Monday, July 23, 2012

NSA chief discusses challenges, opportunities of cyberworld

NSA chief discusses challenges, opportunities of cyberworld

MERITORIOUS UNIT COMMENDATION GIVEN AT KITSAP-BANGOR NAVAL BASE


FROM: U.S. NAVY
120720-N-ZZ999-009
BANGOR, Wash. (July 20, 2012) Rear Adm. Bob Hennegan, commander of Submarine Group 9, addresses the audience during a ceremony awarding the Meritorious Unit Commendation to the Ohio-class ballistic missile submarines, squadrons and staffs based at Naval Base Kitsap-Bangor. (U.S. Navy photo by Mass Communication Specialist 2nd Class Casey Amdahl/Released)

U.S. DEPUTY OF DEFENSE CARTER MEETS WITH JAPANES OFFICIALS IN TOKYO

U.S. Deputy Defense Secretary Ashton B. Carter meets with Japanese Defense Minister Satoshi Morimoto in Tokyo, July 20, 2012. Japan is the third stop for Carter during a 10-day Asia-Pacific tour meeting with leaders in Hawaii, Guam, Thailand, India and South Korea. DOD photo by U.S. Navy Petty Offier 1st Class Chad J. McNeeley.
FROM: U.S. DEPARTMENT OF DEFENSE
Carter: U.S., Japan Both 'Thinking Big' on StrategyBy Karen Parrish
American Forces Press Service

TOKYO, July 21, 2012 - Deputy Defense Secretary Ashton B. Carter told reporters here today that as the United States rebalances its defense strategy toward the Asia-Pacific, "our central and anchoring" ally, Japan, is also beginning a strategic shift.

The deputy secretary, who arrived here July 20 as part of a 10-day Asia-Pacific tour, has met with Japanese government leaders including Foreign Minister Koichiro Gemba, Defense Minister Satoshi Morimoto and Parliamentary Senior Vice-Minister of Defense Shu Watanabe. Carter said those meetings left him feeling Japan's government leaders are expanding their strategic thinking "both functionally and geographically."

The deputy secretary spoke here during a press briefing with a number of regional media representatives. He said U.S. leaders welcome Japan's growing strategic interests, and will "work with the government of Japan and the Japanese Self-Defense Forces to realize that vision."

"We're both, in a sense, thinking big and thinking strategically at the same time," he added. "That has great potential."

Carter noted his visit to Asia-Pacific nations, which will also include stops in Thailand, India and South Korea, follows similar trips by President Barack Obama, Secretary of State Hillary Rodham Clinton and Defense Secretary Leon E. Panetta.

Those visits, Carter noted, focused on articulating the new strategy, which the president announced in January. His own presence here, he added, is aimed at getting the gears turning.

"They sent me here because my job as the chief management officer of the Department of Defense is to implement that vision," the deputy secretary said. "I came to this region to meet with our friends and partners and allies -- [and] to meet with and assess our own forces throughout the region -- with an eye to carrying out that turning of the strategic corner."

Carter said while growth is slowing in the United States' defense budget, the necessary resources are available to fund the new Asia-Pacific focus.

"All of the capacity that has been tied up in Iraq and Afghanistan for the last 10 years is capacity that we can focus now on the Asia-Pacific region, and that's a tremendous amount of capability," he said.

Within the existing defense budget, Carter added, "We are shifting the weight of our innovation and investment from counterinsurgency-type warfare to the kinds of capabilities that are most relevant to the Asia-Pacific theater."

He noted putting the strategy in place is "just a matter of making it happen, and deciding which specific things to do."

Defense leaders are determined to make those decisions in consultation with U.S. friends and allies, the deputy secretary said.

Carter said Japan is America's central regional ally and has been for many decades.

"Naturally I come here first, to Tokyo," he said.

The U.S. and Japan, he added, have "tremendous momentum in many, many areas: joint planning, technology sharing, [and] joint exercises and training."

Carter traveled to Japan from Guam. He noted that Guam, an island U.S. territory, offers important training opportunities for both U.S. and Japanese forces.

"In both of our countries, it becomes more and more difficult to do the kind of training that requires access to wide areas of territory," he said. "And that is possible in Guam, so that's a great opportunity for both of us."

Carter added that Guam is also important to both nations as a consequence of the "2+2" agreement U.S. and Japanese defense and diplomatic leaders signed in April.

Under that agreement, nearly 5,000 U.S. Marines currently stationed on the Japanese island of Okinawa will transfer to Guam, while the United States will return to Japan much of the land in Okinawa those forces now use.

"The 2+2 agreement with respect to the movement of Marines to Guam was a great milestone," Carter said. "From my point of view I'm very optimistic that there's momentum on both sides to implement the agreement. I think that's the way forward."

The U.S. and Japan have long debated how to relocate many of the Marines on Guam, Carter said, noting the issue was settled "by the 2+2 agreement and I think that is a very good thing."

Carter added that Guam represents more than just a new site for the rotational deployment of Marines.

"There's a large Air Force base, there's a large Navy base; Japanese forces have been to each and exercised from each, and those are important capabilities irrespective of the Marine Corps issue," he said.

Carter has also taken part on discussions with the new commander of U.S. Forces Japan, Air Force Lt. Gen. Salvatore A. Angelella, who took command July 20. The deputy secretary told reporters the general "will be a great partner for the government of Japan."

In every way, the deputy secretary said, there is a lot of forward progress in the U.S.-Japanese alliance.

"It's a great time to be here, [and a] great time of new purpose and new horizons," Carter said.

SENATOR CARL LEVIN ON HSBC BANK AND IT'S TERRORIST/DRUG KINGPIN CONNECTIONS


FROM: U.S. SENATOR CARL LEVEN'S NEWSLETTER
How a Global Bank Brought Big Risks to the U.S.
07-20-2012

For today’s sprawling international banks, access to the U.S. financial system is a must. Global banks want access to U.S. dollars, and U.S. wire transfer systems. And they want the safety, efficiency, and reliability that are the hallmarks of U.S. banking.

But some banks abuse that access. The Senate’s Permanent Subcommittee on Investigations, which I chair, recently released a report and held a hearing on how one such global bank, HSBC, exposed the U.S. financial system to abuse by money launderers, drug kingpins, terrorists, and rogue nations such as Iran.

HSBC, headquartered in London, has been among the most active banks in Asia, the Middle East, and Africa. It first acquired a U.S. presence in the 1980s; today its leading U.S. affiliate is HSBC Bank USA. The bank has more than 470 branches across the United States and 4 million customers.

But HSBC’s history in the United States is one of poor protections against illicit money flows. In 2003, the Federal Reserve and New York State Banking Department required the bank to revamp its anti-money laundering program. And in 2010, the Office of the Comptroller of the Currency again demanded changes. The OCC cited massive failures in HSBC’s monitoring system.

To examine these issues, the subcommittee issued subpoenas, reviewed more than 1.4 million documents, and conducted extensive interviews with HSBC officials from around the world, as well as officials at other banks, and with federal regulators. Our evidence showed five key areas in which HSBC exposed the U.S. financial system to abuse:
HSBC’s U.S. bank failed to adequately monitor transactions with HSBC banks in nations at high risk of financial crime. For example, the U.S. unit allowed millions of dollars of transactions with its sibling in Mexico, despite warnings from law enforcement agencies in the U.S. and Mexico that there was a high risk of involvement with drug kingpins.
HSBC units in Europe and the Middle East conducted transactions with the U.S. unit while hiding the fact that the transactions involved rogue regimes such as Iran, Sudan and North Korea. From 2001 to 2007, HSBC units overseas sent 25,000 transactions involving Iran, worth $19 billion, and in 85 percent of those transactions, concealed the links to Iran.
HSBC’s U.S. bank did business with offshore banks linked to terrorist financing. For example, it opened an account for a Saudi Arabian bank with known links to terror groups when the Saudi bank threatened to pull its business from HSBC worldwide unless it could open a U.S. account.
HSBC cleared hundreds of millions of dollars in suspicious bulk travelers cheques. One Japanese bank regularly sent HSBC’s U.S. bank $500,000 or more a day in such cheques, all sequentially numbered and signed with the same illegible signature –sure signs of wrongdoing. When regulators forced HSBC to investigate, the Japanese bank could provide no information about the mysterious Russian clients behind the transactions.
HSBC offered bank accounts to what are known as bearer-share corporations, a form of corporation prone to money laundering and other illicit activities because it can be used to conceal the true owners of the corporation. One such HSBC account was used by a father-son team of Florida developers who later were convicted of tax fraud.

It’s deplorable that a bank would demonstrate such weak defenses against terrorists, drug money and rogue regimes. But making matters worse is the poor effort by the Office of the Comptroller of the Currency, HSBC’s main U.S. regulator. The OCC knew of and tolerated HSBC’s unacceptable performance for more than five years without taking a single enforcement action.

Our report includes a number of recommended changes, for both HSBC and the OCC. Officials at the bank and the regulatory agency have promised improvements, and the steps they have announced so far are welcome. HSBC cooperated with our investigation, and its leaders apologized at our hearing. But promised changes have failed to materialize in the past. This global bank, and the agency that oversees it, must do a better job of protecting Americans from the illicit flows of money that enable crime, terrorism and weapons proliferation.

TEXAS DEPUTY ARRESTED FOR BRIBERY, EXTORTION INTENT TO DISTRIBUTE DRUGS

FROM: U.S. DEPARTMENT OF JUSTICE
Friday, July 20, 2012
Starr County, Texas, Sheriff’s Deputy Arrested and Detained on Bribery, Extortion and Drug Charges Second Starr County Deputy Arrested in Bribery and Extortion Conspiracy

A Deputy Sheriff for the Starr County, Texas, Sheriff’s Office has been ordered detained by a federal magistrate judge in the Southern District of Texas on charges of conspiracy, federal programs bribery, extortion and drug possession with intent to distribute, announced Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division.

Nazario Solis III, 34, of Rio Grande City, Texas, was ordered detained yesterday by U.S. Magistrate Judge Dorina Ramos in McAllen, Texas. Solis was arrested on July 12, 2012, on charges contained in an indictment filed in the Southern District of Texas.

The indictment charges Solis with one count of conspiracy to commit federal programs bribery and extortion, one count of federal programs bribery, one count of extortion, one count of conspiracy to possess with the intent to distribute marijuana, one count of possession with intent to distribute marijuana and one count of attempt to possess with intent to distribute cocaine. The indictment also charges Jason Michael Munsell, a Deputy Sheriff with the Starr County Sheriff’s Office, with conspiracy to commit federal programs bribery and extortion, one count of federal programs bribery and one count of extortion. Munsell, 26, surrendered to the FBI in McAllen on July 17, 2012, and was released on bond the following day.

According to the indictment, from approximately March 2011 to approximately April 2011, Solis and Munsell accepted approximately $1,500 total in cash payments from the operator of a gambling business in Starr County in exchange for providing warning of law enforcement activity involving the gambling business. The indictment further alleges that Solis and Munsell were recorded confirming that they had provided such notice about a law enforcement raid on at least one occasion in March 2011, allowing the business to remove money and employees that might otherwise have been arrested.

Solis is also charged with conspiracy to possess with the intent to distribute and possession with the intent to distribute less than fifty kilograms of marijuana in approximately April 2011.

The indictment also charges Solis with attempting to distribute three kilograms of cocaine and cash in exchange for semi-automatic and fully-automatic firearms. The indictment alleges that Solis engaged in extensive negotiations with another individual to obtain the firearms, which Solis intended to send to his "boss" in Mexico. However, the individual with whom Solis engaged in negotiations was an undercover law enforcement agent, and no actual firearms were sent to Solis. The indictment alleges that Solis was recorded stating, "My boss likes the 308 [rifle] … he likes the M-4s [rifle] and the 223 [rifle]." The indictment further alleges that Solis preferred semi-automatic rifles, complaining that fully-automatic rifles used "too much ammo." Solis allegedly stated, "We kill one bird and we shoot seven times. That’s not, that’s not very good mathematics."

Solis faces a maximum penalty of up to five years in prison, a fine of $250,000 and supervised release for each conspiracy charge; 10 years in prison, a fine of $250,000 and supervised release for each charge of extortion and federal programs bribery; five years in prison, a fine of $250,000 and supervised release for the marijuana distribution charge; and five to 40 years in prison, a fine of $250,000 and supervised release for the attempted cocaine distribution charge.

Munsell faces a maximum penalty of five years in prison, a fine of $250,000 and supervised release for the conspiracy charge and 10 years in prison, a fine of $250,000 and supervised release for each charge of extortion and federal programs bribery.

An indictment is merely an accusation, and a defendant is presumed innocent unless proven guilty in a court of law.

This case is being prosecuted by Trial Attorneys Peter Mason and Anthony J. Phillips of the Public Integrity Section in the Justice Department’s Criminal Division. The case is being investigated by the FBI’s Public Corruption Task Force in McAllen, which is comprised of U.S. Customs and Border Protection-Internal Affairs, U.S. Immigration and Customs Enforcement-Office of Professional Responsibility, Department of Homeland Security-Office of Inspector General and the Texas Rangers. The Drug Enforcement Administration Houston Division and the Bureau of Alcohol, Tobacco, Firearms and Explosives also participated in the investigation.

A SUN FEEDS THE APPETITE OF A SUPERMASSIVE BLACK HOLE

FROM:  NASA
Image Credit: NASA, S. Gezari (The Johns Hopkins University), and J. Guillochon (University of California, Santa Cruz)
Black Hole Caught in a Stellar HomicideThis computer-simulated image shows gas from a star that is ripped apart by tidal forces as it falls into a black hole. Some of the gas also is being ejected at high speeds into space.

Using observations from telescopes in space and on the ground, astronomers gathered the most direct evidence yet for this violent process: a supermassive black hole shredding a star that wandered too close. NASA's orbiting Galaxy Evolution Explorer (GALEX) and the Pan-STARRS1 telescope on the summit of Haleakala in Hawaii were used to help to identify the stellar remains.


A flare in ultraviolet and optical light revealed gas falling into the black hole as well as helium-rich gas that was expelled from the system. When the star is torn apart, some of the material falls into the black hole, while the rest is ejected at high speeds. The flare and its properties provide a signature of this scenario and give unprecedented details about the stellar victim.


To completely rule out the possibility of an active nucleus flaring up in the galaxy instead of a star being torn apart, the team used NASA's Chandra X-ray Observatory to study the hot gas. Chandra showed that the characteristics of the gas didn't match those from an active galactic nucleus.

The galaxy where the supermassive black hole ripped apart the passing star in known as PS1-10jh and is located about 2.7 billion light years from Earth. Astronomers estimate the black hole in PS1-10jh has a mass of several million suns, which is comparable to the supermassive black hole in our own Milky Way galaxy.



 

 

 

DOD AND THE WIRELESS SPECTRUM

FROM:  U.S. DEPARTMENT OF DEFENSE
Defense CIO: Wireless Spectrum a Critical Enabler
By Claudette Roulo
American Forces Press Service
WASHINGTON, July 20, 2012 – "Spectrum is the critical enabler that ensures information is dependably available to train our forces and ensure our mission accomplishment," Teresa M. Takai, the chief information officer for the Department of Defense, said today.

Takai was speaking at the announcement of the release of a report, "Realizing the Full Potential of Government-Held Spectrum to Spur Economic Growth," from the President’s Council of Advisors on Science and Technology, or PCAST.

The report was released following President Barack Obama’s June 2010 memo asking federal agencies to free up 500 megahertz of space in the radio spectrum for the ongoing growth of wireless services and to help further economic growth.

"We are dependent on industry for innovative products that can be used for national security," Takai said. "In that regard, we remain fully committed in support of the national economic and security goals of the president’s 500 MHz initiative."

"Military spectrum requirements are diverse and complex," she added. "We must ... recognize the growing spectrum demands resulting from [DOD’s] increasing reliance on spectrum-dependent technologies."

As an example, Takai cited the increased use of unmanned aerial systems, or UASs, to process critical intelligence and reconnaissance data. The number of UASs accessing the government-held spectrum increased from 167 in 2002 to more than 7,500 in 2010, resulting in a dramatic increase in UAS use and training requirements, she said.

To cope with the increasing demand, the U.S. will need to adopt an "all of the above strategy," said Jason Furman, the principal deputy director of the National Economic Council. Such a strategy, he said, will entail not just traditional reallocation of frequencies, but infrastructure development, incentive auctions and new technologies.

"If the nation expands its options for managing federal spectrum, we could transform the availability of this national resource from scarcity to abundance," said Mark Gorenberg, the chair of the PCAST working group responsible for the report.

The PCAST report recommended employing new technologies to more efficiently utilize the existing spectrum. For example, the report suggested, rather than reserving a frequency for use by a single agency or private company, new technologies can allow a frequency to be shared by a many users.

This approach could lead to a "shared-use superhighway," according to the report, moving away from the idea of single band ownership in favor of larger groups of shared frequencies. This superhighway would be a tiered system that establishes a hierarchy on frequencies shared by multiple entities while routing traffic to open spaces on those frequencies.

Pointing to a 95 MHz-wide section of the spectrum that is currently shared by more than 20 agencies holding more than 3,000 frequency assignments, many of them defense related, Lawrence Strickling, the administrator of the National Telecommunications and Information Administration, Department of Commerce, said: "It will take at least ten years and about $18 billion to clear this band of the federal uses and then make it available to commercial uses."

"It’s going to cost too much and take too long to reallocate this spectrum the old-fashioned way. The solution, as PCAST recommends, is for federal agencies and commercial users to share the spectrum," said Strickling, who also serves as the assistant secretary of commerce for communications and information.

"The implementation of more effective and efficient use of this finite radio frequency spectrum and the development of solutions to meet these goals is essential to national security and economic goals," Takai said.

"The move from an exclusive-right spectrum management regime to one focused on large-scale spectrum sharing between federal and commercial systems represents a major shift in the way spectrum is managed," Takai added. "While this shift represents many challenges, we will continue to work with our industry partners and our government partners to develop equitable spectrum sharing solutions."

U.S.-SOUTH SUDAN RELATIONS

Map Credit:  U.S. State Department
FROM: U.S. STATE DEPARTMENT
The United States recognized South Sudan as a sovereign, independent state on July 9, 2011 following its secession from Sudan. The United States played a key role in helping create the 2005 Comprehensive Peace Agreement that laid the groundwork for the 2011 independence referendum and secession. Several disputes between Sudan and South Sudan remain unresolved post-independence, including the management of oil resources and the status of the Abyei region. The United States supports the efforts of the African Union High-Level Implementation Panel to help the parties work through these issues.

U.S. Assistance to South Sudan
The U.S. Government is the leading international donor to South Sudan. Through the U.S. Agency for International Development, it seeks to help make South Sudan increasingly stable while helping the government deliver basic services to citizens; provide effective, inclusive, and accountable governance; diversify the economy; and combat poverty. Increasing stability in South Sudan will depend on a combination of strengthening core governance institutions and processes to make them more inclusive, responding to the expectations of the population for essential services and improved livelihoods, and containing conflicts and addressing the grievances behind them.
Numerous Sudanese refugees have fled to South Sudan due to post-independence fighting. The United States is committed to meeting humanitarian needs, and has urged the international community to join it in efforts to relieve suffering and assist those affected by the ongoing violence.

Bilateral Economic Relations
The United States has no significant trade with South Sudan.

South Sudan's Membership in International Organizations
With independence, South Sudan became the 195th country in the world, and the 193rd member of the United Nations. The UN Security Council established the UN Mission in the Republic of South Sudan in July 2011 to consolidate peace and security and to help establish conditions for development.

Sunday, July 22, 2012

EXPORT-IMPORT BANK AUTHORIZED $23.7 BILLION IN FIRST NINE MONTHS OF FY 2012

FROM:  U.S. EXPORT-IMPORT BANK
U.S. Exports in May Reach $183.1 Billion
Ex-Im Bank Authorizes More than $23.7 billion in first nine months of FY’12

WASHINGTON, D.C. – The United States exported $183.1 billion in goods and services in May 2012, according to data released today by the U.S. Commerce Department. The all-time high of $184.4 billion was recorded in March 2012. Preliminary data shows that Ex-Im Bank authorized more than $23.7 billion in financing during the first nine months of Fiscal Year 2012.

“U.S. exports have exceeded $180 billion every month this year,” said Fred P. Hochberg, chairman and president of Ex-Im Bank. “Exports remain a true bright spot in our economic recovery and are instrumental in creating and sustaining American jobs.”

Exports of goods and services over the last twelve months totaled $2.152 trillion, which is 36.3 percent above the level of exports in 2009. Over the last twelve months, exports have been growing at an annualized rate of 13.7 percent when compared to 2009.

Over the last twelve months, the major export markets with the largest annualized increase in U.S. goods purchases were Panama (37.5 percent), Turkey (31.5 percent), Argentina (30.1 percent), Chile (29.1 percent), Hong Kong (29.0 percent), Honduras (27.8 percent), Peru (26.3 percent), Russia (26.2 percent), Brazil (23.5 percent), and Ecuador (22.7 percent).

MAN INDEICTED FOR ACTING AS UNREGISTERED AGENT FOR SYRIA

FROM:  U.S. DEPARTMENT OF JUSTICE                            Friday, July 20, 2012
Virginia Man Sentenced to 18 Months in Prison for Acting as Unregistered Agent for Syrian Government

Mohamad Anas Haitham Soueid, 48, a resident of Leesburg, Va., was sentenced today to 18 months in prison, followed by three years of supervised release, for collecting video and audio recordings and other information about individuals in the United States and Syria who were protesting the government of Syria and to providing these materials to Syrian intelligence agencies in order to silence, intimidate and potentially harm the protestors.

Lisa Monaco, Assistant Attorney General for National Security; Neil MacBride, U.S. Attorney for the Eastern District of Virginia; and James McJunkin, Assistant Director in Charge of the FBI Washington Field Office, made the announcement following sentencing by United States District Judge Claude M. Hilton.

Soueid, aka "Alex Soueid" or "Anas Alswaid," a Syrian-born naturalized U.S. citizen, was charged by a federal grand jury on Oct. 5, 2011, in a six-count indictment in the Eastern District of Virginia. He was convicted of unlawfully acting as an agent of a foreign government on March 26, 2012.

"Mohamad Soueid acted as an unregistered agent of the Syrian government as part of an effort to collect information on people in this country protesting the Syrian government crack-down. I applaud the many agents, analysts and prosecutors who helped bring about this important case," said Assistant Attorney General Monaco.

"Mr. Soueid betrayed this country to work on behalf of a state sponsor of terror," said U.S. Attorney MacBride. "While the autocratic Syrian regime killed, kidnapped, intimidated and silenced thousands of its own citizens, Mr. Soueid spearheaded efforts to identify and intimidate those protesting against the Syrian government in the United States."

"By illegally acting as an agent of Syria, Mr. Souied deceived his adopted country of the United States in support of a violent and repressive despotic government," said Assistant Director in Charge McJunkin. "Through today’s sentencing, he will now be held accountable for his actions."

According to court records, from March to October 2011, Soueid acted in the United States as an agent of the Syrian Mukhabarat, which refers to the intelligence agencies for the Government of Syria, including the Syrian Military Intelligence and General Intelligence Directorate. At no time while acting as an agent of the government of Syria in this country did Soueid provide prior notification to the Attorney General as required by law. The U.S. government has designated the Syrian government a state sponsor of terrorism since 1979.

Under the direction and control of Syrian officials, Soueid recruited individuals living in the United States to make dozens of audio and video recordings of protests against the Syrian regime – including recordings of conversations with individual protestors – in the United States and Syria, which he provided to the Syrian government. He also supplied the Syrian government with contact information for key dissident figures in the United States, details about the financiers of the dissident movement, logistics for protests and meetings, internal conflicts within the movement, and the movement’s future plans.

In a handwritten letter to a Syrian official in April 2011, Soueid outlined his support for the Syrian government’s repressions of its citizens, stating that disposing of dissension must be decisive and prompt and that violence, home invasions, and arrests against dissidents is justified.

The Syrian government provided Soueid with a laptop to further their ability to surreptitiously communicate, which he later destroyed. In late June 2011, the Syrian government paid for Soueid to travel to Syria, where he met with intelligence officials and spoke with President Bashar al-Assad in private.

To thwart detection of his activities by U.S. law enforcement, Soueid lied to a Customs and Border Patrol agent upon his return from meeting with President al-Assad in Syria, and he also lied repeatedly to FBI agents when they questioned him in August 2011. Following the FBI interview, Soueid destroyed documents in his backyard and informed the Mukhbarat about his FBI interview.

This investigation is being conducted by the FBI’s Washington Field Office with assistance from the Loudon County, Va., Sheriff’s Office. The prosecution is being handled by Assistant U.S. Attorneys Dennis Fitzpatrick and Neil Hammerstrom of the U.S. Attorney’s Office for the Eastern District of Virginia and Trial Attorney Brandon L. Van Grack of the Counterespionage Section of the Justice Department’s National Security Division.


SCIENTISTS FIND POSSIBLE CAUSE OF EARTH'S "ICEHOUSE CLIMATE"

FROM: NATIONAL SCIENCE FOUNDATION

Gypsum from land to sea: Iran's Zagros Mountains contain much water-soluble gypsum.Ancient Alteration of Seawater Chemistry Linked With Past Climate Changen. Photo Credit: NASA. Dissolution or creation of huge gypsum deposits changed sulfate content of the oceans

July 19, 2012
Scientists have discovered a potential cause of Earth's "icehouse climate" cooling trend of the past 45 million years. It has everything to do with the chemistry of the world's oceans.

"Seawater chemistry is characterized by long phases of stability, which are interrupted by short intervals of rapid change," says geoscientist Ulrich Wortmann of the University of Toronto, lead author of a paper reporting the results and published this week in the journal Science.

"We've established a new framework that helps us better interpret evolutionary trends and climate change over long periods of time. The study focuses on the past 130 million years, but similar interactions have likely occurred through the past 500 million years."

Wortmann and co-author Adina Paytan of the University of California Santa Cruz point to the collision between India and Eurasia approximately 50 million years ago as one example of an interval of rapid change.

This collision enhanced dissolution of the most extensive belt of water-soluble gypsum on Earth, stretching from Oman to Pakistan and well into western India. Remnants of the collision are exposed in the Zagros Mountains in western Iran.

The dissolution or creation of such massive gypsum deposits changes the sulfate content of the ocean, say the scientists, affecting the amount of sulfate aerosols in the atmosphere and thus climate.

"We propose that times of high sulfate concentrations in ocean water correlate with global cooling, just as times of low concentrations correspond with greenhouse [warmer] periods," says Paytan.

"When India and Eurasia collided, it caused dissolution of ancient salt deposits, which resulted in drastic changes in seawater chemistry."

That may have led to the end of the Eocene epoch--the warmest period of the modern-day Cenozoic era--and the transition from a greenhouse to an icehouse climate. "It culminated in the beginning of the rapid expansion of the Antarctic ice sheet," says Paytan.

Canada's Natural Sciences and Engineering Research Council supports Wortmann's research and the U.S. National Science Foundation (NSF) supports Paytan research.

"Abrupt changes in seawater composition are a new twist in our understanding of the links among ocean chemistry, plate tectonics, climate and evolution," says Candace Major, program director in NSF's Division of Ocean Sciences.

To make the discovery, the researchers combined past seawater sulfur composition data collected by Paytan with Wortmann's recent discovery of the strong link between marine sulfate concentrations and carbon and phosphorus cycling.

They found that seawater sulfate reflects huge changes in the accumulation and weathering of gypsum, which is the mineral form of hydrated calcium sulfate.

"While it's been known for a long time that gypsum deposits can be formed and destroyed rapidly, the effect of these processes on seawater chemistry has been overlooked," says Wortmann.

"The idea represents a paradigm shift in our understanding of how ocean chemistry changes over time, and how these changes are linked with climate."

Data used in the research were collected aboard the ocean drillship JOIDES Resolution and through the Integrated Ocean Drilling Program (IODP).

IODP is an international research program dedicated to advancing scientific understanding of the Earth through drilling, coring and monitoring the subseafloor.

The JOIDES Resolution is a scientific research vessel managed by the U.S. Implementing Organization of IODP. Texas A&M University, Lamont-Doherty Earth Observatory of Columbia University and the Consortium for Ocean Leadership comprise the implementing organization.

Two lead agencies support the IODP: the U.S. NSF and Japan's Ministry of Education, Culture, Sports, Science and Technology.

Additional program support comes from the European Consortium for Ocean Research Drilling, the Australia-New Zealand IODP Consortium, India's Ministry of Earth Sciences, the People's Republic of China's Ministry of Science and Technology, and the Korea Institute of Geoscience and Mineral Resources.

-NSF-

 

 

 

HSS SAYS AFFORDABLE CARE ACT HELPS MILLIONS WITH FREE PREVENTATIVE CARE

More than 16 million people with Medicare get free preventive services in 2012

"Millions of Americans are getting cancer screenings, mammograms and other preventive services for free thanks to the health care law," said Secretary Sebelius. "These new benefits, made possible through the health care law, are helping people stay healthy by giving them the tools they need to prevent health problems before they happen."

Prior to 2011, people with Medicare faced cost-sharing for many preventive benefits such as cancer screenings. Through the Affordable Care Act, preventive benefits are offered free of charge to beneficiaries, with no deductible or co-pay, so that cost is no longer a barrier for seniors who want to stay healthy and treat problems early.

The law also added an important new service for people with Medicare — an Annual Wellness Visit with the doctor of their choice— at no cost to beneficiaries.

For more information on Medicare-covered preventive services, please visit: http://www.healthcare.gov/law/features/65-older/medicare-preventive-services/index.html

DEPUTY DEFENSE SECRETARY CARTER THANKS SERVICE MEMBERS FROM ONBARD THE USS MISSOURI

120718-N-WX059-066 PEARL HARBOR (July 18, 2012) Deputy Secretary of Defense Ashton B. Carter delivers remarks to service members aboard the USS Missouri Memorial. Carter wanted to personally thank service members for their Participation in the military. U.S. Navy photo by Mass Communication Specialist 3rd Class Sean Furey/Released

FROM: U.S. DEFENSE DEPARTMENT
Presenter: Deputy Secretary of Defense Ashton B. Carter July 18, 2012 remarks by Deputy Secretary of Defense Carter Aboard the Battleship Missouri
Thank you, Admiral Watters. Good morning, everybody. (inaudible). Thanks for being here this morning, and what a spectacular vessel this is. This is -- as you all know -- here, right here in Pearl Harbor, is where World War II started and right here on the deck of this ship is where World War II ended. And the folks who fought that war were about your age, or some for you, who are younger, and they were -- they were the greatest generation of that time.

And I guess the main thing I want to say for myself and for Secretary Panetta is, you all are the greatest generation of this time. And so, the first thing that we all have in our minds in Washington when we think about you and what you're doing out here, is to thank you. And I want each and every one of you to go home tonight, to your family or your close friends, or call your parents or whomever is close to you, and say that today, you were thanked by the leadership of the Department of Defense, and your country, for what you do. We don't take it for granted, and it's incredibly important to us.

And I think for you, if you're like me and most of us who work in national defense, it's a great feeling to wake up in the morning and to go to work doing something that's bigger than yourself. What we do is bigger than us; it's even bigger than the great country that we all serve, because the United States still provides security to much of the world.

Especially to the Asia-Pacific region, and you know what you do out here to build military capability that serves as a deterrent to violence in this part of the world; to build the partnerships, alliances and friendships upon which our security and the security of everyone else in this region depends; to build the capacities of partner militaries -- that's being done right now, here, at the RIMPAC fleet exercises, right off the coast here of Hawaii, at this moment.

So it's a good feeling to do what we do, and I hope you share and feel that good feeling.

And you all, right here, right now, in PACOM, are at the heart of the great transition that our country's defense is undergoing in these coming years. We have been, as you all know, understandably and justifiably preoccupied with two wars -- in Iraq and Afghanistan -- two wars of a certain kind. Counterinsurgency war. And with fighting a battle against the terrorism that we first saw evidence of on September 11th of 2011 [sic 2001]. Those are important things to do, and they're important things to bring to an end. And we have, and we will.

Iraq we have brought to an end, and in Afghanistan, we have a plan that is shared with all our coalition partners, to bring that down -- our activity in Afghanistan -- to an enduring presence starting in 2015. What the President and Secretary of Defense have told us is that they understand that as this era -- the era of Iraq and Afghanistan -- ends, we need to lift our heads up out of the foxhole we've been in, look up, look around, and see what the problems are, and the security opportunities there are, that will define our future -- your future. And those issues, those challenges and those opportunities are, very importantly, in the Asia-Pacific region, which you now serve. So this is where our future lies, and you, right here, right now, are a very important part of that transition, that great transition that this great military is embarked upon.

Secretary Panetta was out here not long ago, the President was out here, the Secretary of State was out here. And I'm out here in their wake, to show that when they talked about rebalancing our security effort to the Asia-Pacific theater, that we aren't just talking the talk, we're walking the walk. And so in all of the allies and partnerships where we have forces deployed or forces rotating and acting in partnership, I want to check on their status -- our own people. I want to check on the health of our alliances and relationships; make sure that we're doing all the things that we can do, all the things that we said we would do, all the things that we're planning to do, to rebalance our effort to this region.

We do this at a time of great strategic transition, as I've already said. We also do it at a time when the country is trying to rebalance its own fiscal situation. And the other thing I'd tell you is that we understand that, and we can do what we need to do here within the constraints of the amount of money that the country is able to give us -- in important measure because much of the capacity that we have been using in Iraq and Afghanistan we can now apply to this region. So we're going to do it, we can do it even within the budgetary circumstances that we find ourselves. And so, as I go on from here to Guam, and then to Japan, and then to Thailand, and then to India and finally to Korea, I'll be looking at our relationships with those countries and implicitly with all of the other countries in this area, and saying, "What is it that I need to go back to Washington and make sure we're doing on our end to hold up our bargain with you, out here, who are at the point of the spear on this effort?"

There are a number of different aspects to the rebalancing here. I'll just say that it really starts with the principles that we stand up for, that we uphold, and that we have stood for in this part of the world for 70 years now, since World War II ended aboard this vessel. I always try to summarize it in the following way: I say that this region of the world has enjoyed peace and prosperity for 70 years now. It's a remarkable achievement. In that environment of peace and security, first Japan was able to rise; then Korea was able to rise; and now, yes, China, able to rise to develop their own people, to develop economically. And that's only possible in an environment of peace and security.

And that doesn't come automatically out here. It was the United States and our presence -- constant and strong -- in this region over a period of 70 years, that created that environment of peace and security. We think that's been a good thing. It's been good for us, and it's been good for every other country in this region. We aim to keep that going. We aim to continue to be the pivotal factor for peace and security in the Asia-Pacific region.

That's what you're about. It's about the whole region. It's not about us; it's not about any one country, or any one group of countries. It's about the entire region.

So that's why we're here; that's why you're here. It's a period, it's a moment in history, that you should always, as you go forward in your lives and your careers, keep in your mind. This was an important moment to be here, to be doing what you're doing.

So once again, thank you from us in Washington. Go home tonight, call a parent, say this to a spouse, to kids, to a good friend, whatever -- say that you were thanked today for what you do for our country, and that you were summoned to a new purpose in a new moment in our nation's national security history.

I look forward to getting a chance to chat with some of you, standing out here in this lovely weather -- a lot better than Washington. So please come on up. We have some photographers, we can take pictures, we can chat a little bit, I've got coins. And once again, well done, thank you. I have high hopes for you and high expectations of you. Thanks in advance.

EXPORT-IMPORT BANK APPROVES $57.3 MILLION FINANCING FOR EXPORT OF SOLAR PANELS TO INDIA

FROM: U.S. EXPORT-IMPORT BANK

Ex-Im Approves $57.3 Million in Financing for Renewable-Energy Exports to India

Washington, D.C. – The Export-Import Bank of the United States (Ex-Im Bank) has authorized a pair of loans totaling $57.3 million to Solar Field Energy Two Private Ltd. and Mahindra Surya Prakash Private Ltd., respectively, to finance the export of American solar panels and ancillary services to India.

The solar panels, which are manufactured by First Solar Inc. of Tempe, Ariz., will be used in the construction of solar photovoltaic plants in Rajasthan, India. These transactions will support 200 U.S. jobs at First Solar’s manufacturing facility in Perrysburg, Ohio.

Solar Field Energy Two, a Mumbai-based company wholly owned by Kiran Energy Solar Private Power Ltd., has been approved for a $23 million loan from Ex-Im Bank for the construction of a 20-megawatt (MW) solar facility in Rajasthan. Mahindra Surya Prakash, also of Mumbai and owned by Kiran Energy and Mahindra Holding Ltd., has been approved for a $34.3 million Ex-Im loan to build two solar facilities (one 20 MW and one 10 MW) in Rajasthan as well.

"These important transactions will finance the purchase of American products and services and support jobs in our innovative renewable-energy sector," said Ex-Im Bank Chairman and President Fred P. Hochberg. "On top of that, Ex-Im’s financing will contribute to India’s drive to embrace clean-energy sources."

In 2010, the Indian government launched the Jawaharlal Nehru National Solar Mission in an effort to add 20,000 megawatts of installed solar capacity to the nationwide grid by 2020. According to a 2012 report in the Wall Street Journal, nearly 300 million people in India live without electricity.

India is one of Ex-Im Bank’s nine key markets and accounted for approximately $7 billion of the Bank’s worldwide credit exposure as of the end of FY 2011. In FY 2011 and FY 2012 to date, the Bank authorized more than $330 million in financing for Indian solar projects.

In FY 2012 to date, the Bank has authorized approximately $380 million for renewable-energy exports of all types worldwide.

Founded in 1999, First Solar is the world's largest manufacturer of thin-film solar modules and has more than 1,900 employees in the United States, including 1,200 employees at its Perrysburg, Ohio, manufacturing and engineering center.

About Ex-Im Bank:

Ex-Im Bank is an independent federal agency that helps create and maintain U.S. jobs by filling gaps in private export financing at no cost to American taxpayers. In the past five years, Ex-Im Bank has earned for U.S. taxpayers $1.9 billion above the cost of operations. The Bank provides a variety of financing mechanisms, including working capital guarantees, export-credit insurance, and financing to help foreign buyers purchase U.S. goods and services.

 


COMPUTER STORAGE DEVICE COMPANY CHARGED BY SEC WITH INSIDER TRADING

FROM: SECURITIES AND EXCHANGE COMMISSION Washington, D.C., July 19, 2012
The Securities and Exchange Commission today charged the chairman and CEO of a Santa Ana, Calif.-based computer storage device company with insider trading in a secondary offering of his stock shares with knowledge of confidential information that a major customer’s demand for one of its most profitable products was turning out to be less than expected.

The SEC alleges that Manouchehr Moshayedi sought to take advantage of a dramatically upward trend in the stock price of STEC Inc. by deciding to sell a significant portion of his stock holdings as well as shares owned by his brother, a company co-founder. The secondary offering was set to coincide with the release of the company’s financial results for the second quarter of 2009 and its revenue guidance for the third quarter. However, in the days leading up to the secondary offering, Moshayedi learned critical nonpublic information that was likely to have a detrimental impact on the stock price. Moshayedi did not call off the offering and abstain from selling his shares once he possessed the negative information unbeknownst to the investing public. Instead, he engaged in a fraudulent scheme to hide the truth through a secret side deal, and proceeded with the sale of 9 million shares from which he and his brother reaped gross proceeds of approximately $134 million each.

"Moshayedi put his own self-interest ahead of his responsibility to lead a public company, and shareholders who placed their trust in him suffered as a result," said Michele Wein Layne, Director of the SEC’s Los Angeles Regional Office. "Company insiders are strictly prohibited under the securities laws from exploiting corporate dealings for private gain, particularly in the secretive and manipulative manner that Moshayedi did."

According to the SEC’s complaint filed in U.S. District Court for the Central District of California, STEC’s stock price increased more than 800 percent from January to August 2009 as the company reported higher revenues, sales, and margins for its products, particularly its flagship flash memory product called "ZeusIOPS," a solid state drive (SSD). The stock rise also came on the heels of STEC’s July 2009 announcement of a unique agreement with its largest customer, EMC Corporation, which agreed to buy $120 million worth of ZeusIOPS in the third and fourth quarter of 2009. Moshayedi touted the sales growth of ZeusIOPS and said the agreement with EMC was "part of the expected growth" for STEC going forward.

The SEC alleges that as the Aug. 3, 2009 date for the secondary offering approached, Moshayedi learned in the course of his CEO duties two critical pieces of nonpublic information indicating that EMC’s actual demand for the ZeusIOPS was lower than previously expected. First, Moshayedi learned that EMC’s actual demand for the ZeusIOPS product in the third quarter would only be approximately $34 million – not nearly enough to ensure that STEC’s third quarter revenue guidance could meet or exceed consensus analyst estimates. Analysts had increased STEC’s revenue guidance estimates for the third quarter after STEC announced the agreement with EMC. Second, EMC informed Moshayedi that it would never again enter into a similar agreement with STEC.

According to the SEC’s complaint, Moshayedi responded by entering into a secret side deal with EMC in order to meet third quarter consensus revenue estimates. Moshayedi convinced EMC on July 29 to take $55 million of ZeusIOPS product in the third quarter – far more than it actually needed – in exchange for an undisclosed additional $2 million price discount on the product in the fourth quarter. After securing this deal, STEC announced the orchestrated guidance figures that amounted to approximately $21 million more than EMC’s actual forecasted demand for the quarter. And even though EMC unequivocally informed Moshayedi on the morning of August 3 that it would not make further volume commitments, he withheld this critical information from investors prior to his secondary offering while at the same time touting in public documents the future growth of the ZeusIOPS product and the importance of the STEC-EMC $120 million agreement.

The SEC’s complaint charges Moshayedi with violating the anti-fraud provisions of U.S. securities laws and seeks a final judgment ordering him to disgorge his own ill-gotten gains and the trading profits of his brother Mehrdad Mark Moshayedi, pay prejudgment interest and financial penalties, and be permanently barred from future violations and from serving as an officer and director of any registered public company.

The SEC’s investigation was conducted by Finola H. Manvelian and Douglas Kobayashi in the Los Angeles Regional Office, and John W. Berry will lead the litigation.

Auroras australes sobre la estación Concordia el 18 de julio

Auroras australes sobre la estación Concordia el 18 de julio

RECENT NAVAL PHOTOS


FROM:  U.S. NAVY
International RoboSub Competition at Point Loma. Hosted by SPAWAR, the competition challenges student teams from around the globe to design and build an autonomous underwater vehicle capable of completing realistic missions. U.S. Navy photo by Mass Communication Specialist 2nd Class Benjamin Crossley (Released) 120719-N-BT887-091




The guided-missile destroyer USS Jason Dunham (DDG 109) fires its MK 45 lightweight 5-inch gun during a live-fire exercise as part of Exercise Sea Breeze 2012. Sea Breeze is co-hosted by the Ukrainian and U.S. navies and is intended to improve maritime safety, security and stability engagements in the Black Sea by enhancing the capabilities of Partnership for Peace and Black Sea regional maritime security forces. U.S. Navy photo by Interior Communications Electrician 1st Class Christopher Allen (Released) 120718-N-IR761-049

FEMA'S ONLINE ACTIVE SHOOTER TRAINING COURSE

FROM:  FEDERAL EMERGENCY MANAGEMENT AGENCY

The protection of the Nation’s critical infrastructure from all-hazards threats is a shared responsibility between the U.S. Department of Homeland Security (DHS) and the public and private sector partners who own and operate vital assets and facilities. The DHS National Protection and Programs Directorate’s Office of Infrastructure Protection leads the Department’s efforts to strengthen public and private sector operations by securing critical infrastructure and assisting owners and operators to prepare for threats from all hazards, including events like an active shooter. In light of the shooter event in Aurora, Colorado this email is to serve as a reminder about the information, products and training that is available.

Online Training

DHS developed an online Independent Study Course titled Active Shooter: What You Can Do. This 45-minute course was developed in consultation with the Federal Law Enforcement Training Center and the Hospitality, Entertainment, and Tourism Security Council to provide guidance on how to prevent and prepare for a potential active shooter incident.

Upon completion of the course, participants will be able to:
Describe the actions to take when confronted with an active shooter and to assist responding law enforcement officials;
Recognize potential workplace violence indicators;
Describe actions to take to prevent and prepare for potential active shooter incidents; and
Explain how to manage the consequences of an active shooter incident.
The online training is available through the Federal Emergency Management Agency Emergency Management Institute at www.training.fema.gov/EMIWeb/IS/IS907.asp.

Active Shooter Resources

DHS has also developed a booklet and poster, with assistance from the Fairfax County Police Department of Virginia, the National Retail Federation, and the Retail Industry Leaders Association, to assist facilities owners and operators to prepare for and respond to an active shooter incident.
Topics covered in the "Active Shooter How to Respond" booklet and poster includes:
Profile of an active shooter;
Practices for coping with an active shooter;
How individuals should respond when an active shooter enters their vicinity;
How individuals should respond when law enforcement arrives on the scene;
Responsibilities of human resources departments and facility managers in preparing for and managing an active shooter situation; and
Tips for recognizing signs of potential workplace violence; and managing the consequences of an active shooter situation.

Additional resource materials include the Active Shooter Booklet, the Active Shooter Poster (English and Spanish), the Active Shooter Pocket Card (English and Spanish), and the Active Shooter/Suicide Bomber Awareness Bomb-Making Materials Awareness Program Card can be found at www.dhs.gov/cfsector.

Webinars

In September 2011, DHS hosted the Active Shooter Awareness Virtual Roundtable, a Webinar designed to help private and public sector partners understand the importance of developing an emergency response plan and the need to train employees on how to respond if confronted with an active shooter.

An archived version of the Webinar, which includes presentations from a former police officer and a behavioral psychologist, as well as a video produced with assistance from the Federal Protective Service, can be viewed on demand at www.dhs.gov/files/programs/gc_1231165582452.shtm.

Live Workshops

The Department and its partners host monthly day-long workshop events, including presentations from law enforcement and behavioral subject matter experts, guest speakers, and facilitated discussions. Since the program’s inception in December 2008, nearly 4,000 people have participated in DHS co-sponsored active shooter workshops. Thirty workshops have been scheduled for Fiscal Year 2012 in various cities across the country.

DEPUTY DEFENSE SECRETARY CARTER ON F-35 FIGNTER PROGRAM

Photo:  U.S. Deputy Defense Secretary Ashton B. Carter
FROM: AMERICAN FORCES PRESS SERVICES

Carter Addresses Joint Strike Fighter Program
By Karen Parrish
TOKYO, July 21, 2012 - Many countries that are partnering with the United States in the F-35 joint strike fighter program will have a role to play in the aircraft's assembly, but the U.S. government will not decide which country does what, Deputy Defense Secretary Ashton B. Carter said here today.

During a press conference with Japanese media representatives, Carter explained that the supersonic stealth fighter's prime contractor, Lockheed Martin Corp., will decide where the fighter's various manufacturing processes will be located, based on two factors: the partner nation's desire to participate in the aircraft's production, and economic efficiency.

Carter arrived in Japan on the first international stop of an Asia-Pacific tour that has already taken him to Hawaii and Guam, and will continue to Thailand, India and South Korea. He discussed the F-35 program while responding to a reporter's question on whether Japan will be the site of the aircraft's final assembly and check out.

Lockheed Martin officials have explained that process, known in the industry as FACO (Final Assembly and Checkout), which involves putting together the four major structural components of the airplane, installing the engines and electronics systems, and coding and test-flying the aircraft.

"The F-35 program is obviously very important to us," Carter said. "It's the linchpin of tactical aircraft inventories for the United States for decades to come, so we're completely committed to it."

The deputy secretary noted that in his previous position as the department's undersecretary for acquisition, technology and logistics, managing the JSF program was one his central responsibilities.

"I wouldn't have told you this three years ago, but I can tell you now: I think it's getting on the path to finishing its development [and] ramping up to full-rate production," Carter said.

Nations currently partnering with the United States on the aircraft's development include the United Kingdom, Italy, the Netherlands, Turkey, Canada, Denmark, Norway and Australia.

Many of those partners will participate in building the airplane, Carter noted.

"We can't all do everything; we can't all build all parts of the JSF," he said. "Otherwise, that will be economically inefficient, and we'll be wasting our taxpayers' money, and that's not fair."

What makes sense, the deputy secretary said, is for each country involved in producing the fighter to make some of the parts for all of the other partner nations.

"So it's a very complicated matter of apportioning, in an economically efficient way, all of these technical tasks," Carter said. "And that's what Lockheed Martin ... does in discussions with all the partners."

Defense Department leaders care about the outcome of manufacturing decisions "because we want an affordable airplane, as does the Japanese government," he said.

Carter added, "I'm sure that that will be done in a way that is satisfactory to Japan, just like it has to be satisfactory to the United States, has to be satisfactory to Turkey, to the U.K. ... That's the way international programs work today."

Saturday, July 21, 2012

FISHERMEN AND SEAFOOD WHOLSEALER HAVE OYSTERS STEWED BY JUSTICE DEPARTMENT

FROM: U.S. DEPARTMENT OF JUSTICE
Friday, July 20, 2012
Fishermen and Seafood Wholesaler Convicted of Conspiring to Obstruct Justice, Falsify Food Safety and Oyster Harvest Records, and Traffic in Illegal Oysters

WASHINGTON – After a seven week trial in federal court in Camden, N.J., multiple defendants were convicted on various felony counts of creating false records, trafficking in illegally possessed oysters, obstructing the Food and Drug Administration’s regulation of public health and safety, and conspiring to commit those crimes, announced Ignacia S. Moreno, Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division, and Paul J. Fishman, U.S. Attorney for the District of New Jersey.

Thomas Reeves, Todd Reeves, and Shellrock LLC, all of Port Norris, N.J., were convicted on multiple felony counts of violating the Lacey Act by creating false records for illegally possessed oysters, trafficking in illegally possessed oysters and falsifying records used by the FDA for tracking the movement of oysters in interstate commerce. These same defendants, as well as Renee Reeves, an employee of Shellrock and the wife of Todd Reeves, were also found guilty of conspiring to commit those crimes and obstruct justice.

Kenneth Bailey, of Heislerville, N.J., was convicted on multiple felony counts of violating the Lacey Act by creating false records and trafficking in illegally possessed oysters, as well as falsifying records used by the FDA for tracking the movement of oysters in interstate commerce.

Mark Bryan, of New Market, Md, and the business he co-owns, Harbor House Seafood Inc., of Seaford, Del., were convicted on multiple felony counts of creating false records relating to their purchase of oysters, trafficking in illegally possessed oysters, as well as conspiring to obstruct justice and falsify records used by the FDA for tracking the movement of oysters in interstate commerce.

"The conspiracy to traffic in unreported and illegally possessed oysters from the Delaware Bay violated laws that protect public health and ensure the sustainability of resources that are vital to the region’s economy. In the course of the conspiracy, defendants falsified FDA records that are used to track oysters in the event of an outbreak of oyster-borne disease," said Ignacia S. Moreno, Assistant Attorney General for the Environment and Natural Resources Division of the Department of Justice. "After an extensive trial, today’s conviction by a federal jury sends the message that we will prosecute those who exploit protected resources, deceive law enforcement and deprive honest fisherman of the full measure of their labor."

The Lacey Act prohibits creating or submitting false records for fish or wildlife moving in interstate commerce and also prohibits trafficking in fish or wildlife known to be illegally taken or possessed. The FDA and state health agencies require that oyster purchasers and sellers maintain accurate records of the amounts and locations of oyster harvest for all oysters they buy and sell in order to protect the public health and minimize the impact of any oyster-borne outbreak of disease.

Starting in at least 2004 and continuing through 2007, Thomas and Todd Reeves, oyster fishermen who owned Shellrock (dba Reeves Brothers), would take a greater amount of oysters from the Delaware Bay than was allowed by New Jersey. The Reeveses would then falsify the records that New Jersey used to track the number of oysters harvested from Delaware Bay and sell those unreported oysters to Mark Bryan at Harbor House in Delaware. Thomas Reeves, Todd Reeves and Renee Reeves, along with Mark Bryan at Harbor House, would also coordinate to cover up their overharvest by falsifying records required by the FDA, records which were used to protect the public health from outbreaks of oyster-borne disease. In addition, the defendants conspired to obstruct the NOAA investigation into their illegal conduct by providing investigators with false records and making false statements that attempted to hide their conduct.

Bryan and Harbor House also purchased unreported oysters from Kenneth W. Bailey Sr., another Port Norris oyster fisherman. Like the Reeveses, Bailey would create false records required by the state and the FDA to hide his overharvest.

The fair market retail value of the unreported oysters during this time was in excess of $750,000, and the defendants over-harvested their quota in some years by nearly 60 percent.

The maximum penalty for conspiring to commit offenses and for violations of the Lacey Act is up to five years in prison and a $250,000 fine. The maximum penalty for obstruction of justice counts is up to 20 years in prison and a $250,000 fine. The maximum penalty for the corporations is up to five years of probation and a fine in an amount that is the greater of $500,000 or twice the gross gain, for each count.

The case was investigated by the National Oceanic and Atmospheric Administration, Office of Law Enforcement, and The New Jersey Department of Environmental Protection, Division of Fish and Wildlife. The case was prosecuted by Wayne D. Hettenbach and Patrick M. Duggan of the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division, with assistance from Assistant U.S. Attorney Matthew T. Smith of the U.S. Attorney’s Office for the District of New Jersey.

Search This Blog

Translate

White House.gov Press Office Feed