FROM: FEDERAL DEPOSIT INSURANCE CORPORATION
Commercial banks and savings institutions insured by the Federal Deposit Insurance Corporation (FDIC) reported aggregate net income of $36.0 billion in the third quarter of 2013, a $1.5 billion (3.9 percent) decline from the $37.5 billion in profits that the industry reported a year earlier. This is the first time in 17 quarters — since the second quarter of 2009 — that earnings registered a year-over-year decline. The earnings decline was mainly attributable to a $4 billion increase in litigation expenses at one institution. Lower revenue from reduced mortgage activity and lower gains on asset sales also contributed to the reduction in earnings. Half of the 6,891 insured institutions reporting had year-over-year growth in earnings, while half reported declines. The proportion of banks that were unprofitable fell to 8.6 percent, from 10.7 percent a year earlier. The FDIC also noted that industry earnings for the second quarter of 2013 had been revised downward, from $42.2 billion to $38.1 billion, as a result of expenses for goodwill impairment at two banks in the same organization.
"Most of the positive trends we have been seeing in industry performance continued in the third quarter," noted FDIC Chairman Martin J. Gruenberg. "Fewer institutions reported quarterly losses, lending grew at a modest pace, credit quality continued to improve, more banks came off the 'Problem List,' and fewer banks failed."
The average return on assets (ROA), a basic yardstick of profitability, fell to 0.99 percent from 1.06 percent a year ago. The average return on equity (ROE) fell from 9.35 percent to 8.92 percent.
Third quarter net operating revenue (net interest income plus total noninterest income) totaled $163.3 billion, a decline of $6.1 billion (3.6 percent) from a year earlier, as noninterest income fell by $4.7 billion (7.4 percent) and net interest income declined by $1.3 billion (1.3 percent). The average net interest margin — the difference between the average yield banks earn on loans and other investments and the average cost of funding those investments — was 3.26 percent, unchanged from second quarter, but down from 3.42 percent a year ago. The average margin is at its lowest level since the 3.20 percent reported in the fourth quarter of 2006.
Total noninterest expenses were $2.0 billion (1.9 percent) higher than in the third quarter of 2012, as litigation expenses rose by $4 billion at one large institution. Banks set aside $5.8 billion in provisions for loan losses, a reduction of $8.8 billion (60.4 percent) compared to a year earlier. This is the lowest quarterly loss provision reported by the industry since the third quarter of 1999.
Asset quality indicators continued to improve as insured banks and thrifts charged off $11.7 billion in uncollectible loans during the quarter, down $10.5 billion (47.4 percent) from a year earlier. The amount of noncurrent loans and leases (those 90 days or more past due or in nonaccrual status) fell by $18.3 billion (7.7 percent) during the quarter, and the percentage of loans and leases that were noncurrent declined to 2.83 percent, the lowest level in 5 years (since the 2.35 percent posted at the end of the third quarter of 2008).
Financial results for the third quarter of 2013 are contained in the FDIC's latest Quarterly Banking Profile, which was released today. Also among the findings:
Total loan balances rose. Loan balances increased by $69.7 billion (0.9 percent) in the three months ending September 30, as all major loan categories except 1-4 family residential real estate loans experienced growth during the quarter. Auto loan balances increased by $10.6 billion (3.2 percent), multifamily residential real estate loans rose by $8.1 billion (3.3 percent), loans to states and municipalities increased by $7.5 billion (7.3 percent), and credit card balances rose by $6.8 billion (1.0 percent). Home equity lines of credit fell by $10.9 billion (2.1 percent), while other 1-4 family residential real estate loans declined by $13.7 billion (0.7 percent). For the 12 months through September 30, total loan and lease balances were up by $224.0 billion (3.0 percent).
Higher interest rates caused a sharp drop in mortgage activity. Originations of 1-4 family residential real estate loans were $136.8 billion (30.1 percent) lower than in the second quarter, as interest rate increases in the second quarter reduced the demand for mortgage refinancings. Noninterest income from the sale, securitization and servicing of mortgages was $4.0 billion (45.2 percent) lower than a year ago. Realized gains on available-for-sale securities also were lower than a year ago, as higher medium- and long-term interest rates reduced the market values of fixed-rate securities. Banks reported $540 million in pretax income from realized gains, a decline of $2.2 billion (80.1 percent) from a year ago.
The number of "problem banks" continued to decline. The number of banks on the FDIC's "Problem List" declined from 553 to 515 during the quarter. The number of "problem" banks is down more than 40 percent from the recent high of 888 at the end of the first quarter of 2011. Six FDIC-insured institutions failed in the third quarter of 2013, down from 12 in the third quarter of 2012. Thus far in 2013, there have been 23 failures, compared to 50 during the same period in 2012.
The Deposit Insurance Fund (DIF) balance continued to increase. The DIF balance — the net worth of the fund — rose to $40.8 billion as of September 30 from $37.9 billion as of June 30. Assessment income and a reduction in estimated losses from anticipated failures were the primary contributors to growth in the fund balance. Estimated insured deposits were essentially unchanged from the previous quarter, increasing by only 0.1 percent, and the DIF reserve ratio — the fund's balance as a percentage of estimated insured deposits — rose from 0.64 percent as of June 30 to 0.68 percent as of September 30. By law, the DIF must achieve a minimum reserve ratio of 1.35 percent by 2020.
A PUBLICATION OF RANDOM U.S.GOVERNMENT PRESS RELEASES AND ARTICLES
Tuesday, November 26, 2013
NASA TRACKS TROPICAL CYCLONE LEHAR
FROM: NASA
Right: NASA Satellite Tracks Tropical Cyclone Lehar Moving Toward India
On November 25, 2013 at 04:25 UTC/Nov. 24 11:25 p.m. EST, NASA's Terra took a picture of the tropical cyclone as the eastern side of the storm covered the island. Image Credit: NASA Goddard MODIS.
Tropical cyclone Lehar, located in the Bay of Bengal, continues to gain intensity while heading toward the same area of India where a much weaker tropical cyclone Helen recently came ashore. NASA's TRMM satellite passed over Lehar and measured rainfall and cloud heights to give scientists an understanding of how the storm is behaving.
NASA's Tropical Rainfall Measuring Mission satellite called TRMM flew above tropical cyclone Lehar on November 26, 2013 at 0307 UTC/Nov. 25 at 10:07 p.m. EST and captured rainfall data. Rainfall rates occurring in the storm were derived from TRMM's Microwave Imager (TMI) and Precipitation Radar (PR) instruments. That data was taken and overlaid on an enhanced visible/infrared image from TRMM's Visible and InfraRed Scanner (VIRS) at NASA's Goddard Space Flight Center in Greenbelt, Md. to create a total picture of rainfall within the tropical cyclone. The TRMM instruments found that rain was falling at a rate greater than 64 mm/~2.5 inches per hour in Lehar's center and in a band of intense rain wrapping around Lehar's northwestern side. Some strong thunderstorms within Lehar were reaching heights above 15.25 km/~9.5 miles.
Warnings are already in effect in India. Northern Andhra Pradesh and southern Odisha are expected to feel Lehar's effects on Wednesday, November 27, when winds are expected to reach up to 91.7 knots/105.6 mph/170 kph.
At 1500 UTC/10 a.m. EST on November 26, Tropical Cyclone Lehar's maximum sustained winds were near 75 knots/86.1 mph/138.9 kph. Tropical-storm-force winds extend up to 100 nautical miles/115.1 miles/185.2 km from the center of the storm or 200 miles/230.2 miles/370.5 km in diameter. Lehar's center was located about 471 nautical miles southeast of Visakhapatnam, India, near 12.9 north and 88.6 east. Lehar was moving to the west-northwest at 9 knots/10.3 mph/16.6 km.
The Joint Typhoon Warning Center or JTWC predicts that Lehar's sustained wind speeds will reach 95 knots/~109 mph on November 27, 2013 and then decrease to about 85 knots/~98 mph before hitting India's east-central coast.
Text credit: Harold F. Pierce
SSAI/NASA Goddard Space Flight Center
The Andaman Islands received an unwelcome visitor on November 25 in the form of Tropical Cyclone Lehar. NASA's Terra satellite captured a picture of the visitor as it was making its exit from the islands and into the Bay of Bengal.
Tropical Depression 05B formed off the west coast of the Malay Peninsula on November 23 and strengthened into Tropical Cyclone Lehar as it moved from the Andaman Sea over the Andaman Islands and is now working its way into the Bay of Bengal and toward India. The Andaman Islands are located in the eastern Bay of Bengal. Burma lies north and east of the island group and India lies to the west.
Tropical Cyclone Lehar was over the Andaman and Nicobar Islands at the time NASA's Terra satellite flew overhead and captured a visible image of the storm. On November 25, 2013 at 04:25 UTC/Nov. 24 11:25 p.m. EST, the Moderate Resolution Imaging Spectroradiometer or MODIS instrument that flies aboard Terra took a picture of the tropical cyclone as the eastern side of the storm covered the island. Most of Cyclone Lehar was west of the island in the Bay of Bengal, although the northeastern edge of the storm extended over west-central Burma, bringing clouds to Yangon, capital city of the Yangon region. By November 26, Lehar was bringing rainfall and gusty winds to the region.
At 1500 UTC/10 a.m. EST on November 25, Tropical Cyclone Lehar had maximum sustained winds near 65 knots/74.8 mph/120.4 kph, achieving hurricane-force. It was centered near 12.6 north and 90.6 east, about 550 nautical miles/633 miles/1,019 km southeast of Visakhapatnam, India. Lehar is moving away from Burma and toward the west-northwest at 7 knots/8 mph/12.9 kph. Lehar is generating 20-foot/6.0 meter high seas
Forecasters at the Joint Typhoon Warning Center expect that warm water temperatures and low wind shear will assist Lehar in intensifying as it moves in a west-northwesterly direction across the Bay of Bengal. Forecasters expect maximum sustained winds to peak near 100 knots/115.1 mph/185.2 kph before making landfall in eastern India.
As a result warnings are already in effect for India. Lehar's winds area expected to affect Northern Andhra Pradesh and southern Odisha by Wednesday, November 27.
Right: NASA Satellite Tracks Tropical Cyclone Lehar Moving Toward India
On November 25, 2013 at 04:25 UTC/Nov. 24 11:25 p.m. EST, NASA's Terra took a picture of the tropical cyclone as the eastern side of the storm covered the island. Image Credit: NASA Goddard MODIS.
Tropical cyclone Lehar, located in the Bay of Bengal, continues to gain intensity while heading toward the same area of India where a much weaker tropical cyclone Helen recently came ashore. NASA's TRMM satellite passed over Lehar and measured rainfall and cloud heights to give scientists an understanding of how the storm is behaving.
NASA's Tropical Rainfall Measuring Mission satellite called TRMM flew above tropical cyclone Lehar on November 26, 2013 at 0307 UTC/Nov. 25 at 10:07 p.m. EST and captured rainfall data. Rainfall rates occurring in the storm were derived from TRMM's Microwave Imager (TMI) and Precipitation Radar (PR) instruments. That data was taken and overlaid on an enhanced visible/infrared image from TRMM's Visible and InfraRed Scanner (VIRS) at NASA's Goddard Space Flight Center in Greenbelt, Md. to create a total picture of rainfall within the tropical cyclone. The TRMM instruments found that rain was falling at a rate greater than 64 mm/~2.5 inches per hour in Lehar's center and in a band of intense rain wrapping around Lehar's northwestern side. Some strong thunderstorms within Lehar were reaching heights above 15.25 km/~9.5 miles.
Warnings are already in effect in India. Northern Andhra Pradesh and southern Odisha are expected to feel Lehar's effects on Wednesday, November 27, when winds are expected to reach up to 91.7 knots/105.6 mph/170 kph.
At 1500 UTC/10 a.m. EST on November 26, Tropical Cyclone Lehar's maximum sustained winds were near 75 knots/86.1 mph/138.9 kph. Tropical-storm-force winds extend up to 100 nautical miles/115.1 miles/185.2 km from the center of the storm or 200 miles/230.2 miles/370.5 km in diameter. Lehar's center was located about 471 nautical miles southeast of Visakhapatnam, India, near 12.9 north and 88.6 east. Lehar was moving to the west-northwest at 9 knots/10.3 mph/16.6 km.
The Joint Typhoon Warning Center or JTWC predicts that Lehar's sustained wind speeds will reach 95 knots/~109 mph on November 27, 2013 and then decrease to about 85 knots/~98 mph before hitting India's east-central coast.
Text credit: Harold F. Pierce
SSAI/NASA Goddard Space Flight Center
The Andaman Islands received an unwelcome visitor on November 25 in the form of Tropical Cyclone Lehar. NASA's Terra satellite captured a picture of the visitor as it was making its exit from the islands and into the Bay of Bengal.
Tropical Depression 05B formed off the west coast of the Malay Peninsula on November 23 and strengthened into Tropical Cyclone Lehar as it moved from the Andaman Sea over the Andaman Islands and is now working its way into the Bay of Bengal and toward India. The Andaman Islands are located in the eastern Bay of Bengal. Burma lies north and east of the island group and India lies to the west.
Tropical Cyclone Lehar was over the Andaman and Nicobar Islands at the time NASA's Terra satellite flew overhead and captured a visible image of the storm. On November 25, 2013 at 04:25 UTC/Nov. 24 11:25 p.m. EST, the Moderate Resolution Imaging Spectroradiometer or MODIS instrument that flies aboard Terra took a picture of the tropical cyclone as the eastern side of the storm covered the island. Most of Cyclone Lehar was west of the island in the Bay of Bengal, although the northeastern edge of the storm extended over west-central Burma, bringing clouds to Yangon, capital city of the Yangon region. By November 26, Lehar was bringing rainfall and gusty winds to the region.
At 1500 UTC/10 a.m. EST on November 25, Tropical Cyclone Lehar had maximum sustained winds near 65 knots/74.8 mph/120.4 kph, achieving hurricane-force. It was centered near 12.6 north and 90.6 east, about 550 nautical miles/633 miles/1,019 km southeast of Visakhapatnam, India. Lehar is moving away from Burma and toward the west-northwest at 7 knots/8 mph/12.9 kph. Lehar is generating 20-foot/6.0 meter high seas
Forecasters at the Joint Typhoon Warning Center expect that warm water temperatures and low wind shear will assist Lehar in intensifying as it moves in a west-northwesterly direction across the Bay of Bengal. Forecasters expect maximum sustained winds to peak near 100 knots/115.1 mph/185.2 kph before making landfall in eastern India.
As a result warnings are already in effect for India. Lehar's winds area expected to affect Northern Andhra Pradesh and southern Odisha by Wednesday, November 27.
SEC ANNOUNCES COURT ORDER AGAINST INDIVIDUAL AND COMPANY TO PAY OVER $9.8 MILLION
FROM: U.S. SECURITIES AND EXCHANGE COMMISSION
Court Orders Massachusetts-Based Viking Financial Group, Inc. and Steven Palladino to Pay Over $9.8 Million
The Securities and Exchange Commission announced today that, on November 18, 2013, a Massachusetts federal court entered orders against Steven Palladino of West Roxbury, Massachusetts and his Massachusetts-based company, Viking Financial Group, Inc. requiring them to pay more than $9.8 million in disgorgement of ill-gotten gains and prejudgment interest and permanently enjoining them from future violations of the antifraud provisions of the securities laws. The Court also ordered that an asset freeze imposed in April 2013 remain in effect.
The Commission initially filed this action on April 30, 2013, as an emergency enforcement action against the Defendants seeking a temporary restraining order, asset freeze and other emergency relief, which the Court granted. In its Complaint, the Commission alleged that, since April 2011, Palladino and Viking falsely promised at least 33 investors that their money would be used to conduct the business of Viking - which was purportedly to make to short-term, high interest loans to those unable to obtain traditional financing. The Commission also alleged that the Defendants misrepresented to investors that the loans made by Viking would be secured by first interest liens on non-primary residence properties and that investors would be paid back their principal, plus monthly interest at rates generally ranging from 7-15%, from payments made by borrowers on the loans. The Complaint alleges that, in truth, the Defendants made very few real loans to borrowers, and instead used investors' funds largely to make payments to earlier investors and to pay for the Palladino family's substantial personal expenses, including cash withdrawals and hundreds of thousands of dollars spent on gambling excursions, vacations, luxury vehicles and tuition.
After the parties had an opportunity to brief the issues, on July 15, 2013, the Court held that the Commission had established that the Defendants' conduct violated the antifraud provisions of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder and Section 17(a) of the Securities Act of 1933. The orders of disgorgement and injunction against the Defendants were entered by the Honorable Douglas P. Woodlock of the United States District Court for the District of Massachusetts. The Court has delayed a determination as to civil penalties until a later date. The Commission acknowledges the assistance of Suffolk County (Massachusetts) District Attorney Daniel F. Conley's Office, which filed related criminal charges against Palladino and Viking in March 2013.
Court Orders Massachusetts-Based Viking Financial Group, Inc. and Steven Palladino to Pay Over $9.8 Million
The Securities and Exchange Commission announced today that, on November 18, 2013, a Massachusetts federal court entered orders against Steven Palladino of West Roxbury, Massachusetts and his Massachusetts-based company, Viking Financial Group, Inc. requiring them to pay more than $9.8 million in disgorgement of ill-gotten gains and prejudgment interest and permanently enjoining them from future violations of the antifraud provisions of the securities laws. The Court also ordered that an asset freeze imposed in April 2013 remain in effect.
The Commission initially filed this action on April 30, 2013, as an emergency enforcement action against the Defendants seeking a temporary restraining order, asset freeze and other emergency relief, which the Court granted. In its Complaint, the Commission alleged that, since April 2011, Palladino and Viking falsely promised at least 33 investors that their money would be used to conduct the business of Viking - which was purportedly to make to short-term, high interest loans to those unable to obtain traditional financing. The Commission also alleged that the Defendants misrepresented to investors that the loans made by Viking would be secured by first interest liens on non-primary residence properties and that investors would be paid back their principal, plus monthly interest at rates generally ranging from 7-15%, from payments made by borrowers on the loans. The Complaint alleges that, in truth, the Defendants made very few real loans to borrowers, and instead used investors' funds largely to make payments to earlier investors and to pay for the Palladino family's substantial personal expenses, including cash withdrawals and hundreds of thousands of dollars spent on gambling excursions, vacations, luxury vehicles and tuition.
After the parties had an opportunity to brief the issues, on July 15, 2013, the Court held that the Commission had established that the Defendants' conduct violated the antifraud provisions of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder and Section 17(a) of the Securities Act of 1933. The orders of disgorgement and injunction against the Defendants were entered by the Honorable Douglas P. Woodlock of the United States District Court for the District of Massachusetts. The Court has delayed a determination as to civil penalties until a later date. The Commission acknowledges the assistance of Suffolk County (Massachusetts) District Attorney Daniel F. Conley's Office, which filed related criminal charges against Palladino and Viking in March 2013.
RECENT U.S. MARINE CORPS PHOTOS FROM TACLOBAN, PHILIPPINES
FROM: U.S. DEFENSE DEPARTMENT
A sign displays thanks to all agencies involved in relief and recovery efforts in Tacloban, Philippines, Nov. 23, 2013. U.S. troops, multiple government agencies, international aid groups and militaries assisted in providing humanitarian assistance and disaster relief to affected areas throughout the island nation following Typhoon Haiyan. U.S. Marine Corps photo by Master Sgt. Antoine Robinson.
A van is abandoned in the middle of a swamp outside of Tacloban, Philippines, Nov. 23, 2013. U.S. Marine Corps photo by Master Sgt. Antoine Robinson.
TROUBLE FOR FINANCIER AND FIRMS FOR SELLING BILLIONS OF UNREGISTERED SHARES OF STOCK
FROM: U.S. SECURITIES AND EXCHANGE COMMISSION
The Securities and Exchange Commission today charged a New York-based penny stock financier and his firms with violating the federal securities laws when they purchased billions of shares in a pair of microcap companies and failed to register them before they were re-sold to investors for sizeable profits.
Curt Kramer and his firms Mazuma Corporation, Mazuma Funding Corporation, and Mazuma Holding Corporation agreed to disgorge those profits in paying a total of $1.4 million to settle the SEC’s charges.
An SEC investigation found that Kramer and his firms obtained unregistered shares in penny stock issuers Laidlaw Energy Group and Bederra Corporation. For the Laidlaw transactions, they claimed to rely on an exemption in Rule 504 of Regulation D that permits certain companies to offer and sell up to $1 million in unregistered shares. However, the Mazuma firms’ purchases of Laidlaw shares exceeded Rule 504’s $1 million limit, so the shares were restricted and not exempt from the registration requirements of the securities laws when they were re-sold. Mazuma Holding Corporation’s acquisition and sale of more than one billion unregistered shares of Bederra that had been misappropriated from the issuer by its transfer agent also were not exempt from registration.
“Unless there is a valid exemption, shares can’t be sold publicly without a registration statement that provides investors with the level of detail they deserve about the investment opportunity being offered,” said Michael Paley, co-chair of the SEC Enforcement Division’s Microcap Fraud Task Force that was created earlier this year to target abusive trading and fraudulent conduct in securities issued by microcap companies that often don’t regularly report their financial results publicly.
“Billions of shares were not vetted through the registration process yet became publicly traded as a result of the violations by Kramer and his Mazuma firms, and the SEC will continue to punish non-compliance with the registration provisions of the securities laws to ensure the investing public is protected in these types of transactions,” Mr. Paley added.
According to the SEC’s order instituting settled administrative proceedings, Kramer and his firms purchased two billion Laidlaw shares, which amounted to 80 percent of Laidlaw’s outstanding shares at the time. They purchased these shares at a significant discount from prevailing market prices, making it highly likely they could immediately re-sell them publicly for a short-term profit. Kramer and his firms purchased the shares in 35 tranches with no six-month gaps, thus quantifying the transactions as a single, integrated offering through which Laidlaw exceeded the $1 million limit under Rule 504 by raising a total of $1,259,550. No registration statement was filed for any shares that Laidlaw offered and sold to Kramer and his firms, nor was any registration statement filed for any shares that Kramer and his firms subsequently re-sold into the public market. Despite exceeding the $1 million limit, Kramer and his firms continued to acquire and sell additional Laidlaw shares and profited by $126,963 from these transactions.
According to the SEC’s order, Kramer and Mazuma Holding Corporation acquired more than one billion shares of Bederra in 2009 and 2010 through 21 separate transactions from the principal of Bederra’s transfer agent, who had misappropriated the Bederra share certificates. Again they purchased the shares at a significant discount from prevailing market prices. Kramer and Mazuma Holding Corporation re-sold the misappropriated Bederra shares to the public without any registration statement for a profit of $934,404.
In the settlement, Kramer and his Great Neck, N.Y.-based Mazuma firms agreed to pay disgorgement totaling $1,061,367 plus prejudgment interest of $128,611 and penalties totaling $273,000. Without admitting or denying the SEC’s findings, Kramer and Mazuma consented to the entry of an order finding that they violated Sections 5(a) and 5(c) of the Securities Act of 1933. The order requires them to cease and desist from committing violations of Sections 5(a) and 5(c) and not participate in any Rule 504 offerings. Entry of the order will constitute a disqualifying event for Kramer and the Mazuma firms under the recently-enacted bad actor disqualification provisions of Rule 506.
The SEC’s investigation was conducted by staff in the New York and Denver offices, including Ian Karpel, Kim Greer, Haimavathi Marlier, Laura Yeu, Christopher Ferrante, and Elzbieta Wraga with assistance from examiners Terrence Bohan and Denis Koval.
The Securities and Exchange Commission today charged a New York-based penny stock financier and his firms with violating the federal securities laws when they purchased billions of shares in a pair of microcap companies and failed to register them before they were re-sold to investors for sizeable profits.
Curt Kramer and his firms Mazuma Corporation, Mazuma Funding Corporation, and Mazuma Holding Corporation agreed to disgorge those profits in paying a total of $1.4 million to settle the SEC’s charges.
An SEC investigation found that Kramer and his firms obtained unregistered shares in penny stock issuers Laidlaw Energy Group and Bederra Corporation. For the Laidlaw transactions, they claimed to rely on an exemption in Rule 504 of Regulation D that permits certain companies to offer and sell up to $1 million in unregistered shares. However, the Mazuma firms’ purchases of Laidlaw shares exceeded Rule 504’s $1 million limit, so the shares were restricted and not exempt from the registration requirements of the securities laws when they were re-sold. Mazuma Holding Corporation’s acquisition and sale of more than one billion unregistered shares of Bederra that had been misappropriated from the issuer by its transfer agent also were not exempt from registration.
“Unless there is a valid exemption, shares can’t be sold publicly without a registration statement that provides investors with the level of detail they deserve about the investment opportunity being offered,” said Michael Paley, co-chair of the SEC Enforcement Division’s Microcap Fraud Task Force that was created earlier this year to target abusive trading and fraudulent conduct in securities issued by microcap companies that often don’t regularly report their financial results publicly.
“Billions of shares were not vetted through the registration process yet became publicly traded as a result of the violations by Kramer and his Mazuma firms, and the SEC will continue to punish non-compliance with the registration provisions of the securities laws to ensure the investing public is protected in these types of transactions,” Mr. Paley added.
According to the SEC’s order instituting settled administrative proceedings, Kramer and his firms purchased two billion Laidlaw shares, which amounted to 80 percent of Laidlaw’s outstanding shares at the time. They purchased these shares at a significant discount from prevailing market prices, making it highly likely they could immediately re-sell them publicly for a short-term profit. Kramer and his firms purchased the shares in 35 tranches with no six-month gaps, thus quantifying the transactions as a single, integrated offering through which Laidlaw exceeded the $1 million limit under Rule 504 by raising a total of $1,259,550. No registration statement was filed for any shares that Laidlaw offered and sold to Kramer and his firms, nor was any registration statement filed for any shares that Kramer and his firms subsequently re-sold into the public market. Despite exceeding the $1 million limit, Kramer and his firms continued to acquire and sell additional Laidlaw shares and profited by $126,963 from these transactions.
According to the SEC’s order, Kramer and Mazuma Holding Corporation acquired more than one billion shares of Bederra in 2009 and 2010 through 21 separate transactions from the principal of Bederra’s transfer agent, who had misappropriated the Bederra share certificates. Again they purchased the shares at a significant discount from prevailing market prices. Kramer and Mazuma Holding Corporation re-sold the misappropriated Bederra shares to the public without any registration statement for a profit of $934,404.
In the settlement, Kramer and his Great Neck, N.Y.-based Mazuma firms agreed to pay disgorgement totaling $1,061,367 plus prejudgment interest of $128,611 and penalties totaling $273,000. Without admitting or denying the SEC’s findings, Kramer and Mazuma consented to the entry of an order finding that they violated Sections 5(a) and 5(c) of the Securities Act of 1933. The order requires them to cease and desist from committing violations of Sections 5(a) and 5(c) and not participate in any Rule 504 offerings. Entry of the order will constitute a disqualifying event for Kramer and the Mazuma firms under the recently-enacted bad actor disqualification provisions of Rule 506.
The SEC’s investigation was conducted by staff in the New York and Denver offices, including Ian Karpel, Kim Greer, Haimavathi Marlier, Laura Yeu, Christopher Ferrante, and Elzbieta Wraga with assistance from examiners Terrence Bohan and Denis Koval.
SECRETARY OF STATE KERRY'S STATEMENT ON MALI LEGISLATIVE ELECTIONS
FROM: U.S. STATE DEPARTMENT
Mali Legislative Elections
Press Statement
John Kerry
Secretary of State
Washington, DC
November 25, 2013
Mali has taken an important step forward by holding the first round of legislative elections. These elections speak volumes about the resilience of Mali’s democratic tradition and the progress it has made over the past two years.
The United States applauds the Government of Mali for the technical improvements to the voting process it has implemented since the presidential elections in July and August.
We call on Mali’s new government to build on these efforts in preparing for an anticipated second round of legislative elections on December 15, and we encourage the Malian people’s peaceful and active participation in those polls.
This is one step in the process of restoring Mali’s representative and tolerant political order. Mali’s new government must address the country’s most pressing challenges, including national reconciliation and security sector reform to ensure strong security institutions under civilian control and oversight.
The United States stands with the Malian people, President Keita, and the new legislature as they tackle these challenges.
Mali Legislative Elections
Press Statement
John Kerry
Secretary of State
Washington, DC
November 25, 2013
Mali has taken an important step forward by holding the first round of legislative elections. These elections speak volumes about the resilience of Mali’s democratic tradition and the progress it has made over the past two years.
The United States applauds the Government of Mali for the technical improvements to the voting process it has implemented since the presidential elections in July and August.
We call on Mali’s new government to build on these efforts in preparing for an anticipated second round of legislative elections on December 15, and we encourage the Malian people’s peaceful and active participation in those polls.
This is one step in the process of restoring Mali’s representative and tolerant political order. Mali’s new government must address the country’s most pressing challenges, including national reconciliation and security sector reform to ensure strong security institutions under civilian control and oversight.
The United States stands with the Malian people, President Keita, and the new legislature as they tackle these challenges.
FORMER HIGH SCHOOL FOOTBALL PLAYER PLEADS GUILTY TO MAKING RACIALLY MOTIVATED THREATS
FROM: U.S. JUSTICE DEPARTMENT
Friday, November 22, 2013
Jonathan Caine, 20, of Nashville, Tenn., pleaded guilty today to a federal hate crime for making racially motivated threats to an African-American assistant football coach at a local high school in, the Justice Department announced.
Caine, formerly a student and football player at the high school where the victim works as a coach, pleaded guilty to threatening the victim with violence because of the victim’s race and employment before U.S. Magistrate Judge John Bryant in federal court in Nashville, Tenn.
According to the information presented in court, Caine made repeated anonymous threats to the assistant coach, and others in the high school administration, which included racial slurs and references to violent acts. In court, Caine admitted that on Aug. 10, 2012, he left an anonymous threatening voice mail on the assistant coach’s cellular phone, saying, “And thus sayeth the Lord all [epithet] shall be killed. Amen, amen I say to you [unintelligible] as the Lord Christ says if a [epithet] shall be born unto thee, the [epithet] shall be killed.” Caine admitted that he targeted the coach because of the coach’s race. Prior to law enforcement identifying Caine as the caller, the team took security measures to protect the coach.
“The Department of Justice will not hesitate to prosecute such acts of hate-motivated intimidation,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “Hate crimes have no place in our society; not only did this former student and player threaten his coach’s safety, he violated the victim’s civil rights by using racist, discriminatory language. The Civil Rights Division will remain vigilant in our efforts to bring these individuals to justice.”
“When individuals choose to act out their hatred by making threats based on a person’s race, they can expect to face prosecution by the U.S. Attorney’s Office,” said U.S. Attorney David Rivera for the Middle District of Tennessee. “Every arm of the Justice Department is committed to protecting the civil rights of all individuals and insuring they remain free from acts of violence and intimidation when those acts are based on the color of their skin.”
Sentencing is scheduled for Feb. 24, 2014. Caine faces a statutory maximum penalty of a 12-month sentence in prison and a $100,000 fine.
Friday, November 22, 2013
Jonathan Caine, 20, of Nashville, Tenn., pleaded guilty today to a federal hate crime for making racially motivated threats to an African-American assistant football coach at a local high school in, the Justice Department announced.
Caine, formerly a student and football player at the high school where the victim works as a coach, pleaded guilty to threatening the victim with violence because of the victim’s race and employment before U.S. Magistrate Judge John Bryant in federal court in Nashville, Tenn.
According to the information presented in court, Caine made repeated anonymous threats to the assistant coach, and others in the high school administration, which included racial slurs and references to violent acts. In court, Caine admitted that on Aug. 10, 2012, he left an anonymous threatening voice mail on the assistant coach’s cellular phone, saying, “And thus sayeth the Lord all [epithet] shall be killed. Amen, amen I say to you [unintelligible] as the Lord Christ says if a [epithet] shall be born unto thee, the [epithet] shall be killed.” Caine admitted that he targeted the coach because of the coach’s race. Prior to law enforcement identifying Caine as the caller, the team took security measures to protect the coach.
“The Department of Justice will not hesitate to prosecute such acts of hate-motivated intimidation,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “Hate crimes have no place in our society; not only did this former student and player threaten his coach’s safety, he violated the victim’s civil rights by using racist, discriminatory language. The Civil Rights Division will remain vigilant in our efforts to bring these individuals to justice.”
“When individuals choose to act out their hatred by making threats based on a person’s race, they can expect to face prosecution by the U.S. Attorney’s Office,” said U.S. Attorney David Rivera for the Middle District of Tennessee. “Every arm of the Justice Department is committed to protecting the civil rights of all individuals and insuring they remain free from acts of violence and intimidation when those acts are based on the color of their skin.”
Sentencing is scheduled for Feb. 24, 2014. Caine faces a statutory maximum penalty of a 12-month sentence in prison and a $100,000 fine.
JUSTICE DEPT. ALLEGES MINNESOTA HOMEOWNERS ASSOCIATION DISCRIMINATED AGAINST FAMILIES WITH CHILDREN
FROM: U.S. JUSTICE DEPARTMENT
Monday, November 25, 2013
Justice Department Charges Minn. Condominium Association, Management Company and Property Manager with Discrimination Against Families with Children
The Justice Department filed a lawsuit today against the homeowner’s association, management company and property manager of a Minnetonka, Minn., condominium complex, alleging that they discriminated against families with children in violation of the Fair Housing Act.
“Families with children should have the same ability to enjoy their homes as all other tenants,” said Acting Assistant Attorney General Jocelyn Samuels for the department’s Civil Rights Division. “The department is committed to enforcing the Fair Housing Act and ensuring that housing providers do not enact policies that discriminate against tenants or deprive tenants of certain amenities due to their familial status.”
The lawsuit, filed in the U.S. District Court for the District of Minnesota, involves the Condominiums of Greenbrier Village, a six-building complex that contains approximately 462 condominium units. The lawsuit alleges that the Greenbrier Village homeowners association, property management company Gassen Company Inc. and Gassen employee Diane Brown adopted and enforced policies that discriminatorily limited or prohibited children from playing in the complex’s common grounds.
This lawsuit arose as a result of a complaint filed with the Department of Housing and Urban Development (HUD) by one family with children who lives at Greenbrier Village. After HUD investigated the complaint, it issued a charge of discrimination and the matter was referred to the department.
“Housing providers cannot impose more restrictive policies on families with children or evict them simply because their children leave the unit,” said HUD Acting Assistant Secretary Bryan Greene for Fair Housing and Equal Opportunity. “HUD and DOJ are committed to enforcing the fair housing rights of all people, including families with children.”
The lawsuit seeks a court order prohibiting future discrimination by the defendants, monetary damages for those harmed by the defendants’ actions and a civil penalty.
“Each person is entitled to fair treatment under the law, a foundation for all thriving communities,” said Acting U.S. Attorney John R. Marti of the District of Minnesota. “Unfortunately, families with children may be confronted with discrimination in housing. The Department of Justice and the United States Attorney’s Office will intervene to obtain fair treatment for all Minnesotans.”
The federal Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex, familial status, national origin and disability. Individ uals who believe they may have been victims of housing discrimination may contact the department at 1-800-896-7743 or by e-mail at fairhousing@usdoj.gov , or contact HUD at 1-800-669-9777 or through www.hud.gov/fairhousing .
The complaint is an allegation of unlawful conduct. The allegations still must be proven in federal court.
Monday, November 25, 2013
Justice Department Charges Minn. Condominium Association, Management Company and Property Manager with Discrimination Against Families with Children
The Justice Department filed a lawsuit today against the homeowner’s association, management company and property manager of a Minnetonka, Minn., condominium complex, alleging that they discriminated against families with children in violation of the Fair Housing Act.
“Families with children should have the same ability to enjoy their homes as all other tenants,” said Acting Assistant Attorney General Jocelyn Samuels for the department’s Civil Rights Division. “The department is committed to enforcing the Fair Housing Act and ensuring that housing providers do not enact policies that discriminate against tenants or deprive tenants of certain amenities due to their familial status.”
The lawsuit, filed in the U.S. District Court for the District of Minnesota, involves the Condominiums of Greenbrier Village, a six-building complex that contains approximately 462 condominium units. The lawsuit alleges that the Greenbrier Village homeowners association, property management company Gassen Company Inc. and Gassen employee Diane Brown adopted and enforced policies that discriminatorily limited or prohibited children from playing in the complex’s common grounds.
This lawsuit arose as a result of a complaint filed with the Department of Housing and Urban Development (HUD) by one family with children who lives at Greenbrier Village. After HUD investigated the complaint, it issued a charge of discrimination and the matter was referred to the department.
“Housing providers cannot impose more restrictive policies on families with children or evict them simply because their children leave the unit,” said HUD Acting Assistant Secretary Bryan Greene for Fair Housing and Equal Opportunity. “HUD and DOJ are committed to enforcing the fair housing rights of all people, including families with children.”
The lawsuit seeks a court order prohibiting future discrimination by the defendants, monetary damages for those harmed by the defendants’ actions and a civil penalty.
“Each person is entitled to fair treatment under the law, a foundation for all thriving communities,” said Acting U.S. Attorney John R. Marti of the District of Minnesota. “Unfortunately, families with children may be confronted with discrimination in housing. The Department of Justice and the United States Attorney’s Office will intervene to obtain fair treatment for all Minnesotans.”
The federal Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex, familial status, national origin and disability. Individ uals who believe they may have been victims of housing discrimination may contact the department at 1-800-896-7743 or by e-mail at fairhousing@usdoj.gov , or contact HUD at 1-800-669-9777 or through www.hud.gov/fairhousing .
The complaint is an allegation of unlawful conduct. The allegations still must be proven in federal court.
SECRETARY KERRY'S REMARKS REGARDING GENEVA CONFERENCE ON SYRIA
FROM: U.S. STATE DEPARTMENT
Geneva Conference on Syria
Press Statement
John Kerry
Secretary of State
Washington, DC
November 25, 2013
I thank Joint Special Representative Brahimi for his efforts to bring the regime, the opposition, and the international community together for this important meeting at an important time.
We have long underscored that there is no military solution to the violence in Syria that has taken more than 100,000 lives and displaced millions. The conference on January 22 is the best opportunity to implement the Geneva Communiqué and form a new transitional governing body through mutual consent—an important step toward ending the suffering of the Syrian people and the destabilizing impact of this conflict on the region.
This horrific conflict began as a peaceful protest by Syrians who aspire to live in a country where freedom, dignity, and equal treatment under the law are protected. Now, in order to end the bloodshed and give the Syrian people a chance to meet their long-deferred aspirations, Syria needs new leadership.
We are well aware that the obstacles on the road to a political solution are many, and we will enter the Geneva conference on Syria with our eyes wide open. No one should underestimate the difficulties ahead. In the coming weeks, the regime and the opposition will need to form their delegations, and we will continue to work in concert with the UN and our partners on remaining issues, including which countries will be invited to attend and what the agenda will be to advance the Geneva Communiqué framework for political transition.
To contain the growing threat from extremism and foreign fighters within Syria, and to ensure respect for Syria’s territorial sovereignty, we cannot delay the work of establishing a transitional government. Since foreign states have considerable influence on the factions waging war within Syria, they too have an important role to play. While it is ultimately up to the Syrian people to form a new government and bring an end to the conflict, the United States and our partners can help get them there.
The thousands of men, women, and children suffering in Syria today cannot wait for us to meet in Geneva for their cries to be heard. The Assad regime must stop using starvation as a weapon of war and immediately begin providing greater humanitarian access to besieged communities. The international community must be proactive and diligent in drawing greater attention to this issue and putting the necessary pressure in place to change behavior on the ground.
Geneva Conference on Syria
Press Statement
John Kerry
Secretary of State
Washington, DC
November 25, 2013
I thank Joint Special Representative Brahimi for his efforts to bring the regime, the opposition, and the international community together for this important meeting at an important time.
We have long underscored that there is no military solution to the violence in Syria that has taken more than 100,000 lives and displaced millions. The conference on January 22 is the best opportunity to implement the Geneva Communiqué and form a new transitional governing body through mutual consent—an important step toward ending the suffering of the Syrian people and the destabilizing impact of this conflict on the region.
This horrific conflict began as a peaceful protest by Syrians who aspire to live in a country where freedom, dignity, and equal treatment under the law are protected. Now, in order to end the bloodshed and give the Syrian people a chance to meet their long-deferred aspirations, Syria needs new leadership.
We are well aware that the obstacles on the road to a political solution are many, and we will enter the Geneva conference on Syria with our eyes wide open. No one should underestimate the difficulties ahead. In the coming weeks, the regime and the opposition will need to form their delegations, and we will continue to work in concert with the UN and our partners on remaining issues, including which countries will be invited to attend and what the agenda will be to advance the Geneva Communiqué framework for political transition.
To contain the growing threat from extremism and foreign fighters within Syria, and to ensure respect for Syria’s territorial sovereignty, we cannot delay the work of establishing a transitional government. Since foreign states have considerable influence on the factions waging war within Syria, they too have an important role to play. While it is ultimately up to the Syrian people to form a new government and bring an end to the conflict, the United States and our partners can help get them there.
The thousands of men, women, and children suffering in Syria today cannot wait for us to meet in Geneva for their cries to be heard. The Assad regime must stop using starvation as a weapon of war and immediately begin providing greater humanitarian access to besieged communities. The international community must be proactive and diligent in drawing greater attention to this issue and putting the necessary pressure in place to change behavior on the ground.
Monday, November 25, 2013
PRESIDENT OBAMA'S REMARKS ON IMMIGRATION REFORM IN SAN FRANCISCO, CALIFORNIA
FROM: THE WHITE HOUSE
Remarks by the President on Immigration Reform -- San Francisco, CA
Betty Ong Chinese Recreation Center
San Francisco, California
11:55 A.M. PST
THE PRESIDENT: Hello, everybody! (Applause.) Well, hello, San Francisco! (Applause.) It is great to be back in California. It is great to be with all of you. I love San Francisco. (Applause.) You got great food. You got great people, beautiful scenery -- no more super villains because Batkid cleaned up the streets. (Applause.) Love Batkid. (Laughter.)
I want to start by thanking Geetha for the wonderful introduction and the great work that she’s doing. Give her a big round of applause. (Applause.) I want to thank your Mayor, Ed Lee. (Applause.) Lieutenant Governor Gavin Newsom. (Applause.) I want to recognize some wonderful members of Congress who are fighting every day for the people of California -- Mike Honda -- (applause) -- Eric Swalwell, Judy Chu. They are all doing great work every single day. (Applause.)
We have a special guest, Janet Napolitano, who is now overseeing the entire UC system and going to be doing a great job. (Applause.) We miss her back in Washington, but she is going to be outstanding leading the University of California.
Now, before I begin, I want to say a few words about the news from the weekend. I'm here to talk about immigration reform, but I'm also here in my capacity as Commander-in-Chief, and this weekend, together with our allies and our partners, the United States reached an agreement with Iran -- (applause) -- on a first step towards resolving our concerns over its nuclear program.
Now, some of you may recall that when I first ran for President, I said it was time for a new era of American leadership in the world -- one that turned the page on a decade of war, and began a new era of our engagement with the world. And as President and as Commander-in-Chief, I’ve done what I said. We ended the war in Iraq; we brought our troops home. Osama bin Laden met justice; the war in Afghanistan will end next year.
And as the strongest, most powerful nation on the face of the Earth, we’ve engaged in clear-eyed and principled diplomacy -- even with our adversaries -- in order to begin to destroy Syria’s chemical weapons and to place the first real constraints in a decade on Iran’s nuclear program. Because I firmly believe in what President Kennedy once said: He said, “Let us never negotiate out of fear, but let us never fear to negotiate.” I believe that. And this diplomacy, backed by the unprecedented sanctions we brought on Iran, has brought us the progress that was achieved this weekend.
For the first time in a decade, we’ve halted the progress on Iran’s nuclear program. Key parts of the program will be rolled back. (Applause.) International inspectors will have unprecedented access to Iran’s nuclear-related facilities. So this will help Iran from building a nuclear weapon. And over the coming months, we’re going to continue our diplomacy, with the goal of achieving a comprehensive solution that deals with the threat of Iran’s nuclear program once and for all.
And if Iran seizes this opportunity and chooses to join the global community, then we can begin to chip away at the mistrust that’s existed for many, many years between our two nations.
None of that is going to be easy. Huge challenges remain. But we cannot close the door on diplomacy. And we cannot rule out peaceful solutions to the world’s problems. We cannot commit ourselves to an endless cycle of conflict. And tough talk and bluster may be the easy thing to do politically, but it’s not the right thing for our security. It is not the right thing for our security. (Applause.)
Now, this progress, and the potential it offers, reminds us of what is possible when the United States has the courage to lead -- not just with the force of arms, but with the strength of our diplomacy and our commitment to peace. That’s what keeps us strong. That’s what makes us a beacon to the world. That’s how I’ll continue to lead so long as I’m President of the United States.
And that spirit -- not just what we can criticize or tear down or be against, but what we can build together -- that’s what brings me here today. Because it’s long past time to fix our broken immigration system. (Applause.) We need to make sure Washington finishes what so many Americans just like you started. We’ve got to finish the job.
And it’s fitting that we’re here in Chinatown, just a few miles away from Angel Island. In the early 1900s, about 300,000 people -- maybe some of your ancestors -- passed through on their way to a new life in America. And for many, it represented the end of a long and arduous journey -- they’d finally arrived in a place where they believed anything was possible.
And for some, it also represented the beginning of a new struggle against prejudice in a country that didn’t always treat its immigrants fairly or afford them the same rights as everybody else. Obviously, Asians faced this, but so did the Irish; so did Italians; so did Jews; and many groups still do today.
That didn’t stop those brave men and women from coming. They were drawn by a belief in the power of opportunity; in a belief that says, maybe I never had a chance at a good education, but this is a place where my daughter can go to college. Maybe I started out washing dishes, but this is a place where my son can become mayor of San Francisco. (Applause.) Maybe I have to make sacrifices today, but those sacrifices are worth it if it means a better life for my family.
And that’s a family story that will be shared by millions of Americans around the table on Thursday. It’s the story that drew my great-great-great-great-grandfather from a small village in Ireland, and drew my father from a small village in Kenya. It’s the story that drew so many of your ancestors here -- that America is a place where you can make it if you try.
And here’s something interesting: Today, more than one in four residents born outside the United States came here from Asian countries -- many through our family immigration system. They’re doctors and business owners, laborers, refugees. This rec center’s namesake, Betty Ong, was a hero on 9/11. (Applause.) But she was also the daughter of immigrants who grew up not far from here. And we’re honored to have her family with us here today. (Applause.)
But too often when we talk about immigration, the debate focuses on our southern border. The fact is we’re blessed with immigrants from all over the world who’ve put down roots in every corner of this country. Here in San Francisco, 35 percent of business owners are immigrants -- and your economy is among the fastest growing in the country. That’s not an accident. That’s the impact that our talented, hardworking immigrants can have. That’s the difference they can make. They’re hungry and they’re striving and they’re working hard and they’re creating things that weren’t there before.
And that’s why it is long past time to reform an immigration system that right now doesn’t serve America as well as it should. We could be doing so much more to unleash our potential if we just fix this aspect of our system.
And I know out here in California that you watch the news and you share the country’s not very sunny view of Washington these days. For the last few months, you’ve seen a lot of headlines about gridlock and partisan bickering, and too often one faction of one party in one house of Congress has chosen courses of action that ended up harming our businesses, or our economy, or our workers. Or they want to refight old political battles rather than create jobs and grow the economy and strengthen the middle class, or take 40 more votes to undermine or repeal the Affordable Care Act -- (laughter) -- instead of passing a single serious jobs bill, despite the fact that Americans want us to focus on jobs and business and growth. And, by the way, thousands of Californians are signing up every day for new health care plans all across this state. (Applause.)
So even as we’re getting this darn website up to speed -- (laughter) -- and it's getting better -- states like California are proving the law works. People want the financial security of health insurance.
AUDIENCE MEMBER: Thanks to you!
THE PRESIDENT: And even if you’re already insured, reach out to a friend or neighbor who’s not and help them get covered.
But when it comes to immigration reform, we have to have the confidence to believe we can get this done. And we should get it done. And, by the way, most Americans agree. The only thing standing in our way right now is the unwillingness of certain Republicans in Congress to catch up with the rest of the country.
I met the other day with the CEOs of some of America's biggest companies. And I'm positive not all of them voted for me. (Laughter.) I'm pretty sure. (Laughter.) Maybe some of them, but definitely not all of them. But the thing they wanted to talk about, their top priority was the fact that we invite the brightest minds from around the world to study here -- many of them enrolled in the University of California system -- and then we don't invite them to stay. We end up sending them home to create new jobs and start new businesses someplace else. So we're training our own competition, rather than invite those incredibly talented young people, like Geetha, to stay here and start businesses and create jobs here.
I hear from folks who’ve been separated from their families for years because of green card backlogs who desperately want their loved ones to be able to join them here in America. I hear from young DREAMers who are Americans through and through in every way but on paper, and they just want a chance to study and serve and contribute to the nation that they love. (Applause.)
I talk to business owners who play by the rules, but get frustrated because they end up being undercut by those who exploit workers in a shadow economy -- aren't getting paid overtime, aren't required to meet the same obligations. And so those companies end up losing out on business.
Right now, I'm seeing brave advocates who have been fasting for two weeks in the shadow of the Capitol, sacrificing themselves in an effort to get Congress to act. And I want to say to Eliseo Medina, my friend from SEIU, and the other fasters who are there as we speak, I want them to know we hear you. We're with you. The whole country hears you.
And there are plenty of leaders –- Democrat and Republican –- who don’t think it’s fair that we’ve got 11 million people in this country, including more than a million from Asia, with no real way to come forward and get on the right side of the law. It’s not smart. It’s not fair. It doesn’t make sense. And we have kicked this particular can down the road long enough. Everybody knows it.
Now, the good news is we know what the solutions are. There is bipartisan hope of getting it done. This year, the Senate passed an immigration reform bill by a wide, bipartisan majority, and it addresses the key issues that need to be addressed. It would strengthen our borders. It would level the playing field by holding employers accountable if they knowingly hire undocumented workers. It would modernize our legal immigration system so that we eliminate the backlog of family visas and make it easier to attract highly skilled entrepreneurs from beyond our borders. It would make sure that everybody plays by the same rules by providing a pathway to earned citizenship for those who are living in the shadows –- a path that includes passing a background check, and learning English, and paying taxes and a penalty, and getting in line behind everyone trying to come here the right way.
And each of these pieces would go a long way towards fixing our broken immigration system. Each of them has been supported by Democrats and Republicans in the past. There’s no reason we can’t come together and get it done.
And what's more, we know the immigration reform that we're proposing would boost our economy and shrink our deficits. Independent economists have said that if the Senate bill became law, over the next two decades, our economy would grow by $1.4 trillion more, and it would reduce our deficits by $850 billion more.
And you don’t have to be an economist to figure out that workers will be more productive if they’ve got their families here with them, they're not worried about deportation, they're not living halfway around the world. This isn’t just the right thing to do -– it’s the smart thing to do.
Of course, just because something is smart, fair, good for the economy, and supported by business, labor, law enforcement and faith leaders -- (laughter) -- Democratic and Republican governors, including the Governor of this state –- just because all that is in place doesn’t mean we'll actually get it done, because this is Washington, after all, that we’re talking about and everything is looked through a political prism. And, look, let's be honest, some folks automatically think, well, if Obama’s for it, then I've got to be against it even if I was, before that, I was for it.
But I want to remind everybody, to his great credit, my Republican predecessor, President Bush, was for reform. He proposed reform like this almost a decade ago. I was in the Senate. I joined 23 Senate Republicans back then supporting reform. It's worth remembering that the Senate bill that just passed won more than a dozen Republican votes this past summer. And some of them even forget that I'm -- sometimes people forget I'm not running for office again. Michelle doesn’t forget. (Laughter and applause.) So you don’t have to worry about this somehow being good for me. This is good for the country. It's the right thing to do for the American people.
And I believe, ultimately -- not always in the short term -- but ultimately, good policy is good politics. Look at the polls right now, because the American people support immigration reform by a clear majority. Everybody wins if we get this done. So there's no reason we shouldn’t get immigration reform done right now. None. If there is a good reason I haven't heard it.
And, by the way, if there's a better plan out there than the one that Democrats and Republicans have already advanced together, if there are additional ideas that would make it even better, I’m always willing to listen to new ideas. My door is always open. But right now it’s up to Republicans in the House to decide if we can move forward as a country on this bill. If they don’t want to see it happen, they’ve got to explain why.
The good news is, just this past week Speaker Boehner said that he is “hopeful we can make progress” on immigration reform. And that is good news. I believe the Speaker is sincere. I think he genuinely wants to get it done. And that’s something we should be thankful for this week. And I think there are a number of other House Republicans who also want to get this done. Some of them are hesitant to do it in one big bill, like the Senate did. That’s okay. They can -- it’s Thanksgiving; we can carve that bird into multiple pieces. (Laughter.) A drumstick here -- (laughter) -- breast meat there. But as long as all the pieces get done -- soon -- and we actually deliver on the core values we’ve been talking about for so long, I think everybody is fine with it. They're not worried about the procedures. They just want the result.
But it’s going to require some courage. There are some members of the Republican caucus who think this is bad politics for them back home. And they're free to vote their conscience, but what I’ve said to the Speaker and others is, don't let a minority of folks block something that the country desperately needs. And we can’t leave this problem for another generation to solve. If we don’t tackle this now, then we’re undercutting our own future.
So my message to Congress is rather than create problems, let’s prove Washington can get something done. This is something that has broad-based support. We’ve been working on it for a decade now. This reform comes as close as we’ve gotten to something that will benefit everybody, now and for decades to come. And it has the potential to enrich this country in ways that we can’t even imagine.
And I’ll just give you one example to wrap up. Andrew Ly is here today. Where’s Andrew? He’s around here somewhere. There he is. Now, Andrew has got an amazing story. Andrew grew up in Vietnam, and he and his four brothers tried three times to flee to the United States. Obviously, the country was going through all kinds of difficulties. So three times, they tried; three times, they failed. On the fourth try, their boat –- filled with 140 refugees -- is that right, Andrew -– was attacked by pirates.
But the Lys and their family eventually made it to Malaysia, and then they eventually made it here to San Francisco. And they learned English, and they worked as handymen, and they worked as seamstresses. And eventually, Andrew and his brothers earned enough money to buy a small bakery. And they started making donuts, and they started selling them to Chinese restaurants. And with a lot of hard work and a little luck, the Sugar Bowl Bakery today is a $60 million business. (Applause.)
So these humble and striving immigrants from Vietnam now employ more than 300 Americans. They’re supplying pastries to Costco and Safeway, and almost every hotel and hospital in San Francisco. And I don't know if Andrew brought me any samples, but -- (laughter) -- they must be pretty good. (Laughter.)
And Andrew says, “We came here as boat people, so we don’t take things for granted. We know this is the best country in the world if you work hard.” That’s what America is about. This is the place where you can reach for something better if you work hard. This is the country our parents and our grandparents and waves of immigrants before them built for us. And it falls on each new generation to keep it that way. The Statue of Liberty doesn’t have its back to the world. The Statue of Liberty faces the world and raises its light to the world.
When Chinese immigrants came to this city in search of “Gold Mountain,” they weren’t looking just for physical riches. They were looking for freedom and opportunity. They knew that what makes us American is not a question of what we look like or what our names are -- because we look like the world. You got a President named Obama. (Laughter and applause.) What makes us American is our shared belief in certain enduring principles, our allegiance to a set of ideals, to a creed, to the enduring promise of this country.
And our shared responsibility is to leave this country more generous, more hopeful than we found it. And if we stay true to that history -- if we get immigration reform across the finish line -- and it is there just within our grasp, if we can just get folks in Washington to go ahead and do what needs to be done -- we’re going to grow our economy; we’re going to make our country more secure; we’ll strengthen our families; and most importantly, we will live --
AUDIENCE MEMBER: Mr. Obama --
THE PRESIDENT: -- most importantly, we will live up --
AUDIENCE MEMBER: -- my family has been separated for 19 months now --
THE PRESIDENT: -- most importantly, we will live up to our character as a nation.
AUDIENCE MEMBER: I’ve not seen my family. Our families are separated. I need your help. There are thousands of people --
THE PRESDIENT: That’s exactly what we’re talking about.
AUDIENCE MEMBER: -- are torn apart every single day.
THE PRESIDENT: That’s why we’re here.
AUDIENCE MEMBER: Mr. President, please use your executive order to halt deportations for all 11.5 undocumented immigrants in this country right now.
THE PRESIDENT: What we’re trying --
AUDIENCE MEMBER: Do you agree
AUDIENCE: Obama! Obama! Obama!
AUDIENCE MEMBER: -- that we need to pass comprehensive immigration reform at the same time we -- you have a power to stop deportation for all undocumented immigrants in this country.
THE PRESIDENT: Actually I don’t. And that’s why we’re here.
AUDIENCE MEMBER: So, please, I need your help.
THE PRESIDENT: Okay --
AUDIENCE MEMBER: Stop deportations!
AUDIENCE MEMBER: Stop deportations!
THE PRESIDENT: Thank you. All right.
AUDIENCE MEMBERS: Stop deportations! Stop deportations!
THE PRESIDENT: What I’d like to do -- no, no, don’t worry about it, guys. Okay, let me finish.
AUDIENCE MEMBERS: Stop deportations! Yes, we can! Stop deportations!
THE PRESIDENT: These guys don’t need to go. Let me finish. No, no, no, he can stay there. Hold on a second. (Applause.) Hold on a second.
So I respect the passion of these young people because they feel deeply about the concerns for their families. Now, what you need to know, when I’m speaking as President of the United States and I come to this community, is that if, in fact, I could solve all these problems without passing laws in Congress, then I would do so.
But we’re also a nation of laws. That’s part of our tradition. And so the easy way out is to try to yell and pretend like I can do something by violating our laws. And what I’m proposing is the harder path, which is to use our democratic processes to achieve the same goal that you want to achieve. But it won’t be as easy as just shouting. It requires us lobbying and getting it done. (Applause.)
So for those of you who are committed to getting this done, I am going to march with you and fight with you every step of the way to make sure that we are welcoming every striving, hardworking immigrant who sees America the same way we do -- as a country where no matter who you are or what you look like or where you come from, you can make it if you try.
And if you’re serious about making that happen, then I’m ready to work with you. (Applause.) But it is going to require work. It is not simply a matter of us just saying we’re going to violate the law. That’s not our tradition. The great thing about this country is we have this wonderful process of democracy, and sometimes it is messy, and sometimes it is hard, but ultimately, justice and truth win out. That’s always been the case in this country; that’s going to continue to be the case today. (Applause.)
Thank you very much, everybody. God bless you. God bless America. (Applause.)
END
Remarks by the President on Immigration Reform -- San Francisco, CA
Betty Ong Chinese Recreation Center
San Francisco, California
11:55 A.M. PST
THE PRESIDENT: Hello, everybody! (Applause.) Well, hello, San Francisco! (Applause.) It is great to be back in California. It is great to be with all of you. I love San Francisco. (Applause.) You got great food. You got great people, beautiful scenery -- no more super villains because Batkid cleaned up the streets. (Applause.) Love Batkid. (Laughter.)
I want to start by thanking Geetha for the wonderful introduction and the great work that she’s doing. Give her a big round of applause. (Applause.) I want to thank your Mayor, Ed Lee. (Applause.) Lieutenant Governor Gavin Newsom. (Applause.) I want to recognize some wonderful members of Congress who are fighting every day for the people of California -- Mike Honda -- (applause) -- Eric Swalwell, Judy Chu. They are all doing great work every single day. (Applause.)
We have a special guest, Janet Napolitano, who is now overseeing the entire UC system and going to be doing a great job. (Applause.) We miss her back in Washington, but she is going to be outstanding leading the University of California.
Now, before I begin, I want to say a few words about the news from the weekend. I'm here to talk about immigration reform, but I'm also here in my capacity as Commander-in-Chief, and this weekend, together with our allies and our partners, the United States reached an agreement with Iran -- (applause) -- on a first step towards resolving our concerns over its nuclear program.
Now, some of you may recall that when I first ran for President, I said it was time for a new era of American leadership in the world -- one that turned the page on a decade of war, and began a new era of our engagement with the world. And as President and as Commander-in-Chief, I’ve done what I said. We ended the war in Iraq; we brought our troops home. Osama bin Laden met justice; the war in Afghanistan will end next year.
And as the strongest, most powerful nation on the face of the Earth, we’ve engaged in clear-eyed and principled diplomacy -- even with our adversaries -- in order to begin to destroy Syria’s chemical weapons and to place the first real constraints in a decade on Iran’s nuclear program. Because I firmly believe in what President Kennedy once said: He said, “Let us never negotiate out of fear, but let us never fear to negotiate.” I believe that. And this diplomacy, backed by the unprecedented sanctions we brought on Iran, has brought us the progress that was achieved this weekend.
For the first time in a decade, we’ve halted the progress on Iran’s nuclear program. Key parts of the program will be rolled back. (Applause.) International inspectors will have unprecedented access to Iran’s nuclear-related facilities. So this will help Iran from building a nuclear weapon. And over the coming months, we’re going to continue our diplomacy, with the goal of achieving a comprehensive solution that deals with the threat of Iran’s nuclear program once and for all.
And if Iran seizes this opportunity and chooses to join the global community, then we can begin to chip away at the mistrust that’s existed for many, many years between our two nations.
None of that is going to be easy. Huge challenges remain. But we cannot close the door on diplomacy. And we cannot rule out peaceful solutions to the world’s problems. We cannot commit ourselves to an endless cycle of conflict. And tough talk and bluster may be the easy thing to do politically, but it’s not the right thing for our security. It is not the right thing for our security. (Applause.)
Now, this progress, and the potential it offers, reminds us of what is possible when the United States has the courage to lead -- not just with the force of arms, but with the strength of our diplomacy and our commitment to peace. That’s what keeps us strong. That’s what makes us a beacon to the world. That’s how I’ll continue to lead so long as I’m President of the United States.
And that spirit -- not just what we can criticize or tear down or be against, but what we can build together -- that’s what brings me here today. Because it’s long past time to fix our broken immigration system. (Applause.) We need to make sure Washington finishes what so many Americans just like you started. We’ve got to finish the job.
And it’s fitting that we’re here in Chinatown, just a few miles away from Angel Island. In the early 1900s, about 300,000 people -- maybe some of your ancestors -- passed through on their way to a new life in America. And for many, it represented the end of a long and arduous journey -- they’d finally arrived in a place where they believed anything was possible.
And for some, it also represented the beginning of a new struggle against prejudice in a country that didn’t always treat its immigrants fairly or afford them the same rights as everybody else. Obviously, Asians faced this, but so did the Irish; so did Italians; so did Jews; and many groups still do today.
That didn’t stop those brave men and women from coming. They were drawn by a belief in the power of opportunity; in a belief that says, maybe I never had a chance at a good education, but this is a place where my daughter can go to college. Maybe I started out washing dishes, but this is a place where my son can become mayor of San Francisco. (Applause.) Maybe I have to make sacrifices today, but those sacrifices are worth it if it means a better life for my family.
And that’s a family story that will be shared by millions of Americans around the table on Thursday. It’s the story that drew my great-great-great-great-grandfather from a small village in Ireland, and drew my father from a small village in Kenya. It’s the story that drew so many of your ancestors here -- that America is a place where you can make it if you try.
And here’s something interesting: Today, more than one in four residents born outside the United States came here from Asian countries -- many through our family immigration system. They’re doctors and business owners, laborers, refugees. This rec center’s namesake, Betty Ong, was a hero on 9/11. (Applause.) But she was also the daughter of immigrants who grew up not far from here. And we’re honored to have her family with us here today. (Applause.)
But too often when we talk about immigration, the debate focuses on our southern border. The fact is we’re blessed with immigrants from all over the world who’ve put down roots in every corner of this country. Here in San Francisco, 35 percent of business owners are immigrants -- and your economy is among the fastest growing in the country. That’s not an accident. That’s the impact that our talented, hardworking immigrants can have. That’s the difference they can make. They’re hungry and they’re striving and they’re working hard and they’re creating things that weren’t there before.
And that’s why it is long past time to reform an immigration system that right now doesn’t serve America as well as it should. We could be doing so much more to unleash our potential if we just fix this aspect of our system.
And I know out here in California that you watch the news and you share the country’s not very sunny view of Washington these days. For the last few months, you’ve seen a lot of headlines about gridlock and partisan bickering, and too often one faction of one party in one house of Congress has chosen courses of action that ended up harming our businesses, or our economy, or our workers. Or they want to refight old political battles rather than create jobs and grow the economy and strengthen the middle class, or take 40 more votes to undermine or repeal the Affordable Care Act -- (laughter) -- instead of passing a single serious jobs bill, despite the fact that Americans want us to focus on jobs and business and growth. And, by the way, thousands of Californians are signing up every day for new health care plans all across this state. (Applause.)
So even as we’re getting this darn website up to speed -- (laughter) -- and it's getting better -- states like California are proving the law works. People want the financial security of health insurance.
AUDIENCE MEMBER: Thanks to you!
THE PRESIDENT: And even if you’re already insured, reach out to a friend or neighbor who’s not and help them get covered.
But when it comes to immigration reform, we have to have the confidence to believe we can get this done. And we should get it done. And, by the way, most Americans agree. The only thing standing in our way right now is the unwillingness of certain Republicans in Congress to catch up with the rest of the country.
I met the other day with the CEOs of some of America's biggest companies. And I'm positive not all of them voted for me. (Laughter.) I'm pretty sure. (Laughter.) Maybe some of them, but definitely not all of them. But the thing they wanted to talk about, their top priority was the fact that we invite the brightest minds from around the world to study here -- many of them enrolled in the University of California system -- and then we don't invite them to stay. We end up sending them home to create new jobs and start new businesses someplace else. So we're training our own competition, rather than invite those incredibly talented young people, like Geetha, to stay here and start businesses and create jobs here.
I hear from folks who’ve been separated from their families for years because of green card backlogs who desperately want their loved ones to be able to join them here in America. I hear from young DREAMers who are Americans through and through in every way but on paper, and they just want a chance to study and serve and contribute to the nation that they love. (Applause.)
I talk to business owners who play by the rules, but get frustrated because they end up being undercut by those who exploit workers in a shadow economy -- aren't getting paid overtime, aren't required to meet the same obligations. And so those companies end up losing out on business.
Right now, I'm seeing brave advocates who have been fasting for two weeks in the shadow of the Capitol, sacrificing themselves in an effort to get Congress to act. And I want to say to Eliseo Medina, my friend from SEIU, and the other fasters who are there as we speak, I want them to know we hear you. We're with you. The whole country hears you.
And there are plenty of leaders –- Democrat and Republican –- who don’t think it’s fair that we’ve got 11 million people in this country, including more than a million from Asia, with no real way to come forward and get on the right side of the law. It’s not smart. It’s not fair. It doesn’t make sense. And we have kicked this particular can down the road long enough. Everybody knows it.
Now, the good news is we know what the solutions are. There is bipartisan hope of getting it done. This year, the Senate passed an immigration reform bill by a wide, bipartisan majority, and it addresses the key issues that need to be addressed. It would strengthen our borders. It would level the playing field by holding employers accountable if they knowingly hire undocumented workers. It would modernize our legal immigration system so that we eliminate the backlog of family visas and make it easier to attract highly skilled entrepreneurs from beyond our borders. It would make sure that everybody plays by the same rules by providing a pathway to earned citizenship for those who are living in the shadows –- a path that includes passing a background check, and learning English, and paying taxes and a penalty, and getting in line behind everyone trying to come here the right way.
And each of these pieces would go a long way towards fixing our broken immigration system. Each of them has been supported by Democrats and Republicans in the past. There’s no reason we can’t come together and get it done.
And what's more, we know the immigration reform that we're proposing would boost our economy and shrink our deficits. Independent economists have said that if the Senate bill became law, over the next two decades, our economy would grow by $1.4 trillion more, and it would reduce our deficits by $850 billion more.
And you don’t have to be an economist to figure out that workers will be more productive if they’ve got their families here with them, they're not worried about deportation, they're not living halfway around the world. This isn’t just the right thing to do -– it’s the smart thing to do.
Of course, just because something is smart, fair, good for the economy, and supported by business, labor, law enforcement and faith leaders -- (laughter) -- Democratic and Republican governors, including the Governor of this state –- just because all that is in place doesn’t mean we'll actually get it done, because this is Washington, after all, that we’re talking about and everything is looked through a political prism. And, look, let's be honest, some folks automatically think, well, if Obama’s for it, then I've got to be against it even if I was, before that, I was for it.
But I want to remind everybody, to his great credit, my Republican predecessor, President Bush, was for reform. He proposed reform like this almost a decade ago. I was in the Senate. I joined 23 Senate Republicans back then supporting reform. It's worth remembering that the Senate bill that just passed won more than a dozen Republican votes this past summer. And some of them even forget that I'm -- sometimes people forget I'm not running for office again. Michelle doesn’t forget. (Laughter and applause.) So you don’t have to worry about this somehow being good for me. This is good for the country. It's the right thing to do for the American people.
And I believe, ultimately -- not always in the short term -- but ultimately, good policy is good politics. Look at the polls right now, because the American people support immigration reform by a clear majority. Everybody wins if we get this done. So there's no reason we shouldn’t get immigration reform done right now. None. If there is a good reason I haven't heard it.
And, by the way, if there's a better plan out there than the one that Democrats and Republicans have already advanced together, if there are additional ideas that would make it even better, I’m always willing to listen to new ideas. My door is always open. But right now it’s up to Republicans in the House to decide if we can move forward as a country on this bill. If they don’t want to see it happen, they’ve got to explain why.
The good news is, just this past week Speaker Boehner said that he is “hopeful we can make progress” on immigration reform. And that is good news. I believe the Speaker is sincere. I think he genuinely wants to get it done. And that’s something we should be thankful for this week. And I think there are a number of other House Republicans who also want to get this done. Some of them are hesitant to do it in one big bill, like the Senate did. That’s okay. They can -- it’s Thanksgiving; we can carve that bird into multiple pieces. (Laughter.) A drumstick here -- (laughter) -- breast meat there. But as long as all the pieces get done -- soon -- and we actually deliver on the core values we’ve been talking about for so long, I think everybody is fine with it. They're not worried about the procedures. They just want the result.
But it’s going to require some courage. There are some members of the Republican caucus who think this is bad politics for them back home. And they're free to vote their conscience, but what I’ve said to the Speaker and others is, don't let a minority of folks block something that the country desperately needs. And we can’t leave this problem for another generation to solve. If we don’t tackle this now, then we’re undercutting our own future.
So my message to Congress is rather than create problems, let’s prove Washington can get something done. This is something that has broad-based support. We’ve been working on it for a decade now. This reform comes as close as we’ve gotten to something that will benefit everybody, now and for decades to come. And it has the potential to enrich this country in ways that we can’t even imagine.
And I’ll just give you one example to wrap up. Andrew Ly is here today. Where’s Andrew? He’s around here somewhere. There he is. Now, Andrew has got an amazing story. Andrew grew up in Vietnam, and he and his four brothers tried three times to flee to the United States. Obviously, the country was going through all kinds of difficulties. So three times, they tried; three times, they failed. On the fourth try, their boat –- filled with 140 refugees -- is that right, Andrew -– was attacked by pirates.
But the Lys and their family eventually made it to Malaysia, and then they eventually made it here to San Francisco. And they learned English, and they worked as handymen, and they worked as seamstresses. And eventually, Andrew and his brothers earned enough money to buy a small bakery. And they started making donuts, and they started selling them to Chinese restaurants. And with a lot of hard work and a little luck, the Sugar Bowl Bakery today is a $60 million business. (Applause.)
So these humble and striving immigrants from Vietnam now employ more than 300 Americans. They’re supplying pastries to Costco and Safeway, and almost every hotel and hospital in San Francisco. And I don't know if Andrew brought me any samples, but -- (laughter) -- they must be pretty good. (Laughter.)
And Andrew says, “We came here as boat people, so we don’t take things for granted. We know this is the best country in the world if you work hard.” That’s what America is about. This is the place where you can reach for something better if you work hard. This is the country our parents and our grandparents and waves of immigrants before them built for us. And it falls on each new generation to keep it that way. The Statue of Liberty doesn’t have its back to the world. The Statue of Liberty faces the world and raises its light to the world.
When Chinese immigrants came to this city in search of “Gold Mountain,” they weren’t looking just for physical riches. They were looking for freedom and opportunity. They knew that what makes us American is not a question of what we look like or what our names are -- because we look like the world. You got a President named Obama. (Laughter and applause.) What makes us American is our shared belief in certain enduring principles, our allegiance to a set of ideals, to a creed, to the enduring promise of this country.
And our shared responsibility is to leave this country more generous, more hopeful than we found it. And if we stay true to that history -- if we get immigration reform across the finish line -- and it is there just within our grasp, if we can just get folks in Washington to go ahead and do what needs to be done -- we’re going to grow our economy; we’re going to make our country more secure; we’ll strengthen our families; and most importantly, we will live --
AUDIENCE MEMBER: Mr. Obama --
THE PRESIDENT: -- most importantly, we will live up --
AUDIENCE MEMBER: -- my family has been separated for 19 months now --
THE PRESIDENT: -- most importantly, we will live up to our character as a nation.
AUDIENCE MEMBER: I’ve not seen my family. Our families are separated. I need your help. There are thousands of people --
THE PRESDIENT: That’s exactly what we’re talking about.
AUDIENCE MEMBER: -- are torn apart every single day.
THE PRESIDENT: That’s why we’re here.
AUDIENCE MEMBER: Mr. President, please use your executive order to halt deportations for all 11.5 undocumented immigrants in this country right now.
THE PRESIDENT: What we’re trying --
AUDIENCE MEMBER: Do you agree
AUDIENCE: Obama! Obama! Obama!
AUDIENCE MEMBER: -- that we need to pass comprehensive immigration reform at the same time we -- you have a power to stop deportation for all undocumented immigrants in this country.
THE PRESIDENT: Actually I don’t. And that’s why we’re here.
AUDIENCE MEMBER: So, please, I need your help.
THE PRESIDENT: Okay --
AUDIENCE MEMBER: Stop deportations!
AUDIENCE MEMBER: Stop deportations!
THE PRESIDENT: Thank you. All right.
AUDIENCE MEMBERS: Stop deportations! Stop deportations!
THE PRESIDENT: What I’d like to do -- no, no, don’t worry about it, guys. Okay, let me finish.
AUDIENCE MEMBERS: Stop deportations! Yes, we can! Stop deportations!
THE PRESIDENT: These guys don’t need to go. Let me finish. No, no, no, he can stay there. Hold on a second. (Applause.) Hold on a second.
So I respect the passion of these young people because they feel deeply about the concerns for their families. Now, what you need to know, when I’m speaking as President of the United States and I come to this community, is that if, in fact, I could solve all these problems without passing laws in Congress, then I would do so.
But we’re also a nation of laws. That’s part of our tradition. And so the easy way out is to try to yell and pretend like I can do something by violating our laws. And what I’m proposing is the harder path, which is to use our democratic processes to achieve the same goal that you want to achieve. But it won’t be as easy as just shouting. It requires us lobbying and getting it done. (Applause.)
So for those of you who are committed to getting this done, I am going to march with you and fight with you every step of the way to make sure that we are welcoming every striving, hardworking immigrant who sees America the same way we do -- as a country where no matter who you are or what you look like or where you come from, you can make it if you try.
And if you’re serious about making that happen, then I’m ready to work with you. (Applause.) But it is going to require work. It is not simply a matter of us just saying we’re going to violate the law. That’s not our tradition. The great thing about this country is we have this wonderful process of democracy, and sometimes it is messy, and sometimes it is hard, but ultimately, justice and truth win out. That’s always been the case in this country; that’s going to continue to be the case today. (Applause.)
Thank you very much, everybody. God bless you. God bless America. (Applause.)
END
U.S. DEFENSE DEPARTMENT CONTRACTS FOR NOVEMBER 25, 2013
FROM: U.S. DEFENSE DEPARTMENT
DEFENSE LOGISTICS AGENCY
Atlantic Diving Supply Inc.*, Virginia Beach, Va., (SPM8E3-14-D-0001); Noble Supply & Logistics**, Rockland, Mass., (SPM8E3-14-D-0002); and Theodore Wille Intertrade, Switzerland, (SPM8E3-14-D-0003) have been awarded a maximum $260,000,000 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for maintenance, repair and operations supplies for the Central Command area of responsibility. This is a two-year base contract with two 18-month option periods. This contract is a competitive acquisition, and 18 offers were received. Locations of performance are Virginia, Massachusetts, and Switzerland, with a Nov. 25, 2015 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Patterson Dental Supply Inc., Saint Paul, Minn., has been awarded a maximum $14,607,354 modification (P00009) exercising the fourth one-year option period on a one-year base contract (SPM2DE-10-D-7447) with four one-year option periods for distribution of a wide range of general dental supplies. This is a fixed-price with economic-price-adjustment contract. Location of performance is Minnesota with a Dec. 13, 2014 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
NAVY
Kings Bay Support Services, LLC, Baton Rouge, La., is being awarded a $37,741,080 modification under a previously awarded firm-fixed-price, indefinite-delivery/indefinite-quantity contract (N69450-11-D-7578) to exercise option two for base operations support services at Naval Submarine Base Kings Bay. The work to be performed provides for base operations support services including public safety, harbor security, security operations, supply, personnel support, facilities support, facility management/facility investment, other (swimming pools), pavement clearance, utilities, chiller, electrical, wastewater, steam, water, telecommunications, compressed air, base support vehicles and equipment, environmental, and vertical transportation equipment. The total contract amount after exercise of this option will be $109,668,695. Work will be performed in Kings Bay, Ga. (99 percent) and Shellman Bluff, Ga. (1 percent), and work is expected to be completed November 2014. Fiscal 2014 operation and maintenance, Navy; fiscal 2014 Navy working capital funds; fiscal 2014 Defense Health Program funds; and fiscal 2014 family housing operation and maintenance, Navy contract funds in the amount of $3,140,101 are obligated on this award and will not expire at the end of the current fiscal year. The Naval Facilities Engineering Command, Southeast, Jacksonville, Fla., is the contracting activity.
The Boeing Co., St. Louis, Mo., is being awarded a $37,338,608 modification to a delivery order 007302 issued previously against a basic ordering agreement (N00019-11-G-0001) for the procurement of retrofit kits in support of the F/A-18E/F and EA-18G Trailing Edge Flap engineering change proposal redesign, including 48 Trailing Edge Flap Redesign kits, 48 left hand units and 48 right hand units. Work will be performed in St. Louis, Mo., and is expected to be completed in July 2017. Fiscal 2014 aircraft procurement, Navy contract funds in the amount $37,338,608 will be obligated at time of award; none of which expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Raytheon Missile Systems, Tucson, Ariz., is being awarded a $15,940,631 modification to previously awarded contract (N00024-13-C-5403) for engineering and technical support services for the standard missile program. Work will be performed in Tucson, Ariz. (82.8 percent); Andover, Mass. (12.4 percent); Huntsville, Ala. (3.8 percent), and Camden, Ark. (1 percent), and is expected to be completed by November 2014. Fiscal 2012 weapons procurement, Navy contract funds in the amount of $9,590,000 will be obligated at the time of award, and will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
CACI Inc. - Federal, Chantilly, Va., is being awarded $8,436,370 for modification P00009 to previously awarded indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee, firm-fixed-price contract (N00189-12-D-Z001) to provide functional, technical professional, analytical, and administrative support services to NAVSUP in support of the Navy’s Enterprise Resource Planning (ERP) system. Taskings will include: sustainment support, working on Engineering Change Proposals, business process improvement evaluations, testing, and deployment of the Navy ERP Single Supply Solution release, and other Navy ERP initiatives. Services provided will include: participation on functional teams within the NAVSUP Enterprise Business Office, Navy ERP program, Navy, and Department of Defense; assisting the Navy in resolving issues pertaining to Navy ERP, as well as, cross service, and existing Navy business processes by providing functional expertise in Navy business processes; technical and functional architecture support; training development and execution support. Work will be performed in Mechanicsburg, Pa. (60 percent); Philadelphia, Pa. (15 percent); Norfolk, Va. (15 percent); and San Diego, Calif. (10 percent), and is expected to be completed by Nov. 30, 2014. With the exercise of this option, the total value of the contract is increased from $27,104,747 to $35,541,117. No funding will be obligated with the exercise of the option. No funds will expire before the end of the current fiscal year. The requirement was competitively procured through full and open competition and solicited via the Navy Electronic Commerce on Line website, with two offers received in response to this solicitation. The NAVSUP Fleet Logistics Center Norfolk, Contracting Department, Philadelphia Office, Philadelphia, Pa., is the contracting activity.
Raytheon Integrated Defense Systems, Largo Fla., is being awarded a $7,097,447 modification to previously awarded contract (N00024-13-C-5212) to exercise options for Cooperative Engagement Capability (CEC) engineering services. CEC is a sensor netting system that significantly improves battle force anti-air warfare capability by extracting and distributing sensor-derived information such that the superset of this data is available to all participating CEC units. CEC improves battle force effectiveness by improving overall situational awareness and by enabling longer range, cooperative, multiple, or layered engagement strategies. Work will be performed in St. Petersburg, Fla., and is expected to be completed by September 2014. Fiscal 2013 Army research, development, test and evaluation; fiscal 2013 research, development, test and evaluation; fiscal 2014 operations and maintenance, Navy; fiscal 2012 other procurement, Navy; and fiscal 2005, 2009, 2012 and 2013 shipbuilding and conversion, Navy funding in the amount of $1,984,786 will be obligated at time of award. Contract funds in the amount of $371,638 funds will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington D.C., is the contracting activity.
ARMY
Y-Tech Services Inc.*, Alaska was awarded a $15,625,895 multi-year, cost-plus-fixed-fee contract for aviation maintenance services in support of the Aviation Flight Test Directorate at the Redstone Test Center. This is a base year with a four one-year options contract. Fiscal 2014 research, development, test and evaluation funds in the amount of $23,460 were obligated at the time of the award. Estimated completion date is Jan. 31, 2019. Bids were solicited via the Internet with seven received. Work location will be Redstone Arsenal, Ala. Army Contracting Command, Redstone Arsenal (Aviation) Ala., is the contracting agency (W58RGZ-14-C-0007).
General Dynamics Land Systems, Sterling Heights, Mich., was awarded a $28,200,000 cost-plus-incentive-fee contract for Phase II of the Engineering Change Proposal Upgrade program. Technical upgrades to be performed include improved automotive and electrical power generation, chassis upgrades and improved in vehicle network capabilities. Fiscal 2014 research, development, test and evaluation funds were obligated at the time of the award. Estimated completion date is Nov. 26, 2018. Bids were solicited via the Internet with one received. Work location will be Sterling Heights, Mich. Army Contracting Command (Tank and Automotive) Warren, Mich., is the contracting agency (W56HZV-14C-B019).
*Small Business
**Woman Owned Small Business
DEFENSE LOGISTICS AGENCY
Atlantic Diving Supply Inc.*, Virginia Beach, Va., (SPM8E3-14-D-0001); Noble Supply & Logistics**, Rockland, Mass., (SPM8E3-14-D-0002); and Theodore Wille Intertrade, Switzerland, (SPM8E3-14-D-0003) have been awarded a maximum $260,000,000 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for maintenance, repair and operations supplies for the Central Command area of responsibility. This is a two-year base contract with two 18-month option periods. This contract is a competitive acquisition, and 18 offers were received. Locations of performance are Virginia, Massachusetts, and Switzerland, with a Nov. 25, 2015 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Patterson Dental Supply Inc., Saint Paul, Minn., has been awarded a maximum $14,607,354 modification (P00009) exercising the fourth one-year option period on a one-year base contract (SPM2DE-10-D-7447) with four one-year option periods for distribution of a wide range of general dental supplies. This is a fixed-price with economic-price-adjustment contract. Location of performance is Minnesota with a Dec. 13, 2014 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
NAVY
Kings Bay Support Services, LLC, Baton Rouge, La., is being awarded a $37,741,080 modification under a previously awarded firm-fixed-price, indefinite-delivery/indefinite-quantity contract (N69450-11-D-7578) to exercise option two for base operations support services at Naval Submarine Base Kings Bay. The work to be performed provides for base operations support services including public safety, harbor security, security operations, supply, personnel support, facilities support, facility management/facility investment, other (swimming pools), pavement clearance, utilities, chiller, electrical, wastewater, steam, water, telecommunications, compressed air, base support vehicles and equipment, environmental, and vertical transportation equipment. The total contract amount after exercise of this option will be $109,668,695. Work will be performed in Kings Bay, Ga. (99 percent) and Shellman Bluff, Ga. (1 percent), and work is expected to be completed November 2014. Fiscal 2014 operation and maintenance, Navy; fiscal 2014 Navy working capital funds; fiscal 2014 Defense Health Program funds; and fiscal 2014 family housing operation and maintenance, Navy contract funds in the amount of $3,140,101 are obligated on this award and will not expire at the end of the current fiscal year. The Naval Facilities Engineering Command, Southeast, Jacksonville, Fla., is the contracting activity.
The Boeing Co., St. Louis, Mo., is being awarded a $37,338,608 modification to a delivery order 007302 issued previously against a basic ordering agreement (N00019-11-G-0001) for the procurement of retrofit kits in support of the F/A-18E/F and EA-18G Trailing Edge Flap engineering change proposal redesign, including 48 Trailing Edge Flap Redesign kits, 48 left hand units and 48 right hand units. Work will be performed in St. Louis, Mo., and is expected to be completed in July 2017. Fiscal 2014 aircraft procurement, Navy contract funds in the amount $37,338,608 will be obligated at time of award; none of which expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Raytheon Missile Systems, Tucson, Ariz., is being awarded a $15,940,631 modification to previously awarded contract (N00024-13-C-5403) for engineering and technical support services for the standard missile program. Work will be performed in Tucson, Ariz. (82.8 percent); Andover, Mass. (12.4 percent); Huntsville, Ala. (3.8 percent), and Camden, Ark. (1 percent), and is expected to be completed by November 2014. Fiscal 2012 weapons procurement, Navy contract funds in the amount of $9,590,000 will be obligated at the time of award, and will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
CACI Inc. - Federal, Chantilly, Va., is being awarded $8,436,370 for modification P00009 to previously awarded indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee, firm-fixed-price contract (N00189-12-D-Z001) to provide functional, technical professional, analytical, and administrative support services to NAVSUP in support of the Navy’s Enterprise Resource Planning (ERP) system. Taskings will include: sustainment support, working on Engineering Change Proposals, business process improvement evaluations, testing, and deployment of the Navy ERP Single Supply Solution release, and other Navy ERP initiatives. Services provided will include: participation on functional teams within the NAVSUP Enterprise Business Office, Navy ERP program, Navy, and Department of Defense; assisting the Navy in resolving issues pertaining to Navy ERP, as well as, cross service, and existing Navy business processes by providing functional expertise in Navy business processes; technical and functional architecture support; training development and execution support. Work will be performed in Mechanicsburg, Pa. (60 percent); Philadelphia, Pa. (15 percent); Norfolk, Va. (15 percent); and San Diego, Calif. (10 percent), and is expected to be completed by Nov. 30, 2014. With the exercise of this option, the total value of the contract is increased from $27,104,747 to $35,541,117. No funding will be obligated with the exercise of the option. No funds will expire before the end of the current fiscal year. The requirement was competitively procured through full and open competition and solicited via the Navy Electronic Commerce on Line website, with two offers received in response to this solicitation. The NAVSUP Fleet Logistics Center Norfolk, Contracting Department, Philadelphia Office, Philadelphia, Pa., is the contracting activity.
Raytheon Integrated Defense Systems, Largo Fla., is being awarded a $7,097,447 modification to previously awarded contract (N00024-13-C-5212) to exercise options for Cooperative Engagement Capability (CEC) engineering services. CEC is a sensor netting system that significantly improves battle force anti-air warfare capability by extracting and distributing sensor-derived information such that the superset of this data is available to all participating CEC units. CEC improves battle force effectiveness by improving overall situational awareness and by enabling longer range, cooperative, multiple, or layered engagement strategies. Work will be performed in St. Petersburg, Fla., and is expected to be completed by September 2014. Fiscal 2013 Army research, development, test and evaluation; fiscal 2013 research, development, test and evaluation; fiscal 2014 operations and maintenance, Navy; fiscal 2012 other procurement, Navy; and fiscal 2005, 2009, 2012 and 2013 shipbuilding and conversion, Navy funding in the amount of $1,984,786 will be obligated at time of award. Contract funds in the amount of $371,638 funds will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington D.C., is the contracting activity.
ARMY
Y-Tech Services Inc.*, Alaska was awarded a $15,625,895 multi-year, cost-plus-fixed-fee contract for aviation maintenance services in support of the Aviation Flight Test Directorate at the Redstone Test Center. This is a base year with a four one-year options contract. Fiscal 2014 research, development, test and evaluation funds in the amount of $23,460 were obligated at the time of the award. Estimated completion date is Jan. 31, 2019. Bids were solicited via the Internet with seven received. Work location will be Redstone Arsenal, Ala. Army Contracting Command, Redstone Arsenal (Aviation) Ala., is the contracting agency (W58RGZ-14-C-0007).
General Dynamics Land Systems, Sterling Heights, Mich., was awarded a $28,200,000 cost-plus-incentive-fee contract for Phase II of the Engineering Change Proposal Upgrade program. Technical upgrades to be performed include improved automotive and electrical power generation, chassis upgrades and improved in vehicle network capabilities. Fiscal 2014 research, development, test and evaluation funds were obligated at the time of the award. Estimated completion date is Nov. 26, 2018. Bids were solicited via the Internet with one received. Work location will be Sterling Heights, Mich. Army Contracting Command (Tank and Automotive) Warren, Mich., is the contracting agency (W56HZV-14C-B019).
*Small Business
**Woman Owned Small Business
REMARKS BY SPECIAL REPRESENTATIVE DAVIES ON NORTH KOREA
FROM: U.S. STATE DEPARTMENT
Remarks to Press at Ministry of Foreign Affairs
Remarks
Glyn Davies
Special Representative for North Korea Policy
Tokyo, Japan
November 25, 2013
AMBASSADOR DAVIES: What I would like to do very much – first of all, let me thank you all for coming out. I appreciate that very much. I would like to say something at the beginning since it’s been a long visit here to North Asia and I’ve had good talks in Tokyo. First of all, I want to thank Director General Ihara and Assistant Chief Cabinet Secretary Kanehara for giving me so much time today here in Tokyo. We had very in-depth and useful talks, and I believe that our visit here today and the talks I’ve had in Tokyo today demonstrate our close collaboration on North Korea.
We talked of course about the nuclear issue. Japan and the United States are in complete agreement, complete sync about that. We also talked about North Korean human rights – we’ll do more of that in a minute at lunch – and touched on the abductions issue. And we’ll again have more to say about that at lunch. I want to reiterate again, as I always do here in Tokyo, about how we in the United States share the pain and the suffering of abductee families and the Japanese people and pledge once again that we will work tirelessly in cooperation with Japan to try to resolve this important matter.
But as I wrap up a very productive week in the three key North Asian capitals – Beijing, Seoul, and Tokyo – I want to report a strong convergence of views on North Korea. All of us are in quite close alignment, and I believe Russia, an essential partner in the Six-Party process, agrees that we will not accept North Korea as a nuclear weapons state. There are of course some differences among the five – but not at all among the three allies, who are in complete solidarity – but some differences over secondary issues such as the precise threshold or timing of talks, but there is unanimity on what North Korea must do: North Korea must abandon its nuclear weapons and agree to begin that process.
So we are looking for concrete indications from Pyongyang of its commitment to do that. This is because the core purpose of the Six-Party process is the complete, verifiable denuclearization of the Korean Peninsula on a clear and quick timetable.
North Korea, however, is moving in the opposite direction. They have made clear through words and actions that they reject that premise. We have heard them say repeatedly that instead they demand acceptance as a nuclear weapons state, that they demand prior lifting of sanctions, that they demand a weakening of the U.S.-ROK alliance, which has kept the peace on the Korean Peninsula now for 60 years. I’ve spoken – I did so in Beijing – about North Korea’s “Byungjin” policy of prioritizing nuclear weapons development, which I call a dead end.
I also want to underscore that Pyongyang’s attempts to engage in dialogue while keeping its program running are completely unacceptable. So it’s understandable, we believe, after so many broken promises, after the nuclear and missile tests, the threats against its neighbors and the United States, that not just its negotiating partners in the Six-Party process, but the international community writ large would have high standards of evidence to measure North Korean intentions.
That’s why the United States and its allies call on North Korea to make convincing indications, take concrete steps to demonstrate its seriousness of purpose. We will continue this process of joining with our partners – especially China, given its unique role – to keep the onus for action on North Korea.
With that, I’m very happy to take any questions that you have.
QUESTION: Could you be more specific about what is the concrete step you want North Korea to take?
AMBASSADOR DAVIES: Well, this is now a matter of diplomatic discussion among the diplomatic partners in the five-party process, so I don’t want to go into a great deal of detail now. We’re talking about this between governments. We commend China for its tireless efforts to try to move forward on this discussion of what the appropriate threshold for Six-Party Talks would look like. My friend and colleague Ambassador Wu Dawei was just in Washington, some weeks ago, and we had the opportunity there to talk about it, and of course I followed up in Beijing on that same subject. And of course the discussions we had in Washington with separately the ROK and Japan, and then we had a trilateral session, and then again out here in the region – all are meant to define to our collective satisfaction what the threshold for talks should look like. So with your permission I do not plan at this stage to go into a great deal of detail about it.
The North Koreans know full well the kinds of things that we are looking for and talking about. We’ve been at this diplomacy now for a generation, through bilateral talks, trilateral talks, quadrilateral talks and Six-Party Talks, and we’ll keep it up.
QUESTION: Ambassador Davies, what is the U.S. currently doing to pull its citizen out of North Korea, and did you discuss it with the allies?
AMBASSADOR DAVIES: Of course. This issue of the fate of American citizens who are in North Korean custody is one that we’ve raised – that I’ve raised at each stop, but particularly in Beijing, given their relationship with North Korea. I’m not going to get into, again, the specific discussion of the measures that we’re taking, but I will use this occasion to once again call on North Korea to make the right decision and to respect our concerns and let American citizens who are there go free. I also want to commend our Swedish protecting power. The Government of Sweden has been magnificent in trying every day to work on these issues in Pyongyang with the North Korean government, and that is very important. It is very important to us that this be resolved, that it be resolved quickly.
QUESTION: There have been reports that it is Mr. Newman who has been detained. Can you confirm that identity?
AMBASSADOR DAVIES: I’m not at liberty to do that. We have a law that we take very seriously in the United States called the Privacy Act, and because there is no signed Privacy Act waiver, I’m not in position to speak specifically about that issue, out of respect for the law.
QUESTION: Ambassador, your opening remark was very strong, and it comes obviously after the deal with Iran. Is the United States ready to deepen the sanctions, to make the sanctions more strict, to make them more effective?
AMBASSADOR DAVIES: Well, look, I’m glad you raised that. I actually – since I knew you’d raise the issue of Iran, and this gives me an occasion to talk about it, so let me say some general things about that, since I know it’s the topic of the moment. Other than the nuclear denominator, the cases could not be more different, frankly, between Iran and North Korea. The two states, simply put, are on opposite sides of the nuclear weapons divide. I would point you to the remarks just made by Secretary of State Kerry. He pointed out that there is the very significant difference on the treaty on the non-proliferation of nuclear weapons that, as I think many of you know, North Korea is the only nation on earth to have first signed that treaty and then renounced its signature. Iran is a signatory of the non-proliferation treaty. Also North Korea has said repeatedly, with increasing frequency, has asserted that it is a nuclear weapons state. They have now placed provisions in their constitution to enshrine that. They’ve sought acceptance as a nuclear weapons state. Iran in contrast has pledged not to build nuclear weapons.
But the starkest contrast of all – and I think this is the most important point to make – is that in the 21st century, North Korea is the only nation on earth that has exploded nuclear devices. They’ve done it not once, not twice, but three times.
There are other differences between the two cases. North Korea walked away from its membership in the International Atomic Energy Agency in Vienna, the agency where I spent several years representing the United States, that is now under the direction of Director General Yukiya Amano. Iran is and has always been a very active and engaged member of the IAEA although we have often had differences with them in the past. I would also remind that I’ve alluded to this before, that North Korea has elevated the pursuit of nuclear weapons to one of its two strategic priorities in its “Byungjin” policy that I spoke to a minute ago.
One way the cases are similar – and I think this is very important – is that pressure, particularly in the form of sanctions, do play a critical role. Sanctions helped convince Iran to agree to this interim deal that’s just been announced. We believe sanctions and pressure are key to sharpening the choices that Pyongyang faces. So given North Korea’s continued flouting of its international obligations and international law, given its testing of nuclear devices, given its repeated threats of nuclear attack, its elevation of its nuclear weapons program pursuit to its highest national priority, we will continue to keep pressure on North Korea, to keep the screws to North Korea.
But it’s pressure not for its own sake; it’s pressure with a purpose, and this is important because what we seek is a negotiated, diplomatic solution to this long-running problem. Here we believe we are making progress with our partners to define an appropriate threshold for resumed multilateral talks, and we will keep that up.
QUESTION: There have been many rumors that the two countries, Iran and North Korea, have been cooperating on nuclear programs. How do you address these concerns?
AMBASSADOR DAVIES: Well, proliferation is a concern. It’s a big concern, and it’s something that we work on every day and about which we have conversations with our partners. I’m not going to get into what we do or don’t know about the state of affairs between North Korea and Iran. That would dip into intelligence matters which I can’t comment on, but this issue of proliferation of the spread of nuclear technologies, in particular from North Korea, remains an area of key concern to us, and of vigorous action.
QUESTION: Ambassador, regarding the sanctions, are you suggesting that we don’t have the right level or the right mix as we stand?
AMBASSADOR DAVIES: Sanctions are always a work in progress. I mean, I think that there are always more sanctions we could put in place if needed. But what I want to put the emphasis on here is what I said at the end of my earlier remarks, that we want the sanctions to help clarify for Pyongyang the choices that they face. If they continue to defy the international community, pursue nuclear weapons and missile technologies, all they will do is continue to isolate themselves, quite frankly to impoverish their people, to keep North Korea outside the community of nations. So we’re saying to North Korea – and we’re doing this increasingly with one voice across not just the six parties, not just the northeast Asian region, but across the world – take a different approach; take a different decision; come in the direction of the concerns of the international community; give up your nuclear weapons; pledge to eliminate your nuclear program; stop this relentless pursuit of these technologies; stop threatening the outside world, testing weapons and declaring yourself at odds with the international community.
If you do that, there is hope going forward for diplomacy, but we’ve seen just the opposite. I’ve detailed that. I won’t go back into that. And that’s why we’re so concerned, that North Korea seems uninterested in meeting the concerns of the international community, and that’s where pressure and sanctions come into play. And so we will keep the pressure on North Korea, and if necessary if they cannot in the near term go in a different direction, we’ll have to ramp up that pressure in order to continue to try to bring home to them that this is a mistake, it’s not in their interest, and that if they wish a better relationship with the United States, their neighbors in the world, they have to give up the nuclear weapons.
QUESTION: What is the latest (inaudible)?
AMBASSADOR DAVIES: I’ve talked about this before. I actually talked about it at length in Beijing, and I don’t want to really repeat myself. What I said was that it remains a matter of some wonderment that they haven’t understood that if, as they say, they want a better relationship with the United States, one thing they could do is release these Americans and answer our calls to take seriously our concerns about the fate of those being held there. And you know Kenneth Bae has been there for over a year. He’s been in North Korean custody longer than any American in quite a while. His family is understandably concerned. We talk to them frequently. They are keeping their hope up, and I believe that’s the case with the family of the other individual concerned. And we want them to know that we’re with them, and we’re doing everything we can to convince North Korea to let these men go.
QUESTION: The current level of sanctions hasn’t quite persuaded North Korea to think as you suggested. Is it time for a different tactic?
AMBASSADOR DAVIES: Well, that time will come soon, but we’re not there yet. There’s still room for diplomacy. We’d like to get something going here, and that’s why the pace of diplomacy has increased, to see if we can’t agree on an appropriate threshold for Six-Party Talks. But at the same time, we keep up our pressure. We keep up our sanctions, and if we do not see signs of North Korean sincerity, if they do not act to demonstrate that they understand they must fulfill their obligations to give up their nuclear weapons, then there is more pressure that will be brought to bear on them.
QUESTION: Did you give them a deadline?
AMBASSADOR DAVIES: You know, I’m not in the business of giving deadlines. I’m not going to do that. Let me – if there’s one more question, I’m happy to take it, but I’ve been invited to lunch by Director General Ihara, and I would not like to be rude. I want to show up for that lunch, so any other questions here? No? Excellent. Thank you very much for coming here and listening to me. I really appreciate it. I look forward to seeing many of you in the near future either in Washington or back here in Tokyo. Thanks again. All the best.
Remarks to Press at Ministry of Foreign Affairs
Remarks
Glyn Davies
Special Representative for North Korea Policy
Tokyo, Japan
November 25, 2013
AMBASSADOR DAVIES: What I would like to do very much – first of all, let me thank you all for coming out. I appreciate that very much. I would like to say something at the beginning since it’s been a long visit here to North Asia and I’ve had good talks in Tokyo. First of all, I want to thank Director General Ihara and Assistant Chief Cabinet Secretary Kanehara for giving me so much time today here in Tokyo. We had very in-depth and useful talks, and I believe that our visit here today and the talks I’ve had in Tokyo today demonstrate our close collaboration on North Korea.
We talked of course about the nuclear issue. Japan and the United States are in complete agreement, complete sync about that. We also talked about North Korean human rights – we’ll do more of that in a minute at lunch – and touched on the abductions issue. And we’ll again have more to say about that at lunch. I want to reiterate again, as I always do here in Tokyo, about how we in the United States share the pain and the suffering of abductee families and the Japanese people and pledge once again that we will work tirelessly in cooperation with Japan to try to resolve this important matter.
But as I wrap up a very productive week in the three key North Asian capitals – Beijing, Seoul, and Tokyo – I want to report a strong convergence of views on North Korea. All of us are in quite close alignment, and I believe Russia, an essential partner in the Six-Party process, agrees that we will not accept North Korea as a nuclear weapons state. There are of course some differences among the five – but not at all among the three allies, who are in complete solidarity – but some differences over secondary issues such as the precise threshold or timing of talks, but there is unanimity on what North Korea must do: North Korea must abandon its nuclear weapons and agree to begin that process.
So we are looking for concrete indications from Pyongyang of its commitment to do that. This is because the core purpose of the Six-Party process is the complete, verifiable denuclearization of the Korean Peninsula on a clear and quick timetable.
North Korea, however, is moving in the opposite direction. They have made clear through words and actions that they reject that premise. We have heard them say repeatedly that instead they demand acceptance as a nuclear weapons state, that they demand prior lifting of sanctions, that they demand a weakening of the U.S.-ROK alliance, which has kept the peace on the Korean Peninsula now for 60 years. I’ve spoken – I did so in Beijing – about North Korea’s “Byungjin” policy of prioritizing nuclear weapons development, which I call a dead end.
I also want to underscore that Pyongyang’s attempts to engage in dialogue while keeping its program running are completely unacceptable. So it’s understandable, we believe, after so many broken promises, after the nuclear and missile tests, the threats against its neighbors and the United States, that not just its negotiating partners in the Six-Party process, but the international community writ large would have high standards of evidence to measure North Korean intentions.
That’s why the United States and its allies call on North Korea to make convincing indications, take concrete steps to demonstrate its seriousness of purpose. We will continue this process of joining with our partners – especially China, given its unique role – to keep the onus for action on North Korea.
With that, I’m very happy to take any questions that you have.
QUESTION: Could you be more specific about what is the concrete step you want North Korea to take?
AMBASSADOR DAVIES: Well, this is now a matter of diplomatic discussion among the diplomatic partners in the five-party process, so I don’t want to go into a great deal of detail now. We’re talking about this between governments. We commend China for its tireless efforts to try to move forward on this discussion of what the appropriate threshold for Six-Party Talks would look like. My friend and colleague Ambassador Wu Dawei was just in Washington, some weeks ago, and we had the opportunity there to talk about it, and of course I followed up in Beijing on that same subject. And of course the discussions we had in Washington with separately the ROK and Japan, and then we had a trilateral session, and then again out here in the region – all are meant to define to our collective satisfaction what the threshold for talks should look like. So with your permission I do not plan at this stage to go into a great deal of detail about it.
The North Koreans know full well the kinds of things that we are looking for and talking about. We’ve been at this diplomacy now for a generation, through bilateral talks, trilateral talks, quadrilateral talks and Six-Party Talks, and we’ll keep it up.
QUESTION: Ambassador Davies, what is the U.S. currently doing to pull its citizen out of North Korea, and did you discuss it with the allies?
AMBASSADOR DAVIES: Of course. This issue of the fate of American citizens who are in North Korean custody is one that we’ve raised – that I’ve raised at each stop, but particularly in Beijing, given their relationship with North Korea. I’m not going to get into, again, the specific discussion of the measures that we’re taking, but I will use this occasion to once again call on North Korea to make the right decision and to respect our concerns and let American citizens who are there go free. I also want to commend our Swedish protecting power. The Government of Sweden has been magnificent in trying every day to work on these issues in Pyongyang with the North Korean government, and that is very important. It is very important to us that this be resolved, that it be resolved quickly.
QUESTION: There have been reports that it is Mr. Newman who has been detained. Can you confirm that identity?
AMBASSADOR DAVIES: I’m not at liberty to do that. We have a law that we take very seriously in the United States called the Privacy Act, and because there is no signed Privacy Act waiver, I’m not in position to speak specifically about that issue, out of respect for the law.
QUESTION: Ambassador, your opening remark was very strong, and it comes obviously after the deal with Iran. Is the United States ready to deepen the sanctions, to make the sanctions more strict, to make them more effective?
AMBASSADOR DAVIES: Well, look, I’m glad you raised that. I actually – since I knew you’d raise the issue of Iran, and this gives me an occasion to talk about it, so let me say some general things about that, since I know it’s the topic of the moment. Other than the nuclear denominator, the cases could not be more different, frankly, between Iran and North Korea. The two states, simply put, are on opposite sides of the nuclear weapons divide. I would point you to the remarks just made by Secretary of State Kerry. He pointed out that there is the very significant difference on the treaty on the non-proliferation of nuclear weapons that, as I think many of you know, North Korea is the only nation on earth to have first signed that treaty and then renounced its signature. Iran is a signatory of the non-proliferation treaty. Also North Korea has said repeatedly, with increasing frequency, has asserted that it is a nuclear weapons state. They have now placed provisions in their constitution to enshrine that. They’ve sought acceptance as a nuclear weapons state. Iran in contrast has pledged not to build nuclear weapons.
But the starkest contrast of all – and I think this is the most important point to make – is that in the 21st century, North Korea is the only nation on earth that has exploded nuclear devices. They’ve done it not once, not twice, but three times.
There are other differences between the two cases. North Korea walked away from its membership in the International Atomic Energy Agency in Vienna, the agency where I spent several years representing the United States, that is now under the direction of Director General Yukiya Amano. Iran is and has always been a very active and engaged member of the IAEA although we have often had differences with them in the past. I would also remind that I’ve alluded to this before, that North Korea has elevated the pursuit of nuclear weapons to one of its two strategic priorities in its “Byungjin” policy that I spoke to a minute ago.
One way the cases are similar – and I think this is very important – is that pressure, particularly in the form of sanctions, do play a critical role. Sanctions helped convince Iran to agree to this interim deal that’s just been announced. We believe sanctions and pressure are key to sharpening the choices that Pyongyang faces. So given North Korea’s continued flouting of its international obligations and international law, given its testing of nuclear devices, given its repeated threats of nuclear attack, its elevation of its nuclear weapons program pursuit to its highest national priority, we will continue to keep pressure on North Korea, to keep the screws to North Korea.
But it’s pressure not for its own sake; it’s pressure with a purpose, and this is important because what we seek is a negotiated, diplomatic solution to this long-running problem. Here we believe we are making progress with our partners to define an appropriate threshold for resumed multilateral talks, and we will keep that up.
QUESTION: There have been many rumors that the two countries, Iran and North Korea, have been cooperating on nuclear programs. How do you address these concerns?
AMBASSADOR DAVIES: Well, proliferation is a concern. It’s a big concern, and it’s something that we work on every day and about which we have conversations with our partners. I’m not going to get into what we do or don’t know about the state of affairs between North Korea and Iran. That would dip into intelligence matters which I can’t comment on, but this issue of proliferation of the spread of nuclear technologies, in particular from North Korea, remains an area of key concern to us, and of vigorous action.
QUESTION: Ambassador, regarding the sanctions, are you suggesting that we don’t have the right level or the right mix as we stand?
AMBASSADOR DAVIES: Sanctions are always a work in progress. I mean, I think that there are always more sanctions we could put in place if needed. But what I want to put the emphasis on here is what I said at the end of my earlier remarks, that we want the sanctions to help clarify for Pyongyang the choices that they face. If they continue to defy the international community, pursue nuclear weapons and missile technologies, all they will do is continue to isolate themselves, quite frankly to impoverish their people, to keep North Korea outside the community of nations. So we’re saying to North Korea – and we’re doing this increasingly with one voice across not just the six parties, not just the northeast Asian region, but across the world – take a different approach; take a different decision; come in the direction of the concerns of the international community; give up your nuclear weapons; pledge to eliminate your nuclear program; stop this relentless pursuit of these technologies; stop threatening the outside world, testing weapons and declaring yourself at odds with the international community.
If you do that, there is hope going forward for diplomacy, but we’ve seen just the opposite. I’ve detailed that. I won’t go back into that. And that’s why we’re so concerned, that North Korea seems uninterested in meeting the concerns of the international community, and that’s where pressure and sanctions come into play. And so we will keep the pressure on North Korea, and if necessary if they cannot in the near term go in a different direction, we’ll have to ramp up that pressure in order to continue to try to bring home to them that this is a mistake, it’s not in their interest, and that if they wish a better relationship with the United States, their neighbors in the world, they have to give up the nuclear weapons.
QUESTION: What is the latest (inaudible)?
AMBASSADOR DAVIES: I’ve talked about this before. I actually talked about it at length in Beijing, and I don’t want to really repeat myself. What I said was that it remains a matter of some wonderment that they haven’t understood that if, as they say, they want a better relationship with the United States, one thing they could do is release these Americans and answer our calls to take seriously our concerns about the fate of those being held there. And you know Kenneth Bae has been there for over a year. He’s been in North Korean custody longer than any American in quite a while. His family is understandably concerned. We talk to them frequently. They are keeping their hope up, and I believe that’s the case with the family of the other individual concerned. And we want them to know that we’re with them, and we’re doing everything we can to convince North Korea to let these men go.
QUESTION: The current level of sanctions hasn’t quite persuaded North Korea to think as you suggested. Is it time for a different tactic?
AMBASSADOR DAVIES: Well, that time will come soon, but we’re not there yet. There’s still room for diplomacy. We’d like to get something going here, and that’s why the pace of diplomacy has increased, to see if we can’t agree on an appropriate threshold for Six-Party Talks. But at the same time, we keep up our pressure. We keep up our sanctions, and if we do not see signs of North Korean sincerity, if they do not act to demonstrate that they understand they must fulfill their obligations to give up their nuclear weapons, then there is more pressure that will be brought to bear on them.
QUESTION: Did you give them a deadline?
AMBASSADOR DAVIES: You know, I’m not in the business of giving deadlines. I’m not going to do that. Let me – if there’s one more question, I’m happy to take it, but I’ve been invited to lunch by Director General Ihara, and I would not like to be rude. I want to show up for that lunch, so any other questions here? No? Excellent. Thank you very much for coming here and listening to me. I really appreciate it. I look forward to seeing many of you in the near future either in Washington or back here in Tokyo. Thanks again. All the best.
PRESIDENT OBAMA'S REMARKS AT DCCC EVENT IN SEATTLE, WASHINGTON
FROM: THE WHITE HOUSE
November 25, 2013
Remarks by the President at DCCC Event -- Seattle, WA
Private Residence
Seattle, Washington
7:24 P.M. PST
THE PRESIDENT: Thank you! Thank you, guys. (Applause.) Sit down. You already did that. Thank you. Thank you, everybody. Have a seat. Have a seat.
Well, first of all, let me just thank Jon for the second time for his incredible hospitality. And I think it’s fair to say that between Nancy and me and Steve Israel, we do a lot of events. I will say that this particular space is one of the more spectacular venues for an event. (Applause.) And we couldn’t have a more gracious host. The only problem when I come to Jon’s house is I want to just kind of roam around and check stuff out, and instead I’ve got to talk. (Laughter.) But Jon, thank you for your friendship. We’ve very grateful.
A few other people I want to acknowledge. First of all, our once Speaker and soon to be Speaker again, Nancy Pelosi. We are thrilled to be with her. (Applause.) Someone who has an incredibly thankless job, but does it with energy and wisdom -- and I was going to say joy, but I’m not, I don’t want to kind of overdo it -- (laughter) -- but is doing an outstanding job -- Steve Israel, who is heading up the DCCC. Thank you so much, Steve, for the great job that you’re doing. (Applause.)
We’ve got some outstanding members of Congress here. Congressman Rick Larsen is here. Where’s Rick? There he is.(Applause.) Congresswoman Suzan DelBene is here. (Applause.) Congressman Derek Kilmer is here. Where’s Derek? There he is -- (applause) -- who just informed me that his four-year-old at the Christmas party is going to sing me at least one patriotic song. (Laughter.) And I’m very excited about this. She has a repertoire of five songs, and we’re trying to hone in on what one song she is going to do.
And you’ve got a former outstanding member of Congress, who now is doing a great job as the Governor of this great state -- Governor Jay Inslee is here. (Applause.) And Trudi, who’s keeping him in line at all times. (Applause.) And I want to thank John Frank, who also spent a lot of time on this event. Thank you so much. (Applause.)
Now, the great thing about these kinds of events is I spend most of my time in a conversation with you, as opposed to just making a long speech. Let me make a couple of observations. Number one, Jay claims he arranged it, but when we landed, we were flying over Mt. Rainier -- pulled into the airport, came off the plane, and the sunset was lighting the mountain. And it was spectacular, and reminded me of why it is that I love the Pacific Northwest so much.
Now, part of it -- I was saying to somebody, part of it may also be that I always feel the spirit of my mom here, because I graduated from Mercer Island High. (Applause.) But you guys have got a good thing going here, and it’s not just the Seahawks. I just want to make that point. (Applause.)
Point number two, obviously, there are such enormous challenges that we face all across this country and internationally, and this year we’ve seen issues ranging from the tragedy of Sandy Hook to disclosures at the NSA to the shutdown and the potential of default to continuing issues surrounding the Middle East and peace there. And so it’s understandable, I think, that sometimes people feel discouraged or concerned about whether or not we can continue to make progress. And one thing that I always try to emphasize is that if you look at American history, there have been frequent occasions in which it looked like we had insoluble problems -- either economic, political, security -- and as long as there were those who stayed steady and clear-eyed and persistent, eventually we came up with an answer; eventually we were able to work through these challenges and come out better on the other end.
And that’s true today as well. After seeing the worst economic crisis since the Great Depression, we’ve now seen 44 straight months of job growth. We’ve doubled our production of clean energy. We are actually importing less oil than ever before, producing more energy than ever before. We’ve reduced the pace of our carbon emissions in a way that is actually better than the vast majority of industrialized nations over the last five years.
We’ve been able to not only create the possibility of all people enjoying the security of health care, but we’ve also been driving down the cost of health care, which benefits people’s pocket books, their businesses. Our institutions of higher learning continue to be the best in the world. And you’re actually -- because of the productivity of our workers, we’re actually seeing manufacturing move back to America in ways that we haven’t seen in decades.
A lot of the reason that we’re making progress is because of the inherent resilience and strength of the American people, but a lot of it is because folks like Nancy Pelosi and some of the members of Congress, or even former members of Congress who are here made some tough decisions early on in my administration. And we’re starting to see those bear fruit and pay off.
And so I’m incredibly optimistic about our future. But I’m also mindful of the fact that we have some barriers, some impediments to change and progress. And the biggest barrier and impediment we have right now is a Congress -- and in particular, a House of Representatives -- that is not focused on getting the job done for the American people, but is a lot more focused on trying to position themselves for the next election or to defeat my agenda.
And that’s unfortunate, because that’s not what the American people are looking for right now. And the truth is, is that there are a lot of ideas -- things like early childhood education, or rebuilding our infrastructure, or investing in basic science and research -- there are a whole range of -- immigration reform -- a whole range of ideas that if you strip away the politics, there’s actually a pretty broad consensus in this country.
I’m not a particularly ideological person. There are some things, some values I feel passionately about. I feel passionate about making sure everybody in this country gets a fair shake. I feel passionate about everybody being treated with dignity and respect regardless of what they look like or what their last name is or who they love. I feel passionate about making sure that we’re leaving a planet that is as spectacular as the one we inherited from our parents and our grandparents. I feel passionate about working for peace even as we are making sure that our defenses are strong.
So there are values I care about. But I’m pretty pragmatic when it comes to how do we get there -- and so is Nancy, and so is Jay. And so more than anything, what we’re looking for is not the defeat of another party; what we’re looking for is the advancement of ideas that are going to vindicate those values that are tried and true, and that have led this country to the spectacular heights that we’ve seen in the past.
But to do that we’re going to need Nancy Pelosi as Speaker, because there’s just a lot of work to be done right now. Between now and next November, I’m going to do everything I can and look for every opportunity to work on a bipartisan basis to get stuff done. There will not be a point in time where I’ve got an opportunity to get something done where I don't do it simply because of politics. But those opportunity have been few and far between over the last several years, and the American people can’t afford to wait in perpetuity for us to grow faster, create more jobs, strengthen our middle class, clean our environment, fix our immigration system.
And so if we don't have partners on the other side, we’re going to have to go ahead and do it ourselves. And so the support that you’re providing today and the support that you’ve provided time and again is making all the difference in the world. And it’s part of what gives me confidence that we’re going to be successful over the long term.
So thank you. We appreciate it.
And with that, let me take some questions. (Applause.)
November 25, 2013
Remarks by the President at DCCC Event -- Seattle, WA
Private Residence
Seattle, Washington
7:24 P.M. PST
THE PRESIDENT: Thank you! Thank you, guys. (Applause.) Sit down. You already did that. Thank you. Thank you, everybody. Have a seat. Have a seat.
Well, first of all, let me just thank Jon for the second time for his incredible hospitality. And I think it’s fair to say that between Nancy and me and Steve Israel, we do a lot of events. I will say that this particular space is one of the more spectacular venues for an event. (Applause.) And we couldn’t have a more gracious host. The only problem when I come to Jon’s house is I want to just kind of roam around and check stuff out, and instead I’ve got to talk. (Laughter.) But Jon, thank you for your friendship. We’ve very grateful.
A few other people I want to acknowledge. First of all, our once Speaker and soon to be Speaker again, Nancy Pelosi. We are thrilled to be with her. (Applause.) Someone who has an incredibly thankless job, but does it with energy and wisdom -- and I was going to say joy, but I’m not, I don’t want to kind of overdo it -- (laughter) -- but is doing an outstanding job -- Steve Israel, who is heading up the DCCC. Thank you so much, Steve, for the great job that you’re doing. (Applause.)
We’ve got some outstanding members of Congress here. Congressman Rick Larsen is here. Where’s Rick? There he is.(Applause.) Congresswoman Suzan DelBene is here. (Applause.) Congressman Derek Kilmer is here. Where’s Derek? There he is -- (applause) -- who just informed me that his four-year-old at the Christmas party is going to sing me at least one patriotic song. (Laughter.) And I’m very excited about this. She has a repertoire of five songs, and we’re trying to hone in on what one song she is going to do.
And you’ve got a former outstanding member of Congress, who now is doing a great job as the Governor of this great state -- Governor Jay Inslee is here. (Applause.) And Trudi, who’s keeping him in line at all times. (Applause.) And I want to thank John Frank, who also spent a lot of time on this event. Thank you so much. (Applause.)
Now, the great thing about these kinds of events is I spend most of my time in a conversation with you, as opposed to just making a long speech. Let me make a couple of observations. Number one, Jay claims he arranged it, but when we landed, we were flying over Mt. Rainier -- pulled into the airport, came off the plane, and the sunset was lighting the mountain. And it was spectacular, and reminded me of why it is that I love the Pacific Northwest so much.
Now, part of it -- I was saying to somebody, part of it may also be that I always feel the spirit of my mom here, because I graduated from Mercer Island High. (Applause.) But you guys have got a good thing going here, and it’s not just the Seahawks. I just want to make that point. (Applause.)
Point number two, obviously, there are such enormous challenges that we face all across this country and internationally, and this year we’ve seen issues ranging from the tragedy of Sandy Hook to disclosures at the NSA to the shutdown and the potential of default to continuing issues surrounding the Middle East and peace there. And so it’s understandable, I think, that sometimes people feel discouraged or concerned about whether or not we can continue to make progress. And one thing that I always try to emphasize is that if you look at American history, there have been frequent occasions in which it looked like we had insoluble problems -- either economic, political, security -- and as long as there were those who stayed steady and clear-eyed and persistent, eventually we came up with an answer; eventually we were able to work through these challenges and come out better on the other end.
And that’s true today as well. After seeing the worst economic crisis since the Great Depression, we’ve now seen 44 straight months of job growth. We’ve doubled our production of clean energy. We are actually importing less oil than ever before, producing more energy than ever before. We’ve reduced the pace of our carbon emissions in a way that is actually better than the vast majority of industrialized nations over the last five years.
We’ve been able to not only create the possibility of all people enjoying the security of health care, but we’ve also been driving down the cost of health care, which benefits people’s pocket books, their businesses. Our institutions of higher learning continue to be the best in the world. And you’re actually -- because of the productivity of our workers, we’re actually seeing manufacturing move back to America in ways that we haven’t seen in decades.
A lot of the reason that we’re making progress is because of the inherent resilience and strength of the American people, but a lot of it is because folks like Nancy Pelosi and some of the members of Congress, or even former members of Congress who are here made some tough decisions early on in my administration. And we’re starting to see those bear fruit and pay off.
And so I’m incredibly optimistic about our future. But I’m also mindful of the fact that we have some barriers, some impediments to change and progress. And the biggest barrier and impediment we have right now is a Congress -- and in particular, a House of Representatives -- that is not focused on getting the job done for the American people, but is a lot more focused on trying to position themselves for the next election or to defeat my agenda.
And that’s unfortunate, because that’s not what the American people are looking for right now. And the truth is, is that there are a lot of ideas -- things like early childhood education, or rebuilding our infrastructure, or investing in basic science and research -- there are a whole range of -- immigration reform -- a whole range of ideas that if you strip away the politics, there’s actually a pretty broad consensus in this country.
I’m not a particularly ideological person. There are some things, some values I feel passionately about. I feel passionate about making sure everybody in this country gets a fair shake. I feel passionate about everybody being treated with dignity and respect regardless of what they look like or what their last name is or who they love. I feel passionate about making sure that we’re leaving a planet that is as spectacular as the one we inherited from our parents and our grandparents. I feel passionate about working for peace even as we are making sure that our defenses are strong.
So there are values I care about. But I’m pretty pragmatic when it comes to how do we get there -- and so is Nancy, and so is Jay. And so more than anything, what we’re looking for is not the defeat of another party; what we’re looking for is the advancement of ideas that are going to vindicate those values that are tried and true, and that have led this country to the spectacular heights that we’ve seen in the past.
But to do that we’re going to need Nancy Pelosi as Speaker, because there’s just a lot of work to be done right now. Between now and next November, I’m going to do everything I can and look for every opportunity to work on a bipartisan basis to get stuff done. There will not be a point in time where I’ve got an opportunity to get something done where I don't do it simply because of politics. But those opportunity have been few and far between over the last several years, and the American people can’t afford to wait in perpetuity for us to grow faster, create more jobs, strengthen our middle class, clean our environment, fix our immigration system.
And so if we don't have partners on the other side, we’re going to have to go ahead and do it ourselves. And so the support that you’re providing today and the support that you’ve provided time and again is making all the difference in the world. And it’s part of what gives me confidence that we’re going to be successful over the long term.
So thank you. We appreciate it.
And with that, let me take some questions. (Applause.)
NEXAVAR APPROVED BY FDA TO TREAT LATE-STAGE DIFFERENTIATED THYROID CANCER
FROM: U.S. FOOD AND DRUG ADMINISTRATION
FDA NEWS RELEASE
For Immediate Release: Nov. 22, 2013
FDA approves Nexavar to treat type of thyroid cancer
The U.S. Food and Drug Administration today expanded the approved uses of Nexavar (sorafenib) to treat late-stage (metastatic) differentiated thyroid cancer.
Thyroid cancer is a cancerous growth of the thyroid gland, which is located in the neck. Differentiated thyroid cancer is the most common type of thyroid cancer. The National Cancer Institute estimates that 60,220 Americans will be diagnosed with thyroid cancer and 1,850 will die from the disease in 2013.
Nexavar works by inhibiting multiple proteins in cancer cells, limiting cancer cell growth and division. The drug’s new use is intended for patients with locally recurrent or metastatic, progressive differentiated thyroid cancer that no longer responds to radioactive iodine treatment.
“Differentiated thyroid cancer can be challenging to treat, especially when unresponsive to conventional therapies,” said Richard Pazdur, M.D., director of the Office of Hematology and Oncology Products in the FDA’s Center for Drug Evaluation and Research. “Today’s approval demonstrates the FDA’s commitment to expediting the availability of treatment options for patients with difficult-to-treat diseases.”
The safety and effectiveness of Nexavar were established in a clinical study involving 417 participants with locally recurrent or metastatic, progressive differentiated thyroid cancer that does not respond to radioactive iodine treatment. Nexavar increased the length of time patients lived without the cancer progressing (progression-free survival) by 41 percent. Half of patients receiving Nexavar lived without cancer progression for at least 10.8 months compared to at least 5.8 months for participants receiving a placebo.
The most common side effects in patients treated with Nexavar were diarrhea, fatigue, infection, hair loss (alopecia), hand-foot skin reaction, rash, weight loss, decreased appetite, nausea, gastrointestinal and abdominal pains and high blood pressure (hypertension). Thyroid stimulating hormone, a potential promoter of thyroid cancer, is more likely to become elevated while on treatment with Nexavar, requiring adjustment of thyroid hormone replacement therapy.
The FDA completed its review of Nexavar’s new indication under its priority review program. This program provides for an expedited, six-month review for drugs that may offer a significant improvement in safety or effectiveness of the treatment, prevention or diagnosis of a serious condition. Nexavar also received orphan-product designation by the FDA because it is intended to treat a rare disease or condition.
The FDA approved Nexavar to treat advanced kidney cancer in 2005. In 2007, the agency expanded the drug’s label to treat liver cancer that cannot be surgically removed.
Nexavar is co-marketed by Bayer HealthCare Pharmaceuticals Inc., based in Wayne, N.J., and Onyx Pharmaceuticals, based in South San Francisco, Calif.
For more information:
FDA: Office of Hematology and Oncology Products
FDA: Approved Drugs: Questions and Answers
NCI: Thyroid Cancer
The FDA, an agency within the U.S. Department of Health and Human Services, promotes and protects the public health by, among other things, assuring the safety, effectiveness, and security of human and veterinary drugs, vaccines and other biological products for human use, and medical devices. The agency also is responsible for the safety and security of our nation’s food supply, cosmetics, dietary supplements, products that give off electronic radiation, and for regulating tobacco products.
Consumer Inquiries: 888-INFO-FDA
#
Editor's Note: This release has been updated to include Onyx Pharmaceuticals as a co-marketer of the product.
FDA NEWS RELEASE
For Immediate Release: Nov. 22, 2013
FDA approves Nexavar to treat type of thyroid cancer
The U.S. Food and Drug Administration today expanded the approved uses of Nexavar (sorafenib) to treat late-stage (metastatic) differentiated thyroid cancer.
Thyroid cancer is a cancerous growth of the thyroid gland, which is located in the neck. Differentiated thyroid cancer is the most common type of thyroid cancer. The National Cancer Institute estimates that 60,220 Americans will be diagnosed with thyroid cancer and 1,850 will die from the disease in 2013.
Nexavar works by inhibiting multiple proteins in cancer cells, limiting cancer cell growth and division. The drug’s new use is intended for patients with locally recurrent or metastatic, progressive differentiated thyroid cancer that no longer responds to radioactive iodine treatment.
“Differentiated thyroid cancer can be challenging to treat, especially when unresponsive to conventional therapies,” said Richard Pazdur, M.D., director of the Office of Hematology and Oncology Products in the FDA’s Center for Drug Evaluation and Research. “Today’s approval demonstrates the FDA’s commitment to expediting the availability of treatment options for patients with difficult-to-treat diseases.”
The safety and effectiveness of Nexavar were established in a clinical study involving 417 participants with locally recurrent or metastatic, progressive differentiated thyroid cancer that does not respond to radioactive iodine treatment. Nexavar increased the length of time patients lived without the cancer progressing (progression-free survival) by 41 percent. Half of patients receiving Nexavar lived without cancer progression for at least 10.8 months compared to at least 5.8 months for participants receiving a placebo.
The most common side effects in patients treated with Nexavar were diarrhea, fatigue, infection, hair loss (alopecia), hand-foot skin reaction, rash, weight loss, decreased appetite, nausea, gastrointestinal and abdominal pains and high blood pressure (hypertension). Thyroid stimulating hormone, a potential promoter of thyroid cancer, is more likely to become elevated while on treatment with Nexavar, requiring adjustment of thyroid hormone replacement therapy.
The FDA completed its review of Nexavar’s new indication under its priority review program. This program provides for an expedited, six-month review for drugs that may offer a significant improvement in safety or effectiveness of the treatment, prevention or diagnosis of a serious condition. Nexavar also received orphan-product designation by the FDA because it is intended to treat a rare disease or condition.
The FDA approved Nexavar to treat advanced kidney cancer in 2005. In 2007, the agency expanded the drug’s label to treat liver cancer that cannot be surgically removed.
Nexavar is co-marketed by Bayer HealthCare Pharmaceuticals Inc., based in Wayne, N.J., and Onyx Pharmaceuticals, based in South San Francisco, Calif.
For more information:
FDA: Office of Hematology and Oncology Products
FDA: Approved Drugs: Questions and Answers
NCI: Thyroid Cancer
The FDA, an agency within the U.S. Department of Health and Human Services, promotes and protects the public health by, among other things, assuring the safety, effectiveness, and security of human and veterinary drugs, vaccines and other biological products for human use, and medical devices. The agency also is responsible for the safety and security of our nation’s food supply, cosmetics, dietary supplements, products that give off electronic radiation, and for regulating tobacco products.
Consumer Inquiries: 888-INFO-FDA
#
Editor's Note: This release has been updated to include Onyx Pharmaceuticals as a co-marketer of the product.
FINAL SIX 'RACHEL ROBOCALL' DEFENDANTS BANNED FROM TELEMARKETING
FROM: FEDERAL TRADE COMMISSION
Final Six Defendants in 'Rachel Robocall' Scheme Settle FTC Charges
They Will Be Permanently Banned from All Telemarketing and Debt Relief Services
The final six of 10 defendants named in an alleged “Rachel from Cardholder Services” scam have agreed to settle Federal Trade Commission charges that they misled consumers with bogus claims that they would lower their credit card interest rates.
The FTC settlement bans Emory L. “Jack” Holley IV, Lisa Miller, and the remaining corporate defendants from telemarketing and marketing debt relief services or assisting others in such conduct, prohibits them from misrepresenting any products or services, and imposes a partially suspended $11.9 million judgment.
The FTC filed its complaint in this matter in October 2012, alleging that the defendants violated Section 5 of the FTC Act and the agency’s Telemarketing Sales Rule (TSR) by charging illegal up-front fees during telemarketing calls in which they made false promises to reduce the interest rate on consumers’ credit cards and save them thousands of dollars.
In the complaint, the FTC also charged the defendants with making other misrepresentations, such as claiming that consumers who bought their services would be able to pay off their debts much faster as a result of the lowered credit card interest rates and making false claims about their refund policies.
The other four Key One defendants agreed to settle the FTC charges against them in June of this year. They allegedly defendants participated in the scheme by opening merchant and bank accounts in their names for processing consumer payments obtained in connection with the deceptive sales of credit card interest rate-reduction and by providing substantial assistance, such as web pages, mail drops, customer service, and shipping of CDs with general debt and other financial information to consumers.
Under the settlement announced today, Emory L. “Jack” Holley, Lisa Miller, and the companies they control, will be permanently banned from all telemarketing, with extremely limited exceptions to allow them to engage in legitimate business activities. The settlement also bans the defendants from advertising, marketing, promoting, offering for sale, or selling any debt relief-related products or services. Several of the defendants are repeat offenders, and this ban will permanently stop them from preying on consumers in financial distress.
The final order also prohibits the six defendants from making any misrepresentations related to any financial product or service, and requires them to substantiate any claims they make to consumers in the future about the potential benefits or effectiveness of any product or service. Finally, the order imposes a partially suspended judgment of $11.9 million jointly against the corporate and individual defendants. The defendants' assets, currently being held in receivership, will be paid to the Commission.
The Commission vote approving the proposed consent decree announced today was 4-0. It was filed in the U.S. District Court for the District of Arizona on October 16, 2013, and entered by the court the next day. The final order settles the FTC’s allegations against: 1) ELH Consulting, LLC, also doing business as Proactive Planning Solutions; 2) Purchase Power Solutions, LLC; 3) Allied Corporate Connection, LLC; 4) Complete Financial Strategies, LLC; 5) Emory L. Holley IV, a/k/a Jack Holley, individually and as the sole member of ELH Consulting, LLC; and 6) Lisa Miller, individually and as the sole member of Allied Corporate Connection, LLC, Complete Financial Strategies, LLC, and Purchase Power Solutions, LLC.
Final Six Defendants in 'Rachel Robocall' Scheme Settle FTC Charges
They Will Be Permanently Banned from All Telemarketing and Debt Relief Services
The final six of 10 defendants named in an alleged “Rachel from Cardholder Services” scam have agreed to settle Federal Trade Commission charges that they misled consumers with bogus claims that they would lower their credit card interest rates.
The FTC settlement bans Emory L. “Jack” Holley IV, Lisa Miller, and the remaining corporate defendants from telemarketing and marketing debt relief services or assisting others in such conduct, prohibits them from misrepresenting any products or services, and imposes a partially suspended $11.9 million judgment.
The FTC filed its complaint in this matter in October 2012, alleging that the defendants violated Section 5 of the FTC Act and the agency’s Telemarketing Sales Rule (TSR) by charging illegal up-front fees during telemarketing calls in which they made false promises to reduce the interest rate on consumers’ credit cards and save them thousands of dollars.
In the complaint, the FTC also charged the defendants with making other misrepresentations, such as claiming that consumers who bought their services would be able to pay off their debts much faster as a result of the lowered credit card interest rates and making false claims about their refund policies.
The other four Key One defendants agreed to settle the FTC charges against them in June of this year. They allegedly defendants participated in the scheme by opening merchant and bank accounts in their names for processing consumer payments obtained in connection with the deceptive sales of credit card interest rate-reduction and by providing substantial assistance, such as web pages, mail drops, customer service, and shipping of CDs with general debt and other financial information to consumers.
Under the settlement announced today, Emory L. “Jack” Holley, Lisa Miller, and the companies they control, will be permanently banned from all telemarketing, with extremely limited exceptions to allow them to engage in legitimate business activities. The settlement also bans the defendants from advertising, marketing, promoting, offering for sale, or selling any debt relief-related products or services. Several of the defendants are repeat offenders, and this ban will permanently stop them from preying on consumers in financial distress.
The final order also prohibits the six defendants from making any misrepresentations related to any financial product or service, and requires them to substantiate any claims they make to consumers in the future about the potential benefits or effectiveness of any product or service. Finally, the order imposes a partially suspended judgment of $11.9 million jointly against the corporate and individual defendants. The defendants' assets, currently being held in receivership, will be paid to the Commission.
The Commission vote approving the proposed consent decree announced today was 4-0. It was filed in the U.S. District Court for the District of Arizona on October 16, 2013, and entered by the court the next day. The final order settles the FTC’s allegations against: 1) ELH Consulting, LLC, also doing business as Proactive Planning Solutions; 2) Purchase Power Solutions, LLC; 3) Allied Corporate Connection, LLC; 4) Complete Financial Strategies, LLC; 5) Emory L. Holley IV, a/k/a Jack Holley, individually and as the sole member of ELH Consulting, LLC; and 6) Lisa Miller, individually and as the sole member of Allied Corporate Connection, LLC, Complete Financial Strategies, LLC, and Purchase Power Solutions, LLC.
CDC REPORTS ON FIGHT AGAINST POLIO IN PAKISTAN AND AFGHANISTAN
FROM: CENTERS FOR DISEASE CONTROL AND PREVENTION
Progress and Challenges Fighting Polio in Pakistan and Afghanistan
Not reaching every child jeopardizes progress and risks re-introduction in other parts of the world
Both Pakistan and Afghanistan saw an overall decrease in wild poliovirus (WPV) cases from January – September 2013 compared with the same time period in 2012 according to data published in the Morbidity and Mortality Weekly Report (MMWR) released today by the Centers for Disease Control and Prevention (CDC). Since 2012, transmission of indigenous WPV has been limited to three countries: Afghanistan, Pakistan, and Nigeria. Results for Nigeria will be released in December.
Both countries still face significant challenges in reaching unvaccinated children. Afghanistan is fighting a polio outbreak in the Eastern Region while Pakistan continues to see polio increases in the conflict-affected Federally Administered Tribal Areas (FATA), where there is a ban on polio vaccination, and in security-compromised Khyber Pakhtunkhwa Province. The potential risk of transmission to other countries highlights the need for strong ongoing global efforts to eradicate this disease.
“Although there have been setbacks, we are making progress towards global polio eradication,” said CDC Director Dr. Tom Frieden, M.D., M.P.H. “There is encouraging progress in Afghanistan, but, as long as transmission is uninterrupted in Pakistan and Nigeria, the risk for spread to other countries continues because polio anywhere presents a threat of polio everywhere."
In Afghanistan, confirmed cases of WPV dropped from 80 in 2011 to 37 in 2012. The downward trend continues for 2013 with only eight cases confirmed during January–September 2013, compared with 26 during the same period in 2012. All eight polio cases in 2013 were in the Eastern Region and originated from the wild poliovirus in Pakistan.
This week Afghanistan achieved a significant milestone - 12 months without any recorded cases of wild poliovirus in the traditionally polio-endemic provinces of Kandahar and Helmand, long recognized as Afghanistan's epicentres of polio. This unprecedented progress is an endorsement of the effectiveness of the polio eradication programs and their implementation in the Southern Region.
akistan reported a decrease from 198 WPV cases throughout the country in 2011 to 58 in 2012 in selected areas. Fifty-two cases were reported during January–September 2013, compared with 54 cases during the same period in 2012. However, because of additional cases since September, 2013 Pakistan has now surpassed the 2012 numbers, thus reversing the downward trend. Eighty-four percent of cases reported since January 2012 occurred in the FATA and Khyber Pakhtunkhwa Province.
Approximately 350,000 children in the FATA have not received polio vaccines during immunization campaigns conducted since mid-2012 because local authorities have banned vaccination. In other areas of Pakistan, polio vaccination teams have encountered increased security threat-levels, hindering immunization programs. Further multi-pronged efforts to reach children in conflict-affected and security-compromised areas will be necessary to prevent WPV re-introduction into other areas of Pakistan and other parts of the world. This situation requires all countries to take additional public health actions to strengthen detection and strengthen protection by enhancing polio surveillance programs and intensifying vaccination efforts.
Progress and Challenges Fighting Polio in Pakistan and Afghanistan
Not reaching every child jeopardizes progress and risks re-introduction in other parts of the world
Both Pakistan and Afghanistan saw an overall decrease in wild poliovirus (WPV) cases from January – September 2013 compared with the same time period in 2012 according to data published in the Morbidity and Mortality Weekly Report (MMWR) released today by the Centers for Disease Control and Prevention (CDC). Since 2012, transmission of indigenous WPV has been limited to three countries: Afghanistan, Pakistan, and Nigeria. Results for Nigeria will be released in December.
Both countries still face significant challenges in reaching unvaccinated children. Afghanistan is fighting a polio outbreak in the Eastern Region while Pakistan continues to see polio increases in the conflict-affected Federally Administered Tribal Areas (FATA), where there is a ban on polio vaccination, and in security-compromised Khyber Pakhtunkhwa Province. The potential risk of transmission to other countries highlights the need for strong ongoing global efforts to eradicate this disease.
“Although there have been setbacks, we are making progress towards global polio eradication,” said CDC Director Dr. Tom Frieden, M.D., M.P.H. “There is encouraging progress in Afghanistan, but, as long as transmission is uninterrupted in Pakistan and Nigeria, the risk for spread to other countries continues because polio anywhere presents a threat of polio everywhere."
In Afghanistan, confirmed cases of WPV dropped from 80 in 2011 to 37 in 2012. The downward trend continues for 2013 with only eight cases confirmed during January–September 2013, compared with 26 during the same period in 2012. All eight polio cases in 2013 were in the Eastern Region and originated from the wild poliovirus in Pakistan.
This week Afghanistan achieved a significant milestone - 12 months without any recorded cases of wild poliovirus in the traditionally polio-endemic provinces of Kandahar and Helmand, long recognized as Afghanistan's epicentres of polio. This unprecedented progress is an endorsement of the effectiveness of the polio eradication programs and their implementation in the Southern Region.
akistan reported a decrease from 198 WPV cases throughout the country in 2011 to 58 in 2012 in selected areas. Fifty-two cases were reported during January–September 2013, compared with 54 cases during the same period in 2012. However, because of additional cases since September, 2013 Pakistan has now surpassed the 2012 numbers, thus reversing the downward trend. Eighty-four percent of cases reported since January 2012 occurred in the FATA and Khyber Pakhtunkhwa Province.
Approximately 350,000 children in the FATA have not received polio vaccines during immunization campaigns conducted since mid-2012 because local authorities have banned vaccination. In other areas of Pakistan, polio vaccination teams have encountered increased security threat-levels, hindering immunization programs. Further multi-pronged efforts to reach children in conflict-affected and security-compromised areas will be necessary to prevent WPV re-introduction into other areas of Pakistan and other parts of the world. This situation requires all countries to take additional public health actions to strengthen detection and strengthen protection by enhancing polio surveillance programs and intensifying vaccination efforts.
Labels:
AFGHANISTAN,
BIOLOGY,
CDC,
DISEASE,
FEDERALLY ADMINISTERED TRIBAL AREAS,
KHYBER PAKHTUNKHWA PROVINCE,
MEDICINE,
PAKISTAN,
POLIO,
POLIO ERADICATION,
POLIO-ENDEMIC,
SCIENCE,
VACCINATION,
WILD POLIOVIRUS,
WPV
MARKETERS SETTLE WITH FTC REGARDING AUTOMOBILE ENGINE "MULTIVITAMIN" CLAIMS
FROM: FEDERAL TRADE COMMISSION
Marketers Who Claimed Fuel Additive Could Drastically Increase Fuel Economy and Reduce Emissions Settle with FTC
Under a settlement with the Federal Trade Commission, the marketers of a fuel additive called EnviroTabs will pay $800,000 for consumer redress and is prohibited from making false, misleading, or unsubstantiated claims that EnviroTabs, when added to any type of fuel, will increase fuel efficiency, reduce emissions, and save consumers money.
According to the FTC’s complaint, Green Foot Global LLC (GFG) represented EnviroTabs as the “World’s 1st Multi-Vitamin for Your Engine!” and sold it nationwide through its website and through multi-level marketing via distributors. In English and Spanish, GFG advertised EnviroTabs as a fuel additive that drastically improves fuel mileage and significantly reduces vehicle emissions, and claimed it was scientifically proven to be effective.
The individual defendants are William C. Hyman, also known as Bill Hyman; Mary Ann P. Hyman, a/k/a Mary Ann Proulx Hyman, Mary A. Hyman, Mary P. Hyman, Mary Ann Proulx, MaryAnn Denise L. Proulx, Mary Ann Prouleaux, Mary P. Proulx Hyman, Mary Ann A. Hyman, and Mary Hyman; Ralph M. Flynn Jr., a/k/a Ralph Flynn; Martinez Van Turner, a/k/a Martinez V. Turner, Marty Turnberg, and Marty Turner; and Patrick Hintze, a/k/a Pat Hintze. The corporate defendant is Green Foot Global LLC, also doing business as Green Foot Global, Greenfoot Global, GFG, GFG Commercial, GFG Industrial, GreenFootGlobal.com, GFG Fuel Tech LLC, and GWO Network.
In addition to the $800,000 judgment, the settlement prohibits the defendants from misrepresenting tests or studies about any product or service, and bars them from making claims about any product without having competent and reliable scientific evidence. For example, the defendants may not claim that any product saves fuel; increases motor vehicle fuel economy or decreases fuel consumption rates; reduces emissions; helps a vehicle pass an emissions inspection; saves money on fuel, maintenance or repairs; is environmentally friendly, “green” or “eco-friendly;” has any environmental benefit; removes engine carbon deposits; or extends oil or engine life.
The settlement also bars the defendants from selling or otherwise benefitting from consumers’ personal information and from failing to properly dispose of customer information after providing the information to the FTC so that the agency can return money to defendants’ customers.
The Commission vote authorizing the staff to file the complaint and approving the proposed consent judgments was 4-0. The judgment against Flynn, Turner and Hintze was entered by the U.S. District Court for the District of Nevada on November 18, 2013. The order against GFG, William C. Hyman and Mary Ann P. Hyman was entered by the court on November 19, 2013.
NOTE: The Commission files a complaint when it has “reason to believe” that the law has been or is being violated and it appears to the Commission that a proceeding is in the public interest. Consent judgments have the force of law when approved and signed by the District Court judge.
The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them.
Marketers Who Claimed Fuel Additive Could Drastically Increase Fuel Economy and Reduce Emissions Settle with FTC
Under a settlement with the Federal Trade Commission, the marketers of a fuel additive called EnviroTabs will pay $800,000 for consumer redress and is prohibited from making false, misleading, or unsubstantiated claims that EnviroTabs, when added to any type of fuel, will increase fuel efficiency, reduce emissions, and save consumers money.
According to the FTC’s complaint, Green Foot Global LLC (GFG) represented EnviroTabs as the “World’s 1st Multi-Vitamin for Your Engine!” and sold it nationwide through its website and through multi-level marketing via distributors. In English and Spanish, GFG advertised EnviroTabs as a fuel additive that drastically improves fuel mileage and significantly reduces vehicle emissions, and claimed it was scientifically proven to be effective.
The individual defendants are William C. Hyman, also known as Bill Hyman; Mary Ann P. Hyman, a/k/a Mary Ann Proulx Hyman, Mary A. Hyman, Mary P. Hyman, Mary Ann Proulx, MaryAnn Denise L. Proulx, Mary Ann Prouleaux, Mary P. Proulx Hyman, Mary Ann A. Hyman, and Mary Hyman; Ralph M. Flynn Jr., a/k/a Ralph Flynn; Martinez Van Turner, a/k/a Martinez V. Turner, Marty Turnberg, and Marty Turner; and Patrick Hintze, a/k/a Pat Hintze. The corporate defendant is Green Foot Global LLC, also doing business as Green Foot Global, Greenfoot Global, GFG, GFG Commercial, GFG Industrial, GreenFootGlobal.com, GFG Fuel Tech LLC, and GWO Network.
In addition to the $800,000 judgment, the settlement prohibits the defendants from misrepresenting tests or studies about any product or service, and bars them from making claims about any product without having competent and reliable scientific evidence. For example, the defendants may not claim that any product saves fuel; increases motor vehicle fuel economy or decreases fuel consumption rates; reduces emissions; helps a vehicle pass an emissions inspection; saves money on fuel, maintenance or repairs; is environmentally friendly, “green” or “eco-friendly;” has any environmental benefit; removes engine carbon deposits; or extends oil or engine life.
The settlement also bars the defendants from selling or otherwise benefitting from consumers’ personal information and from failing to properly dispose of customer information after providing the information to the FTC so that the agency can return money to defendants’ customers.
The Commission vote authorizing the staff to file the complaint and approving the proposed consent judgments was 4-0. The judgment against Flynn, Turner and Hintze was entered by the U.S. District Court for the District of Nevada on November 18, 2013. The order against GFG, William C. Hyman and Mary Ann P. Hyman was entered by the court on November 19, 2013.
NOTE: The Commission files a complaint when it has “reason to believe” that the law has been or is being violated and it appears to the Commission that a proceeding is in the public interest. Consent judgments have the force of law when approved and signed by the District Court judge.
The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them.
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