Managing Conflict of Interest - Organisation for Economic Co ...

Codes of conduct and mechanisms toprevent conflicts of interest in the People’sRepublic of ChinaSong DajunDeputy Director General for Administrative Supervision and Inspection,Ministry of Supervision, People’s Republic of ChinaThe Rationale for Legislation on Conflict of Interest:Standardizing Codes of ConductPublic servants are expected to serve the national or publicinterest and perform their duties honestly and diligently. They arenot expected to benefit or derive private gains from their publicposition or office. They are expected to avoid conflicts that mayarise between their private interests and public functions. However,in reality, as human beings, public servants also have their own privateinterests.Public servants may have personal affiliations or interests inprivate companies. Whether any inappropriate behavior occurs ornot, the apparent temptation is there and such conditions may leadthe public to question the impartiality of public decision making onissues or activities related to these private interests. Similarly, if publicservants’ spouses, children, or other relatives would be allowedto work under their direct leadership, they would be difficult for thepublic servants to manage objectively to avoid nepotism or specialtreatment. Consequently, potential conflicts between public andprivate interests surely exist. There are also several examples of realconflicts, which are presented as reasonable or legitimate connectionsthat inevitably lead to corruption. These examples underscorethe need to identify and maintain a clear division between publicand private interests to preserve the integrity of government and toultimately combat corruption.Conflicts of interest and corruption are caused by abuse ofpublic power. Legislation and regulations help to standardize theexpected code of conduct in establishing a comprehensive andeffective legal system to control the exercise of power. Laws helpto standardize professional ethics and to set clear parameters forADB/OECD Anti-Corruption Initiative for Asia and the Pacific