CIA IMPLEMENTATION OF ETHICS IN GOVERNMENT ACT OF 1978

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP83-00156R000300020031-9
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 3
• Document Creation Date: December 15, 2016
• Document Release Date: October 22, 2003
• Sequence Number: 31
• Publication Date: February 9, 1979
• Content Type: MF

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OGC 79-01431
9 February 1979
MEMORANDUM FOR:
Director of Central Intelligence
FROM:
Anthony A. Lapham
General Counsel
SUBJECT:
CIA Implementation of Ethics in Government
Act of 1978
REFERENCES:
A.
B.
OGC Memo '78-8566 to the DCI, dated
29 December 1978, same subject
DDA Memo '79-0101/1 to the DCI, dated
22 January 1979, same subject
1. Action Requested: Your approval of the recommenda-
tions set forth in this memorandum.
2. Background: On 29 December I recommended that you
appoint someone to serve as the "designated agency official"
to administer the provisions of the "Ethics in Government
Act of 1978," which requires, among other things, that
public officials make detailed reports of their financial
holdings. By memorandum to you dated 22 January, Don Wortman
has recommended that you appoint me to this position, and
the Inspector General has agreed. While I cannot say that
the General Counsel is the only logical candidate for this
position, neither can I say that it would make any better
sense to designate any other Agency official, and I there-
fore concur in the recommendation, albeit reluctantly. If
you likewise concur, it is my intention to redelegate some
of the functions, as outlined below and as permitted by
applicable Office of Personnel Management guidance, and this
memorandum also seeks your approval of these intended redele-
gations.
3. In my view, implementing the Act involves essentially
three functions. First, there is the administrative function.
Current employees covered by the provisions of the Act must
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ingofficer
a.n emPoyees are rovide-_=th__~
forms to fill out, maintain appropriate re(-,:o ds,
review function would fall to the Inspector General.
be provided the appropriate forms for filing their statements
of financial interests, as must employees at the time they
enter or terminate duty, and records must be kept to ensure
compliance with the reporting requirements. The reports
themselves must be kept for six years. Educating employees
as to these requirements also seems to me to fit within this
administrative category.
Gene-ra~ office, and the Inspector General or his designee
could be e tifying officer with respect to all those
statements deemed on the basis of an initial review to raise
no questions of conflict of interests. The remaining functions,
involving second-stage revi in doubtful cases and-a -e- o -u-~
tion of of-any con#_lictcuesn that do arise, are the ones
and gathering of other relevant information, coul_ d m
readily and economically be performed by the Inspector
determine if all the required information has been provided
and to spot potential for any conflicts of interests. So,
for example, the initial reviewer will have to look for
evidence of ownership of stock in Agency contractors, or
corporate parents or subsidiaries of Agency contractors. It
will also be necessary at the initial review stage to obtain
job descriptions of the reporting officials in order to
assist in gauging the effect of reported financial interests
or liabilities upon a particular employee's duties. There
is no need for lawyers to be involved at this stage, any
more than in other contexts in which Agency employees are
called upon to identify issues of legality or propriety. As
I see it, this essentially investigative function, involving
verification of the completeness of the financial statements
statements submitted to the Agency must be reviewed to
4. Second, it is evident that the Act requires the
erformance of an investigtoa ry function. The financial
in such sus.
5. In short, while as designated agency official I
would serve as ethics counselor and be responsible for the
Agency's overall ethics program, including the preparation
of appropriate internal regulations, much of the day-to-day
responsibility would be delegated to deputy counselors whose
components are better equipped to handle the. necessary
administrative and investigative tasks. Thus, I expect that
the Deputy Director for Administration could ensure a
xpe:c
requisite
P
oyees
sl
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[This should, I believe, include review, perhaps merely a
spot check based upon a random selection, of financial
statements currently filed under E. O. 11222 and which must
continue to be filed by certain employees not covered by the
new law. Although the responsibility for reviewing reports
filed pursuant to the E. O. now rests with the various
components, I believe the initial review under the new law
would best be performed by a central investigative staff
that could ensure the integrity of the entire process.]
After the completion of initial review, the Inspector
General would certify those statements that in his view
raise no conflict of interests questions. Cases involving
unresolved conflict questions would be referred for decision
to the General Counsel, who would assume the role of certify-
ing officer in such cases.
of functions and responsibilities outlined in this memorandum.
6. Recommendation: In conclusion, I concur with the
recommendation of the DDA and recommend that you approve
that recommendation, together with the proposed delegations
Anthony A. Lapham
Director of Central Intelligence
DISAPPROVE:
Director of Central Intelligence
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