Ethics lawyers and liberal activists excoriated White House counselor Kellyanne Conway after she gave a “free commercial” for Ivanka Trump’s clothing line, an apparent violation of a federal rule that bars public officials from using their positions to promote private business interests.
But enforcing that rule will be left up to the White House itself — or a federal agency that has traditionally shown little interest in launching investigations, legal specialists said.
Conway’s unusual product endorsement from the White House briefing room came in response to reports that retailers, including Nordstrom Inc., have been dropping Ivanka Trump’s apparel due to lack of sales.
“It’s a wonderful line. I own some of it,” Conway said during an interview on Fox __news Channel’s Fox & Friends program. “I’m going to give it a free commercial here. Go buy it today everybody; you can find it online.”
On Wednesday, President Donald Trump lambasted Nordstrom for its decision, saying in a tweet that his daughter had been treated “so unfairly” by the company. “She is a great person — always pushing me to do the right thing! Terrible!”
After initially posting the message on his personal account, he later retweeted it from the official presidential handle, @POTUS.
My daughter Ivanka has been treated so unfairly by @Nordstrom. She is a great person — always pushing me to do the right thing! Terrible!
— Donald J. Trump (@realDonaldTrump) February 8, 2017
Ethics rules that date to 1993 bar officials from promoting products for the private gain of friends and relatives. The employee’s agency — in Conway’s case, the White House — is responsible for enforcing the rules, though the Office of Government Ethics, which publicly clashed with Trump last month over his own potential conflicts of interest, could recommend disciplinary actions, the regulation states.
Robert Weissman, president of progressive activist group Public Citizen, said Conway’s remarks demonstrate that the Trump administration “will use the government apparatus to advance the interests of the family businesses.”
“Anyone harboring illusions that there was some separation between the Trump administration and the Trump family businesses has had their fantasy shattered,” Weissman said in a statement.
The OGE or White House could issue a reprimand, suspension, demotion or removal from office, according to federal regulations. They both also have the option of waiving the rule in particular cases — or requiring offending employees to receive ethics counseling.
Larry Noble, general counsel of the Campaign Legal Center, said in an email that it’s unlikely the OGE would take up the matter because of its longstanding position of not being an investigative agency. Nonetheless, Noble posted on Twitter: “Appears Kellayanne Conway may have just violated ban on Federal employee using public office for endorsement of product.”
Appears Kellayanne Conway may have just violated ban on Federal employee using public office for endorsement of product. 5 CFR 2635.702 https://t.co/mIvngSHCnk
— Larry Noble (@LarryNoble_DC) February 9, 2017
Peter Flaherty, president of the conservative watchdog National Legal and Policy Center, said Conway’s comments fell short of a violation.
“Any federal official would look kind of foolish endorsing a commercial project, but what Kellyanne Conway was responding to is the assault on all things Trump,” Flaherty said. “Her remarks were political and rhetorical, and not a product endorsement.”
The White House press office didn’t immediately respond to a request for comment, nor did the federal ethics agency.
Retailers that carry the first daughter’s collection have come under fire from the Grab Your Wallet campaign, which encourages shoppers to boycott stores that sell Trump goods. Nordstrom said the decision to quit selling Ivanka Trump-linked products was an economic one — they weren’t selling.
Conway called the boycott campaign “a huge failure” during her Fox interview. Shares of Nordstrom rose as much as 4.2 percent on Thursday. Yesterday, the department-store chain’s stock gained 4.1 percent to $44.53 after the president tweeted about the company, its biggest single-day advance in two months.
Conway also praised Ivanka Trump’s entrepreneurial spirit and hinted that the first daughter would find a more official role in the administration working on policy issues she promoted on the campaign trail, such as maternity leave, child care and equal pay.
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