IEC Journal

President Obama's Gift List Released

As President Obama appeared at the Bush library dedication Thursday, the Federal Register posted a list of presidential gifts that could end up in the President's future library.

The list includes gifts presented to the President, first lady Michelle Obama and their children from numerous foreign dignitaries in 2011. 

The gifts were turned over to the National Archives and Records Administration, which runs presidential libraries.

A Reminder to Feds About the Emoluments Clause

An obscure provision of the Constitution banning acceptance of compensation or items of value from a foreign government contains traps for unwary federal employees and active or retired military personnel, the Pentagon ethics office has said.

The language, designed to prevent influence by foreign nations over U.S. government decisions, covers various forms of pay as well as travel or gifts, says a March white paper from the Defense Department Standards of Conduct Office.

“This little known provision, the ‘Emoluments Clause,’ is still in effect today and applies to Federal civilian employees and active-duty military personnel. It also applies to retired military officers and enlisted personnel from the active and reserve components including military officers, enlisted retirees and retired Reservists,” the white paper says.

After Ethics Complaint, Senator Pays $58,000 for Flights to Dominican Republic

U.S. Sen. Robert Menendez this month wrote a $58,500 check to a company owned by a South Florida eye doctor and political fundraiser to reimburse him for two personal flights to the Dominican Republic that the New Jersey Democrat did not report on his Senate financial disclosure form, his office confirmed to NBC News Wednesday night.

The disclosure came as law enforcement sources confirmed that FBI agents searched the West Palm Beach, Florida, offices of the doctor, Salomon Melgen, Tuesday night as part of an investigation that includes agents from the Department of Health and Human Services.

Menendez’s office confirmed that the senator — who this week became chairman of the Senate Foreign Relations Committee – wrote the check to Melgen from his personal account after aides reviewed his flight schedule in response to a complaint that a New Jersey Republican official filed with the Senate Ethics Committee last November. The complaint alleged that Menendez violated Senate Ethics rules by “repeatedly flying on a free jet to the Dominican Republic and other locations” and that the jet was provided by Melgen.

The full article may be found here.

Holiday Season Gift Guidance from OGE

OGE issued a reminder about the gift rules during the holiday season. The attachment to the Legal Advisory reprises the rules in a poem, as revised in 2009 to address gifts from lobbyists and updated to reflect the current limit on gifts from foreign governments. You may access the Legal Advisory on OGE’s website at: http://www.oge.gov/OGE-Advisories/Legal-Advisories/Legal-Advisories/

 

Alabama Restrictions on Teacher Gifts Raise Questions

NPR reports on the controversy over a new Alabama law prohibiting teachers from accepting gifts. The law allows only "de minimus" gifts, but the state ethics commission interprets this to include a ham, turkey, or gift certificate that has any monetary value.

DOD IG Audit Finds US Naval Academy Wrongly Accepted over $150,000 in Gifts

An audit  released Thursday, conducted by the DOD IG found that, in addition to improperly contracting for the production of recruiting films, the U.S. Naval Academy also wrongly accepted over $184,000 in gifts of wine and crystal from alumnus between 2005 and 2007 and over $300,000 in corporate sponsorship funds.  The audit found that the U.S. Naval Academy Foundation acted as a conduit for the academy by receiving gifts from prohibited sources. 

OGE extends comment period on proposed rule: Lobbyist gift ban for all

The Federal Register includes an extension of the comment period for the proposed amendment to 5 CFR 2635.203 which would extend the prohibition on acceptance of gifts from registered lobbyists to all Federal personnel (not just Political appointees under the Ethics Pledge).  See http://www.gpo.gov/fdsys/pkg/FR-2011-11-15/pdf/2011-29569.pdf.  Comments are now due NLT: December 14, 2011.

Use of Private Aircraft by Governor

While governors are not federal officials, the issues explained in news coverage of the governor of Texas might have some value in illustrating the issues raised by federal officials' acceptance of gifts of air travel:

Mr. Perry’s travels adhere to Texas ethics laws, and he is far from alone in accepting gifts of air travel. But among politicians he stands out for taking private flights for activities that are considered part of his job as governor. That is different from campaign travel or the sort of quasi-official trips for which officeholders normally use private planes, like attending a conference or giving a speech.

“It would be unusual for an official to be flown to Washington to testify before Congress by a special interest of some kind,” said Robert M. Stern, president of the Center for Governmental Studies in Los Angeles. “Usually the state would pay for that.”

Ray Sullivan, a spokesman for Mr. Perry, defended the governor’s use of private planes, saying it was part of an effort to save tax dollars. Mr. Sullivan acknowledged “there are critiques to be made” about using state-owned versus private planes, but said “we chose to err on the side of protecting taxpayers.”

When the governor’s staff asks to use a private plane, no promises are made and no consideration is given to whether the owner has an interest in the trip, he said. “Over the years we’ve developed a good feel for supporters and other Texans who own private aircraft that we could ask to use,” Mr. Sullivan said. “The governor bases all of his decisions on his philosophy and on what he believes is best for the citizens of the state.”

Discussion on OGE proposal to expand Lobbying Gift Ban to all Federal Employees

Washington Post article discussing the proposed OGE rule to expand lobbying gift ban to all Federal employees.  See http://www.washingtonpost.com/politics/limits-tighten-for-lobbyist-gift-giving/2011/09/28/gIQAh6RT5K_story.html 

No more gifts from Lobbyists?

In a September 18, 2011, posting, we alerted you to the proposed OGE expansion of the Ethics Pledge lobbyist gift ban to all career Federal employees.  If you did not see it, please note that the proposed rule was published in the Federal Register for notice and comment.  See http://www.gpo.gov/fdsys/pkg/FR-2011-09-13/pdf/2011-23311.pdf.  Comments are due before November 14, 2011.

In sum, the proposed rule would make certain exceptions to the general prohibition on gifts from outside sources, 5 CFR 2635.202, unavailable for gifts from registered lobbyists.  The exceptions that would be unavailable would include the $20 deminimus & widely-attended gathering exceptions.  It would also provide implementing guidance.  For example, it defines the lobbysts for these purposes to exclude  501(c)(3) non-profit lobbyists.

OGE Proposes to Expand Lobbyist Gift Ban

The Hill reports:

A new regulation proposed this week by the Office of Government Ethics (OGE) would prohibit all federal government employees from accepting any gifts from lobbyists.  

Originally, the absolute ban on lobbyist gifts was only applied to political appointees, per President Obama’s executive order on ethics that was signed early on in his administration. But if the proposed rule is finalized, it would expand the order’s tough restrictions on lobbyist gifts to career employees in the federal government as well.  

The regulation also would codify the stringent lobbyist gift ban implemented by Obama’s executive order, meaning the strict limits on the interaction between lobbyists and the Obama administration would stay in place after Obama leaves the White House, unless Congress repeals them or the next president initiates another rule-making procedure to amend the regulation.  “What this means is that these broader restrictions will go beyond the Obama administration. They will exist even after he leaves office,” Kenneth Gross, a partner at Skadden, Arps, Slate, Meagher & Flom, told The Hill.

Thanks to the IEC member who provided this tip.

Contractor Contribution Reporting Proposal

Government Executive reports on the status of a proposal to require government contractors to report on their political donations.

Gift/Travel Reimbursement Reporting Changes

OGE Legal Advisory LA-11-05 describes a change in the rules on gifts and travel reimbursement reporting thresholds. 

Soliciting Gifts from Outside Sources

The following pithy notice from an agency ethics office to the workforce struck us as being possibly useful to other agencies as well. We have edited it to remove agency-specific information:

Subject: Reminder On Rules Regarding Solicitation of Gifts from Outside Sources

One of the regular topics of instruction in your annual ethics training is the prohibition on receiving gifts as a result of your status as a federal employee. Gifts include any gratuity, favor, discount, entertainment, hospitality, loan, forbearance, or other item having monetary value. The reason for this rule is to avoid any actions violating the law and ethical standards of public trust or creating the appearance of private gain.

There are limited exceptions when a gift may be accepted, guidance for which is found at the agency's ethics website or by contacting GC.

This notice is a reminder of the specific prohibitions on the solicitation of gifts. Employees shall not, directly or indirectly, solicit a gift or other item of monetary value from a prohibited source; or solicit a gift because of an employee's official position. There are no exceptions to this rule.

A prohibited source includes any person or entity seeking official action from, doing business with, or conducting activities regulated by this agency. This includes, for example, our implementing partners, or other think tanks or entities we interact with in our official positions.

It would also be a violation to solicit a gift based upon your status as an employee of this agency. For instance, soliciting complimentary or "comped" tickets for a dinner or reception hosted by an outside organization would be improper. This also applies even if the goal is to ensure or increase agency participation. The substance or merit of the activity is not a consideration.

Where improper gift solicitation occurs, any solicited gifts must be returned to the donor or the recipient must pay the fair market value. Disciplinary action against the employee making the solicitation may be warranted.

Once again, if you have any questions, please seek guidance at the above web sites or by contacting GC for advice.

 

OGE updates regs for gift reporting

The Office of Government Ethics issued its final rule (technical amendment) increasing the financial disclosure reporting threshold for gifts from $335 to $350, to correspond with the Foreign Gifts & Decorations Act.  See 5 CFR 2634.304 and 2634.907(g).  The rule is effective July 1, 2011, and retroactive to January 1, 2011.  The rule also increases the threshold for exclusion for individual items from $135 to $140.  The amendment also increases the gift exception ceiling for non-sponsor gifts of free attendance at widely attended gatherings.  See 5 CFR 2635.204(g).

See Fed. Reg. notice at http://www.gpo.gov/fdsys/pkg/FR-2011-07-01/pdf/2011-16642.pdf.

GSA final rule for increase in "minimal value" for Foreign Gifts & Decorations Act

GSA published a final rule on 26 May 2011 increasing the "minimal Value" for foreign gifts under the Foreign Gifts and Decorations Act (5 U.S.C. 7342), from $335 to $350, retroactive to January 1, 2011.  See 76 Fed. Reg. 30550 (http://www.federalregister.gov/articles/2011/05/26/2011-13028/federal-management-regulation-change-in-consumer-price-index-minimal-value#p-3). 

It is anticipated that the Office of Government Ethics (OGE) will in turn issue a final rule amending 5 CFR 2634.304 and 2634.907(g) to increase (1) the aggregation reporting threshold for gifts from a single source on OGE Forms 278 and 450 to $350 and (2) the exclusion for individual items to $140.  It is also anticipated that OGE will revise 5 CFR 2635.204(g)(2) to increase to $350 the gift exception ceiling for non-sponsor gifts of free attendance at widely attended gatherings. 

Does Giving Someone a Free Cup of Coffee Induce Corruption?

Washington Monthly essayist Joshua Tucker contemplates the slippery slope of accepting small gratuities. Here's an excerpt:

The problem is, where do you draw the line? If three of the four coffee shops in a neighborhood give out free coffee to the police, does the fourth one have to? And if it is OK to give the policy coffee, then how about a bagel? If a bagel’s fine, what about breakfast? And if breakfast is OK, then how about dinner? And why stop there - surely the copy store and the stationary store will want to show their appreciation as well. Some small businesses may not have an appropriately useful gift from the shop for the local police, so why not just give them money? And of course, why stop with the police? The fire department also provides useful services, as do local building inspectors, and so on. At some point, this begins to resemble a much more corrupt society, where cash is needed to secure services that are supposed to be provided by the state.

via www.washingtonmonthly.com

OGE on YouTube

OGE has training videos at YouTube:

1. Criminal conflict of interest statute (18 U.S.C. 208)
2. Impartiality (5 C.F.R. 2635,Subpart E)
3. Gifts from Outside Sources (5 C.F.R.2635, Subpart B)

Marine sentenced for receiving illegal gifts

U.S. Marine Corps Major plead guilty to and is sentenced to 12 months and a day (felony) for recieving illegal gifts as a contracting officer representative.

See Havelock News article: http://www.havenews.com/news/harrington-8339-receiving-marine.html; or Re-publication of DOJ press release: http://isenberg.securitycontracting.net/2011/04/marine-major-sentenced-for-receiving-illegal-gratuities/ 

Soliciting Gifts: A Reminder

We recently came across an interesting reminder notice about soliciting gifts from outside sources and are posting a copy here, to help other agencies that might want to do something similar:

Download Reminder on Solicting Gifts

Former Staff Member in U.S. House of Representatives Convicted on Corruption Charges

A jury found a former staff member in the U.S. House of Representatives guilty on corruption charges relating to his acceptance of an all-expenses paid trip to Game One of the 2003 World Series.  See DOJ Press Release at: http://www.justice.gov/opa/pr/2011/February/11-crm-176.html.  Charges included lying on his financial disclosure about the gift from a lobbyist.

Gifts of Sporting Event Tickets

Wiley Rein lawyers Paul Khoury and Craig Smith have drafted a "Hot Issue Alert" entitled Event Tickets For Federal Employees: Just Don't Do It that analyzes legal issues involved in government employee acceptance of gifts of tickets to sporting events worth more than their face value. The authors focus on the implications of Chenega Management, LLC v. United States, a September 14, 2010 Federal Circuit opinion. Here's the article introduction:

Sunday at the Masters. Game Seven of the World Series. The Super Bowl. Far more people want to attend these events than the venues can accommodate, and securing tickets usually requires substantial connections, luck, money, or all three. So when you finally manage to nab two seats to see Federer-Nadal at the US Open finals, whom can you take? Can you take a federal employee - so long as he or she pays you face value for the ticket?

When the market value of tickets far exceeds their face value, which anyone who has used StubHub or a ticket broker knows is common, the legal analysis is murky, but the answer is simple: Don't do it.

This advice runs counter to what you might conclude after reading the Government's own rules on gifts.  ...

Thanks to the IEC member who tipped us off to this significant analysis.

The Cupcake Caper

Thanks to the alert IEC member who tipped us off to a Wall Street Journal item about an AT&T gift of cupcakes to senior officials considering Internet access rules.  Complaints prompted an FCC spokesperson to respond: "We're pro-open Internet and pro-cupcake."  A future Training Tips column will provide suggestions on how to use incidents like this to add human interest elements to ethics training.

The IEC Journal lives or dies by reader contributions.  We appreciate your assistance a great deal, and we earnestly solicit your continued support.

New OLC opinion on Emoluments Clause and Foreign Gifts Act

Neither the Emoluments Clause of the Constitution nor the Foreign Gifts and Decorations Act would bar an employee of the National Oceanic and Atmospheric Administration from accepting the 2010 Göteborg Award for Sustainable Development, because the aware would not be "from any King, Prince, or foreign State."  For similar reasons acceptance would also not violate the Foreign Gifts & Decorations Act.  See full opinion at http://www.justice.gov/olc/2010/goteborg_award.pdf

OGE 2009 Prosecution Survey

The Office of Government Ethics issued DAEOgram DO-10-017 on November 9, 2010 announcing the publication of the 2009 Conflict of Interest Prosecution Survey.   The survey contains summaries of cases involving conflict of interest violations.  The Department of Justice prosecuted the cases. See http://www.usoge.gov/ethics_guidance/daeograms/dgr_files/2010/do10017.pdf

Even where ethics rules are not violated, the appearance remains.

Article from Business Insider on the appearance of impartiality for Treasury Secretary Timothy Geithner who accepted a very generous gift from a close friend who is now an executive for JPMorgan.  See full article at http://www.businessinsider.com/daniel-zelikow-2010-8

IG Report on MMS

The recent Department of the Interior Inspector General report on improprieties in the Minerals Management Service is available. This is not the first OIG report to address similar MMS problems, which we discussed in a September 10, 2008 posting.

Animated Holiday Ethics Slide Show

Jennifer Dickey, of the Department of Treasury's Financial Management Service, was kind enough to share a whimsically charming animated slide show used in her office:

Download HolidayGift09

The slide show is in the form of a Microsoft PowerPoint script that will run automatically if users select the file. Important: You can customize the slide show for use in your own office if desired. To avoid having the show run automatically, open PowerPoint first, then select the file. You can edit it in this manner.

DoD SOCO on Holiday Parties

Thanks to Mark Stone for reminding us of the excellent 2008 DoD Standards of Conduct Office memo on holiday party issues.

December 8 Update: The 2009 DoD guidance is also available.

Nobel Prize as Emoluments Clause Issue?

Updated Oct. 26 to correct typo:

As might be expected in these politically polarized times, the argument in a Washington Post opinion piece entitled An Unconstitutional Nobel that the President's acceptance of the Nobel Peace Prize would violate the Emoluments Clause has prompted a number of rebuttals. Yale Law School Professor Jack Balkin's rebuttal is confident and concise. UCLA Professor Eugene Volokh's assessment seems to be somewhere in the middle.

Examples of Gift Ethics Issues

Writing in the Washington Post, Al Kamen's discussion of VIP-level gifts from foreign governments provides good teaching examples. Who would have guessed that a Singapore official would give President George W. Bush a "Creative Zen MP3 Player and an OSIM uSqueez Calf and Foot Massager."

Saudi Gift Issues

Thanks to Karen Santoro for drawing to our attention a Politico article about practical issues involved in handling expensive ceremonial gifts from the Saudi government to U.S. officials.

GSA Final Rule (FMR): Appraisal of Foreign Gifts

General Services Administration amended the Federal Management Regulation (FMR) to revise its policy on appraisals of foreign gifts and  decorations, and to encourage agencies to use various methods in obtaining appraisals, including reliable retail Web sites.  See http://edocket.access.gpo.gov/2009/pdf/E9-562.pdf.

More Abramoff Fallout

An AP story indicates:

The government says Todd Boulanger gave government aides "a stream of things of value," including all-expense-paid travel, tickets to professional sports and concerts and nights out at expensive restaurants, to reward and influence actions that would benefit his clients. He was charged with conspiracy to commit wire fraud.

Talking Points Memo has an archive of posts about the newest person being charged, Todd Boulanger.

Holiday Reminder

A timely reminder today can save a ton of headaches later. Here's a holiday reminder message on gifts and widely attended gatherings that one agency recently distributed to all hands via its intranet.

DOD SOCO Enlightment on Widely Attended Gatherings

The newest SOCO Advisory is a "special edition" on the topic "Application of the Widely Attended Gathering (WAG) Gift Exception to Invitations to Play Golf or Attend Sporting, Recreational or Entertainment Events.”

Free Golf Leads to Trouble

Government Executive reports that accepting a free round of golf in 2006 has become an ethics issue for a Department of Justice official. The official allegedly gave a $500,000 grant to the foundation that hosted him, rather than better qualified applicants.

Skybox Lobbying

In Iowa, the big business section topic is corn. In Seattle, it's the high tech industry. In Washington, a different industry dominates: government and lobbyists.

The Washington Post reported recently on a Washington Redskins marketing ploy. A handout for salesmen titled "Government Ethics Rules re: Suite Tickets" notes that "Government officials/employees can accept invitations to your Suite" through "Suite Guest Passes: These passes allow recipients who already have a ticket to the game to drop by an Executive Level Suite for a short visit." After discussing the use of such suites by House/Senate employees, the brochure goes on to talk more broadly about civil service employees:

Limited View/standing room only Tickets: These tickets cost $25. A government employee who bought such a ticket from the Redskins could accept a Suite Guest Pass (referenced above) from you to visit your suite without reimbursing you.

The Post story notes that several ethics experts have reservations about the practice described in the sales literature.

An "Understanding" Enough for Bribery Conviction

The most recent issue of the Federal Law Enforcement Training Center's newsletter, The Informer, summarizes U.S. v. Ganim, a case interpreting the quid pro quo element of the bribery statute:

The specific intent element (quid pro quo / this for that) for bribery, extortion, and honest services mail fraud crimes may be satisfied by showing that a government official received a benefit in exchange for his promise to perform specific official acts or to perform such acts as the opportunities arise. It is sufficient if the defendant understood he was expected as a result of the payment to exercise particular kinds of influence on behalf of the payor as specific opportunities arose.

Update on Foreign Gifts and Decorations Act

Today's Federal Register confirms GSA's change to the minimal value rule used for interpreting the Foreign Gifts and Decorations Act, first reported here last month.

Minimal Value for Foreign Gifts and Decoration Act

Thanks to Chip Brooks for the tip that GSA's new $335 amount for "minimal value" will take effect as a Final Rule, superseding the current $305 in 41 CFR 102-42 (and Federal Management Regulation 102-42), retroactive to January 1, 2008.

Accepting Gift of Better Airline Seat?

After suggesting that airline fliers wishing to show respect for military members give up their "big, cushy first-class seats," a Government Executive columnist subsequently dealt with the ethics issues involved, with an assist from DoD's Eric Rishel. Eric introduced the notion of “prohibited sources” to the discussion:

This means that a service member flying out to test a new plane, gadget or gizmo, should not accept a first-class seat from a contractor program manager whose company paid for that cushy seat (on the grounds that this might be an attempt to gain some influence with the service member).

But, if a service member is offered a seat from someone who does not fall into the dreaded “prohibited sources” category offers a big cushy seat, it can be accepted – with some additional caveats, Rishel said.

It probably would not be a good idea for a three star in uniform to accept the upgrade because it would provide the impression of some “fat cat deal going on,” Rishel said. He added that the Air Force has regulations that say no one in the Air Force should fly in first class in uniform, a hard rule to adhere to as a “practical matter” if the cushy seat is offered on the plane.

Holiday Issues

It's that time of year again! Holiday ethics issues are on us. DOD SOCO has a fact sheet on Partying With Contractors and Supervisors. There is also a good Army memo entitled Happy Holidays and Good Judgment.

Why reinvent the wheel? We welcome your suggestions as to other resources.

Updates: Dec. 3: Typo correction. Dec. 5: Updated URL for party paper to 2006 version.

Valuing Sports Event Tickets

Gee, how much is a skybox invitation to see Gilbert Arenas go up against LeBron James worth, anyway? How about private suite accomodations to watch Ryan Zimmerman face off against Pedro Martinez? What if they include a nice buffet and open bar? Is the "face value" of the ticket a reliable guide?

The Office of Government Ethics has issued guidance on how to place a value on gifts of luxury box tickets to sporting events for standards of conduct purposes.

DC Circuit Rules on Gratuity Statute and defines "Official Act"

  The Court of Appeals for the DC Circuit, en banc, ruled that a police officer's acceptance of money in exchange for providing information from an official database did not violate the gratuities statute:  18 U.S.C. 201(c)(1)(B).   See Valdes v. United States, Court of Appeals for the District of Columbia, 2/9/07.

    The case has a valuable judicial discussion of what constitutes "official act" as well as application of U.S. v. Birdsall, U.S. v Sun-Diamond Growers, and U.S. v Muntain.

  Take a look.

Holiday Guidance for Federal Personnel

  We recently updated holiday guidance for Federal personnel.  The new guide covers the ethical issues involving:

-Parties, Open-Houses, and Receptions Hosted by Non-Prohibited Sources

-Parties, Open-Houses, and Receptions Hosted by Prohibited Sources

-Parties, Open-Houses, and Receptions Hosted by Other Federal Personnel

-Gifts and Gift Exchanges Between Federal Personnel

-Gifts and Gift Exchanges That Include Contractor Personnel

-Guidance on solicitation, gambling, use of appropriated funds, and use of official vehicles

The guidance also includes seven examples of common holiday situations.

The guidance is at: http://www.defenselink.mil/dodgc/defense_ethics/dod_oge/DoD_Guidance_Holiday_Parties.htm

DOD SOCO Provides Help With CFC Issues

Fall is here, and along with it the inevitable issues that arise from charitable gift campaigns. The Department of Defense Standards of Conduct Office has provided a timely guide to Combined Federal Campain issues in the newest edition of their e-mail newsletter, the SOCO ADVISORY. Every federal official working in the ethics area, whether or not employed by DOD, can benefit by subscribing to this excellent free resource. An online subscription page is available.

OGE Position on Gifts from Microsoft

The April 19 Office of Government Ethics e-mail newsletter has the following comments on the Microsoft gift situation discussed here in February and March:

It has come to OGE's attention that Microsoft Corp. is offering free promotional software valued at over $500 to IT personnel at various agencies. OGE has written Microsoft asking it to refrain from doing this, citing the implications associated with the Standards of Ethical Conduct for Employees of the Executive Branch. We understand that the Department of the Army also has sent a letter to Microsoft asking that these gifts cease. Please advise your IT personnel that they are prohibited from personally accepting these gifts. However, OGE does recognize that an agency may have gift acceptance authority that allows acceptance of this software by the agency for its use.

More On MS Software Give-Away

CNET News has a follow-up story on the Microsoft practice of giving selected federal employees gifts of software worth hundreds of dollars. The author portrays the practice as a way for Microsoft to combat the competition from free "open source" software.

Gifts of Software

Several agencies have reported that Microsoft has sent their employees software gifts. These are not de minimis gifts: Microsoft Office Professional Edition 2003 retails for $500 and Microsoft Office OneNote 2003 retails for $200.

This marketing technique is common in the private sector, but it creates problems when used to market products to the government.

The newest issue of the DoD SOCO ADVISORY states:

2. Beware of Microsoft Software Computer gifts.

Recently, a number of personnel have received full versions of Microsoft Office Professional Edition 2003 and Microsoft Office OneNote 2003 through the mail from Microsoft Corporation. These gifts were preceded in the mail by a card announcing that the software would be arriving "in the coming weeks." The card noted that the software products were being sent "without obligation."

These items have been determined to be gifts from a prohibited source, and may not be accepted by DoD employees. 5 CFR 2635.202. Accordingly, we request that Ethics Counselors alert their organizations to this situation, and advise military and civilian personnel that they are not permitted to accept these gifts. If received, the items should be returned to Microsoft.