CFTC OBTAINS COURT ORDER FOR REPAYMENT OF DEFRAUDED CUSTOMERS IN COMMODITY CONTRACT POOL SCHEME

FROM: U.S. COMMODITY FUTURES TRADING COMMISSION
April 15, 2013

Federal Court in California Orders National Equity Holdings, Inc. and Its Principal, Robert J. Cannone, to Pay over $3.6 Million to Settle Fraud Charges in CFTC Action

Washington, DC - The U.S. Commodity Futures Trading Commission (CFTC) today announced that it obtained a federal court Order against Defendants National Equity Holdings, Inc. (National Equity) and its Principal, Robert J. Cannone, both of Orange County, California, requiring them to pay restitution to defrauded customers in accordance with restitution set in a related criminal action at $1,059,096 (U.S. v. Cannone, SACR 11-263). The Consent Order of Permanent Injunction also imposes civil monetary penalties of $2.8 million on National Equity and $800,000 on Cannone. The Order also imposes permanent trading and registration bans against the Defendants and prohibits them from violating the anti-fraud provisions of the Commodity Exchange Act (CEA), as charged.

The Order, entered on April 11, 2013, by the Honorable James Selna of the U.S. District Court for the Central District of California, stems from a CFTC Complaint filed on November 8, 2011, charging National Equity, Cannone, Francis Franco, and Thomas B. Breen with fraudulent solicitation, misappropriation, and registration violations.

The Order finds that between June 2009 to April 2010, Cannone, by and through National Equity, fraudulently solicited and accepted over $1.4 million to trade commodity futures contracts through a pool. In their solicitations, Cannone, by and through National Equity, (1) falsely claimed to have a successful and experienced trader (Franco) for the pool, (2) misrepresented the likelihood of profits and the risks associated with trading commodity futures, (3) failed to disclose that they were not properly registered with the CFTC to operate a pool, and (4) failed to disclose their intended uses of pool participant funds.

The Order further finds that Cannone and National Equity traded only a portion of the pool participant funds in proprietary accounts and sustained overall and significant losses. Cannone misappropriated the majority of the pool participant funds to make so-called returns to participants in monthly payments that Cannone, through National Equity, claimed were the profitable proceeds of their trading, the Order finds. Cannone also misappropriated pool participant funds for personal use, according to the Order.

Cannone and National Equity concealed their fraud and trading losses from the pool participants by issuing false account statements reflecting profits, the Order finds. A year after commencing their fraudulent scheme, their trading losses and misappropriation had depleted pool participant funds, but at meetings with several pool participants, the Defendants made promises and sometimes gave written guarantees to return the funds invested, according to the Order.

The Order also finds that National Equity failed to register with the CFTC as a Commodity Pool Operator and Cannone failed to register as an Associated Person of National Equity, as required.

The CFTC’s litigation continues against the remaining Defendant Breen. On July 12, 2012, the court entered a permanent injunction Order against Defendant Franco, barring him from further violations of the CEA, as charged, and from engaging in certain commodity-related activities, including trading for others and registration; however, the litigation continues to determine the appropriate amount of a civil monetary penalty to be imposed and the whether a personal trading ban should be imposed on Franco.

In related criminal actions, Cannone, as well as Breen and Franco, pled guilty to criminal violations of the CEA, as amended. Cannone was sentenced to 27 months in federal prison and ordered to pay the $1,059,096 million in restitution jointly with Breen and Franco.

The CFTC thanks the Federal Bureau of Investigation (Orange County Office) and the U.S. Attorney’s Office for the Central District of California (Santa Ana Office) for their assistance.

CFTC Division of Enforcement staff members responsible for this case are Michelle S. Bougas, Heather Johnson, James H. Holl, III, Gretchen L. Lowe, and Vincent McGonagle.

IMAGE OF NGC 2768

 

  FROM: NASA

The soft glow in this image is NGC 2768, an elliptical galaxy located in the northern constellation of Ursa Major (The Great Bear). NGC 2768 appears here as a bright oval on the sky, surrounded by a wide, fuzzy cloud of material. This image, taken by the NASA/ESA Hubble Space Telescope, shows the dusty structure encircling the center of the galaxy, forming a knotted ring around the galaxy’s brightly glowing middle. Interestingly, this ring lies perpendicular to the plane of NGC 2768 itself, stretching up and out of the galaxy. The dust in NGC 2768 forms an intricate network of knots and filaments. In the center of the galaxy are two tiny, S-shaped symmetric jets. These two flows of material travel outwards from the galactic center along curved paths, and are masked by the tangle of dark dust lanes that spans the body of the galaxy. These jets are a sign of a very active center. NGC 2768 is an example of a Seyfert galaxy, an object with a supermassive black hole at its center. This speeds up and sucks in gas from the nearby space, creating a stream of material swirling inwards towards the black hole known as an accretion disk. This disk throws off material in very energetic outbursts, creating structures like the jets seen in the image above. Image Credit: NASA/ESA/Hubble

ATTORNEY GENERAL HOLDER'S ADDRESS TO THE COORDINATING COUNCIL ON JUVENILE JUSTICE AND DELINQUENCY PREVENTION

FROM: U.S. DEPARTMENT OF JUSTICE

Attorney General Eric Holder Speaks at the Quarterly Meeting of the Coordinating Council on Juvenile Justice and Delinquency Prevention

Washington, D.C. ~ Friday, April 12, 2013

Thank you, Kathi – and thank you all for being here.

It’s a pleasure to be among so many good friends and distinguished colleagues this afternoon. And it’s a privilege to join you all in welcoming Bob Listenbee as Administrator of the Office of Juvenile Justice and Delinquency Prevention.

Many of us have known Bob for years, as a highly-respected public defender and juvenile justice system reformer. Throughout his career, he has championed juvenile justice issues and fought to protect young people who are in need and at risk – most recently as Co-Chair of the Attorney General’s Task Force on Children Exposed to Violence. He has also served as a member of OJJDP’s Federal Advisory Committee on Juvenile Justice, which advises the President, Congress, and OJJDP on juvenile justice policy; as a trial lawyer at the Defender Association of Philadelphia; and as Chief of the Association’s Juvenile Unit.

As OJJDP Administrator, I know Bob will continue to be a strong voice for all children and their families, particularly those impacted by violence. And I’m proud to officially welcome him to the Justice Department today.

At our last Coordinating Council meeting in December, this group heard from the Attorney General’s Task Force on Children Exposed to Violence. The Task Force presented a report including 56 recommendations to address and prevent childhood exposure to violence – as victims or as witnesses.

Just two days later, a horrific mass shooting in Newtown, Connecticut claimed the lives of 20 elementary school children and 6 adults. And it served as a shocking reminder of exactly what we’re up against – and exactly how much is at stake in our ongoing fight to protect our most vulnerable citizens: our children.

Nearly every day, the tragedy that took place at Sandy Hook Elementary School is compounded by individual tragedies that take place on the streets of big cities and small towns across the country – and that too often pass unnoticed.

Just days after this group last came together, I traveled to Newtown and met with the first responders and crime scene search officers who arrived at the school just after the first calls came in.

In what were without question the worst moments of my professional life, I walked the halls where those terrible acts took place. I saw the dried blood. I saw the horrific crime scene photos. And when the brave men and women I met with asked me, with broken hearts and tear-streamed faces, to do whatever I could to prevent such a thing from happening again – I told them I would not rest until we had secured the common-sense changes that they and those 26 angels deserve.

When I left Newtown that day, I was more convinced than ever of the critical importance of the work that this Coordinating Council is doing – and the Administration’s comprehensive efforts to cut down on gun crimes and other forms of violence.

Today, I am firmly committed – as I know everyone here is committed – to keep the promises we’ve made to the American people, and especially to survivors and victims’ families in communities like Newtown: to do everything in our power to cut down on violence and prevent future tragedies; to implement the recommendations we heard from Bob and his colleagues in December; and to take action based on complementary reports, such as the June 2012 report of the National Advisory Committee on Violence Against Women.

At our last meeting, I told members of this Coordinating Council that I would help ensure that the Task Force’s recommendations would not be shelved or set aside. I promised that they would be carefully considered and, wherever possible, used as the basis for action – and a blueprint for strengthening our robust anti-youth violence work that’s already underway.

Two weeks after that meeting, Acting Associate Attorney General Tony West and I sat down with Mary Lou Leary and her OJP staff to discuss the Defending Childhood Initiative – and to reinforce the need for us to move toward implementation of the Task Force recommendations.

I’m pleased to note that, since then, my colleagues across the Justice Department have taken this directive to heart. Over the past several months, OJJDP’s leadership and staff members have begun to engage with a range of federal partners about how we might be responsive to the Task Force recommendations.

At my request, Department leaders have developed near-and long-term strategies for how we can collaborate with our colleagues and counterparts in order to make a positive difference in four primary areas of activity: raising public awareness, strengthening professional education and training, building knowledge through ongoing research, and increasing DOJ and federal coordination and capacity.

Over the next year, I am charging my DOJ colleagues to plan for the implementation of these recommendations. I know some of you have already started to work with us in this planning process, to map existing federal activities, and to help ensure that we’re making the best possible use of precious taxpayer resources.

As we look toward the future of these efforts, I’m confident that we’ll be able to refine and build upon existing activities – while establishing new policies and programs when necessary.

After all, there’s no question that we have come a long way since 2010, when the Defending Childhood Initiative was born – and we can all be encouraged by the steps forward we’ve seen in recent years.

But there’s also no denying that a great deal remains to be done in our efforts to better understand the causes and impact of youth violence; to prevent and combat it; and to bring hope and healing to those who suffer exposure.

This is nothing less than a national crisis – with serious ramifications for the future of our country, and for the young men and women who will soon be called upon to build that future.

The cost of failure and inaction – both human and moral – is simply too high to contemplate. The responsibility for turning back the tide of violence rests with each of the leaders – in this room and far beyond it – who has made a commitment to fighting back. And that’s why, as long as we work together, support one another, and remain steadfast in our determination to make the difference our children need – I believe there’s no limit to what we’ll be able to achieve.

In just a moment, I’ll turn things over to another key leader of this work – Acting Associate Attorney General West – to move this important conversation forward.

Based on the results of our last meeting, I will be asking Tony to help lead the creation of an American Indian Alaska Native Task Force on Children Exposed to Violence, in collaboration with our colleagues at the Department of the Interior. I’m grateful for his leadership on this and a wide range of other issues.

MAN CHARGED FOR OBSTRUCTION IN GUINEAN MINING RIGHTS BRIBE CASE

FROM: U.S. DEPARTMENT OF JUSTICE
Monday, April 15, 2013
Obstruction Charges Filed in Ongoing FCPA Investigation into Alleged Guinean Mining Rights Bribe Scheme
Frederic Cilins, 50, a French citizen, has been arrested and accused of attempting to obstruct an ongoing investigation into whether a mining company paid bribes to win lucrative mining rights in the Republic of Guinea.

Mythili Raman, Acting Assistant Attorney General for the Justice Department’s Criminal Division; Preet Bharara, the U.S. Attorney for the Southern District of New York; and George Venizelos, the Assistant Director in Charge of the FBI’s New York Field Office, made the announcement.

"Mr. Cilins is charged with scheming to destroy documents and induce a witness to give false testimony to a grand jury investigating potential violations of the Foreign Corrupt Practices Act," said Acting Assistant Attorney General Raman. "The Justice Department is committed to rooting out foreign bribery, and we will not tolerate criminal attempts to thwart our efforts."

"A grand jury can never learn the truth, and justice cannot prevail, where documents are intentionally destroyed and testimony is tainted by lies," said U.S. Attorney Bharara. "As alleged, Frederic Cilins attempted to obstruct a significant investigation by corrupting evidence and testimony in precisely those ways. With today’s arrest, he now begins his own path to justice for his alleged conduct."

"As alleged, Cilins attempted to buy evidence he sought to destroy," said FBI Assistant Director in Charge Venizelos. "The destruction of evidence was in furtherance of Cilins’s alleged effort to obstruct an investigation into a bribery scheme. In effect, he was allegedly willing to commit bribery in an effort to cover up a bribery."

Cilins was arrested in Jacksonville, Fla., on April 14, 2013, and a criminal complaint was filed in the Southern District of New York today charging Cilins with tampering with a witness, victim or informant; obstructing a criminal investigation; and destroying, altering or falsifying records in a federal investigation. The obstruction charge carries a maximum penalty of five years in prison, and the tampering and record-destruction charges each carry a maximum penalty of 20 years in prison. Cilins made an initial appearance in the Middle District of Florida and was detained pending a detention hearing scheduled for April 18, 2013.

According to the complaint, Cilins allegedly attempted to obstruct an ongoing federal grand jury investigation concerning potential violations of the Foreign Corrupt Practices Act and laws proscribing money laundering. The complaint states the federal grand jury is investigating whether a particular mining company and its affiliates – on whose behalf Cilins has been working – transferred into the United States funds in furtherance of a scheme to obtain and retain valuable mining concessions in the Republic of Guinea’s Simandou region. During monitored and recorded phone calls and face-to-face meetings, Cilins allegedly agreed to pay substantial sums of money to induce a witness to the bribery scheme to turn over documents to Cilins for destruction, which Cilins knew had been requested by the FBI and needed to be produced before a federal grand jury. The complaint also alleges that Cilins sought to induce the witness to sign an affidavit containing numerous false statements regarding matters under investigation by the grand jury.

The complaint alleges that the documents Cilins sought to destroy included original copies of contracts between the mining company and its affiliates and the former wife of a now-deceased Guinean government official, who at the relevant time held an office in Guinea that allowed him to influence the award of mining concessions. The contracts allegedly related to a scheme by which the mining company and its affiliates offered the wife of the Guinean official millions of dollars, which were to be distributed to the official’s wife as well as ministers or senior officials of Guinea’s government whose authority might be needed to secure the mining rights.

According to the complaint, the official’s wife incorporated a company in 2008 that agreed to take all necessary steps to secure the valuable mining rights for the mining company’s subsidiary. That same contract stipulated that $2 million was to be transferred to the official’s wife’s company and an additional sum was to be "distributed among persons of good will who may have contributed to facilitating the granting of" the valuable mining rights. According to the complaint, in 2008, the mining company and its affiliates also "commit[ted] to giving 5% of the shares of stock" in particular mining areas in Guinea to the official’s wife.

A complaint is merely an accusation, and the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.

The case is being prosecuted by Trial Attorney Stephen J. Spiegelhalter of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Elisha J. Kobre of the Southern District of New York. The case is being investigated by the FBI. The Justice Department’s Office of International Affairs and Office of Enforcement Operations have also assisted in the investigation.

U.S. DIRECTOR OF NATIONAL INTELLIGENCE SAID "THREATS MORE DIVERSE, INTERCONNECTED"

FROM: U.S. DEPARTMENT OF DEFENSE
Cyber Tops Intel Community's 2013 Global Threat Assessment
By Cheryl Pellerin
American Forces Press Service

WASHINGTON, April 15, 2013 - National security threats are more diverse, interconnected and viral than at any time in history, the director of national intelligence said last week in a statement for the record delivered to the House Permanent Select Committee on Intelligence.

"This year, in content and organization, this statement illustrates how quickly and radically the world and our threat environments are changing," James R. Clapper said in the statement's introduction.

At the top of the U.S. intelligence community's 2013 assessment of global threats is cyber, followed by terrorism and transnational organized crime, weapons of mass destruction proliferation, counterintelligence and space activities, insecurity and competition for natural resources, health and pandemic threats, and mass atrocities.

"This environment is demanding reevaluations of the way we do business, expanding our analytic envelope and altering the vocabulary of intelligence," Clapper said in his statement.

The 30-page statement, based on information complete as of March 7, also lists threats in terms of regions such as the Middle East and North Africa, sub-Saharan Africa, East and South Asia, Russia and Eurasia, Latin America and the Caribbean, and Europe.

As the top-listed global threat, cyber is discussed in terms of increasing risk to U.S. critical infrastructure, the erosion of U.S. economic and national security, information control and Internet governance, and other areas.

"We judge that there is a remote chance of a major cyberattack against U.S. critical infrastructure systems during the next two years that would result in long-term, wide-scale disruption of services such as a regional power outage," Clapper stated.

The technical expertise and operational sophistication needed for such an attack is out of reach for most actors, he added, and "advanced cyber actors like Russia and China are unlikely to launch such a devastating attack against the United States outside of a military conflict or crisis that they believe threatens their vital interests."

But, he stated, isolated state or nonstate actors might deploy less sophisticated cyberattacks as a form of retaliation or provocation.

In terms of eroding U.S. economic and national security, the director said in his statement: "We assess that highly networked business practices and information technology are providing opportunities for foreign intelligence and security services, trusted insiders, hackers and others to target and collect sensitive U.S. national security and economic data."

Such activities are allowing adversaries to close the technological gap between the U.S. military and their own, he added, slowly neutralizing a key U.S. advantage internationally.

In the area of online information control, he said, some countries, including Russia, China and Iran, focus on cyber influence and the risk that Internet content might contribute to political instability. The U.S. focus is on cyber security and the risks to network and system reliability and integrity.

This fundamental difference in defining cyber threats was a core part of discussions as countries negotiated a global telecommunications treaty in Dubai in December, Clapper said.

"The contentious new text that resulted led many countries, including the United States, not to sign the treaty because of its language on network security, spam control and expansion of the U.N.'s role in Internet governance," the director added.

Negotiations showed that such disagreements will be long-running challenges in bilateral and multilateral engagements, he said.

"We track cyber developments among nonstate actors, including terrorist groups, hacktivists and cyber criminals," Clapper noted, adding, "We have seen indications that some terrorist organizations have heightened interest in developing offensive cyber capabilities, but they will probably be constrained by inherent resource and organizational limitations and competing priorities."

In Clapper's statement to Congress, he said terrorism is divided into subcategories that include the evolving homeland threat landscape, the global jihadist threat overseas and its affiliates, allies and sympathizers in Iran and Lebanese Hezbollah.

Terrorist threats, the director observed, are in transition as the global jihadist movement becomes increasingly decentralized.

"The Arab Spring has generated a spike in threats to U.S. interests in the region that likely will endure until political upheaval stabilizes and security forces regain their capabilities," Clapper said.

The nation also faces uncertainty about potential threats from Iran and Lebanese Hezbollah, which see the United States and Israel as their principal enemies.

For al-Qaida in the Arabian Peninsula, attacks on U.S. soil will remain part of its transnational strategy and the group continues to adjust its tactics, techniques and procedures for targeting the West, Clapper said.

The intelligence community assesses that al-Qaida-inspired homegrown violent extremists will continue to be involved in fewer than 10 domestic plots per year and will be motivated by global jihadist propaganda to engage in violent action, he added.

For core al-Qaida, the director said, "senior personnel losses in 2012, amplifying losses and setbacks since 2008, have degraded that organization to a point that the group is probably unable to carry out complex, large-scale attacks in the West ... [but] its leaders will not abandon the aspiration to attack inside the United States."

Iran, North Korea and Syria figure prominently in the statement's discussion of weapons of mass destruction.

"We assess Iran is developing nuclear capabilities to enhance its security, prestige and regional influence and give it the ability to develop nuclear weapons, should a decision be made to do so," Clapper said.

"We do not know if Iran will eventually decide to build nuclear weapons," he added.

North Korea's nuclear weapons and missile programs pose a serious threat to the United States and to the security environment in East Asia, a region with some of the world's largest populations, militaries and economies, the director said.

"North Korea's export of ballistic missiles and associated materials to several countries, including Iran and Syria, and its assistance to Syria's construction of a nuclear reactor, destroyed in 2007, illustrate the reach of its proliferation activities," Clapper said.

"... Although we assess with low confidence that the North would only attempt to use nuclear weapons against U.S. forces or allies to preserve the Kim [Jong Un] regime," he added, "we do not know what would constitute, from the North's perspective, crossing that threshold."

Syria has an active chemical warfare program and maintains a stockpile of sulfur mustard, sarin and the nerve agent VX. The intelligence community assesses that Syria has a stockpile of missiles, aerial bombs and possibly artillery rockets that can be used to deliver these agents, the director said.

"Syria's overall CW program is large, complex and geographically dispersed, with sites for storage, production and preparation," Clapper said.

"This advanced CW program has the potential to inflict mass casualties," he added, "and we assess that an increasingly beleaguered regime, having found its escalation of violence through conventional means inadequate, might be prepared to use CW against the Syrian people."

Some elements of Syria's longstanding biological warfare program may have advanced beyond the research and development stage and may be capable of limited agent production, the director said.

Syria is not known to have successfully weaponized biological agents in an effective delivery system, he added, but it has conventional and chemical weapon systems that could be modified for biological agent delivery.

In this threat environment, Clapper said, "... The intelligence community must continue to promote collaboration among experts in every field, from the political and social sciences to natural sciences, medicine, military issues and space."

He added: "Collectors and analysts need vision across disciplines to understand how and why developments -- and both state and unaffiliated actors -- can spark sudden changes with international implications."

President Obama Speaks on Common-Sense Measures to Reduce Gun Violence | The White House

President Obama Speaks on Common-Sense Measures to Reduce Gun Violence | The White House

ISAF NEWS FROM AFGHANISTAN FOR APRIL 17, 2013

 

A coalition force member drives a vehicle during a patrol with Afghan special forces to escort a district governor in Helmand province, Afghanistan, April 14, 2013. U.S. Marine Corps Photo by Sgt. Pete Thibodeau

 FROM: U.S. DEPARTMENT OF DEFENSE
Combined Force Kills Insurgents, Detains Taliban Leader
From an International Security Assistance Force Joint Command News Release

KABUL, Afghanistan, April 17, 2013 - A combined Afghan and coalition security force killed two insurgents and detained a senior Taliban leader and three other insurgents today in the Marjah district of Afghanistan's Helmand province, military officials reported.

The Taliban leader is accused of coordinating and conducting direct-fire assaults, ambushes and improvised explosive device attacks against Afghan and coalition forces. He also is believed to be a supplier of IED components, heavy weapons and ammunition to Taliban fighters.

The security force also seized more than 10 pounds of opium during the operation.

Also today, a combined force in Paktia province's Tsamkani district killed an insurgent and detained a Haqqani network leader believed to have operational control over IED operations in Paktia and Khost provinces. He also is accused of planning and directing attacks against Afghan and coalition forces, and of enlisting Afghan children to participate in insurgent activities. The security force also detained three other suspects and seized two assault rifles, a pistol and ammunition.

In Afghanistan operations yesterday:

-- Afghan special forces soldiers, supported by coalition forces, detained several suspected insurgents and recovered small-arms ammunition, fuses and a grenade in Badakhshan province's Warduj district after discovering a suspected insurgent medical facility.

-- Afghan Provincial Response Company Zabul, enabled by coalition forces, killed two insurgents and seized and destroyed 110 pounds of homemade explosives and IED components during a cordon-and-search operation in Zabul province.

In other news, Afghan and coalition security forces today confirmed the death of Khaliq Mir, a Haqanni network facilitator, during an April 15 operation in Khost province's Sabari district. Mir acquired and distributed weapons for insurgents throughout the province and belonged to a cell of fighters responsible for attacks against Afghan and coalition forces.

SECRETARY HAGEL WARNS CONGRESS OF CONSEQUENCES FROM U.S. DIRECT INTERVENTION IN SYRIA

FROM: U.S. DEPARTMENT OF DEFENSE
Hagel Orders Unit to Jordan, Warns About Intervention in Syria
By Donna Miles
American Forces Press Service

WASHINGTON, April 17, 2013 - Defense Secretary Chuck Hagel announced today the deployment of an Army headquarters element to help Jordanian forces defend their border with Syria, while warning Congress of potential consequences of direct U.S. military action in the Syrian conflict.

Hagel joined Army Gen. Martin E. Dempsey, chairman of the Joint Chief of Staff, in reporting to the Senate Armed Services Committee that he ordered the Army deployment last week.

The contingent will enhance efforts of a small U.S. military team that has been working in Jordan since last year on planning related to chemical weapons and preventing a spillover of violence across Jordan's borders, the secretary told the Senate panel.

"These personnel will continue to work alongside Jordanian Armed Forces to improve readiness and prepare for a number of scenarios," he said.

Defense Department personnel and their interagency partners are helping Jordan, Turkey, Iraq and other Syrian neighbors counter the threat posed by Syria's chemical weapons, Hagel said. He noted that DOD deployed Patriot missile batteries to southern Turkey in December as part of NATO's mission to help Turkey protect its border with Syria.

These initiatives, being conducted through the Cooperative Threat Reduction program, include more than $70 million for activities in Jordan, he reported. This includes training and equipment to detect and stop chemical weapons transfers along Jordan's border with Syria, and developing Jordan's capacity to identify and secure chemical weapons assets.

Meanwhile, DOD has expanded security consultations regarding Syria with allies and partners, ensured that the U.S. military is strategically postured in the region and "engaged in robust military planning for a range of contingencies," Hagel said.

Regional security efforts will be a key focus of his trip later this week to meet with defense leaders of Israel, Jordan, Saudi Arabia, Egypt and the United Arab Emirates, Hagel said. The situation in Syria also will be a topic when Secretary of State John F. Kerry visits Turkey this weekend and during Dempsey's trip to China next week for talks with Chinese leaders.

The goal, Hagel said, is "to support broader U.S. diplomatic efforts while ensuring that the U.S. military is fully prepared to protect America's interests and meet our security commitments in the region."

Hagel spelled out U.S. government policy regarding the Syrian conflict:

-- To work with allies and partners, as well as the Syrian opposition;

-- To provide humanitarian assistance across Syria and the region;

-- To hasten an end to the violence; and

-- To bring about a political transition to a post-Assad authority that will restore stability, respect for the rights of all people, prevent Syria from becoming an extremist safe haven and to secure Syria's chemical and biological weapons.

"The best outcome for Syria -- and the region -- is a negotiated, political transition," Hagel told the senators.

Toward that end, the U.S. government is working to mobilize the international community, further isolate the Assad regime and support the Syrian Opposition Coalition, the moderate Syrian opposition, he said.

The U.S. has committed $117 million to the coalition in nonlethal assistance such as communications and medical equipment, Hagel said, and President Barack Obama has directed more for both the Syrian Opposition Coalition and the Supreme Military Council.

In addition, the State Department and U.S. Agency for International Development are providing technical assistance and training for Syrian leaders and activists.

"The goal is to strengthen those opposition groups that share the international community's vision for Syria's future and minimize the influence of extremists," Hagel said.

Meanwhile, the United States has provided $385 million to alleviate the humanitarian crisis in Syria and to help more than 1 million Syrian refugees who have fled to neighboring countries, he said.

The United States is rallying the international community, including Russia and China, to provide humanitarian support and resolve the crisis, Hagel said. He reported that international sanctions designed to pressure the Syrian government and help end the conflict are having an impact on the Assad regime's finances.

In addition, DOD has engaged in robust military planning for a range of contingencies, he said.

"President Obama has made clear that if Assad and those under his command use chemical weapons, or fail to meet their obligations to secure them, there will be consequences, and they will be held accountable," Hagel said. "The Department of Defense has plans in place to respond to the full range of chemical weapons scenarios."

So even as it provides options and planning for a post-Assad Syria, Hagel said, DOD is providing Obama and Congress regular assessments of options for U.S. military intervention.

He warned, however, of possible consequences of direct U.S. military action in Syria. It could hinder humanitarian relief operations, embroil the United States in a significant, lengthy and uncertain military commitment, and, if conducted unilaterally, strain U.S. relationships around the world, the secretary told the senators.

"And finally, a military intervention could have the unintended consequence of bringing the United States into a broader regional conflict or proxy war," he said.

Dempsey echoed Hagel, emphasizing that although the military stands ready to provide force, if directed, that such a decision is one no one takes lightly.

"In weighing options, we have a responsibility to align the use of force to the intended outcome," Dempsey said. "We also have a responsibility to articulate risk" -- not just to U.S. forces, but to other security responsibilities that could be compromised.

"So before we take action, we have to be prepared for what comes next," the chairman said. "The use of force, especially in circumstances where ethnic and religious factors dominate, is unlikely to produce predictable outcomes. ... Unintended consequences are the rule with military interventions of this sort."

"Military intervention is always an option, but an option of last resort," Hagel summarized. "The best outcome for Syria -- and the region -- is a negotiated, political transition to a post-Assad Syria."

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European Space Agency United Kingdom (EN) Update

European Space Agency United Kingdom (EN) Update

STATE DEPARTMENT ISSUES NEW RULES REGARDING TRADE IN SENSITIVE TECHNOLOGIES

FROM: U.S. STATE DEPARTMENT
Export Control Reform: First Final Rules Mark Major Milestone
Media Note
Office of the Spokesperson
Washington, DC
April 16, 2013

The Department of State and the Department of Commerce have issued the first set in a series of final rules that redefine how the U.S. Government protects sensitive technologies and regulates exports of munitions and commercial items with military applications. Modernizing U.S. export controls is a key component of the President’s Export Control Reform Initiative announced in 2009, which has brought together key experts from across the U.S. Government to overhaul the Cold War-era system of controls on exports of U.S.-manufactured defense articles to better meet current and emerging U.S. national security challenges and foreign policy objectives.

These rules, which define items regulated for export under the U.S. Munitions List’s Category VIII – Aircraft and Associated Equipment, and Category XIX – Gas Turbine Engines, are extremely important to the aerospace industry and represent more than $20 billion in annual exports. These are the first of 19 categories of the U.S. Munitions List categories that will be revised under Export Control Reform.

Based on a multi-year series of technical and policy reviews by representatives of the Departments of State, Defense, Commerce, and other agencies, these reforms will move less sensitive items, such as parts and components, from the State Department’s U.S. Munitions List to the Commerce Control List. The revised control lists have been developed in close consultation with the private sector and Congress. Each revised category will become effective 180 days after it is published in the Federal Register to allow companies and their customers time to adapt their internal business practices to the new controls. Work on the remaining categories is ongoing and they will similarly be notified to Congress and published over the coming months.

These reforms will allow the U.S. Government to better focus on controlling the export of sensitive technologies remaining on the U.S. Munitions List while streamlining exports of defense-related items to U.S. Allies and partners around the world, which will contribute to the health and competitiveness of the U.S. defense industrial base, an important national security imperative.

Over the longer term, the Administration remains committed to fundamental reform of the U.S. export control system, including the consolidation of export licensing functions under a single control agency and the creation of a single export control list.

SECRETARY KERRY MEETS WITH STAFF AND FAMILIES AT EMBASSY IN TOKYO

FROM: U.S. STATE DEPARTMENT
Meets with Staff and Families of Embassy Tokyo
Remarks
John Kerry
Secretary of State
U.S. Embassy Tokyo
Tokyo, Japan
April 15, 2013

AMBASSADOR ROOS: Well, let me just briefly tell you how honored we are to have Secretary Kerry here. This is the end of a whirlwind, worldwide trip for the Secretary, and he’s getting on a plane to head back to Washington.

But let me just say one thing about the Secretary. I’ve had the honor and the privilege to have known him for years, and when he was chairman of the Senate Foreign Relations Committee, every time I went back to Washington since I’ve been the Ambassador, I’ve spent time with him where he’s asked about what’s going on here in Japan and what you and the Embassy have been doing. And so when he became the Secretary of State, not only was he incredibly well-versed on the whole Asia Pacific area, but in particular, he has a real appreciation for what all of you do in Japan.

So it is really my distinct honor and privilege to turn the microphone over and introduce you to our great Secretary of State, John Kerry.

SECRETARY KERRY: Thanks, John. (Applause.) It’s really wonderful to be here. I’m happy to see all the kids here. Hi, guys. How are you? Are these young – where, two, three, four, five? The rest are in school. Did you get out of school? (Laughter.) You did? I love it. Thank you. (Laughter.) That’s very smart of you. I’m glad you came by. Thank you very, very much.

Well, hello, and hello, Tokyo. And I gather we’ve got some consulates. Well, how are you guys? In fact, just one consulate? We have four other somewhere. (Laughter.) They’re not being shown, right – oh, there they are. Another one from (inaudible). Hi, guys. How are you? Thank you. Which consulate is that? That’s (inaudible), and where’s the other one?

PARTICIPANT: They’re not on.

SECRETARY KERRY: Okay. They’re not on. And three got lost, sorry. (Laughter.)

PARTICIPANT: Right here.

SECRETARY KERRY: There you are. (Laughter.) Yay, there they are. Give them a cheer, everybody in Embassy Tokyo. (Applause.) We’re cheering for the other ones too. Oh, hi. (Laughter.) Everybody’s included.

Thank you for the privilege of being here with all of you. I really appreciate it very, very much. It’s the last leg and last event before we go to the airport and take off and go home with a brief stop in Chicago, and then back to work tomorrow morning if I can find the Department. (Laughter.) But I really want to thank all of you. It’s a great privilege for me to be here.

First of all, let me just say a huge thank you to my friend, the Ambassador. John and I got to know each other really well when I was running for president in ’04. He was my Northern California chairman of that effort, believe it or not, and I never cease to tell him that if he had just worked a little harder, I would have been president. (Laughter.) And he did a worthy job. It wasn’t his life’s work and mission.

He certainly – as you know, he won an award for the quality of the work that you all did together under the most trying of circumstances after the tragedy of the East Japan earthquake, and I want to thank you for that, but I want everybody here to also thank the team. Susie is part of the team, a huge part of it. Susie, thank you, and John, thanks so much for your leadership. I really appreciate both of you enormously. (Applause.) You’re all so disciplined with this red wine here. (Laughter.) (Inaudible.) It’s too organized for me. (Laughter.)

Anyway, we’ll bring you on afterwards because I want to come by and have a chance to shake hands and say hello to everybody. But I really want to thank you. Look, I had the privilege of giving a speech today at Tokyo Tech, and talked about the Asia Pacific future and the possibilities of the future. And I really believe in them, and you all are part of what the – I get into trouble if I start separating embassies and pointing out the differences, but really, this is one of our most – it’s a flagship embassy, and you all know that.

It’s because the Japanese are such close friends, and Japan is such an important part of our Asia Pacific and global partnership. And Japan is playing in all sorts of remarkable ways today: helping with Afghanistan, helping with Syria, helping with the Mideast peace process. We actually talked about that today with Prime Minister Abe. I mean, there are really unbelievable ways when this partnership shows itself in various places.

And it’s still building. It’s still got unfulfilled possibilities. So you’re on the cutting edge of the President’s rebalancing and the whole focus of building a stronger future Pacific region. I laid out today the different kinds of growth that are really going to define that – the smart growth, the just growth, the strong growth, and fair growth and so forth. These are the keys, and all of you, every single one of you, on a daily basis, whether you are locally hired and a Japanese citizen working for the Embassy of the United States – we couldn’t do it without you; it’s (inaudible) – or whether you’re an American FSO or civil servant or part of one of the agencies that are all cross-fertilized in an embassy.

You are all ambassadors for the United States, because you’re the contact with the American Embassy. And in many cases, that's the only contact some people will ever have with the Government of the United States directly. So how you treat people, and how fast you get back to people, and what kind of experience they have in the Embassy, and what they hear from you is all part of our diplomacy, part of our effort to share our values and our hopes and our aspirations with people around the world. And the very practical things you also do, like help get a joint strike fighter agreement which actually creates jobs at home, even as you strengthen the relationship and strengthen our security here. Or the Tomodachi program, where you’re working with young kids and giving them an opportunity to be able to have a sense of leadership and a sense of the possibilities of the future. So every single part of these things are part of the web that is diplomacy.

Now, I mentioned earlier that I’m going to be stopping in Chicago on the way back. The reason I’m stopping in Chicago is to visit with the parents of Anne Smedinghoff, who we lost just, as you know, a few days ago. And this is a family. Everybody understands and feels that kind of a loss. A 25-year-old young woman, full of idealism, full of hopes, taking books to children in a school so they can learn, and wiped out by terrorism, by the worst kind of nihilistic nothing – violence that doesn’t stand for anything except killing people and stopping the future.

So we’re not going to be deterred. We’re going to be inspired. And we’re going to use Anne’s idealism as another motivation for the idealism that brings all of you to this effort in the first place. We can make this world better. We can strengthen other countries. We’ve seen it happen. I used the example earlier today of what we did only 10, 20 years ago: We were giving aid to the Republic of Korea, and it was still struggling and emerging. Today, Korea is giving aid to other countries, and it’s a strong nation with a vibrant democracy, and it’s a partner in these kinds of efforts. That’s what this is all about. Mongolia today, hosting a conference on democracy; who would have thought about that a number of years ago? Burma, Aung San Suu Kyi standing with the generals, a prisoner of 20 years, and working towards democracy. That’s what this is all about.

So I just want to say a profound thank you to all of you. As long as I’m Secretary of State, I promise you I will do everything in my power to cover your back. You cover mine, and we’ll be a good team together and we’ll get the job done.

Thank you all, and God bless. (Applause.)

MEASURING THE MOON'S ATMOSPHERE



The Lunar Atmospheric Composition Experiment (LACE) deployment during the Apollo 17 mission. Image credit: NASA

FROM: NASA

Until recently, most everyone accepted the conventional wisdom that the moon has virtually no atmosphere. Just as the discovery of water on the moon transformed our textbook knowledge of Earth’s nearest celestial neighbor, recent studies confirm that our moon does indeed have an atmosphere consisting of some unusual gases, including sodium and potassium, which are not found in the atmospheres of Earth, Mars or Venus. It’s an infinitesimal amount of air when compared to Earth’s atmosphere. At sea level on Earth, we breathe in an atmosphere where each cubic centimeter contains 10,000,000,000,000,000,000 molecules; by comparison the lunar atmosphere has less than 1,000,000 molecules in the same volume. That still sounds like a lot, but it is what we consider to be a very good vacuum on Earth. In fact, the density of the atmosphere at the moon’s surface is comparable to the density of the outermost fringes of Earth’s atmosphere where the International Space Station orbits.

What is the moon’s atmosphere made of? We have some clues. The Apollo 17 mission deployed an instrument called the Lunar Atmospheric Composition Experiment (LACE) on the moon’s surface. It detected small amounts of a number of atoms and molecules including helium, argon, and possibly neon, ammonia, methane and carbon dioxide. From here on Earth, researchers using special telescopes that block light from the moon’s surface have been able to make images of the glow from sodium and potassium atoms in the moon’s atmosphere as they are energized by the sun. Still, we only have a partial list of what makes up the lunar atmosphere. Many other species are expected.

We think that there are several sources for gases in the moon’s atmosphere. These include high energy photons and solar wind particles knocking atoms from the lunar surface, chemical reactions between the solar wind and lunar surface material, evaporation of surface material, material released from the impacts of comets and meteoroids, and out-gassing from the moon’s interior. But which of these sources and processes are important on the moon? We still don’t know.

With the discovery of significant ice deposits at the moon’s poles by NASA's Lunar CRater Observation and Sensing Satellite (LCROSS) and Lunar Reconnaissance Orbiter (LRO) missions, and the discovery of a thin scattering of water molecules in the lunar soil by the Chandrayaan X-ray Observatory, another fascinating possibility has captured researchers’ interest. The moon’s atmosphere may play a key role in a potential lunar water cycle, facilitating the transport of water molecules between polar and lower latitude areas. The moon may not only be wetter than we once thought, but also more dynamic.

One of the critical differences between the atmospheres of Earth and the moon is how atmospheric molecules move. Here in the dense atmosphere at the surface of Earth, the molecules’ motion is dominated by collisions between the molecules. However the moon’s atmosphere is so thin, atoms and molecules almost never collide. Instead, they are free to follow arcing paths determined by the energy they received from the processes described above and by the gravitational pull of the moon.


The technical name for this type of thin, collision-free atmosphere that extends all the way down to the ground is a "surface boundary exosphere." Scientists believe this may be the most common type of atmosphere in the solar system. In addition to the moon, Mercury, the larger asteroids, a number of the moons of the giant planets and even some of the distant Kuiper belt objects out beyond the orbit of Neptune, all may have surface boundary exospheres. But in spite of how common this type of atmosphere is, we know very little about it. Having one right next door on our moon provides us with an outstanding opportunity to improve our understanding.

Among the goals of the Lunar Atmosphere and Dust Environment Explorer (LADEE) are to determine the composition and structure of the tenuous lunar atmosphere and to understand how these change with time, and as external conditions vary. LADEE’s measurements come at a key time: with increasing interest in the moon by a number of nations, future missions could significantly affect the natural composition of the lunar atmosphere.

Article author: Brian Day

ISAF COMMANDER IN AFGHANISTAN SAYS THERE IS GROWING UNCERTAINTY IN REGION

FROM: U.S. DEPARTMENT OF DEFENSE
ISAF Commander Notes 'Growing Uncertainty' in Afghanistan
By Army Sgt. 1st Class Tyrone C. Marshall Jr.
American Forces Press Service

WASHINGTON, April 16, 2013 - Dynamic and compelling commitment from the United States is necessary to confront growing uncertainty in Afghanistan and the region when the International Security Assistance Force mission ends next year, the top commander of NATO and U.S. forces in Afghanistan said today.

"We [must] confront growing uncertainty in Afghanistan and in the region," Marine Corps Gen. Joseph F. Dunford Jr. told the Senate Armed Services Committee. "Many Afghans have told me they no longer fear the Taliban as much as they fear what will happen after 2014."

One Afghan described it as the "Y2K effect," Dunford said, alluding to a period of uncertainty late in the 20th century driven by questions of how computer-controlled systems would behave with a complete rollover of the calendar year's digits on Jan. 1, 2000.

"There is a growing sense that December 2014 is a cliff for the Afghan people," he added. "[This] dynamic must be addressed with an incredible, compelling narrative of U.S. commitment."

The general said that in the absence of confidence and hope for a brighter future, Afghan leaders, the Afghan people and regional actors will continue to hedge and plan for the worst case.

The behavior associated with that mindset, Dunford said, has the very real potential to undermine the campaign.

Dunford noted ISAF remains focused on denying safe haven in Afghanistan to the al-Qaida terrorists who attacked the U.S. on 9/11, and denying the Taliban, who harbored them, the ability to overthrow the Afghan government.

"We recognize that our national interest in the region is served by a secure and stable Afghanistan at peace with its neighbors," he said. "I appear before you this morning confident in the cardinal direction of the campaign. My confidence is based on the very real progress we have made since the surge of forces began in late 2009, and that surge allowed us to move the campaign forward."

Constant pressure on the remnants of al-Qaida in Afghanistan, he said, has disrupted the terror organization's ability to plan and conduct operations against the West.

Dunford said coalition and Afghan-partnered operations have pushed the Taliban away from Afghanistan's populated areas and have prevented them from meeting their campaign objectives in 2012.

"While they remain resilient, they are less of a threat against the Afghan government than they were in 2011," the general said. "Most significantly, our efforts, since 2009, have provided the Afghan forces the time and space necessary to grow and assume the lead."

Afghan security forces have recruited and fielded most of their authorized strength of 352,000, Dunford said. "They are leading approximately 80 percent of all combat operations being conducted, and they have the lead security responsibility for territory where nearly 90 percent of the population lives," he added.

Later this spring, Dunford said, Afghan forces will be completely in the lead for combat operations across the nation, in keeping with agreements at the last two NATO summits. His testimony today comes during an inflection point in the Afghan campaign, the general added, with many reasons to be optimistic and several significant challenges to overcome.

"Up to this point, it's fair to say we were focused on growing the size of the Afghan security forces," he said. "We are now focused on improving the quality of the [security forces]."

Dunford said in the months ahead, ISAF will continue to focus on a wide range of issues to include leadership development, ministerial capacity, aviation, and the systems, processes and institutions needed to sustain a modern, professional force.

"We'll also need to address very real political and psychological factors that will affect the outcome of the campaign," he said.

Dunford acknowledged "real tension" between increasing aspirations of Afghan sovereignty and the reality of operations conducted in accordance with the U.N. Security Council mandate, the Law of Armed Conflict and the Military Technical Agreement. Properly managing this tension has become a campaign imperative, he said, along with the psychological aspect.

"Psychology will influence the performance of the Afghan forces this summer and affect the critical elections of 2014," Dunford said.

Dunford told the senators the campaign is in the "decisive phase of transition."

"The progress we have made to date provides real opportunity, but not inevitability," he said. "There will continue to be challenges that will test our will and endurance.

"But in the end," he continued, "if we define winning as completing political and security transition while rendering al-Qaida operationally ineffective [and] as setting the conditions for the Afghans to exploit a decade of opportunity that will begin in 2015, I firmly believe we can win."

SCIENTISTS FIND REDUCTIONS IN FOUR POLLUTANTS CAN SLOW SEA LEVEL RISE

Black carbon, a short-lived pollutant (shown in purple), shrouds the globe.
Credit-NOAA

FROM: NATIONAL SCIENCE FOUNDATION
Cutting Specific Atmospheric Pollutants Would Slow Sea Level Rise
With coastal areas bracing for rising sea levels, new research indicates that cutting emissions of certain pollutants can greatly slow sea level rise this century.

Scientists found that reductions in four pollutants that cycle comparatively quickly through the atmosphere could temporarily forestall the rate of sea level rise by roughly 25 to 50 percent.

The researchers focused on emissions of four heat-trapping pollutants: methane, tropospheric ozone, hydrofluorocarbons and black carbon.

These gases and particles last anywhere from a week to a decade in the atmosphere and can influence climate more quickly than carbon dioxide, which persists in the atmosphere for centuries.

"To avoid potentially dangerous sea level rise, we could cut emissions of short-lived pollutants even if we cannot immediately cut carbon dioxide emissions," says Aixue Hu of the National Center for Atmospheric Research (NCAR) in Boulder, Colo., first author of a paper published today in the journal Nature Climate Change.

"Society can significantly reduce the threat to coastal cities if it moves quickly on a handful of pollutants."

The research was funded by the National Science Foundation (NSF) and the U.S. Department of Energy.

"Sea level rise and its consequences present enormous challenges to modern society," says Anjuli Bamzai, program director in NSF's Division of Atmospheric and Geospace Sciences, which supported the research.

"This study looks at projections of global sea level rise, unraveling the effects of mitigating short-lived greenhouse gases such as methane, tropospheric ozone, hydrofluorocarbons and black carbon, as well as long-lived greenhouse gases like carbon dioxide," says Bamzai.

It is still not too late, "by stabilizing carbon dioxide concentrations in the atmosphere and reducing emissions of shorter-lived pollutants, to lower the rate of warming and reduce sea level rise by 30 percent," says atmospheric scientist Veerabhadran Ramanathan of the Scripps Institution of Oceanography (SIO) in San Diego, a co-author of the paper. Ramanathan initiated and helped oversee the study.

"The large role of the shorter-lived pollutants is encouraging since technologies are available to drastically cut their emissions," says Ramanathan.

The potential effects of rising oceans on populated areas are of great concern, he says.

Many of the world's major cities, such as New York, Miami, Amsterdam, Mumbai, and Tokyo, are located in low-lying areas along coasts.

As glaciers and ice sheets melt, and warming oceans expand, sea levels have been rising by an average of about 3 millimeters annually in recent years (just over one-tenth of an inch).

If temperatures continue to warm, sea levels are projected to rise between 18 and 200 centimeters (between 7 inches and 6 feet) this century, according to reports by the Intergovernmental Panel on Climate Change and the U.S. National Research Council.

Such an increase could submerge coastal communities, especially when storm surges hit.

Previous research by Ramanathan and Yangyang Xu of SIO, a co-author of the paper, showed that a sharp reduction in emissions of shorter-lived pollutants beginning in 2015 could offset warming temperatures by up to 50 percent by 2050.

Applying those emission reductions to sea level rise, the researchers found that the cuts could dramatically slow rising sea levels.

The results showed that total sea level rise would be reduced by an estimated 22 to 42 percent by 2100, depending on the extent to which emissions were cut.

However, the study also found that delaying emissions cuts until 2040 would reduce the beneficial effect on year-2100 sea level rise by about a third.

If society were able to substantially reduce both emissions of carbon dioxide as well as the four other pollutants, total sea level rise would be lessened by at least 30 percent by 2100, the researchers conclude.

"We still have some control over the amount of sea level rise we are facing," Hu says.

Another paper co-author, Claudia Tebaldi of Climate Central, adds: "Without diminishing the importance of reducing carbon dioxide emissions in the long-term, this study shows that more immediate gains from shorter-lived pollutants are substantial.

"Cutting emissions of those gases could give coastal communities more time to prepare for rising sea levels," says Tebaldi. "As we have seen recently, storm surges in populated regions of the East Coast show the importance of making such preparations and cutting greenhouse gases."

To conduct the study, Hu and colleagues turned to the NCAR-based Community Climate System Model, as well as a second computer model that simulates climate, carbon and geochemistry.

They also drew on estimates of future emissions of heat-trapping gases under various social and economic scenarios and on computer models of melting ice and sea level rise.

The study assumes that society could reduce emissions of the four gases and particles by 30-60 percent over the next several decades.

That is the steepest reduction believed achievable by economists who have studied the issue at Austria's International Institute for Applied Systems Analysis, one of the world's leading research centers into the effects of economic activity on climate change.

"It must be remembered that carbon dioxide is still the most important factor in sea level rise over the long-term," says NCAR scientist Warren Washington, a paper co-author. "But we can make a real difference in the next several decades by reducing other emissions."

-NSF-

It’s Only Natural

It’s Only Natural

SOUTH SUDAN ECONOMIC PARTNERS FORUM COMMUNIQUE

FROM: U.S. STATE DEPARTMENT
South Sudan Economic Partners Forum Communique
Media Note
Office of the Spokesperson
Washington, DC
April 16, 2013

Following is the text of a communiqué from participants in the South Sudan Economic Partners Forum, which was hosted by the Department of State on April 16.

Begin Text:

The Governments of the United States and the Republic of South Sudan, in coordination with the European Union, Norway and the United Kingdom, met April 16 with more than forty other governments and international organizations at the South Sudan Economic Partners Forum in Washington, DC. The forum marked the start of an enhanced partnership to strengthen governance, political inclusiveness and sustainable development in South Sudan. Hosted by the U.S. Government, the Partners Forum reviewed South Sudan’s progress over the challenging past 18 months, welcomed the Government’s fiscal and economic strategy, and agreed on the outlines of a compact based on mutual commitments to reform and international engagement.

The Government of South Sudan highlighted the major macro-economic challenges the new nation has faced over the past 18 months and key reform priorities moving forward. The shutdown of oil production in January 2012 sparked a severe fiscal crisis. In response, the Government of South Sudan has undertaken to put in place fiscal and monetary policies to stabilize the macro-economy and is currently negotiating an economic program with the International Monetary Fund (IMF). The development partners emphasized the importance of a rapid conclusion of this program. Following the recent agreement between South Sudan and Sudan to resume oil production and open borders for trade, the Government of South Sudan has committed to put in place additional policy measures to establish macroeconomic stability, strengthen governance, guarantee political space and fundamental rights, enhance the management of public finances and natural resources, combat corruption, increase capacity for basic social services, and boost broad-based economic growth in order to transform the lives of the South Sudanese people. As a critical first step, the Government of South Sudan emphasized its commitment to strengthen its macro-economic framework with support from the IMF and embark on an economic reform program in cooperation with international financial institutions.

Participants in the forum applauded progress achieved in implementation of the September 27 cooperation agreements between South Sudan and Sudan, which has led, among other benefits, to resumption of oil production in South Sudan with exportation through Sudan. Direct consultations between South Sudanese President Kiir and Sudanese President Bashir, which took place in Juba on April 12, produced further progress toward finding practical solutions for the remaining outstanding issues and establishing mutually beneficial relations between the two peoples and their states. Participants strongly believe it is in the interests of both countries to seek constructive solutions to all their remaining differences, which will lay the foundations for building two peaceful, prosperous and viable states.

Recognizing the fragility of South Sudan’s progress, the Government of South Sudan and its international partners will renew and enhance their partnership in the spirit of the New Deal for Engagement in Fragile States to enable the transition toward greater economic resilience. Acknowledging the toll of decades of violence and the continuing impact of conflict and insecurity on the people of South Sudan, the government is committed to work to prevent and to reduce hostilities in an integrated, inclusive and non-violent way. This requires a coordinated approach to the use of political, security, humanitarian and development approaches. Now, more than ever, it is important to sustain and accelerate South Sudan’s reform momentum. The international community is committed to long-term engagement with South Sudan in order to support inclusive political governance, public accountability, effective social services and a vibrant private sector.

South Sudan, as a leading member of the g7+ group of fragile states, proposed a compact with international partners to engender mutual commitments towards greater reform and aid effectiveness. Over the coming months, a broad range of stakeholders will develop a partnership compact for South Sudan, which will include mutually agreed policy benchmarks for the Government of South Sudan, matched with commitments from partners to build capacity and improve the effectiveness of aid. Once finalized, the compact is intended to provide an umbrella agreement for innovative financing from a range of international partners, including through proposed additional support for education and health sector salaries and the development of a new South Sudan Partnership Fund to support capacity building for good governance, investments in priority sectors and support for basic services. Various international partners indicated during the forum that they foresee adding substantial new support to their contributions – up to $300 million. This year approximately $1.3 billion is provided by donors to South Sudan.

Convinced that a thriving private sector is critical to job creation, improved livelihoods and economic growth, international partners also agreed to support the Government of South Sudan to organize a Private Sector Investment Conference in Juba in late 2013.

U.S. State Department Daily Press Briefing - April 16, 2013

Daily Press Briefing - April 16, 2013

President Obama Speaks on Attacks in Boston | The White House

President Obama Speaks on Attacks in Boston | The White House

SECRETARY OF DEFENSE SAYS DOD SUPPORTS VICTIMS OF MARATHON BOMBING

FROM: U.S. DEPARTMENT OF DEFENSE
Hagel Says DOD Will Provide Support After 'Cruel Act of Terror'
By Jim Garamone
American Forces Press Service

WASHINGTON, April 16, 2013 - The thoughts and prayers of all members of the Defense Department are with the people of Boston and the victims of the marathon bombing yesterday, Defense Secretary Chuck Hagel said today.

Hagel and Army Gen. Martin E. Dempsey, the chairman of the Joint Chiefs of Staff, appearing before the defense subcommittee of the House Appropriations Committee for a budget hearing, also spoke about the situation in Boston.

The defense secretary pledged to provide any support from DOD that law enforcement agencies deem necessary as they investigate "this cruel act of terror." Dempsey told representatives that DOD officials have been in constant contact with state and federal agencies.

Three are dead from the attack, and more than 170 were wounded. Many service members had traveled to Boston to run in the iconic marathon, and Hagel said his thoughts are with them as well.

"As the president said yesterday, we still do not know who did this or why," he said. "A thorough investigation will have to determine whether it was planned and carried out by a terrorist group, foreign or domestic."

The secretary asked Americans not to jump to conclusions, but "any event with multiple explosive devices -- as this appears to be -- is clearly an act of terror, and will be approached as an act of terror."

Hagel commended local, state and federal law enforcement agencies for their quick response to the explosions that detonated near the Boston Marathon finish line. He also expressed gratitude to the 460 members of the Massachusetts National Guard who were called up to help with the marathon and ended up providing life-saving aid to those affected.

Dempsey said Massachusetts Guardsmen continue to flow into the scene, and that more than 1,000 Guardsmen have been called up for this crucial state mission.

"The Department of Defense is prepared to respond quickly to any request for additional support from domestic law enforcement agencies," Hagel said. "I will continue to consult closely with DOD's senior leaders and my counterparts in other agencies on how we can best support the government's response and investigation."

Massachusetts officials asked for and received the services of a Navy explosive ordnance disposal team yesterday. Guardsmen also remain on duty helping to secure the crime scene.