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Regulations Governing the Conduct of Naval Personnel
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Receipts in Connection with Official Travel
position, full-time naval personnel, except special government  employees  and  Reserve  enlisted personnel  on  active  duty  for  training,  are prohibited  from  making  personal  commercial solicitations  or  sales  to  DOD  personnel  who  are junior  in  rank  or  grade,  at  anytime,  on  or  off duty. This limitation includes, but is not limited to, the  solicitation  and  sale  of  insurance,  stocks, mutual   funds,   real   estate,   and   any   other commodities, goods, or services. This prohibition does   not   apply   to   the   one-time   sale   by   an individual of his or her own property or privately owned  dwelling,  or  to  the  off-duty  employment of  naval  personnel  as  employees  in  retail  stores or other situations not including solicited sales. In regard to solicitation by civilian personnel, the  limitation  applies  only  to  solicitation  of personnel under the supervision, at any level, of the  solicitor. Assignment of Reserve Personnel for Training Naval  personnel  who  are  responsible  for assigning  Reserves  for  training  must  not  assign them   to   duties   in   which   they   will   obtain information that could be used by them or their private  sector  employers  to  gain  unfair  advantage over  civilian  competitors. Gratuities Except  as  discussed  later  in  this  section,  naval personnel and their spouses, minor children, and members  of  their  households  must  not  solicit, accept,   or   agree   to   accept   any   gratuity   for themselves, members of their families, or others, either directly or indirectly from, or on behalf of, a  defense  contractor.  A  defense  contractor  is  a person  or  other  entity  that  fulfills  one  or  more of  the  following  criteria: Is engaged in or seeks business or financial relations  of  any  sort  with  any  DOD  component Conducts  operations  or  activities  that  are either   regulated   by   a   DOD   component   or significantly  affected  by  DOD  decisions Has  interests  that  may  be  substantially affected by the performance of the official duties of  DOD  personnel This general prohibition does not apply to the situations  below: (1) The continued participation in employee welfare  or  benefit  plans  of  a  former  employee when  permitted  by  law  and  approved  by  the appropriate  standards  of  conduct. (2) The acceptance of unsolicited advertising or promotional items that are less than $5 in retail value. (3)  Trophies, entertainment,   prizes,   or awards for public service or achievement or given in games or contests that are clearly open to the public  or  that  are  officially  approved  for  naval personnel  participation. (4)  Things  available  to  the  public  (such  as university  scholarships  covered  by  DOD  Directive 1322.6  and  free  exhibitions  by  Defense  contractors at  public  trade  fairs). (5)   Discounts   or   concessions   extended throughout the Navy and Marine Corps that are realistically  available  to  all  naval  personnel. (6) Participation by naval personnel in civic and community activities when the involvement of  Defense  contractors  is  remote  from  the  business purposes  of  any  contractor  who  is  sponsoring, supporting,  or  participating  in  the  activity  (for example,   participation   in   a   little   league   or Combined  Federal  Campaign  luncheon  that  is subsidized  by  a  Defense  contractor). (7) Social activities engaged in by officers in command  and  other  naval  officials,  or  their representatives, with local civil leaders as part of community  relations  programs  of  the  Department of the Navy according to SECNAVINST 5720.44. (8)  The  participation  of  naval  personnel  in widely attended gatherings of mutual interest to government and industry, sponsored or hosted by industrial,  technical,  and  professional  associations (not  by  individual  contractors),  provided  that  they have  been  approved  according  to  DOD  Instruc- tion  5410.20. (9)  Situations  in  which  participation  by  naval personnel  at  public  ceremonial  activities  of  mutual interest to industry or local communities and the Department  of  the  Navy  serves  the  interest  of  the government  and  acceptance  of  the  invitation  is approved  by  the  commanding  officer  or  other head  of  the  activity  to  which  the  invited  personnel are attached. (10)    Contractor-provided    transportation, meals,  or  overnight  accommodations  in  con- nection with official business when arrangements for   government   or   commercial   transportation, meals, or accommodations are clearly impractical AII-5

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