Independent non-governmental review institution International
International Sanctions Delisting Commission Independent Sanctions Review
Institutional Document

Conflict of Interest Policy

ISDC’s Conflict of Interest Policy establishes how actual, potential and perceived conflicts are disclosed, assessed and managed to protect the independence of sanctions review.

Institutional Independence Standard

Independence requires more than the absence of improper influence. It requires that interests capable of affecting — or reasonably appearing to affect — institutional judgment are identified, assessed and appropriately managed.

This Conflict of Interest Policy establishes the principles applied by the International Sanctions Delisting Commission (“ISDC”) to actual, potential and perceived conflicts arising in its research, review, editorial and institutional activities.

Why Conflict Management Matters

Sanctions review may involve governments, designated persons and entities, legal representatives, commercial organizations, financial interests, politically exposed individuals, researchers and other stakeholders whose interests may differ materially.

The credibility of an independent review therefore depends not only on whether a conclusion is substantively justified, but also on whether the process used to reach that conclusion is sufficiently independent.

ISDC seeks to identify circumstances in which a reasonable observer could question whether a person’s judgment, participation or decision might be affected by another interest or relationship.

PRINCIPLE 01 Disclose

Relevant interests and relationships should be identified before they can influence institutional work.

PRINCIPLE 02 Assess

Disclosure alone is not sufficient. The significance of the interest must be evaluated in its actual context.

PRINCIPLE 03 Manage

Where necessary, safeguards, independent review, restricted participation or recusal should protect the integrity of the process.

Who This Policy Applies To

This policy applies, as appropriate to their role, to persons who participate in substantive ISDC institutional activity, including research, case assessment, evidence review, editorial decision-making, governance and other functions capable of influencing an institutional conclusion.

The policy may also be applied to external experts, consultants, advisers or other contributors where their involvement is sufficiently material to a review or publication.

What Constitutes a Conflict of Interest?

A conflict of interest may arise where a secondary interest, relationship or obligation could improperly influence, could reasonably be expected to influence, or could reasonably appear to influence the performance of an ISDC responsibility.

A conflict does not necessarily imply misconduct. In many cases, the relevant issue is whether the circumstance has been disclosed and appropriately managed.

Actual Conflict

A current interest or relationship materially interferes with the independent performance of an ISDC responsibility.

Example: direct financial or professional involvement in the matter currently under review.
Potential Conflict

A circumstance exists that could develop into a material conflict as the person’s role or the review progresses.

The appropriate response may depend on the person’s future involvement and the significance of the issue.
Perceived Conflict

The circumstances could reasonably create an appearance that institutional judgment may not be independent, even where no improper influence has actually occurred.

Institutional credibility may require management of reasonable perceptions as well as actual influence.
The Reasonable Observer Test

Would a reasonable and informed observer, knowing the relevant circumstances, have a legitimate basis to question the independence of the person’s judgment or participation?

Interests That May Require Disclosure

The relevance of an interest depends on context. Circumstances that may require disclosure include, among others:

  • a financial interest in a person, entity or transaction materially connected with a review;
  • current or recent employment, consultancy, advisory or professional engagement involving a relevant party;
  • representation of a designated person, applicant, authority or materially interested organization;
  • a close personal or family relationship with a person materially involved in the matter;
  • significant business relationships with a relevant person or entity;
  • prior substantive involvement in the events, proceedings or decisions being examined;
  • participation in advocacy, litigation or other activity directly concerning the specific designation under review;
  • gifts, benefits, hospitality or other advantages capable of creating a material obligation or appearance of influence;
  • any other circumstance that could reasonably call independent judgment into question.

What Is Not Automatically a Conflict

Expertise, professional experience or prior work in sanctions, international law, compliance, government, academia, finance or related fields does not by itself constitute a conflict of interest.

Similarly, knowledge of a person, institution or subject matter does not automatically disqualify someone from participating in a review.

The relevant question is whether the particular relationship or interest is sufficiently connected to the matter to affect, or reasonably appear capable of affecting, independent judgment.

Important distinction

Familiarity with a subject can create expertise. A material stake in the outcome can create a conflict. The two should not be treated as equivalent.

Political Views and Institutional Independence

Individuals may hold personal political, legal, academic or policy views. The existence of such views does not automatically establish a conflict.

ISDC’s concern is whether a relevant commitment, relationship or activity is sufficiently direct and material that it compromises — or reasonably appears to compromise — the ability to evaluate the particular case on its evidence.

Institutional analysis should not be altered to produce a politically preferred outcome.

Financial Interests

A direct material financial interest connected with the outcome of a review should be disclosed and may require restricted participation or recusal.

Assessment should consider the nature, proximity and materiality of the interest rather than relying solely on its formal legal structure.

Professional and Advisory Relationships

Current or recent professional relationships may create a conflict where they involve a person, entity or issue directly relevant to the review.

Relevant circumstances may include legal representation, consulting, advisory work, employment, paid research, commercial services or other professional obligations.

The existence of a historical professional relationship does not automatically require exclusion. Its recency, significance and connection to the matter should be considered.

Case Applicants and Representatives

ISDC may receive submissions from designated persons, entities, legal representatives, advisers or other interested parties.

Providing information to ISDC does not give the submitting party a role in determining who conducts the independent assessment, how conflicting evidence is evaluated or what conclusion is ultimately reached.

Where a person involved in an ISDC review has a separate professional, financial or personal relationship with an applicant or representative, that relationship should be assessed under this policy.

Funding and Conflict of Interest

Financial support for institutional activity should not confer editorial, analytical or case-specific control.

A donor, sponsor, contributor or funding source must not be permitted to determine the factual findings or recommendation of a sanctions review.

Where funding arrangements create a material actual or perceived conflict, appropriate safeguards should be considered in conjunction with ISDC’s Funding Transparency and Institutional Independence standards.

Conflict Review Procedure

Where a relevant interest is identified, ISDC may apply the following process.

01
Disclosure

The relevant relationship, interest or circumstance is identified with sufficient information to permit meaningful assessment.

02
Assessment

The nature, materiality, proximity and reasonable appearance of the conflict are considered in relation to the person’s actual responsibilities.

03
Safeguard

Where participation can continue without compromising independence, proportionate safeguards may be established.

04
Recusal Where Necessary

Where safeguards are insufficient, the person may be excluded from some or all substantive participation in the relevant matter.

05
Institutional Record

Material conflict determinations may be documented where appropriate to preserve accountability and consistency.

Available Safeguards

Conflict management should be proportionate to the nature and severity of the identified risk. Available measures may include:

Disclosure

Recording or communicating the relevant interest where transparency is sufficient to address the concern.

Independent Review

Requiring another appropriately independent person to review evidence, analysis or an editorial decision.

Restricted Participation

Permitting involvement in unaffected aspects of the work while excluding participation in the conflicted decision.

Recusal

Removing the individual from substantive participation where the conflict cannot be adequately managed through lesser safeguards.

Reassignment

Transferring responsibility for a review, analysis or decision to another person where necessary to preserve institutional independence.

Recusal

Recusal may be appropriate where an actual conflict is material, where a reasonable appearance of partiality cannot be adequately addressed, or where continued participation could undermine confidence in the integrity of the review.

Recusal does not necessarily imply wrongdoing. It is an institutional safeguard designed to protect both the review process and the individual concerned.

Recusal Principle

The question is not whether a person believes they can remain impartial. The question is whether their participation can be justified under an independent and reasonable assessment of the circumstances.

Gifts, Hospitality and Benefits

Gifts, hospitality, favors or other benefits should not be accepted where they could reasonably be understood as intended to influence an ISDC decision or create an obligation in connection with institutional work.

Ordinary professional courtesies of insignificant value may not create a conflict, but context remains relevant. Particular caution should be exercised where a benefit is offered by a person with a direct interest in an active or anticipated review.

Confidential Information

Access to non-public information obtained through ISDC must not be used for personal, commercial or other unauthorized advantage.

A person must not use confidential case information to benefit a client, employer, investment, business interest or other third party.

Conflict obligations concerning confidential information may continue after a person’s participation in the relevant matter has ended.

External Activities

External professional, academic, advisory or public activities are not prohibited merely because they concern sanctions or related policy issues.

However, an external activity should be disclosed where it creates a material connection with a specific matter for which the person also holds an ISDC responsibility.

Duty to Update a Disclosure

Conflict assessment is not limited to the beginning of a review. Relevant circumstances may arise or change while work is in progress.

A person who becomes aware of a new material interest or relationship should disclose it without waiting for the review or publication process to conclude.

Failure to Disclose

Failure to disclose a material conflict may require reconsideration of the person’s participation and, where relevant, independent review of work previously performed.

The appropriate response should take account of the significance of the undisclosed interest, whether the omission was deliberate, and whether the integrity of a substantive conclusion may have been affected.

Effect on Published Work

Discovery of a conflict after publication does not automatically render the underlying research or conclusion invalid.

ISDC may assess whether the conflict could materially have affected the work and, where necessary, conduct an independent review of the relevant analysis.

If that review identifies a substantive problem, ISDC may issue a clarification, correction, revised assessment or other appropriate public update.

Public Disclosure

Not every disclosed interest requires public identification.

ISDC may disclose a conflict or conflict-management measure where doing so is materially relevant to understanding the independence or integrity of a public review, subject to legitimate confidentiality, privacy and legal considerations.

Questions and Reports

Concerns regarding a potential conflict affecting ISDC institutional activity may be submitted through the official ISDC contact channel.

A report should, where possible, identify the relevant matter, the nature of the alleged conflict and any information reasonably supporting the concern.

The existence of a complaint or allegation does not itself establish that a conflict exists.

Institutional Principle

Independence is protected not by assuming that conflicts will never arise, but by ensuring that they cannot quietly determine the outcome.

ISDC therefore treats disclosure, independent assessment, proportionate safeguards and recusal where necessary as components of institutional integrity rather than as presumptions of wrongdoing.

Institutional Notice

The International Sanctions Delisting Commission is an independent non-governmental institution. Information published on this website is provided for research, institutional and public information purposes and does not constitute a decision or act of any competent sanctions authority.