Conflict of interest for public officials under the Integrity Commission Law
A director signs a contract with a company in which his brother holds a share; an official appoints his nephew to his section; a procurement committee member's wife owns a shop that supplies the department. These are examples people ask about under the heading "conflict of interest". The office of lawyer Ali Barakat in Baghdad explains how the Integrity Commission and Illicit Gain Law deals with such cases after the 2019 amendment.
The definition
The eighth paragraph of the first article, as replaced by Law No. 30 of 2019, defines a conflict of interest as any situation in which the filer, spouse, children or a person related to the second degree has a material interest that conflicts with his or her post or office.
Three elements follow from the definition:
- The person: the filer, who under the fourth paragraph of the same article is the person required to submit a financial disclosure report, being one of those listed in article 16, first paragraph.
- The circle of relatives: the spouse, children and those related to the second degree, such as father, mother, brother, sister, grandparent and grandchild.
- The interest: it must be material and must conflict with the post or office.
Advance disclosure of interests
The fifth paragraph of the third article includes among the Commission's means of work requiring officials to disclose their finances and their outside activities, investments, assets, gifts or significant benefits that may lead to a conflict of interest, through regulatory instructions with the force of law. The fifth paragraph of the sixth article allows the Commission's head to issue the code of conduct. The financial disclosure statement is the practical tool for spotting a conflict early; see the financial disclosure form.
The ban on appointing relatives
The first paragraph of article 20 provides that an official or person in public service may not appoint anyone related to him or her to the second degree to permanent posts under his or her management. Two points stand out:
- It addresses every official or person in public service, not only those required to file disclosures.
- It concerns permanent posts under his or her management, so a relative working in another department is outside the text.
The choice when a conflict is established
The second paragraph of article 20 provides that when a conflict of interest is established, the filer must choose between:
- removing it by giving it up, for example disposing of the conflicting share or interest, or
- leaving the post or office,
within the period the Commission sets by instructions. The law does not first punish the existence of the conflict itself; it gives an opportunity to remove it.
In practice, it helps for the filer to document what he or she did to remove the conflict within the period: a contract assigning or selling the share, a letter stepping down from the committee or file, or a transfer request, with proof of the date of each step, because the penalty is tied to the period ending without removal.
The penalty for failure
The seventh paragraph of article 19 punishes with detention anyone who fails to remove a conflict of interests within the period in the second paragraph of article 20, and the judgment entails:
- dismissal of an employee from service, and
- removal of a non-employee filer from office.
Commission staff
The third paragraph of article 20 bars Integrity Commission staff from working in the private and mixed sectors, and article 16 requires the Commission's staff and investigators to file disclosure statements.
Conflict and crime
Not every conflict of interest is a corruption offence in itself. But using a post to benefit a relative may fall within the offences of officials exceeding the limits of their posts, which the first article treats as corruption cases. An official's general duties and prohibitions remain in the discipline law, as explained on employee duties and prohibitions.
Legal basis and sources
- Integrity Commission Law No. 30 of 2011 as amended, articles 1, 3, 6, 16, 19 and 20 (Official Gazette, issue 4217 of 14/11/2011)
- First Amendment to the Integrity Commission Law, Law No. 30 of 2019, article 2 (Official Gazette, issue 4568 of 23/12/2019)
Frequently asked questions
I am an official who does not file a disclosure. Do these rules apply to me?
The ban on appointing relatives in the first paragraph of article 20 addresses every official or person in public service, while the choice and penalty in the second paragraph of article 20 and the seventh paragraph of article 19 are addressed to filers.
A conflict has been found. Will I be punished straight away?
Article 20 lets you choose between removing it or leaving the post within the period set by the Commission, and the penalty applies to failure after that period.
May I appoint my brother to a department I do not manage?
The ban in the first paragraph of article 20 concerns permanent posts under your management.
Related topics and articles
- 01The financial disclosure form: who must file and whenWho must file a financial disclosure statement under Iraq's Integrity Commission and Illicit Gain Law No. 30 of 2011 as amended, the ninety-day and January deadlines, answering observations within sixty days, salary suspension, and confidentiality.
- 02Duties and prohibitions of the public employee under the discipline lawDuties of a State employee under Iraq’s discipline law, and prohibitions including holding two posts, work outside official hours, and accepting gifts.
- 03The Federal Integrity Commission: mandate, structure and limitsThe eight duties of the Federal Integrity Commission in article 3 of Iraq's Integrity Commission and Illicit Gain Law No. 30 of 2011 as amended, its head, deputies and departments, oversight by the Council of Representatives, and the limits on its work inside ministries.
- 04Illicit gain in Iraqi law: definition, proof and penaltyThe definition of illicit gain in the seventh paragraph of article 1 of Iraq's Integrity Commission and Illicit Gain Law No. 30 of 2011 as amended, when a file opens, the ninety days to prove sources, and the penalties and return of value in article 19.
- 05Reporting a corruption offence: where to go and what happens nextReporting corruption offences under articles 1, 47, 48 and 49 of Iraq's Criminal Procedure Law No. 23 of 1971, keeping the reporter's identity confidential, an official's duty to report, and the Integrity Commission head's power to shelve reports under article 13 of its law.