The White House rejected claims of conflict of interest on Tuesday regarding the president’s son-in-law investments related to the COVID-19 response.
Ethics experts are raising concerns about the son-in-law of President Biden’s surgeon Howard Kerin, who has links with a health care company that works with the federal government to streamline the distribution of vaccines.
Asked by Fox News’ Peter Doocy about the red flags that were raised, White House press secretary Jen Psaki said: “The president has made it clear that there will be an absolute wall between him and any business related to his family.”
Psaki reiterated Biden’s promise that no family member would have any say in political decisions.
Asked how the White House could ensure that no one was using Biden’s office for personal gain, Psaki said, “We have implemented strict policies.”
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“There is not a single family member who works at the White House, who has an office at the White House or who benefits financially. These are strict ethical requirements put in place, and the president approved.”
Kerin, married to Biden’s daughter, Ashley, was one of the first investors in StartUp Health. In December, technology boutique company Yosi Health asked StartUp Health for help due to the company’s special connection with the government.
Yosi’s CEO Hari Prasad asked StartUp Health to introduce its platform to government officials. “Our goal with StartUp Health is to leverage your relationships and work with state and federal agencies,” he told ABC News.
Shortly after StartUp Health started, its founders were invited to the White House to meet with then President Obama for a preview of their plans.
Kerin reported the meeting in a 2015 interview. “It turns out I was talking to my father-in-law that day and I mentioned that Steve and Unity were there [in D.C.], “Said Kerin.”[Biden] he knew StartUp Health and was a big fan of it. He asked for Steve’s number and said, ‘I need to bring you here to talk to Barack.’ Secret Service came and took Steve and Unity and brought them to the Oval Office. “
Kerin helps oversee the company’s investments in hundreds of companies, some looking to contact federal agencies to help respond to the coronavirus. As StartUp Health expanded its presence in the healthcare sphere, its executives praised the White House meeting with Obama and his special ties to Biden.
The president also supported the deal that Kerin started with his brother Stephen Kerin, Unity Stoakes. He has been speaking at corporate conferences to attract venture capitalists to the company, as well as inviting Unity Stoakes executives to the Oval Office meeting with Obama.
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Kerin drew criticism earlier this year when the pandemic exploded and he began informally advising on the Biden campaign’s pandemic response plan. At the same time, StartUp Health was pushing to invest in companies trying to adapt products to help respond to the pandemic. Concerns arose that Kerin might be defending the company to help its companies sign government contracts. A campaign spokesman said in October that Kerin did not go beyond sharing his experience in treating patients with COVID-19.
Now, with Biden in charge, some are asking: should Kerin advise companies looking to obtain lucrative government contracts? Should he evaluate his father-in-law’s political decisions that could help these companies? Could he have access to information from the private government that could guide investment decisions?
“Howard Kerin is playing with fire,” Meredith McGehee, executive director of Issue One, a non-partisan ethics watchdog group, told ABC News. “If he gets too close to that flame – if he’s trying to profit from his relationship with the president, or if he’s trying to influence politics – the flame will catch him. And it’s not worth it to him or to Biden.”
“Dr. Kerin presents an ethical dilemma because he is being placed in a position where people want him to provide access and information that gives them a competitive advantage,” said Scott Amey, general counsel for the non-partisan Project on Government Oversight, which investigates possible conflicts of interest.
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“At the same time, Biden must ensure that the private affairs of family and friends do not mix with official government actions,” said Amey. “This situation will require a good deal of transparency and oversight to ensure that limits are not exceeded and that ethical standards are maintained.”