---
kind: "section"
citation: "5 C.F.R. § 2635.401"
title: "5"
number: "2635.401"
heading: "Overview."
url: "https://uscodex.org/cfr/5/2635.401"
---

# §2635.401. Overview.


[Part 2640](/cfr/5/part2640.md) of this chapter interprets and is the implementing regulation for [18 U.S.C. 208](/usc/18/208.md). This subpart summarizes the relevant statutory restrictions and some of the regulatory guidance found there. Specifically, this subpart contains two provisions relating to financial interests. One is a recusal requirement and the other is a prohibition on acquiring or continuing to hold specific financial interests. An employee may acquire or hold any financial interest not prohibited by [§ 2635.403](/cfr/5/2635.403.md). Notwithstanding that the acquisition or holding of a particular interest is proper, an employee is prohibited in accordance with [§ 2635.402](/cfr/5/2635.402.md) from participating in an official capacity in any particular matter in which, to the employee's knowledge, the employee or any person whose interests are imputed to the employee has a financial interest, if the particular matter will have a direct and predictable effect on that interest.


## Notes

### Source

Source: 89 FR 43695, May 17, 2024, unless otherwise noted.

### Authority

Authority: 5 U.S.C. 7301, 7351, 7353; 5 U.S.C. ch. 131; E.O. 12674, 54 FR 15159, 3 CFR, 1989 Comp., p. 215, as modified by E.O. 12731, 55 FR 42547, 3 CFR, 1990 Comp., p. 306.

### Source

Source: 57 FR 35042, Aug. 7, 1992, unless otherwise noted.