FROM: THE STATE DEPARTMENT
From a Swift Boat to a Sustainable Mekong
Op-Ed
John Kerry
Secretary of State
Foreign Policy
February 2, 2015
More than four decades ago, as a young lieutenant in the “brown-water Navy,” my crew and I journeyed down the Mekong River on an American gunboat. Even with the war all around us, in quiet moments we couldn’t help but be struck by the beauty and the power of the river — the water buffalo, the seafood we traded for with local fishermen, the mangrove on the sides of the river and inlets.
Long ago, those waterways of war became waters of peace and commerce — the United States and Vietnam are in the 20th year of a flourishing relationship.
Today, the Mekong faces a new and very different danger — one that threatens the livelihoods of tens of millions and symbolizes the risk climate change poses to the entire planet. Unsustainable growth and development along the full reach of the river are endangering its long-term health and the region’s prosperity.
From the deck of our swift boat in 1968 and 1969, we could see that the fertile Mekong was essential to the way of life and economy of the communities along its banks. In my many visits to the region since then as a senator and secretary of state, I’ve watched the United States and the countries of Southeast Asia work hand in hand to pursue development in a way that boosts local economies and sustains the environment.
Despite those efforts, the Mekong is under threat. All along its 2,700 miles, the growing demand for energy, food, and water is damaging the ecosystem and jeopardizing the livelihoods of 240 million people. Unsustainable development and the rapid pace of hydropower development are undermining the food and water needs of the hundreds of millions of people who depend on the river.
What’s at stake? In Cambodia, the Mekong supports the rich biodiversity of a watershed that provides more than 60 percent of the country’s protein. In Vietnam, it irrigates the country’s “rice bowl” that feeds the fast-growing economy. Throughout the region, the river is a vital artery for transportation, agriculture, and electricity generation.
The Mekong rivals the Amazon for biodiversity. Giant Mekong catfish and the Irrawaddy dolphin are unique to the river, and scientists are constantly identifying new species of animals and plants across the delta. Some of these newly discovered species could one day hold the promise of new lifesaving drugs.
The challenge is clear: The entire Mekong region must implement a broad strategy that makes sure future growth does not come at the expense of clean air, clean water, and a healthy ecosystem. Pulling off this essential task will show the world of what is possible.
The fate of this region will also have an impact on people living far beyond it. For instance, U.S. trade with the Mekong region increased by 40 percent from 2008 to 2014. This trend has meant more jobs for Americans and continued economic growth for countries across Southeast Asia.
Meeting this challenge requires that we work with these countries to address very real development needs even as we work to sustain the environment. This requires good data for proper analysis and planning, smart investments, strong leaders, and effective institutions to manage the Mekong’s riches for the benefit of everyone in the region.
To that end, we joined with Cambodia, Laos, Myanmar, Thailand, and Vietnam, to launch the Lower Mekong Initiative. Its goal is to create a shared vision of growth and opportunity that recognizes the river’s role as an economic engine and respects its place in the environment.
That is why this week (Feb. 2 and 3) the United States and the government of Laos are co-hosting a major meeting of senior officials from the five lower Mekong countries, the United States, and the European Union in Pakse, Laos, where the Mekong and Xe Don rivers meet. They will be joined by representatives of the private sector and donors like the Asian Development Bank to work on a blueprint for a sustainable future.
At the meeting, we will launch the Sustainable Mekong Energy Initiative, a plan to encourage the countries of the region to develop programs that will redirect their investments to innovations in renewable energy and other sources that do not harm the environment.
This is not a question of dictating the path of development in these countries. Rather, it is about the United States and other countries working alongside our partner nations to establish a consistent set of investment and development guidelines that ensure long-term environmental health and economic vitality all along the river’s path.
This partnership is an essential part of the broader effort by President Barack Obama and the entire administration to support the people of the Asia-Pacific region, and a further sign of our commitment to helping these vibrant economies and emerging democracies.
For Americans and Southeast Asians of my generation, the Mekong River was once a symbol of conflict. But today it can be a symbol of sustainable growth and good stewardship.
Tuesday, February 3, 2015
JUDGEMENT OBTAINED JUDGEMENT AGAINST VIDEO GAME COMPANY CEO
FROM: U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 23181 / January 29, 2015
Securities and Exchange Commission v. Troy Lyndon and Ronald Zaucha, Civil Action No. CV13 00486 SOM KSC (D. Haw.)
SEC Obtains Final Judgments against CEO of Video Game Company and Purported Consultant in Revenue Inflation Scheme
On January 22, 2015, the district court for the District of Hawaii entered a final judgment against Defendant Ronald Zaucha, holding him liable for over $2.6 million in disgorgement, interest and penalties after granting the SEC's motion for summary judgment. Zaucha was also permanently enjoined from violating the antifraud and securities registration provisions of the federal securities laws, and permanently prohibited from participating in any offering of penny stock.
Previously, on August 21, 2014, the district court entered a final judgment against Defendant Troy Lyndon, holding him liable for over $3.6 million in disgorgement, interest and penalties after granting the SEC's motion for summary judgment as to monetary relief. Lyndon had previously consented to entry of a permanent injunction prohibiting future violations of the antifraud, securities registration, issuer reporting, books and records, internal controls, lying to auditors and false certification provisions of the federal securities laws; an order permanently barring him from acting as an officer or director of a public company; and an order permanently prohibiting him from participating in any offering of penny stock, without admitting or denying the SEC's allegations.
On September 24, 2013, the SEC had charged Lyndon, the founder of a religious-themed video game manufacturer, Left Behind Games, Inc. ("LBG"), and his friend Zaucha with scheming to falsely inflate the company's revenue by nearly 1,300 percent in the one-year period ended March 31, 2011 through sham circular transactions.
The SEC alleged that Lyndon, who served as the company's CEO and CFO, caused LBG to issue almost two billion shares of stock to Zaucha as purported compensation for consulting services to the California-based company. In fact, Zaucha provided few, if any, consulting services. Rather, the true purpose of the arrangement was to enable Zaucha to sell millions of unregistered LBG shares of stock into the market and then kick back a portion of his stock proceeds to the company in order to prop up its revenue at a time when it was in dire need of additional funds. The company's stock was suspended by the SEC when the SEC filed its complaint against Lyndon and Zaucha, and the registration of LBG's stock was revoked by the SEC on February 24, 2014.
Litigation Release No. 23181 / January 29, 2015
Securities and Exchange Commission v. Troy Lyndon and Ronald Zaucha, Civil Action No. CV13 00486 SOM KSC (D. Haw.)
SEC Obtains Final Judgments against CEO of Video Game Company and Purported Consultant in Revenue Inflation Scheme
On January 22, 2015, the district court for the District of Hawaii entered a final judgment against Defendant Ronald Zaucha, holding him liable for over $2.6 million in disgorgement, interest and penalties after granting the SEC's motion for summary judgment. Zaucha was also permanently enjoined from violating the antifraud and securities registration provisions of the federal securities laws, and permanently prohibited from participating in any offering of penny stock.
Previously, on August 21, 2014, the district court entered a final judgment against Defendant Troy Lyndon, holding him liable for over $3.6 million in disgorgement, interest and penalties after granting the SEC's motion for summary judgment as to monetary relief. Lyndon had previously consented to entry of a permanent injunction prohibiting future violations of the antifraud, securities registration, issuer reporting, books and records, internal controls, lying to auditors and false certification provisions of the federal securities laws; an order permanently barring him from acting as an officer or director of a public company; and an order permanently prohibiting him from participating in any offering of penny stock, without admitting or denying the SEC's allegations.
On September 24, 2013, the SEC had charged Lyndon, the founder of a religious-themed video game manufacturer, Left Behind Games, Inc. ("LBG"), and his friend Zaucha with scheming to falsely inflate the company's revenue by nearly 1,300 percent in the one-year period ended March 31, 2011 through sham circular transactions.
The SEC alleged that Lyndon, who served as the company's CEO and CFO, caused LBG to issue almost two billion shares of stock to Zaucha as purported compensation for consulting services to the California-based company. In fact, Zaucha provided few, if any, consulting services. Rather, the true purpose of the arrangement was to enable Zaucha to sell millions of unregistered LBG shares of stock into the market and then kick back a portion of his stock proceeds to the company in order to prop up its revenue at a time when it was in dire need of additional funds. The company's stock was suspended by the SEC when the SEC filed its complaint against Lyndon and Zaucha, and the registration of LBG's stock was revoked by the SEC on February 24, 2014.
CFTC ORDERS MAN AND COMPANY TO PAY $9.6 MILLION FOR ROLES IN PRECIOUS METALS FRAUD
FROM: COMMODITY FUTURES TRADING COMMISSION
January 26, 2015
CFTC Orders Florida Resident Anthony Lauria and His Company Gold Coast Bullion, Inc. to Pay More than $9.6 Million in Restitution and a Civil Monetary Penalty in Off-Exchange Precious Metals Fraud
Washington, DC – The U.S. Commodity Futures Trading Commission (CFTC) today entered an Order filing and simultaneously settling charges against Anthony Lauria and his company, Gold Coast Bullion, Inc. (GCB), operating out of Fort Lauderdale, Florida, for engaging in illegal, off-exchange precious metals transactions, for committing fraud in connection with those illegal transactions, and for operating GCB as an unregistered Futures Commission Merchant (FCM).
The CFTC Order requires Lauria and GCB jointly to pay restitution totaling $5,940,124.16 and a civil monetary penalty of $3.75 million. In addition, the Order imposes permanent registration and trading bans on Lauria and GCB.
The CFTC Order finds that, from at least January 2012 to February 2013, GCB was a telemarketing firm that solicited retail customers to engage in financed precious metals transactions. The Order further finds that Lauria solicited customers directly and supervised other telemarketers involved in solicitation.
When soliciting customers for financed precious metals transactions, Lauria and other GCB telemarketers represented that to purchase a certain quantity of metal, 1) the customer needed to deposit only a percentage of the total metal value, typically 25 percent, 2) that GCB would arrange for the customer to receive loan for the remaining 75 percent, and 3) that the customer would have to pay a finance charge on the loan, as well as a service charge, according to the Order.
As the Order finds, financed transactions in commodities with retail customers, like those in which GCB engaged, must be executed on or subject to the rules of an exchange approved by the CFTC, which GCB did not do. In addition, the Order finds that GCB accepted money from or extended credit to its customers to margin, guarantee, or secure trades when it was not registered with the CFTC as an FCM. Finally, the Order finds that GCB never actually delivered any precious metals in connection with these transactions, but received commissions and fees totaling more than $2.6 million.
According to the CFTC Order, GCB did not purchase or sell any physical metals, but instead contacted another company, AmeriFirst Management LLC (AML), to execute the customers’ buy or sell orders. The CFTC Order states that GCB then confirmed the execution of the transactions by issuing false trade confirmations to the customers. The CFTC Order further states that AML, for its part, also did not purchase or sell any physical metals in connection with these transactions. AML managed its own exposure on these transactions using derivatives in margin trading accounts with several entities, and made book entries which tracked the value of the customer’s account, according to the Order.
On July 30, 2013, the CFTC sued AML in federal court in Florida, charging it with engaging in illegal, off-exchange precious metals transactions, fraud, and other violations (see CFTC Press Release 6655-13). On July 24, 2014, the court entered a supplemental consent Order against AML and the three individual Defendants in that case requiring them to pay more than $25 million in restitution and $10 million in civil monetary penalties (see CFTC Press Release 6973-14).
The CFTC cautions victims that restitution orders may not result in the recovery of money lost because the wrongdoers may not have sufficient funds or assets. The CFTC will continue to fight vigorously for the protection of customers and to ensure the wrongdoers are held accountable.
CFTC Division of Enforcement staff members responsible for this action include Thaddeus Glotfelty, Judith McCorkle, Joseph Konizeski, Scott Williamson, and Rosemary Hollinger.
January 26, 2015
CFTC Orders Florida Resident Anthony Lauria and His Company Gold Coast Bullion, Inc. to Pay More than $9.6 Million in Restitution and a Civil Monetary Penalty in Off-Exchange Precious Metals Fraud
Washington, DC – The U.S. Commodity Futures Trading Commission (CFTC) today entered an Order filing and simultaneously settling charges against Anthony Lauria and his company, Gold Coast Bullion, Inc. (GCB), operating out of Fort Lauderdale, Florida, for engaging in illegal, off-exchange precious metals transactions, for committing fraud in connection with those illegal transactions, and for operating GCB as an unregistered Futures Commission Merchant (FCM).
The CFTC Order requires Lauria and GCB jointly to pay restitution totaling $5,940,124.16 and a civil monetary penalty of $3.75 million. In addition, the Order imposes permanent registration and trading bans on Lauria and GCB.
The CFTC Order finds that, from at least January 2012 to February 2013, GCB was a telemarketing firm that solicited retail customers to engage in financed precious metals transactions. The Order further finds that Lauria solicited customers directly and supervised other telemarketers involved in solicitation.
When soliciting customers for financed precious metals transactions, Lauria and other GCB telemarketers represented that to purchase a certain quantity of metal, 1) the customer needed to deposit only a percentage of the total metal value, typically 25 percent, 2) that GCB would arrange for the customer to receive loan for the remaining 75 percent, and 3) that the customer would have to pay a finance charge on the loan, as well as a service charge, according to the Order.
As the Order finds, financed transactions in commodities with retail customers, like those in which GCB engaged, must be executed on or subject to the rules of an exchange approved by the CFTC, which GCB did not do. In addition, the Order finds that GCB accepted money from or extended credit to its customers to margin, guarantee, or secure trades when it was not registered with the CFTC as an FCM. Finally, the Order finds that GCB never actually delivered any precious metals in connection with these transactions, but received commissions and fees totaling more than $2.6 million.
According to the CFTC Order, GCB did not purchase or sell any physical metals, but instead contacted another company, AmeriFirst Management LLC (AML), to execute the customers’ buy or sell orders. The CFTC Order states that GCB then confirmed the execution of the transactions by issuing false trade confirmations to the customers. The CFTC Order further states that AML, for its part, also did not purchase or sell any physical metals in connection with these transactions. AML managed its own exposure on these transactions using derivatives in margin trading accounts with several entities, and made book entries which tracked the value of the customer’s account, according to the Order.
On July 30, 2013, the CFTC sued AML in federal court in Florida, charging it with engaging in illegal, off-exchange precious metals transactions, fraud, and other violations (see CFTC Press Release 6655-13). On July 24, 2014, the court entered a supplemental consent Order against AML and the three individual Defendants in that case requiring them to pay more than $25 million in restitution and $10 million in civil monetary penalties (see CFTC Press Release 6973-14).
The CFTC cautions victims that restitution orders may not result in the recovery of money lost because the wrongdoers may not have sufficient funds or assets. The CFTC will continue to fight vigorously for the protection of customers and to ensure the wrongdoers are held accountable.
CFTC Division of Enforcement staff members responsible for this action include Thaddeus Glotfelty, Judith McCorkle, Joseph Konizeski, Scott Williamson, and Rosemary Hollinger.
Monday, February 2, 2015
PRESIDENT OBAMA'S REMARKS ON THE FY2016 BUDGET
FROM: THE WHITE HOUSE
February 02, 2015
Remarks by the President on the FY2016 Budget
Department of Homeland Security
Washington, D.C.
11:27 A.M. EST
THE PRESIDENT: Thank you so much. (Applause.) Thank you, everybody. Please, have a seat. Well, good morning, everybody. It is good to be here at the Department of Homeland Security. And let me thank Jeh Johnson not only for the outstanding job that’s he’s doing as Secretary of DHS, but also for a short introduction. I like short introductions. (Laughter.) Give him a big round of applause. (Applause.)
This is a great way to start the week, because I get to do something I enjoy doing, which is saying thank you. Nobody works harder to keep America safe than the people who are gathered here today. And you don’t get a lot of attention for it -- that’s the nature of the job. But I know how vital you are, and I want to make that sure more Americans know how vital you are. Because against just about every threat that we face -- from terrorist networks to microscopic viruses to cyber-attacks to weather disasters -- you guys are there. You protect us from threats at home and abroad, by air and land and sea. You safeguard our ports, you patrol our borders. You inspect our chemical plants, screen travelers for Ebola, shield our computer networks, and help hunt down criminals around the world. You have a busy agenda, a full plate. And here at home, you are ready to respond to any emergency at a moment’s notice.
It is simply extraordinary how much the Department of Homeland Security does every single day to keep our nation, our people safe. It’s a critical job, and you get it done without a lot of fanfare. And I want to make sure that you have what you need to keep getting the job done. Every American has an interest in making sure that the Department of Homeland Security has what it needs to achieve its mission -- because we are reliant on that mission every single day.
Now, today, I’m sending Congress a budget that will make sure you’ve got what you need to achieve your mission. It gives you the resources you need to carry out your mission in a way that is smart and strategic, and makes the most of every dollar. It’s also a broader blueprint for America’s success in this new global economy. Because after a breakthrough year for America -- at a time when our economy is growing and our businesses are creating jobs at the fastest pace since the 1990s, and wages are starting to rise again -- we’ve got some fundamental choices to make about the kind of country we want to be.
Will we accept an economy where only a few of us do spectacularly well? Or are we going to build an economy where everyone who works hard has a chance to get ahead?
And that was the focus of my State of the Union Address a couple weeks ago -- what I called middle-class economics. The idea that this country does best when everybody gets a fair shot, and everybody is doing their fair share, and everybody plays by the same set of rules.
The budget that Congress now has in its hands is built on those values. It helps working families’ paychecks go farther by treating things like paid sick leave and childcare as the economic priorities that they are. It gives Americans of every age the chance to upgrade their skills so they can earn higher wages, and it includes my plan to make two years of community college free for responsible students. It lets us keep building the world’s most attractive economy for high-wage jobs, with new investments in research, and infrastructure and manufacturing, as well as expanded access to faster Internet and new markets for goods made in America.
It’s also a budget that recognizes that our economy flourishes when America is safe and secure. So it invests in our IT networks, to protect them from malicious actors. It supports our troops and strengthens our border security. And it gives us the resources to confront global challenges, from ISIL to Russian aggression.
Now, since I took office, we have cut our deficits by about two-thirds. I’m going to repeat that, as I always do when I mention this fact, because the public oftentimes, if you ask them, thinks that the deficit has shot up. Since I took office, we have cut our deficits by about two-thirds. That’s the fastest period of sustained deficit reduction since after the demobilization at the end of World War II. So we can afford to make these investments while remaining fiscally responsible. And, in fact, we cannot afford -- we would be making a critical error if we avoided making these investments. We can’t afford not to. When the economy is doing well, we’re making investments when we’re growing. That’s part of what keeps deficits low -- because the economy is doing well. So we’ve just got to be smarter about how we pay for our priorities, and that’s what my budget does.
At the end of 2013, I signed a bipartisan budget agreement that helped us end some of the arbitrary cuts known in Washington-speak as “sequestration.” And folks here at DHS know a little too much about sequestration -- (laughter) -- because many of you have to deal with those cuts, and it made it a lot harder for you to do your jobs.
The 2013 agreement to reverse some of those cuts helped to boost our economic growth. Part of the reason why we grew faster last year was we were no longer being burdened by mindless across-the-board cuts, and we were being more strategic about how we handled our federal budget. And now we need to take the next step. So my budget will end sequestration and fully reverse the cuts to domestic priorities in 2016. And it will match the investments that were made domestically, dollar for dollar, with increases in our defense funding.
And just last week, top military officials told Congress that if Congress does nothing to stop sequestration, there could be serious consequences for our national security, at a time when our military is stretched on a whole range of issues. And that’s why I want to work with Congress to replace mindless austerity with smart investments that strengthen America. And we can do so in a way that is fiscally responsible.
I'm not going to accept a budget that locks in sequestration going forward. It would be bad for our security and bad for our growth. I will not accept a budget that severs the vital link between our national security and our economic security. I know there’s some on Capitol Hill who would say, well, we’d be willing to increase defense spending but we’re not going to increase investments in infrastructure, for example, or basic research. Well, those two things go hand in hand. If we don’t have a vital infrastructure, if we don’t have broadband lines across the country, if we don’t have a smart grid, all that makes us more vulnerable. America can’t afford being shortsighted, and I'm not going to allow it.
The budget I’ve sent to Congress today is fully paid for, through a combination of smart spending cuts and tax reforms. Let me give you an example. Right now, our tax code is full of loopholes for special interests -- like the trust fund loophole that allows the wealthiest Americans to avoid paying taxes on their unearned income. I think we should fix that and use the savings to cut taxes for middle-class families. That would be good for our economy.
Now, I know there are Republicans who disagree with my approach. And I’ve said this before: If they have other ideas for how we can keep America safe, grow our economy, while helping middle-class families feel some sense of economic security, I welcome their ideas. But their numbers have to add up. And what we can’t do is play politics with folks’ economic security, or with our national security. You, better than anybody, know what the stakes are. The work you do hangs in the balance.
In just a few weeks from now, funding for Homeland Security will run out. That’s not because of anything this department did, it’s because the Republicans in Congress who funded everything in government through September, except for this department. And they’re now threatening to let Homeland Security funding expire because of their disagreeing with my actions to make our immigration system smarter, fairer and safer.
Now let’s be clear, I think we can have a reasonable debate about immigration. I'm confident that what we’re doing is the right thing and the lawful thing. I understand they may have some disagreements with me on that, although I should note that a large majority -- or a large percentage of Republicans agree that we need comprehensive immigration reform, and we’re prepared to act in the Senate and should have acted in the House. But if they don’t agree with me, that’s fine, that’s how our democracy works. You may have noticed they usually don’t agree with me. But don’t jeopardize our national security over this disagreement.
As one Republican put it, if they let your funding run out, “it’s not the end of the world.” That’s what they said. Well, I guess literally that’s true; it may not be the end of the world. But until they pass a funding bill, it is the end of a paycheck for tens of thousands of frontline workers who will continue to get -- to have to work without getting paid. Over 40,000 Border Patrol and Customs agents. Over 50,000 airport screeners. Over 13,000 immigration officers. Over 40,000 men and women in the Coast Guard. These Americans aren’t just working to keep us safe, they have to take care of their own families. The notion that they would get caught up in a disagreement around policy that has nothing to do with them makes no sense.
And if Republicans let Homeland Security funding expire, it’s the end to any new initiatives in the event that a new threat emerges. It’s the end of grants to states and cities that improve local law enforcement and keep our communities safe. The men and women of America’s homeland security apparatus do important work to protect us, and Republicans and Democrats in Congress should not be playing politics with that.
We need to fund the department, pure and simple. We’ve got to put politics aside, pass a budget that funds our national security priorities at home and abroad, and gives middle-class families the security they need to get ahead in the new economy. This is one of our most basic and most important responsibilities as a government. So I’m calling on Congress to get this done.
Every day, we count on people like you to keep America secure. And you are counting on us as well to uphold our end of the bargain. You’re counting on us to make sure that you’ve got the resources to do your jobs safely and efficiently, and that you’re able to look after your families while you are out there working really hard to keep us safe.
We ask a lot of you. The least we can do is have your backs. That’s what I’m going to keep on doing for as long as I have the honor of serving as your President. I have your back. And I’m going to keep on fighting to make sure that you get the resources you deserve. I’m going to keep fighting to make sure that every American has the chance not just to share in America’s success but to contribute to America’s success. That’s what this budget is about.
It reflects our values in making sure that we are making the investments we need to keep America safe, to keep America growing, and to make sure that everybody is participating no matter what they look like, where they come from, no matter how they started in life, they’ve got a chance to get ahead in this great country of ours. That’s what I believe. That’s what you believe. (Applause.) Let’s get it done.
Thank you. God bless you. God bless the United States of America. (Applause.)
END
February 02, 2015
Remarks by the President on the FY2016 Budget
Department of Homeland Security
Washington, D.C.
11:27 A.M. EST
THE PRESIDENT: Thank you so much. (Applause.) Thank you, everybody. Please, have a seat. Well, good morning, everybody. It is good to be here at the Department of Homeland Security. And let me thank Jeh Johnson not only for the outstanding job that’s he’s doing as Secretary of DHS, but also for a short introduction. I like short introductions. (Laughter.) Give him a big round of applause. (Applause.)
This is a great way to start the week, because I get to do something I enjoy doing, which is saying thank you. Nobody works harder to keep America safe than the people who are gathered here today. And you don’t get a lot of attention for it -- that’s the nature of the job. But I know how vital you are, and I want to make that sure more Americans know how vital you are. Because against just about every threat that we face -- from terrorist networks to microscopic viruses to cyber-attacks to weather disasters -- you guys are there. You protect us from threats at home and abroad, by air and land and sea. You safeguard our ports, you patrol our borders. You inspect our chemical plants, screen travelers for Ebola, shield our computer networks, and help hunt down criminals around the world. You have a busy agenda, a full plate. And here at home, you are ready to respond to any emergency at a moment’s notice.
It is simply extraordinary how much the Department of Homeland Security does every single day to keep our nation, our people safe. It’s a critical job, and you get it done without a lot of fanfare. And I want to make sure that you have what you need to keep getting the job done. Every American has an interest in making sure that the Department of Homeland Security has what it needs to achieve its mission -- because we are reliant on that mission every single day.
Now, today, I’m sending Congress a budget that will make sure you’ve got what you need to achieve your mission. It gives you the resources you need to carry out your mission in a way that is smart and strategic, and makes the most of every dollar. It’s also a broader blueprint for America’s success in this new global economy. Because after a breakthrough year for America -- at a time when our economy is growing and our businesses are creating jobs at the fastest pace since the 1990s, and wages are starting to rise again -- we’ve got some fundamental choices to make about the kind of country we want to be.
Will we accept an economy where only a few of us do spectacularly well? Or are we going to build an economy where everyone who works hard has a chance to get ahead?
And that was the focus of my State of the Union Address a couple weeks ago -- what I called middle-class economics. The idea that this country does best when everybody gets a fair shot, and everybody is doing their fair share, and everybody plays by the same set of rules.
The budget that Congress now has in its hands is built on those values. It helps working families’ paychecks go farther by treating things like paid sick leave and childcare as the economic priorities that they are. It gives Americans of every age the chance to upgrade their skills so they can earn higher wages, and it includes my plan to make two years of community college free for responsible students. It lets us keep building the world’s most attractive economy for high-wage jobs, with new investments in research, and infrastructure and manufacturing, as well as expanded access to faster Internet and new markets for goods made in America.
It’s also a budget that recognizes that our economy flourishes when America is safe and secure. So it invests in our IT networks, to protect them from malicious actors. It supports our troops and strengthens our border security. And it gives us the resources to confront global challenges, from ISIL to Russian aggression.
Now, since I took office, we have cut our deficits by about two-thirds. I’m going to repeat that, as I always do when I mention this fact, because the public oftentimes, if you ask them, thinks that the deficit has shot up. Since I took office, we have cut our deficits by about two-thirds. That’s the fastest period of sustained deficit reduction since after the demobilization at the end of World War II. So we can afford to make these investments while remaining fiscally responsible. And, in fact, we cannot afford -- we would be making a critical error if we avoided making these investments. We can’t afford not to. When the economy is doing well, we’re making investments when we’re growing. That’s part of what keeps deficits low -- because the economy is doing well. So we’ve just got to be smarter about how we pay for our priorities, and that’s what my budget does.
At the end of 2013, I signed a bipartisan budget agreement that helped us end some of the arbitrary cuts known in Washington-speak as “sequestration.” And folks here at DHS know a little too much about sequestration -- (laughter) -- because many of you have to deal with those cuts, and it made it a lot harder for you to do your jobs.
The 2013 agreement to reverse some of those cuts helped to boost our economic growth. Part of the reason why we grew faster last year was we were no longer being burdened by mindless across-the-board cuts, and we were being more strategic about how we handled our federal budget. And now we need to take the next step. So my budget will end sequestration and fully reverse the cuts to domestic priorities in 2016. And it will match the investments that were made domestically, dollar for dollar, with increases in our defense funding.
And just last week, top military officials told Congress that if Congress does nothing to stop sequestration, there could be serious consequences for our national security, at a time when our military is stretched on a whole range of issues. And that’s why I want to work with Congress to replace mindless austerity with smart investments that strengthen America. And we can do so in a way that is fiscally responsible.
I'm not going to accept a budget that locks in sequestration going forward. It would be bad for our security and bad for our growth. I will not accept a budget that severs the vital link between our national security and our economic security. I know there’s some on Capitol Hill who would say, well, we’d be willing to increase defense spending but we’re not going to increase investments in infrastructure, for example, or basic research. Well, those two things go hand in hand. If we don’t have a vital infrastructure, if we don’t have broadband lines across the country, if we don’t have a smart grid, all that makes us more vulnerable. America can’t afford being shortsighted, and I'm not going to allow it.
The budget I’ve sent to Congress today is fully paid for, through a combination of smart spending cuts and tax reforms. Let me give you an example. Right now, our tax code is full of loopholes for special interests -- like the trust fund loophole that allows the wealthiest Americans to avoid paying taxes on their unearned income. I think we should fix that and use the savings to cut taxes for middle-class families. That would be good for our economy.
Now, I know there are Republicans who disagree with my approach. And I’ve said this before: If they have other ideas for how we can keep America safe, grow our economy, while helping middle-class families feel some sense of economic security, I welcome their ideas. But their numbers have to add up. And what we can’t do is play politics with folks’ economic security, or with our national security. You, better than anybody, know what the stakes are. The work you do hangs in the balance.
In just a few weeks from now, funding for Homeland Security will run out. That’s not because of anything this department did, it’s because the Republicans in Congress who funded everything in government through September, except for this department. And they’re now threatening to let Homeland Security funding expire because of their disagreeing with my actions to make our immigration system smarter, fairer and safer.
Now let’s be clear, I think we can have a reasonable debate about immigration. I'm confident that what we’re doing is the right thing and the lawful thing. I understand they may have some disagreements with me on that, although I should note that a large majority -- or a large percentage of Republicans agree that we need comprehensive immigration reform, and we’re prepared to act in the Senate and should have acted in the House. But if they don’t agree with me, that’s fine, that’s how our democracy works. You may have noticed they usually don’t agree with me. But don’t jeopardize our national security over this disagreement.
As one Republican put it, if they let your funding run out, “it’s not the end of the world.” That’s what they said. Well, I guess literally that’s true; it may not be the end of the world. But until they pass a funding bill, it is the end of a paycheck for tens of thousands of frontline workers who will continue to get -- to have to work without getting paid. Over 40,000 Border Patrol and Customs agents. Over 50,000 airport screeners. Over 13,000 immigration officers. Over 40,000 men and women in the Coast Guard. These Americans aren’t just working to keep us safe, they have to take care of their own families. The notion that they would get caught up in a disagreement around policy that has nothing to do with them makes no sense.
And if Republicans let Homeland Security funding expire, it’s the end to any new initiatives in the event that a new threat emerges. It’s the end of grants to states and cities that improve local law enforcement and keep our communities safe. The men and women of America’s homeland security apparatus do important work to protect us, and Republicans and Democrats in Congress should not be playing politics with that.
We need to fund the department, pure and simple. We’ve got to put politics aside, pass a budget that funds our national security priorities at home and abroad, and gives middle-class families the security they need to get ahead in the new economy. This is one of our most basic and most important responsibilities as a government. So I’m calling on Congress to get this done.
Every day, we count on people like you to keep America secure. And you are counting on us as well to uphold our end of the bargain. You’re counting on us to make sure that you’ve got the resources to do your jobs safely and efficiently, and that you’re able to look after your families while you are out there working really hard to keep us safe.
We ask a lot of you. The least we can do is have your backs. That’s what I’m going to keep on doing for as long as I have the honor of serving as your President. I have your back. And I’m going to keep on fighting to make sure that you get the resources you deserve. I’m going to keep fighting to make sure that every American has the chance not just to share in America’s success but to contribute to America’s success. That’s what this budget is about.
It reflects our values in making sure that we are making the investments we need to keep America safe, to keep America growing, and to make sure that everybody is participating no matter what they look like, where they come from, no matter how they started in life, they’ve got a chance to get ahead in this great country of ours. That’s what I believe. That’s what you believe. (Applause.) Let’s get it done.
Thank you. God bless you. God bless the United States of America. (Applause.)
END
FTC ANNOUNCES DECEPTIVE AUTO LOAN CASES SETTLED
FROM: U.S. FEDERAL TRADE COMMISSION
In First FTC Cases Against Car Title Lenders, Companies Settle Charges They Deceptively Advertised the Cost of Their Loans
Businesses Failed to Disclose Qualifications for “Zero Percent” Loan Offers
FOR RELEASE
January 30, 2015
The Federal Trade Commission has taken action for the first time against two car title lenders, reaching settlements that will require them to stop their use of deceptive advertising to market title loans.
A car title loan is typically a high cost, short-term loan, secured with the consumer’s car title. In administrative complaints issued against two title lenders, First American Title Lending of Georgia, LLC, and Finance Select, Inc., the FTC charged that the companies advertised, both online and in print, zero percent interest rates for a 30-day car title loan without disclosing important loan conditions or the increased finance charge imposed after the introductory period ended.
“This type of loan is risky for consumers because if they fail to pay, they could lose their car – an asset many of them can’t live without,” said Jessica Rich, director, FTC’s Bureau of Consumer Protection. “Without proper disclosures, consumers can’t know what they’re getting, so when we see deceptive marketing of these loans we’re going to take action to stop it.”
While advertised as short-term loans, title loans can become longer-term, high cost installment loans with payments due over several months. The annual percentage rate of a car title loan can be over 300 percent. If a consumer does not repay the loan within 30 days, high finance charges can add up quickly, with a consumer paying hundreds or thousands of dollars in fees or forfeiting the vehicle.
The FTC charged that First American Title Lending, which operates over 30 locations in Georgia, advertised a zero percent offer (in English and Spanish) and failed to disclose that the borrower had to meet specific conditions to receive that rate. The borrower had to be a new customer, repay the loan within 30 days, and pay with a money order or certified funds, not cash or a personal check. If a borrower failed to meet those conditions, the offer did not apply, and he or she would be required to pay a finance charge from the start of the loan. The company’s advertisements also failed to disclose the amount of the finance charge after the introductory period ended.
The FTC alleged Finance Select, doing business as Fast Cash Title Pawn, failed to disclose that unless a loan was paid in full in 30 days, the zero percent offer did not apply, and that a borrower would have to pay a finance charge for the initial 30 days of the loan in addition to any finance charges incurred going forward. Fast Cash, which has five locations across Georgia and two in Alabama, also failed to disclose how much the finance charge would cost a borrower after the 30-day introductory period was over.
As part of the proposed settlements with First American Title Lending and Fast Cash Title Pawn, the respondents are prohibited from:
failing to disclose all the qualifying terms associated with obtaining a loan at its advertised rate;
failing to disclose what the finance charge would be after an introductory period ends; and
misrepresenting any material terms of any loan agreements.
In addition, First American Title Lending is also prohibited from stating the amount of any down payment, number of payments or periods of repayment, or the amount of any payment or finance charge without clearly and conspicuously stating all the terms required by the Truth in Lending Act and Regulation Z.
These cases are part of the FTC’s ongoing effort to protect consumers in the short-term lending and auto marketplaces. The agency’s guidance, Caution: Car Title Loans Can Leave You Stranded, encourages consumers to shop around for their loan, and to look to their bank or other lenders for options that may be more affordable than a car title loan.
The Commission vote to issue the administrative complaints and accept the proposed consent orders for public comment was 5-0. The agreements will be subject to public comment for 30 days, beginning today and continuing through March 3, 2015, after which the Commission will decide whether to make the proposed consent orders final. Submit comments for Fast Cash Title Pawn and First American Title Lending online.
NOTE: The Commission issues an administrative complaint when it has “reason to believe” that the law has been or is being violated, and it appears to the Commission that a proceeding is in the public interest. When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of up to $16,000.
The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them.
In First FTC Cases Against Car Title Lenders, Companies Settle Charges They Deceptively Advertised the Cost of Their Loans
Businesses Failed to Disclose Qualifications for “Zero Percent” Loan Offers
FOR RELEASE
January 30, 2015
The Federal Trade Commission has taken action for the first time against two car title lenders, reaching settlements that will require them to stop their use of deceptive advertising to market title loans.
A car title loan is typically a high cost, short-term loan, secured with the consumer’s car title. In administrative complaints issued against two title lenders, First American Title Lending of Georgia, LLC, and Finance Select, Inc., the FTC charged that the companies advertised, both online and in print, zero percent interest rates for a 30-day car title loan without disclosing important loan conditions or the increased finance charge imposed after the introductory period ended.
“This type of loan is risky for consumers because if they fail to pay, they could lose their car – an asset many of them can’t live without,” said Jessica Rich, director, FTC’s Bureau of Consumer Protection. “Without proper disclosures, consumers can’t know what they’re getting, so when we see deceptive marketing of these loans we’re going to take action to stop it.”
While advertised as short-term loans, title loans can become longer-term, high cost installment loans with payments due over several months. The annual percentage rate of a car title loan can be over 300 percent. If a consumer does not repay the loan within 30 days, high finance charges can add up quickly, with a consumer paying hundreds or thousands of dollars in fees or forfeiting the vehicle.
The FTC charged that First American Title Lending, which operates over 30 locations in Georgia, advertised a zero percent offer (in English and Spanish) and failed to disclose that the borrower had to meet specific conditions to receive that rate. The borrower had to be a new customer, repay the loan within 30 days, and pay with a money order or certified funds, not cash or a personal check. If a borrower failed to meet those conditions, the offer did not apply, and he or she would be required to pay a finance charge from the start of the loan. The company’s advertisements also failed to disclose the amount of the finance charge after the introductory period ended.
The FTC alleged Finance Select, doing business as Fast Cash Title Pawn, failed to disclose that unless a loan was paid in full in 30 days, the zero percent offer did not apply, and that a borrower would have to pay a finance charge for the initial 30 days of the loan in addition to any finance charges incurred going forward. Fast Cash, which has five locations across Georgia and two in Alabama, also failed to disclose how much the finance charge would cost a borrower after the 30-day introductory period was over.
As part of the proposed settlements with First American Title Lending and Fast Cash Title Pawn, the respondents are prohibited from:
failing to disclose all the qualifying terms associated with obtaining a loan at its advertised rate;
failing to disclose what the finance charge would be after an introductory period ends; and
misrepresenting any material terms of any loan agreements.
In addition, First American Title Lending is also prohibited from stating the amount of any down payment, number of payments or periods of repayment, or the amount of any payment or finance charge without clearly and conspicuously stating all the terms required by the Truth in Lending Act and Regulation Z.
These cases are part of the FTC’s ongoing effort to protect consumers in the short-term lending and auto marketplaces. The agency’s guidance, Caution: Car Title Loans Can Leave You Stranded, encourages consumers to shop around for their loan, and to look to their bank or other lenders for options that may be more affordable than a car title loan.
The Commission vote to issue the administrative complaints and accept the proposed consent orders for public comment was 5-0. The agreements will be subject to public comment for 30 days, beginning today and continuing through March 3, 2015, after which the Commission will decide whether to make the proposed consent orders final. Submit comments for Fast Cash Title Pawn and First American Title Lending online.
NOTE: The Commission issues an administrative complaint when it has “reason to believe” that the law has been or is being violated, and it appears to the Commission that a proceeding is in the public interest. When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of up to $16,000.
The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them.
IRS WARNS TAXPAYERS OF FAKE CHARITY TAX SCAMS
FROM: U.S. INTERNAL REVENUE SERVICE
Fake Charities Among the IRS “Dirty Dozen” List of Tax Scams for 2015
WASHINGTON — The Internal Revenue Service today warned taxpayers about groups masquerading as a charitable organization to attract donations from unsuspecting contributors, one of the “Dirty Dozen” for the 2015 filing season.
"When making a donation, taxpayers should take a few extra minutes to ensure their hard-earned money goes to legitimate and currently eligible charities,” said IRS Commissioner John Koskinen. “IRS.gov has the tools taxpayers need to check out the status of charitable organizations.”
Compiled annually, the “Dirty Dozen” lists a variety of common scams that taxpayers may encounter anytime, but many of these schemes peak during filing season as people prepare their returns or hire someone to prepare their taxes.
Illegal scams can lead to significant penalties and interest and possible criminal prosecution. IRS Criminal Investigation works closely with the Department of Justice to shut down scams and prosecute the criminals behind them.
The IRS offers these basic tips to taxpayers making charitable donations:
Be wary of charities with names that are similar to familiar or nationally known organizations. Some phony charities use names or websites that sound or look like those of respected, legitimate organizations. IRS.gov has a search feature, Exempt Organizations Select Check, which allows people to find legitimate, qualified charities to which donations may be tax-deductible.
Don’t give out personal financial information, such as Social Security numbers or passwords to anyone who solicits a contribution from you. Scam artists may use this information to steal your identity and money. People use credit card numbers to make legitimate donations but please be very careful when you are speaking with someone who called you.
Don’t give or send cash. For security and tax record purposes, contribute by check or credit card or another way that provides documentation of the gift.
Call the IRS toll-free disaster assistance telephone number (1-866-562-5227) if you are a disaster victim with specific questions about tax relief or disaster related tax issues.
Impersonation of Charitable Organizations
Another long-standing type of abuse or fraud involves scams that occur in the wake of significant natural disasters.
Following major disasters, it’s common for scam artists to impersonate charities to get money or private information from well-intentioned taxpayers. Scam artists can use a variety of tactics. Some scammers operating bogus charities may contact people by telephone or email to solicit money or financial information. They may even directly contact disaster victims and claim to be working for or on behalf of the IRS to help the victims file casualty loss claims and get tax refunds.
They may attempt to get personal financial information or Social Security numbers that can be used to steal the victims’ identities or financial resources. Bogus websites may solicit funds for disaster victims.
Fake Charities Among the IRS “Dirty Dozen” List of Tax Scams for 2015
WASHINGTON — The Internal Revenue Service today warned taxpayers about groups masquerading as a charitable organization to attract donations from unsuspecting contributors, one of the “Dirty Dozen” for the 2015 filing season.
"When making a donation, taxpayers should take a few extra minutes to ensure their hard-earned money goes to legitimate and currently eligible charities,” said IRS Commissioner John Koskinen. “IRS.gov has the tools taxpayers need to check out the status of charitable organizations.”
Compiled annually, the “Dirty Dozen” lists a variety of common scams that taxpayers may encounter anytime, but many of these schemes peak during filing season as people prepare their returns or hire someone to prepare their taxes.
Illegal scams can lead to significant penalties and interest and possible criminal prosecution. IRS Criminal Investigation works closely with the Department of Justice to shut down scams and prosecute the criminals behind them.
The IRS offers these basic tips to taxpayers making charitable donations:
Be wary of charities with names that are similar to familiar or nationally known organizations. Some phony charities use names or websites that sound or look like those of respected, legitimate organizations. IRS.gov has a search feature, Exempt Organizations Select Check, which allows people to find legitimate, qualified charities to which donations may be tax-deductible.
Don’t give out personal financial information, such as Social Security numbers or passwords to anyone who solicits a contribution from you. Scam artists may use this information to steal your identity and money. People use credit card numbers to make legitimate donations but please be very careful when you are speaking with someone who called you.
Don’t give or send cash. For security and tax record purposes, contribute by check or credit card or another way that provides documentation of the gift.
Call the IRS toll-free disaster assistance telephone number (1-866-562-5227) if you are a disaster victim with specific questions about tax relief or disaster related tax issues.
Impersonation of Charitable Organizations
Another long-standing type of abuse or fraud involves scams that occur in the wake of significant natural disasters.
Following major disasters, it’s common for scam artists to impersonate charities to get money or private information from well-intentioned taxpayers. Scam artists can use a variety of tactics. Some scammers operating bogus charities may contact people by telephone or email to solicit money or financial information. They may even directly contact disaster victims and claim to be working for or on behalf of the IRS to help the victims file casualty loss claims and get tax refunds.
They may attempt to get personal financial information or Social Security numbers that can be used to steal the victims’ identities or financial resources. Bogus websites may solicit funds for disaster victims.
A.G. HOLDER'S REMARKS ON NATIONAL SLAVERY AND HUMAN TRAFFICKING PREVENTION MONTH
FROM: U.S. JUSTICE DEPARTMENT
Attorney General Eric H. Holder Jr. Delivers Remarks at Justice Department Event Marking National Slavery and Human Trafficking Prevention Month
Washington, DCUnited States ~ Thursday, January 29, 2015
Remarks as prepared for delivery
Thank you, Sally [Yates], for that introduction – and for your strong leadership of the department’s anti-human trafficking efforts, in Atlanta and far beyond. It’s a distinct pleasure to officially welcome you, on behalf of our colleagues, as Acting Deputy Attorney General of the United States. And it’s an honor to join so many outstanding leaders – including Mayors [Kasim] Reed and [William] Bell, former Congressman [Dan] Lungren, and of course Assistant Attorney General [Karol] Mason, FBI Director [James] Comey, and Deputy Director [Kris] Rose – for this important commemoration.
I’d like to begin today by recognizing Assistant Attorneys General Vanita Gupta, of the Civil Rights Division and Leslie Caldwell, of the Criminal Division, for their dedication to combating the scourge of human trafficking. Alongside Karol Mason, her colleagues in the Office of Justice Programs, our United States Attorney’s Offices, the Office on Violence Against Women, the FBI, the COPS Office and our law enforcement partners, Vanita and Leslie – and the Divisions they lead - stand on the front lines of this critical effort. The tireless work of all of these committed public servants – here at Main Justice and in offices across the country – has been vital in establishing the record of progress we celebrate today. And it’s only with their continued leadership that we’ll be able to build on this progress as we look to the future.
I also want to extend a special welcome to the survivors who have come to share their stories with us - and from whom we’ll be hearing in just a few minutes. You honor us with your presence this afternoon. Your strength is humbling. Your courage is inspiring. And your resolve -to transform experiences of pain and horror into powerful forces for healing – gives hope to countless survivors, advocates, and law enforcement leaders, all of whom are proud to stand shoulder-to-shoulder with you today.
It is because of these remarkable individuals, and so many others, that we’ve come together to mark this year’s National Slavery and Human Trafficking Prevention Month -here in the heart of an institution dedicated to the cause of justice. Each year, this solemn observance presents an important opportunity to shine a light on the powerful – and promising – work that so many of you are leading. Even more importantly, it offers a vital chance to rededicate ourselves to the serious and systemic challenges that remain before us – challenges of a scope, and an astonishing global scale, that are almost without rival. Challenges that demand that we redouble our efforts to reach more and more survivors, millions of whom are in dire need of our assistance right this minute. Challenges that impel each of us to renew our resolve to bring to justice every perpetrator of forced labor, sex trafficking and other heinous crimes that seek to deny the rights, the freedom, and the basic human dignity of every victim.
It is abhorrent and almost inconceivable, that today – a century and a half after the Emancipation Proclamation, and more than six decades after the United Nations Declaration of Human Rights – these forms of peonage and bondage endure, both around the world and within our own borders. It is unacceptable that millions of people toil in the shadows even as we speak – people who are viewed by their traffickers as nothing more than commodities. People whose enslavement and exploitation feed an illicit economy built on the trade, and the inhuman treatment, of vulnerable human beings. And people whose lives are subject to the control of cruel captors, and whose desperate plight is a stain on the soul of our civilization.
The United Nations has rightly described human trafficking as “a crime that shames us all.” So let us declare today – here and now – that we are determined to stand in shame no longer.
In recent years, people of conscience around the world have increasingly fought back against slavery, bonded labor, and sex trafficking. And the United States – led by this Department of Justice and our federal agency partners – is helping to lead the way.
The Justice Department’s commitment to this work has never been stronger, nor our strategy more effective. Our determination to take a zero-tolerance, whole-of-government approach to confronting this problem – and advancing the long struggle for freedom, fairness, and justice – has never been more robust. And that’s why, with the continued leadership of everyone in this Great Hall, and the engagement of our allies around the world, I’ve never been more confident that we can take this effort to a new level.
Over the last five years, in conjunction with our U.S. Attorneys nationwide, the Civil Rights Division’s Human Trafficking Prosecution Unit, or HTPU – under the exemplary leadership of Director Hilary Axam – has prosecuted record numbers of labor trafficking, international sex trafficking, and adult sex trafficking cases – 56 percent more than in the previous five years.
This is outstanding work – and there can be no question that these efforts, combined with the tremendous work of the Criminal Division’s Child Exploitation and Obscenity Section, are having a tangible, positive impact on the lives of thousands of people on a regular basis. Yet there remain far too many victims in urgent need of our help. That’s why the Justice Department is taking new action to support a range of innovative, collaborative efforts to identify and stop traffickers – and to help victims heal and rebuild their lives. And it’s why we’re doing important work to bring new allies into this fight – and to improve coordination between agencies at every level of government.
As Sally noted, in 2011, HTPU and the Executive Office for United States Attorneys partnered with the FBI and the Departments of Labor and Homeland Security to launch the Anti-Trafficking Coordination Team – or ACTeam – Initiative. This has enabled us to streamline working relationships among federal prosecutors and federal investigative agencies, both on the front lines and at the national level.
Since their inception, our six Phase I Pilot ACTeams have developed significant human trafficking cases. As Sally saw firsthand in Atlanta, Phase I has proved highly effective. And based on this demonstrated record of success, I am proud to announce today that the Justice Department and our outstanding partners – in the FBI and the Departments of Homeland Security and Labor – are actively preparing to proceed to Phase II. We are laying the groundwork for a forthcoming interagency launch, which will begin with a competitive, nationwide selection process to identify Phase II ACTeam sites.
We’ll also continue to reinforce key relationships both within, and beyond, America’s borders – because it’s only by rallying a broad coalition of international partners that we can combat human trafficking on a truly global scale. This is the vision behind our collaboration with the Department of Homeland Security, the FBI, and our Mexican law enforcement counterparts to ensure that human traffickers are brought to justice. And these groundbreaking advances have had a significant impact on efforts to dismantle trafficking networks on both sides of the border – and to restore the lives and dignity of victims ravaged by their brutality.
In so many ways, the results we’ve obtained are emblematic of what we can achieve through the type of intensive collaboration that must drive our commitment moving forward. And they illustrate the power of robust enforcement and victim assistance to improve and even save the lives of those who are rescued when human traffickers are disrupted.
No one understands this better than the dedicated men and women of the department’s Office for Victims of Crime, whose efforts are in many ways at the heart of this country’s determination not just to stop trafficking, but to support and empower all whose lives have been touched by these appalling crimes. Under the leadership of Director Joye Frost – who has been a key champion of this work, and who’s here with us today – OVC is helping to drive a victim-centered approach to addressing human trafficking, offering services to survivors, and engaging them as valued leaders in our campaign to reach still more who have been victimized.
Thanks to OVC’s great work, the Justice Department’s efforts have been indelibly linked to – and strengthened by – the courageous participation and advocacy of survivors. These brave people come from all backgrounds and walks of life. They are U.S. citizens and foreign nationals. They are men, women, and children who were subjected to sex trafficking or forced labor. And they’re helping us to ensure that every survivor is stabilized, supported, and empowered to participate fully in every step of every process – because nothing is more important than making sure their needs are met, their voices are heard, and their futures belong to them once more. Going forward, we will continue to draw on the wisdom, strength, and resilience of these survivor advocates to enrich our expertise and redouble our resolve. For instance, in the lead-up to this administration’s launch of the first-ever government-wide Strategic Action Plan for Services for Victims of Human Trafficking, OVC provided strong leadership on behalf of the Justice Department. And they worked closely with the Departments of Homeland Security and Health and Human Services to shape a five-year strategy for strengthening capacity – and streamlining collaboration – among federal agencies and key nongovernmental allies.
Now, I believe we can all be proud of everything this department is doing to raise awareness about – and to directly combat – the global crisis of human trafficking. As our nation’s Attorney General, and as the father of three children, advancing these efforts has been both a personal and professional priority for many years. From our Office of Juvenile Justice and Delinquency Prevention, to the Bureau of Justice Assistance and the National Institute of Justice, I’ve been gratified to see nearly every DOJ office and component take new ownership, and display strong leadership, in some aspect of this important work.
Together, we are realizing the historic commitment we’ve made – under President Obama’s leadership – to cut down on the illicit trade in innocent human beings. Thanks to the tireless work of our new Deputy Attorney General – and the determination of the excellent and principled leader who will soon be confirmed as Attorney General of the United States – I am confident that this effort will only grow stronger in the months and years ahead.
But, like all of you, I also recognize that we will never be able to make the progress we need on our own. We must continue to expand partnerships beyond the halls of government. We must strive to enlist the American people in identifying victims who are hiding in plain sight. Above all, we must capitalize on this rare opportunity to build on the work that’s underway – and the momentum we’ve established – by standing together, speaking together, and working together as never before. By recommitting ourselves to the pursuit of a more perfect Union that must animate this great Department’s efforts. And by reaffirming our shared destiny – as one nation and one people – dedicated to freedom, and devoted always to the notion that America’s future will be defined by the support we provide to the most vulnerable members of our society.
From this moment on, let this be the creed that pushes us forward. And let this be the call we answer, and the cause we serve, wherever our individual paths may take us in the months and years to come.
I want to thank you all, once again, for your leadership, your partnership, and your determination to help make the difference we seek. I will always be honored, and humbled, to count you as colleagues and partners. And I look forward to everything this department – and this great nation – will achieve in the critical days ahead.
Attorney General Eric H. Holder Jr. Delivers Remarks at Justice Department Event Marking National Slavery and Human Trafficking Prevention Month
Washington, DCUnited States ~ Thursday, January 29, 2015
Remarks as prepared for delivery
Thank you, Sally [Yates], for that introduction – and for your strong leadership of the department’s anti-human trafficking efforts, in Atlanta and far beyond. It’s a distinct pleasure to officially welcome you, on behalf of our colleagues, as Acting Deputy Attorney General of the United States. And it’s an honor to join so many outstanding leaders – including Mayors [Kasim] Reed and [William] Bell, former Congressman [Dan] Lungren, and of course Assistant Attorney General [Karol] Mason, FBI Director [James] Comey, and Deputy Director [Kris] Rose – for this important commemoration.
I’d like to begin today by recognizing Assistant Attorneys General Vanita Gupta, of the Civil Rights Division and Leslie Caldwell, of the Criminal Division, for their dedication to combating the scourge of human trafficking. Alongside Karol Mason, her colleagues in the Office of Justice Programs, our United States Attorney’s Offices, the Office on Violence Against Women, the FBI, the COPS Office and our law enforcement partners, Vanita and Leslie – and the Divisions they lead - stand on the front lines of this critical effort. The tireless work of all of these committed public servants – here at Main Justice and in offices across the country – has been vital in establishing the record of progress we celebrate today. And it’s only with their continued leadership that we’ll be able to build on this progress as we look to the future.
I also want to extend a special welcome to the survivors who have come to share their stories with us - and from whom we’ll be hearing in just a few minutes. You honor us with your presence this afternoon. Your strength is humbling. Your courage is inspiring. And your resolve -to transform experiences of pain and horror into powerful forces for healing – gives hope to countless survivors, advocates, and law enforcement leaders, all of whom are proud to stand shoulder-to-shoulder with you today.
It is because of these remarkable individuals, and so many others, that we’ve come together to mark this year’s National Slavery and Human Trafficking Prevention Month -here in the heart of an institution dedicated to the cause of justice. Each year, this solemn observance presents an important opportunity to shine a light on the powerful – and promising – work that so many of you are leading. Even more importantly, it offers a vital chance to rededicate ourselves to the serious and systemic challenges that remain before us – challenges of a scope, and an astonishing global scale, that are almost without rival. Challenges that demand that we redouble our efforts to reach more and more survivors, millions of whom are in dire need of our assistance right this minute. Challenges that impel each of us to renew our resolve to bring to justice every perpetrator of forced labor, sex trafficking and other heinous crimes that seek to deny the rights, the freedom, and the basic human dignity of every victim.
It is abhorrent and almost inconceivable, that today – a century and a half after the Emancipation Proclamation, and more than six decades after the United Nations Declaration of Human Rights – these forms of peonage and bondage endure, both around the world and within our own borders. It is unacceptable that millions of people toil in the shadows even as we speak – people who are viewed by their traffickers as nothing more than commodities. People whose enslavement and exploitation feed an illicit economy built on the trade, and the inhuman treatment, of vulnerable human beings. And people whose lives are subject to the control of cruel captors, and whose desperate plight is a stain on the soul of our civilization.
The United Nations has rightly described human trafficking as “a crime that shames us all.” So let us declare today – here and now – that we are determined to stand in shame no longer.
In recent years, people of conscience around the world have increasingly fought back against slavery, bonded labor, and sex trafficking. And the United States – led by this Department of Justice and our federal agency partners – is helping to lead the way.
The Justice Department’s commitment to this work has never been stronger, nor our strategy more effective. Our determination to take a zero-tolerance, whole-of-government approach to confronting this problem – and advancing the long struggle for freedom, fairness, and justice – has never been more robust. And that’s why, with the continued leadership of everyone in this Great Hall, and the engagement of our allies around the world, I’ve never been more confident that we can take this effort to a new level.
Over the last five years, in conjunction with our U.S. Attorneys nationwide, the Civil Rights Division’s Human Trafficking Prosecution Unit, or HTPU – under the exemplary leadership of Director Hilary Axam – has prosecuted record numbers of labor trafficking, international sex trafficking, and adult sex trafficking cases – 56 percent more than in the previous five years.
This is outstanding work – and there can be no question that these efforts, combined with the tremendous work of the Criminal Division’s Child Exploitation and Obscenity Section, are having a tangible, positive impact on the lives of thousands of people on a regular basis. Yet there remain far too many victims in urgent need of our help. That’s why the Justice Department is taking new action to support a range of innovative, collaborative efforts to identify and stop traffickers – and to help victims heal and rebuild their lives. And it’s why we’re doing important work to bring new allies into this fight – and to improve coordination between agencies at every level of government.
As Sally noted, in 2011, HTPU and the Executive Office for United States Attorneys partnered with the FBI and the Departments of Labor and Homeland Security to launch the Anti-Trafficking Coordination Team – or ACTeam – Initiative. This has enabled us to streamline working relationships among federal prosecutors and federal investigative agencies, both on the front lines and at the national level.
Since their inception, our six Phase I Pilot ACTeams have developed significant human trafficking cases. As Sally saw firsthand in Atlanta, Phase I has proved highly effective. And based on this demonstrated record of success, I am proud to announce today that the Justice Department and our outstanding partners – in the FBI and the Departments of Homeland Security and Labor – are actively preparing to proceed to Phase II. We are laying the groundwork for a forthcoming interagency launch, which will begin with a competitive, nationwide selection process to identify Phase II ACTeam sites.
We’ll also continue to reinforce key relationships both within, and beyond, America’s borders – because it’s only by rallying a broad coalition of international partners that we can combat human trafficking on a truly global scale. This is the vision behind our collaboration with the Department of Homeland Security, the FBI, and our Mexican law enforcement counterparts to ensure that human traffickers are brought to justice. And these groundbreaking advances have had a significant impact on efforts to dismantle trafficking networks on both sides of the border – and to restore the lives and dignity of victims ravaged by their brutality.
In so many ways, the results we’ve obtained are emblematic of what we can achieve through the type of intensive collaboration that must drive our commitment moving forward. And they illustrate the power of robust enforcement and victim assistance to improve and even save the lives of those who are rescued when human traffickers are disrupted.
No one understands this better than the dedicated men and women of the department’s Office for Victims of Crime, whose efforts are in many ways at the heart of this country’s determination not just to stop trafficking, but to support and empower all whose lives have been touched by these appalling crimes. Under the leadership of Director Joye Frost – who has been a key champion of this work, and who’s here with us today – OVC is helping to drive a victim-centered approach to addressing human trafficking, offering services to survivors, and engaging them as valued leaders in our campaign to reach still more who have been victimized.
Thanks to OVC’s great work, the Justice Department’s efforts have been indelibly linked to – and strengthened by – the courageous participation and advocacy of survivors. These brave people come from all backgrounds and walks of life. They are U.S. citizens and foreign nationals. They are men, women, and children who were subjected to sex trafficking or forced labor. And they’re helping us to ensure that every survivor is stabilized, supported, and empowered to participate fully in every step of every process – because nothing is more important than making sure their needs are met, their voices are heard, and their futures belong to them once more. Going forward, we will continue to draw on the wisdom, strength, and resilience of these survivor advocates to enrich our expertise and redouble our resolve. For instance, in the lead-up to this administration’s launch of the first-ever government-wide Strategic Action Plan for Services for Victims of Human Trafficking, OVC provided strong leadership on behalf of the Justice Department. And they worked closely with the Departments of Homeland Security and Health and Human Services to shape a five-year strategy for strengthening capacity – and streamlining collaboration – among federal agencies and key nongovernmental allies.
Now, I believe we can all be proud of everything this department is doing to raise awareness about – and to directly combat – the global crisis of human trafficking. As our nation’s Attorney General, and as the father of three children, advancing these efforts has been both a personal and professional priority for many years. From our Office of Juvenile Justice and Delinquency Prevention, to the Bureau of Justice Assistance and the National Institute of Justice, I’ve been gratified to see nearly every DOJ office and component take new ownership, and display strong leadership, in some aspect of this important work.
Together, we are realizing the historic commitment we’ve made – under President Obama’s leadership – to cut down on the illicit trade in innocent human beings. Thanks to the tireless work of our new Deputy Attorney General – and the determination of the excellent and principled leader who will soon be confirmed as Attorney General of the United States – I am confident that this effort will only grow stronger in the months and years ahead.
But, like all of you, I also recognize that we will never be able to make the progress we need on our own. We must continue to expand partnerships beyond the halls of government. We must strive to enlist the American people in identifying victims who are hiding in plain sight. Above all, we must capitalize on this rare opportunity to build on the work that’s underway – and the momentum we’ve established – by standing together, speaking together, and working together as never before. By recommitting ourselves to the pursuit of a more perfect Union that must animate this great Department’s efforts. And by reaffirming our shared destiny – as one nation and one people – dedicated to freedom, and devoted always to the notion that America’s future will be defined by the support we provide to the most vulnerable members of our society.
From this moment on, let this be the creed that pushes us forward. And let this be the call we answer, and the cause we serve, wherever our individual paths may take us in the months and years to come.
I want to thank you all, once again, for your leadership, your partnership, and your determination to help make the difference we seek. I will always be honored, and humbled, to count you as colleagues and partners. And I look forward to everything this department – and this great nation – will achieve in the critical days ahead.
WHITE HOUSE FACT SHEET ON PRECISION MEDICINE INITIATIVE
FROM: THE WHITE HOUSE
January 30, 2015
FACT SHEET: President Obama’s Precision Medicine Initiative
Building on President Obama’s announcement in his State of the Union Address, today the Administration is unveiling details about the Precision Medicine Initiative, a bold new research effort to revolutionize how we improve health and treat disease. Launched with a $215 million investment in the President’s 2016 Budget, the Precision Medicine Initiative will pioneer a new model of patient-powered research that promises to accelerate biomedical discoveries and provide clinicians with new tools, knowledge, and therapies to select which treatments will work best for which patients.
Most medical treatments have been designed for the “average patient.” As a result of this “one-size-fits-all-approach,” treatments can be very successful for some patients but not for others. This is changing with the emergence of precision medicine, an innovative approach to disease prevention and treatment that takes into account individual differences in people’s genes, environments, and lifestyles. Precision medicine gives clinicians tools to better understand the complex mechanisms underlying a patient’s health, disease, or condition, and to better predict which treatments will be most effective.
Advances in precision medicine have already led to powerful new discoveries and several new treatments that are tailored to specific characteristics of individuals, such as a person’s genetic makeup, or the genetic profile of an individual’s tumor. This is leading to a transformation in the way we can treat diseases such as cancer. Patients with breast, lung, and colorectal cancers, as well as melanomas and leukemias, for instance, routinely undergo molecular testing as part of patient care, enabling physicians to select treatments that improve chances of survival and reduce exposure to adverse effects.
The potential for precision medicine to improve care and speed the development of new treatments has only just begun to be tapped. Translating initial successes to a larger scale will require a coordinated and sustained national effort. Through collaborative public and private efforts, the Precision Medicine Initiative will leverage advances in genomics, emerging methods for managing and analyzing large data sets while protecting privacy, and health information technology to accelerate biomedical discoveries. The Initiative will also engage a million or more Americans to volunteer to contribute their health data to improve health outcomes, fuel the development of new treatments, and catalyze a new era of data-based and more precise medical treatment.
Key Investments to Launch the Precision Medicine Initiative:
Complementing robust investments to broadly support research, development, and innovation, the President’s 2016 Budget will provide a $215 million investment for the National Institutes of Health (NIH), together with the Food and Drug Administration (FDA), and the Office of the National Coordinator for Health Information Technology (ONC) to support this effort, including:
$130 million to NIH for development of a voluntary national research cohort of a million or more volunteers to propel our understanding of health and disease and set the foundation for a new way of doing research through engaged participants and open, responsible data sharing.
$70 million to the National Cancer Institute (NCI), part of NIH, to scale up efforts to identify genomic drivers in cancer and apply that knowledge in the development of more effective approaches to cancer treatment.
$10 million to FDA to acquire additional expertise and advance the development of high quality, curated databases to support the regulatory structure needed to advance innovation in precision medicine and protect public health.
$5 million to ONC to support the development of interoperability standards and requirements that address privacy and enable secure exchange of data across systems.
Objectives of the Precision Medicine Initiative:
More and better treatments for cancer: NCI will accelerate the design and testing of effective, tailored treatments for cancer by expanding genetically based clinical cancer trials, exploring fundamental aspects of cancer biology, and establishing a national “cancer knowledge network” that will generate and share new knowledge to fuel scientific discovery and guide treatment decisions.
Creation of a voluntary national research cohort: NIH, in collaboration with other agencies and stakeholders, will launch a national, patient-powered research cohort of one million or more Americans who volunteer to participate in research. Participants will be involved in the design of the Initiative and will have the opportunity to contribute diverse sources of data—including medical records; profiles of the patient’s genes, metabolites (chemical makeup), and microorganisms in and on the body; environmental and lifestyle data; patient-generated information; and personal device and sensor data. Privacy will be rigorously protected. This ambitious project will leverage existing research and clinical networks and build on innovative research models that enable patients to be active participants and partners. The cohort will be broadly accessible to qualified researchers and will have the potential to inspire scientists from multiple disciplines to join the effort and apply their creative thinking to generate new insights. The ONC will develop interoperability standards and requirements to ensure secure data exchange with patients’ consent, to empower patients and clinicians and advance individual, community, and population health.
Commitment to protecting privacy: To ensure from the start that this Initiative adheres to rigorous privacy protections, the White House will launch a multi-stakeholder process with HHS and other Federal agencies to solicit input from patient groups, bioethicists, privacy, and civil liberties advocates, technologists, and other experts in order to identify and address any legal and technical issues related to the privacy and security of data in the context of precision medicine.
Regulatory modernization: The Initiative will include reviewing the current regulatory landscape to determine whether changes are needed to support the development of this new research and care model, including its critical privacy and participant protection framework. As part of this effort, the FDA will develop a new approach for evaluating Next Generation Sequencing technologies — tests that rapidly sequence large segments of a person’s DNA, or even their entire genome. The new approach will facilitate the generation of knowledge about which genetic changes are important to patient care and foster innovation in genetic sequencing technology, while ensuring that the tests are accurate and reliable.
Public-private partnerships: The Obama Administration will forge strong partnerships with existing research cohorts, patient groups, and the private sector to develop the infrastructure that will be needed to expand cancer genomics, and to launch a voluntary million-person cohort. The Administration will call on academic medical centers, researchers, foundations, privacy experts, medical ethicists, and medical product innovators to lay the foundation for this effort, including developing new approaches to patient participation and empowerment. The Administration will carefully consider and develop an approach to precision medicine, including appropriate regulatory frameworks, that ensures consumers have access to their own health data – and to the applications and services that can safely and accurately analyze it – so that in addition to treating disease, we can empower individuals and families to invest in and manage their health.
January 30, 2015
FACT SHEET: President Obama’s Precision Medicine Initiative
Building on President Obama’s announcement in his State of the Union Address, today the Administration is unveiling details about the Precision Medicine Initiative, a bold new research effort to revolutionize how we improve health and treat disease. Launched with a $215 million investment in the President’s 2016 Budget, the Precision Medicine Initiative will pioneer a new model of patient-powered research that promises to accelerate biomedical discoveries and provide clinicians with new tools, knowledge, and therapies to select which treatments will work best for which patients.
Most medical treatments have been designed for the “average patient.” As a result of this “one-size-fits-all-approach,” treatments can be very successful for some patients but not for others. This is changing with the emergence of precision medicine, an innovative approach to disease prevention and treatment that takes into account individual differences in people’s genes, environments, and lifestyles. Precision medicine gives clinicians tools to better understand the complex mechanisms underlying a patient’s health, disease, or condition, and to better predict which treatments will be most effective.
Advances in precision medicine have already led to powerful new discoveries and several new treatments that are tailored to specific characteristics of individuals, such as a person’s genetic makeup, or the genetic profile of an individual’s tumor. This is leading to a transformation in the way we can treat diseases such as cancer. Patients with breast, lung, and colorectal cancers, as well as melanomas and leukemias, for instance, routinely undergo molecular testing as part of patient care, enabling physicians to select treatments that improve chances of survival and reduce exposure to adverse effects.
The potential for precision medicine to improve care and speed the development of new treatments has only just begun to be tapped. Translating initial successes to a larger scale will require a coordinated and sustained national effort. Through collaborative public and private efforts, the Precision Medicine Initiative will leverage advances in genomics, emerging methods for managing and analyzing large data sets while protecting privacy, and health information technology to accelerate biomedical discoveries. The Initiative will also engage a million or more Americans to volunteer to contribute their health data to improve health outcomes, fuel the development of new treatments, and catalyze a new era of data-based and more precise medical treatment.
Key Investments to Launch the Precision Medicine Initiative:
Complementing robust investments to broadly support research, development, and innovation, the President’s 2016 Budget will provide a $215 million investment for the National Institutes of Health (NIH), together with the Food and Drug Administration (FDA), and the Office of the National Coordinator for Health Information Technology (ONC) to support this effort, including:
$130 million to NIH for development of a voluntary national research cohort of a million or more volunteers to propel our understanding of health and disease and set the foundation for a new way of doing research through engaged participants and open, responsible data sharing.
$70 million to the National Cancer Institute (NCI), part of NIH, to scale up efforts to identify genomic drivers in cancer and apply that knowledge in the development of more effective approaches to cancer treatment.
$10 million to FDA to acquire additional expertise and advance the development of high quality, curated databases to support the regulatory structure needed to advance innovation in precision medicine and protect public health.
$5 million to ONC to support the development of interoperability standards and requirements that address privacy and enable secure exchange of data across systems.
Objectives of the Precision Medicine Initiative:
More and better treatments for cancer: NCI will accelerate the design and testing of effective, tailored treatments for cancer by expanding genetically based clinical cancer trials, exploring fundamental aspects of cancer biology, and establishing a national “cancer knowledge network” that will generate and share new knowledge to fuel scientific discovery and guide treatment decisions.
Creation of a voluntary national research cohort: NIH, in collaboration with other agencies and stakeholders, will launch a national, patient-powered research cohort of one million or more Americans who volunteer to participate in research. Participants will be involved in the design of the Initiative and will have the opportunity to contribute diverse sources of data—including medical records; profiles of the patient’s genes, metabolites (chemical makeup), and microorganisms in and on the body; environmental and lifestyle data; patient-generated information; and personal device and sensor data. Privacy will be rigorously protected. This ambitious project will leverage existing research and clinical networks and build on innovative research models that enable patients to be active participants and partners. The cohort will be broadly accessible to qualified researchers and will have the potential to inspire scientists from multiple disciplines to join the effort and apply their creative thinking to generate new insights. The ONC will develop interoperability standards and requirements to ensure secure data exchange with patients’ consent, to empower patients and clinicians and advance individual, community, and population health.
Commitment to protecting privacy: To ensure from the start that this Initiative adheres to rigorous privacy protections, the White House will launch a multi-stakeholder process with HHS and other Federal agencies to solicit input from patient groups, bioethicists, privacy, and civil liberties advocates, technologists, and other experts in order to identify and address any legal and technical issues related to the privacy and security of data in the context of precision medicine.
Regulatory modernization: The Initiative will include reviewing the current regulatory landscape to determine whether changes are needed to support the development of this new research and care model, including its critical privacy and participant protection framework. As part of this effort, the FDA will develop a new approach for evaluating Next Generation Sequencing technologies — tests that rapidly sequence large segments of a person’s DNA, or even their entire genome. The new approach will facilitate the generation of knowledge about which genetic changes are important to patient care and foster innovation in genetic sequencing technology, while ensuring that the tests are accurate and reliable.
Public-private partnerships: The Obama Administration will forge strong partnerships with existing research cohorts, patient groups, and the private sector to develop the infrastructure that will be needed to expand cancer genomics, and to launch a voluntary million-person cohort. The Administration will call on academic medical centers, researchers, foundations, privacy experts, medical ethicists, and medical product innovators to lay the foundation for this effort, including developing new approaches to patient participation and empowerment. The Administration will carefully consider and develop an approach to precision medicine, including appropriate regulatory frameworks, that ensures consumers have access to their own health data – and to the applications and services that can safely and accurately analyze it – so that in addition to treating disease, we can empower individuals and families to invest in and manage their health.
Sunday, February 1, 2015
WHITE HOUSE FACT SHEET ON RENEWABLE ENERGY AND MULTIFAMILY HOUSING PARTNERSHIP WITH CALIFORNIA
FROM: THE WHITE HOUSE
January 29, 2015
FACT SHEET: Administration and California Partner to Drive Renewable Energy and Energy Efficiency in Multifamily Housing
The Obama Administration is committed to taking responsible steps to address climate change, promote clean energy, and help ensure a cleaner, more stable environment for future generations. That is why, today, Secretary Castro, of the U.S. Department of Housing and Urban Development (HUD), and Governor Brown of California are announcing a number of actions to expand financing for energy efficiency and solar energy in multifamily housing. Today’s actions also set us on a track to reach the President’s goal of installing 100 megawatts of renewable energy across federally subsidized housing by 2020.
In the United States, about a quarter of households live in multifamily housing units, including more than 3 million units in California alone. Improving the energy efficiency of these buildings nationwide by 20 percent would save nearly $7 billion in energy costs each year and cut 350 million tons of carbon pollution in a decade. Across the country, affordable housing leaders and service providers are also stepping up to deploy solar energy on affordable multifamily properties; because solar makes economic sense for them, brings a boost to struggling communities and families, and is something that works now. To continue to reinforce American leadership in deploying clean energy and cutting energy waste while creating jobs and reducing carbon pollution, the Administration and California are partnering to announce the following actions:
Unlocking Property-Assessed Clean Energy (PACE) Financing for Multifamily Housing in California: PACE is an innovative mechanism for financing energy efficiency and renewable energy improvements. Commercial PACE programs have the potential to provide a robust source of capital to accelerate renewable energy and energy and water efficiency retrofits in multifamily housing, making the existing multifamily stock more affordable to renters with low incomes and saving money for consumers and taxpayers. To remove existing barriers and accelerate the use of PACE financing for multifamily housing, today:
Governor Brown is establishing a California Multifamily PACE Pilot in partnership with the MacArthur Foundation. The Pilot will enable PACE financing for certain multifamily properties, including specific properties within HUD, the California Department of Housing and Community Development, and the California Housing Finance Agency’s portfolios, opening up financing to an entire segment of commercial PACE projects.
Secretary Castro is issuing guidance clarifying the circumstances under which HUD can approve PACE financing on HUD-assisted and-insured housing in California.
The U.S. Department of Energy is committing to work with the State of California to design and undertake a study assessing the performance of California’s PACE program as data becomes available.
Driving On-Bill Repayment in Affordable Multifamily Properties in California: HUD is committing to support the State of California in creating an innovative California Master-Metered Multifamily Finance Pilot Project. The Pilot will enhance affordable multifamily properties’, which have a substantial majority of a property's energy consumption billed through a common meter, access to upfront capital for financing energy efficiency improvements, on affordable terms and time frames, and which are repaid through the master meter utility bill. The $3 million program of technical assistance and credit support may include a loan loss reserve and/or a debt-service reserve fund. The pilot is intended to inform project performance and repayment experience while managing finance risk perception.
Engaging Philanthropy and the Financial Sector to Support Renewable Energy in Affordable Housing: To set us down this path, today, we are announcing:
The White House and HUD will host a roundtable on February 19 with leaders from the finance and philanthropic communities to discuss opportunities to enhance solar financing for affordable housing.
Building on $200 million invested on multifamily preservation projects, the MacArthur Foundation is committing to make at least $10 million in impact investments to create and expand the California PACE and On-Bill Pilots, and explore other innovations, including the use of Pay for Success.
Empowering Communities to Deploy Solar: Today, the Department of Energy is awarding more than $14 million for 15 projects that will develop plans, streamline deployment and launch innovative programs to spur solar market growth in numerous communities across the U.S. The projects take a variety of approaches to develop actionable strategic plans to promote deployment at residential, community and commercial scales—from using local financing mechanisms, such as commercial PACE type projects to integrating solar energy generation into communities’ emergency response plans. Ultimately, the case studies and lessons learned from these projects will provide similar communities with examples that can be replicated—an important step towards making solar deployment faster, easier, and cheaper across the country. The awardees include not-for-profits, utilities, industry associations, universities, and state and local jurisdictions in California, Illinois, Minnesota, New York, Utah, Virginia, Vermont, Wisconsin, and Washington, D.C.
Announcing New Commitments to Advance Energy Efficiency Investments in Multifamily Housing: In February 2011, President Obama launched the Better Buildings Challenge to help American commercial, industrial, and multifamily buildings become at least 20 percent more energy efficient by 2020. More than 250 diverse organizations, representing over 3 billion square feet, 600 manufacturing plants, and more than $2 billion in energy efficiency financing have stepped up to the President’s Challenge, including more than 85 new multifamily partners since the Challenge was expanded to multifamily housing. Since the Better Building Challenge began, partners are on track to meet the 2020 goal and on average, are cutting energy use by 2.5 percent each year, saving 36 trillion BTUs and $300 million. Today, responding to the President’s call to action on energy efficiency 6 new multifamily housing authorities and owners are announcing that they are joining the President’s Better Buildings Challenge, committing to improving the energy efficiency of more than 5.5 million square feet of additional floor space, an area the size of more than 115 football fields, by at least 20 percent in the next decade:
AHEAD, Inc., Littleton, NH
Gragg Cardona Partners, Washington, DC
Housing Authority of the Birmingham District, Birmingham, AL
Newark Housing Authority, Newark, NJ
The DeBruler Co., Libertyville, IL
Windsor Locks Housing Authority, Windsor Locks, CT.
The Administration is also calling on Section 202 Project Rental Assistance Contract (PRAC) properties serving elderly and disabled Californians to take advantage of the PRAC Shared Savings incentive HUD released in September 2014. The incentive allows owners to utilize realized utility bill savings to make needed energy and water improvements at their property as part of the Better Buildings Challenge.
Making Energy Data More Accessible For Multifamily Housing Owners: Better information helps building owners and residents understand when there are opportunities to reduce energy consumption, which saves money for tenants, owners and taxpayers. HUD spends approximately $6.4 billion annually on utility costs for affordable housing properties and households, so improving access to utility data for owners and tenants is a high priority. As part of HUD’s work on data access, HUD will be publishing guidance that standardizes the approach owners and performance based contract administrators use to appropriately assess the utility subsidy levels needed to offset tenant paid utilities. In November, Secretary Castro issued a call to utilities to work with HUD as well as regulators, property owners, and other stakeholders across the country to facilitate better processes for building owners to access utility usage and expense information for their properties. Today, California is responding to Secretary Castro’s call by announcing it will obtain and ensure owner access to energy usage data, with appropriate privacy protections, for multi-family buildings and set data standardization and benchmarking efforts to ensure the data that is collected in a way that is accessible and can be used to track progress towards achieving their energy and climate goals.
TODAY’S ANNOUNCEMENTS BUILD ON PROGRESS TO DEPLOY RENEWABLE ENERGY AND PROMOTE ENERGY EFFICIENCY
In the State of the Union, the President stated that last year, we installed as much solar every three weeks as we did in all of 2008. In 2013 alone, the price of commercial and residential solar declined by more than 12 percent. This is driving more and more Americans to install solar panels at their homes and businesses, and is supporting tens of thousands of solar jobs across the country. We are also making progress cutting energy waste. Since 2009, the U.S. Department of Energy has already put in place appliance efficiency standards that will save American consumers nearly $480 billion on their utility bills through 2030.
In January, Governor Brown set an ambitious goal for California to generate 50 percent of its electricity from renewable energy by 2050. The actions announced today are consistent with that goal and build on a solid commitment to deploy renewable energy and promote energy efficiency statewide. In July 2014, Governor Brown allocated $75 million cap-and-trade proceeds for weatherization and renewable energy. A proportion of these funds will assist in the installation of energy efficiency and renewable energy projects in low income housing units within disadvantaged communities.
January 29, 2015
FACT SHEET: Administration and California Partner to Drive Renewable Energy and Energy Efficiency in Multifamily Housing
The Obama Administration is committed to taking responsible steps to address climate change, promote clean energy, and help ensure a cleaner, more stable environment for future generations. That is why, today, Secretary Castro, of the U.S. Department of Housing and Urban Development (HUD), and Governor Brown of California are announcing a number of actions to expand financing for energy efficiency and solar energy in multifamily housing. Today’s actions also set us on a track to reach the President’s goal of installing 100 megawatts of renewable energy across federally subsidized housing by 2020.
In the United States, about a quarter of households live in multifamily housing units, including more than 3 million units in California alone. Improving the energy efficiency of these buildings nationwide by 20 percent would save nearly $7 billion in energy costs each year and cut 350 million tons of carbon pollution in a decade. Across the country, affordable housing leaders and service providers are also stepping up to deploy solar energy on affordable multifamily properties; because solar makes economic sense for them, brings a boost to struggling communities and families, and is something that works now. To continue to reinforce American leadership in deploying clean energy and cutting energy waste while creating jobs and reducing carbon pollution, the Administration and California are partnering to announce the following actions:
Unlocking Property-Assessed Clean Energy (PACE) Financing for Multifamily Housing in California: PACE is an innovative mechanism for financing energy efficiency and renewable energy improvements. Commercial PACE programs have the potential to provide a robust source of capital to accelerate renewable energy and energy and water efficiency retrofits in multifamily housing, making the existing multifamily stock more affordable to renters with low incomes and saving money for consumers and taxpayers. To remove existing barriers and accelerate the use of PACE financing for multifamily housing, today:
Governor Brown is establishing a California Multifamily PACE Pilot in partnership with the MacArthur Foundation. The Pilot will enable PACE financing for certain multifamily properties, including specific properties within HUD, the California Department of Housing and Community Development, and the California Housing Finance Agency’s portfolios, opening up financing to an entire segment of commercial PACE projects.
Secretary Castro is issuing guidance clarifying the circumstances under which HUD can approve PACE financing on HUD-assisted and-insured housing in California.
The U.S. Department of Energy is committing to work with the State of California to design and undertake a study assessing the performance of California’s PACE program as data becomes available.
Driving On-Bill Repayment in Affordable Multifamily Properties in California: HUD is committing to support the State of California in creating an innovative California Master-Metered Multifamily Finance Pilot Project. The Pilot will enhance affordable multifamily properties’, which have a substantial majority of a property's energy consumption billed through a common meter, access to upfront capital for financing energy efficiency improvements, on affordable terms and time frames, and which are repaid through the master meter utility bill. The $3 million program of technical assistance and credit support may include a loan loss reserve and/or a debt-service reserve fund. The pilot is intended to inform project performance and repayment experience while managing finance risk perception.
Engaging Philanthropy and the Financial Sector to Support Renewable Energy in Affordable Housing: To set us down this path, today, we are announcing:
The White House and HUD will host a roundtable on February 19 with leaders from the finance and philanthropic communities to discuss opportunities to enhance solar financing for affordable housing.
Building on $200 million invested on multifamily preservation projects, the MacArthur Foundation is committing to make at least $10 million in impact investments to create and expand the California PACE and On-Bill Pilots, and explore other innovations, including the use of Pay for Success.
Empowering Communities to Deploy Solar: Today, the Department of Energy is awarding more than $14 million for 15 projects that will develop plans, streamline deployment and launch innovative programs to spur solar market growth in numerous communities across the U.S. The projects take a variety of approaches to develop actionable strategic plans to promote deployment at residential, community and commercial scales—from using local financing mechanisms, such as commercial PACE type projects to integrating solar energy generation into communities’ emergency response plans. Ultimately, the case studies and lessons learned from these projects will provide similar communities with examples that can be replicated—an important step towards making solar deployment faster, easier, and cheaper across the country. The awardees include not-for-profits, utilities, industry associations, universities, and state and local jurisdictions in California, Illinois, Minnesota, New York, Utah, Virginia, Vermont, Wisconsin, and Washington, D.C.
Announcing New Commitments to Advance Energy Efficiency Investments in Multifamily Housing: In February 2011, President Obama launched the Better Buildings Challenge to help American commercial, industrial, and multifamily buildings become at least 20 percent more energy efficient by 2020. More than 250 diverse organizations, representing over 3 billion square feet, 600 manufacturing plants, and more than $2 billion in energy efficiency financing have stepped up to the President’s Challenge, including more than 85 new multifamily partners since the Challenge was expanded to multifamily housing. Since the Better Building Challenge began, partners are on track to meet the 2020 goal and on average, are cutting energy use by 2.5 percent each year, saving 36 trillion BTUs and $300 million. Today, responding to the President’s call to action on energy efficiency 6 new multifamily housing authorities and owners are announcing that they are joining the President’s Better Buildings Challenge, committing to improving the energy efficiency of more than 5.5 million square feet of additional floor space, an area the size of more than 115 football fields, by at least 20 percent in the next decade:
AHEAD, Inc., Littleton, NH
Gragg Cardona Partners, Washington, DC
Housing Authority of the Birmingham District, Birmingham, AL
Newark Housing Authority, Newark, NJ
The DeBruler Co., Libertyville, IL
Windsor Locks Housing Authority, Windsor Locks, CT.
The Administration is also calling on Section 202 Project Rental Assistance Contract (PRAC) properties serving elderly and disabled Californians to take advantage of the PRAC Shared Savings incentive HUD released in September 2014. The incentive allows owners to utilize realized utility bill savings to make needed energy and water improvements at their property as part of the Better Buildings Challenge.
Making Energy Data More Accessible For Multifamily Housing Owners: Better information helps building owners and residents understand when there are opportunities to reduce energy consumption, which saves money for tenants, owners and taxpayers. HUD spends approximately $6.4 billion annually on utility costs for affordable housing properties and households, so improving access to utility data for owners and tenants is a high priority. As part of HUD’s work on data access, HUD will be publishing guidance that standardizes the approach owners and performance based contract administrators use to appropriately assess the utility subsidy levels needed to offset tenant paid utilities. In November, Secretary Castro issued a call to utilities to work with HUD as well as regulators, property owners, and other stakeholders across the country to facilitate better processes for building owners to access utility usage and expense information for their properties. Today, California is responding to Secretary Castro’s call by announcing it will obtain and ensure owner access to energy usage data, with appropriate privacy protections, for multi-family buildings and set data standardization and benchmarking efforts to ensure the data that is collected in a way that is accessible and can be used to track progress towards achieving their energy and climate goals.
TODAY’S ANNOUNCEMENTS BUILD ON PROGRESS TO DEPLOY RENEWABLE ENERGY AND PROMOTE ENERGY EFFICIENCY
In the State of the Union, the President stated that last year, we installed as much solar every three weeks as we did in all of 2008. In 2013 alone, the price of commercial and residential solar declined by more than 12 percent. This is driving more and more Americans to install solar panels at their homes and businesses, and is supporting tens of thousands of solar jobs across the country. We are also making progress cutting energy waste. Since 2009, the U.S. Department of Energy has already put in place appliance efficiency standards that will save American consumers nearly $480 billion on their utility bills through 2030.
In January, Governor Brown set an ambitious goal for California to generate 50 percent of its electricity from renewable energy by 2050. The actions announced today are consistent with that goal and build on a solid commitment to deploy renewable energy and promote energy efficiency statewide. In July 2014, Governor Brown allocated $75 million cap-and-trade proceeds for weatherization and renewable energy. A proportion of these funds will assist in the installation of energy efficiency and renewable energy projects in low income housing units within disadvantaged communities.
SEC CHARGES CHICAGO COMPANY OF SELLING PENNY STOCKS WITHOUT REGISTERING AS BROKER-DEALER
FROM: U.S. SECURITIES AND EXCHANGE COMMISSION
The Securities and Exchange Commission charged a Chicago-area company that provides stock loans using equities as collateral, its two co-founders, and its former chief operating officer with selling more than nine billion shares of penny stocks through purported stock-based loans, block trades, and other transactions without registering with the SEC as a broker-dealer as required under the federal securities laws.
International Capital Group (ICG) and the executives agreed to collectively pay more than $4.3 million to settle the SEC’s charges.
“By selling billions of shares of penny stock without registering with the SEC, ICG and its principals subverted core protections provided to investors by the broker-dealer registration provisions,” said David Glockner, Director of the SEC’s Chicago Regional Office.
According to the SEC’s order instituting a settled administrative proceeding against ICG, its co-founders Brian R. Nord and Larry Russell Jr., and its former COO Todd J. Bergeron, ICG presented itself as a stock-based lender. ICG systematically sold stock obtained as collateral for at least 149 stock-based loans, but failed to register with the SEC as a broker-dealer. On average, ICG began selling the collateral shares it received through each loan three days before closing and funding the loan, and completed the sale of all remaining shares within two weeks of receiving the stock. In many instances, ICG did not provide money to the customer until the stock had been sold in an amount sufficient to fund the loan. On several occasions, ICG also violated the securities registration provisions by distributing unregistered stock that it acquired from issuers or their affiliates. Nord, Russell, and Bergeron directed, authorized, or participated in these transactions.
The SEC’s order finds that ICG violated Section 5 of the Securities Act of 1933 and Section 15(a) of the Securities Exchange Act of 1934. The order finds that Nord, Russell, and Bergeron violated Section 5 of the Securities Act and aided and abetted and caused ICG’s violations of Section 5 of the Securities Act and Section 15(a) of the Exchange Act. Without admitting or denying the findings, they agreed to cease and desist from committing or causing violations of these provisions. ICG, Nord, and Russell must pay $1,670,054 in disgorgement and prejudgment interest as well as penalties of $1.5 million, $300,000, and $250,000 respectively. They are barred from the securities industry and penny stock offerings for five years. Bergeron must pay $417,514 in disgorgement and prejudgment interest and a penalty of $150,000, and he is barred from the securities industry and penny stock offerings for three years.
The SEC’s investigation was conducted by Paul M. G. Helms and Jonathan I. Katz and supervised by Kathryn A. Pyszka in the Chicago Regional Office.
The Securities and Exchange Commission charged a Chicago-area company that provides stock loans using equities as collateral, its two co-founders, and its former chief operating officer with selling more than nine billion shares of penny stocks through purported stock-based loans, block trades, and other transactions without registering with the SEC as a broker-dealer as required under the federal securities laws.
International Capital Group (ICG) and the executives agreed to collectively pay more than $4.3 million to settle the SEC’s charges.
“By selling billions of shares of penny stock without registering with the SEC, ICG and its principals subverted core protections provided to investors by the broker-dealer registration provisions,” said David Glockner, Director of the SEC’s Chicago Regional Office.
According to the SEC’s order instituting a settled administrative proceeding against ICG, its co-founders Brian R. Nord and Larry Russell Jr., and its former COO Todd J. Bergeron, ICG presented itself as a stock-based lender. ICG systematically sold stock obtained as collateral for at least 149 stock-based loans, but failed to register with the SEC as a broker-dealer. On average, ICG began selling the collateral shares it received through each loan three days before closing and funding the loan, and completed the sale of all remaining shares within two weeks of receiving the stock. In many instances, ICG did not provide money to the customer until the stock had been sold in an amount sufficient to fund the loan. On several occasions, ICG also violated the securities registration provisions by distributing unregistered stock that it acquired from issuers or their affiliates. Nord, Russell, and Bergeron directed, authorized, or participated in these transactions.
The SEC’s order finds that ICG violated Section 5 of the Securities Act of 1933 and Section 15(a) of the Securities Exchange Act of 1934. The order finds that Nord, Russell, and Bergeron violated Section 5 of the Securities Act and aided and abetted and caused ICG’s violations of Section 5 of the Securities Act and Section 15(a) of the Exchange Act. Without admitting or denying the findings, they agreed to cease and desist from committing or causing violations of these provisions. ICG, Nord, and Russell must pay $1,670,054 in disgorgement and prejudgment interest as well as penalties of $1.5 million, $300,000, and $250,000 respectively. They are barred from the securities industry and penny stock offerings for five years. Bergeron must pay $417,514 in disgorgement and prejudgment interest and a penalty of $150,000, and he is barred from the securities industry and penny stock offerings for three years.
The SEC’s investigation was conducted by Paul M. G. Helms and Jonathan I. Katz and supervised by Kathryn A. Pyszka in the Chicago Regional Office.
LABOR DEPARTMENT ANNOUNCES $8 MILLION AWARD TO HELP PREVENT AND REDUCE CHILD LABOR IN VIETNAM
FROM: U.S. LABOR DEPARTMENT
LAB News Release: [01/29/2015]
Release Number: 15-0038-NAT
International Labor Organization receives $8 million award from
US Labor Department to prevent and reduce child labor in Vietnam
WASHINGTON — The U.S. Department of Labor's Bureau of International Labor Affairs today announced the award of an $8 million cooperative agreement to the International Labor Organization to implement a technical cooperation project to prevent and reduce child labor in Vietnam. This project will be undertaken in coordination with the Government of Vietnam.
"2015 marks the 15th year of our bilateral cooperation on labor issues with the Government of Vietnam," said Deputy Undersecretary for International Affairs, Carol Pier. "The Government of Vietnam has taken great strides to enhance national and local capacity to address child labor, and the funding of this project highlights our continued partnership and underlines our commitment to provide assistance to vulnerable children and their families."
Supporting Vietnam's national plans of action on children, child protection and child labor, the project will increase the capacity of national institutions and stakeholders to identify and respond to child labor, raise awareness of child labor at all levels of society, and implement an area-based intervention model aimed at preventing and withdrawing children at risk of or in the worst forms of child labor in selected areas.
Of the estimated 1.75 million children in Vietnam who work as child laborers, most work in agriculture — tending crops and cattle or even logging — and come home to families who struggle to make ends meet. One in three child laborers works more than 42 hours a week, and of this group, very few see the inside of a classroom.
Since 1993, ILAB has produced reports to raise awareness globally about child labor and forced labor. ILAB has also provided funding for more than 280 projects in over 94 countries to combat the worst forms of child labor by providing assistance to vulnerable children and their families.
LAB News Release: [01/29/2015]
Release Number: 15-0038-NAT
International Labor Organization receives $8 million award from
US Labor Department to prevent and reduce child labor in Vietnam
WASHINGTON — The U.S. Department of Labor's Bureau of International Labor Affairs today announced the award of an $8 million cooperative agreement to the International Labor Organization to implement a technical cooperation project to prevent and reduce child labor in Vietnam. This project will be undertaken in coordination with the Government of Vietnam.
"2015 marks the 15th year of our bilateral cooperation on labor issues with the Government of Vietnam," said Deputy Undersecretary for International Affairs, Carol Pier. "The Government of Vietnam has taken great strides to enhance national and local capacity to address child labor, and the funding of this project highlights our continued partnership and underlines our commitment to provide assistance to vulnerable children and their families."
Supporting Vietnam's national plans of action on children, child protection and child labor, the project will increase the capacity of national institutions and stakeholders to identify and respond to child labor, raise awareness of child labor at all levels of society, and implement an area-based intervention model aimed at preventing and withdrawing children at risk of or in the worst forms of child labor in selected areas.
Of the estimated 1.75 million children in Vietnam who work as child laborers, most work in agriculture — tending crops and cattle or even logging — and come home to families who struggle to make ends meet. One in three child laborers works more than 42 hours a week, and of this group, very few see the inside of a classroom.
Since 1993, ILAB has produced reports to raise awareness globally about child labor and forced labor. ILAB has also provided funding for more than 280 projects in over 94 countries to combat the worst forms of child labor by providing assistance to vulnerable children and their families.
DEFENDANTS IN DIPLOMA MILL CASE BANNED FROM SELLING ACADEMIC DEGREES
FROM: U.S FEDERAL TRADE COMMISSION
FTC Shuts Down Diploma Mill Operators
The principal owners of two Florida-based online diploma mills are permanently banned from marketing and selling academic degrees under settlements with the Federal Trade Commission.
Alexander Wolfram and IDM Services, LLC, and Maria Garcia have settled charges that they deceived consumers into enrolling in their programs by claiming they could obtain “official” and accredited high school diplomas and use them to enroll in college, apply for jobs, and “receive the recognition [they] aspire for in life.” The defendants also fabricated an accrediting organization to give legitimacy to their diploma mill operation, according to the FTC’s complaint.
Doing business as “Jefferson High School Online” and “Enterprise High School Online,” defendants led consumers to believe that those who passed their online multiple-choice exam and paid between $200 and $300 could obtain legitimate high school diplomas. The defendants claimed that their online test was styled like the GED test. On Sept. 16, 2014, a U.S. district court judge signed a temporary restraining order to halt the deceptive practices and freeze the assets of the defendants.
In addition to permanently shutting down their operation, the settlements also prohibit the defendants from making misrepresentations in connection with the marketing or sale of any other product or service.
The orders also impose a judgment of more than $11.1 million against the defendants and the corporate relief defendants, which will be partially suspended based on their inability to pay. Relief defendants Tiffany Chambers and Sylvia Gads also agreed to monetary judgments for the amounts they received from the scheme, which also are suspended because of their inability to pay.
If the defendants or relief defendants are found to have misrepresented their financial condition, their entire judgment would become immediately due in full.
The FTC is also seeking separate default judgments with similar prohibitions against two additional businesses operated by the defendants: Diversified Educational Resources (DER) LLC and Motivational Management & Development Services (MMDS), Ltd.
The Commission vote approving the orders was 5-0. The order against Wolfram and IDM was filed in the U.S. Court for the Southern District of Florida on Jan. 12, 2015, and the order against Garcia was filed on Jan. 13, 2015. Both have been entered by the judge. In addition, the motion for default judgments against DER and MMDS was filed on Jan. 20, 2015.
Students interested in pursuing a degree online should review the FTC’s guidance on Diploma Mills.
NOTE: Stipulated orders and default judgments have the force of law when approved and signed by the District Court judge.
FTC Shuts Down Diploma Mill Operators
The principal owners of two Florida-based online diploma mills are permanently banned from marketing and selling academic degrees under settlements with the Federal Trade Commission.
Alexander Wolfram and IDM Services, LLC, and Maria Garcia have settled charges that they deceived consumers into enrolling in their programs by claiming they could obtain “official” and accredited high school diplomas and use them to enroll in college, apply for jobs, and “receive the recognition [they] aspire for in life.” The defendants also fabricated an accrediting organization to give legitimacy to their diploma mill operation, according to the FTC’s complaint.
Doing business as “Jefferson High School Online” and “Enterprise High School Online,” defendants led consumers to believe that those who passed their online multiple-choice exam and paid between $200 and $300 could obtain legitimate high school diplomas. The defendants claimed that their online test was styled like the GED test. On Sept. 16, 2014, a U.S. district court judge signed a temporary restraining order to halt the deceptive practices and freeze the assets of the defendants.
In addition to permanently shutting down their operation, the settlements also prohibit the defendants from making misrepresentations in connection with the marketing or sale of any other product or service.
The orders also impose a judgment of more than $11.1 million against the defendants and the corporate relief defendants, which will be partially suspended based on their inability to pay. Relief defendants Tiffany Chambers and Sylvia Gads also agreed to monetary judgments for the amounts they received from the scheme, which also are suspended because of their inability to pay.
If the defendants or relief defendants are found to have misrepresented their financial condition, their entire judgment would become immediately due in full.
The FTC is also seeking separate default judgments with similar prohibitions against two additional businesses operated by the defendants: Diversified Educational Resources (DER) LLC and Motivational Management & Development Services (MMDS), Ltd.
The Commission vote approving the orders was 5-0. The order against Wolfram and IDM was filed in the U.S. Court for the Southern District of Florida on Jan. 12, 2015, and the order against Garcia was filed on Jan. 13, 2015. Both have been entered by the judge. In addition, the motion for default judgments against DER and MMDS was filed on Jan. 20, 2015.
Students interested in pursuing a degree online should review the FTC’s guidance on Diploma Mills.
NOTE: Stipulated orders and default judgments have the force of law when approved and signed by the District Court judge.
U.S. OFFICIAL'S REMARKS ON ANNIVERSARY OF NATIONAL ACTION PLAN ON WOMEN, PEACE AND SECURITY
FROM: U.S. STATE DEPARTMENT
Commemorating the Third Anniversary of the National Action Plan on Women, Peace and Security
Remarks
Karen J. Hanrahan
Deputy Assistant Secretary, Bureau of Democracy, Human Rights, and Labor
National Press Building
Washington, DC
January 27, 2015
Good afternoon everyone and thank you for joining us here today. I want to thank Susan for that introduction and take the opportunity to recognize USAID’s leadership in implementing the National Action Plan. The team at USAID should be commended for its continued commitment to building a world where women are recognized as key actors in stabilizing their communities and in building peace between warring factions. I also want to recognize those here in the audience who are investing their time and resources in shoring up women’s roles in peace and security – and to thank you for the incredible work that you do. We see the fruits of this labor on a regular basis at the State Department.
We are here to commemorate the third anniversary of the National Action Plan on Women, Peace and Security. As you know, this is the first of its kind. Even better, President Obama released the NAP through an Executive Order in which he laid out concrete steps that this Administration would take to elevate and support women as critical participants in preventing and resolving conflict.
Together, the National Action Plan and the Executive Order represent a fundamental change in how the USG leverages its diplomatic, military, and development power to support women in conflict -- by ensuring that women’s perspectives and gender considerations are woven into the DNA of how the United States approaches peace processes, conflict prevention, the protection of civilians, and humanitarian assistance. We have also used these foreign policy tools to influence other nations.
Over the past three years we have seen these efforts generate concrete steps across the world – from South Sudan to Egypt to Afghanistan to DRC - to bring more women to negotiation tables; to integrate solutions and justice for women into peace agreements; to ensure our humanitarian responses protect women; to recruit and retain more women throughout security sectors and criminal justice systems; and to restructure how soldiers, peacekeepers, and police officers are trained and equip them with tools to respond to the unique needs of men and women alike. We have invested in these efforts because we know from our own history that when women play key roles in decision making and leadership structures, the result is greater stability, stronger communities and more durable peace.
Progress had been hard fought and a result of herculean efforts from civil society groups here in the US and in host countries, many of which are represented here today. Within the USG, the success of our efforts has required sustained collaboration across the State Department, USAID, and the Defense Department. And where our diplomacy, development, and defense reinforce each other, we have seen better outcomes, even as we face increasingly challenging threats to international peace and security.
One of many examples - the State Department’s Bureau of Democracy, Human Rights and Labor has galvanized a coalition within the US government to promote the inclusion of women in decision making for Syria’s future – including in peace negotiations. And while the United States is open-eyed about the prospects for near term stability in Syria and Iraq, the leadership and enthusiasm of these women offer a constant reminder that peace is possible. And we will continue to advocate for their formal inclusion in the peace process. At the same time, we are witnessing the Islamic State continues to kidnap, traffic and brutalize women and girls in Iraq and Syria – with a growing presence in other countries. We are discussing internally how to better protect these women and girls.
We are also looking internally at how to do more to implement the NAP; how to truly weave the spirit of UN Security Council Resolution 1325 into our diplomacy every day. The United States is committed to leading by example on Women, Peace, and Security, from investing in better training for diplomats to requiring gender analysis strategic planning for foreign assistance to integrating gender considerations into our procurement; we are improving how we do business.
But today, fifteen years after the passage of UN Security Council Resolution 1325 and twenty years since the Beijing Platform for Action, we must also be humble about the global track record. 2015 is truly the year for the agenda of women, peace and security – and it must be a year of resounding affirmation that including women in decision making isn’t a nice thing to do; it’s the strategic thing to do.
As many of you know, the United States’ review of our NAP is only one aspect of a global culmination of efforts to advance gender equality. The UN’s high level review of 1325 is converging with parallel efforts to take stock of the UN peacekeeping and peacebuilding architectures that have significant impact on women. At the same time, we are pushing to place gender equality and the empowerment of women and girls at the heart of the Post-2015 Development Agenda – an unprecedented opportunity for the global community to come together around a new set of global development priorities. Together, we must seize on these efforts and continue to push for more action, to continue to be innovative in how we implement the NAP and move this global Women, Peace, and Security agenda forward.
In the spirit of partnership with civil society, we look forward to working with you on these efforts, especially in designing a review of our National Action Plan that positions the United States to remain a global leader on Women, Peace, and Security – across diplomacy, development, and defense. Let us all continue to work together on this path to achieving the goals laid out in the National Action Plan. Thank you for all your attention.
Commemorating the Third Anniversary of the National Action Plan on Women, Peace and Security
Remarks
Karen J. Hanrahan
Deputy Assistant Secretary, Bureau of Democracy, Human Rights, and Labor
National Press Building
Washington, DC
January 27, 2015
Good afternoon everyone and thank you for joining us here today. I want to thank Susan for that introduction and take the opportunity to recognize USAID’s leadership in implementing the National Action Plan. The team at USAID should be commended for its continued commitment to building a world where women are recognized as key actors in stabilizing their communities and in building peace between warring factions. I also want to recognize those here in the audience who are investing their time and resources in shoring up women’s roles in peace and security – and to thank you for the incredible work that you do. We see the fruits of this labor on a regular basis at the State Department.
We are here to commemorate the third anniversary of the National Action Plan on Women, Peace and Security. As you know, this is the first of its kind. Even better, President Obama released the NAP through an Executive Order in which he laid out concrete steps that this Administration would take to elevate and support women as critical participants in preventing and resolving conflict.
Together, the National Action Plan and the Executive Order represent a fundamental change in how the USG leverages its diplomatic, military, and development power to support women in conflict -- by ensuring that women’s perspectives and gender considerations are woven into the DNA of how the United States approaches peace processes, conflict prevention, the protection of civilians, and humanitarian assistance. We have also used these foreign policy tools to influence other nations.
Over the past three years we have seen these efforts generate concrete steps across the world – from South Sudan to Egypt to Afghanistan to DRC - to bring more women to negotiation tables; to integrate solutions and justice for women into peace agreements; to ensure our humanitarian responses protect women; to recruit and retain more women throughout security sectors and criminal justice systems; and to restructure how soldiers, peacekeepers, and police officers are trained and equip them with tools to respond to the unique needs of men and women alike. We have invested in these efforts because we know from our own history that when women play key roles in decision making and leadership structures, the result is greater stability, stronger communities and more durable peace.
Progress had been hard fought and a result of herculean efforts from civil society groups here in the US and in host countries, many of which are represented here today. Within the USG, the success of our efforts has required sustained collaboration across the State Department, USAID, and the Defense Department. And where our diplomacy, development, and defense reinforce each other, we have seen better outcomes, even as we face increasingly challenging threats to international peace and security.
One of many examples - the State Department’s Bureau of Democracy, Human Rights and Labor has galvanized a coalition within the US government to promote the inclusion of women in decision making for Syria’s future – including in peace negotiations. And while the United States is open-eyed about the prospects for near term stability in Syria and Iraq, the leadership and enthusiasm of these women offer a constant reminder that peace is possible. And we will continue to advocate for their formal inclusion in the peace process. At the same time, we are witnessing the Islamic State continues to kidnap, traffic and brutalize women and girls in Iraq and Syria – with a growing presence in other countries. We are discussing internally how to better protect these women and girls.
We are also looking internally at how to do more to implement the NAP; how to truly weave the spirit of UN Security Council Resolution 1325 into our diplomacy every day. The United States is committed to leading by example on Women, Peace, and Security, from investing in better training for diplomats to requiring gender analysis strategic planning for foreign assistance to integrating gender considerations into our procurement; we are improving how we do business.
But today, fifteen years after the passage of UN Security Council Resolution 1325 and twenty years since the Beijing Platform for Action, we must also be humble about the global track record. 2015 is truly the year for the agenda of women, peace and security – and it must be a year of resounding affirmation that including women in decision making isn’t a nice thing to do; it’s the strategic thing to do.
As many of you know, the United States’ review of our NAP is only one aspect of a global culmination of efforts to advance gender equality. The UN’s high level review of 1325 is converging with parallel efforts to take stock of the UN peacekeeping and peacebuilding architectures that have significant impact on women. At the same time, we are pushing to place gender equality and the empowerment of women and girls at the heart of the Post-2015 Development Agenda – an unprecedented opportunity for the global community to come together around a new set of global development priorities. Together, we must seize on these efforts and continue to push for more action, to continue to be innovative in how we implement the NAP and move this global Women, Peace, and Security agenda forward.
In the spirit of partnership with civil society, we look forward to working with you on these efforts, especially in designing a review of our National Action Plan that positions the United States to remain a global leader on Women, Peace, and Security – across diplomacy, development, and defense. Let us all continue to work together on this path to achieving the goals laid out in the National Action Plan. Thank you for all your attention.
Saturday, January 31, 2015
SECRETARY KERRY'S REMARKS ON MURDER OF KENJI GOTO BY ISIL
FROM: U.S. STATE DEPARTMENT
ISIL Murder of Japanese Journalist Kenji Goto
Press Statement
John Kerry
Secretary of State
Washington, DC
January 31, 2015
The United States condemns ISIL’s vicious murder of Japanese journalist Kenji Goto. We extend our sincere and heartfelt condolences to his wife, his family, and his loved ones, as well as to the people of Japan.
The barbaric killing of Kenji Goto, and of Haruna Yukawa before him, shows again ISIL’s brutality and extremist agenda.
The United States knows this pain on a personal level born of our own experience.
We share the sorrow and continue to stand shoulder-to-shoulder with our ally Japan in confronting terrorism. We commend Japan’s support for those in the region who have been displaced by ISIL, the Syrian regime, and other militant groups.
Japan’s generous assistance to vulnerable communities fully reflects its commitment to international peace and development.
ISIL Murder of Japanese Journalist Kenji Goto
Press Statement
John Kerry
Secretary of State
Washington, DC
January 31, 2015
The United States condemns ISIL’s vicious murder of Japanese journalist Kenji Goto. We extend our sincere and heartfelt condolences to his wife, his family, and his loved ones, as well as to the people of Japan.
The barbaric killing of Kenji Goto, and of Haruna Yukawa before him, shows again ISIL’s brutality and extremist agenda.
The United States knows this pain on a personal level born of our own experience.
We share the sorrow and continue to stand shoulder-to-shoulder with our ally Japan in confronting terrorism. We commend Japan’s support for those in the region who have been displaced by ISIL, the Syrian regime, and other militant groups.
Japan’s generous assistance to vulnerable communities fully reflects its commitment to international peace and development.
LANL ANNOUNCES NEW WAY TO GROW HIGH-EFFICIENCY SOLAR CELLS
FROM: LOS ALAMOS NATIONAL LABORATORY
Los Alamos Develops New Technique for Growing High-Efficiency Perovskite Solar Cells
Researchers’ crystal-production insights resolve manufacturing difficulty
LOS ALAMOS, N.M., January 29, 2015—This week in the journal Science, Los Alamos National Laboratory researchers reveal a new solution-based hot-casting technique that allows growth of highly efficient and reproducible solar cells from large-area perovskite crystals.
“These perovskite crystals offer promising routes for developing low-cost, solar-based, clean global energy solutions for the future,” said Aditya Mohite, the Los Alamos scientist leading the project.
State-of-the-art photovoltaics using high-purity, large-area, wafer-scale single-crystalline semiconductors grown by sophisticated, high temperature crystal-growth processes are seen as the future of efficient solar technology. Solar cells composed of organic-inorganic perovskites offer efficiencies approaching that of silicon, but they have been plagued with some important deficiencies limiting their commercial viability. It is this failure that the Los Alamos technique successfully corrects.
The researchers fabricated planar solar cells from pervoskite materials with large crystalline grains that had efficiencies approaching 18%, among the highest reported in the field of perovskite-based light-to-energy conversion devices. The cells demonstrate little cell-to-cell variability, resulting in devices showing hysteresis-free photovoltaic response, which had been a fundamental bottleneck for stable operation of perovskite devices.
“Characterization and modeling attribute the improved performance to reduced bulk defects and improved charge-carrier mobility in large-grain pervoskite materials,” said Mohite, “and we’ve demonstrated that the crystalline quality is on par with that observed for high-quality semiconductors like silicon and gallium arsenides.”
The researchers anticipate that their crystal growth technique will lead the field towards synthesis of wafer-scale crystalline perovskites necessary for the fabrication of high-efficiency solar-cells and be applicable to several other material systems plagued by polydispersity, defects and grain boundary recombination in solution-processed thin-films.
The work at Los Alamos National Laboratory was supported by a DOE Office of Basic Energy Sciences proposal and by the Los Alamos National Laboratory Directed Research and Development (LDRD) program. This work was done in part at the Center for Integrated Nanotechnologies, a DOE Office of Science User Facility.
Researchers include Wanyi Nie, Hsinhan Tsai, Jean-Christophe Blancon, Amanda J. Neukirch, Gautam Gupta, Jared J. Crochet, Sergei Tretiak, Hsing-Lin Wang and Aditya D. Mohite of Los Alamos, in addition to Reza Asadpour (Purdue University), Manish Chhowalla (Rutgers Univesity) and Muhammad A. Alam (Purdue University).
Los Alamos Develops New Technique for Growing High-Efficiency Perovskite Solar Cells
Researchers’ crystal-production insights resolve manufacturing difficulty
LOS ALAMOS, N.M., January 29, 2015—This week in the journal Science, Los Alamos National Laboratory researchers reveal a new solution-based hot-casting technique that allows growth of highly efficient and reproducible solar cells from large-area perovskite crystals.
“These perovskite crystals offer promising routes for developing low-cost, solar-based, clean global energy solutions for the future,” said Aditya Mohite, the Los Alamos scientist leading the project.
State-of-the-art photovoltaics using high-purity, large-area, wafer-scale single-crystalline semiconductors grown by sophisticated, high temperature crystal-growth processes are seen as the future of efficient solar technology. Solar cells composed of organic-inorganic perovskites offer efficiencies approaching that of silicon, but they have been plagued with some important deficiencies limiting their commercial viability. It is this failure that the Los Alamos technique successfully corrects.
The researchers fabricated planar solar cells from pervoskite materials with large crystalline grains that had efficiencies approaching 18%, among the highest reported in the field of perovskite-based light-to-energy conversion devices. The cells demonstrate little cell-to-cell variability, resulting in devices showing hysteresis-free photovoltaic response, which had been a fundamental bottleneck for stable operation of perovskite devices.
“Characterization and modeling attribute the improved performance to reduced bulk defects and improved charge-carrier mobility in large-grain pervoskite materials,” said Mohite, “and we’ve demonstrated that the crystalline quality is on par with that observed for high-quality semiconductors like silicon and gallium arsenides.”
The researchers anticipate that their crystal growth technique will lead the field towards synthesis of wafer-scale crystalline perovskites necessary for the fabrication of high-efficiency solar-cells and be applicable to several other material systems plagued by polydispersity, defects and grain boundary recombination in solution-processed thin-films.
The work at Los Alamos National Laboratory was supported by a DOE Office of Basic Energy Sciences proposal and by the Los Alamos National Laboratory Directed Research and Development (LDRD) program. This work was done in part at the Center for Integrated Nanotechnologies, a DOE Office of Science User Facility.
Researchers include Wanyi Nie, Hsinhan Tsai, Jean-Christophe Blancon, Amanda J. Neukirch, Gautam Gupta, Jared J. Crochet, Sergei Tretiak, Hsing-Lin Wang and Aditya D. Mohite of Los Alamos, in addition to Reza Asadpour (Purdue University), Manish Chhowalla (Rutgers Univesity) and Muhammad A. Alam (Purdue University).
REGULATORS RELEASE GUIDANCE ON CERTAIN PRIVATE STUDENT LOANS
FROM: FEDERAL DEPOSIT INSURANCE CORPORATION
January 29, 2015 Regulators Release Guidance on Private Student Loans With Graduated Repayment Terms at Origination
Federal financial regulatory agencies, in partnership with the State Liaison Committee (SLC) of the Federal Financial Institutions Examination Council, today issued guidance for financial institutions on private student loans with graduated repayment terms at origination.
This guidance provides principles that financial institutions should consider in their policies and procedures for originating private student loans with graduated repayment terms.
The agencies—the Board of Governors of the Federal Reserve System, the Consumer Financial Protection Bureau, the Federal Deposit Insurance Corporation, the National Credit Union Administration, and the Office of the Comptroller of the Currency—and the SLC recognize that the competitive job market, traditionally low entry-level salaries, and higher student debt loads can contribute to some borrowers preferring greater flexibility with their payments as they transition into the labor market. Graduated repayment terms are structured to provide for lower initial monthly payments that gradually increase.
Financial institutions that originate private student loans with graduated repayment terms should prudently underwrite the loans in a manner consistent with safe and sound lending practices. Additionally, financial institutions should provide disclosures that clearly communicate the timing and the amount of payments to facilitate a borrower's understanding of the loan's terms and features.
January 29, 2015 Regulators Release Guidance on Private Student Loans With Graduated Repayment Terms at Origination
Federal financial regulatory agencies, in partnership with the State Liaison Committee (SLC) of the Federal Financial Institutions Examination Council, today issued guidance for financial institutions on private student loans with graduated repayment terms at origination.
This guidance provides principles that financial institutions should consider in their policies and procedures for originating private student loans with graduated repayment terms.
The agencies—the Board of Governors of the Federal Reserve System, the Consumer Financial Protection Bureau, the Federal Deposit Insurance Corporation, the National Credit Union Administration, and the Office of the Comptroller of the Currency—and the SLC recognize that the competitive job market, traditionally low entry-level salaries, and higher student debt loads can contribute to some borrowers preferring greater flexibility with their payments as they transition into the labor market. Graduated repayment terms are structured to provide for lower initial monthly payments that gradually increase.
Financial institutions that originate private student loans with graduated repayment terms should prudently underwrite the loans in a manner consistent with safe and sound lending practices. Additionally, financial institutions should provide disclosures that clearly communicate the timing and the amount of payments to facilitate a borrower's understanding of the loan's terms and features.
'REVENGE PORN' BUSINESS OPEATOR SETTLES WITH FTC
FROM: U.S. FEDERAL TRADE
Website Operator Banned from the ‘Revenge Porn’ Business After FTC Charges He Unfairly Posted Nude Photos
Craig Brittain Allegedly Deceived Women on Craigslist, Offered Fake ‘Takedown’ Service
The operator of an alleged “revenge porn” website is banned from publicly sharing any more nude videos or photographs of people without their affirmative express consent, under a settlement with the Federal Trade Commission. In addition, he will have to destroy the intimate images and personal contact information he collected while operating the site.
The FTC’s complaint against Craig Brittain alleges that he used deception to acquire and post intimate images of women, then referred them to another website he controlled, where they were told they could have the pictures removed if they paid hundreds of dollars.
“This behavior is not only illegal but reprehensible,” said Jessica Rich, director of the FTC’s Bureau of Consumer Protection. “I am pleased that as a result of this settlement, the illegally collected images and information will be deleted, and this individual can never return to the so-called ‘revenge porn’ business.”
According to the FTC’s complaint, Brittain acquired the images in a number of ways, such as by posing as a woman on the advertising site Craigslist, and offering nude photos purportedly of himself in exchange for photos provided by women. When women provided him with the photos, Brittain posted them on his site without their knowledge or permission.
In addition to collecting and posting the images himself, Brittain solicited viewers of his site to anonymously submit nude photos of people to his site, according to the complaint. He required submissions to include sensitive personal information about the people in the photos, including their full name, town and state, phone number and Facebook profile.
The complaint also alleged that Brittain offered a “bounty system” on his site, wherein users could offer a reward of at least $100 in exchange for other users finding pictures and information about a specific person. Overall, Brittain’s site included photos of more than 1,000 individuals, according to the complaint.
Women whose photographs and information were posted on the site contacted Brittain to have the information removed, citing the potential harms to their careers and reputations. In addition, women cited unwelcome contact from strangers who had discovered their information on Brittain’s site. The complaint notes that in many cases Brittain did not respond to the women’s requests to remove the information.
In fact, the complaint alleges that Brittain’s site advertised content removal services under the name “Takedown Hammer” and “Takedown Lawyer” that could delete consumers’ images and content from the site in exchange for a payment of $200 to $500. Despite presenting these as third-party services, the complaint alleges that the sites for these services were owned and operated by Brittain.
Under the terms of the settlement, Brittain is required to permanently delete all of the images and other personal information he received during the time he operated the site. He will also be prohibited from publicly sharing intimate videos or photographs of people without their affirmative express consent, as well as being prohibited from misrepresenting how he will use any personal information he collects online.
The Commission vote to accept the proposed consent order for public comment was 5-0. The FTC will publish a description of the consent agreement package in the Federal Register shortly. The agreement will be subject to public comment for 30 days, beginning today and continuing through March 2, 2015, after which the Commission will decide whether to make the proposed consent order final. Interested parties can submit comments electronically by following the instructions in the “Invitation To Comment” part of the “Supplementary Information” section.
NOTE: The Commission issues an administrative complaint when it has “reason to believe” that the law has been or is being violated, and it appears to the Commission that a proceeding is in the public interest. When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of up to $16,000.
Website Operator Banned from the ‘Revenge Porn’ Business After FTC Charges He Unfairly Posted Nude Photos
Craig Brittain Allegedly Deceived Women on Craigslist, Offered Fake ‘Takedown’ Service
The operator of an alleged “revenge porn” website is banned from publicly sharing any more nude videos or photographs of people without their affirmative express consent, under a settlement with the Federal Trade Commission. In addition, he will have to destroy the intimate images and personal contact information he collected while operating the site.
The FTC’s complaint against Craig Brittain alleges that he used deception to acquire and post intimate images of women, then referred them to another website he controlled, where they were told they could have the pictures removed if they paid hundreds of dollars.
“This behavior is not only illegal but reprehensible,” said Jessica Rich, director of the FTC’s Bureau of Consumer Protection. “I am pleased that as a result of this settlement, the illegally collected images and information will be deleted, and this individual can never return to the so-called ‘revenge porn’ business.”
According to the FTC’s complaint, Brittain acquired the images in a number of ways, such as by posing as a woman on the advertising site Craigslist, and offering nude photos purportedly of himself in exchange for photos provided by women. When women provided him with the photos, Brittain posted them on his site without their knowledge or permission.
In addition to collecting and posting the images himself, Brittain solicited viewers of his site to anonymously submit nude photos of people to his site, according to the complaint. He required submissions to include sensitive personal information about the people in the photos, including their full name, town and state, phone number and Facebook profile.
The complaint also alleged that Brittain offered a “bounty system” on his site, wherein users could offer a reward of at least $100 in exchange for other users finding pictures and information about a specific person. Overall, Brittain’s site included photos of more than 1,000 individuals, according to the complaint.
Women whose photographs and information were posted on the site contacted Brittain to have the information removed, citing the potential harms to their careers and reputations. In addition, women cited unwelcome contact from strangers who had discovered their information on Brittain’s site. The complaint notes that in many cases Brittain did not respond to the women’s requests to remove the information.
In fact, the complaint alleges that Brittain’s site advertised content removal services under the name “Takedown Hammer” and “Takedown Lawyer” that could delete consumers’ images and content from the site in exchange for a payment of $200 to $500. Despite presenting these as third-party services, the complaint alleges that the sites for these services were owned and operated by Brittain.
Under the terms of the settlement, Brittain is required to permanently delete all of the images and other personal information he received during the time he operated the site. He will also be prohibited from publicly sharing intimate videos or photographs of people without their affirmative express consent, as well as being prohibited from misrepresenting how he will use any personal information he collects online.
The Commission vote to accept the proposed consent order for public comment was 5-0. The FTC will publish a description of the consent agreement package in the Federal Register shortly. The agreement will be subject to public comment for 30 days, beginning today and continuing through March 2, 2015, after which the Commission will decide whether to make the proposed consent order final. Interested parties can submit comments electronically by following the instructions in the “Invitation To Comment” part of the “Supplementary Information” section.
NOTE: The Commission issues an administrative complaint when it has “reason to believe” that the law has been or is being violated, and it appears to the Commission that a proceeding is in the public interest. When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of up to $16,000.
VA ON COUNTING HOMELESSNESS VETERANS AND FINDING THEM A HOME
FROM: U.S. DEPARTMENT OF VETERANS AFFAIRS
Counting Every Veteran on the Way to Ending Homelessness
January 28, 2015, 10:34:00 AM
Counting Every Veteran on the Way to Ending Homelessness
VA Leaders Join Community Partners and Volunteers in Nation-wide Homeless Count
Secretary of Veterans Affairs Robert A. McDonald is taking a firsthand look at the issue of homelessness among Veterans by participating in this year’s Point-in-Time (PIT) Count in Los Angeles, California. The PIT Count typically takes place in locations around the country during the month of January.
Secretary McDonald remains committed to the goal of eliminating Veteran homelessness. The January 2014 PIT Count revealed that 49,993 Veterans were homeless on a single night representing a 33-percent decline in homelessness among Veterans since 2010. In FY 2014 alone, through VA’s various homeless programs, more than 72,000 Veterans and their family members were placed in permanent housing or prevented from becoming homeless.
“There is no question that the goal to end Veteran homelessness is within reach, and we remain laser-focused on it,” said Secretary McDonald. “Ending Veteran homelessness in America is more than hitting a number, it’s about helping communities put a system in place that can house every Veteran experiencing homelessness today and prevent it in the future. I am so heartened that over 440 mayors, governors, county executives and other local officials have joined us and are committed to ending Veteran homelessness in their communities. We will continue our work until all Veterans have a place to call home.”
By estimating the number of homeless Veterans, the PIT Count gauges progress in achieving President Obama and VA’s goal of ending Veteran homelessness by the end of 2015. Annual data from the PIT Count also assists VA staff and partner agencies in targeting homeless resources where they are needed most.
VA has a wide range of programs that prevent and end homelessness among Veterans, including health care, housing solutions, job training and education. Also since 2010 there has been nearly 43-percent reduction in unsheltered homeless Veterans.
As part of VA’s continued commitment to ending Veteran homelessness, Secretary McDonald, has directed his senior VA leaders to take part in this year’s count in cities across the United States and learn how the organizations they lead can continue to support VA’s efforts to end Veteran homelessness. Twenty senior VA leaders will participate in PIT counts everywhere from New York to California to places in between.
The PIT Count is led by the U.S. Department of Housing and Urban Development (HUD) each year to estimate the number of Americans, including Veterans, who are homeless.
As a result of VA’s work with HUD, as well as the United States Interagency Council on Homelessness and other federal, state and local partners, significant progress has been made since VA’s initiative to end Veteran homelessness began in 2010.
More information about VA’s homeless programs is available at www.va.gov/homeless. Veterans who are homeless or at imminent risk of becoming homeless should contact their local VA Medical Center and ask to speak to a homeless coordinator.
Counting Every Veteran on the Way to Ending Homelessness
January 28, 2015, 10:34:00 AM
Counting Every Veteran on the Way to Ending Homelessness
VA Leaders Join Community Partners and Volunteers in Nation-wide Homeless Count
Secretary of Veterans Affairs Robert A. McDonald is taking a firsthand look at the issue of homelessness among Veterans by participating in this year’s Point-in-Time (PIT) Count in Los Angeles, California. The PIT Count typically takes place in locations around the country during the month of January.
Secretary McDonald remains committed to the goal of eliminating Veteran homelessness. The January 2014 PIT Count revealed that 49,993 Veterans were homeless on a single night representing a 33-percent decline in homelessness among Veterans since 2010. In FY 2014 alone, through VA’s various homeless programs, more than 72,000 Veterans and their family members were placed in permanent housing or prevented from becoming homeless.
“There is no question that the goal to end Veteran homelessness is within reach, and we remain laser-focused on it,” said Secretary McDonald. “Ending Veteran homelessness in America is more than hitting a number, it’s about helping communities put a system in place that can house every Veteran experiencing homelessness today and prevent it in the future. I am so heartened that over 440 mayors, governors, county executives and other local officials have joined us and are committed to ending Veteran homelessness in their communities. We will continue our work until all Veterans have a place to call home.”
By estimating the number of homeless Veterans, the PIT Count gauges progress in achieving President Obama and VA’s goal of ending Veteran homelessness by the end of 2015. Annual data from the PIT Count also assists VA staff and partner agencies in targeting homeless resources where they are needed most.
VA has a wide range of programs that prevent and end homelessness among Veterans, including health care, housing solutions, job training and education. Also since 2010 there has been nearly 43-percent reduction in unsheltered homeless Veterans.
As part of VA’s continued commitment to ending Veteran homelessness, Secretary McDonald, has directed his senior VA leaders to take part in this year’s count in cities across the United States and learn how the organizations they lead can continue to support VA’s efforts to end Veteran homelessness. Twenty senior VA leaders will participate in PIT counts everywhere from New York to California to places in between.
The PIT Count is led by the U.S. Department of Housing and Urban Development (HUD) each year to estimate the number of Americans, including Veterans, who are homeless.
As a result of VA’s work with HUD, as well as the United States Interagency Council on Homelessness and other federal, state and local partners, significant progress has been made since VA’s initiative to end Veteran homelessness began in 2010.
More information about VA’s homeless programs is available at www.va.gov/homeless. Veterans who are homeless or at imminent risk of becoming homeless should contact their local VA Medical Center and ask to speak to a homeless coordinator.
Friday, January 30, 2015
FORMER IT MANAGER FOR DIGITAL CURRENCY SERVICE, LIBERTY RESERVE, SENTENCED TO PRISON
FROM: U.S. JUSTICE DEPARTMENT
Friday, January 30, 2015
Former Liberty Reserve IT Manager Sentenced to 36 Months in Prison
The former information technology manager for Liberty Reserve, a company that operated one of the world’s most widely used digital currency services, was sentenced today to 36 months in prison for conspiring to operate an unlicensed money transmitting business.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and U.S. Attorney Preet Bharara of the Southern District of New York made the announcement.
Maxim Chukharev, 28, of San José, Costa Rica, pleaded guilty in September 2014 before U.S. District Judge Denise L. Cote, who also imposed today’s sentence.
According to allegations contained in the indictment and statements made in related court proceedings, Chukharev was an associate of Liberty Reserve founder Arthur Budovsky and served as Liberty Reserve’s information technology manager in Costa Rica. In that role, Chukharev was principally responsible, along with co-defendant Mark Marmilev, formerly Liberty Reserve’s chief technology officer, for maintaining Liberty Reserve’s technological infrastructure.
According to allegations in the indictment and statements made in related court proceedings, Liberty Reserve was incorporated in Costa Rica in 2006 and billed itself as the Internet’s “largest payment processor and money transfer system.” Liberty Reserve was created, structured and operated to help users conduct illegal transactions anonymously and launder the proceeds of their crimes, and it emerged as one of the principal money transfer agents used by cybercriminals around the world to distribute, store and launder the proceeds of illegal activity. Liberty Reserve was used extensively for illegal purposes, functioning as the bank of choice for the criminal underworld because it provided an infrastructure that enabled cybercriminals around the world to conduct anonymous and untraceable financial transactions.
According to court records, before being shut down by the government in May 2013, Liberty Reserve had more than one million users worldwide, including more than 200,000 users in the United States, who conducted approximately 55 million transactions through its system totaling more than $6 billion in funds. These funds encompassed suspected proceeds of credit card fraud, identity theft, investment fraud, computer hacking, child pornography, narcotics trafficking and other crimes.
Chukharev, Marmilev and Budovsky were among seven individuals charged in the indictment, which was unsealed on May 28, 2013. Three co-defendants—Marmilev, Vladimir Kats and Azzeddine El Amine—previously pleaded guilty. Marmilev was sentenced to five years in prison in December 2014; Kats and El Amine await sentencing. The indictment also charged Liberty Reserve with conspiracy to commit money laundering and operation of an unlicensed money transmitting business, and the charges remain pending.
The charges contained in the indictment are merely accusations. The defendants are presumed innocent unless and until proven guilty.
This case is being investigated by the U.S. Secret Service, the Internal Revenue Service-Criminal Investigation and the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, with assistance from the Secret Service’s New York Electronic Crimes Task Force. The Judicial Investigation Organization in Costa Rica, the National High Tech Crime Unit in the Netherlands, the Financial and Economic Crime Unit of the Spanish National Police, the Cyber Crime Unit at the Swedish National Bureau of Investigation and the Swiss Federal Prosecutor’s Office also provided assistance.
This case is being prosecuted jointly by the Criminal Division’s Asset Forfeiture and Money Laundering Section (AFMLS) and the U.S. Attorney’s Office’s Complex Frauds Unit and Asset Forfeiture Unit in the Southern District of New York, with assistance from the Criminal Division’s Office of International Affairs and Computer Crime and Intellectual Property Section.
Trial Attorney Kevin Mosley of AFMLS and Assistant U.S. Attorneys Serrin Turner, Andrew Goldstein and Christine Magdo of the Southern District of New York are in charge of the prosecution, and Assistant U.S. Attorney Christine Magdo is in charge of the forfeiture aspects of the case.
Friday, January 30, 2015
Former Liberty Reserve IT Manager Sentenced to 36 Months in Prison
The former information technology manager for Liberty Reserve, a company that operated one of the world’s most widely used digital currency services, was sentenced today to 36 months in prison for conspiring to operate an unlicensed money transmitting business.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and U.S. Attorney Preet Bharara of the Southern District of New York made the announcement.
Maxim Chukharev, 28, of San José, Costa Rica, pleaded guilty in September 2014 before U.S. District Judge Denise L. Cote, who also imposed today’s sentence.
According to allegations contained in the indictment and statements made in related court proceedings, Chukharev was an associate of Liberty Reserve founder Arthur Budovsky and served as Liberty Reserve’s information technology manager in Costa Rica. In that role, Chukharev was principally responsible, along with co-defendant Mark Marmilev, formerly Liberty Reserve’s chief technology officer, for maintaining Liberty Reserve’s technological infrastructure.
According to allegations in the indictment and statements made in related court proceedings, Liberty Reserve was incorporated in Costa Rica in 2006 and billed itself as the Internet’s “largest payment processor and money transfer system.” Liberty Reserve was created, structured and operated to help users conduct illegal transactions anonymously and launder the proceeds of their crimes, and it emerged as one of the principal money transfer agents used by cybercriminals around the world to distribute, store and launder the proceeds of illegal activity. Liberty Reserve was used extensively for illegal purposes, functioning as the bank of choice for the criminal underworld because it provided an infrastructure that enabled cybercriminals around the world to conduct anonymous and untraceable financial transactions.
According to court records, before being shut down by the government in May 2013, Liberty Reserve had more than one million users worldwide, including more than 200,000 users in the United States, who conducted approximately 55 million transactions through its system totaling more than $6 billion in funds. These funds encompassed suspected proceeds of credit card fraud, identity theft, investment fraud, computer hacking, child pornography, narcotics trafficking and other crimes.
Chukharev, Marmilev and Budovsky were among seven individuals charged in the indictment, which was unsealed on May 28, 2013. Three co-defendants—Marmilev, Vladimir Kats and Azzeddine El Amine—previously pleaded guilty. Marmilev was sentenced to five years in prison in December 2014; Kats and El Amine await sentencing. The indictment also charged Liberty Reserve with conspiracy to commit money laundering and operation of an unlicensed money transmitting business, and the charges remain pending.
The charges contained in the indictment are merely accusations. The defendants are presumed innocent unless and until proven guilty.
This case is being investigated by the U.S. Secret Service, the Internal Revenue Service-Criminal Investigation and the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, with assistance from the Secret Service’s New York Electronic Crimes Task Force. The Judicial Investigation Organization in Costa Rica, the National High Tech Crime Unit in the Netherlands, the Financial and Economic Crime Unit of the Spanish National Police, the Cyber Crime Unit at the Swedish National Bureau of Investigation and the Swiss Federal Prosecutor’s Office also provided assistance.
This case is being prosecuted jointly by the Criminal Division’s Asset Forfeiture and Money Laundering Section (AFMLS) and the U.S. Attorney’s Office’s Complex Frauds Unit and Asset Forfeiture Unit in the Southern District of New York, with assistance from the Criminal Division’s Office of International Affairs and Computer Crime and Intellectual Property Section.
Trial Attorney Kevin Mosley of AFMLS and Assistant U.S. Attorneys Serrin Turner, Andrew Goldstein and Christine Magdo of the Southern District of New York are in charge of the prosecution, and Assistant U.S. Attorney Christine Magdo is in charge of the forfeiture aspects of the case.
AIRSTRIKES CONTINUE
FROM: U.S. DEFENSE DEPARTMENT
More Airstrikes Hit ISIL in Syria, Iraq
From a Combined Joint Task Force Operation Inherent Resolve News Release
SOUTHWEST ASIA, Jan. 30, 2015 – U.S. and coalition military forces continued to attack Islamic State of Iraq and the Levant terrorists in Syria, using fighter aircraft to conduct two airstrikes, Combined Joint Task Force Operation Inherent Resolve officials reported.
Separately, U.S. and coalition military forces conducted four airstrikes in Iraq, using attack and fighter aircraft against ISIL terrorists, officials reported.
Officials reported details of the latest strikes, which took place between 8 a.m., yesterday, and 8 a.m., today, local time, noting that assessments of results are based on initial reports.
Airstrikes in Syria
-- Near Kobani, two airstrikes struck two ISIL staging positions and destroyed two ISIL fighting positions and one ISIL vehicle.
Airstrikes in Iraq
-- Near Al Asad, an airstrike struck an ISIL firing position.
-- Near Tal Afar, three airstrikes struck two ISIL fighting positions and destroyed an ISIL building, an ISIL bunker and an ISIL shipping container.
All aircraft returned to base safely.
Part of Operation Inherent Resolve
The strikes were conducted as part of Operation Inherent Resolve, the operation to eliminate the ISIL terrorist group and the threat they pose to Iraq, Syria, the region, and the wider international community. The destruction of ISIL targets in Syria and Iraq further limits the terrorist group's ability to project terror and conduct operations.
Coalition nations conducting airstrikes in Iraq include the U.S., Australia, Belgium, Canada, Denmark, France, the Netherlands, and the United Kingdom. Coalition nations conducting airstrikes in Syria include the U.S., Bahrain, Jordan, Saudi Arabia, and the United Arab Emirates.
More Airstrikes Hit ISIL in Syria, Iraq
From a Combined Joint Task Force Operation Inherent Resolve News Release
SOUTHWEST ASIA, Jan. 30, 2015 – U.S. and coalition military forces continued to attack Islamic State of Iraq and the Levant terrorists in Syria, using fighter aircraft to conduct two airstrikes, Combined Joint Task Force Operation Inherent Resolve officials reported.
Separately, U.S. and coalition military forces conducted four airstrikes in Iraq, using attack and fighter aircraft against ISIL terrorists, officials reported.
Officials reported details of the latest strikes, which took place between 8 a.m., yesterday, and 8 a.m., today, local time, noting that assessments of results are based on initial reports.
Airstrikes in Syria
-- Near Kobani, two airstrikes struck two ISIL staging positions and destroyed two ISIL fighting positions and one ISIL vehicle.
Airstrikes in Iraq
-- Near Al Asad, an airstrike struck an ISIL firing position.
-- Near Tal Afar, three airstrikes struck two ISIL fighting positions and destroyed an ISIL building, an ISIL bunker and an ISIL shipping container.
All aircraft returned to base safely.
Part of Operation Inherent Resolve
The strikes were conducted as part of Operation Inherent Resolve, the operation to eliminate the ISIL terrorist group and the threat they pose to Iraq, Syria, the region, and the wider international community. The destruction of ISIL targets in Syria and Iraq further limits the terrorist group's ability to project terror and conduct operations.
Coalition nations conducting airstrikes in Iraq include the U.S., Australia, Belgium, Canada, Denmark, France, the Netherlands, and the United Kingdom. Coalition nations conducting airstrikes in Syria include the U.S., Bahrain, Jordan, Saudi Arabia, and the United Arab Emirates.
FUGITIVE AND SHIP OF GOLD RECOVERY LEADER, ARRESTED BY U.S. MARSHALS
FROM: U.S. MARSHALS SERVICE
January 28, 2015 Brian Babtist, Senior Inspector
Southern District of Ohio
Ship of Gold Treasure Hunter Arrested by the U.S. Marshals Service
Columbus, OH – Peter Tobin, United States Marshal for the Southern District of Ohio, announced today that Thomas Gregory Thompson, and his assistant Alison Louise Antekeier were arrested by the United States Marshals Service, Southern District of Florida (Florida Regional Fugitive Task Force) on arrest warrants issued by the United States District Court for the Southern District of Ohio.
On August 13, 2012, an arrest warrant was issued by United States District Judge Edmund A. Sargus Jr. for Thompson’s arrest after he failed to appear at various hearings for an on-going civil case that has been pending since 2006. At that hearing, attorneys who did appear on Thompson’s behalf stated they were hired by Thompson’s assistant, Alison Antekeier. The Court then directed that Antekeier appear to explain Thompson’s absence. Then, on 11/07/2012, after having failed to appear as directed, a similar arrest warrant was issued for Antekeier. The U.S. Marshals Service investigation, as well as various court documents and hearings, led investigators to believe Thompson and Antekeier have been on the run together ever since.
The multi-year investigation spanned the globe but ended not that far from the last documented sighting of the couple in Vero Beach, Florida. The U.S. Marshals Service in Southern Ohio worked in conjunction with the U.S. Marshals in West Palm Beach, Florida to conduct an exhaustive investigation that culminated in the arrest of Thompson and Antekeier at a local hotel. The couple offered no resistance at the time of the arrest and readily admitted to being the targets of the extensive investigation.
Thompson and Antekeier are being held in a local correctional facility pending appearance in the United States District Court for the Southern District of Florida. At a later point in time, the couple will be removed to the Southern District of Ohio for proceedings on their respective charges.
“The United States Marshals Service, in the Southern District of Ohio, along with the three Judicial Districts that comprise the state of Florida, as well as many others, worked tirelessly on this case. They utilized all available resources and were able to accomplish what many thought would be nearly impossible,” said U.S. Marshal Tobin. “Thompson was one of the most intelligent fugitives ever sought by the U.S. Marshals and he had vast financial resources at his disposal. This investigation and these arrests reflect great credit upon the Deputies of the U.S. Marshals Service and our agency as a whole,” concluded Tobin.
January 28, 2015 Brian Babtist, Senior Inspector
Southern District of Ohio
Ship of Gold Treasure Hunter Arrested by the U.S. Marshals Service
Columbus, OH – Peter Tobin, United States Marshal for the Southern District of Ohio, announced today that Thomas Gregory Thompson, and his assistant Alison Louise Antekeier were arrested by the United States Marshals Service, Southern District of Florida (Florida Regional Fugitive Task Force) on arrest warrants issued by the United States District Court for the Southern District of Ohio.
On August 13, 2012, an arrest warrant was issued by United States District Judge Edmund A. Sargus Jr. for Thompson’s arrest after he failed to appear at various hearings for an on-going civil case that has been pending since 2006. At that hearing, attorneys who did appear on Thompson’s behalf stated they were hired by Thompson’s assistant, Alison Antekeier. The Court then directed that Antekeier appear to explain Thompson’s absence. Then, on 11/07/2012, after having failed to appear as directed, a similar arrest warrant was issued for Antekeier. The U.S. Marshals Service investigation, as well as various court documents and hearings, led investigators to believe Thompson and Antekeier have been on the run together ever since.
The multi-year investigation spanned the globe but ended not that far from the last documented sighting of the couple in Vero Beach, Florida. The U.S. Marshals Service in Southern Ohio worked in conjunction with the U.S. Marshals in West Palm Beach, Florida to conduct an exhaustive investigation that culminated in the arrest of Thompson and Antekeier at a local hotel. The couple offered no resistance at the time of the arrest and readily admitted to being the targets of the extensive investigation.
Thompson and Antekeier are being held in a local correctional facility pending appearance in the United States District Court for the Southern District of Florida. At a later point in time, the couple will be removed to the Southern District of Ohio for proceedings on their respective charges.
“The United States Marshals Service, in the Southern District of Ohio, along with the three Judicial Districts that comprise the state of Florida, as well as many others, worked tirelessly on this case. They utilized all available resources and were able to accomplish what many thought would be nearly impossible,” said U.S. Marshal Tobin. “Thompson was one of the most intelligent fugitives ever sought by the U.S. Marshals and he had vast financial resources at his disposal. This investigation and these arrests reflect great credit upon the Deputies of the U.S. Marshals Service and our agency as a whole,” concluded Tobin.
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