MIAMI ENTREPRENEUR CHARGED BY SEC WITH EXAGERATING THE FINANCIAL SUCCESS OF HIS COMPANY



FROM: U.S. SECURITIES AND EXCHANGE COMMISSION

 

Washington, D.C., Dec. 7, 2012 — The Securities and Exchange Commission today charged a prominent Miami-based entrepreneur with defrauding investors by grossly exaggerating the financial success of his company that purportedly produced housing materials to withstand fires and hurricanes. Claudio Osorio stole nearly half of the money raised from investors to pay the mortgage on his multi-million dollar mansion and other lavish highlife expenses.

The SEC alleges that Osorio, who is a former Ernst & Young Entrepreneur of the Year award winner, raised at least $16.8 million from investors by portraying InnoVida Holdings LLC as having millions of dollars more in cash and equity than it actually did. Osorio sometimes solicited investors one-on-one at political fundraising events. To add an air of legitimacy to his company, Osorio assembled a high-profile board of directors that included a former governor of Florida, a lobbyist, and a major real estate developer. Osorio falsely told a potential investor he had invested tens of millions of dollars of his own money as InnoVida's largest stakeholder, and he hyped a Middle Eastern sovereign wealth fund investment as a ruse to solicit additional funds from investors.

The SEC also charged InnoVida's chief financial officer Craig Toll, a certified public accountant living in Pembroke Pines, Fla., who helped Osorio create the false financial picture of InnoVida.

The SEC alleges that besides his Miami Beach mansion, Osorio illegally used investor money to pay for his Maserati, a Colorado mountain retreat home, and country club dues. He stole at least $8.1 million in investor funds.

"From his lap of luxury, Osorio concocted a compelling story about InnoVida by recruiting an impressive board of directors and boasting a bogus financial condition to lure investors into funding his scheme of lies," said Eric I. Bustillo, Director of the SEC's Miami Regional Office.

In a parallel action, the U.S. Attorney's Office for the Southern District of Florida today announced criminal charges against Osorio and Toll.

According to the SEC's complaint filed in U.S. District Court for the Southern District of Florida, the scheme began in 2007 and lasted until 2010. InnoVida was purportedly in the business of manufacturing building panels used to construct houses and other structures resistant to fires and hurricanes. The company entered bankruptcy in 2011.

To induce funds from investors, Osorio and Toll allegedly produced false pro forma financial statements. A pro forma financial statement for March 31, 2009, stated that InnoVida had more than $35 million in cash and cash equivalents and more than $100 million of equity. A pro forma financial statement for Dec. 31, 2009, listed more than $39 million in cash and cash equivalents and $122 million of equity. In reality, the company's bank accounts held less than $185,000 on March 31, 2009, and less than $2 million on Dec. 31, 2009. Toll failed to review all of InnoVida's bank account statements when he drafted financial statements. Instead, he accepted Osorio's misrepresentations that InnoVida had these assets in an account to which Toll did not have access.

The SEC alleges that Osorio offered bogus share prices to prospective investors based on false valuations. He told one investor that InnoVida was valued at $250 million, and then a week later told a different investor that the company was worth $50 million. The latter investor purchased $100,000 of Osorio's stake in the company for five cents per share.

The SEC further alleges that Osorio lied to an investor when he said that he had personally invested tens of millions of dollars into InnoVida. He had in fact made no such investment. Osorio also enticed an investor to increase an investment in InnoVida by touting a supposed $500 million deal he was negotiating with a Middle Eastern sovereign wealth fund that would significantly benefit InnoVida investors. Osorio went so far as to create a document showing the investor how much he would make once the sovereign wealth deal closed and was funded. Based on Osorio's misrepresentations, the investor was able to raise approximately $700,000 and later borrowed $3 million from a close friend. However, no sovereign wealth buyout deal ever materialized, and InnoVida investors never benefited as promised.

The SEC's complaint seeks disgorgement of ill-gotten gains, financial penalties, and injunctive relief against InnoVida, Osorio, and Toll to enjoin them from future violations of the federal securities laws. The complaint also seeks an order barring Osorio and Toll from serving as an officer or director of a public company.

The SEC's investigation was conducted in the Miami Regional Office by Senior Investigations Counsel Gary M. Miller and Accountant Karaz S. Zaki under the supervision of Assistant Regional Director Elisha L. Frank. Amie Riggle Berlin will lead the SEC's litigation. The SEC acknowledges the assistance and cooperation of the U.S. Attorney's Office for the Southern District of Florida, and the Federal Bureau of Investigation's Miami Division.

PRESIDENT OBAMA TO PICK ARMY GENERAL LLOYD J. AUSTIN III TO HEAD U.S. CENTRAL COMMAND

President Barack Obama intends to nominate Army Gen. Lloyd J. Austin III [pictured], who's currently serving as the vice chief of staff of the Army, to succeed Marine Corps Gen. James N. Mattis as the next commander of U.S. Central Command. U.S. Army photo

FROM: U.S. DEPARTMENT OF DEFENSE
Obama Intends to Nominate Austin as Centcom Chief

By Jim Garamone
American Forces Press Service
WASHINGTON, Dec. 6, 2012 - President Barack Obama intends to nominate Army Gen. Lloyd J. Austin III, currently the vice chief of staff of the Army, to succeed Marine Corps Gen. James N. Mattis as the next commander of U.S. Central Command, Defense Secretary Leon E. Panetta announced today.

Austin is "one of the military's most seasoned combat leaders," the secretary said, and will "bring an important combination of strategic thinking, regional knowledge and proven judgment to one of the most critical posts in the department."

Austin was the final commander of U.S. Forces Iraq, holding that position from Sept. 1, 2010, until the command was disestablished Dec. 18, 2011.

"During his final deployment to Iraq, Gen. Austin led our military efforts at a particularly important time, overseeing the drawdown of U.S. forces and equipment while simultaneously helping to ensure that hard-fought security gains were preserved and that Iraqis could secure and govern themselves," Panetta said.

Austin's previous commands include the 3rd Infantry Division, with whom he earned a Silver Star for valor for actions in the early months of the war in Iraq. He also served as commander of the 10th Mountain Division in Afghanistan, and as commander of Multinational Corps-Iraq from February 2008 through April 2009.

Mattis has commanded Centcom since Aug. 11, 2010, having previously served as commander of U.S. Joint Forces Command.

"[Mattis] will go down as one of the most celebrated battlefield leaders and strategic military thinkers of our time," Panetta said.

Austin's nomination is subject to Senate confirmation.

WASTWATER TREATMENT OPERATOR SENTENCED TO PRISON FOR ILLEGAL DISCHARGE INTO RED RIVER

FROM: U.S. DEPARTMENT OF JUSTICE

Wednesday, December 5, 2012
Shreveport, La., Wastewater General Manager and Former Owner Sentenced to Five Years in Prison for Discharging Pollutants into the Red River

WASHINGTON – John Tuma, 55, of Centerville, Texas, was sentenced today following his March 21, 2012, trial conviction by a federal jury for discharging untreated wastewater directly into the Red River without a permit, discharging untreated wastewater into the city of Shreveport sewer system in violation of its permit and obstructing an EPA inspection, announced Ignacia S. Moreno, Assistant Attorney General of the Justice Department’s Environment and Natural Resources Division and U.S. Attorney Stephanie A. Finley of the Western District of Louisiana. U.S. District Judge Tom Stagg sentenced John Tuma to a 60-month prison sentence, three years of supervised release and a $100,000 fine.

John Tuma, who was both general manager and the former owner of Arkla Disposal Services Inc., was charged in a five-count indictment with violations of the Clean Water Act, conspiracy and obstruction of justice related to illegal discharges coming from the Arkla Disposal Services Inc., a facility in Shreveport. The Arkla facility, located at 10845 Highway 1 South in Shreveport, was a centralized wastewater treatment facility that received wastewater from industrial processes and oilfield exploration and production facilities. Arkla contracted to treat the wastewater through a multi-step treatment process and then discharge the treated wastewater to either the City of Shreveport publicly owned treatment works or the Red River.

The case was investigated by EPA’s Criminal Investigation Division and is being prosecuted by Assistant U.S. Attorney C. Mignonne Griffing and Trial Attorney Leslie E. Lehnert of the Environmental Crimes Section of the Department of Justice.

U.S. NAVY HONOR GUARD'S STORY

U.S. Navy Honor Guard.  Credit:  U.S. Navy.

FROM: U.S. NAVY
As a member of Navy’s Honor Guard, BM2 Jackson has helped lay to rest over 250 veterans and supervised the laying to rest of over 800 veterans. As he spent this week preparing to honor a hero, he took some time to explain his role and the importance of honoring shipmates and that of their families.

This week I will have the opportunity to lay to rest a Pearl Harbor survivor. When I look back on my military career, this will be a moment that I remember because the men and woman that fought in that era ensured not only the future for the United States during WWII, but also for future Americans. I will speak to my sons about this event because they are not only American but also Japanese.

This Friday, a date known to many as "Pearl Harbor Day," we will honor Mr. Manning, a Pearl Harbor vet. Mr. Manning lived to see one of our greatest adversaries become one of our nation’s greatest allies and we will remember him and his service with honors, customs and traditions that have been a part of Navy culture for centuries.

During his funeral service, the Honor Guard will perform many ceremonies that embody Navy’s core values – Honor, Courage and Commitment, but the best representation of these values is signified in the handling, folding and display of the American flag. A United States flag drapes the casket of deceased veterans to honor the memory of their service to the country. The ceremonial folding and presentation of the flag is a moving tribute of lasting import to the veteran’s family.

The flag placement over the closed casket is also symbolic; the union blue field is at the head and over the left shoulder of the deceased.

After Taps is played, the flag is carefully folded into the symbolic tri-cornered shape. On the outside looking in, most people only witness the flag being folded but each fold is different and has a particular meaning.

After the flag is completely folded and tucked in, it takes on the appearance of a cocked hat, ever reminding us of the soldiers who served under General George Washington and the Sailors and Marines who served under Captain John Paul Jones, who were followed by their comrades and shipmates in the Armed Forces of the United States. The flag is finally presented as a keepsake to the next of kin or a family member to remind them how their Sailor’s service preserved for us the rights, privileges and freedoms we enjoy today.

It is for this reason we honor our fallen. To ensure final honors are given to our comrades in arm a carried out with dignity.

U.S. SECRETARY OF STATE CLINTON'S STATEMENT ON REDUCTION OF IRANIAN CRUDE OIL PURCHASES

Much of the sediment clouding the water in this image of the Persian Gulf is from the Shatt al Arab River, which enters the Gulf in the north along the Iran-Iraq border. The river drains the combined waters of the Euphrates and Tigris Rivers of Iraq, and the Karun River of Iran. Though other rivers empty into the Persian Gulf, most of its fresh water comes from the Shatt al Arab. On the right edge of the image is the narrow Strait of Hormuz, which connects the Persian Gulf to the Arabian Sea, part of the northern Indian Ocean. The Persian Gulf is flanked to the west by wedge-shaped Kuwait and by Saudi Arabia with its vast tan-, pink-, and white-sand deserts; to the south by Qatar, the United Arab Emirates, and Oman; and to the east by the dry mountains of Iran. The wetlands and rivers of Mesopotamia border the Gulf on the north. The red dots mark gas flares in oil fields of Iran and Iraq. Image courtesy of NASA. From: CIA World Factbook.

FROM: U.S. STATE DEPARTMENT

Regarding Significant Reductions of Iranian Crude Oil Purchases
Press Statement
Hillary Rodham Clinton
Secretary of State
Washington, DC
December 7, 2012


The United States and the international community remain committed to maintaining pressure on the Iranian regime until it fully addresses concerns about its nuclear program. That’s why today I am pleased to announce that China, India, Malaysia, Republic of Korea, Singapore, South Africa, Sri Lanka, Turkey, and Taiwan have again qualified for an exception to sanctions outlined in Section 1245 of the National Defense Authorization Act (NDAA) for Fiscal Year 2012, based on additional reductions in the volume of their crude oil purchases from Iran. As a result, I will report to the Congress that exceptions to sanctions pursuant to Section 1245 of the NDAA for certain transactions will apply to the financial institutions based in these countries for a potentially renewable period of 180 days.

A total of 20 countries and economies have continued to significantly reduce the volume of their crude oil purchases from Iran. According to the latest U.S. Energy Information Administration report to Congress, Iran’s oil production fell by one million barrels per day in September and October 2012, compared to the same period in 2011. This has reduced Iran’s export volumes and oil revenues, which fund not only the nuclear program but its support for terror and destabilizing actions in the region. The message to the Iranian regime from the international community is clear: take concrete actions to satisfy the concerns of the international community through negotiations with the P5+1, or face increasing isolation and pressure.

HUMAN ACTIVITY IS DRIVING SPREAD OF DISEASES



American robins play a key role in the spread of West Nile virus.  Credit:  NSF.

FROM: NATIONAL SCIENCE FOUNDATION
Emerging Vector-Borne Diseases Create New Public Health Challenge
Land-use change, globalization of trade and travel, and social upheaval drive emergence of diseases
Human activities are advancing the spread of vector-borne, zoonotic diseases such as West Nile virus, Lyme disease and dengue fever, report scientists publishing a series of papers today in the journal The Lancet.

Vector-borne zoonotic diseases result from disease-causing agents or pathogens that naturally infect wildlife, and are transmitted to humans by carriers such as mosquitoes and ticks. In short, they're diseases transmitted between animals and humans.

Widespread land-use change, globalization of trade and travel, and social upheaval are driving the emergence of zoonotic diseases around the world, said biologist Marm Kilpatrick, who studies the ecology of infectious diseases at the University of California, Santa Cruz.

Kilpatrick co-authored one of several papers in The Lancet, along with Sarah Randolph of the University of Oxford. The Lancet papers are part of a special series in the journal focused on emerging zoonotic diseases.

"Increasing human population, and the urbanization and agricultural intensification of landscapes, put strong selective pressure on vector-borne pathogens to infect humans--and to be transmitted by vectors and hosts that live around humans," Kilpatrick said.

"Humans are altering the environment and moving ourselves and other organisms around the globe at an ever-increasing pace," said Sam Scheiner, a program director for the Ecology and Evolution of Infectious Diseases (EEID) program at the National Science Foundation. "Our fast-track has led to a growing disease threat."

EEID is a joint effort with NSF and the National Institutes of Health. At NSF, the Directorate for Biological Sciences and Directorate for Geosciences fund the program.

EEID funded much of the research discussed in The Lancet papers. "These papers show how and why zoonotic diseases are emerging, and what we need to know to ease the disease burden," said Scheiner.

The papers "offer a bridge between ecologists and clinicians whose combined efforts are needed to address the ongoing challenges of emerging zoonotic diseases," said Kilpatrick.

Added scientist Peter Daszak, president of the EcoHealth Alliance in New York City and author of a paper in the series, "Pandemic zoonoses such as SARS, Ebola and HIV/AIDS are devastating when they emerge. What this series shows is that we have new ways of predicting their origins, of discovering them even before they reach our population--truly a brave new world for pandemic prevention."

There are roughly two types of emerging infectious diseases: introduced and locally emerging.

Introduced diseases arise from the spread of a pathogen to a new location, as when West Nile virus arrived in New York in 1999 and subsequently spread across North America.

Locally emerging diseases increase in importance in areas where they are endemic, as with Lyme disease in the United States during the past three decades.

These two types of emerging diseases can differ markedly with respect to infection dynamics or the number of cases over time, Kilpatrick said.

"Introduced diseases often cause a big spike in infections, and then decrease substantially. Locally emerging diseases often show a steady, sustained rise."

The movement of pathogens by global trade and travel results in the emergence of diseases in new regions.

Once established, introduced pathogens often evolve to take advantage of their new environments, including new hosts and vectors.

With much of the landscape shaped by human activities, pathogens may thrive by infecting hosts and vectors that do well in man-made environments.

Emergence of endemic vector-borne diseases can result from changes in land use, such as movement of people into new habitats, or environmental changes that affect wild animals that serve as natural hosts--and the insect vectors that spread the disease to humans.

Although vector-borne diseases are sensitive to climate, climate change does not appear to be a major driving force behind emerging diseases.

"So far, climate change has been a relatively minor player compared to land use and socioeconomic factors in the emergence of vector-borne disease," Kilpatrick said.

Social and economic changes, ranging from economic downturns to displacement of populations by armed conflict, frequently precipitate disease outbreaks through their effects on public health systems, sanitation systems, behavioral patterns and uses of natural environmental resources.

The incidence of any vector-borne disease involves a complex interplay of multiple factors affecting animal hosts, vectors and people.

Kilpatrick and Randolph emphasize that control of these diseases requires combined efforts by clinicians and public health officials to treat patients; promote behavior likely to minimize the risk of infection; and advise on efforts to reverse the ecological drivers of transmission through vector control, urban planning and ecological restoration.

The Lancet papers are published ahead of a special 20th anniversary symposium to be held on Dec. 11 and 12, 2012, in Washington, D.C.

The symposium is hosted by the National Academies' Institute of Medicine's Forum on Microbial Threats. The symposium will take a retrospective look at the Institute of Medicine's 1992 report on Emerging Infections and its 2003 report on Microbial Threats to Health, as well as its creation of the forum in 1996.

KYRGYSTAN: "THE PREMIER DEMOCRACY IN CENTRAL ASIA"

The Tien Shan Mountains.  From:  CIA World Factbook.

 
FROM: U.S. DEPARTMENT OF STATE

Press Availability with Kyrgyz Republic Media
Remarks
Wendy Sherman
Under Secretary for Political Affairs
Bishkek, Kyrgyzstan
November 30, 2012

Undersecretary Sherman: Thank you all for being here today. I am very honored and delighted to have been in Kyrgyzstan today and had a series of meetings including with the former President, with the current President, with the Prime Minister, and with members of civil society. Also in these meetings the Foreign Minister, the head of the Defense Council and other officials were present.

The United States wants to make sure that the spotlight is on the premier democracy in Central Asia. Kyrgyzstan is a young democracy and has made much progress in a very short period of time. All of the leaders with whom I met today expressed their desire to make more progress. Even in the United States which is a democracy over 200 years old, we are still perfecting our democracy.

The United States also greatly appreciates Kyrgyzstan’s work in partnership with us to bring security and stability and economic development to Afghanistan and to all of Central Asia. I am very grateful for all of the excellent dialogue that I have had today and I return to the United States with many ideas about how to further strengthen our relationship. I’m delighted that Ambassador Spratlen is here to follow up on all that she and I heard today.

I’m delighted to take your questions.

Map:  Kyrgystan.  Credit:  CIA World Factbook.

 
Media: [Through the Interpreter]. What was the outcome of your meeting today with President Atambayev?

Undersecretary Sherman: I had an excellent conversation with your President. We had a very far-ranging discussion. Everything from the development of this democracy to the economic needs of the country to the partnership with the United States, with our ongoing work together in the region and in the world.

Media: [Through the Interpreter]. To what extent United States is committed to the idea of the New Silk Road and the role of Manas Airport in it?

Undersecretary Sherman: Thank you for raising this question. The United States is very committed to an enduring relationship and presence in Central Asia to work in partnership with Kyrgyzstan and other countries to help with economic development for the people of Central Asia. The New Silk Road is a concept of building networks and trade and development across borders that will benefit everyone. Kyrgyzstan is a very active member of the effort to make this vision real.

One small example was a Women’s Economic Symposium that was hosted here in Bishkek last year. As a result of that literally well over 100 small and medium young entrepreneurs have gotten underway.

As far as the transit center at Manas, we are very grateful that Kyrgyzstan has supported an agreement for this transit center to continue to operate through the 2014 length of the agreement. Not only has it been critical to our effort in Afghanistan, but it has also I believe brought benefit to the people of Kyrgyzstan, both in the fees we pay, the jobs it provides, and the acquisition of local products to operate the center. We have helped to build infrastructure that will belong to Kyrgyzstan for years to come.

Media: [Through the Interpreter]. I have two questions. The first question is about are the United States planning to donate to Kyrgyzstan part of the military or equipment after withdrawal of troops from Afghanistan in 2014?

The second question is are the United States planning to provide military assistance to Kyrgyzstan? And what would that military assistance be?

Undersecretary Sherman: I think in the first question you’re referring to what we call excess military equipment. No decisions have been made about that and it’s really premature to discuss that, but it is certainly a discussion that we can have with Kyrgyzstan is there is something that’s appropriate and makes sense. When we do donate excess military equipment it is only non-lethal equipment.

As for military assistance, there is no plan at this time as regards military assistance.

Media: [Through the Interpreter]. My question is related to the son of ex-President Bakayev and we know the United States has been pressing criminal charges against him. Are there any developments in the efforts to extradite him from London?

Undersecretary Sherman: Let me add one thing to the previous question which I wasn’t fully aware of. We do have an Office of Military Cooperation here where we do provide some training and assistance in that regard. So there is an ongoing effort with Kyrgyzstan.

As to your question regarding Maxim Bakayev, the U.S. Department of Justice has a criminal case against him based on his alleged violation of U.S. laws. This is about a specific violation within our jurisdiction and it is strictly a law enforcement issue.

Media: [Through the Interpreter]. Lately we have been having very intensive economic relations between the Kyrgyz Republika and the Russian Federation. With regards to that I would like to ask, several years ago Assistant Secretary Boucher announced the construction of the CASA 1000 project which meant construction of electric power transmission lines in the direction of India and Pakistan. Would you please update us on the development in this area? Because it seems like the regional cooperation has been going horizontal rather than vertical towards those countries, and that in general, could you please give us more information about the economic relations between our countries? Do you envision any large projects coming?

Undersecretary Sherman: My understanding is that Kyrgyzstan very much supports the CASA 1000 project, and that it is moving forward. We are very glad for it because we think it’s a very good example of north/south cooperation. I think these are exactly the kinds of projects that will be integral to the New Silk Road and to ensuring that there is connectivity throughout the region that allows for increased trade, the development of more jobs, and so that young people are assured of a good and prosperous and stable future.

And let me add that we welcome everyone’s investment in Central Asia and in Kyrgyzstan because if it helps develop the country and creates a strong and vibrant democracy with a strong middle class, that will be good for the people of Kyrgyzstan, that will be good for the United States of America to have a strong and vibrant democracy here in Central Asia.

Media: [Through the Interpreter]. There is some information that Russia is joining the project CASA 1000 and I would like to make sure that is it true that’s what good for the region is good for the United States? Is it the same way, what’s good for Russia is good for the United States?

Undersecretary Sherman: Well, that’s probably not always the case but my understanding is that Russia has expressed support for the project and we welcome conversation and we welcome participation. To create north/south connectivity for the region is good for everyone.

Media: [Through the Interpreter]. I know that prior to your visit our administration President’s office has been saying that there might be negotiations about the transit center. Could you give us a little more specifics about which direction the developments could take?

A second question is President Atambayev since his presidency has never been in the United States and has he made an intention to or did he share his plans with you?

Undersecretary Sherman: I think that what I should say about all of this is that we would always welcome of course President Atambayev to come to the United States and just as I’m sure that the President would welcome our President here as well. All presidents have very difficult schedules so we will leave it to them to figure out what they are able to do.

I know you had another part of your questions -- about the transit center.

We greatly appreciate that the President and your country have made a commitment to the transit center to 2014. We will work out together what makes sense into the future. Right now that’s hypothetical. I’m sure that we will all come to an agreement that works first and foremost for Kyrgyzstan.

Media: [Through the Interpreter]. Repeating the question about Maxim Bakayev. Will the United States insist on Maxim Bakayev’s extradition?

Undersecretary Sherman: We have made a request for his extradition. This is a long process. We do have an extradition with the United Kingdom. If we do indeed, he does arrive in the United States at some point he will of course go through our judicial system with all of our appeals. It will also take some time. So there is a long path ahead here, but as I said, we have alleged concerns. This is a Department of Justice matter about a specific violation and we will be following through as we do in our justice system.

Media: [Through the Interpreter]. Did you discuss anything specific with the Secretary of Security Council?

Undersecretary Sherman: No.

Media: [Through the Interpreter]. It’s more for like a personal question. We’ve seen many times how the way Richard Blake travels --

Undersecretary Sherman: Robert.

Media: [Through the Interpreter]. -- as an economy class passenger. He picks up his luggage himself in a very democratic manner. I wanted to check whether you follow the same standards? And in general, are there any VIP [inaudible] for the U.S. officials?

Undersecretary Sherman: We all work very very hard as do I think diplomats in every single country. I am fortunate as an Undersecretary I can get a business class seat. Particularly because when I’m going to walk into a meeting. If I’m on a short distance, however, in the United States, I fly economy class as well. Any place in the United States I fly economy class. So when I’m going on a long distance trip and I have to get off an airplane and walk right into a meeting, then I can fly business class because of my rank. But yes, I carry my own bags. I never check bags because I don’t want them to get lost on an airplane. And for those of you who are women, I always, even if I’m traveling for two weeks, I only take a carry-on suitcase because I’m going to probably be in a different country every single day and nobody’s going to know what I’m going to wear. So I will get bored with my clothes, but I’ll still have only a carry-on suitcase. That’s just something we do.

The other thing is, we work all of the time. On this particular trip I left on a Saturday, I will return on a Saturday. So most of the time my weekends are spent on airplanes. In this one week I’ve been in four countries and five cities in one week.

Media: [Through the Interpreter]. What was the reason for Blake’s [inaudible]?

Undersecretary Sherman: My understanding is that your Foreign Minister had a scheduling conflict with the Organization of Islamic Conference which is certainly a very appropriate reason to reschedule the ABDs. I don’t, there’s no issue here whatsoever. We all have very demanding schedules. We are all juggling our schedules all of the time. And we certainly understand and we have absolutely no question whatsoever that it will be rescheduled and we will continue our very close annual bilateral consultations. Thank you.

　

Kyrgyzstan Locator Map.  Credit:  CIA World Factbook.

ADDITIONAL INFORMATION FROM CIA WORLD FACTBOOK

A Central Asian country of incredible natural beauty and proud nomadic traditions, most of Kyrgyzstan was formally annexed to Russia in 1876. The Kyrgyz staged a major revolt against the Tsarist Empire in 1916 in which almost one-sixth of the Kyrgyz population was killed. Kyrgyzstan became a Soviet republic in 1936 and achieved independence in 1991 when the USSR dissolved. Nationwide demonstrations in the spring of 2005 resulted in the ouster of President Askar AKAEV, who had run the country since 1990. Subsequent presidential elections in July 2005 were won overwhelmingly by former prime minister Kurmanbek BAKIEV. Over the next few years, the new president manipulated the parliament to accrue new powers for himself. In July 2009, after months of harassment against his opponents and media critics, BAKIEV won re-election in a presidential campaign that the international community deemed flawed. In April 2010, nationwide protests led to the resignation and expulsion of BAKIEV. His successor, Roza OTUNBAEVA, served as transitional president until Almazbek ATAMBAEV was inaugurated in December 2011. Continuing concerns include: the trajectory of democratization, endemic corruption, poor interethnic relations, and terrorism.

THE MAGNETIC FIELDS OF EARTH AND MARS

FROM: NASA

Comparing Magnetic Fields on Earth and Mars
This animation compares the magnetic fields on Earth and Mars. The Earth has a large-scale planetary magnetic field that can protect it from space weather and other hazards. Mars, on the other hand, only has small pockets of magnetic fields scattered around the planet.

RECENT U.S. NAVY PHOTOS

FROM: U.S. NAVY
121207-N-TC587-044 MAYPORT, Fla. (Dec. 7, 2012) Navy Seaman First Class Duane Reyelts, a survivor of the Dec. 7, 1941 Japanese attack on Pearl Harbor, tosses flowers off the side of the guided-missile frigate USS De Wert (FFG 45) during a Pearl Harbor Day ceremony. The ceremony commemorated the anniversary of the Dec. 7, 1941 Japanese attack on Pearl Harbor. (U.S. Navy photo by Mass Communication Specialist 3rd Class Damian Berg/Released)

A bugler plays Echo Taps at the 71st Anniversary Pearl Harbor Day Commemoration. More than 2000 guests, including Pearl Harbor survivors and other veterans, attended the National Park Service and U.S. Navy-hosted joint memorial ceremony at the World War II Valor in the Pacific National Monument. This year's theme focused on "Coming of Age - From Innocence to Valor." U.S. Navy photo by Mass Communication Specialist 3rd Class Dustin W. Sisco (Released) 121207-N-XD424-204

Rating the red wine supplement

Rating the red wine supplement

RECENT U.S. NAVY PHOTO

FROM: U.S. NAVY

121207-N-WF272-107 PEARL HARBOR (Dec. 7, 2012) The Los Angeles-class attack submarine USS Tucson (SSN 770) conducts a pass-in-review by the USS Arizona Memorial during the 71st Anniversary Pearl Harbor Day Commemoration ceremony at the Pearl Harbor Visitor Center. More than 2000 guests, including Pearl Harbor survivors and other veterans, attended the National Park Service and U.S. Navy-hosted joint memorial ceremony at the World War II Valor in the Pacific National Monument. This year's theme focused on "Coming of Age - From Innocence to Valor." (U.S. Navy Photo by Mass Communication Specialist 3rd Class Diana Quinlan/Released)

Intervention at the OSCE Ministerial Council First Plenary Session

Intervention at the OSCE Ministerial Council First Plenary Session

Remarks With First Minister of Northern Ireland, Peter Robinson and Deputy First Minister of Northern Ireland, Martin McGuinness

Remarks With First Minister of Northern Ireland, Peter Robinson and Deputy First Minister of Northern Ireland, Martin McGuinness

U.S. DOL SUES TO RECOVER EMPLOYEE LOSSES IN STOCK OWNERSHIP PLAN

FROM: U.S. DEPARTMENT OF LABOR

US Labor Department sues to recover losses to employee stock ownership plan of Rembar Inc.

NEW YORK — The U.S. Department of Labor has filed a lawsuit to recover losses suffered by participants in the Rembar Inc. Employee Stock Ownership Plan after the plan allegedly was allowed to purchase overvalued company stock. The suit names as defendants Rembar owner and CEO Frank Firor and First Bankers Trust Services Inc., which was hired as an independent fiduciary and trustee in connection with the company's newly formed plan. The plan is also a defendant.

"Employee Retirement Income Security Act fiduciary duties are the highest standard of care known to the law and apply to those who manage employee benefit plans," said Jonathan Kay, regional director of the Labor Department's Employee Benefits Security Administration's New York Regional Office. "The department remains committed to ensuring that fiduciaries work solely in the interest of plan participants and beneficiaries."

The suit alleges that, in June 2005, First Bankers Trust Services allowed the plan to purchase 100 percent of the company's stock from Firor and Firor's relatives for $15.5 million. An investigation by EBSA determined that First Bankers Trust Services failed to comply with its duty to understand the valuation report that set the purchase price, identify and question assumptions in the report, and verify that the conclusions in the report were consistent with the company's financial data. As a result of First Bankers Trust Services' failure to comply with its fiduciary duties, the plan overpaid for the stock and suffered losses.

The suit seeks, among other things, to recover jointly from First Bankers Trust Services and Firor all losses suffered by the plan.

Rembar Inc. is engaged in the distribution and manufacturing of precision parts made from refractory metals. The suit was filed in the U.S. Court for the Southern District of New York and is being litigated by the department's Regional Office of the Solicitor in Manhattan. The suit is based on an investigation conducted by EBSA's New York Regional Office.

PROVIDING TROOP SERVICES IN AFGHANISTAN

Army Sgt. 1st Class Andrew Currier, left, and Navy Petty Officer 3rd Class Anthony McRoberts work in the Kandahar Provincial Reconstruction Team's personnel section to provide much-needed services to troops based at Camp Nathan Smith in Kandahar City, Afghanistan. U.S. Army photo by Staff Sgt. Jeff Neff

FROM: U.S. DEPARTMENT OF DEFENSE

Face of Defense: Soldier, Sailor Provide Troop Services

By Army Staff Sgt. Jeff Neff
Provincial Reconstruction Team Kandahar

KANDAHAR CITY, Afghanistan, Dec. 7, 2012 - Day-to-day operations at Camp Nathan Smith here wouldn't be the same without Army Sgt. 1st Class Andrew Currier and Navy Petty Officer 3rd Class Anthony McRoberts.

The duo work diligently behind the scenes in the Kandahar Provincial Reconstruction Team's personnel section as they provide much-needed services to KPRT members.

There isn't much that happens without their involvement, from personnel rosters and daily tracking to service members' finances, awards, and promotions.

When the mail arrives, soldiers and sailors wait patiently outside while Currier and McRoberts drive over and get it. Mail is an issue near and dear to all and serves as the lifeline from family members to the troops.

McRoberts, who's been in the Navy for two years, was born in Colorado Springs, Colo., and hails from Midland, Mich. He is based at Naval Air Station Coronado in San Diego on the USS Ronald Reagan. He plans to complete his bachelor's degree in information systems management.

McRoberts concurrently works as a Counter Radio Electronic Warfare Master Gunner. Being a CREW Master Gunner consists of radio frequency engineering for electronic warfare jamming systems involving reacting to and countering radio-controlled explosives.

Texas-born Currier is from San Antonio and now calls Newport News, Va., home. He is an Army reservist from the 450th Civil Affairs Battalion (Airborne) and has been in the Army for 22 years.

Currier served in a variety of duty positions, starting as a combat medic in the 1st Cavalry Division. He later served at the Walter Reed Army Institute of Research and then deployed to Iraq where he was in charge of a military police aid station.

Currier would later deploy to Kosovo where he served as first sergeant in a civil affairs detachment.

The Kandahar Provincial Reconstruction Team is a civil-military organization consisting of U.S. Navy and Army active-duty and reserve members who conduct operations to support the growth in capacity and capability of the Kandahar provincial government. KPRT works closely with other military units, civilian agencies, contractors and nongovernmental organizations to support the Afghan government's progress toward sustainable stability.

A NEW READY-TO-EAT MEAT AND POULTRY PRODUCT ADULTERANT TESTING POLICY

Photo Credit:  USDA

FROM: U.S. DEPARTMENT OF AGRICULTURE

Consumers, Industry Benefit under FSIS Hold and Test Implementation

WASHINGTON, December 7, 2012 – The U.S. Department of Agriculture's (USDA) Food Safety and Inspection Service (FSIS) today announced that, beginning in 60 days, the Agency will require producers to hold shipments of non-intact raw beef and all ready-to-eat products containing meat and poultry until they pass Agency testing for foodborne adulterants.

"This new policy will reduce foodborne illnesses and the number of recalls by preventing contaminated products from reaching consumers," USDA Under Secretary for Food Safety Dr. Elisabeth Hagen said. "Many producers hold products until test results come back. We're encouraging others in the industry to make this a routine part of operations."

The new policy requires official establishments and importers of record to maintain control of products tested for adulterants by FSIS and not allow the products to enter commerce until negative test results are received. FSIS anticipates most negative test results will be determined within two days. The policy applies to non-intact raw beef products or intact raw beef products intended for non-intact use and that are tested by FSIS for Shiga-toxin producing Escherichia coli. Also, the policy applies to any ready-to-eat products tested by FSIS for pathogens.

FSIS developed the "hold and test" policy, which will reduce consumer exposure to unsafe meat products, based on public comment and input received on a Federal Register notice published in April 2011. FSIS estimates if this new requirement had been in place between 2007 through 2010, 49 of the 251 meat, poultry and processed egg product recalls that occurred during that time could have been prevented.

The notice will be posted shortly on the FSIS website at http://www.fsis.usda.gov/regulations_&_policies/
Federal_Register_Notices/index.asp and will be available at www.regulations.gov once it is published.


Today's announcement is the latest significant public health measure FSIS has put in place during this Administration to safeguard the food supply, prevent foodborne illness, and improve consumers' knowledge about the food they eat. These initiatives support the three core principles developed by the President's Food Safety Working Group: prioritizing prevention; strengthening surveillance and enforcement; and improving response and recovery. Other actions taken by the USDA include:
Zero-tolerance policy for non-O157:H7 STECs. On June 4, 2012, FSIS began routinely testing raw beef manufacturing trim for six strains of non-O157:H7 Shiga-toxin producing E. coli (STEC) serogroups. Trim found to be contaminated with these pathogens, which can cause severe illness and even death, will not be allowed into commerce and will be subject to recall.
Labeling requirements that provide better information to consumers about their food by requiring nutrition information for single-ingredient raw meat and poultry products and ground or chopped products.
Public Health Information System, a modernized, comprehensive database with information on public health trends and food safety violations at the nearly 6,100 plants FSIS regulates.
Performance standards for poultry establishments for continued reductions in the occurrence of pathogens. After two years of enforcing the new standards, FSIS estimates that approximately 5,000 illnesses will be prevented each year under the new Campylobacter standards, and approximately 20,000 illnesses will be prevented under the revised Salmonella standards each year.

Frontlines and Frontiers: Making Human Rights a Human Reality

Frontlines and Frontiers: Making Human Rights a Human Reality

Weekly Address: Congress Must Extend the Middle Class Tax Cuts | The White House

Weekly Address: Congress Must Extend the Middle Class Tax Cuts | The White House

SEC CHARGES LAWYER WITH ISSUING FRAUDULENT OPINION LETTERS REGARDING ISSUANCE OF MICROCAP STOCK

FROM: U.S. SECURITIES AND EXCHANGE COMMISSION

Washington, D.C., Dec. 7, 2012 — The Securities and Exchange Commission today announced charges against a Florida-based securities lawyer for issuing fraudulent attorney opinion letters that resulted in more than 70 million shares of microcap stock becoming available for unrestricted trading by investors.

An attorney opinion letter is required from a licensed and duly authorized securities lawyer in order to facilitate the transfer of restricted microcap shares on the over-the-counter markets. In April 2010, the Pink Sheets (now OTC Markets Group) banned Guy M. Jean-Pierre of Pompano Beach, Fla., from issuing attorney opinion letters due to "repeated missing information and inconsistencies" about the issuers and his lack of due diligence in his past letters.

The SEC alleges that Jean-Pierre has since engaged in a scheme to continue writing and issuing attorney opinion letters in the name of his niece by applying her signature without her consent. Jean-Pierre (also known as Marcelo Dominguez de Guerra) sought to evade the ban by forming a new company called Complete Legal Solutions and misrepresenting that his niece was conducting the legal work that was allegedly performed.

"Securities lawyers are trusted gatekeepers in the issuance of stock, and it is particularly offensive when attorneys like Jean-Pierre blatantly break the rules and commit fraud," said Andrew M. Calamari, Director of the SEC’s New York Regional Office. "The SEC is committed to punishing offenders like Jean-Pierre as we continue to root out the enablers of microcap fraud in our markets."

According to the SEC’s complaint filed late yesterday in U.S. District Court for the Southern District of New York, Jean-Pierre hatched a plan within two weeks of his ban to continue issuing attorney opinion letters through Complete Legal and his niece’s identity. Jean-Pierre’s niece, a licensed attorney herself, was looking for work at the time. Jean-Pierre told his niece about his work issuing attorney opinion letters and offered to pay her to assist him. He suggested they form Complete Legal and asked her to send him three copies of her signature and a copy of her driver’s license. Jean-Pierre’s niece complied with his requests with the understanding this information was needed to incorporate Complete Legal. Afterwards, Jean-Pierre never requested that his niece do any legal work at Complete Legal and she was not compensated for any such work.

Instead, the SEC alleges that Jean-Pierre used the new company and his niece’s identity to continue his prior practice of issuing attorney opinion letters. Each of these letters contained fraudulent statements and falsely represented his niece as the signatory. Jean-Pierre’s niece did not write any of the letters and did not make the representations concerning the issuers. Jean-Pierre fabricated attorney opinion letters on Complete Legal letterhead for at least 11 companies that traded publicly on the Pink Sheets. Certain letters resulted in Pink Sheet issuers being granted the improved status of having adequate current information in the public domain under Rule 144(c)(2) of the Securities Act of 1933. This status kept the issuers from being tagged on the Pink Sheets’ website with a red "STOP" sign near its ticker symbol with the moniker of "OTC Pink No Information" and a large warning that the company "may not be making material information publicly available."

According to the SEC’s complaint, adequate current public information about an issuer must be available for certain selling security holders to comply with the Rule 144 safe harbor allowing companies to issue unregistered securities pursuant to Section 4(1) of the Securities Act. Jean-Pierre falsely issued letters bearing his niece’s signature to transfer agents opining that restrictive legends could be legally removed from either pre-existing stock certificates or newly issued stock certificates pursuant to Rules 144 or 504 of the Securities Act.

The SEC’s complaint alleges that Jean-Pierre violated Section 17(a) of the Securities Act and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5. The SEC is seeking disgorgement of ill-gotten gains with prejudgment interest and financial penalties, a permanent injunction, and a bar from participating in the offering of any penny stock pursuant to Section 20(g) of the Securities Act.

The SEC’s investigation, which is continuing, has been conducted by Megan Genet and Steven G. Rawlings in the New York Regional Office. Todd Brody, Barry Kamar, and Ms. Genet are handling the SEC’s litigation.

ARMY GEN. DEMPSEY'S ETHICS RECOMMENDATIONS PRESENTED TO PRESIDENT OBAMA

Army General Martin E. Dempsey

FROM: U.S. DEPARTMENT OF DEFENSE

Panetta Briefs President on Dempsey Ethics Findings
By Jim Garamone
American Forces Press Service

WASHINGTON, Dec. 7, 2012 - Defense Secretary Leon E. Panetta has briefed President Barack Obama on Army Gen. Martin E. Dempsey's recommendations about general/flag officer ethics, Pentagon Press Secretary George Little said today.

The chairman of the Joint Chiefs of Staff presented two initial findings that Panetta took to the White House earlier this week.

Dempsey sent the secretary some initial findings "informed as a result of his year-long effort to renew the U.S. military's commitment to the profession of arms," Little told reporters.

The findings are part of the review of general and flag officer ethics training. As part of this effort, Panetta asked Dempsey to work with the Joint Chiefs to determine how to better foster a culture of stewardship among senior U.S. military leaders.

The first finding is that while there is appropriate ethics training in place for senior leaders, "we need to start earlier and reinforce that training more frequently in an officer's career," Little said. Ethics training is a part of each service's professional military education from initial entry training to general/flag officer education.

"Second, General Dempsey believes we must look at the level and type of support senior leaders receive in the execution of their duties to ensure it is necessary, and to ensure we are being consistent, sensible and efficient," Little said.

The chairman's intent is to direct consistency of support across the general officer/flag officer cadre and to determine whether it is appropriate, the press secretary said.

"What we're talking about here is the personnel infrastructure surrounding general and flag officers," Little said. There are different types of support that general and flag officers receive. For example, generals in command have an aide-de-camp, which is one level of support. They often have additional staff to help with more routine activities.

Little said the findings are an initial set of recommendations, and part of a long-term effort by the chairman.

"The secretary fully supports what Chairman Dempsey has done over the last year with respect to the profession of arms and this is going to be an on-going dialogue inside the Joint Chiefs and services," Little said. "We will see an evolution of discussion and potential actions depending on what General Dempsey, the chiefs and the secretary decide going forward."

Little said Dempsey has not reached conclusions on ethics training or support to senior military officers.

"The secretary is committed to giving the chairman and the chiefs the space they need to come forward with recommendations and to take actions on their own that may be appropriate for ethics for general and flag officers," the press secretary said.

Panetta strongly believes the vast majority of general and flag officers behave in a manner consistent with the highest standards of conduct, Little said.

COURT PERMANENTLY BARS DEFENDANTS FROM COMMODITIES INDUSTRY

FROM: U.S. COMMODITY FUTURES TRADING COMMISSION

Federal Court in New York Orders Defendants Forex Capital Trading Group, Forex Capital Trading Partners, and Highland Stone Capital Management to Pay over $1.8 Million for Fraud in Off-Exchange Foreign Currency Scheme

Washington, DC - The U.S. Commodity Futures Trading Commission (CFTC) today announced that Judge Katherine B. Forrest of the U.S. District Court for the Southern District of New York entered a default judgment and permanent injunction order against defendants Forex Capital Trading Group, Inc. (Forex Group), Forex Capital Trading Partners, Inc. (Forex Partners), both of New York, N.Y., and Highland Stone Capital Management, L.L.C. (Highland Stone) of Rutherford, N.J. The order requires these defendants to pay a civil monetary penalty of $1,352,293 and to disgorge $450,764 of ill-gotten gains for the benefit of defrauded customers. The order also imposes permanent trading and registration bans against the defendants and prohibits them from violating the Commodity Exchange Act and CFTC regulations, as charged.

The order stems from a CFTC anti-fraud enforcement action filed on July 27, 2011 against these three companies and their principals (see CFTC Press Release 6083-11, July 28, 2011). The order finds that Forex Group, Forex Partners, and Highland Stone fraudulently solicited 106 customers who invested more than $2.8 million to trade retail foreign currency (forex). In soliciting customers, the defendants falsely claimed, on their websites and elsewhere, that their forex trading for customers was profitable for a period of several years, the order finds. The defendants’ claims included a falsely reported customer gain of 51.94 percent in 2010, a year, in fact, in which their customers lost more than $1.2 million. Overall, customers lost more than 93 percent of their total invested principal through the defendants’ forex trading, the order finds.

The order also finds that the defendants distributed false account statements to prospective customers showing profitable trading and acted in capacities requiring registration with the CFTC, but were not registered.

The CFTC’s litigation is continuing against the principals of Forex Partners and Forex Group, namely Susan G. Davis of Jersey City, N.J., and David E. Howard II, of New York, N.Y., and against the principal of Highland Stone, Joseph Burgos, of Rutherford, N.J.

The CFTC appreciates the assistance of the U.K. Financial Services Authority in this matter.

CFTC Division of Enforcement staff members responsible for this action are Susan B. Padove, Joy McCormack, Elizabeth Streit, Michael Geiser, Janine Gargiulo, Scott Williamson, Rosemary Hollinger, and Richard B. Wagner.

INTERVIEW WITH EXPEDITION 34/35 FLIGHT ENGINEER TOM MARSHBURN

FROM:  NASA

ISS Update: Interview with Expedition 34/35 Flight Engineer Tom Marshburn

NASA Public Affairs Officer Kyle Herring conducts a telephone interview Dec. 3, 2012, with NASA astronaut and Expedition 34 Flight Engineer Tom Marshburn.

U.S. STATE DEPARTMENT OFFICIAL DISCUSSES SPACE SECURITY



  Deputy Assistant Secretary Frank Rose.  

FROM: U.S. STATE DEPARTMENT

Remarks: Strengthening Security in Space through Transparency and Confidence-Building Measures

Remarks
Frank A. Rose
Deputy Assistant Secretary, Bureau of Arms Control, Verification and Compliance
ASEAN Regional Forum Space Security Workshop
Hoi An, Vietnam
December 6, 2012


I am very pleased and honored to join you here today to discuss space security in such a beautiful location in one of the most dynamic and important regions in the world. I’d like to thank our hosts in the Vietnamese Ministry of Foreign Affairs, as well as the Australian Department of Foreign Affairs and Trade for organizing such an important and timely conference.

What is "space security?"

Before I discuss in depth the topic of this speech "transparency and confidence-building measures (TCBMs) and how they help strengthen the security and stability of the space environment", I’d like to first talk briefly about what "space security and stability" means.

Today, space systems are vital to the daily life and workings of every nation around the world and their peoples. Space systems enhance our national security, foreign policy, and global economic interests; they expand scientific knowledge; and they improve life on the ground through weather forecasting, environmental monitoring, and city planning. Yet for all that we depend on it, we face a number of challenges in the space arena, including orbital congestion, situational awareness, and collision avoidance, all of which require our focused attention and concerted efforts to address as they directly affect the security and stability of space.

Each of the nations here likely has a different interpretation of what "space security" means based principally upon each respective country’s national interests. Based on the U.S. National Space Policy and other Presidential guidance, as well as our obligations under the 1967 Outer Space Treaty and other international law, we in the United States associate "security" as it relates to space with the pursuit of those activities that ensure the sustainability, stability, and free access to, and use of, outer space in support of a nation’s vital interests. This interpretation is supported by long-standing principles of space law and including:
All nations have the right to explore and use space for peaceful purposes, and for the benefit of all humanity, in accordance with international law. Consistent with this principle, "peaceful purposes" allows for space to be used for national and homeland security activities.
The space systems of all nations have the rights of passage through, and conduct of operations in, space without interference. Purposeful interference with space systems, including supporting infrastructure, will be considered, in the U.S. view, an infringement of a nation’s rights.
Unless the international community adopts pragmatic and constructive measures in the near-term to avoid collisions and curb irresponsible behavior, the space environment around our planet will become increasingly hazardous to both human and robotic spaceflight. The United States and many nations around the world are pursuing a variety of unilateral, bilateral, and multilateral transparency and confidence-building measures to address these challenges and to strengthen long-term sustainability, stability, safety, and security in space.

What are TCBMs?

Today, the international community increasingly recognizes the usefulness of transparency and confidence building measures, or TCBMs, as a way to promote openness and to reduce tensions between nations, particularly in areas where misperceptions may exist. Additionally, while declarations of national intentions or pledges of responsible behavior in the future are certainly desirable, they may not be enough to reduce suspicions. To overcome mistrust requires building confidence between nations, which can only be achieved with transparency, openness, and predictability through such things as information-sharing and personal contact.

Confidence-building measures have been used successfully in bilateral, regional, and multilateral setting since the Cold War. For example, during the Cold War measures such as the "hot-line" agreement, data exchanges, and reciprocal visits between the United States and the Soviet Union helped ease tensions and reduce the risk of accidents. The United Nations and the international community have formally recognized the contributions of TCBMs to peace, security, and disarmament since the 1970s. The successful history of TCBMs in other areas, such as strategic nuclear and conventional forces, suggests that TCBMs can also make an important contribution in the space field.

TCBMS for Outer Space

Activities in space are often the source of uncertainty, suspicions, and mistrust, in part due to the frequently classified technologies and systems used by the military and intelligence organizations of spacefaring nations; the inherent difficulty in monitoring space related activities, deployments, and operations; and sometimes in attributing irresponsible behavior. As former UN Secretary General Boutros Boutros-Ghali said,

"To avoid conflicts based on misperceptions and mistrust, it is imperative that we promote transparency and other confidence-building measures – in armaments, in threatening technologies, in space and elsewhere."

Space-related TCBMs enable us to address critical areas such as orbital debris, space situational awareness, and collision avoidance, and through them help to increase familiarity and trust and encourage openness among space actors. Broad support for TCBMs also provides a foundation upon which the international community can build.

Ongoing TCBM Efforts

Currently there are a number of on-going efforts to establish multilateral TCBMs—the work of the UN Committee on the Peaceful Uses of Outer Space (UNCOPUOS), the study by the UN Group of Governmental Experts (GGE) on Space TCBMs, and the proposed International Code of Conduct for Outer Space Activities. Experts on all three of these efforts have already presented to you today, so I will just touch on them briefly.

While many approaches to ensuring stability in space come from the top down, there is great value in "bottom-up" approaches from experts and satellite operators, such as the work of the Working Group on Long-Term Sustainability of Space Activities of the Scientific and Technical Subcommittee of UNCOPUOS. This Working Group is a key forum for the international development of "best practices guidelines" for space activities. Many of the best practice guidelines addressed by this working group are integral to our efforts to pursue TCBMs that enhance sustainability in space.

A second multilateral TCBM effort currently being undertaken is the UN GGE study on Outer Space TCBMs, for which I serve as the U.S. expert. Under the able chairmanship of Victor Vasiliev of Russia, the Group of Governmental Experts offers a unique opportunity to advance international consensus on a the range of voluntary and non-legally binding TCBMs in space that have the potential to mitigate the dangers and risks in an increasingly contested and congested space environment. As part of its effort to draw upon as much expertise as possible, the GGE welcomes written recommendations from intergovernmental bodies, industry and private sector, civil society, and other UN Member States not already represented in the group. While the 15 members of the GGE may not reach consensus to endorse all TCBMs proposed by UN Member States and NGOs, I believe the GGE can produce a substantial list of voluntary, pragmatic TCBMs that work to solve concrete problems and enhance the stability and security of the space environment for all spacefaring nations.

Perhaps one of the most beneficial ways to promote responsible behavior in space could be the adoption of "rules of the road." In that vein, the European Union is leading efforts to develop an International Code of Conduct for Outer Space Activities, the third multilateral effort. An International Code of Conduct, if adopted, would help prevent mishaps, misperceptions, and mistrust in space by establishing non-legally binding guidelines that reduce the hazards of accidental and purposeful debris-generating events. It would encourage all spacefaring nations to act responsibly in a space environment that is increasingly congested and contested. It would also address the challenge of collision avoidance by increasing the transparency of operations in space.

TCBMs can also be undertaken regionally, bilaterally, and unilaterally. Through panels, conversations, and tomorrow’s breakout session, this forum can be a great opportunity for creating confidence among nations in the Asia-Pacific region. Next week’s meeting of the Asia Pacific Regional Space Agency Forum, although civil in nature, also creates confidence between nations through information-sharing and cooperation on projects. Bilaterally, dialogues between nations on space security issues, the sharing of space policies and budgets, expert visits, military-to-military exchanges, and information exchanges on natural and debris hazards can all be effective TCBMs.

From a national perspective, we in the United States recognize the importance of space situational awareness in order to prevent collisions between satellites and/or other orbiting objects. As a result, we are seeking to improve our ability to share information on space objects with other space-faring nations as well as with industry partners. The United States also provides notifications to other governments and commercial satellite operators of potentially hazardous conjunctions between orbiting objects. To establish two-way information exchanges with foreign satellite operators and to facilitate the urgent transmission of notifications of potential space hazards, we are currently reaching out to space-faring nations and organizations to ensure that our Joint Space Operations Center, or JSpOC, has current contact information for both government and private sector satellite operations centers.

In Conclusion
As U.S. Secretary of State Hillary Clinton has said earlier this year:

"The long-term sustainability of our space environment is at serious risk. […] Unless the international community addresses these challenges, the environment around our planet will become increasingly hazardous to human spaceflight and satellite systems, which would create damaging consequences for all of us."

The international community is more reliant on space than ever and the long-term sustainability of our space activities is at serious risk. Accidents or irresponsible acts against space systems would not just harm the space environment, but would also disrupt services that the citizens, businesses, and nations around the world depend on.

Ensuring the long-term sustainability, stability, safety, and security of the space environment and protecting it for future generations are in the vital interests of the United States, the members of ASEAN, and the entire global community. To do this, however, we must overcome misperceptions and suspicions by taking a step-by-step approach to building confidence and creating understanding through TCBMs.

Thank you very much.

U.S. SMALL BUSSINESS ADMINISTRATION PROVIDES OVER $150 MILLION IN LOW-INTEREST DISASTER LOANS

Brooklyn, N.Y., Dec. 4, 2012 -- Local Red Hook business, Cornell Paper and Box Company, continues cleanup of boxes at the warehouse that was flooded during Hurricane Sandy. Business impacted by the storm may contact the Small Business Administration (SBA) for low-interest disaster loans at all New York State/FEMA disaster recovery centers and 18 SBA business recovery centers. Jocelyn Augustino/FEMA

FROM: U.S. SMALL BUSSINESS ADMINISTRATION
SBA Approves More than $150 Million in Disaster Loans

To Hurricane Sandy Survivors

WASHINGTON – A month after Hurricane Sandy devastated the East Coast, the U.S. Small Business Administration has approved more than $150 million in low-interest disaster loans to about 2,500 homeowners, renters and businesses in New York, New Jersey, Connecticut and Rhode Island.

"During the past month I’ve visited disaster centers and spoken with people who are struggling to reclaim communities and businesses that were devastated by Hurricane Sandy, and I was impressed by their determination to rebuild stronger," said SBA Administrator Karen G. Mills. "The SBA is there to support the long-term recovery of the disaster areas, and we will make sure that as many people as possible get the help they need to become whole again."

Through Thursday, the precise total was $156.56 million to 2,507 residents and businesses.
For more information about SBA disaster loans, visit www.sba.gov/sandy.

Tiffany: What $2,000 Means to My Family | The White House

Tiffany: What $2,000 Means to My Family | The White House

DESIGNATIONS OF GLOBAL TERRORISTS FOR "UNITY AND JIHAD" AND TWO LEADERS

A beach used by tourists west of Algiers.

FROM: U.S. DEPARTMENT OF STATE
Terrorist Designations of the Movement for Unity and Jihad in West Africa, Hamad el Khairy, and Ahmed el Tilemsi

Media Note
Office of the Spokesperson
Washington, DC
December 7, 2012

The Department of State has designated the Movement for Unity and Jihad in West Africa (MUJWA, also known by MUJAO), Hamad el Khairy, and Ahmed el Tilemsi, two of the organization’s leaders, as Specially Designated Global Terrorists under Executive Order (E.O.) 13224, which targets terrorists and those providing support to terrorists or acts of terrorism. As a result of the designation, all property subject to U.S. jurisdiction in which MUJWA, Khairy, or Tilemsi has any interest is blocked and U.S. persons are prohibited from engaging in any transactions with them or to their benefit.

In addition to today’s domestic designation under E.O. 13224, MUJWA is also listed by the United Nations 1267/1989 al-Qa’ida Sanctions Committee. The UN listing requires all member states to implement an assets freeze, a travel ban, and an arms embargo against MUJWA. The UN action demonstrates international resolve in eliminating MUJWA’s violent activities in Mali and the surrounding region.

MUJWA was created in September 2011 after members broke off from al-Qa’ida in the Islamic Maghreb (AQIM) in order to spread their activities into West Africa. MUJWA has been behind violent terrorist attacks and kidnappings in the region, including the October 2011 abduction of three aid workers from a refugee camp in western Algeria; a March 2012 suicide attack on a police base in Tamanrasset, Algeria, which wounded 23 people; and a June 2012 attack in Ouargla, Algeria, which killed one and injured three. MUJWA was also responsible for the April 2012 kidnapping of seven Algerian diplomats in Gao, Mali. Although three of the diplomats have since been released, MUJWA continues to make demands in exchange for the release of the remaining diplomats, and has threatened to kill the hostages if those demands are unmet.

Hamad el Khairy and Ahmed el Tilemsi are both founding leaders of MUJWA. Khairy has been involved in MUJWA’s kidnapping for ransom operations, personally claiming the group’s April 2012 abduction of Algerian diplomats, and has appeared in MUJWA videos to make threats against those who oppose the organization. Prior to his leadership role in MUJWA, Khairy was a member of AQIM, and was involved in planning terrorist operations against Mauritania in 2007. Tilemsi acts as MUJWA’s military head, and directly participated in the group’s October 2011 kidnapping of three aid workers in Algeria, which left two wounded by gunfire. Before joining MUJWA, Tilmesi was also affiliated with AQIM, and participated in that organization’s January 2011 abduction of two French nationals in Niamey, Niger.

U.S. NAVY ADM. WINNEFELD HONORS VETERANS OF PEARL HARBOR ATTACK

Navy Petty Officer 3rd Class Shelby Tucci plays Taps during a sunset ceremony at the USS Utah Memorial, Joint Base Pearl Harbor-Hickam, Hawaii, Dec. 6, 2012. The Utah was sunk during the surprise Japanese attack on Pearl Harbor on Dec. 7, 1941. Tucci is assigned to the Pacific Fleet Band. U.S. Navy Photo by Petty Officer 3rd Class Diana Quinlan

FROM: U.S. DEPARTMENT OF DEFENSE

Winnefeld Honors Pearl Harbor Veterans
By Claudette Roulo
American Forces Press Service
WASHINGTON, Dec. 7, 2012 - "What a wonderful idea America is," the vice chairman of the Joint Chiefs of Staff said today at the National World War II Memorial during the observance of the 71st anniversary of the Japanese attack on Pearl Harbor in Hawaii.

"On that now infamous day ... our nation learned in horror that Japanese forces had shattered a peaceful Hawaiian Sunday morning," Navy Adm. James A. Winnefeld Jr. said of the Dec. 7, 1941, surprise Japanese air attack on the U.S. naval base at Pearl Harbor, which killed more than 2,400 Americans and shattered a good portion of the U.S. Pacific fleet.

The more than 350 Japanese aircraft that took part in the attack were dispatched from six aircraft carriers. Nineteen U.S. ships were sunk or damaged. All eight of the U.S. Navy's battleships at Pearl Harbor were hit and four were sunk. Of the more than 300 American aircraft destroyed or damaged, most were still on the ground.

The attack shocked the nation "but it also stirred a quiet and peace-loving people to action," Winnefeld said.

More than 16 million service members fought in World War II, and the memorial's 4,048 gold stars represent the more than 400,000 service members who were killed or missing in action.

"This memorial is a very sacred place where we come to visit, to remember, to reflect and commemorate the defining moments of World War II," said Mick Kicklighter, a retired Army lieutenant general and chairman of the board for the Friends of the National World War II Memorial.

Veterans of World War II fought against great odds, Kicklighter said.

"Not only did they fight and win that war and save this nation, but they literally saved the world," Kicklighter said. "This nation will never forget ... those who gave all their tomorrows."

"Here on this sacred ground, we mark the price of freedom," Winnefeld said. "So, it's appropriate that the memorial honoring the service and sacrifice of so many in that conflict is our setting for today."

Today the U.S. military "is involved in another conflict half-a-world away, as the result of a different surprise attack on American soil that killed nearly 3,000 of our fellow Americans in one day," the admiral said, referring to the Sept. 11, 2001, attacks on the United States.

At that time, Winnefeld was the commander of the aircraft carrier USS Enterprise, which was returning home from a routine deployment. The ties between those two attacks and the wars that followed include the roles played by his ship and the previous Enterprise, both of which launched the first strikes in response to surprise attacks on the United States.

"Now, imagine yourself aboard USS Enterprise on the night of those first strikes," the admiral said. "Here's part of what [I] told her crew: 'Aboard Enterprise, good evening shipmates. The last time America actually went to war to defend against an attack on our homeland was almost exactly 60 years ago ... tonight a ship named Enterprise will again be an integral part of our nation's response. And, like 1941, this war is a little more personal than defending our vital interests. We're defending our families.'"

"The men and women who today wear the cloth of our nation walk confidently in your footsteps. They look up to you -- specifically to you. They live your legacy as members of the next greatest generation," Winnefeld told the World War II veterans in the audience.

"Today we pause to honor you and to salute those who won that war and paved the way for our nation's prosperity and leadership over the last seven decades," he added.

"Memorials like this beautiful memorial in which we're having this ceremony and days of remembrance like this, try as we might, will never be able to adequately recognize your service and sacrifice," the admiral told the veterans. "But we can thank you for what you've done for our nation."

West Wing Week: 12/07/12 or "I Have To Pinch Myself" | The White House

West Wing Week: 12/07/12 or "I Have To Pinch Myself" | The White House

U.S. DOD Contracts for December 07, 2012

Contracts for December 07, 2012