The info session on “How to Prevent Conflict of Interest?” was held by the U-LEAD Programme for Ukrainian municipalities. The event aimed to provide municipalities with expert explanations about the concept of conflict of interest, its types and their differences. The municipalities further learned about the legal mechanisms of its prevention and regulation in the activities of local self-government officials. Tetiana Korobka, Head of the Working Group of the Programme on HR in the Local Self-Government and Adviser on Decentralisation and Local Self-Government of the Regional Office of U-LEAD with Europe in the Sumy Oblast, spoke about this.
Serhii Rybalko, Adviser on Decentralisation and Local Self-Government at the Regional Office of U-LEAD in the Poltava Oblast, noted:
“The Law of Ukraine ‘On Prevention of Corruption’ distinguishes two types of conflict of interest, potential and actual. In practice, there are cases when municipalities incorrectly identify the types of the conflict.”
As he explained, an indication of a potential conflict of interest is the discovery that a person has a private interest in the field in which they discharge their official or representative powers, which may affect the objectivity or impartiality of their decision-making, or acts/omissions when discharging these powers.
The adviser listed the following potential indications of a conflict of interest: family relations, exercising official powers over yourself, friendships and relationships that arise in connection with membership or engagement in public, political, religious or other organisations.
How to prevent a conflict of interest? The answer to this question was provided at the event by Andrii Dyshliuk, Adviser on Decentralisation and Local Self-Government at the Regional Office of U-LEAD in the Dnipropetrovsk Oblast.
According to him, the National Agency on Corruption Prevention (NACP) has determined a list of requirements in connection with conflict of interest. Municipalities need to:
- Endeavour to prevent instances of actual and potential conflict of interest.
- Report any instances of actual or potential conflict of interest.
- Refrain from actions or decisions in case of any actual conflict of interest.
- Endeavour to resolve instances of actual and potential conflict of interest.
As was also noted by Andrii Dyshliuk, in order to avoid violations of anti-corruption laws in terms of preventing and resolving conflicts of interest, the employees of the local self-government bodies must ensure that they do not experience any conflict of interest while performing their duties. In case of doubts about the conflict of interest, NACP offers a number of direct laws, regulations and procedures on how to act. In addition, you can use the conflict of interest test on the official website of the NACP, and anyone is welcome to seek clarification from the NACP.
How to resolve a conflict of interest? There are several methods defined by the legislation regarding the settlement of a conflict of interest. These include an independent and external settlement of the conflict of interest.
The direct manager or the head of the body whose powers include the dismissal (initiation of dismissal) of a person from the position makes a decision on the settlement of the conflict of interest regarding the person within 2 days after receiving a notice of the conflict of interest from them.
The manager must make a decision on the settlement even if they became aware of a conflict of interest from other persons, reports of corruption, letters of the National Agency, etc., and must inform the person thereof.
When the CI is temporary, as Andrii Dyshliuk clarified, the following measures are available: removal of a person from performing a task, acting, making a decision or participating in its adoption in case of an actual or potential conflict of interest.
Another option is external oversight of the person’s performance of the relevant task, certain actions or decision-making.
If the conflict of interest is permanent, measures may include restricting the person’s access to certain information, as well as reviewing the scope of the person’s official powers. Another countermeasure is external oversight of the person’s performance of the relevant task, certain actions or decision-making. A person can also be transferred to another position or dismissed.
Summarising, Tetiana Korobka stressed the importance of using best efforts to prevent an actual or potential conflict of interest for municipalities, and if a conflict of interest does occur, it is critical to take measures to resolve it.
“It is essential to report any conflict of interest to the immediate supervisor (if a conflict of interest arose in a collegial body). Naturally, do not take actions or make decisions in case of any actual conflict of interest. Furthermore, keep in mind that ethical conduct fosters a culture of integrity in the municipality, helps mitigate situations where an actual conflict of interest may arise and strengthens public trust in the local self-government.”