
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 38USC3683]

 
                      TITLE 38--VETERANS' BENEFITS
 
               PART III--READJUSTMENT AND RELATED BENEFITS
 
           CHAPTER 36--ADMINISTRATION OF EDUCATIONAL BENEFITS
 
                 SUBCHAPTER II--MISCELLANEOUS PROVISIONS
 
Sec. 3683. Conflicting interests

    (a) Every officer or employee of the Department of Veterans Affairs 
who has, while such an officer or employee, owned any interest in, or 
received any wages, salary, dividends, profits, gratuities, or services 
from, any educational institution operated for profit in which an 
eligible person or veteran was pursuing a program of education or course 
under this chapter or chapter 34 or 35 of this title shall be 
immediately dismissed from such officer's or employee's office or 
employment.
    (b) If the Secretary finds that any person who is an officer or 
employee of a State approving agency has, while such person was such an 
officer or employee, owned any interest in, or received any wages, 
salary, dividends, profits, gratuities, or services from, an educational 
institution operated for profit in which an eligible person or veteran 
was pursuing a program of education or course under this chapter or 
chapter 34 or 35 of this title, the Secretary shall discontinue making 
payments under section 3674 of this title to such State approving agency 
unless such agency shall, without delay, take such steps as may be 
necessary to terminate the employment of such person and such payments 
shall not be resumed while such person is an officer or employee of the 
State approving agency, or State department of veterans' affairs or 
State department of education.
    (c) A State approving agency shall not approve any course offered by 
an educational institution operated for profit, and, if any such course 
has been approved, shall disapprove each such course, if it finds that 
any officer or employee of the Department of Veterans Affairs or the 
State approving agency owns an interest in, or receives any wages, 
salary, dividends, profits, gratuities, or services from, such 
institution.
    (d) The Secretary may, after reasonable notice and public hearings, 
waive in writing the application of this section in the case of any 
officer or employee of the Department of Veterans Affairs or of a State 
approving agency, if the Secretary finds that no detriment will result 
to the United States or to eligible persons or veterans by reasons of 
such interest or connection of such officer or employee.

(Added Pub. L. 89-358, Sec. 3(b), Mar. 3, 1966, 80 Stat. 22, Sec. 1783; 
amended Pub. L. 92-540, title IV, Sec. 403(10), Oct. 24, 1972, 86 Stat. 
1090; Pub. L. 94-502, title V, Sec. 513(a)(14)-(16), Oct. 15, 1976, 90 
Stat. 2403; Pub. L. 97-295, Sec. 4(54), Oct. 12, 1982, 96 Stat. 1309; 
Pub. L. 101-237, title IV, Sec. 423(b)(1), Dec. 18, 1989, 103 Stat. 
2092; renumbered Sec. 3683 and amended Pub. L. 102-83, Sec. 5(a), 
(c)(1), Aug. 6, 1991, 105 Stat. 406.)


                            Prior Provisions

    Provisions similar to those comprising this section were contained 
in Pub. L. 85-857, Sept. 2, 1958, 72 Stat. 1190, 1201, which was 
classified to former sections 1664 and 1764 of this title, prior to 
repeal by sections 4(a) and 3(a)(3) of Pub. L. 89-358, respectively.


                               Amendments

    1991--Pub. L. 102-83, Sec. 5(a), renumbered section 1783 of this 
title as this section.
    Subsec. (b). Pub. L. 102-83, Sec. 5(c)(1), substituted ``3674'' for 
``1774''.
    1989--Pub. L. 101-237 substituted ``Secretary'' and ``Department of 
Veterans Affairs'' for ``Administrator'' and ``Veterans' 
Administration'', respectively, wherever appearing.
    1982--Subsec. (a). Pub. L. 97-295 inserted ``of this title'' after 
``34 or 35''.
    1976--Subsec. (a). Pub. L. 94-502, Sec. 513(a)(14), substituted 
``such officer's or employee's'' for ``his''.
    Subsec. (b). Pub. L. 94-502, Sec. 513(a)(15), substituted ``while 
such person was'' for ``while he was'' and ``the Administrator shall 
discontinue'' for ``he shall discontinue''.
    Subsec. (d). Pub. L. 94-502, Sec. 513(a)(16), substituted ``if the 
Administrator finds'' for ``if he finds''.
    1972--Subsecs. (a), (b). Pub. L. 92-540 inserted ``this chapter or'' 
before ``chapter 34 or 35'' wherever appearing.


                    Effective Date of 1976 Amendment

    Amendment by Pub. L. 94-502 effective Oct. 15, 1976, see section 
703(b) of Pub. L. 94-502, set out as an Effective Date note under 
section 3693 of this title.
