---
kind: "section"
citation: "22 C.F.R. § 1006.405"
title: "22"
number: "1006.405"
heading: "May I enter into a covered transaction with a participant if a principal of the transaction is excluded?"
url: "https://uscodex.org/cfr/22/1006.405"
---

# §1006.405. May I enter into a covered transaction with a participant if a principal of the transaction is excluded?


As an agency official, you may not enter into a covered transaction with a participant if you know that a principal of the transaction is excluded, unless you obtain an exception under [§ 1006.120](/cfr/22/1006.120.md).


## Notes

### Authority

Authority: Sec. 2455, Pub. L. 103-355, 108 Stat. 3327 (31 U.S.C. 6101 note); E.O. 12549, 3 CFR, 1986 Comp., p. 189; E.O. 12689, 3 CFR, 1989 Comp., p. 235.