What is true about conflicts of interest?

A conflict of interest can come in a situation where an individual has competing interests or loyalties because of their duties to more than one person or organization. A person with a conflict of interest can't do justice to the actual or potentially conflicting interests of both parties. For instance, if internal auditor, who is in a position of trust, has a competing professional or personal interest.

Another example is if a person have a loyalty to an employer and also loyalty to a family business. Each of these businesses expects the person to have its best interest first. Thus, the conflict.

Such competing interests can make it difficult to fulfill his or her duties impartially.

A conflict of interest exists even if no unethical or improper act results.