A PUBLICATION OF RANDOM U.S.GOVERNMENT PRESS RELEASES AND ARTICLES
Wednesday, July 3, 2013
SENATOR LEVIN'S STATEMENT ON GLEEPA
FROM: U.S. SENATOR LEVIN'S WEBSITE
Senate Floor Statement on the Introduction of the Great Lakes Ecological and Economic Protection Act of 2013
Wednesday, June 26, 2013
Mr. LEVIN. Mr. President, the Great Lakes are a magnificent resource and unique in the world. These water bodies, formed during the last ten thousand years, are the largest source of surface freshwater on the planet. The lakes shaped how people settled and secured resources for their survival. Native Americans, French explorers, early European settlers, immigrants flocking to new industrial cities, along with the current populations of today all rely on the lakes for their survival – providing food and drinking water, transportation, power, recreation, and magnificent beauty.
However, the vast resources the Great Lakes provide must not be taken for granted. We must do all we can to protect these waters and clean up the areas that have been harmed by toxic contaminants, polluted runoff, untreated wastewater, and destructive invasive species. That is why as co-chairs of the Senate Great Lakes Task Force, Senator Kirk and I, along with several of our colleagues, are introducing today the Great Lakes Ecological and Economic Protection Act of 2013, or GLEEPA.
This bill builds upon the work of a multitude of stakeholders -- environmental organizations; business associations; tribal governments; community leaders; and federal, state and local officials – who worked together to craft the Great Lakes Regional Collaboration Strategy, a 2005 plan to guide restoration and protection for the Great Lakes. The legislation we are introducing today would formally authorize the Great Lakes Restoration Initiative (GLRI), an inter-agency program designed to implement the plan articulated in the Collaboration Strategy.
The GLRI is an action-oriented, results-driven initiative targeting the most significant problems in the Great Lakes, including aquatic invasive species, toxics and contaminated sediment, nonpoint source pollution, and habitat and wildlife protection and restoration. While broadly authorized under the Clean Water Act, the GLRI should be specifically authorized in law to clarify its purpose and objectives and to demonstrate support from Congress. Since the GLRI was launched in fiscal year 2010 with $475 million in funding, real progress has been made to restore the health of the Great Lakes: More than a million cubic yards of contaminated sediments have been cleaned up. More than 20,000 acres of wetland, coastal, upland and island habitat have been restored or enhanced. New technologies are being developed to combat the sea lamprey. Asian carp have been prevented from establishing a sustaining population in the Great Lakes. Hundreds of river miles have been restored to enable free fish passage from the Great Lakes to their spawning grounds. Reduction of nutrient loading from agriculture runoff has lessened occurrences of harmful algal blooms.
In addition to authorization of the GLRI, this legislation would reauthorize two existing programs: (1) the Great Lakes Legacy program, which supports the removal of contaminated sediments at more than thirty Areas of Concern (AOCs) across the Great Lakes; and (2) the Great Lakes National Program Office, which handles Great Lakes matters for the EPA.
The health and vitality of the Great Lakes not only provide immense public health and environmental benefits, but they are also critical to the economic health of the region. For example, in Muskegon Lake, which is directly connected to Lake Michigan, cleanup of 430,000 cubic yards of sediment contaminated with mercury and polycyclic aromatic hydrocarbons, or PAHs, also provided jobs to barge and dredge operators, truck drivers, biologists, chemists, toxicologists, and general laborers. The cleanup will help lift fish consumption advisories and restore fish habitat, which is vital to this area that is a popular fishing and boating destination.
Reports find a two to three dollar return for every dollar invested in cleanup and restoration activity. And preventing future damage to the lakes – from aquatic invasive species for example – could easily save the public hundreds of millions of dollars in future expenditures. With a $7 billion fishery, $16 billion in annual expenditures related to recreational boating, and about 37 million hunters, anglers and bird watchers enjoying the Great Lakes each year, we cannot afford to not protect and restore this precious resource.
The legislation we are introducing today includes important safeguards to ensure that tax dollars are wisely spent on activities that actually achieve results. Projects are directed to be selected so that they achieve strategic and measurable outcomes and which can be promptly implemented through leveraging additional non-federal resources. The bill would also authorize an inter-agency task force to coordinate federal resources in a way that most efficiently uses taxpayer funds, focusing on measurable outcomes such as cleaner water, improved public health, and sustainable fisheries in the Great Lakes.
Finally, state and local officials, tribal governments, business organizations, environmental organizations, and other stakeholders need an avenue to communicate on matters pertaining to Great Lakes restoration. Recently, the EPA created a board that advises the EPA and other federal agencies on Great Lakes cleanup and protection activities. This bill would make the advisory board permanent to ensure that the many voices across the Great Lakes region can have a direct conduit to the federal government.
Mr. President, the Great Lakes are home to more than 3,500 species of plants and animals and support 1.5 million direct jobs, $62 billion in wages and a $7 billion fishery. This legislation is needed to address the threat of invasive species such as Asian carp, polluted runoff that can harm aquatic and public health, toxic sediments, and harmful algal blooms that kill fish, foul coastlines, and threaten public health. The legislation will also help the United States implement its commitment to the bi-national 2012 Great Lakes Water Quality Agreement. We hope the Senate Committee on Environment and Public Works will promptly act on this important legislation, as it did in 2010 when it approved similar legislation.
Senate Floor Statement on the Introduction of the Great Lakes Ecological and Economic Protection Act of 2013
Wednesday, June 26, 2013
Mr. LEVIN. Mr. President, the Great Lakes are a magnificent resource and unique in the world. These water bodies, formed during the last ten thousand years, are the largest source of surface freshwater on the planet. The lakes shaped how people settled and secured resources for their survival. Native Americans, French explorers, early European settlers, immigrants flocking to new industrial cities, along with the current populations of today all rely on the lakes for their survival – providing food and drinking water, transportation, power, recreation, and magnificent beauty.
However, the vast resources the Great Lakes provide must not be taken for granted. We must do all we can to protect these waters and clean up the areas that have been harmed by toxic contaminants, polluted runoff, untreated wastewater, and destructive invasive species. That is why as co-chairs of the Senate Great Lakes Task Force, Senator Kirk and I, along with several of our colleagues, are introducing today the Great Lakes Ecological and Economic Protection Act of 2013, or GLEEPA.
This bill builds upon the work of a multitude of stakeholders -- environmental organizations; business associations; tribal governments; community leaders; and federal, state and local officials – who worked together to craft the Great Lakes Regional Collaboration Strategy, a 2005 plan to guide restoration and protection for the Great Lakes. The legislation we are introducing today would formally authorize the Great Lakes Restoration Initiative (GLRI), an inter-agency program designed to implement the plan articulated in the Collaboration Strategy.
The GLRI is an action-oriented, results-driven initiative targeting the most significant problems in the Great Lakes, including aquatic invasive species, toxics and contaminated sediment, nonpoint source pollution, and habitat and wildlife protection and restoration. While broadly authorized under the Clean Water Act, the GLRI should be specifically authorized in law to clarify its purpose and objectives and to demonstrate support from Congress. Since the GLRI was launched in fiscal year 2010 with $475 million in funding, real progress has been made to restore the health of the Great Lakes: More than a million cubic yards of contaminated sediments have been cleaned up. More than 20,000 acres of wetland, coastal, upland and island habitat have been restored or enhanced. New technologies are being developed to combat the sea lamprey. Asian carp have been prevented from establishing a sustaining population in the Great Lakes. Hundreds of river miles have been restored to enable free fish passage from the Great Lakes to their spawning grounds. Reduction of nutrient loading from agriculture runoff has lessened occurrences of harmful algal blooms.
In addition to authorization of the GLRI, this legislation would reauthorize two existing programs: (1) the Great Lakes Legacy program, which supports the removal of contaminated sediments at more than thirty Areas of Concern (AOCs) across the Great Lakes; and (2) the Great Lakes National Program Office, which handles Great Lakes matters for the EPA.
The health and vitality of the Great Lakes not only provide immense public health and environmental benefits, but they are also critical to the economic health of the region. For example, in Muskegon Lake, which is directly connected to Lake Michigan, cleanup of 430,000 cubic yards of sediment contaminated with mercury and polycyclic aromatic hydrocarbons, or PAHs, also provided jobs to barge and dredge operators, truck drivers, biologists, chemists, toxicologists, and general laborers. The cleanup will help lift fish consumption advisories and restore fish habitat, which is vital to this area that is a popular fishing and boating destination.
Reports find a two to three dollar return for every dollar invested in cleanup and restoration activity. And preventing future damage to the lakes – from aquatic invasive species for example – could easily save the public hundreds of millions of dollars in future expenditures. With a $7 billion fishery, $16 billion in annual expenditures related to recreational boating, and about 37 million hunters, anglers and bird watchers enjoying the Great Lakes each year, we cannot afford to not protect and restore this precious resource.
The legislation we are introducing today includes important safeguards to ensure that tax dollars are wisely spent on activities that actually achieve results. Projects are directed to be selected so that they achieve strategic and measurable outcomes and which can be promptly implemented through leveraging additional non-federal resources. The bill would also authorize an inter-agency task force to coordinate federal resources in a way that most efficiently uses taxpayer funds, focusing on measurable outcomes such as cleaner water, improved public health, and sustainable fisheries in the Great Lakes.
Finally, state and local officials, tribal governments, business organizations, environmental organizations, and other stakeholders need an avenue to communicate on matters pertaining to Great Lakes restoration. Recently, the EPA created a board that advises the EPA and other federal agencies on Great Lakes cleanup and protection activities. This bill would make the advisory board permanent to ensure that the many voices across the Great Lakes region can have a direct conduit to the federal government.
Mr. President, the Great Lakes are home to more than 3,500 species of plants and animals and support 1.5 million direct jobs, $62 billion in wages and a $7 billion fishery. This legislation is needed to address the threat of invasive species such as Asian carp, polluted runoff that can harm aquatic and public health, toxic sediments, and harmful algal blooms that kill fish, foul coastlines, and threaten public health. The legislation will also help the United States implement its commitment to the bi-national 2012 Great Lakes Water Quality Agreement. We hope the Senate Committee on Environment and Public Works will promptly act on this important legislation, as it did in 2010 when it approved similar legislation.
WATERSHEDS AFFECTED BY BARK BEETLES
Lodgepole Pines. Credit: Widimedia. |
FROM: NATIONAL SCIENCE FOUNDATION
Ghosts of Forests Past: Bark Beetles Kill Lodgepole Pines, Affecting Entire Watersheds
In mountains across the Western United States, scientists are racing against time--against a tiny beetle--to save the last lodgepole pines.
Forests are bleeding out from the effects of the beetles, their conifers' needles turning crimson before the trees die.
Now, researchers are also hurrying to preserve the region's water quality, affected by the deaths of the pines.
"When these trees die," says hydrologist Reed Maxwell of the Colorado School of Mines, "the loss of the forest canopy affects hydrology and the cycling of essential nutrients."
Maxwell and other scientists recently published results of their study in the journal Biogeochemistry.
Co-authors, in addition to Maxwell, are Kristin Mikkelson, Lindsay Bearup, John McCray and Jonathan Sharp of the Colorado School of Mines, and John Stednick of Colorado State University. Mikkelson is the paper's first author.
Bark beetle numbers: heating up
"The mountain pine beetle outbreak in Western states has reached epidemic proportions," says Maxwell.
Bark beetles, as they're known, are native to the United States. They're so-named as the beetles reproduce in the inner bark of trees. Some species, such as the mountain pine beetle, attack and kill live trees. Others live in dead, weakened or dying hosts.
Massive outbreaks of mountain pine beetles in western North America since the mid-2000s have felled millions of acres of forests from New Mexico to British Columbia, threatening increases in mudslides and wildfires.
Climate change could be to blame. The beetles' numbers were once kept in check by cold winter temperatures and trees that had plenty of water to use as a defense.
But winters have become warmer, and droughts have left trees water-stressed and less able to withstand an onslaught of winged invaders.
"A small change in temperature leads to a large change in the number of beetles--and now to a large change in water quality," says Tom Torgersen, director of the National Science Foundation's (NSF) Water, Sustainability and Climate (WSC) Program, which funded the research.
WSC is part of NSF's Science, Engineering and Education portfolio of investments.
"Bark beetles have killed 95 percent of mature lodgepole pines," says Maxwell.
Death of a lodgepole pine
But the trees don't die immediately.
When beetles invade, a blue fungus spreads inside a tree's trunk, choking off transpiration and killing the tree in about two years.
The trees turn blood-red, then the ashen gray of death, dropping their needles to the forest floor.
"Some of the most important effects of bark beetles may be changes in the hydrologic cycle," says Maxwell, "via snow accumulation under trees and water transpiration from trees and other plants."
Biogeochemical changes may be even more important, he says, with carbon and nitrogen cycles interrupted.
"We're studying these hydrologic and geochemical processes through a combination of field work, lab research and computer modeling," says Maxwell.
Whither the beetles, so the trees, forests...and waters
Changes in tree canopies affect snowpack development and snowmelt.
For example, a lack of needles on branches lets more snow fall through the canopy--snow that would otherwise be caught on branches. A tree without needles also has less shade beneath it.
The result is a shallower snowpack, earlier snowmelt and less water in spring.
"The real question," Maxwell says, "is how these processes translate from individual trees to hillslopes to large watersheds."
Dead trees don't transpire water. Once a forest has died, this important flow of moisture from the ground to the atmosphere ceases.
That can mean a loss of as much as 60 percent of the water budget, although increases in ground evaporation or transpiration from understory shrubs and bushes may compensate for some of the lack.
"Combined with what's happening to snowpack depth," says Maxwell, "it becomes a complicated relationship that can change the timing and magnitude of spring runoff from snowmelt--and an entire year's water resources."
Tree mortality also appears to affect forest carbon and nitrogen cycles through increases in dissolved organic carbon.
"We've seen changes in drinking water quality in beetle-affected watersheds that are almost certainly related to high dissolved organic carbon levels," says Maxwell.
As Maxwell, Mikkelson, Bearup and colleagues discovered, there's a lag time between beetle infestation and water quality declines, "so tree and forest water transport processes are very likely involved," says Maxwell.
All watersheds great and small
The observations prompted the researchers to study processes at the individual tree and hillslope scale to better understand what's happening in watersheds large and small.
"Watersheds are complex, interrelated systems," says Maxwell, "which makes understanding them more challenging.
"We're developing complex, numerical models of bark beetle-infested watersheds that include our best understanding of how and where water flows. The models are allowing us to isolate individual processes by turning them on and off in 'what-if' scenarios."
Along with on-the-ground observations, he says, "they're showing us more of the complex story of pine beetle effects on Western watersheds.
"We now know that healthy watersheds ultimately depend on healthy forests."
Western streams and rivers soon may be part of dead and dying forests, surrounded only by the ghosts of lodgepole pines past.
Tuesday, July 2, 2013
REMARKS BY PRESIDENT OBAMA AT DINNER IN DAR ES SALAAM, TANZANIA
FROM: THE WHITE HOUSE
Remarks by President Obama in an Exchange of Dinner Toasts -- Dar es Salaam, Tanzania
State House
Dar es Salaam, Tanzania
8:58 PM EAT
PRESIDENT OBAMA: President Kikwete, Madam First Lady, distinguished guests -- on behalf of myself and Michelle, our delegation, our daughters -- we want to thank you for the incredible warmth and hospitality with which you've greeted us throughout the day. We could not be more grateful.
I am not the first American leader to visit this beautiful country. Other Presidents and prominent citizens have come before me. We just came from South Africa, where Robert Kennedy famously spoke of how every time we stand up for an ideal, we send out a "tiny ripple of hope." Less known is that after that trip to South Africa, Robert Kennedy also came here to Tanzania. It was a little different back then. Kennedy and his wife, Ethel, rode in the back of an open truck. The Secret Service has me and Michelle inside a fortified limousine. We call it "The Beast." (Laughter.) As Kennedy's truck made its way through the crowds, he picked up two boys and let them ride alongside them. The Secret Service doesn't let me do these things. (Laughter.) When Kennedy came, it was a public holiday here. I apologize to Tanzanians that you all had to work today. (Laughter.)
But while these times have changed, the good feelings stay the same. We've been deeply touched by the welcome and the warm wishes from the Tanzanian people along the streets as we came in here with you tonight. Dar es Salaam means "harbor of peace," and we thank you for sharing that sense of peace and brotherhood for which this country and its people have long been known.
Mr. President, you've shown wisdom and strength in seeking reforms so that more Tanzanians can enjoy progress, more opportunity. And like me, you're strengthened by a woman who is a leader in her own right. (Applause.) I am told that Mama Kikwete is fond of a traditional Tanzanian saying -- "My neighbor's child is my child." And that sentiment I think also captures the feeling, the partnership between -- our two countries must have. We live thousands of miles apart, but as fellow human beings, we share a sense of obligation to each other, especially to the youngest among us.
So you might say an American child is my child. We might say a Tanzanian child is my child. In this way, both of our nations will be looking after all of our children and we'll be living out the vision of President Nyerere. The core values that he proclaimed for Tanzania also describe what both our countries seek -- wisdom, unity, and peace -- Hekima, Umoja, na Amani. (Applause.)
So what I'd like to do is to propose a toast -- if I can get my water here -- to our gracious Tanzanian hosts, to our Tanzanian friends and to wisdom, unity and peace that we all seek in the world. Cheers.
Remarks by President Obama in an Exchange of Dinner Toasts -- Dar es Salaam, Tanzania
State House
Dar es Salaam, Tanzania
8:58 PM EAT
PRESIDENT OBAMA: President Kikwete, Madam First Lady, distinguished guests -- on behalf of myself and Michelle, our delegation, our daughters -- we want to thank you for the incredible warmth and hospitality with which you've greeted us throughout the day. We could not be more grateful.
I am not the first American leader to visit this beautiful country. Other Presidents and prominent citizens have come before me. We just came from South Africa, where Robert Kennedy famously spoke of how every time we stand up for an ideal, we send out a "tiny ripple of hope." Less known is that after that trip to South Africa, Robert Kennedy also came here to Tanzania. It was a little different back then. Kennedy and his wife, Ethel, rode in the back of an open truck. The Secret Service has me and Michelle inside a fortified limousine. We call it "The Beast." (Laughter.) As Kennedy's truck made its way through the crowds, he picked up two boys and let them ride alongside them. The Secret Service doesn't let me do these things. (Laughter.) When Kennedy came, it was a public holiday here. I apologize to Tanzanians that you all had to work today. (Laughter.)
But while these times have changed, the good feelings stay the same. We've been deeply touched by the welcome and the warm wishes from the Tanzanian people along the streets as we came in here with you tonight. Dar es Salaam means "harbor of peace," and we thank you for sharing that sense of peace and brotherhood for which this country and its people have long been known.
Mr. President, you've shown wisdom and strength in seeking reforms so that more Tanzanians can enjoy progress, more opportunity. And like me, you're strengthened by a woman who is a leader in her own right. (Applause.) I am told that Mama Kikwete is fond of a traditional Tanzanian saying -- "My neighbor's child is my child." And that sentiment I think also captures the feeling, the partnership between -- our two countries must have. We live thousands of miles apart, but as fellow human beings, we share a sense of obligation to each other, especially to the youngest among us.
So you might say an American child is my child. We might say a Tanzanian child is my child. In this way, both of our nations will be looking after all of our children and we'll be living out the vision of President Nyerere. The core values that he proclaimed for Tanzania also describe what both our countries seek -- wisdom, unity, and peace -- Hekima, Umoja, na Amani. (Applause.)
So what I'd like to do is to propose a toast -- if I can get my water here -- to our gracious Tanzanian hosts, to our Tanzanian friends and to wisdom, unity and peace that we all seek in the world. Cheers.
THREE ARRESTED FOR ROLES IN ALLEGED FRAUDULENT BUSINESS OPPORTUNITY SCHEME
FROM: U.S. DEPARTMENT OF JUSTICE
Monday, July 1, 2013
Three Florida Residents Arrested on Charges of Fraud
Indictment Alleges That Defendants Operated Fraudulent Companies for Years Despite December 2000 Court Order
Three individuals charged in connection with operating a series of fraudulent business opportunity companies were arrested Friday following their indictment by a federal grand jury in Miami on June 25, 2013, the Justice Department and the U.S. Postal Inspection Service announced today. Mitchell Berman (aka Brian Griffin), of Boca Raton, Fla., Robert Gallo (aka Bobby Pace, Vincent Pastone, Joe Barone, Bobby Marino, Anthony Russo), of Coconut Creek, Fla., and Steven Axelrod (aka Michael Hutton), of Wellington, Fla., were arrested and charged with conspiracy to commit mail fraud and mail fraud. Mitchell Berman was also charged with criminal contempt of court.
The indictment alleges that the defendants operated a series of fraudulent companies that sold coffee display racks business opportunities. Buyers were told they would receive display racks and packets of coffee, as well as assistance in establishing and maintaining a business selling the coffee.
Beginning in August 2000 and continuing through October 2011, the indictment charges that Berman, Gallo, and Axelrod operated a series of five coffee display rack business opportunity companies: Selective Services Business, Best Gourmet Coffee, Cambridge Coffee, Royal Gourmet Coffee and South Beach Coffee. The business opportunities the defendants sold cost a minimum of approximately $10,000. Each company operated for six months to a year, and after one company closed, the next opened.
The indictment alleges that Berman and Gallo ran the companies, while working as salesman together with Axelrod. All three defendants allegedly made numerous false statements to potential purchasers of the business opportunities to induce them to buy. Among the misrepresentations alleged in the indictment are that purchasers would likely earn substantial profits, that prior purchasers of the business opportunities were earning substantial profits, that purchasers would be given lucrative "commercial accounts," and that the company would provide assistance in establishing and maintaining the business. According to the indictment, purchasers made little to no money on their investments, were unable to find profitable locations or accounts, and were not provided the support promised by defendants. In making misrepresentations to potential purchasers, Berman was violating a December 2000 federal court order barring him from misrepresenting profits, locations, and other aspects of business opportunities.
According to the indictment, once purchasers began filing complaints with the Better Business Bureau or state authorities, the defendants shut down each of their companies in turn, and opened the next one. In order to evade detection, all the defendants allegedly used aliases and gave out false addresses for the company. The indictment alleges that Berman and Gallo also avoided listing their own names on corporate and promotional documents, and instead paid people who did not work at the companies to be titular presidents.
"The Department of Justice is committed to protecting consumers from business opportunity fraud schemes," said Stuart F. Delery, Acting Assistant Attorney General for the Justice Department’s Civil Division. "As this indictment demonstrates, we will continue to prosecute individuals who seek to swindle innocent Americans out of their hard-earned money."
All three defendants were charged with conspiracy to commit mail fraud. In addition, Berman was charged with 8 counts of mail fraud and 9 counts of criminal contempt; Gallo was charged with 8 counts of mail fraud; and Axelrod was charged with 4 counts of mail fraud. If convicted, Berman, Gallo, and Axelrod face a maximum statutory term of 20 years in prison, a possible fine, and mandatory restitution on each conspiracy and mail fraud count. Berman faces a maximum statutory term of up to life in prison, a possible fine, and mandatory restitution on each of the criminal contempt counts.
"Business opportunity schemers use deceit to target and victimize hard-working Americans who are seeking opportunities to better provide for themselves and their families," said Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida. "We will continue to vigorously pursue these individuals who seek to steal the American Dream from their victims."
"Cases like this one illustrate the Postal Inspection Service’s dedication to investigating business opportunity fraud that insidiously targets innocent victims," said Ronald Verocchio, U.S. Postal Inspector in Charge in Miami.
The charges in the indictment form part of the government’s continued nationwide crackdown on business opportunity fraud.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants.
Acting Assistant Attorney Stuart Delery commended the investigative efforts of the Postal Inspection Service. The case is being prosecuted by Assistant Director Richard Goldberg and Trial Attorney Cindy Cho of the Consumer Protection Branch of the Civil Division of the Department of Justice.
An indictment is merely an allegation, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Monday, July 1, 2013
Three Florida Residents Arrested on Charges of Fraud
Indictment Alleges That Defendants Operated Fraudulent Companies for Years Despite December 2000 Court Order
Three individuals charged in connection with operating a series of fraudulent business opportunity companies were arrested Friday following their indictment by a federal grand jury in Miami on June 25, 2013, the Justice Department and the U.S. Postal Inspection Service announced today. Mitchell Berman (aka Brian Griffin), of Boca Raton, Fla., Robert Gallo (aka Bobby Pace, Vincent Pastone, Joe Barone, Bobby Marino, Anthony Russo), of Coconut Creek, Fla., and Steven Axelrod (aka Michael Hutton), of Wellington, Fla., were arrested and charged with conspiracy to commit mail fraud and mail fraud. Mitchell Berman was also charged with criminal contempt of court.
The indictment alleges that the defendants operated a series of fraudulent companies that sold coffee display racks business opportunities. Buyers were told they would receive display racks and packets of coffee, as well as assistance in establishing and maintaining a business selling the coffee.
Beginning in August 2000 and continuing through October 2011, the indictment charges that Berman, Gallo, and Axelrod operated a series of five coffee display rack business opportunity companies: Selective Services Business, Best Gourmet Coffee, Cambridge Coffee, Royal Gourmet Coffee and South Beach Coffee. The business opportunities the defendants sold cost a minimum of approximately $10,000. Each company operated for six months to a year, and after one company closed, the next opened.
The indictment alleges that Berman and Gallo ran the companies, while working as salesman together with Axelrod. All three defendants allegedly made numerous false statements to potential purchasers of the business opportunities to induce them to buy. Among the misrepresentations alleged in the indictment are that purchasers would likely earn substantial profits, that prior purchasers of the business opportunities were earning substantial profits, that purchasers would be given lucrative "commercial accounts," and that the company would provide assistance in establishing and maintaining the business. According to the indictment, purchasers made little to no money on their investments, were unable to find profitable locations or accounts, and were not provided the support promised by defendants. In making misrepresentations to potential purchasers, Berman was violating a December 2000 federal court order barring him from misrepresenting profits, locations, and other aspects of business opportunities.
According to the indictment, once purchasers began filing complaints with the Better Business Bureau or state authorities, the defendants shut down each of their companies in turn, and opened the next one. In order to evade detection, all the defendants allegedly used aliases and gave out false addresses for the company. The indictment alleges that Berman and Gallo also avoided listing their own names on corporate and promotional documents, and instead paid people who did not work at the companies to be titular presidents.
"The Department of Justice is committed to protecting consumers from business opportunity fraud schemes," said Stuart F. Delery, Acting Assistant Attorney General for the Justice Department’s Civil Division. "As this indictment demonstrates, we will continue to prosecute individuals who seek to swindle innocent Americans out of their hard-earned money."
All three defendants were charged with conspiracy to commit mail fraud. In addition, Berman was charged with 8 counts of mail fraud and 9 counts of criminal contempt; Gallo was charged with 8 counts of mail fraud; and Axelrod was charged with 4 counts of mail fraud. If convicted, Berman, Gallo, and Axelrod face a maximum statutory term of 20 years in prison, a possible fine, and mandatory restitution on each conspiracy and mail fraud count. Berman faces a maximum statutory term of up to life in prison, a possible fine, and mandatory restitution on each of the criminal contempt counts.
"Business opportunity schemers use deceit to target and victimize hard-working Americans who are seeking opportunities to better provide for themselves and their families," said Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida. "We will continue to vigorously pursue these individuals who seek to steal the American Dream from their victims."
"Cases like this one illustrate the Postal Inspection Service’s dedication to investigating business opportunity fraud that insidiously targets innocent victims," said Ronald Verocchio, U.S. Postal Inspector in Charge in Miami.
The charges in the indictment form part of the government’s continued nationwide crackdown on business opportunity fraud.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants.
Acting Assistant Attorney Stuart Delery commended the investigative efforts of the Postal Inspection Service. The case is being prosecuted by Assistant Director Richard Goldberg and Trial Attorney Cindy Cho of the Consumer Protection Branch of the Civil Division of the Department of Justice.
An indictment is merely an allegation, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.
RECENT U.S. NAVY PHOTOS
130629-N-ZG290-010
ARABIAN GULF (June 29, 2013) Sonar Technician 2nd Class Brennan Lukas, from Ventura, Calif., prepares to test fire a surface vessel torpedo tube launcher aboard the guided-missile destroyer USS Higgins (DDG 76). Higgins is deployed to the U.S. 5th Fleet area of responsibility promoting maritime security operations, theater security cooperation efforts and support missions for Operation Enduring Freedom. (U.S. Navy photo by Mass Communication Specialist 2nd Class Devin Wray/Released)
130627-N-QL471-099
ARABIAN GULF (June 27, 2013) The guided-missile cruiser USS Monterey (CG 61) fires a Close-In Weapons System (CIWS) during a live-fire exercise. Monterey is deployed in support of maritime security operations and theater security cooperation efforts in the U.S. 5th Fleet area of responsibility. (U.S. Navy photo by Mass Communication Specialist 3rd Class Billy Ho/Released)
ATTORNEY GENERAL HOLDER'S STATEMENT ON U.S. V. WINDSON
FROM: U.S. DEPARTMENT OF JUSTICE
Friday, June 28, 2013
Statement of Attorney General Eric Holder on the Implementation of the Supreme Court’s Decision in United States v. Windsor
Attorney General Eric Holder issued the following statement regarding the United States Office of Personnel Management (OPM) guidance to Federal agencies. On June 26, 2013, the Supreme Court issued a landmark decision in United States v. Windsor, holding Section 3 of the Defense of Marriage Act, known as DOMA, unconstitutional. As a result of this decision, the Federal government will now be able to extend benefits to Federal employees and annuitants who have legally married a spouse of the same sex.
"Today’s announcement represents a historic step toward equality for all American families. The Supreme Court ruled this week that Americans in same-sex marriages are entitled to equal protection and equal treatment under the law. By extending health insurance and other important benefits to federal employees and their families, regardless of whether they are in same-sex or opposite-sex marriages, the Obama Administration is making real the promise of this important decision.
"These initial changes in federal benefits will make a meaningful, positive difference in the lives of many. But this is only the beginning. As the President directed, the Department of Justice will continue to coordinate with other federal agencies to implement this ruling as swiftly and smoothly as possible. I look forward to sharing additional information as it becomes available. We will never stop fighting to ensure equality, opportunity, and – above all – justice for everyone in this country."
Friday, June 28, 2013
Statement of Attorney General Eric Holder on the Implementation of the Supreme Court’s Decision in United States v. Windsor
Attorney General Eric Holder issued the following statement regarding the United States Office of Personnel Management (OPM) guidance to Federal agencies. On June 26, 2013, the Supreme Court issued a landmark decision in United States v. Windsor, holding Section 3 of the Defense of Marriage Act, known as DOMA, unconstitutional. As a result of this decision, the Federal government will now be able to extend benefits to Federal employees and annuitants who have legally married a spouse of the same sex.
"Today’s announcement represents a historic step toward equality for all American families. The Supreme Court ruled this week that Americans in same-sex marriages are entitled to equal protection and equal treatment under the law. By extending health insurance and other important benefits to federal employees and their families, regardless of whether they are in same-sex or opposite-sex marriages, the Obama Administration is making real the promise of this important decision.
"These initial changes in federal benefits will make a meaningful, positive difference in the lives of many. But this is only the beginning. As the President directed, the Department of Justice will continue to coordinate with other federal agencies to implement this ruling as swiftly and smoothly as possible. I look forward to sharing additional information as it becomes available. We will never stop fighting to ensure equality, opportunity, and – above all – justice for everyone in this country."
U.S. DEDICATES EMBASSY IN BELGRADE, SERBIA
FROM: U.S. STATE DEPARTMENT
United States Dedicates New U.S. Embassy in Belgrade, Serbia
Media Note
Office of the Spokesperson
Washington, DC
July 1, 2013
In an important symbol of America’s commitment to an enduring friendship with the Republic of Serbia, U.S. Ambassador to the Republic of Serbia, Michael D. Kirby, dedicated the new U.S. Embassy in Belgrade today.
Occupying a 10-acre site adjacent to the Beli Dvor, the $149 million multi-building complex provides a secure, state-of-the-art, environmentally-sustainable workplace for over 350 embassy personnel.
Zimmer Gunsul Frasca Architects, LLP was the concept design architect and The Louis Berger Group of Washington, D.C. was the architect of record. The project was constructed by Framaco International of Rye Brook, New York.
The new facility incorporates numerous sustainable features to reduce operating costs and conserve resources, most notably a storm water detention pond; solar hot water technology; low-flow plumbing fixtures; and the careful selection of plantings to reduce the amount of irrigation needed. The facility has been registered with the U.S. Green Building Council for Leadership in Energy and Environmental Design (LEED®) certification.
Since 1999, as part of the Department’s Capital Security Construction Program, OBO has completed 103 new diplomatic facilities and has an additional 39 projects in design or under construction.
OBO’s mission is to provide safe, secure, and functional facilities that represent the U.S. government to the host nation and support our staff in the achievement of U.S. foreign policy objectives. These facilities should represent American values and the best in American architecture, engineering, technology, sustainability, art, culture, and construction execution.
United States Dedicates New U.S. Embassy in Belgrade, Serbia
Media Note
Office of the Spokesperson
Washington, DC
July 1, 2013
In an important symbol of America’s commitment to an enduring friendship with the Republic of Serbia, U.S. Ambassador to the Republic of Serbia, Michael D. Kirby, dedicated the new U.S. Embassy in Belgrade today.
Occupying a 10-acre site adjacent to the Beli Dvor, the $149 million multi-building complex provides a secure, state-of-the-art, environmentally-sustainable workplace for over 350 embassy personnel.
Zimmer Gunsul Frasca Architects, LLP was the concept design architect and The Louis Berger Group of Washington, D.C. was the architect of record. The project was constructed by Framaco International of Rye Brook, New York.
The new facility incorporates numerous sustainable features to reduce operating costs and conserve resources, most notably a storm water detention pond; solar hot water technology; low-flow plumbing fixtures; and the careful selection of plantings to reduce the amount of irrigation needed. The facility has been registered with the U.S. Green Building Council for Leadership in Energy and Environmental Design (LEED®) certification.
Since 1999, as part of the Department’s Capital Security Construction Program, OBO has completed 103 new diplomatic facilities and has an additional 39 projects in design or under construction.
OBO’s mission is to provide safe, secure, and functional facilities that represent the U.S. government to the host nation and support our staff in the achievement of U.S. foreign policy objectives. These facilities should represent American values and the best in American architecture, engineering, technology, sustainability, art, culture, and construction execution.
COMMUNICATIONS UPGRADE FOR B-52 STRATOFORTRESS BOMBERS
FROM: U.S. DEPARTMENT OF DEFENSE,
B-52s to receive communications upgrade
by Mike W. Ray
72nd Air Base Wing Public Affairs
6/28/2013 - TINKER AIR FORCE BASE, Okla. (AFNS) -- Installation of a communications system upgrade earmarked for the venerable U.S. Air Force B-52 Stratofortress bomber fleet is scheduled to start here in July.
The Combat Network Communications Technology system will enable aircrews to send and receive information via satellite links, allowing them to change mission plans and retarget weapons while in flight. In addition, pilots will be able to interact better with other aircraft and with ground forces. Currently, mission information must be uploaded to a B-52 before each flight.
Other improvements will include a state-of-the-art computing network with workstations at each crew position and an integrated digital interphone with increased capacity that will allow crew members to talk with each other over headsets equipped with noise-canceling technology.
The $76 million CONECT upgrade will be performed by Boeing and covers a low-rate initial production of the first CONECT kits, along with spare parts, maintenance and service at Tinker AFB here.
Low-rate initial production is the first effort in the production phase of the program. The first eight CONECT kits in lot 1 will establish an initial production base for the system and will permit an orderly increase in the production rate for the CONECT system that is sufficient to lead to full-rate production upon successful completion of operational testing.
The contract for lot 2 is projected to be awarded in May 2014, for 10 CONECT kits. Then the full-rate production contract, projected for award in January 2015, will be for 10 CONECT kits.
Ultimately, CONECT is expected to be installed on all B-52H in the fleet.
The first B-52H to receive a CONECT kit will enter programmed depot maintenance at Tinker AFB in July and is scheduled to depart PDM next April. Each upgrade will take an estimated nine months to complete.
A CONECT kit was installed in a modified B-52 at Edwards AFB, Calif., and has been field tested for several years, Boeing spokesperson Jennifer Hogan said.
The B-52H was delivered to the Air Force in 1961-62. The aircraft have been kept aloft through regular maintenance and periodic upgrades. For example, GPS capabilities were incorporated into their navigation systems in the late 1980s.
"We are bringing this amazing workhorse of a bomber into the digital age and giving our customer the infrastructure necessary for continued future improvements," said Scot Oathout, Boeing's B-52 program director.
Citing engineering studies, Air Force officials said the heavy bombers could keep flying for at least another quarter-century.
B-52s to receive communications upgrade
by Mike W. Ray
72nd Air Base Wing Public Affairs
6/28/2013 - TINKER AIR FORCE BASE, Okla. (AFNS) -- Installation of a communications system upgrade earmarked for the venerable U.S. Air Force B-52 Stratofortress bomber fleet is scheduled to start here in July.
The Combat Network Communications Technology system will enable aircrews to send and receive information via satellite links, allowing them to change mission plans and retarget weapons while in flight. In addition, pilots will be able to interact better with other aircraft and with ground forces. Currently, mission information must be uploaded to a B-52 before each flight.
Other improvements will include a state-of-the-art computing network with workstations at each crew position and an integrated digital interphone with increased capacity that will allow crew members to talk with each other over headsets equipped with noise-canceling technology.
The $76 million CONECT upgrade will be performed by Boeing and covers a low-rate initial production of the first CONECT kits, along with spare parts, maintenance and service at Tinker AFB here.
Low-rate initial production is the first effort in the production phase of the program. The first eight CONECT kits in lot 1 will establish an initial production base for the system and will permit an orderly increase in the production rate for the CONECT system that is sufficient to lead to full-rate production upon successful completion of operational testing.
The contract for lot 2 is projected to be awarded in May 2014, for 10 CONECT kits. Then the full-rate production contract, projected for award in January 2015, will be for 10 CONECT kits.
Ultimately, CONECT is expected to be installed on all B-52H in the fleet.
The first B-52H to receive a CONECT kit will enter programmed depot maintenance at Tinker AFB in July and is scheduled to depart PDM next April. Each upgrade will take an estimated nine months to complete.
A CONECT kit was installed in a modified B-52 at Edwards AFB, Calif., and has been field tested for several years, Boeing spokesperson Jennifer Hogan said.
The B-52H was delivered to the Air Force in 1961-62. The aircraft have been kept aloft through regular maintenance and periodic upgrades. For example, GPS capabilities were incorporated into their navigation systems in the late 1980s.
"We are bringing this amazing workhorse of a bomber into the digital age and giving our customer the infrastructure necessary for continued future improvements," said Scot Oathout, Boeing's B-52 program director.
Citing engineering studies, Air Force officials said the heavy bombers could keep flying for at least another quarter-century.
THE 400TH COMBAT SORTIE
Face of Defense: Flight Engineer Reaches Combat Sortie Milestone
By Air Force Staff Sgt. Joshua J. Garcia
380th Air Expeditionary Wing
SOUTHWEST ASIA, June 28, 2013 - A flight engineer assigned to the 908th Expeditionary Air Refueling Squadron here flew his 400th combat sortie recently.
Air Force Master Sgt. Brian Fahey, who reached the milestone June 14, has accumulated his total flying on two different aircraft platforms. He flew his 255th combat sortie on the KC-10 Extender tanker jet in support of Operation Enduring Freedom. Before that, he flew 145 combat missions as a flight engineer for the MH-60 Pave Low helicopter.
Fahey said he appreciates the opportunities he has had to support two distinct missions.
"Flying on the Pave Lows and being part of the Air Force Special Operations Command were the most challenging things I ever did in my life; their mission is so unique," he said. The KC-10 mission has provided him with a different perspective on the Air Force and a chance to see the world, he added.
As a flight engineer, Fahey monitors the engines and other critical flight systems while the aircraft is in flight. Working alongside his pilots, Fahey ensures the aircraft is fully functional throughout missions. The engineer must have mechanical and technical knowledge on the aircraft systems to provide quick response fixes to any issues while in flight. This knowledge lets the engineer work closely with maintenance personnel, debriefing them on issues an aircraft might have had.
Fahey is one of two flight engineers in the 908th EARS who have reached the milestone. He is the fourth flight engineer and the eighth member in the entire active KC-10 community to have accumulated more than 400 combat sorties.
"It is a significant achievement, one that symbolizes years of hard work through multiple deployments and long periods of separation from family," said Air Force Lt. Col. Mona Alexander, the 908th EARS commander. "Fahey has been flying for 13 years; he has more than 2,000 hours of combat time in the KC-10, and a total of over 4,200 hours flying in the MH-60 and KC-10."
Fahey, who is deployed from Joint Base McGuire-Dix-Lakehurst, N.J., said he is humbled by the experience and continues to strive.
"This is so cool. It really is an awesome feeling hitting a milestone like this," he said. "It makes me reflect back to all the missions I have flown and gives me a feeling that I was part of something bigger than myself."
Fahey said he hopes that reaching this milestone will show younger airmen they can attain their goals.
"It is important to always stay mission ready; I was notified of this deployment a week and a half before I left," he said. "You need to be resilient. Deployments take their toll. By keeping a balance to my work and off-duty time, I am able to handle the stress that comes with flying so many missions."
Always moving forward and thinking about the next generation of leaders, Fahey said, he has entertained the notion of becoming a first sergeant.
"Being a first sergeant is something I have wanted to do since I was an airman," he said. "I had a really good 'shirt' who had a big impact on me. I would love to be able to give back and keep that tradition going."
Fahey said his accomplishments are not due to his work alone, but to the efforts of the entire unit.
"My crew has been awesome on this trip. They have made this deployment so easy to handle," he said. "I have to give my praise to the aircraft maintainers. They are phenomenal. They provide outstanding support day in and day out, regardless of the difficult environment that they are challenged to work in."
With options available, Fahey said, he'll approach the remainder of his military career in the same manner he reached 400 combat sorties: humbled by the experience, but seeing successes as stepping stones to bigger goals.
Face of Defense: Flight Engineer Reaches Combat Sortie Milestone
By Air Force Staff Sgt. Joshua J. Garcia
380th Air Expeditionary Wing
SOUTHWEST ASIA, June 28, 2013 - A flight engineer assigned to the 908th Expeditionary Air Refueling Squadron here flew his 400th combat sortie recently.
Air Force Master Sgt. Brian Fahey, who reached the milestone June 14, has accumulated his total flying on two different aircraft platforms. He flew his 255th combat sortie on the KC-10 Extender tanker jet in support of Operation Enduring Freedom. Before that, he flew 145 combat missions as a flight engineer for the MH-60 Pave Low helicopter.
Fahey said he appreciates the opportunities he has had to support two distinct missions.
"Flying on the Pave Lows and being part of the Air Force Special Operations Command were the most challenging things I ever did in my life; their mission is so unique," he said. The KC-10 mission has provided him with a different perspective on the Air Force and a chance to see the world, he added.
As a flight engineer, Fahey monitors the engines and other critical flight systems while the aircraft is in flight. Working alongside his pilots, Fahey ensures the aircraft is fully functional throughout missions. The engineer must have mechanical and technical knowledge on the aircraft systems to provide quick response fixes to any issues while in flight. This knowledge lets the engineer work closely with maintenance personnel, debriefing them on issues an aircraft might have had.
Fahey is one of two flight engineers in the 908th EARS who have reached the milestone. He is the fourth flight engineer and the eighth member in the entire active KC-10 community to have accumulated more than 400 combat sorties.
"It is a significant achievement, one that symbolizes years of hard work through multiple deployments and long periods of separation from family," said Air Force Lt. Col. Mona Alexander, the 908th EARS commander. "Fahey has been flying for 13 years; he has more than 2,000 hours of combat time in the KC-10, and a total of over 4,200 hours flying in the MH-60 and KC-10."
Fahey, who is deployed from Joint Base McGuire-Dix-Lakehurst, N.J., said he is humbled by the experience and continues to strive.
"This is so cool. It really is an awesome feeling hitting a milestone like this," he said. "It makes me reflect back to all the missions I have flown and gives me a feeling that I was part of something bigger than myself."
Fahey said he hopes that reaching this milestone will show younger airmen they can attain their goals.
"It is important to always stay mission ready; I was notified of this deployment a week and a half before I left," he said. "You need to be resilient. Deployments take their toll. By keeping a balance to my work and off-duty time, I am able to handle the stress that comes with flying so many missions."
Always moving forward and thinking about the next generation of leaders, Fahey said, he has entertained the notion of becoming a first sergeant.
"Being a first sergeant is something I have wanted to do since I was an airman," he said. "I had a really good 'shirt' who had a big impact on me. I would love to be able to give back and keep that tradition going."
Fahey said his accomplishments are not due to his work alone, but to the efforts of the entire unit.
"My crew has been awesome on this trip. They have made this deployment so easy to handle," he said. "I have to give my praise to the aircraft maintainers. They are phenomenal. They provide outstanding support day in and day out, regardless of the difficult environment that they are challenged to work in."
With options available, Fahey said, he'll approach the remainder of his military career in the same manner he reached 400 combat sorties: humbled by the experience, but seeing successes as stepping stones to bigger goals.
Monday, July 1, 2013
Subscribe to:
Posts (Atom)