Friday, June 22, 2012
U.S., KOREA AND JAPAN PARTICIPATE IN EXERCISE TO IMPROVE INTEROPERABILITY
FROM: U.S. NAVY
120621-N-EY938-681 EAST CHINA SEA (June 21, 2012) The Arleigh Burke-class guided-missile destroyer USS McCampbell (DDG 85), left, the Japan Maritime Self-Defense Force (JMSDF) helicopter destroyer JS Kurama (DDH 144) and the Republic of Korea Ship (ROKS) Munmu the Great (DDH 976) are in formation in the East China Sea. The U.S. Navy, Japan Maritime Self Defense Force and Republic of Korea navy ships are participating in a trilateral exercise to improve interoperability, readiness and the capability to respond quickly to various situations in the region, ranging from disaster relief to maritime security activities. (US Navy photo by Lt. Cmdr. Denver Applehans/Released)
SIBERIAN LAKE MAY INDICATE WARMER ARCTIC TEMPERATURE INTERVALS OVER PAST 2.8 MILLION YEARS
FROM: NATIONAL SCIENCE FOUNDATION
Remote Siberian Lake Holds Clues to Arctic--and Antarctic--Climate Change
June 21, 2012
Intense warm climate intervals--warmer than scientists thought possible--have occurred in the Arctic over the past 2.8 million years.
That result comes from the first analyses of the longest sediment cores ever retrieved on land. They were obtained from beneath remote, ice-covered Lake El'gygytgyn (pronounced El'gee-git-gin) ("Lake E") in the northeastern Russian Arctic.
The journal Science published the findings this week.
They show that the extreme warm periods in the Arctic correspond closely with times when parts of Antarctica were also ice-free and warm, suggesting a strong connection between Northern and Southern Hemisphere climate.
The polar regions are much more vulnerable to climate change than researchers thought, say the National Science Foundation-(NSF) funded Lake E project's co-chief scientists: Martin Melles of the University of Cologne, Germany; Julie Brigham-Grette of the University of Massachusetts Amherst; and Pavel Minyuk of Russia's North-East Interdisciplinary Scientific Research Institute in Magadan.
The exceptional climate warming in the Arctic, and the inter-hemispheric interdependencies, weren't known before the Lake E studies, the scientists say.
Lake E was formed 3.6 million years ago when a huge meteorite hit Earth, leaving an 11-mile-wide crater. It's been collecting layers of sediment ever since.
The lake is of interest to scientists because it has never been covered by glaciers. That has allowed the uninterrupted build-up of sediment at the bottom of the lake, recording hitherto undiscovered information on climate change.
Cores from Lake E go far back in time, almost 30 times farther than Greenland ice cores covering the past 110,000 years.
The sediment cores from Lake El'gygytgyn reflect the climate and environmental history of the Arctic with great sensitivity, say Brigham-Grette and colleagues.
The physical, chemical and biological properties of Lake E's sediments match the known global glacial/interglacial pattern of the ice ages.
Some warm phases are exceptional, however, marked by extraordinarily high biological activity in the lake, well above that of "regular" climate cycles.
To quantify the climate differences, the scientists studied four warm phases in detail: the two youngest, called "normal" interglacials, from 12,000 years and 125,000 years ago; and two older phases, called "super" interglacials, from 400,000 and 1.1 million years ago.
According to climate reconstructions based on pollen found in sediment cores, summer temperatures and annual precipitation during the super interglacials were about 4 to 5 degrees C warmer, and about 12 inches wetter, than during normal interglacials.
The super interglacial climates suggest that it's nearly impossible for Greenland's ice sheet to have existed in its present form at those times.
Simulations using a state-of-the-art climate model show that the high temperature and precipitation during the super interglacials can't be explained by Earth's orbital parameters or variations in atmospheric greenhouse gases alone, which geologists usually see as driving the glacial/interglacial pattern during ice ages.
That suggests that additional climate feedbacks are at work.
"Improving climate models means that they will better match the data that has been collected," says Paul Filmer, program director in NSF's Division of Earth Sciences, which funded the "Lake E" project along with NSF's Office of Polar Programs.
"The results of this collaboration among scientists in the U.S., Austria, Germany and Russia are providing a challenge for researchers working on climate models: they now need to match results from Antarctica, Greenland--and Lake El'gygytgyn."
Adds Simon Stephenson, director of the Division of Arctic Sciences in NSF's Office of Polar Programs, "This is a significant result from NSF's investment in frontier research during the recent International Polar Year.
"'Lake E' has been a successful partnership in very challenging conditions. These results make a significant contribution to our understanding of how Earth's climate system works, and improve our understanding of what future climate might be like."
The scientists suspect the trigger for intense interglacials might lie in Antarctica.
Earlier work by the international ANDRILL program discovered recurring intervals when the West Antarctic Ice Sheet melted. (ANDRILL, or the ANtarctic geological DRILLing project, is a collaboration of scientists from five nations--Germany, Italy, New Zealand, the United Kingdom and the United States--to recover geologic records from the Antarctic margin.)
The current Lake E study shows that some of these events match with the super interglacials in the Arctic.
The results are of global significance, they believe, demonstrating strong indications of an ongoing collapse of ice shelves around the Antarctic Peninsula and at the margins of the West Antarctica Ice Sheet--and a potential acceleration in the near future.
The Science paper co-authors discuss two scenarios for future testing that could explain the Northern Hemisphere-Southern Hemisphere climate coupling.
First, they say, reduced glacial ice cover and loss of ice shelves in Antarctica could have limited formation of cold bottom water masses that flow into the North Pacific Ocean and upwell to the surface, resulting in warmer surface waters, higher temperatures and increased precipitation on land.
Alternatively, disintegration of the West Antarctic Ice Sheet may have led to significant global sea level rise and allowed more warm surface water to reach the Arctic Ocean through the Bering Strait.
Lake E's past, say the researchers, could be the key to our global climate future.
The El'gygytgyn Drilling Project also was funded by the International Continental Scientific Drilling Program (ICDP), the German Federal Ministry for Education and Research, Alfred Wegener Institute, GeoForschungsZentrum-Potsdam, the Russian Academy of Sciences Far East Branch, the Russian Foundation for Basic Research, and the Austrian Ministry for Science and Research.
HHS SAYS HEALTH CARE LAW HAS SAVED OVER $1 BILLION
Health care law saves consumers over $1 billion
Health care law provides rebates to more than 12 million consumers
Today, Health and Human Services (HHS) Secretary Kathleen Sebelius announced that 12.8 million Americans will benefit from $1.1 billion in rebates from insurance companies this summer, because of the Affordable Care Act’s 80/20 rule. These rebates will be an average of $151 for each family covered by a policy.
The health care law generally requires insurance companies to spend at least 80 percent of consumers’ premium dollars on medical care and quality improvement. Insurers can spend the remaining 20 percent on administrative costs, such as salaries, sales, and advertising. Beginning this year, insurers must notify customers how much of their premiums have been actually spent on medical care and quality improvement.
Insurance companies that do not meet the 80/20 standard must provide their policyholders a rebate for the difference no later than Aug. 1, 2012. The 80/20 rule is also known as the Medical Loss Ratio (MLR) standard.
"The 80/20 rule helps ensure consumers get fair value for their health care dollar," Secretary Sebelius said.
Consumers owed a rebate will see their value reflected in one of the following ways:
a rebate check in the mail;a lump-sum reimbursement to the same account that they used to pay the premium if by credit card or debit card; a reduction in their future premiums; or their employer providing one of the above, or applying the rebate in a manner that benefits its employees.
Insurance companies that do not meet the 80/20 standard will send their policyholders a rebate for the difference no later than Aug. 1, 2012. Consumers in every state will also receive a notice from their insurance company informing them of the 80/20 rule, whether their company met the standard, and, if not, how much of difference between what the insurer did or did not spend on medical care and quality improvement will be returned to them.
For the first time, all of this information will be publicly posted on HealthCare.gov this summer, allowing consumers to learn what value they are getting for their premium dollars in their health plan.
For many consumers, the 80/20 rule motivated their plans to lower prices or improve their coverage to meet the standard. This is one of the ways the 80/20 rule is bringing value to consumers for their health care dollars.
For a detailed breakdown of these rebates by state and by market, please visit:http://www.healthcare.gov/law/resources/reports/mlr-rebates06212012a.html
For the text of these proposed notifications, please visit: http://cciio.cms.gov/resources/other/index.html#mlr
For more information on the MLR provision in the Affordable Care Act:http://www.healthcare.gov/law/features/costs/value-for-premium/index.html
For more information on how the Affordable Care Act is creating a transparent market for health insurance, visit:http://www.healthcare.gov/news/factsheets/2010/12/increasing-transparency.html
3 FORMER EXECUTIVES OF FAIR FINANCIAL COMPANY CONVICTED FOR ROLES IN $200 MILLION FRAUD
Thursday, June 21, 2012
Three Former Executives Convicted for Roles in $200 Million Fraud Scheme Involving Fair Financial Company Investors
Three former executives of Fair Financial Company, an Ohio financial services business, were found guilty for their roles in a scheme to defraud approximately 5,000 investors of more than $200 million, Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division; Joseph H. Hogsett, U.S. Attorney for the Southern District of Indiana; and Special Agent in Charge Robert Holley of the FBI in Indiana announced today.
Following an eight-day trial, a federal jury in the Southern District of Indiana returned its verdict late yesterday. Timothy S. Durham, 49, the former chief executive officer of Fair, was convicted of one count of conspiracy to commit wire and securities fraud, 10 counts of wire fraud and one count of securities fraud. James F. Cochran, 56, the former chairman of the board of Fair, was convicted of one count of conspiracy to commit wire and securities fraud, one count of securities fraud and six counts of wire fraud. Rick D. Snow, 48, the former chief financial officer of Fair, was convicted of one count of conspiracy to commit wire and securities fraud, one count of securities fraud and three counts of wire fraud.
“Mr. Durham and his co-conspirators used lies and deceit as their business model,” said Assistant Attorney General Breuer. “They duped investors into thinking they were running a legitimate financial services company and misled regulators and others about the health of their failing firm. But all along, they were lining their pockets with other people’s money. The jury held them accountable for their crimes, and they each now face the prospect of significant prison time.”
“No matter who you are, no matter how much money you have, no matter how powerful your friends are, no one is above the law,” U.S. Attorney Hogsett said. “The Office of the United States Attorney will not stand idly by and allow a culture of corruption to exist in this community, this state, or this country. The decision made in this courtroom sends a powerful warning that if you sacrifice the truth in the name of greed, if you steal from another’s American dream to try and make your own, you will be caught.”
“This verdict represents a victory in the pursuit of justice,” said FBI Special Agent in Charge Holley. “I would like to commend the hard work and dedication of the prosecution team and the FBI investigative team, however, we must remember that the victims of this fraud are still suffering. I would also like to thank Indiana State Police Superintendent Paul Whitesell for the contributions of his task force officer in this investigation.”
Durham and Cochran purchased Fair, whose headquarters were in Akron, Ohio, in 2002. According to the evidence presented at trial, between approximately February 2005 through the end of November 2009, Durham, Cochran and Snow executed a scheme to defraud Fair’s investors by making and causing others to make false and misleading statements about Fair’s financial condition and about the manner in which they were using Fair investor money. The evidence also established that Durham, Cochran and Snow executed the scheme to enrich themselves, to obtain millions of dollars of investors’ funds through false representations and promises, and to conceal from the investing public Fair’s true financial condition and the manner in which Fair was using investor money.
When Durham and Cochran purchased Fair in 2002, Fair reported debts to investors from the sale of investment certificates of approximately $37 million and income producing assets in the form of finance receivables of approximately $48 million. By November 2009, after Durham and Cochran had owned the company for seven years, Fair’s debts to investors from the sale of investment certificates had grown to more than $200 million, while Fair’s income producing assets consisted only of the loans to Durham and Cochran, their associates and the businesses they owned or controlled, which they claimed were worth approximately $240 million, and finance receivables of approximately $24 million.
After Durham and Cochran acquired Fair, they changed the manner in which the company operated and used its funds. Rather than using the funds Fair raised from investors primarily for the purpose of purchasing finance receivables, Durham and Cochran caused Fair to extend loans to themselves, their associates and businesses they owned or controlled, which caused a steady and substantial deterioration in Fair’s financial condition.
Durham, Cochran and Snow terminated Fair’s independent accountants who, at various points during 2005 and 2006, told the defendants that many of Fair’s loans were impaired or did not have sufficient collateral. After firing the accountants, the defendants never released audited financial statements for 2005, and never obtained or released audited financial statements for 2006 through September 2009. With independent accountants no longer auditing Fair’s financial statements, the defendants were able to conceal from investors Fair’s true financial condition.
The evidence presented at trial established that Durham, Cochran and Snow falsely represented, in registration documents and offering circulars submitted to the State of Ohio Division of Securities and in offering circulars distributed to investors, that the loans on Fair’s books were assets that could support Fair’s sale of investment certificates. The defendants knew that in reality, the loans were worthless or grossly overvalued; producing little or no cash proceeds; supported by insufficient or non-existent collateral to assure repayment; and in part advances, salaries, bonuses and lines of credit for Durham and Cochran’s personal expenses.
The defendants engaged in a variety of other fraudulent activities to conceal from the Division of Securities and from investors Fair’s true financial health and cash flow problems, including making false and misleading statements to concerned investors who either had not received principal or interest payments on their certificates from Fair or who were worried about Fair’s financial health, and directing employees of Fair not to pay investors who were owed interest or principal payments on their certificates. Even though Fair’s financial condition had deteriorated and Fair was experiencing severe cash flow problems, Durham and Cochran continued to funnel Fair investor money to themselves for their personal expenses, to their family, friends and acquaintances, and to the struggling businesses that they owned or controlled.
This case was prosecuted by Assistant U.S. Attorneys Winfield D. Ong and NicholasE. Surmacz of the Southern District of Indiana, Trial Attorney Henry P. Van Dyck and Senior Deputy Chief for Litigation Kathleen McGovern of the Fraud Section in the Justice Department’s Criminal Division. The investigation was led by the FBI in Indianapolis.
Durham, Cochran and Snow each face a maximum of five years in prison for the conspiracy count, 20 years in prison for each wire fraud count and 20 years in prison for the securities fraud count. Additionally, each defendant could be fined $250,000 for each count of conviction.
This prosecution is part of efforts underway by President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.
AFRICA COMMAND SEEKS TO ELIMINATE SUPPORT FOR TERRORISTS
Marine Corps Sgt. Joseph Bergeron explains combat marksmanship tactics to a group of Ugandan soldiers, Feb. 27, 2012. Special Purpose Marine Air Ground Task Force 12 sent a small team of Marines into Uganda to train Ugandan forces to fight against al-Shabaab in Somalia and the hunt for Joseph Kony and his Lord's Resistance Army. U.S. Marine Corps photo by Cpl. Jad Sleiman
Africom Strives to 'Turn on Lights' Against Terrorism in Africa
By Donna Miles
STUTTGART, Germany, June 21, 2012 - Eliminating terrorist safe havens and support for terrorist groups in Africa is a top U.S. Africa Command priority, Africom's top military officer said.
Army Gen. Carter F. Ham told American Forces Press Service he's committed to working with African partners to confront violent extremists "that have very clearly articulated an intent to attack the United States, its allies, its citizens and its interests both within Africa and also more broadly, in Europe."
All, he said, want to take advantage of ungoverned or under-governed regions where they can operate without restraint.
Countering this threat is the common denominator that drives Ham's theater engagement strategy and its broad array of operations, exercises and security cooperation programs. This includes teaching partner nations how to improve their border security, intelligence and tactical capabilities and equipping African nations so they can operate more effectively.
"Ultimately, what we want to do through our activities – not just through Africom, but as a larger whole-of-government and international effort – is to 'turn the lights on,'" said James Robertson, an Africom strategist. "And when the lights are on, we will find increased security and stability."
Africa has struggled for decades with civil wars and conflicts, underdevelopment and poverty that make it inviting to terrorists from the Middle East, Robertson said.
"They want what Africa has to offer," he added. "They want this ungoverned space so they can operate freely, and so our aim is to deter and disrupt them and, ideally, ensure that they don't gain access."
Recognizing the extent of the threat, Ham has set East Africa as the No. 1 focus of his commandwide counterterrorism strategy.
"Why East Africa?" said Army Maj. Gen. Charles Hooper, the command's director of strategy, plans and programs. "It's because East Africa faces the challenges that we face in Arabia, particularly Yemen, and the al-Qaida elements emanating from Yemen and other areas in the Middle East." It's also home to the al-Shabab terror organization in Somalia that formally announced its affiliation with al-Qaida in February.
Hooper also cited other terrorist threats in Africa. In the North African desert, the al-Qaida in the Lands of the Islamic Maghreb organization is committed to destabilizing the trans-Sahara region and Northwest Africa. But its pursuits, he said, also threaten European allies across the Mediterranean Sea, as well as the United States.
He also noted concerns in the Gulf of Guinea, a major transit point for illicit trafficking in drugs, weapons and humans bound predominantly for Europe. In addition, a violent group known as Boko Haram has extended its influence to challenge the central government in Nigeria – a major economic power in Africa and a contributor to United Nations peacekeeping missions.
Africa's vast natural resources compound the region's strategic importance, Hooper said, particularly oil that's exported to the United States.
"Access to the global commons, and stability in Western Africa and in those important sea lines of communication that run through the Gulf of Guinea and through Western Africa, remain important," he said.
DIETARY SUPPLEMENTS AND CLAIMS MADE THAT MAY NOT BE TRUE
Keeping Tabs On Supplements
June 20th, 2012 Posted by Tracy Russo
The following post appears courtesy of the Consumer Protection Branch of the Civil Division
The dietary supplement industry has grown exponentially in recent decades, expanding from a niche health market into a major industry offering purported solutions for all types of ailments.
In 1994, Congress struck a balance between the dietary supplement industry and the public interest by enacting a law that generally treated dietary supplements as food rather than medicine. That means, for example, dietary supplements are generally not required to go through pre-market approval like pharmaceuticals.
In 2007, the Food and Drug Administration (FDA) recognized that stronger regulations for the manufacturing of dietary supplements were needed. Important new requirements have been introduced, in an effort to ensure that dietary supplements contain what they claim to contain.
In the last few years, the Consumer Protection Branch of the Civil Division, the FDA, and the Federal Trade Commission have collaborated in a number of actions designed to protect consumers. When its inspections reveal serious deficiencies in a dietary supplement firm’s labeling, manufacturing, or advertising, the FDA typically sends the firm a warning letter giving the firm a certain amount of time to rectify the violations, and may work with the firm to recall products with potential risks. You can find out about these actions and protect yourself by signing up for FDA recall alerts and by checking the FDA and FTC websites for warning letters issued to firms whose dietary supplements you may have purchased.
If the firm does not remedy the violations, the matter may be referred to the Justice Department for civil or criminal prosecution. In one recent case, the Consumer Protection Branch filed a civil suit against a Paterson, NJ-based supplement maker that had a serious rodent infestation, manufacturing problems that resulted in allergen cross-contamination, and various labeling errors. One of the firm’s products—which had been labeled to be dairy-free but in fact contained milk—even caused a life-threatening anaphylactic reaction in a consumer with a severe milk allergy.
Flouting a court-ordered shut down, the manufacturers simply opened up shop in a new location. Ultimately, the Justice Department secured a criminal conviction and the firm was ordered to pay $1 million in fines. Perhaps more significantly, the three principals of the firm were given lengthy prison terms: 40 months for the president and 34 months for the production and quality assurance managers.
Violations in the dietary supplement industry will not be tolerated. Consumers turn to these products for their health and sense of well-being. Consumers rely on the labels of dietary supplements to tell them about the effectiveness of the supplements and the allergens in the product. Consumers should be able to trust that the companies that produce dietary supplements make sure their products are free from harmful impurities and manufactured under sanitary conditions.
EU-U.S. NEGOTIATING DATA PRIVACY AND PROTECTION AGREEMENT
Thursday, June 21, 2012
Joint Statement on the Negotiation of a EU-U.S. Data Privacy and Protection Agreement by Attorney General Eric Holder and European Commission Vice-President Viviane Reding
Attorney General Eric Holder and European Commission Vice-President Viviane Reding issued the following statement following the EU-U.S. Justice and Home Affairs Ministerial meeting in Copenhagen:
"We reiterate our determination to finalize negotiations on a comprehensive EU-U.S. data privacy and protection agreement that provides a high level of privacy protection for all individuals and thereby facilitates the exchange of data needed to fight crime and terrorism, as announced at the November 2011 summit by our Presidents. Such an agreement will allow for even closer transatlantic cooperation in the fight against crime and terrorism, through the mutual recognition of a high level of protection afforded equally to citizens of both the United States and the European Union, and will thus facilitate any subsequent agreements concerning the sharing of a specific set of personal data.
“Negotiations have taken place at a steady rhythm since they began in March 2011 and progress has been achieved on a number of provisions. These include important principles such as data security, transparency of data processing or use, accountability, maintaining the quality and integrity of information and the existence of effective authorities ensuring data protection oversight. We are likewise continuing our work on a number of domains such as purpose limitation, retention of personal data, and effective administrative and judicial redress. “In view of our common objective to achieve mutual recognition, we will continue to make all efforts to come to a conclusion on these key points. To this end, we agree to take stock of progress during the EU-U.S. Justice and Home Affairs Ministerial meeting in 2013, and to consider next steps to ensure the continued rapid advancement of the negotiations."
U.S. 702ND EXPEDITIONARY AIRLIFT SQUADRON DEACTIVATED
FROM: U.S. AIR FORCE
The men and women of the 702nd Expeditionary Airlift Squadron gather for a group photo before the start of their deactivation ceremony at Kandahar Airfield, Afghanistan, on June 18, 2012. The squadron was established in July 2011 and was deactivated on June 18. The squadron supported tactical airlift requirements in support of operations in Afghanistan. (U.S. Army photo/Sgt. Daniel J. Schroeder)
702nd Expeditionary Airlift Squadron deactivates at Kandahar Airfield
by Capt. Frank Hartnett
451st Air Expeditionary Wing Public Affairs
6/20/2012 - KANDAHAR AIRFIELD, Afghanistan (AFNS) -- A small group of Air Guardsmen were joined by senior leaders June 18 to celebrate the completion of their deployment in support of Operation Enduring Freedom and to honor the deactivation of the 702nd Expeditionary Airlift Squadron here.
The 702nd EAS was activated here July 31, 2011, and charged to operate the C-27J Spartan in direct support of U.S. Army missions in the Regional Command - South area of operations.
During this rotation, the majority of the Airmen from 702nd EAS were from the Maryland Air National Guard. This deployment marked their third rotation to Afghanistan in five years.
The squadron deactivated after flying 3,200 missions, moving 1,400 tons of cargo, transporting 25,000 passengers and executing 71 airdrops, officials said. The achievements are even more impressive since the squadron operated only two aircraft.
"Persistent powerful presence-that's the mission of the 451st Air Expeditionary Wing, and the 702nd (EAS) has lived up to that statement in every respect," said Col. Robert Kiebler, the 451st Expeditionary Operations Group commander.
As the 702nd EAS becomes a part of history, the support provided to time-critical tactical airlift will not go with it.
"We will continue to provide world-class tactical airlift in support of operations in Regional Command - South," said Kiebler.
The U.S. Army 25th Combat Aviation Brigade served as the link for the 702nd EAS to the Army while it conducted operations in Afghanistan. The squadron flew missions that were directed and scheduled by the brigade.
The 25th CAB commander praised the departing Air Guardsmen for adopting his unit's motto, "We fly for the troops," during the deactivation ceremony.
"It emphasizes to every Soldier, and now every Airman, that has been in our formation that it's not about us," said Army Col. Frank W. Tate, the 25th CAB commander. "It's not about what is convenient for us. It is about what we can do to take care of that Soldier, Marine, Airman or Sailor on the ground. They are the ones who carry that heavy burden; they are the ones with the most significant challenges."
Supporting the warfighter was a constant focus of the squadron in its 10 months of operation. The squadron prided itself in providing rapid response in support of the mission.
"We had folks bring in boxes of blood (to the squadron), with crews already at the plane," said Lt. Col Michael Lunt, the 702nd EAS commander. "We walked it out to the aircraft, and it went out the door to Tarin Kowt.
"You can't find a better mission than tactical airlift," Lunt said.
A clear sense of accomplishment prevailed among the unit and leadership.
"This rotation has been for me, and the men and women of the Maryland, Ohio, Georgia, Mississippi, North Dakota and Arkansas Air National Guard, a very challenging, but, in many ways for us, the most rewarding rotation we've been on," Lunt said.
"We feel like we've made a difference for the young troops on the tip of the spear."
Thursday, June 21, 2012
STATE DEPARTMENT CONGRESSIONAL TESTIMONY ON NORMALIZATION OF U.S.-RUSSIA TRADE RELATIONS
FROM: U.S. STATE DEPARTMENT
Russia's Accession to the World Trade Organization and Granting Russia Permanent Normal Trade Relations
Testimony William J. Burns
Deputy Secretary Statement before the Ways and Means Committee of the United States House of Representatives
Washington, DC
June 20, 2012
Chairman Camp, Ranking Member Levin, Distinguished Members of the Committee: thank you for inviting me to appear before you today.
This hearing comes at an opportune moment. This summer, Russia will become a member of the World Trade Organization. Before this happens, Congress has a choice: it can extend Permanent Normal Trade Relations (PNTR) to Russia, giving American exporters and workers a level the playing field in one of the fastest growing markets in the world; or it can keep Jackson-Vanik in place, preventing American companies from reaping the benefits of an unprecedented opportunity to boost trade in a large and growing market.
Terminating the Jackson-Vanik Amendment’s application is not a favor to Russia. It is a step to help create American jobs. And, as Russia’s aspiring democrats have made clear, it is a smart, strategic investment in the kind of country Russia’s emerging middle class is striving for -- a Russia that promotes a strong rule of law. This step is in the Russian people’s own self-interest and to the practical benefit of American companies and workers.
I. The Economic Stakes
At a time when the economic needs of the American people are great, U.S. foreign policy must help American workers and businesses connect to markets abroad to drive our economic recovery at home.
The upside of opening Russian markets to American exporters is clear. From 2009 to 2011, U.S. exports to Russia rose 57 percent, and total U.S.-Russia trade rose over 80 percent. However, U.S. trade with Russia still totals less than one percent of our global trade. Russia may be the world’s seventh-largest economy, but it is our 20th largest trading partner.
Lifting Jackson-Vanik and extending PNTR does not require the United States to change any of its tariffs, services, market access, or other World Trade Organization (WTO) commitments. It simply makes permanent the treatment we have already extended to imports from Russia every year since 1992 and ensures that the WTO Agreement will apply between us. If the WTO Agreement does not apply between us American companies will be at a disadvantage. While America’s competitors will enjoy more liberal treatment for exports of goods and services and stronger commitments on protection of intellectual property rights, American companies will not. Russia will not have an obligation to apply science-based food safety standards to U.S. exports of meat and poultry or WTO rules on antidumping, leaving American companies vulnerable. Worse still, when our economic competitors from Brazil, Europe and China have grievances in Russia, their governments will be able to turn to a binding WTO dispute mechanism. The United States will not.
II. The Strategic Backdrop
Beyond the benefits to immediate U.S. economic interests, extending PNTR to Russia is a strategic investment in our long-term relationship. Our strategic interests around the world demand that we cooperate with Russia in a number of areas. Russia is a permanent member of the Security Council and a member of the P5+1. Together Russia and the United States hold 90 percent of the world’s nuclear weapons. Russia is the single largest source of the world’s hydrocarbons. Russia sits astride Europe, Asia, and the broader Middle East, three regions whose geostrategic importance will continue to shape American interests for years to come.
By working together with Russia over the last three and a half years, we have shown that we can achieve tangible results that matter to our own self-interest and national security. We are implementing the New START Treaty. Together, we are disposing of enough weapons-grade plutonium for 17,000 nuclear warheads. Russia joined with other members of the United Nations (UN) Security Council in supporting Security Council Resolution 1929 and voluntarily cancelled the sale of a sophisticated air defense system to Iran, a contract worth over a billion dollars. This week, Moscow hosted international talks to press Iran to comply with its international obligations regarding its nuclear program. Russia also provides critical logistical support to international forces in Afghanistan: many of the supplies that transit the Northern Distribution Network go through Russia and a majority of our troops traveling to Afghanistan transit through Russian airspace -- over 370,000 military personnel in all.
The United States and Russia have achieved gains that extend beyond security and global politics to touch the daily lives of Americans and Russians. Last July, Secretary Clinton and Foreign Minister Lavrov signed an agreement to build trust and transparency on the sensitive issue of inter-country adoption. They also approved a reciprocal visa agreement to makes it easier for business people and tourists to travel between our countries. And through the U.S.-Russia Bilateral Presidential Commission and its 20 working groups, we have built new partnerships and engaged our citizens, businesses and non-governmental organizations in areas such as health care and energy efficiency.
Even as we seek progress on areas of mutual interest, there are also areas of real difference between our countries on issues ranging from missile defense and Georgia to Syria and human rights. We continue to believe that cooperation with Russia on missile defense can enhance the security of the United States, our allies in Europe, and Russia. In pursuing cooperation on missile defense, the United States will not agree to constrain or limit our missile defenses. U.S. support for Georgia’s sovereignty and territorial integrity within its internationally recognized borders will not change. On Syria, our message to our Russian colleagues has been clear and consistent. Assad’s campaign of terror against his own people is unconscionable. It is past time for action to meet our obligations as UN Security Council members to protect peace and security and allow the Syrian people to pull their country back from the brink and embark on a political transition.
We have serious concerns about democracy and human rights in Russia -- including the unsolved murders of journalists like Paul Klebnikov and the tragic death of Sergey Magnitskiy. In these instances and many others, we have not hesitated to voice our concerns publicly and directly with Russia’s leadership. We have also taken action. Thanks to existing authorities and the President’s Proclamation on Human Rights last August, we have taken steps to deny visas to those who have committed serious human rights abuses, including those involved in the Magnitskiy case. Through U.S. assistance programs, we are also supporting the Russian people in their efforts to promote transparency, accountable government, and the fair application of the rule of law.
Today, a deeper economic partnership represents one of our greatest opportunities to work to build trust and pursue common interests with Russia. The removal of Jackson-Vanik would give ballast to our overall relationship with Russia and strengthen the case of those who argue that greater cooperation with America is good for the Russian people.
Jackson-Vanik has served a noble and historic purpose. It put American law firmly behind the liberation of hundreds of thousands of Soviet Jews trapped on the wrong side of the Iron Curtain and achieved its goal. Years ago, the National Conference on Soviet Jewry began advocating for an end to Jackson-Vanik. The American Jewish Committee, echoing statements of other Jewish groups, joined Russian democrats in reaffirming its "support for Russia's graduation from the Jackson-Vanik amendment, a Cold War relic which remains one of the thorns in the side of ties between the U.S. and Russia."
Keeping Jackson-Vanik in place for Russia also provides political ammunition for those in Russia who argue that the United States is stuck in a Cold War mentality. It puts our companies at a competitive disadvantage and diminishes our ability to hold Russia to its commitments to transparency and increased market access.
III. Russia’s Changing Landscape
Two decades ago, many were overly optimistic about how quickly change would come to Russia. The reality is that real political and economic transition in Russia is likely to take decades to complete. However, change is already happening, and the pace is increasing. After a decade of growth, an emerging generation of Russians aspires not just to see their country as a wealthy great power -- but a modern nation in which they have the opportunity to compete and innovate in the global marketplace; a nation in which they have a say in how they are governed and how their taxes are spent.
Young Russians’ connections to the world are growing and irreversible: half of Russians over age eighteen are on the Internet today. Three million Russians are blogging. Russians made over thirty-six million trips abroad last year. More Russians received visas to travel to the United States than ever before -- twice as many as came just seven years ago. Russians have become accustomed to and expect basic personal freedoms: the freedom to travel, to shift jobs and residence, to own and convey property, and to express themselves in cyberspace.
The fact that, beginning last December, tens of thousands of Russians have taken to the streets repeatedly to carry out peaceful demonstrations is a vivid reminder that Russians want a political voice and want to help shape their own future. They are a reminder that an empowered middle class, with a demand for accountability and transparency, can also drive political and economic change.
Our goal is to be supportive of efforts made by Russians themselves to modernize their economic and political systems. Russian civil society activists argue that increased trade with the United States would help strengthen this new middle class. They argue that greater transparency and accountability in rules will help attract the investment needed to move Russia’s economy away from its dependence on hydrocarbons and generate new sources of economic growth. They argue that a level playing field, including better legal protections and transparent, predictable rules applied uniformly across Russia’s territory, will help provide a hedge against corruption and monopolistic control. Refusing to lift Jackson-Vanik and extend PNTR gives America no leverage over Russia in the areas where we differ. This is why leaders of Russia’s political opposition have called on the U.S. to terminate Jackson-Vanik, notwithstanding their concerns about human rights and the Magnitskiy case -- concerns which we share. Similarly, Georgia recognized the benefits of increased trade and, notwithstanding its disagreements with Russia, joined a consensus agreement to support Russia’s WTO accession.
Over time, extending PNTR can help Russians achieve their goal of building a modern, successful and prosperous nation. Upon accession to the WTO, Russia will join the United States and others in taking on obligations to increase transparency and predictability in laws and regulations. WTO membership and PNTR alone will not cut the Russian economy free from what Russia’s own leadership recognizes are the crippling effects of corruption and weak rule of law. Other complementary measures such as beginning negotiations on a new Bilateral Investment Treaty and Russia’s progress toward OECD accession are also important to continue to support Russia’s modernization and openness to free trade. While challenges will remain for a long time to come, this long-term strategy of greater economic engagement, grounded in a rules-based system, can help to open up Russia’s economy and society and to reinforce rule of law.
Ultimately, the Russian people themselves will have to choose their country’s direction. In the meantime, we will support Russians’ own efforts to create the kind of country they strive for: an open society that protects fundamental freedoms, property rights, transparency, competition and free trade; and a modern Russia that partners with the United States to promote global security and prosperity.
Navigating relations with Russia in the months and years ahead will not be easy. It will involve a complicated mix of managing cooperation and differences. However, as Russia prepares to join the World Trade Organization, the economic needs of the American people and the Russian people’s vision for their own future both point us in the same direction: toward an end to the application of the decades-old Jackson-Vanik Amendment and the beginning of a new chapter in our economic and trade relationship with Russia.
DETROIT-AREA CLINIC OWNER PLEADS GUILTY TO $16 MILLION MEDICARE FRAUD
FROM: U.S. DEPARTMENT OF JUSTICE
Wednesday, June 20, 2012
Detroit-Area Clinic Owner Pleads Guilty to $16 Million Psychotherapy Fraud Scheme
WASHINGTON – Detroit-area resident Louisa Thompson pleaded guilty today for her role in a $16 million fraud scheme, announced the Department of Justice, the FBI and the Department of Health and Human Services (HHS).
Thompson, 63, pleaded guilty today before U.S. District Judge Nancy D. Edmunds in the Eastern District of Michigan to one count of conspiracy to commit health care fraud. At sentencing, scheduled for Oct. 18, 2012, Thompson faces a maximum penalty of 10 years in prison and a $250,000 fine.
According to the plea documents, in approximately January 2006, Thompson began billing Medicare for psychotherapy services through two companies, TGW Medical Inc. and Caldwell Thompson Manor Inc. The services billed by Thompson at TGW and Caldwell Thompson were never performed or were performed by unlicensed staff who were not authorized to perform services reimbursed by Medicare. The unlicensed staff members also fabricated therapy notes for patients that were never seen and billed Medicare using document templates created by Thompson.
According to court documents, Thompson also received payments from the owner of P&C Adult Day Care Inc., a psychotherapy clinic. Those payments to Thompson were, in part, for the use of Thompson’s provider number by P&C. Thompson also admitted signing therapy documents for P&C patients she never saw or treated. P&C, like TGW and Caldwell Thompson, billed for psychotherapy services that were either not performed or performed by unlicensed staff. Caldwell Thompson and P&C shared Medicare beneficiaries and/or beneficiary information.
Thompson admitted to submitting or causing to be submitted approximately $15.9 million in fraudulent psychotherapy claims on behalf of TGW, Caldwell Thompson and P&C. Medicare paid approximately $4.9 million of those claims.
The guilty plea was announced by Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division; U.S. Attorney for the Eastern District of Michigan Barbara L. McQuade; Acting Special Agent in Charge of the FBI’s Detroit Field Office Edward J. Hanko; and Special Agent in Charge Lamont Pugh III of the HHS Office of Inspector General’s (HHS-OIG), Chicago Regional Office.
The case is being prosecuted by Trial Attorney Gejaa T. Gobena of the Criminal Division’s Fraud Section and Assistant U.S. Attorney for the Eastern District of Michigan Philip A. Ross. The case was investigated by the FBI and HHS-OIG, and was brought as part of the Medicare Fraud Strike Force, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of Michigan.
Since its inception in March 2007, Medicare Fraud Strike Force operations in nine locations have charged more than 1,330 individuals and organizations that collectively have billed the Medicare program for more than $4 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
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