Sec. 40. Conflict of interest.

418 words·~2 min read·/il/chapter-20/act-3820/40

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)No member, officer, agent, or employee of the Authority shall, in his or her own name or in the name of a nominee, be an officer or director or hold an ownership interest of more than 7.5% in any person, association, trust, corporation, partnership, or other entity that is, in its own name or in the name of a nominee, a party to a contract or agreement upon which the member, officer, agent, or employee may be called upon to act or vote. The prohibition of this subsection

(a)does not apply, however, to prohibit contracts or agreements between the Authority and entities qualified under Section 501 of the Internal Revenue Code of 1986 due to a member of the Authority serving as an officer or director of that entity.

(b)With respect to any direct or indirect interest, other than an interest prohibited in subsection

(a)of this Section, in a contract or agreement upon which the member, officer, agent, or employee may be called upon to act or vote, a member, officer, agent, or employee of the Authority shall disclose the interest to the secretary of the Authority before the taking of final action by the Authority concerning the contract or agreement and shall so disclose the nature and extent of the interest and his or her acquisition of it, and those disclosures shall be publicly acknowledged by the Authority and entered upon the minutes of the Authority. If a member, officer, agent, or employee of the Authority holds such an interest, then he or she shall refrain

(i)from any further official involvement in regard to the contract or agreement,

(ii)from voting on any matter pertaining to the contract or agreement, and

(iii)from communicating with members of the Authority or its officers, agents, and employees concerning the contract or agreement. Notwithstanding any other provision of law, any contract or agreement entered into in conformity with this subsection

(b)shall not be void or invalid by reason of the interest described in this subsection (b), nor shall any person so disclosing the interest and refraining from further official involvement as provided in this subsection

(b)be guilty of an offense, be removed from office, or be subject to any other penalty on account of that interest.

(c)Any contract or agreement made in violation of subsection

(a)or

(b)of this Section shall be null and void, but shall not give rise to any action against the Authority.