(4) To avoid endangering confidential sources and law enforcement personnel. (5) To prevent interference with law enforcement proceedings.

(6) To assure access to sources of confidential information, including that contained in Federal, State and local criminal law enforcement information systems.

(7) To prevent the disclosure of investigative techniques.

(8) To prevent the disclosure of classified information.

[49 FR 29944, July 25, 1984, as amended at 49 FR 31660, Aug. 8, 1984. Redesignated at 58 FR 14146, Mar. 16, 1993, and amended at 59 FR 4553, Feb. 1, 1994]

§ 102.36 Specific exemptions.

(a) Systems of record subject to investigatory material exemption under U.S.C. 552a(k)(2), or 5 U.S.C. 552a(k)(5), or both.

(1) Audit Report-SBA 015, a system containing investigations concerning the use of funds by recipients of disaster home loans;

(2) Litigations and Claims Files-SBA 070, a system containing information concerning recipients of disaster home loans and other individuals who are parties to lawsuits or claims involving SBA;

(3) Personnel Security Files-SBA 100, a system containing background information on active and inactive SBA employees;

(4) Security and Investigations FilesSBA 120, a system which contains information on individuals seeking or receiving SBA assistance, individuals involved in business or other organizations seeking or receiving such assistance, representatives or applicants for SBA assistance, members of Advisory Councils and SCORE/ACE volunteers;

(5) Office of Inspector General Referrals SBA 125, a system containing information relating to referrals for investigation of possible misconduct by SBA employees, and individuals involved in seeking or obtaining SBA assistance;

(6) Investigations Division Management Information System-SBA 130, a system containing information on applicants, participants, contractors, grantees, and other governmental entities involved in programs, SBA employ

ees who have been investigated, members of Advisory Councils or SCORE/ ACE volunteers; and

(7) Standards of Conduct SBA 140, a system containing information concerning outside employment and financial interest of SBA employees, conduct of SBA employees, and related matters.

(b) Privacy Act provisions from which exempt. The systems of records described in this section are exempt from subsections (c)(3) (Accounting of Certain Disclosures), (d) (Access to Records), (e)(1), 4G, H, and I (Agency Requirements), and (f) (Agency Rules) of 5 U.S.C. 552a.

(c) Reasons for exemptions. The systems of records described in this section are exempt for one or more of the following reasons:

(1) To prevent the subject of investigations from frustrating the investigatory process.

(2) To protect investigatory material compiled for law enforcement purposes.

(3) To fulfill commitments made to protect the confidentiality of sources and to maintain access to necessary sources of information.

(4) To prevent interference with law enforcement proceedings.

[41 FR 43712, Oct. 4, 1976. Redesignated and amended at 58 FR 14146, 14148, Mar. 16, 1993] § 102.37 Judicial review.

Any individual may bring a civil action against the Agency in a district court of the United States as provided by 5 U.S.C. 552a(g)(1) whenever the Small Business Administration:

(a) Makes a final determination under § 102.30 not to amend an individual's record in accordance with his or her request, or fails to make such review in conformity with that section;

(b) Makes a final determination under § 102.27 to refuse a request to gain access to a record;

(c) Fails to maintain any record concerning any individual with such accuracy, relevance, timeliness, and completeness as is necessary to assure fairness in any determination relating to the qualifications, character, rights, or opportunities of, or benefits to the individual that may be made on the basis of such record, and consequently a de

$103.13 Statutory provisions.

SEC. 13. No loan shall be made or equipment, facilities, or services, furnished by the Administration under this Act to any business enterprise unless the owners, partners, or officers of such business enterprise (1) certify to the Administration the names of any attorneys, agents, or other persons engaged by or on behalf of such business enterprise for the purpose of expediting applications made to the Administration for assistance of any sort, and the fees paid or to be paid to any such person; (2) execute an agreement binding any such business enterprise for a period of two years after any assistance is rendered by the Administration to such business enterprise, to refrain from employing, tendering any office or employment to, or retaining for professional services, any person who, on the date such assistance or any part thereof was rendered, or within one year prior thereto, shall have served as an officer, attorney, agent, or employee of the Administration occupying a position or engaging in activities which the Administration shall have determined involve discretion with respect to the granting of assistance under this Act; and (3) furnish the names of lending institutions to which such business enterprise has applied for loans together with dates, amounts, terms, and proof of refusal.

$103.13-1 Purpose.

The regulations in this part are promulgated to aid in the orderly administration of the Small Business Act and to interpet and apply section 13 in a manner consistent with the intent and purpose of Congress.

§ 103.13-2 Definitions.

For purposes of this part:

(a) Administrator shall mean the Administrator of the Small Business Administration.

(b) Agent shall include attorneys, accountants, consultants, manufacturers' representatives, and any other persons acting in a representative capacity.

(c) The term appear before SBA shall include (1) the preparation or submission on behalf of an Applicant of applications for financial assistance, assistance from the Investment Division of SBA, and assistance in procurement and technical matters; (2) conferences or other communications on behalf of an Applicant with officers or employees of SBA; (3) participation on behalf of another in any matter before SBA.

(d) Applicant shall mean any person, firm, concern, corporation, partnership, cooperative or other business enterprise applying or making application for, or receiving assistance from SBA.

§ 103.13-3 Appearance.

(a) Personal appearance. Any individual Applicant or member of an Applicant partnership may appear for himself or for such partnership, and any Applicant corporation may be represented by a bona fide officer of the corporation.

(b) Appearance by agents. Any Applicant may appear before SBA by an attorney at law admitted to practice and in good standing before any of the Federal courts of the United States or the highest court of any State or Territory of the United States, or by any competent person of good moral character and of good repute who is a citizen of the United States or who has declared his intention to become such citizen, if not prohibited by law or the regulations in this part from appearing before SBA in behalf of such Applicant.

(c) Evidence of agent's author may request of any Agent

ЗА

dence of the nature and extent of his authority to act on behalf of an Applicant. SBA may refuse to reveal any information concerning any SBA assistance applied for or received by any Applicant to any person whose relationship with the Applicant is not clearly demonstrated in writing.

§ 103.13-4 Suspension or revocation of the privilege to appear.

The Administrator, for good cause (see §103.13-5), may suspend, pending a hearing and decision, the privilege of any Applicant or Agent, to appear before SBA, and may also revoke such privilege of any Applicant or Agent, in accordance with procedures contained in part 134 of this chapter. The Assistant Administrator of the Office of Hearings and Appeals or an Administrative Law Judge of such office shall be the reviewing official for purposes of § 134.34.

[28 FR 3776, Apr. 18, 1963, as amended at 49 FR 33628, Aug. 24, 1984]

§ 103.13-5 Interpretation of good cause. Section 103.13-4 provides that the Administrator, for good cause, may suspend or revoke the privilege of any Agent or Applicant to appear before SBA. Good cause as used in this connection will be deemed to mean any unlawful or unethical activity. The following acts would constitute good cause; these are illustrative only and good cause is not necessarily limited to the following:

(a) Inducement. Inducing or attempting to induce by gifts, or offer thereof, promises, bribes or otherwise, any officer or employee of SBA to take any action with respect to any matter before SBA.

(b) Solicitation. Requesting or suggesting directly or through any agency or medium the employment of the person making or initiating the request or suggestion, or some other person to perform work in connection with an application. Solicitation shall include, but shall not be limited to, requests or suggestions which violate the ethics, customs, or regulations of the profession or business of the person or persons making or initiating the suggestions; requests or suggestions which

1y or infer that the work to be per

formed or any portion thereof, will be of a political, influential, or similar nature; and any advertisement or representation that contains or uses the words Small Business Administration or SBA, or any symbol thereof.

(c) Fees or charges. Charging or proposing to charge for any services performed in connection with matters before SBA (as defined in §103.13–2(c) any fee contingent upon the granting of any benefit to the Applicant unless the amount of such fee bears a necessary and reasonable relationship to the services actually performed; any fee which is deemed by SBA to be unreasonable for the services actually performed; or the charging of any expenses which are not deemed by SBA to have been necessary in connection with the application. This provision will not be construed to limit the right of SBA to require the execution by any person of an agreement as to compensation for services rendered, or to be rendered, to Applicants in connection with any matter before SBA, as provided for in § 103.13-6.

(d) Violation of compensation agreement. Violation of any compensation agreement, provided for in § 103.13-6.

(e) Violations of rules or regulations. Knowingly violating or participating in the violation of any rules or regulations of SBA, including the making, or inducing of another to make, any false representations to influence or facilitate the granting of any benefit to Applicant, in violation of the Small Business Act, as amended, the Small Business Investment Act of 1958, or any rules or regulations issued thereunder. (f) Lack of good moral character. A course of conduct, past or present, which indicates that the person challenged is lacking in integrity or decorum, or has no respect for law and order, or which indicates that the Agent might submit unreliable information or evidence to SBA in connection with matters on which he is employed.

[28 FR 3776, Apr. 18, 1963, as amended at 40 FR 59425, Dec. 24, 1975]

agreement governing the compensation charged for services rendered or to be rendered to such Applicant in any matter coming before SBA. Such agreement will provide, among other things, (a) that if the amount of compensation charged for any such services shall not be deemed reasonable by SBA, such Agent will reduce the charge for such services to such amount as shall be deemed reasonable by SBA, and will not, directly or indirectly, charge or collect from the Applicant or any other person, for such services, any sum in excess of the amount deemed reasonable by SBA; (b) that if such Agent has heretofore collected from the Applicant, or any other person, as compensation for any such services any amount deemed unreasonable by SBA, such Agent will refund to Applicant or such other person such sums as are in excess of the amount deemed reasonable by SBA.

RESTRICTIONS RELATING TO PRESENT SBA

EMPLOYEES

105.501 Involvement in matters in which Government has substantial interest. 105.502 Compensation relating to official duties from nongovernment source. 105.503 Gratuities from persons dealing with SBA.

105.504 Other gifts and gratuities. 105.505 Situations creating a conflict of interest or the appearance thereof. 105.506 Personal interests in firms or matters having SBA involvement. 105.507 Use of Government property and supplies.

105.508 Conversion of public and other property.

105.509 Distortion of records; false state

ments.

105.510 Outside employment and activities. 105.511 Financial disclosure

under Executive Order 11222. 105.512 Financial disclosure

statements

statements

under the Ethics in Government Act of 1978.

105.513 Political activity of employees. 105.514 Striking against Government. 105.515

Disclosure of official information. 105.516 Duty to report irregularities. 105.517 Applicable rules and directions. 105.518 Gambling.

105.519 Payment of financial obligations. 105.520 Recommendations of private person. 105.521 Prohibited actions with respect to the Minority Small Business Program. 105.522 Politically motivated activities with respect to the Minority Small Business Program.

RESTRICTIONS RELATING TO OFFICERS OR EMPLOYEES OF OTHER GOVERNMENT OR QUASIGOVERNMENT ORGANIZATIONS

105.601 Assistance to officers or employees of other Government organizations. 105.602 Assistance to employees or members of quasi-Government organizations. ADMINISTRATIVE PROVISIONS

(d)

Special Government Employee means an officer or employee of SBA, who is retained, appointed or employed to perform temporary duties on a fulltime or intermittent basis, with or without compensation, for not to exceed 130 days during any period of 365 consecutive days.

(e) Government means the Government of the United States.

(f) Person means an individual, a corporation, a company, an association, a firm, a partnership, a society, a joint stock company, or any other organization or institution.

(g) Member of household means (1) spouse and minor children of an employee; and (2) all blood relations of the employee and of his spouse who reside in the same place of abode with the employee.

(h) The use of the masculine gender throughout this part shall mean masculine or feminine.

(i) SBA Assistance means financial, contractual, grant, managerial or other aid, including size, section 8(a) or other eligibility determinations grant

ed by SBA under applicable law. For the purposes of this part, this term shall also include an express decision to compromise or defer possible litigation or other adverse action.

(j) Department means any department, agency, independent establishment or wholly-owned corporation of the U.S. Government.

(k) Standards of Conduct Committee is that administrative body within SBA which administers and interprets standards of employee conduct. Its function and composition are explained in § 105.801 herein.

(1) Senior Employee means an SBA employee paid at the Executive Level pursuant to subchapter 11 of Chapter 53 of Title 5, U.S.C. and any other employee, GS-17 or above or a member of the Senior Executive Service who has significant decisionmaking or policy responsibilities and is so designated by the Director, Office of Government Ethics pursuant to 18 U.S.C. 207(d).

[41 FR 29656, July 19, 1976, as amended at 47 FR 12334, Mar. 23, 1982]

§ 105.301 General requirements.

(a) No employee in the conduct of official business shall grant preferential treatment to or discriminate against any person.

(b) In the performance of official duties, the interest of the Government is paramount and takes precedence over the private pecuniary and other interests of all employees and third parties.

(c) In the conduct of official business, the personal opinions of every employee must be subordinated to established Government policy and SBA procedures. No employee shall substitute his personal opinions or judgments for established Government policy.

(d) No employee shall engage in criminal, infamous, dishonest, immoral, disgraceful or other conduct prejudicial to the Government.

(e) Every employee shall conduct himself in such a manner that the work of SBA will be effectively and efficiently accomplished.

(f) Every employee shall observe the full requirements of courtesy, consideration and promptness in performing his official duties.