave pu"lic service to work for companies affected "y legislation they helped enact or companies they used to regulate or companies affected "y legislation they helped enact! 0his practice is called the *evolving door! Cormer legislators and regulators are accused of GaH using inside information for their new employers or G"H compromising laws and regulations in hopes of securing lucrative employment in the private sector! 0his possi"ility creates a conflict of interest for all pu"lic officials whose future may depend on the *evolving door! Cinance /ndustry and Elected Efficials LeditM Conflicts of interest among elected officials is part of the story "ehind the increase in the percent of D. corporate domestic profits captured "y the finance industry depicted in that accompanying figure!
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Cinance as a percent of D. Nomestic Corporate ,rofits Cinance includes "anksJ securities and insurance! /n #')=#'))J the total D. domestic corporate profit was negative! HoweverJ the financial sector made a profit in those yearsJ which made its percentage negativeJ "elow $ and off the scale in this plot!L#&M Crom #')( through #'F%J the finance industry averaged #)!FT of D!.! domestic corporate profit! 2etween #'F& and #'''J it averaged =)!%T! Crom =$$$ through =$#$J it averaged )=!&T! .ome of this increase is dou"tless due to increased efficiency from "anking consolidation and innovations in new financial products that "enefit consumers! HoweverJ if most consumers had refused to accept financial products they did not understandJ e!g!J negative amortiIation loansJ the finance industry would not have "een as profita"le as it has "eenJ and the 5ate-=$$$s recession might have "een avoided or postponed! .tiglitIL#?M noted that the 5ate-=$$$s recession was created in part "ecauseJ K2ankers acted greedily "ecause they had incentives and opportunities to do soK! 0hey did this in part "y innovating to make consumer financial products like retail "anking services and home mortgages as complicated as possi"le to make it easy for them to charge higher fees! Consumers who shop carefully for financial services typically find "etter options than the primary offerings of the ma>or "anks! HoweverJ few consumers think to do that! 0his e6plains part of this increase in financial industry profits! HoweverJ a ma>or portion of this increase and a driving force "ehind 5ate-=$$$s recession has "een the corrosive effect of money in politicsJ giving legislators and the ,resident of the D!.! a conflict of interestJ "ecause if they protect the pu"licJ they will offend the finance industryJ which contri"uted U#!? "illion to political campaigns and spent U)!( "illion GU%!# "illion totalH on lo""ying from #''F to =$$F!L#FML#'ML=$M 0o "e conservativeJ suppose we attri"ute only the increase from =)!%T of #'F& through #''' to the recent )=!&T average to governmental actions su">ect to conflicts of interest created "y the U#!? "illion in campaign contri"utions! 0hatRs 'T of the U) trillion in profits claimed "y the finance industry during that period or U=?$ "illion! 0his represents a return of over U%$ for each U# invested in political campaigns and lo""ying for that industry! G0his U=?$ "illion represents almost U#J$$$ for every manJ woman and child in the D!.!H 0here is hardly any place outside of politics with such a high return on investment in such a short time! Cinance /ndustry and economistsLeditM Economists Gunlike other professions such as sociologistsH do not formally su"scri"e to a professional ethical code! Close to )$$ economists have signed a letter urging the American Economic Association Gthe discipline3s foremost professional "odyHJ to adopt such a code! 0he signatories include George AkerlofJ a 4o"el laureateJ and Christina *omerJ who headed 2arack E"ama3s Council of Economic Advisers!L=#M 0his call for a code of ethics was supported "y the pu"lic attention the documentary /nside Jo" Gwinner of an Academy AwardH drew to the consulting relationships of several influential economists!L==M 0his documentary focused on conflicts that may arise when economists pu"lish results or provide pu"lic recommendation on topics that affect industries or companies with which they have financial links! Critics of the profession argueJ for e6ampleJ that it is no coincidence that financial economistsJ many of whom were engaged as consultants "y 1all .treet firmsJ were opposed to regulating the financial sector!L=)M /n response to criticism that the profession not only failed to predict the =$$?-=$$F financial crisis "ut may actually have helped create itJ the American Economic Association has adopted new rules in =$#=: economists will have to disclose financial ties and other potential conflicts of interest in papers pu"lished in academic >ournals! 2ackers argue such disclosures will help restore faith in the profession "y increasing transparency which will help in assessing economistsR advice!L=(M
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.tock"rokersLeditM A conflict of interest is a manifestation of the moral haIard pro"lemJ particularly when a financial institution provides multiple services and the potentially competing interests of those services may lead to a concealment of information or dissemination of misleading information! A conflict of interest e6ists when a party to a transaction could potentially make a gain from taking actions that are detrimental to the other party in the transaction!L=%M 0here are many types of conflicts of interest such as a Kpump and dumpK "y stock"rokers! 0his is when a stock"roker who owns a security artificially inflates the price "y upgrading it or spreading rumorsJ and then sells the security and adds short position! 0hey will then downgrade the security or spread negative rumors to push the price "ack down! 0his is an e6ample of stock fraud! /t is a conflict of interest "ecause the stock"rokers are concealing and manipulating information to make it misleading for the "uyers! 0he "roker may claim to have the KinsideK information a"out impeding news and will urge "uyers to "uy the stock 9uickly! /nvestors will "uy the stockJ which creates a high demand and raises the prices! 0his rise in prices can entice more people to "elieve the hype and then "uy shares as well! 0he stock"rokers will then sell their shares and stop promotingJ the price will dropJ and other investors are left holding stock that is worth nothing compared to what they paid for it! 0he "rokers are using their knowledge and position in a way to influence and control others and gain personallyJ which is morally wrong! Ene ma>or e6ample of pump and dump would "e with EnronJ in which e6ecutives participated in an ela"orate scheme that fooled even the most e6perienced analysts on 1all .treet! Enron falsely reported profitsJ which inflated stock pricesJ and covered the real num"ers "y using 9uestiona"le accounting practicesS =' e6ecutives sold overvalued stock for more than a "illion dollars "efore the company went "ankrupt!Lcitation neededM +ediaLeditM Any media organiIation has a conflict of interest in discussing anything that may impact its a"ility to communicate as it wants with its audience! Cor e6ampleJ the 1ikimedia Coundation has a conflict of interest in discussing the .top Enline ,iracy Act or any other legislation or governmental action that could impact its a"ility to deliver content to its intended audience! 0he "usiness model of commercial media organiIations Gi!e!J any that accept advertisingH is selling "ehavior change in their audience to advertisers!L=&ML=?ML=FM HoweverJ few in their audience are aware of the conflict of interest "etween the profit motive and the altruistic desire to serve the pu"lic and Kgive the audience what it wants!K +any ma>or advertisers test their ads in various ways to measure the return on investment in advertising! Advertising rates are set as a function of the siIe and spending ha"its of the audience as measured "y the 4ielsen *atings! +edia action e6pressing this conflict of interest is evident in the reaction of *upert +urdochJ Chairman of 4ews Corp!J owner ofCo6J to changes in data collection methodology adopted in =$$( "y the 4ielsen Company to more accurately measure viewing ha"its! 0he results corrected a previous overestimate of the market share of Co6! +urdoch reacted "y getting leading politicians to denounce the 4ielsen *atings as racists! .usan 1hitingJ president and CEE of 4ielsen +edia *esearchJ responded "y 9uietly sharing 4eilsenRs data with her leading critics! 0he criticism disappearedJ and Co6 paid 4ielsenRs fees!L='M +urdoch had a conflict of interest "etween the reality of his market and his finances! Commercial media organiIations lose money if they provide content that offends either their audience or their advertisers! 0he su"stantial media consolidation that occurred since the #'F$s has reduced the alternatives availa"le to the audienceJ there"y making it easier for the ever larger companies in this increasingly oligopolistic industry to hide news and entertainment potentially offensive to advertisers without losing audience! /f the media provide too much information on how congress spends its timeJ a ma>or advertiser could "e offended and could reduce their advertising e6penditures with the offending media companyS indeedJ this is one of the ways the market system has determined which companies won and which either went out of "usiness or were purchased "y others in this media consolidation! GAdvertisers donRt like to feed the mouth that "ites themJ and often donRt! .imilarlyJ commercial media organiIations are not eager to "ite the hand that feeds them!H Advertisers have "een known to fund media organiIations with editorial policies they find offensive if that media outlet provides access to a sufficiently attractive audience segment they cannot efficiently reach otherwise! Election years are a ma>or "oon to commercial "roadcastersJ "ecause virtually all political advertising is purchased with minimal advance planningJ paying therefore the highest rates! 0he commercial media have a conflict of interest in anything that could make it easier for candidates to get elected with less money!L=?M Accompanying this trend in media consolidation has "een a su"stantial reduction in investigative >ournalismJ L=?M reflecting this conflict of interest "etween the "usiness o">ectives of the commercial media and the pu"licRs need to know what government is doing in their name! 0his change has "een tied to su"stantial changes in law and culture in the D!.! 0o cite only one e6ampleJ researchers have tied this decline in investigative >ournalism to an increased
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coverage of the Kpolice "lotterK!L)$M 0his has further "een tied to the fact that the Dnited .tates has the highest incarceration rate in the world! 2eyond thisJ virtually all commercial media companies own su"stantial 9uantities of copyrighted material! 0his gives them an inherent conflict of interest in any pu"lic policy issue affecting copyrights! +cChesney noted that the commercial media have lo""ied successfully for changes in copyright law that have led Kto higher prices and a shrinking of the marketplace of ideasKJ increasing the power and profits of the large media corporations at pu"lic e6pense! Ene result of this is that Kthe people cease to have a means of clarifying social priorities and organiIing social reformK!L)#M A free market has a mechanism for controlling a"uses of power "y media corporations: /f their censorship "ecomes too egregiousJ they lose audienceJ which in turn reduces their advertising rates! HoweverJ the effectiveness of this mechanism has "een su"stantially reduced over the past 9uarter century "y Kthe changes in the concentration and integration of the media!KL)=M 1ould the Anti-Counterfeiting 0rade Agreement have advanced to the point of generating su"stantial protests without the secrecy "ehind which that agreement was negotiatedQand would the government attempts to sustain that secrecy have "een as successful if the commercial media had not "een a primary "eneficiary and had not had a conflict of interest in suppressing discussion thereof7 1ays to mitigate conflicts of interestsLeditM *emovalLeditM 0he "est way to handle conflicts of interests is to avoid them entirely! Cor e6ampleJ someone elected to political office might sell all corporate stocks that they own "efore taking officeJ and resign from all corporate "oards! Er that person could move their corporate stocks to a special trustJ which would "e authoriIed to "uy and sell without disclosure to the owner! G0his is referred to as a K"lind trustK!H 1ith such a trustJ since the politician does not know in which companies they have investmentsJ there should "e no temptation to act to their advantage! NisclosureLeditM CommonlyJ politicians and high-ranking government officials are re9uired to disclose financial information - assets such as stockJ de"ts such as loansJ and or corporate positions heldJ typically annually! 0o protect privacy Gto some e6tentHJ financial figures are often disclosed in ranges such as KU#$$J$$$ to U%$$J$$$K and Kover U=J$$$J$$$K! Certain professionals are re9uired either "y rules related to their professional organiIationJ or "y statuteJ to disclose any actual or potential conflicts of interest! /n some instancesJ the failure to provide full disclosure is a crime! HoweverJ there is limited evidence regarding the effect of conflict of interest disclosure despite its widespread acceptance!L))M A =$#= study pu"lished in the Journal of the American +edical Association showed that routine disclosure of conflicts of interest "y American medical school educators to pre-clinical medical students were associated with an increased desire among students for limitations in some industry relationships! HoweverJ there were no changes in the perceptions of students a"out the value of disclosureJ the influence of industry relationships on educational contentJ or the instruction "y faculty with relevant conflicts of interest!L)(M AndJ an increasing line of research suggests that disclosure can have Kperverse effectsK orJ at leastJ is not the panacea regulators often take it to "e!L)%M *ecusalLeditM 0hose with a conflict of interest are e6pected to recuse themselves from Gi!e!J a"stain fromH decisions where such a conflict e6ists! 0he imperative for recusal varies depending upon the circumstance and professionJ either as common sense ethicsJ codified ethicsJ or "y statute! Cor e6ampleJ if the governing "oard of a government agency is considering hiring a consulting firm for some taskJ and one firm "eing considered hasJ as a partnerJ a close relative of one of the "oardRs mem"ersJ then that "oard mem"er should not vote on which firm is to "e selected! /n factJ to minimiIe any conflictJ the "oard mem"er should not participate in any way in the decisionJ including discussions! Judges are supposed to recuse themselves from cases when personal conflicts of interest may arise! Cor e6ampleJ if a >udge has participated in a case previously in some other >udicial role he she is not allowed to try that case! *ecusal is also e6pected when one of the lawyers in a case might "e a close personal friendJ or when the outcome of the case might affect the >udge directlyJ such as whether a car maker is o"liged to recall a model that a >udge drives! 0his is re9uired "y law under Continental civil law systems and "y the Criminal Court!
*ome .tatuteJ organic law of the /nternational
0hird-party evaluationsLeditM Consider a situation where the owner of a ma>ority of a pu"licly held corporation decides to "uy out the minority shareholders and take the corporation private! 1hat is a fair price7 E"viously it is improper GandJ typicallyJ illegalH for the ma>ority owner to simply state a price and then have the Gma>ority-controlledH "oard of directors approve that price!
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1hat is typically done is to hire an independent firm Ga third partyHJ well-9ualified to evaluate such mattersJ to calculate a Kfair priceKJ which is then voted on "y the minority shareholders! 0hird-party evaluations may also "e used as proof that transactions wereJ in factJ fair GKarmRs-lengthKH! Cor e6ampleJ a corporation that leases an office "uilding that is owned "y the CEE might get an independent evaluation showing what the market rate is for such leases in the localeJ to address the conflict of interest that e6ists "etween the fiduciary duty of the CEE Gto the stockholdersJ "y getting the lowest rent possi"leH and the personal interest of that CEE Gto ma6imiIe the income that the CEE gets from owning that office "uilding "y getting the highest rent possi"leH! Conclusion LeditM GenerallyJ conflicts of interests should "e eliminated! EftenJ howeverJ the specifics can "e controversial! .hould therapistsJ such as psychiatristsJ "e allowed to have e6tra-professional relations with patientsJ or e6-patients7 .hould a faculty mem"er "e allowed to have an e6tra-professional relationship with a studentJ and should that depend on whether the student is in a class ofJ or "eing advised "yJ the faculty mem"er7 Codes of ethics help to minimiIe pro"lems with conflicts of interests "ecause they can spell out the e6tent to which such conflicts should "e avoidedJ and what the parties should do where such conflicts are permitted "y a code of ethics GdisclosureJ recusalJ etc!H! 0husJ professionals cannot claim that they were unaware that their improper "ehavior was unethical! As importantlyJ the threat of disciplinary action Gfor e6ampleJ a lawyer "eing dis"arredH helps to minimiIe unaccepta"le conflicts or improper acts when a conflict is unavoida"le!
http: www!scri"d!com doc #(%%FF?)( 2ar-to-2ar-Justice-Causes-Eccentric-to-.addle-Dp-to-the-2ar
.ince codes of ethics cannot cover all situationsJ some governments have esta"lished an office of the ethics commissionerJ who can "e appointed "y the legislature and report to the legislature! .ee also LeditM Community of interest Crony capitalism Electoral fraud Ciduciary /nsider trading /ntra-household "argaining Judicial dis9ualification Jury nullification 5o""ying +edical ethics +oney loop +oral haIard ,erverse incentive ,olitics *ecusal *evolving door GpoliticsH .ilvio 2erlusconi 0a6 resistance Dnited .tates Effice of Government Ethics Controversies surrounding .ilvio 2erlusconi E6ternal linksLeditM 0hackerJ ,aul N! G4ovem"er =$$&H! KEnvironmental >ournals feel pressure to adopt disclosure rulesK! Environmental .cience < 0echnology ($ G==H: &F?)V&F?%!doi:#$!#$=# es$&=F$Fa! +cNonaldJ +ichael! KEthics and Conflict of /nterestK! 1! +aurice @oung Centre for Applied Ethics! Archived from the original on =$$?-##-$)! Curther readingLeditM AcocellaJ 4! and Ni 2artolomeoJ G! and ,iac9uadioJ ,!G! L=$$'MJ XConflict of interestJ GimplicitH coalitions and 4ash policy games3J in: XEconomics 5etters3J #$%: )$)-)$%! 2lackJ 1illiam B! G=$$%H! 0he 2est 1ay to *o" a 2ank /s to Ewn Ene! AustinJ 0Y: Dniversity of 0e6as ,ress! /.24 $-='=-?=#)'-$!
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NavisJ +ichaelS Andrew .tark G=$$#H! Conflict of interest in the professions! E6ford: E6ford Dniversity ,ress! /.24 $-#'-%#=F&)-Y! 5essigJ 5awrence G=$##H! *epu"licJ 5ost: How +oney Corrupts Congress -- and a ,lan to .top /t! 0welve! /.24 '?F$-((&-%?&()-?! 5oJ 2ernardS +arilyn J! Cield G=$$'H! Conflict of /nterest in +edical *esearchJ EducationJ and ,ractice! 1ashington NC: 4ational Academies ,ress! /.24 '?F-$-)$'-#)#FF-'! ,orterJ *oger J!S 0homas E! +alone G#''=H! 2iomedical research: colla"oration and conflict of interest! 2altimore: Johns Hopkins Dniversity ,ress! /.24 $-F$#F-(($$-=! 0hompsonJ Nennis G#''%H! Ethics in Congress: Crom /ndividual to /nstitutional Corruption! 1ashington NC: 2rookings /nstitution ,ress! /.24 $-F#%?-F(=)-&! 0hompsonJ Nennis G#'')H! KDnderstanding financial conflicts of interest!K 4ew England Journal of +edicine )=' GFH: %?)V?&!
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Attorney General “Judicial like” represents the Crown as guardian of the HE human enslaved interest
http: www!scri"d!com doc #$%&'($') *C+,-.arge-.tates-Apparently-/-0hought-1ere-Actually-Going-to/nvestigate-Government-Corruption-as-,er-Complaint http://71.18.145. 8/a!o"t#.ht$l Mc%ra"&s MP Motor'$o"th Prover!ial (cono$ics (nviron$ent cancere& opti$"$ no"rishe& op"lence $astication intellect"al crani"$ s)$posi"$ *+( at the e,ercise ta, eva&er-s ego'litarianis$ +(( tric.le'&own entreprene"r effect http://www.)o"t"!e.co$/watch?v/0!*CC1f23'c 2icker 2anker3s interest consuming knowledge erodes righters 4E1. 4ever Ending 1ar .tory 5ove of 1ar e6ponential "usiness http: www!youtu"e!com results7 search89uery:tesla;free;energy<o9:0esla;<gs8l:youtu"e!#!$!)%i)'l=>$l)>$i)l=>$l)!?#?!'$$(!$!#(#=&!%!(!$!#!#!$!) %&!'=%!=-=>#!)!$!!!$!$!!!#ac!#!##!youtu"[email protected]@ 0*/C5E. 0esla *ighteousness /nherently Cree 5egal Energy .anctimonious 1here3s the cents in that or this http: www!youtu"e!com watch7v:@)6-D>(yA+@ Cancer Cured OCCULT E"trusively Cancer Cure Dnleashes 5i9uidation 0rauma What's up Doc?
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http: www!scri"d!com doc #?'%$%)%F Ate-6-Ate-con-sums-&&-eh # page to e6asperate # line twitters 2eyond the scope of the twitter http: en!wikipedia!org wiki Conflict8of8interest
A conflict of interest GCE/H occurs when an individual or organiIation is involved in multiple interestsJ one of which could possi"ly corrupt the motivation for an act in another! 0he presence of a conflict of interest is independent from the e6ecution of impropriety! 0hereforeJ a conflict of interest can "e discovered and voluntarily defused "efore any corruption occurs! A widely used definition is: KA conflict of interest is a set of circumstances that creates a risk that professional >udgement or actions regarding a primary interest will "e unduly influenced "y a secondary interest!KL#M,rimary interest refers to the principal goals of the profession or activityJ such as the protection of clientsJ the health of patientsJ the integrity of researchJ and the duties of pu"lic office! .econdary interest includes not only financial gain "ut also such motives as the desire for professional advancement and the wish to do favours for family and friendsJ "ut conflict of interest rules usually focus on financial relationships "ecause they are relatively more o">ectiveJ fungi"leJ and 9uantifia"le! 0he secondary interests are not treated as wrong in themselvesJ "ut "ecome o">ectiona"le when they are "elieved to have greater weight than the primary interests! 0he conflict in a conflict of interest e6ists whether or not a particular individual is actually influenced "y the secondary interest! /t e6ists if the circumstances are reasona"ly "elieved Gon the "asis of past e6perience and o">ective evidenceH to create a risk that decisions may "e unduly influenced "y secondary interests! Contents LhideM # Conflicts of interest related to the practice of law = Conflicts of interest generally Gunrelated to the practice of lawH ) ErganiIational conflict of interest ( *elationship to medical research % 0ypes of conflicts of interests & E6amples &!# Environmental HaIards and Human Health &!= .elf-,olicing &!) /nsurance Claims Ad>usters &!( ,urchasing Agents and .ales ,ersonnel &!% Governmental Efficials &!& Cinance /ndustry and Elected Efficials &!? Cinance /ndustry and economists &!F .tock"rokers &!' +edia ? 1ays to mitigate conflicts of interests ?!# *emoval ?!= Nisclosure ?!) *ecusal ?!( 0hird-party evaluations ?!% Conclusion F .ee also ' E6ternal links #$ Curther reading ## *eferences Conflicts of interest related to the practice of lawLeditM ,rofessional responsi"ility Nuties to the client Confidentiality
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Avoiding conflict of interest Niligence and competence Avoid commingling Avoid self-dealing Effective assistance Avoid fee splitting 1ithdrawal from representation Nuties to the court Nisclosure of per>ury Nisclosure of adverse authority Nuties to the profession 5imitations on legal advertising *eport misconduct .ources of law A2A +odel *ules ,enalties for misconduct Nis"arment Judicial misconduct v t e Judicial dis9ualificationJ also referred to as recusalJ refers to the act of a"staining from participation in an official action such as a court caseOlegal proceeding due to a conflict of interest of the presiding court official or administrative officer! Applica"le statutes or canons ofethics may provide standards for recusal in a given proceeding or matter! ,roviding that the >udge or presiding officer must "e free from disa"ling conflicts of interest makes the fairness of the proceedings less likely to "e 9uestioned!L=M /n the legal professionJ the duty of loyalty owed to a client prohi"its an attorney Gor a law firmH from representing any other party with interests adverse to those of a current client! 0he few e6ceptions to this rule re9uire informed written consent from all affected clientsJ i!e!J an Kethical wallK! /n some circumstancesJ a conflict of interest can never "e waived "y a client! /n perhaps the most common e6ample encountered "y the general pu"licJ the same firm should not represent "oth parties in a divorce or child custody case! A prohi"ited or undisclosed representation involving a conflict of interest can su">ect an attorney to disciplinary hearingsJ the denial or disgorgement of legal feesJ or in some cases Gsuch as the failure to make mandatory disclosureHJ criminal proceedings! /n the Dnited .tatesJ a law firm usually cannot represent a client if its interests conflict with those of another clientJ even if they have separate lawyers within the firmJ unless Gin some >urisdictionsH the lawyer is segregated from the rest of the firm for the duration of the conflict! 5aw firms often employ software in con>unction with their case management and accounting systems in order to meet their duties to monitor their conflict of interest e6posure and to assist in o"taining waivers! Conflicts of interest generally Gunrelated to the practice of lawHLeditM .ociology
Eutline 0heory
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History ,ositivism Antipositivism Cunctionalism Conflict theories +iddle-range +athematical Critical theory .ocialiIation .tructure and agency *esearch methods Puantitative Pualitative Historical Computational Ethnographic 4etwork-analytic 0opics .u"fields Change Cities Class Crime Culture Nevelopment Neviance Nemography Education Economy Environment Camily Gender Health /ndustry
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/nternet Bnowledge 5aw 5iterature +edicine +o"ility +ovements 4etworks ErganiIations ,olitics *ace < ethnicity *eligion *ural .cience .oc! psychology .tratification 0echnology 2rowse ,ortal .ociologists Journals 5ists v t e +ore generallyJ conflicts of interest can "e defined as any situation in which an individual or corporation Geither private or governmentalH is in a position to e6ploit a professional or official capacity in some way for their personal or corporate "enefit! Nepending upon the law or rules related to a particular organiIationJ the e6istence of a conflict of interest may notJ in and of itselfJ "e evidence of wrongdoing! /n factJ for many professionalsJ it is virtually impossi"le to avoid having conflicts of interest from time to time! A conflict of interest canJ howeverJ "ecome a legal matter for e6ample when an individual tries Gand or succeeds inH influencing the outcome of a decisionJ for personal "enefit! A director or e6ecutive of a corporation will "e su">ect to legal lia"ility if a conflict of interest "reaches his her Nuty of 5oyalty! 0here often is confusion over these two situations! .omeone accused of a conflict of interest may deny that a conflict e6ists "ecause he she did not act improperly! /n factJ a conflict of interest can e6ist even if there are no improper acts as a result of it! GEne way to understand this is to use the term Kconflict of rolesK! A person with two rolesQan individual who owns stock and is also a government officialJ for e6ampleQmay e6perience situations where those two
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roles conflict! 0he conflict can "e mitigatedQsee "elowQ"ut it still e6ists! /n and of itselfJ having two roles is not illegalJ "ut the differing roles will certainly provide an incentive for improper acts in some circumstances!H As an e6ampleJ in the sphere of "usiness and controlJ according to the /nstitute of /nternal Auditors: conflict of interest is a situation in which an internal auditorJ who is in a position of trustJ has a competing professional or personal interest! .uch competing interests can make it difficult to fulfill his or her duties impartially! A conflict of interest e6ists even if nounethical or improper act results! A conflict of interest can create an appearance of impropriety that can undermine confidence in the internal auditorJ the internal audit activityJ and the profession! A conflict of interest could impair an individualRs a"ility to perform his or her duties and responsi"ilities o">ectively!L)ML(M ErganiIational conflict of interestLeditM An organiIational conflict of interest GEC/H may e6ist in the same way as descri"ed a"oveJ in the realm of the private sector providing services to the GovernmentJ where a corporation provides two types of services to the Government that have conflicting interest or appear o">ectiona"le Gi!e!: manufacturing parts and then participating on a selection committee comparing parts manufacturersH! Corporations may develop simple or comple6 systems to mitigate the risk or perceived risk of a conflict of interest! 0hese risks are typically evaluated "y a governmental office Gfor e6ampleJ in a D!.! Government *C,H to determine whether the risks pose a su"stantial advantage to the private organiIation over the competition or will decrease the overall competitiveness in the "idding process! *elationship to medical researchLeditM 0he influence of the pharmaceutical industry on medical research has "een a ma>or cause for concern! /n =$$' a study found that Ka num"er of academic institutionsK do not have clear guidelines for relationships "etween /nstitutional *eview 2oards and industry!L%M 0ypes of conflicts of interestsLeditM 0he following are the most common forms of conflicts of interests: .elf-dealingJ in which an official who controls an organiIation causes it to enter into a transaction with the officialJ or with another organiIation that "enefits the official! 0he official is on "oth sides of the Kdeal!K Eutside employmentJ in which the interests of one >o" contradict another! Camily interestsJ in which a spouseJ childJ or other close relative is employed Gor applies for employmentH or where goods or services are purchased from such a relative or a firm controlled "y a relative! Cor this reasonJ many employment applications ask if one is related to a current employee! /f this is the caseJ the relative could then recuse from any hiring decisions! A"use of this type of conflict of interest is called nepotism! Gifts from friends who also do "usiness with the person receiving the gifts! G.uch gifts may include non-tangi"le things of value such as transportation and lodging!H ,ump and dumpJ in which a stock "roker who owns a security artificially inflates the price "y KupgradingK it or spreading rumorsJ sells the security and adds short positionJ then KdowngradesK the security or spreads negative rumors to push the price down! Ether improper acts that are sometimes classified as conflicts of interests are pro"a"ly "etter classified elsewhere! Accepting "ri"es can "e classified as corruptionS almost everyone in a position of authorityJ particularly pu"lic authorityJ has the potential for such wrongdoing! .imilarlyJ use of government or corporate property or assets for personal use is fraudJ and classifying this as a conflict of interest does not improve the analysis of this pro"lem! 4or should unauthoriIed distri"ution of confidential informationJ in itselfJ "e considered a conflict of interest! Cor these improper actsJ there is no inherent conflict of roles Gsee a"oveHJ unless "eing a Gfalli"leH human "eing rather than GsayH a ro"ot in a position of power or authority is considered to "e a conflict! CE/ is sometimes termed competition of interest rather than KconflictKJ emphasiIing a connotation of natural competition "etween valid interests rather than violent conflict with its connotation of victimhood and unfair aggression! 4everthelessJ denotativelyJ there is too much overlap "etween the terms to make any o">ective differentiation! E6amplesLeditM 0he e6amples and perspective in this section deal primarily with the Dnited .tates and do not represent a worldwide view of the su">ect! ,lease improve this article and discuss the issue on the talk page! GApril =$#)H Environmental HaIards and Human HealthLeditM 2akerL&M summariIed #?& studies of the potential impact of 2isphenol A on human health as follows:L?M Cunding Harm 4o Harm
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/ndependent Ge!g!J governmentH #%= GF&TH ## G#(TH 5essigLFM noted that this does not mean that the funding source influenced the results! HoweverJ it does raise 9uestions a"out the validity of the industry-funded studies specificallyJ "ecause the researchers conducting those studies have a conflict of interestS they are su">ect at minimum to a natural human inclination to please the people who paid for their work! 5essig provided a similar summary of )=& studies of the potential harm from cell phone usage with results that were similar "ut not as stark!L'M http: www!scri"d!com doc #$%&'($') *C+,-.arge-.tates-Apparently-/-0hought-1ere-Actually-Going-to/nvestigate-Government-Corruption-as-,er-Complaint +cCrauds http: ?#!#F!#(%!=F a"out'!html .elf-,olicing LeditM .elf-policing of any group is also a conflict of interest! /f any organiIationJ such as a corporation or government "ureaucracyJ is asked to eliminate unethical "ehavior within their own groupJ it may "e in their interest in the short run to eliminate the appearance of unethical "ehaviorJ rather than the "ehavior itselfJ "y keeping any ethical "reaches hiddenJ instead of e6posing and correcting them! An e6ception occurs when the ethical "reach is already known "y the pu"lic! /n that caseJ it could "e in the groupRs interest to end the ethical pro"lem to which the pu"lic has knowledgeJ "ut keep remaining "reaches hidden! /nsurance Claims Ad>ustersLeditM /nsurance companies retain claims ad>usters to represent their interest in ad>usting claims! /t is in the "est interest of the insurance companies that the very smallest settlement is reached with its claimants! 2ased on the ad>usterRs e6perience and knowledge of the insurance policy it is very easy for the ad>uster to convince an unknowing claimant to settle for less than what they may otherwise "e entitled which could "e a larger settlement! 0here is always a very good chance of a conflict of interest to e6ist when one ad>uster tries to represent "oth sides of a financial transaction such as an insurance claim! 0his pro"lem is e6acer"ated when the claimant is toldJ or "elievesJ the insurance companyRs claims ad>uster is fair and impartial enough to satisfy "oth theirs and the insurance companyRs interests! 0hese types of conflicts could "e easily "e avoided "y the use of disclosures! ,urchasing Agents and .ales ,ersonnelLeditM A person working as the e9uipment purchaser for a company may get a "onus proportionate to the amount heRs under "udget "y year end! HoweverJ this "ecomes an incentive for him to purchase ine6pensiveJ su"standard e9uipment! 0hereforeJ this is counter to the interests of those in his company who must actually use the e9uipment! 1! Edwards Neming listed Kpurchasing on price aloneK as num"er ( of his famous #( pointsJ and he often said things to the effect that KHe who purchases on price alone deserves to get rooked!K Governmental EfficialsLeditM
conflict of interest in legislation *egulating conflict of interest in government is one of the aims of political ethics! ,u"lic officials are e6pected to put service to the pu"lic and their constituents ahead of their personal interests! Conflict of interest rules are intended to prevent officials from making decisions in circumstances that could reasona"ly "e perceived as violating this duty of office! *ules in the e6ecutive "ranch tend to "e stricter and easier to enforce than in the legislative "ranch!L#$M 0wo pro"lems make legislative ethics of conflicts difficult and distinctive!L##M CirstJ as James +adison wroteJ legislators
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should share a Kcommunion of interestsK with their constituents! 5egislators cannot ade9uately represent the interests of constituents without also representing some of their own! As .enator *o"ert .! Berr once saidJ K/ represent the farmers of EklahomaJ although / have large farm interests! / represent the oil "usiness in Eklahoma !!! and / am in the oil "usiness! !!! 0hey donRt want to send a man here who has no community of interest with themJ "ecause he wouldnRt "e worth a nickel to them!KL#=M0he pro"lem is to distinguish special interests from the general interests of all constituents! .econdJ the Kpolitical interestsK of legislatures include campaign contri"utions which they need to get electedJ and which are generally not illegal and not the same as a "ri"e! 2ut under many circumstances they can have the same effect! 0he pro"lem here is how to keep the secondary interest in raising campaign funds from overwhelming what should "e their primary interest: fulfilling the duties of office! ,olitics in the D!.! is dominated in many ways "y political campaign contri"utions!L=M Candidates are often not considered Kcredi"leK unless they have a campaign "udget far "eyond what could reasona"ly "e raised from citiIens of ordinary means! 0he pernicious impact of this money can "e found in many placesJ most nota"ly in studies of how campaign contri"utions affect legislative "ehavior! Cor e6ampleJ the price of sugar in the D. has "een roughly dou"le the international price for over half a century! /n the #'F$sJ this added U) "illion to the annual "udget of D. consumersJ according to .ternJL#)M who provided the following summary of one part of how this happens: Contri"utions from the sugar lo""yJ #'F)V#'F& ,ercent voting in #'F% against gradually reducing sugar su"sidies W U%J$$$ U=J%$$V%J$$$ U#J$$$V=J%$$ U#V#J$$$ #$$T '?T &FT (%T
U$ =$T 0his U) "illion translates into U(# per household per year! 0his is in essence a ta6 collected "y a nongovernmental agency: /t is a cost imposed on consumers "y governmental decisionsJ "ut never considered in any of the standard data on ta6 collections! .tern notes that sugar interests contri"uted U=!& million to political campaignsJ representing well over U#J$$$ return for each U# contri"uted to political campaigns! 0hisJ howeverJ does not include the cost of lo""ying! 5essigL#(M cites si6 different studies that consider the cost of lo""ying with campaign contri"utions on a variety of issues considered in 1ashingtonJ NC! 0hese studies produced estimates of the anticipated return on each U# invested in lo""ying and political campaigns that ranged from U& to U==$! 5essig notes that clients who pay tens of millions of dollars to lo""yists typically receive "illions! 5essigJLFM insists that this does not mean that any legislator has sold his or her vote! Ene of several possi"le e6planations 5essig gives for this phenomenon is that the money helped elect candidates more supportive of the issues pushed "y the "ig money spent on lo""ying and political campaigns! He notes that if any money perverts democracyJ it is the large contri"utions "eyond the "udgets of citiIens of ordinary meansS small contri"utions from common citiIens have long "een considered supporting of democracy!L#%M 1hen such large sums "ecome virtually essential to a politicianRs futureJ it generates a su"stantive conflict of interest contri"uting to a fairly well documented distortion on the nationRs priorities and policies! 2eyond thisJ governmental officialsJ whether elected or notJ often leave pu"lic service to work for companies affected "y legislation they helped enact or companies they used to regulate or companies affected "y legislation they helped enact! 0his practice is called the *evolving door! Cormer legislators and regulators are accused of GaH using inside information for their new employers or G"H compromising laws and regulations in hopes of securing lucrative employment in the private sector! 0his possi"ility creates a conflict of interest for all pu"lic officials whose future may depend on the *evolving door! Cinance /ndustry and Elected Efficials LeditM Conflicts of interest among elected officials is part of the story "ehind the increase in the percent of D. corporate domestic profits captured "y the finance industry depicted in that accompanying figure!
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Cinance as a percent of D. Nomestic Corporate ,rofits Cinance includes "anksJ securities and insurance! /n #')=#'))J the total D. domestic corporate profit was negative! HoweverJ the financial sector made a profit in those yearsJ which made its percentage negativeJ "elow $ and off the scale in this plot!L#&M Crom #')( through #'F%J the finance industry averaged #)!FT of D!.! domestic corporate profit! 2etween #'F& and #'''J it averaged =)!%T! Crom =$$$ through =$#$J it averaged )=!&T! .ome of this increase is dou"tless due to increased efficiency from "anking consolidation and innovations in new financial products that "enefit consumers! HoweverJ if most consumers had refused to accept financial products they did not understandJ e!g!J negative amortiIation loansJ the finance industry would not have "een as profita"le as it has "eenJ and the 5ate-=$$$s recession might have "een avoided or postponed! .tiglitIL#?M noted that the 5ate-=$$$s recession was created in part "ecauseJ K2ankers acted greedily "ecause they had incentives and opportunities to do soK! 0hey did this in part "y innovating to make consumer financial products like retail "anking services and home mortgages as complicated as possi"le to make it easy for them to charge higher fees! Consumers who shop carefully for financial services typically find "etter options than the primary offerings of the ma>or "anks! HoweverJ few consumers think to do that! 0his e6plains part of this increase in financial industry profits! HoweverJ a ma>or portion of this increase and a driving force "ehind 5ate-=$$$s recession has "een the corrosive effect of money in politicsJ giving legislators and the ,resident of the D!.! a conflict of interestJ "ecause if they protect the pu"licJ they will offend the finance industryJ which contri"uted U#!? "illion to political campaigns and spent U)!( "illion GU%!# "illion totalH on lo""ying from #''F to =$$F!L#FML#'ML=$M 0o "e conservativeJ suppose we attri"ute only the increase from =)!%T of #'F& through #''' to the recent )=!&T average to governmental actions su">ect to conflicts of interest created "y the U#!? "illion in campaign contri"utions! 0hatRs 'T of the U) trillion in profits claimed "y the finance industry during that period or U=?$ "illion! 0his represents a return of over U%$ for each U# invested in political campaigns and lo""ying for that industry! G0his U=?$ "illion represents almost U#J$$$ for every manJ woman and child in the D!.!H 0here is hardly any place outside of politics with such a high return on investment in such a short time! Cinance /ndustry and economistsLeditM Economists Gunlike other professions such as sociologistsH do not formally su"scri"e to a professional ethical code! Close to )$$ economists have signed a letter urging the American Economic Association Gthe discipline3s foremost professional "odyHJ to adopt such a code! 0he signatories include George AkerlofJ a 4o"el laureateJ and Christina *omerJ who headed 2arack E"ama3s Council of Economic Advisers!L=#M 0his call for a code of ethics was supported "y the pu"lic attention the documentary /nside Jo" Gwinner of an Academy AwardH drew to the consulting relationships of several influential economists!L==M 0his documentary focused on conflicts that may arise when economists pu"lish results or provide pu"lic recommendation on topics that affect industries or companies with which they have financial links! Critics of the profession argueJ for e6ampleJ that it is no coincidence that financial economistsJ many of whom were engaged as consultants "y 1all .treet firmsJ were opposed to regulating the financial sector!L=)M /n response to criticism that the profession not only failed to predict the =$$?-=$$F financial crisis "ut may actually have helped create itJ the American Economic Association has adopted new rules in =$#=: economists will have to disclose financial ties and other potential conflicts of interest in papers pu"lished in academic >ournals! 2ackers argue such disclosures will help restore faith in the profession "y increasing transparency which will help in assessing economistsR advice!L=(M
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.tock"rokersLeditM A conflict of interest is a manifestation of the moral haIard pro"lemJ particularly when a financial institution provides multiple services and the potentially competing interests of those services may lead to a concealment of information or dissemination of misleading information! A conflict of interest e6ists when a party to a transaction could potentially make a gain from taking actions that are detrimental to the other party in the transaction!L=%M 0here are many types of conflicts of interest such as a Kpump and dumpK "y stock"rokers! 0his is when a stock"roker who owns a security artificially inflates the price "y upgrading it or spreading rumorsJ and then sells the security and adds short position! 0hey will then downgrade the security or spread negative rumors to push the price "ack down! 0his is an e6ample of stock fraud! /t is a conflict of interest "ecause the stock"rokers are concealing and manipulating information to make it misleading for the "uyers! 0he "roker may claim to have the KinsideK information a"out impeding news and will urge "uyers to "uy the stock 9uickly! /nvestors will "uy the stockJ which creates a high demand and raises the prices! 0his rise in prices can entice more people to "elieve the hype and then "uy shares as well! 0he stock"rokers will then sell their shares and stop promotingJ the price will dropJ and other investors are left holding stock that is worth nothing compared to what they paid for it! 0he "rokers are using their knowledge and position in a way to influence and control others and gain personallyJ which is morally wrong! Ene ma>or e6ample of pump and dump would "e with EnronJ in which e6ecutives participated in an ela"orate scheme that fooled even the most e6perienced analysts on 1all .treet! Enron falsely reported profitsJ which inflated stock pricesJ and covered the real num"ers "y using 9uestiona"le accounting practicesS =' e6ecutives sold overvalued stock for more than a "illion dollars "efore the company went "ankrupt!Lcitation neededM +ediaLeditM Any media organiIation has a conflict of interest in discussing anything that may impact its a"ility to communicate as it wants with its audience! Cor e6ampleJ the 1ikimedia Coundation has a conflict of interest in discussing the .top Enline ,iracy Act or any other legislation or governmental action that could impact its a"ility to deliver content to its intended audience! 0he "usiness model of commercial media organiIations Gi!e!J any that accept advertisingH is selling "ehavior change in their audience to advertisers!L=&ML=?ML=FM HoweverJ few in their audience are aware of the conflict of interest "etween the profit motive and the altruistic desire to serve the pu"lic and Kgive the audience what it wants!K +any ma>or advertisers test their ads in various ways to measure the return on investment in advertising! Advertising rates are set as a function of the siIe and spending ha"its of the audience as measured "y the 4ielsen *atings! +edia action e6pressing this conflict of interest is evident in the reaction of *upert +urdochJ Chairman of 4ews Corp!J owner ofCo6J to changes in data collection methodology adopted in =$$( "y the 4ielsen Company to more accurately measure viewing ha"its! 0he results corrected a previous overestimate of the market share of Co6! +urdoch reacted "y getting leading politicians to denounce the 4ielsen *atings as racists! .usan 1hitingJ president and CEE of 4ielsen +edia *esearchJ responded "y 9uietly sharing 4eilsenRs data with her leading critics! 0he criticism disappearedJ and Co6 paid 4ielsenRs fees!L='M +urdoch had a conflict of interest "etween the reality of his market and his finances! Commercial media organiIations lose money if they provide content that offends either their audience or their advertisers! 0he su"stantial media consolidation that occurred since the #'F$s has reduced the alternatives availa"le to the audienceJ there"y making it easier for the ever larger companies in this increasingly oligopolistic industry to hide news and entertainment potentially offensive to advertisers without losing audience! /f the media provide too much information on how congress spends its timeJ a ma>or advertiser could "e offended and could reduce their advertising e6penditures with the offending media companyS indeedJ this is one of the ways the market system has determined which companies won and which either went out of "usiness or were purchased "y others in this media consolidation! GAdvertisers donRt like to feed the mouth that "ites themJ and often donRt! .imilarlyJ commercial media organiIations are not eager to "ite the hand that feeds them!H Advertisers have "een known to fund media organiIations with editorial policies they find offensive if that media outlet provides access to a sufficiently attractive audience segment they cannot efficiently reach otherwise! Election years are a ma>or "oon to commercial "roadcastersJ "ecause virtually all political advertising is purchased with minimal advance planningJ paying therefore the highest rates! 0he commercial media have a conflict of interest in anything that could make it easier for candidates to get elected with less money!L=?M Accompanying this trend in media consolidation has "een a su"stantial reduction in investigative >ournalismJ L=?M reflecting this conflict of interest "etween the "usiness o">ectives of the commercial media and the pu"licRs need to know what government is doing in their name! 0his change has "een tied to su"stantial changes in law and culture in the D!.! 0o cite only one e6ampleJ researchers have tied this decline in investigative >ournalism to an increased
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coverage of the Kpolice "lotterK!L)$M 0his has further "een tied to the fact that the Dnited .tates has the highest incarceration rate in the world! 2eyond thisJ virtually all commercial media companies own su"stantial 9uantities of copyrighted material! 0his gives them an inherent conflict of interest in any pu"lic policy issue affecting copyrights! +cChesney noted that the commercial media have lo""ied successfully for changes in copyright law that have led Kto higher prices and a shrinking of the marketplace of ideasKJ increasing the power and profits of the large media corporations at pu"lic e6pense! Ene result of this is that Kthe people cease to have a means of clarifying social priorities and organiIing social reformK!L)#M A free market has a mechanism for controlling a"uses of power "y media corporations: /f their censorship "ecomes too egregiousJ they lose audienceJ which in turn reduces their advertising rates! HoweverJ the effectiveness of this mechanism has "een su"stantially reduced over the past 9uarter century "y Kthe changes in the concentration and integration of the media!KL)=M 1ould the Anti-Counterfeiting 0rade Agreement have advanced to the point of generating su"stantial protests without the secrecy "ehind which that agreement was negotiatedQand would the government attempts to sustain that secrecy have "een as successful if the commercial media had not "een a primary "eneficiary and had not had a conflict of interest in suppressing discussion thereof7 1ays to mitigate conflicts of interestsLeditM *emovalLeditM 0he "est way to handle conflicts of interests is to avoid them entirely! Cor e6ampleJ someone elected to political office might sell all corporate stocks that they own "efore taking officeJ and resign from all corporate "oards! Er that person could move their corporate stocks to a special trustJ which would "e authoriIed to "uy and sell without disclosure to the owner! G0his is referred to as a K"lind trustK!H 1ith such a trustJ since the politician does not know in which companies they have investmentsJ there should "e no temptation to act to their advantage! NisclosureLeditM CommonlyJ politicians and high-ranking government officials are re9uired to disclose financial information - assets such as stockJ de"ts such as loansJ and or corporate positions heldJ typically annually! 0o protect privacy Gto some e6tentHJ financial figures are often disclosed in ranges such as KU#$$J$$$ to U%$$J$$$K and Kover U=J$$$J$$$K! Certain professionals are re9uired either "y rules related to their professional organiIationJ or "y statuteJ to disclose any actual or potential conflicts of interest! /n some instancesJ the failure to provide full disclosure is a crime! HoweverJ there is limited evidence regarding the effect of conflict of interest disclosure despite its widespread acceptance!L))M A =$#= study pu"lished in the Journal of the American +edical Association showed that routine disclosure of conflicts of interest "y American medical school educators to pre-clinical medical students were associated with an increased desire among students for limitations in some industry relationships! HoweverJ there were no changes in the perceptions of students a"out the value of disclosureJ the influence of industry relationships on educational contentJ or the instruction "y faculty with relevant conflicts of interest!L)(M AndJ an increasing line of research suggests that disclosure can have Kperverse effectsK orJ at leastJ is not the panacea regulators often take it to "e!L)%M *ecusalLeditM 0hose with a conflict of interest are e6pected to recuse themselves from Gi!e!J a"stain fromH decisions where such a conflict e6ists! 0he imperative for recusal varies depending upon the circumstance and professionJ either as common sense ethicsJ codified ethicsJ or "y statute! Cor e6ampleJ if the governing "oard of a government agency is considering hiring a consulting firm for some taskJ and one firm "eing considered hasJ as a partnerJ a close relative of one of the "oardRs mem"ersJ then that "oard mem"er should not vote on which firm is to "e selected! /n factJ to minimiIe any conflictJ the "oard mem"er should not participate in any way in the decisionJ including discussions! Judges are supposed to recuse themselves from cases when personal conflicts of interest may arise! Cor e6ampleJ if a >udge has participated in a case previously in some other >udicial role he she is not allowed to try that case! *ecusal is also e6pected when one of the lawyers in a case might "e a close personal friendJ or when the outcome of the case might affect the >udge directlyJ such as whether a car maker is o"liged to recall a model that a >udge drives! 0his is re9uired "y law under Continental civil law systems and "y the Criminal Court!
*ome .tatuteJ organic law of the /nternational
0hird-party evaluationsLeditM Consider a situation where the owner of a ma>ority of a pu"licly held corporation decides to "uy out the minority shareholders and take the corporation private! 1hat is a fair price7 E"viously it is improper GandJ typicallyJ illegalH for the ma>ority owner to simply state a price and then have the Gma>ority-controlledH "oard of directors approve that price!
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1hat is typically done is to hire an independent firm Ga third partyHJ well-9ualified to evaluate such mattersJ to calculate a Kfair priceKJ which is then voted on "y the minority shareholders! 0hird-party evaluations may also "e used as proof that transactions wereJ in factJ fair GKarmRs-lengthKH! Cor e6ampleJ a corporation that leases an office "uilding that is owned "y the CEE might get an independent evaluation showing what the market rate is for such leases in the localeJ to address the conflict of interest that e6ists "etween the fiduciary duty of the CEE Gto the stockholdersJ "y getting the lowest rent possi"leH and the personal interest of that CEE Gto ma6imiIe the income that the CEE gets from owning that office "uilding "y getting the highest rent possi"leH! Conclusion LeditM GenerallyJ conflicts of interests should "e eliminated! EftenJ howeverJ the specifics can "e controversial! .hould therapistsJ such as psychiatristsJ "e allowed to have e6tra-professional relations with patientsJ or e6-patients7 .hould a faculty mem"er "e allowed to have an e6tra-professional relationship with a studentJ and should that depend on whether the student is in a class ofJ or "eing advised "yJ the faculty mem"er7 Codes of ethics help to minimiIe pro"lems with conflicts of interests "ecause they can spell out the e6tent to which such conflicts should "e avoidedJ and what the parties should do where such conflicts are permitted "y a code of ethics GdisclosureJ recusalJ etc!H! 0husJ professionals cannot claim that they were unaware that their improper "ehavior was unethical! As importantlyJ the threat of disciplinary action Gfor e6ampleJ a lawyer "eing dis"arredH helps to minimiIe unaccepta"le conflicts or improper acts when a conflict is unavoida"le!
http: www!scri"d!com doc #(%%FF?)( 2ar-to-2ar-Justice-Causes-Eccentric-to-.addle-Dp-to-the-2ar
.ince codes of ethics cannot cover all situationsJ some governments have esta"lished an office of the ethics commissionerJ who can "e appointed "y the legislature and report to the legislature! .ee also LeditM Community of interest Crony capitalism Electoral fraud Ciduciary /nsider trading /ntra-household "argaining Judicial dis9ualification Jury nullification 5o""ying +edical ethics +oney loop +oral haIard ,erverse incentive ,olitics *ecusal *evolving door GpoliticsH .ilvio 2erlusconi 0a6 resistance Dnited .tates Effice of Government Ethics Controversies surrounding .ilvio 2erlusconi E6ternal linksLeditM 0hackerJ ,aul N! G4ovem"er =$$&H! KEnvironmental >ournals feel pressure to adopt disclosure rulesK! Environmental .cience < 0echnology ($ G==H: &F?)V&F?%!doi:#$!#$=# es$&=F$Fa! +cNonaldJ +ichael! KEthics and Conflict of /nterestK! 1! +aurice @oung Centre for Applied Ethics! Archived from the original on =$$?-##-$)! Curther readingLeditM AcocellaJ 4! and Ni 2artolomeoJ G! and ,iac9uadioJ ,!G! L=$$'MJ XConflict of interestJ GimplicitH coalitions and 4ash policy games3J in: XEconomics 5etters3J #$%: )$)-)$%! 2lackJ 1illiam B! G=$$%H! 0he 2est 1ay to *o" a 2ank /s to Ewn Ene! AustinJ 0Y: Dniversity of 0e6as ,ress! /.24 $-='=-?=#)'-$!
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NavisJ +ichaelS Andrew .tark G=$$#H! Conflict of interest in the professions! E6ford: E6ford Dniversity ,ress! /.24 $-#'-%#=F&)-Y! 5essigJ 5awrence G=$##H! *epu"licJ 5ost: How +oney Corrupts Congress -- and a ,lan to .top /t! 0welve! /.24 '?F$-((&-%?&()-?! 5oJ 2ernardS +arilyn J! Cield G=$$'H! Conflict of /nterest in +edical *esearchJ EducationJ and ,ractice! 1ashington NC: 4ational Academies ,ress! /.24 '?F-$-)$'-#)#FF-'! ,orterJ *oger J!S 0homas E! +alone G#''=H! 2iomedical research: colla"oration and conflict of interest! 2altimore: Johns Hopkins Dniversity ,ress! /.24 $-F$#F-(($$-=! 0hompsonJ Nennis G#''%H! Ethics in Congress: Crom /ndividual to /nstitutional Corruption! 1ashington NC: 2rookings /nstitution ,ress! /.24 $-F#%?-F(=)-&! 0hompsonJ Nennis G#'')H! KDnderstanding financial conflicts of interest!K 4ew England Journal of +edicine )=' GFH: %?)V?&!
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