[Federal Register Volume 61, Number 228 (Monday, November 25, 1996)]
[Rules and Regulations]
[Pages 59811-59815]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-29932]



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 Rules and Regulations
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  Federal Register / Vol. 61, No. 228 / Monday, November 25, 1996 / 
Rules and Regulations  

[[Page 59811]]



DEPARTMENT OF JUSTICE

5 CFR Ch. XXVIII

28 CFR Part 45

RIN 3209-AA15


Supplemental Standards of Ethical Conduct for Employees of the 
Department of Justice

AGENCY: Department of Justice (Department).

ACTION: Interim rule, with request for comments.

-----------------------------------------------------------------------

SUMMARY: The Department of Justice, with the concurrence of the Office 
of Government Ethics (OGE), is issuing an interim rule for Department 
employees as a supplement to the uniform standards of ethical conduct 
for employees of the executive branch (Uniform Standards) issued by 
OGE. The regulations established by the interim rule are a necessary 
supplement to the Uniform Standards because they address statutory 
requirements and issues that are unique to the Department.

DATES: Interim rule effective November 25, 1996. Comments are invited 
and must be received on or before January 9, 1997.

ADDRESSES: Send comments to the U.S. Department of Justice, Justice 
Management Division, Departmental Ethics Office, Main Justice Building, 
Room 6316, 950 Pennsylvania Avenue, NW, Washington, DC 20530, 
Attention: Mary Braden.

FOR FURTHER INFORMATION CONTACT:
Mary Braden, U.S. Department of Justice, Justice Management Division, 
Departmental Ethics Office, (202) 514-8196.

SUPPLEMENTARY INFORMATION:

I. Background

    On August 7, 1992, the Office of Government Ethics published the 
Standards of Ethical Conduct for Employees of the Executive Branch 
(Uniform Standards). See 57 FR 35006-35067, as corrected at 57 FR 
48557, 57 FR 52583, and 60 FR 51667, and amended at 61 FR 42965-42970 
(as corrected at 61 FR 48733) and 61 FR 50689-50691, with additional 
grace period extensions at 59 FR 4779-4780, 60 FR 6390-6391, 60 FR 
66857-66858, and 61 FR 40950-40952. The Uniform Standards, codified at 
5 CFR part 2635 and effective February 3, 1993, established uniform 
standards of ethical conduct for executive branch personnel. Pursuant 
to E.O. 12674 (54 FR 15159, 3 CFR, 1989 Comp., p. 215, as modified by 
E.O. 12731, 55 FR 42547, 3 CFR, 1990 Comp., p. 306) and 5 CFR 2635.105, 
executive branch agencies may issue agency-specific regulations, with 
the concurrence of OGE, that supplement the Uniform Standards. After 
considering its unique operations, the Department, with the concurrence 
of OGE, has determined that the regulations established by the interim 
rule are necessary to implement the Department's ethics program 
successfully.

II. Analysis of the Regulations

    The interim rule establishes the following regulations in new 5 CFR 
XXVIII:

Section 3801.101 General

    Section 3801.101 of the interim rule explains that the regulations 
established by the interim rule apply to all Departmental Employees and 
are supplemental to the Uniform Standards, and that all employees must 
comply with the regulations established by the interim rule as well as 
the Uniform Standards. In addition employees are subject to the 
regulations regarding conduct in part 735 of the title and part 45 of 
chapter I of 28 CFR as revised in this document.

Section 3801.102  Detailed or Assigned Special Agents of Certain 
Departmental Components

    Section 2635.104 of the Uniform Standards sets forth certain 
circumstances under which an employee detailed or assigned to another 
entity may be subject to the conduct regulations of that entity rather 
than those of his employing agency. However, special agents of the 
Federal Bureau of Investigation (FBI) and the Drug Enforcement 
Administration (DEA), even if on detail or special assignment usually 
retain their special law enforcement powers, are generally subject to 
recall to their department components at all times, and are sometimes 
required to provide services on an occasional or overtime basis to 
those components. See, e.g., 5 U.S.C. 5545(c); 5 CFR 550.151-550.164; 
and DOJ Order No. 1551.4A (available from the agency designee which, 
for purposes of this rule, shall be the Deputy Designated Agency Ethics 
Official for the component). Where a detail or assignment of these 
special agents does not explicitly sever the obligations of service to 
their Department components, Sec. 3801.102 of the interim rule makes 
clear that these special agents who become subject to the conduct 
regulations of another entity pursuant to Sec. 2635.104 (a) or (b) of 
this title shall also remain subject to the supplemental regulations 
established by the interim rule. In particular, the standards governing 
outside employment and activities of these special agents must conform 
to the same standards that are required of other agents of their 
employing components with whom they may continue to work side-by-side 
on an occasional or overtime basis. To do otherwise would undermine the 
efficiency of the service and would create unnecessary internal 
discipline and administrative efficiency problems.

Section 3801.103  Designation of Separate Departmental Components

    Pursuant to Sec. 2635.203(a) of the Uniform Standards, an executive 
department, with the concurrence of OGE, may designate any component 
that exercises distinct and separate functions as a separate agency for 
the purpose of applying the rules governing the solicitation or 
acceptance of gifts from prohibited sources or given because of 
official position. See 5 CFR 2635.201-2635.205. Pursuant to 
Sec. 2635.807(a)(2)(ii) of the Uniform Standards, any component so 
designated is also considered a separate agency for the purpose of 
applying the rules governing the receipt of compensation by an employee 
for

[[Page 59812]]

teaching, speaking, and writing. The Department has determined that the 
divisions and offices (``components'') set forth in section 3801.103 of 
the interim rule exercise distinct and separate functions for purposes 
of applying Secs. 2635.201-2635.205 and Sec. 2635.807(a)(2)(ii).
    Employees serving in positions within the Department but outside of 
the components designated by this section serve in positions or offices 
with cross-component duties and responsibilities. This section of the 
interim rule makes clear that those employees must continue to treat 
the entire department as their employing agency for purposes of 
applying the gifts and the teaching, speaking and writing provisions of 
the Uniform Standards.

Section 3801.104  Purchase or Use of Certain Forfeited and Other 
Property

    Section 3801.104(a) of the interim rule is a slight revision of the 
prohibition contained in the Department's former conduct regulations at 
28 CFR 45.735-18. The chief principle served by that prohibition--that 
performance of official duties and the use of nonpublic information 
should not further an employee's private interests--is also found in 
two related provisions of the Uniform Standards. See 5 CFR 2635.702 and 
2635.703. The Department's unique role in asset forfeiture and the 
public sale of forfeited property has led it to determine, on the basis 
of significant concerns about internal discipline, the possible 
appearance of misuse of nonpublic information and official position, 
administrative efficiency, and the enforcement of the Departmental 
conduct regulations, that any Departmental employee seeking to buy 
forfeited property from the Department or its agents (or to use such 
property if it was purchased from the Department or its agents by his 
spouse or dependent) should first obtain written approval from his 
agency designee. Consequently, Sec. 3801.104(a) bars any employee who 
does not have such prior written approval from purchasing forfeited 
property from the Department or its agents, and from using any such 
property if it was purchased from the Department or its agents by his 
spouse or minor child. Additionally, Sec. 3801.104(a) sets forth the 
criteria to be applied in determining whether or not to approve a 
request to purchase or use such property.
    Section 3801.104(b) of the interim rule is an extension of the 
principle that performance of official duties and the use of nonpublic 
information should not further an employee's private interests. The 
Department has determined that the employees of the United States 
Marshals Service (USMS), FBI, and DEA typically have a high degree of 
control over valuable property used by their components. To address 
significant Departmental concerns about the actual or apparent use of 
nonpublic information regarding the condition of the property at the 
time of sale and the use of position in that property's maintenance in 
anticipation of its sale, Sec. 3801.105(b) prohibits any USMS, FBI or 
DEA employee from purchasing from his component, the General Services 
Administration (GSA), or the agents of either of them, any property 
formerly used by his component, and from using any such property if it 
was purchased from his component, GSA, or the agents of either of them, 
by his spouse or minor child.

Section 3801.105  Personal Use of Government Property

    Section 3801.105 references Department of Justice internal policy 
issued by the Designated Agency Ethics Official on April 21, 1995, 
which authorized limited personal use of Department of Justice office 
and library equipment and facilities by its employees. Employees with 
questions concerning this policy may seek advice and obtain a copy of 
the policy from their agency designee, who for this purpose, shall be 
the Deputy Designated Agency Ethics Official for the employee's 
component. This section is included strictly for ease of reference. The 
Department does not require OGE's concurrence when exercising its 
authority under 5 U.S.C. 301 to prescribe regulations for the use of 
Department property.

Section 3801.106  Outside Employment

    The Uniform Standards, at 5 CFR 2635.802, provide that an employee 
shall not engage in outside employment if it is prohibited by agency 
supplemental regulation. To much the same effect, 5 CFR 2635.403 
permits an agency, by supplemental regulation, to prohibit compensated 
outside employment on the same basis that it may prohibit employees 
from holding other financial interests. Under the Department's previous 
standards of conduct regulations at 28 CFR part 45, a Department 
employee has been prohibited from engaging in ``the private practice of 
his profession, including the practice of law * * *.'' Despite this 
prohibition those regulations also stated that ``employees are 
encouraged to provide public interest professional services so long as 
such services do not interfere with their official responsibilities.'' 
Also, such services were required to be uncompensated. Pursuant to 
Sec. 45.735-9 of those regulations, Justice Department employees were 
also prohibited from engaging ``in any professional practice or any 
other outside employment if [t]he activity involves any criminal matter 
or proceeding whether Federal, State or local * * *.''
    Section 3801.106(b)(1) has the effect of continuing substantially 
similar prohibitions, based on the Department's determination that it 
is necessary to ensure public confidence in the impartiality and 
objectivity with which the Department carries out its mission, and to 
avoid any appearance of misuse of position. In addition to continuing 
the tradition of generally prohibiting outside employment that involves 
the practice of law, and prohibiting participation in criminal or 
habeas corpus matters, whether Federal, State or local, paragraph 
(b)(1) further prohibits Department employees from participating, even 
behind the scenes, in a matter in which the Department is, or 
represents, a party.
    While the provisions in Sec. 3801.106(b)(1) prohibiting the 
practice of law by Departmental attorneys is based generally upon the 
public perception that the Department is the Federal Government's ``law 
firm,'' and the primary loyalty of Department attorneys should lie only 
with the Government as client, the section also recognizes the 
professional obligations of attorneys to the community. Since 1980, 
each Department of Justice Appropriations Act has contained a provision 
which states, ``None of the sums authorized to be appropriated by this 
Act may be used to pay the compensation of any person employed after 
the date of the enactment of this Act as an attorney (except foreign 
counsel employed in special cases) unless such person shall be duly 
licensed and authorized to practice as an attorney under the laws of a 
State, territory or the District of Columbia.'' The State bars of 
thirty-four States have a goal or official statement urging members to 
devote time to the provision of pro bono legal services, some 
stipulating 50 hours a year of such service in accord with the American 
Bar Association's Model Rule 6.1. On March 6, 1996, the Attorney 
General issued a policy statement on pro bono legal and volunteer 
services in order to encourage Department attorneys to meet the goals 
of the bar in which they are licensed. That policy also responds to 
Executive Order 12988 of February 5, 1996, in which the President 
required all Federal agencies to develop appropriate

[[Page 59813]]

programs to encourage and facilitate pro bono legal and other volunteer 
services by Government employees. Consequently, Sec. 3801.106(b) of the 
interim rule contains an exception for the uncompensated practice of 
law in the nature of community service as well as continuing an 
exception for practicing law on behalf of certain family members. In 
order that such practice not otherwise violate any statute or Federal 
regulation, Sec. 3801.106(c) requires that prior approval must be 
obtained for all practice of law under this exception.
    Where the restrictions of Sec. 3801.106(b)(1) would cause undue 
personal or family hardship, unduly prohibit an employee from 
completing a professional obligation entered into prior to government 
service, or unduly restrict the Department from securing necessary and 
uniquely specialized services, particularly from a special Government 
employee, the restrictions may be waived in writing if it is determined 
that the activities covered by the waiver are not expected to involve 
conduct prohibited by statute or Federal regulation. While the waiver 
standard of such a restriction normally would only require a finding 
that the activity would not otherwise be expected to violate the 
interim rule, part 2635 or a statute, waivers under section 
3801.106(b)(2) will also suffice as prior approval under paragraph (c) 
of Sec. 3801.106 and therefore must meet the standard of that paragraph 
which requires consideration of any Federal regulation.
    In order to further ensure against the kinds of conflicts addressed 
by the prohibition of paragraph (b), paragraph (c) requires a Justice 
Department employee to obtain written approval before engaging in 
outside employment not otherwise prohibited that involves: (1) The 
practice of law; or (2) a subject matter, policy, or program that is in 
his component's area of responsibility. The approval requirement will 
supplement the prohibitions in paragraph (b)(1) by allowing managers 
and ethics officials an additional check to ensure that employees do 
not engage in outside employment related to the Department's mission 
that would violate applicable laws and regulations.

28 CFR Part 45

    By a separate instrument in this rulemaking document, the 
Department is repealing those of its agency conduct regulations, 
currently found at 28 CFR part 45, which are superseded by the Uniform 
Standards, the regulations established by the interim rule, DOJ Order 
1735.1 on procedures for complying with ethics requirements, and the 
uniform, executive branch financial disclosure regulations (Uniform 
Financial Disclosure Regulations) at 5 CFR part 2634. Sections 45.735-
4,\1\ 45.735-5(b), and 45.735-7a of 28 CFR of the Department's old 
conduct standards are being preserved and redesignated and a new cross-
reference section to the current ethics provisions is being added.
---------------------------------------------------------------------------

    \1\ Pursuant to 28 U.S.C. 528, the Department is obligated to 
issue regulations that require an employee to disqualify himself 
from participation in certain investigations or prosecutions if such 
participation may result in a financial, political, or personal 
conflict of interest. Section 45.735-4 of title 28 CFR satisfies the 
requirements of 28 U.S.C. 528 relating to political or personal 
conflicts and is being retained. However, in the Department's view, 
subparts D and F of 5 CFR part 2635 satisfy the requirements of the 
statute relating to financial conflicts of interest. Therefore, the 
Department is repealing Sec. 45.735-5(a) of title 28 of the CFR.
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III. Matters of Regulatory Procedure

Administrative Procedure Act

    Pursuant to 5 U.S.C. 553(b), as Assistant Attorney General for 
Administration of the Department of Justice, I have found good cause 
for waiving, as unnecessary and contrary to the public interest, the 
general notice of proposed rulemaking and the thirty-day delay in entry 
into effect of the interim rule and repeal. This determination is based 
on the fact that: (1) The rulemaking is related to the internal 
organization, procedure, and practice of the Department of Justice; (2) 
the rulemaking pertains to agency management and personnel; and (3) 
there is a need for a smooth and speedy transition to the Uniform 
Standards from the prior Departmental conduct regulations, which were 
essentially superseded on Februry 3, 1993, when the Uniform Standards 
entered into effect. As a result of this supersession and the recent 
expiration of the extended grace period for certain regulatory 
prohibited financial interest and prior approval for outside 
employment/activities provisions, the Department currently has no 
agency-specific standards of conduct in place that address statutory 
requirements and issues unique to the Department. Given the special 
nature of the Department's functions, it is imperative that the 
Department issue supplemental conduct regulations to fill this void as 
soon as possible. Because this is an interim rulemaking, with provision 
for a forty-five day public comment period, the Department of Justice 
will review all comments received during the comment period and, with 
the concurrence of the Office of Government Ethics, will consider any 
modifications that may appear to be appropriate in adopting the rule as 
final.

Executive Order 12866

    In promulgating this interim regulation, the Department of Justice 
has adhered to the regulatory philosophy and the applicable principles 
of regulation set forth in section 1 of Executive Order 12866, 
Regulatory Planning and Review. This regulation has not been reviewed 
by the Office of Management and Budget under the Executive order, it 
deals with agency organizational, management, and personnel matters and 
is not in any event, deemed ``significant'' thereunder.

Regulatory Flexibility Act

    Pursuant to the Regulatory Flexibility Act, 5 U.S.C. chapter 6, as 
Assistant Attorney General for Administration of the Department of 
Justice, I have determined that this regulation will not have a 
significant economic impact on a substantial number of small entities, 
because it affects only Department of Justice employees.

Paperwork Reduction Act

    As Assistant Attorney General for Administration of the Department 
of Justice, I have determined that the Paperwork Reduction Act, 44 
U.S.C. chapter 35, does not apply to the regulation established by the 
interim rule, because the regulation does not contain any information 
collection requirements that require the approval of the Office of 
Management and Budget.

List of Subjects in 5 CFR Part 3801 and 28 CFR Part 45

    Conflict of interests, Executive branch standards of conduct, 
Government employees.

    Dated: November 12, 1996.
Stephen R. Colgate,
Assistant Attorney General for Administration, Department of Justice.

    Approved: November 15, 1996.
Stephen D. Potts,
Director, Office of Government Ethics.

    Accordingly, for the reasons set forth in the preamble, the 
Department of Justice, with the concurrence of the Office of Government 
Ethics, is amending title 5 of the Code of Federal Regulations and is 
also amending title 28 of the Code of Federal Regulations as follows:

TITLE 5--[AMENDED]

    1. A new chapter XXVIII, consisting of part 3801, is added to 5 CFR 
to read as follows:

[[Page 59814]]

CHAPTER XXVIII--DEPARTMENT OF JUSTICE

PART 3801--SUPPLEMENTAL STANDARDS OF ETHICAL CONDUCT FOR EMPLOYEES 
OF THE DEPARTMENT OF JUSTICE

Sec.
3801.101  General.
3801.102  Detailed or assigned special agents of certain 
Departmental components.
3801.103  Designation of separate Departmental components.
3801.104  Purchase or use of certain forfeited and other property.
3801.105  Personal use of Government property.
3801.106  Outside employment.

    Authority: 5 U.S.C. 301, 7301; 5 U.S.C. App. (Ethics in 
Government Act of 1978); E.O. 12674, 54 FR 15159, 3 CFR, 1989 Comp., 
p. 215, as modified by E.O. 12731, 55 FR 42547, 3 CFR, 1990 Comp., 
p. 306; E.O. 12988, 61 FR 4729; 5 CFR 2635.105, 2635.203(a), 
2635.403(a), 2635.701-2635.705, 2635.803, 2635.807(a)(2)(ii); and 
DOJ Order 1735.1.


Sec. 3801.101   General.

    In accordance with Sec. 2635.105 of this title, the regulations in 
this part apply to employees of the Department of Justice and 
supplement the Standards of Ethical Conduct for Employees of the 
Executive Branch in part 2635 of this title. In addition to the 
regulations contained in part 2635 of this title and in this part, 
employees are subject to the conduct regulations contained in part 735 
of this title and 28 CFR part 45.


Sec. 3801.102   Detailed or assigned special agents of certain 
Departmental components.

    Notwithstanding a detail or assignment to another entity, any 
special agent of the Federal Bureau of Investigation or Drug 
Enforcement Administration who is subject to the regulations or 
standards of ethical conduct of that entity pursuant to Sec. 2635.104 
of this title shall also remain subject to the regulations in this 
part.


Sec. 3801.103   Designation of separate Departmental components.

    (a) Pursuant to Sec. 2635.203(a) of this title, each of the 
following components is designated as a separate agency for purposes of 
the regulations contained in subpart B of part 2635 of this title 
governing gifts from outside sources, and, accordingly, Sec. 2635.807 
of this title governing teaching, speaking, and writing:

Antitrust Division
Bureau of Prisons (including Federal Prison Industries, Inc.)
Civil Division
Civil Rights Division
Community Relations Service
Criminal Division
Drug Enforcement Administration
Environment and Natural Resources Division
Executive Office for Immigration Review
Executive Office for United States Attorneys (The Executive Office 
for United States Attorneys shall not be considered separate from 
any Office of the United States Attorney for a judicial district, 
but only from other designated components of the Department of 
Justice.)
Executive Office for United States Trustees (The Executive Office 
for United States Trustees shall not be considered separate from any 
Office of the United States Trustee for a region, but only from 
other designated components of the Department of Justice.)
Federal Bureau of Investigation
Foreign Claims Settlement Commission
Immigration and Naturalization Service
Independent Counsel appointed by the Attorney General
INTERPOL
National Drug Intelligence Center
Justice Management Division
Office of Information and Privacy
Office of Intelligence Policy and Review
Office of Community Oriented Policing Services
Office of Justice Programs
Office of the Pardon Attorney
Office of Policy Development
Offices of the United States Attorney (94) (Each Office of the 
United States Attorney for a judicial district shall be considered a 
separate component from each other such office.)
Offices of the United States Trustee (21) (Each Office of the United 
States Trustee for a region shall be considered a separate component 
from each other such office.)
Tax Division
United States Marshals Service
United States Parole Commission

    (b) Employees serving in positions within the Department but 
outside of the components designated in paragraph (a) of this section 
must continue to treat the entire Department of Justice as their 
employing agency for purposes of the gift rules of subpart B of part 
2635 of this title and the application of the teaching, speaking and 
writing provisions found in Sec. 2635.807 of this title.


Sec. 3801.104  Purchase or use of certain forfeited and other property.

    (a) In the absence of prior approval by the agency designee, no 
employee shall purchase, directly or indirectly, from the Department of 
Justice or its agents property forfeited to the United States and no 
employee shall use property forfeited to the United States which has 
been purchased, directly or indirectly, from the Department of Justice 
or its agents by his spouse or minor child. Approval may be granted 
only on the basis of a written determination by the agency designee 
that in the mind of a reasonable person with knowledge of the 
circumstances, purchase or use by the employee of the asset will not 
raise a question as to whether the employee has used his official 
position or nonpublic information to obtain or assist in an 
advantageous purchase or create an appearance of loss of impartiality 
in the performance of the employee's duties. A copy of the written 
determination shall be filed with the Deputy Attorney General.
    (b) No employee of the United States Marshals Service, Federal 
Bureau of Investigation, or Drug Enforcement Administration shall 
purchase, directly or indirectly, from his component, the General 
Services Administration, or the agent of either, property formerly used 
by that component and no such employee shall use property formerly used 
by his component which has been purchased, directly or indirectly, by 
his spouse or minor child from his component, the General Services 
Administration, or the agent of either.


Sec. 3801.105  Personal use of Government property.

    Employees are prohibited by part 2635 of this title from using 
Government property for other than authorized purposes. On April 21, 
1995, the Department issued an internal policy authorizing limited 
personal use of Department of Justice office and library equipment and 
facilities by its employees. Employees with questions concerning this 
policy may seek advice and obtain a copy of the policy from their 
agency designee, who for this purpose shall be the Deputy Designated 
Agency Ethics Official for the employee's component.


Sec. 3801.106  Outside employment.

    (a) Definition. For purposes of this section, outside employment 
means any form of employment, business relationship or activity, 
involving the provision of personal services whether or not for 
compensation, other than in the discharge of official duties. It 
includes, but is not limited to, services as a lawyer, officer, 
director, trustee, employee, agent, consultant, contractor, or general 
partner. Speaking, writing and serving as a fact witness are excluded 
from this definition, so long as they are not combined with the 
provision of other services that do fall within this definition, such 
as the practice of law. Employees who wish to engage in compensated 
speaking and writing should review Sec. 2635.807 of this title.
    (b) Prohibited outside employment. (1) No employee may engage in 
outside employment that involves:

[[Page 59815]]

    (i) The practice of law, unless it is uncompensated and in the 
nature of community service, or unless it is on behalf of himself, his 
parents, spouse, or minor children;
    (ii) Any criminal or habeas corpus matter, be it Federal, State, or 
local; or
    (iii) Litigation, investigations, grants or other matters in which 
the Department of Justice is or represents a party, witness, litigant, 
investigator or grant-maker.
    (2) Where application of the restrictions of paragraph (b)(1) of 
this section will cause undue personal or family hardship; unduly 
prohibit an employee from completing a professional obligation entered 
into prior to Government service; or unduly restrict the Department 
from securing necessary and uniquely specialized services, the 
restrictions may be waived in writing based upon a determination that 
the activities covered by the waiver are not expected to involve 
conduct prohibited by statute or Federal regulation. Employees should 
refer to DOJ Order 1735.1 on obtaining waivers. The Order is available 
from the agency designee which, for purposes of this rule, shall be the 
Deputy Designated Agency Ethics Official for the component.
    (c) Prior approval for outside employment. (1) An employee must 
obtain written approval before engaging in outside employment, not 
otherwise prohibited by paragraph (b) of this section that involves:
    (i) The practice of law; or
    (ii) A subject matter, policy, or program that is in his 
component's area of responsibility.
    (2) Employees should refer to DOJ Order 1735.1 for procedures on 
obtaining prior approval. A waiver granted pursuant to paragraph (b)(2) 
of this section will be sufficient to satisfy this prior approval 
requirement.
    (3) Approval shall be granted only upon a determination that the 
outside employment is not expected to involve conduct that is 
prohibited by statute or Federal regulation.

TITLE 28--[AMENDED]

CHAPTER I--DEPARTMENT OF JUSTICE

PART 45--[AMENDED]

    2. The authority citation for part 45 is revised to read as 
follows:

    Authority: 5 U.S.C. 301, 901, 7301; 18 U.S.C. 207, 208; 28 
U.S.C. 503, 528; DOJ Order 1735.1.


Secs. 45.735-1--45.735-3, 45.735-6--45.735-45 and the 
Appendix  [Removed]; Sec. 45.735-5  [Amended]

    3. Part 45 is amended by revising the part heading to read 
``Employee Responsibilities'' and removing the following sections:

Secs. 45.735-1 through 45.735-3
Sec. 45.735-5(a)
Secs. 45.735-6 through 45.735-7
Secs. 45.735-8 through 45.735-27
Appendix


Sec. 45.735-4  [Redesignated as Sec. 45.2 and amended]

    4. Section 45.735-4 is redesignated as Sec. 45.2


Sec. 45.735-5(b)  [Redesignated as Sec. 45.3 and amended]

    5. Section 45.735-5(b) is redesignated as Sec. 45.3 and the section 
heading is revised to read ``Financial interest exemptions.''


Sec. 45.735-7a  [Redesignated as Sec. 45.4]

    6. Section 45.735-7a is redesignated as Sec. 45.4.
    7. A new Sec. 45.1 is added to read as follows:


Sec. 45.1  Cross-reference to ethical standards and financial 
disclosure regulations.

    Employees of the Department of Justice are subject to the executive 
branch-wide Standards of Ethical Conduct at 5 CFR part 2635, the 
Department of Justice regulations at 5 CFR part 3801 which supplement 
the executive branch-wide standards, the executive branch-wide 
financial disclosure regulations at 5 CFR part 2634 and the executive 
branch-wide employee responsibilities and conduct regulations at 5 CFR 
part 735.

[FR Doc. 96-29932 Filed 11-22-96; 8:45 am]
BILLING CODE 4410-AR-M