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Page Title: Standards of Conduct
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STANDARDS  OF  CONDUCT Section I: GENERAL This  section  of  the  appendix  is  published  to  emphasize  the  requirement that all ship’s store personnel adhere to the Standards of Conduct contained in DOD Directive 5500.7 and SECNAVINST 5370.2 and to include the Naval Supply  Systems  Command  Policy  statement  on  loss  prevention  controls. Section  II:  STANDARDS  OF  CONDUCT 1.   DISCUSSION a. All ship’s store personnel must observe the highest ethical standards in their  relations  with  vendors  in  compliance  with  the  Department  of  Defense Standards of Conduct as described below. Ship’s store personnel will ensure that  the  management  policies  directing  equal  treatment  to  vendors  and suppliers  in  all  areas  of  store  operations  are  adhered  to  in  all  cases.  The acceptance of gratuities, gifts, prizes, luncheons or similar hospitality, or the giving of preferential treatment to vendors’ products with respect to procure- ment, distribution, stocking, display, or resale is strictly prohibited. All ship’s store  personnel  and  vendors  must  be  made  aware  of  this  prohibition. b. All ship’s store personnel must be continually aware that their actions and decisions are properly subject to the scrutiny of people both in and out of the government. Even though an actual conflict of interest may not exist, all personnel must avoid the appearance of such conflict from a public point of  view. c.  Private  hospitality  between  friends  may  be  inappropriate  when  one  is a contractor’s representative and the other is a representative of the command before which an official matter involving the contractor is pending or might be  expected  to  arise. 2.  POLICY a.  In  accordance  with  the  guidance  in  par.  1,  the  following  policy  is established  for  all  ship’s  store  operations: (1) Ship’s store personnel are subject to disciplinary action and in some instances,  criminal  prosecution  if  they  solicit,  accept,  or  agree  to  accept gratuities,  in  any  form,  from  vendors,  suppliers,  or  anyone  else  with  whom the  ship’s  stores  do  business,  either  directly  or  indirectly. (2)  Ship’s  store  personnel  will  not,  under  any  circumstances,  give preferential  treatment  to  vendors,  suppliers,  or  anyone  else  in  any  area, including  procurement,  distribution,  stocking,  display,  or  resale  of  products. 3.  ACTION a.  The  Navy  Resale  and  Services  Support  has: (1) advised all Ship’s Store Afloat Catalog vendors and all contractors doing  business  with  ship’s  stores  of  the  policy  and  prohibitions  contained  here; and (2) prepared and issued, under separate cover, signs for display in all ship’s  stores  to  advise  and  remind  personnel  and  vendors  of  this  policy. AII-8

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