§ 612.2170 Standards of Conduct Official. ( a ) *Authority.* The Standards of Conduct Official must be appointed by the board of directors for the institution and the board of directors must empower the appointed SOCO with all of the following: ( 1 ) Direct access to the board (or designated board committee) for the purpose of discussing and reporting on matters related to the institution's Standards of Conduct Program and Code of Ethics;
( 2 ) Authority to carry out the responsibilities set forth in this section;
( 3 ) Accessibility to all directors, employees, and agents of the institution;
( 4 ) Legal authority to receive confidential SOC program communications from all directors, employees, and agents of the institution; and
( 5 ) Resources adequate for implementing a successful Standards of Conduct Program.
( b ) *Program administration.* The Standards of Conduct Official must implement the institution's Standards of Conduct Program as determined by the written policies and procedures of his or her institution and FCA regulations in this chapter. This may include, but is not limited to, the following: ( 1 ) Providing guidance and information to directors and employees on conflicts of interest, including aiding in the identification of reportable conflicts of interest and reportable financial interests in accordance with this subpart;
( 2 ) Receiving reports required under this subpart from directors, employees, and agents;
( 3 ) Receiving from directors and officers the disclosures required under § 620.6(a), (e), and (f) of this chapter for treatment as a supplement to an individual's conflicts of interest report;
( 4 ) Reviewing and acting upon all SOC program reports and disclosures, including documenting resolved and unresolved conflicts of interest that are material, and making written determinations on how conflicts of interest will be resolved;
( 5 ) Maintaining all SOC program records for the required period of time, including documentation that explains how conflicts are being handled;
( 6 ) Conducting investigations as either authorized under this subpart or by the institution's SOC program policies and procedures;
( 7 ) Reporting promptly to the institution's board of directors (or designated board committee) those SOC program or Code of Ethics matters required by the institution's SOC program policies and procedures or FCA regulations in this chapter; and
( 8 ) Reporting to the institution's board of directors those activities investigated pursuant to paragraph (d) of this section.
( c ) *Training duties.* The Standards of Conduct Official must give standards of conduct training to all directors and employees at the institution. The training must comply with the requirement of § 612.2137 and the institution's Standards of Conduct policies and procedures. In addition to other matters, periodic training must cover updates or revisions to the institution's SOC program and Code of Ethics. The SOCO must obtain written participation certifications from every director and employee taking the training.
( d ) *Investigative duties.* The Standards of Conduct Official is responsible for investigating complaints alleging misconduct or possible criminal behavior by the institution, its directors, or its employees. ( 1 ) At a minimum, the Standards of Conduct Official must investigate, or cause to be investigated, all cases involving: ( i ) Possible violations of criminal statutes;
( ii ) Possible violations of director or employee prohibited conduct regulations in § 612.2150, and the applicable institution policies and procedures;
( iii ) Complaints of misconduct received against directors and employees of the institution;
( iv ) Possible violations of other provisions of this part; and
( v ) Suspected activities of a sensitive nature which could affect continued public confidence in the Farm Credit System.
( 2 ) The SOCO serves as the reporting official for all cases investigated under subpart B of this part (criminal referrals). In this capacity, the SOCO must report to both the institution's board and the Farm Credit Administration's Office of General Counsel all cases where: ( i ) A preliminary investigation indicates that a Federal criminal statute may have been violated;
( ii ) An investigation results in the removal of a director or discharge of an employee; or
( iii ) A violation may have an adverse impact on continued public confidence in the System or any of its institutions.