Regulation 4 Conflict of interest

(1)

Except as provided in paragraph (2), the Authority may not select a candidate as code manager in relation to a code unless the Authority is satisfied that the candidate has no financial or other interests that might prejudice the discharge by that candidate of the functions of the code manager of that code (a “potential conflict of interest”).

(2)

The Authority may, in its discretion, decide to select a candidate that has a potential conflict of interest if the Authority is satisfied that the potential conflict of interest is manageable.

(3)

For the purposes of this regulation a potential conflict of interest is “manageable” if—

(a)

measures can be taken by the candidate by which either—

(i)

its interests which give rise to the potential conflict are removed, or

(ii)

the risk of prejudice (as referred to in paragraph (1)) is avoided or mitigated to a level that the Authority considers acceptable; and

(b)

either—

(i)

those measures are taken by the candidate before it is selected, or

(ii)

the candidate (if selected) will be required to take those measures, and the Authority is satisfied that the candidate will in fact take those measures.

(4)

In determining whether a potential conflict of interest is manageable, the Authority may take into account—

(a)

the terms and conditions of the code manager licence that will address conflicts of interest, and

(b)

the ability of the candidate to comply with those conditions.