Section 21(2) in Khadi And Village Industries Commission Employees (Conduct) Regulations, 2003
(2)No employee shall make, or permit any member of his family or any person acting on his behalf to make any investment, which is likely to embarrass or influence him in the discharge of his official duties. For this purpose, any purchase of shares out of the quotas reserved for Directors of companies or their friends and associates shall be deemed to be an investment which is likely to embarrass the employee.
