FROM: U.S. STATE DEPARTMENT
Contact Group on Piracy off the Coast of Somalia: Quarterly Update
Fact Sheet
Bureau of Political-Military Affairs
December 24, 2013
The Contact Group on Piracy off the Coast of Somalia was created on January 14, 2009 pursuant to UN Security Council Resolution 1851. This voluntary ad hoc international forum brings together over 80 countries, organizations, and industry groups with a shared interest in combating piracy. Chaired in 2013 by the United States, the Contact Group coordinates political, military, and non-governmental efforts to tackle piracy off the coast of Somalia, ensure that pirates are brought to justice, and support regional states to develop sustainable maritime security capabilities. The European Union will assume the chairmanship in 2014.
Through its five thematic working groups, the Contact Group draws on a wide range of international expertise and adopts a problem-solving approach to piracy, working closely with Somali officials from the central government and regional administrations and officials in Indian Ocean States. Working Group 1, chaired by the United Kingdom, focuses on operational naval coordination, information sharing, and capacity building; Working Group 2, chaired by Denmark, addresses legal and judicial issues; Working Group 3, chaired by the Republic of Korea, works closely with the shipping industry to enhance awareness and build capabilities among seafarers transiting the region; Working Group 4, chaired by Egypt, aims at raising public awareness of the dangers of piracy; and Working Group 5, chaired by Italy, focuses on disrupting the pirate criminal enterprise ashore, including the illicit financial flows associated with maritime piracy.
This unique international partnership is contributing to a significant decline in piracy off the Horn of Africa. Thanks in part to the Contact Group’s concerted efforts, there has not been a successful pirate attack on a commercial vessel off the Horn of Africa in more than a year and a half, and pirates no longer control a single hijacked vessel.
Recent Developments
• On November 18, the United Nations Security Council adopted Resolution 2125, renewing the call for international action to fight piracy off the Coast of Somalia.
• The Contact Group convened November 10-15 for Counter Piracy Week in Djibouti. This first ever extended duration gathering of the CGPCS included meetings of all five working groups, a number of stand-alone thematic discussions, and the 15th Plenary. In all, the event drew 55 delegations totaling approximately 220 participants. Notably, the first ever plenary session in the Horn of Africa included active participation by the Federal Government of Somalia and a number of regional partners in the fight against piracy. Participants agreed that, while significant progress has been made in the last two years, the underlying conditions that allowed piracy to flourish remain. Somalia will continue require significant capacity building assistance to ensure pirate gangs cannot return to peak. The 15th Plenary also marked the handover of the Contact Group chairmanship from the United States to the European Union, which will chair during 2014.
• On October 11, India detained the Sierra Leone-flagged S/V SEAMAN GUARD OHIO and later charged 33 men aboard for failing to produce papers authorizing the carriage of weapons in Indian waters. A U.S. maritime company, Advanfort, operates the ship with a crew that includes British, Estonian, Indian and Ukrainian nationals.
• On November 13, Japan’s parliament enacted a bill to allow security guards to carry rifles aboard Japanese-registered vessels to counter piracy in waters off Somalia and elsewhere. The new law allows armed guards employed by foreign security contractors to fire warning shots at approaching pirates.
• On December 3, France announced it would change its laws to allow private armed guards to protect its shipping fleet against pirates. News reports indicated that although tougher ship security and Western naval patrols have reduced attacks from Somali pirates, French ships are increasingly being targeted in the Gulf of Guinea off West Africa, where France has trade ties with former colonies.
Apprehensions at Sea
• On October 18, the Combined Task Force (CTF)-151 reported the capture of nine suspected pirates believed responsible for two attacks in the Indian Ocean. The RFA FORT VICTORIA, HMAS MELBOURNE and ROKS WANG GEON from CTF-151 were involved, as well as the European Union flagship HMLMS JOHAN DE WITT and a Seychelles based maritime patrol aircraft. Pirates exchanged gunfire with security personnel aboard a super tanker on October 11 before attacking a Spanish fishing vessel three days later. CTF-151 apprehended the suspects and destroyed two skiffs and associated pirate equipment.
• On November 10, the Danish warship HDMS ESBERN SNARE, part of NATO’s OPERATION OCEAN SHIELD, arrested nine suspected pirates in the Indian Ocean. The warship tracked down a pirate skiff and mother ship (a whaler) overnight after the suspects attacked the MV TORM Kansas, a Danish flagged oil tanker on November 9. A skiff of five armed pirates had approached the tanker, exchanging fire with private security guards on board before breaking off. On November 30, Seychelles agreed to try the suspects, which were then handed over.
Piracy Trials and Prosecution Support
• On November 26, seven Somalis convicted of piracy in Kenya were repatriated to Somalia by the UNODC upon the completion of their sentence. They were flown to Galkayo.
• Also in Kenya, judgment in the piracy case concerning an attack on the vessel ARIA has been delayed until 23 December 2013.
• Forty Somalis held in Maldives have been repatriated to Somalia by UNODC. They were detained on suspicion of engaging in piracy, but were not charged as Maldives has no legislation on the subject. They were held as prohibited immigrants prior to their return to Somalia. UNODC is engaging with Maldives to develop its piracy legislation.
• On November 14, a U.S. District Court Judge passed life sentences on the last two Somali pirates convicted of killing four Americans on a yacht off the Horn of Africa in 2011. The third convicted pirate was sentenced on November 12. All three were given 21 life sentences. Eleven others previously pled guilty and are serving life sentences.
• On November 5, there was a procedural delay in the Mauritius trial of nine suspected Somali pirates. One of the accused demanded the presence of the French officer who arrested him. The court advised the defendant to enter a motion to that effect.
• On October 30, a court in Madrid convicted six Somalis for piracy and sentenced them to between eight and 12 and a half years in jail for attacking a Spanish warship in 2012 off the coast of Somalia. The six were caught following a firefight when they tried to board the SPS PATINO, a Spanish navy supply ship supporting the European Union's OPERATION ATALANTA.
• On October 23, four Somali pirates were sentenced to seven years each in prison on by a Kenyan court that found them guilty of hijacking a fishing dhow in the Indian Ocean in 2010. The men were arrested by Spanish naval forces and handed over to Kenyan authorities.
• On October 18, a French court sentenced three Somali pirates to nine years in prison each for the 2009 hijacking off the Somali coast of a French yacht that led to the death of its skipper. The three pirates had asked for leniency, saying they were forced into piracy by lives of abject poverty. French troops stormed a sailboat in April 2009 and captured the trio during a bid to free the captain, his wife, their three-year-old son and two crew members.
• On November 26, a federal jury in the U.S. State of Virginia acquitted Ali Mohammed Ali of piracy charges in connection with the takeover of a Danish merchant ship, the CEC FUTURE, in the Gulf of Aden in 2008. Ali worked as a translator for both ship owners and pirates as they negotiated terms for release of the ship and crew. The jury deadlocked on two hostage-taking charges against Ali. U.S prosecutors said that they will retry Ali on those two allegations.
• On November 29 in Seychelles, the conviction for piracy of a Somali man was overturned on appeal. The man, who was originally sentenced in December 2010, claimed to be 16 years old at the time of the offences. He is being held in custody due to his immigration status and will be repatriated to Somalia by UNODC at the earliest opportunity.
Related Meetings
• On October 15-16, the United Nations’ Interregional Crime and Justice Research Institute hosted the second of a series of workshops for legal experts in Rome on to draft a code of conduct on Rules for the Use of Force by Privately Contracted Armed Security Personnel on board merchant ships.
• On November 8 and 9, UNODC conducted a tour for CGPCS Trust Fund donors in Puntland and Somaliland. Representatives from Denmark, DPA, the EU, Germany, UNODC HQ, Norway, the UK and the US were able to visit the projects in Garowe, Berbera and Hargeisa that they have supported through the Trust Fund.
Significant Developments
• On the night of 8 November 2013, Al-Shabaab fighters launched a deadly attack on Bosasso Prison in Puntland, which was substantially rebuilt in previous years by UNODC using money from the CGPCS Trust Fund. The Deputy Commander of the prison and one guard were killed. Prison defense forces fought off the attack and no prisoners escaped.
• The UN Assistant Secretary-General for Political Affairs told Counter-Piracy Week in Djibouti participants that the Trust Fund to Support Initiatives of States Countering Piracy off the Coast of Somalia (Trust Fund) will fund the Hostage Support Programme, administered by the UN Office on Drugs and Crime, for an additional 18 months.
• The Trust Fund Board of Directors also approved a project submitted by INTERPOL and the International Maritime Bureau which will support debriefing of former hostages held by Somali pirates in support of law enforcement investigations.
• RAPPICC, the Regional Anti-Piracy Prosecutions Intelligence Coordination Centre, changed its name to REFLECS3, the Regional Fusion Law Enforcement Centre for Safety and Security at Sea, to better describe its new three-part mission – combating transnational organized crime; improving maritime shipping information sharing; and coordinating local and regional capacity building programs. Additionally, the Seychelles government agreed to enact legislation to incorporate the Centre as a legal entity. The Steering Group also decided to invite countries from the East African and South Asian regions to join as new members.
• On November 22, the EU/UNODC launched its Programme to Support Maritime Security, known as MASE. The 5 million Euro (approx. 6.8 million USD) MASE programme will address maritime crime in the Indian Ocean including piracy, drugs and arms smuggling, human trafficking, illegal fishing and maritime pollution.
Hostages in Custody
• At least 49 seafarers remain in pirate custody, including:
-- 27 (Taiwanese, Chinese, Cambodian, Filipino, Vietnamese and Indonesian) from the F/V NAHAM 3, Omani-flagged, hijacked March 26, 2012, now aground in Somalia;
-- 11 (7 Bangladeshi, 2 Sri Lankan, 1 Indian, 1 Iranian) from the M/V ALBEDO, Malaysian-flagged, hijacked November 26, 2010, which sank at anchor on July 8, 2013, with a further 4 (Sri Lankans) missing;
-- 4 (Thais) from the M/V PRANTALAY 12, Thailand-flagged, held since April 18, 2010; which was grounded after the anchor chain broke July, 20, 2011; and
-- 7 (Indians) held since September 29, 2010 from M/V ASHPALT VENTURE, Panama-flagged; the ship and other crew were released April 15, 2011.
Tuesday, December 24, 2013
RECENT U.S. DEFENSE DEPARTMENT PHOTOS
FROM: U.S. DEFENSE DEPARTMENT
U.S. Marine Corps Cpl. Dylan Tucker patrols during an operation in Qul'ah Zer in Helmand province, Afghanistan, Dec. 20, 2013. Tucker, a rifleman, is assigned to India Company, 3rd Battalion, 7th Marine Regiment. U.S. Marine Corps photo by Lance Cpl. James Mast.
U.S. Marine Corps Lance Cpl. Richard Munoz provides security during an operation in Qul'ah Zer in Helmand province, Afghanistan, Dec. 20, 2013. Munoz, a rifleman, is assigned to India Company, 3rd Battalion, 7th Marine Regiment. U.S. Marine Corps photo by Lance Cpl. James Mast.
AFRICA COMMAND REPOSITIONS FORCES
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U.S. soldiers and East Africa Response Force soldiers depart a U.S. Air Force C-130 Hercules aircraft in Juba, Sudan, Dec. 18, 2013. The U.S. State Department requested the assistance of U.S. military forces in evacuating personnel from the embassy in Juba to Nairobi, Kenya, amid political and ethnic violence in South Sudan. DOD photo by Tech. Sgt. Micah Theurich, U.S. Air Force
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FROM: U.S. DEFENSE DEPARTMENT
Africa Command Repositions Forces to Increase Flexibility
By Jim Garamone
American Forces Press Service
WASHINGTON, Dec. 23, 2013 – The commander of U.S. Africa Command is repositioning forces in East Africa in an effort to attain maximum flexibility to respond to State Department requests, Pentagon spokesman Army Col. Steve Warren told reporters here today.
Warren also told reporters that three of the four U.S. personnel who were wounded Dec. 21 when they attempted to evacuate Americans from the town of Bor, South Sudan, will be evacuated to Landstuhl Army Hospital in Germany. The fourth will be evacuated when his condition stabilizes.
The four injured U.S. service members are currently in a hospital in Nairobi, the Kenyan capital. They were hit by small-arms fire when their Osprey aircraft attempted to land in Bor.
Based on the current situation in South Sudan, Army Gen. David M. Rodriguez, the commander of Africom, moved elements from the Special-Purpose Marine Air-Ground Task Force Crisis Response from Moron, Spain, to Camp Lemonnier, Djibouti.
“By positioning these forces forward, we are able to more quickly respond to crisis in the region, if required,” a defense official said. The Djiboutian government fully agrees with the movement.
The moves are precautionary, and there is risk associated with this or any other military operation, the colonel said.
“As everyone would expect, the combatant commander is repositioning forces in the region in an effort to give himself the maximum flexibility to respond to any follow-on request from the Department of State,” Warren said.
Defense Secretary Chuck Hagel has been following the situation very closely, and is in nearly continuous communication with the combatant commander, the official said.
There has been no discussion about the U.S. military helping reposition United Nations forces, Warren said.
Defense Department and other government contracted aircraft have evacuated more than 300 personnel out of South Sudan’s capital of Juba including about 100 yesterday.
HHS SAYS 123 ACCOUNTABLE CARE ORGANIZATIONS SHOULD IMPROVE MEDICARE
FROM: U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES
More partnerships between doctors and hospitals strengthen coordinated care for Medicare beneficiaries
123 New Accountable Care Organizations Join Program to Improve Care for Medicare beneficiaries
Doctors, hospitals and other health care providers have formed 123 new Accountable Care Organizations (ACOs) in Medicare, providing approximately 1.5 million more Medicare beneficiaries with access to high-quality coordinated care across the United States, Health and Human Services Secretary Kathleen Sebelius announced today.
Doctors, hospitals and health care providers establish ACOs in order to work together to provide higher-quality coordinated care to their patients, while helping to slow health care cost growth. Since passage of the Affordable Care Act, more than 360 ACOs have been established, serving over 5.3 million Americans with Medicare. Beneficiaries seeing health care providers in ACOs always have the freedom to choose doctors inside or outside of the ACO. ACOs share with Medicare any savings generated from lowering the growth in health care costs when they meet standards for high quality care.
“Accountable Care Organizations are delivering higher-quality care to Medicare beneficiaries and are using Medicare dollars more efficiently,” Secretary Sebelius said. “This is a great example of the Affordable Care Act rewarding hospitals and doctors that work together to help our beneficiaries get the best possible care.”
“This program puts the control in the hands of physicians and allows them to take the lead in an innovative way to deliver the right care to the right patient at the right time,” said Kelly A. Conroy, executive director of the Palm Beach ACO and South Florida ACO. “We are honored to be a Medicare Shared Savings Program Accountable Care Organization, and after 18 months in the program, can proudly say that we have seen measurable success. We are so impressed with our participating physicians’ enthusiasm towards the cultural shift, and it demonstrates that physicians are primed for the future of medicine.”
The ACOs must meet quality standards to ensure that savings are achieved through improving care coordination and providing care that is appropriate, safe, and timely. The Centers for Medicare & Medicaid Services (CMS) evaluates ACO quality performance using 33 quality measures on patient and caregiver experience of care, care coordination and patient safety, appropriate use of preventive health services, and improved care for at-risk populations.
The new ACOs include a diverse cross-section of health care providers across the country, including providers delivering care in underserved areas. More than half of ACOs are physician-led organizations that serve fewer than 10,000 beneficiaries. Approximately 1 in 5 ACOs include community health centers, rural health clinics, and critical access hospitals that serve low-income and rural communities.
Affordable Care Act provisions have a substantial effect on reducing the growth rate of Medicare spending. Growth in Medicare spending per beneficiary hit historic lows during the 2010-2012 period, and this trend has continued into 2013. Projections by both the Office of the Actuary at CMS and the Congressional Budget Office estimate that Medicare spending per beneficiary will grow at approximately the rate of growth of the economy for the next decade, breaking a decades-old pattern of spending growth outstripping economic growth.
The next application period for organizations interested in participating in the Shared Savings Program beginning January 2015 will be in summer 2014.
More partnerships between doctors and hospitals strengthen coordinated care for Medicare beneficiaries
123 New Accountable Care Organizations Join Program to Improve Care for Medicare beneficiaries
Doctors, hospitals and other health care providers have formed 123 new Accountable Care Organizations (ACOs) in Medicare, providing approximately 1.5 million more Medicare beneficiaries with access to high-quality coordinated care across the United States, Health and Human Services Secretary Kathleen Sebelius announced today.
Doctors, hospitals and health care providers establish ACOs in order to work together to provide higher-quality coordinated care to their patients, while helping to slow health care cost growth. Since passage of the Affordable Care Act, more than 360 ACOs have been established, serving over 5.3 million Americans with Medicare. Beneficiaries seeing health care providers in ACOs always have the freedom to choose doctors inside or outside of the ACO. ACOs share with Medicare any savings generated from lowering the growth in health care costs when they meet standards for high quality care.
“Accountable Care Organizations are delivering higher-quality care to Medicare beneficiaries and are using Medicare dollars more efficiently,” Secretary Sebelius said. “This is a great example of the Affordable Care Act rewarding hospitals and doctors that work together to help our beneficiaries get the best possible care.”
“This program puts the control in the hands of physicians and allows them to take the lead in an innovative way to deliver the right care to the right patient at the right time,” said Kelly A. Conroy, executive director of the Palm Beach ACO and South Florida ACO. “We are honored to be a Medicare Shared Savings Program Accountable Care Organization, and after 18 months in the program, can proudly say that we have seen measurable success. We are so impressed with our participating physicians’ enthusiasm towards the cultural shift, and it demonstrates that physicians are primed for the future of medicine.”
The ACOs must meet quality standards to ensure that savings are achieved through improving care coordination and providing care that is appropriate, safe, and timely. The Centers for Medicare & Medicaid Services (CMS) evaluates ACO quality performance using 33 quality measures on patient and caregiver experience of care, care coordination and patient safety, appropriate use of preventive health services, and improved care for at-risk populations.
The new ACOs include a diverse cross-section of health care providers across the country, including providers delivering care in underserved areas. More than half of ACOs are physician-led organizations that serve fewer than 10,000 beneficiaries. Approximately 1 in 5 ACOs include community health centers, rural health clinics, and critical access hospitals that serve low-income and rural communities.
Affordable Care Act provisions have a substantial effect on reducing the growth rate of Medicare spending. Growth in Medicare spending per beneficiary hit historic lows during the 2010-2012 period, and this trend has continued into 2013. Projections by both the Office of the Actuary at CMS and the Congressional Budget Office estimate that Medicare spending per beneficiary will grow at approximately the rate of growth of the economy for the next decade, breaking a decades-old pattern of spending growth outstripping economic growth.
The next application period for organizations interested in participating in the Shared Savings Program beginning January 2015 will be in summer 2014.
A FAMILY WORKING TOGETHER IN A PYRAMID AND PONZI ENTERPRISE
FROM: U.S. SECURITIES AND EXCHANGE COMMISSION
SEC Charges Woman and Stepson for Involvement in Zeekrewards Pyramid and Ponzi Scheme; Parallel Criminal Charges and Plea Agreements Also Announced
On December 20, 2013, the Securities and Exchange Commission filed suit in the United States District Court for the Western District of North Carolina against Dawn Wright-Olivares and Daniel Olivares for their roles in perpetrating the fraudulent unregistered offer and sale of securities through Rex Venture Group LLC d/b/a ZeekRewards.com, an internet-based combined Ponzi and pyramid scheme. According to the Complaint, from approximately January 2011 until August 2012 when the ZeekRewards website was shut down, Rex Venture Group raised more than $850 million from approximately one million internet customers nationwide and overseas through the website. Both defendants have agreed to settle the Commission’s allegations against them, and their settlement papers were submitted to the Court for its consideration.
The Complaint alleged that defendants solicited investors through the internet and other means to participate in the ZeekRewards program, a self-described “affiliate advertising division” for the companion website, Zeekler.com, through which the defendants operated penny auctions. The ZeekRewards program offered customers several ways to earn money, two of which — the “Retail Profit Pool” and the “Matrix” — involved purchasing securities in the form of investment contracts. These securities offerings were not registered with the SEC as required under the federal securities laws.
According to the Complaint, Wright-Olivares and others lured investors to ZeekRewards by promising investors a share of the company’s daily net profits in the form of daily profit share awards. The company’s purported calculations consistently resulted in daily award averaging approximately 1.5 percent per day, fraudulently conveying the false impression that the company was extremely profitable. In fact, the daily award percentage was fabricated and investor payouts bore no relation to the company’s net profits. Approximately 98% of ZeekRewards’ total revenues and the “net profits” paid to investors were comprised of funds received from new investors in classic Ponzi scheme fashion. When the company was shut down in August 2012, it was teetering on collapse.
The Complaint further alleged that Wright-Olivares conceived of the idea for operating penny auctions, helped develop the technical specifications for the Zeekler.com program and its key features, marketed ZeekRewards to investors, managed some of RVG’s operations, and helped design and implement features that concealed the fraud. She was a principal spokesperson for ZeekRewards, and she also served as chief operating officer from September 2011 to June 2012. For the duration of the company’s existence, Olivares was the chief architect of the company’s computer databases that tracked all investments (including subscription and bid purchases), managed the electronic operations, and perpetuated the illusion of a successful retail business.
The Commission alleged that Wright-Olivares offered and sold securities in violation of the registration provisions of Section 5 of the Securities Act, and both defendants violated the antifraud provisions of the Section 17 of the Securities Act and Section 10(b) of the Securities Exchange Act and Rule 10b-5 thereunder. The Complaint requested permanent injunctions, disgorgement of ill-gotten gains plus prejudgment interest, and civil penalties against the defendants. Without denying the allegations—and while also admitting the facts set forth in the Factual Summary filed contemporaneously with their respective plea agreements in the parallel criminal case — both defendants have agreed to settle the Commission’s charges against them, and their settlement papers were submitted to the Court for its consideration. In particular, both consented to permanent injunctions against future violations of the respective registration and antifraud provisions with which they were each charged. Wright-Olivares also agreed to disgorge at least $8,184,064.94 and Olivares agreed to disgorge at least $3,272,934.58 — amounts that represent the entirety of their ill-gotten gains plus prejudgment interest. In light of their anticipated incarceration, no civil penalty will be imposed. The settlements are subject to approval by the court. In a parallel action, the U.S. Attorney’s Office for the Western District of North Carolina simultaneously announced criminal charges against, and plea agreements by, the pair.
The SEC acknowledges the assistance of the United States Attorney’s Office for the Western District of North Carolina and the United States Secret
SEC Charges Woman and Stepson for Involvement in Zeekrewards Pyramid and Ponzi Scheme; Parallel Criminal Charges and Plea Agreements Also Announced
On December 20, 2013, the Securities and Exchange Commission filed suit in the United States District Court for the Western District of North Carolina against Dawn Wright-Olivares and Daniel Olivares for their roles in perpetrating the fraudulent unregistered offer and sale of securities through Rex Venture Group LLC d/b/a ZeekRewards.com, an internet-based combined Ponzi and pyramid scheme. According to the Complaint, from approximately January 2011 until August 2012 when the ZeekRewards website was shut down, Rex Venture Group raised more than $850 million from approximately one million internet customers nationwide and overseas through the website. Both defendants have agreed to settle the Commission’s allegations against them, and their settlement papers were submitted to the Court for its consideration.
The Complaint alleged that defendants solicited investors through the internet and other means to participate in the ZeekRewards program, a self-described “affiliate advertising division” for the companion website, Zeekler.com, through which the defendants operated penny auctions. The ZeekRewards program offered customers several ways to earn money, two of which — the “Retail Profit Pool” and the “Matrix” — involved purchasing securities in the form of investment contracts. These securities offerings were not registered with the SEC as required under the federal securities laws.
According to the Complaint, Wright-Olivares and others lured investors to ZeekRewards by promising investors a share of the company’s daily net profits in the form of daily profit share awards. The company’s purported calculations consistently resulted in daily award averaging approximately 1.5 percent per day, fraudulently conveying the false impression that the company was extremely profitable. In fact, the daily award percentage was fabricated and investor payouts bore no relation to the company’s net profits. Approximately 98% of ZeekRewards’ total revenues and the “net profits” paid to investors were comprised of funds received from new investors in classic Ponzi scheme fashion. When the company was shut down in August 2012, it was teetering on collapse.
The Complaint further alleged that Wright-Olivares conceived of the idea for operating penny auctions, helped develop the technical specifications for the Zeekler.com program and its key features, marketed ZeekRewards to investors, managed some of RVG’s operations, and helped design and implement features that concealed the fraud. She was a principal spokesperson for ZeekRewards, and she also served as chief operating officer from September 2011 to June 2012. For the duration of the company’s existence, Olivares was the chief architect of the company’s computer databases that tracked all investments (including subscription and bid purchases), managed the electronic operations, and perpetuated the illusion of a successful retail business.
The Commission alleged that Wright-Olivares offered and sold securities in violation of the registration provisions of Section 5 of the Securities Act, and both defendants violated the antifraud provisions of the Section 17 of the Securities Act and Section 10(b) of the Securities Exchange Act and Rule 10b-5 thereunder. The Complaint requested permanent injunctions, disgorgement of ill-gotten gains plus prejudgment interest, and civil penalties against the defendants. Without denying the allegations—and while also admitting the facts set forth in the Factual Summary filed contemporaneously with their respective plea agreements in the parallel criminal case — both defendants have agreed to settle the Commission’s charges against them, and their settlement papers were submitted to the Court for its consideration. In particular, both consented to permanent injunctions against future violations of the respective registration and antifraud provisions with which they were each charged. Wright-Olivares also agreed to disgorge at least $8,184,064.94 and Olivares agreed to disgorge at least $3,272,934.58 — amounts that represent the entirety of their ill-gotten gains plus prejudgment interest. In light of their anticipated incarceration, no civil penalty will be imposed. The settlements are subject to approval by the court. In a parallel action, the U.S. Attorney’s Office for the Western District of North Carolina simultaneously announced criminal charges against, and plea agreements by, the pair.
The SEC acknowledges the assistance of the United States Attorney’s Office for the Western District of North Carolina and the United States Secret
THE WHITE HOUSE CONDEMNS ONGOING AIR ASSAULT IN SYRIA
FROM: THE WHITE HOUSE
Statement by Press Secretary Jay Carney on the Ongoing Air Assaults by the Syrian Government
The United States condemns the ongoing air assault by Syrian government forces on civilians, including the indiscriminate use of SCUD missiles and barrel bombs in and around Aleppo over the last week. The attacks over the weekend killed more than 300 people, many of them children. The Syrian government must respect its obligations under international humanitarian law to protect the civilian population. The Syrian government must fulfill its November commitment to do more to facilitate the safe and unhindered delivery of humanitarian assistance, so that millions of Syrian men, women, and children have access to urgently needed services. To bring the suffering of the Syrian people to an end, it is imperative that Syrians reach a comprehensive and durable political solution to end the crisis in Syria. The United States remains committed to advancing a political settlement to help end the bloodshed in Syria.
Statement by Press Secretary Jay Carney on the Ongoing Air Assaults by the Syrian Government
The United States condemns the ongoing air assault by Syrian government forces on civilians, including the indiscriminate use of SCUD missiles and barrel bombs in and around Aleppo over the last week. The attacks over the weekend killed more than 300 people, many of them children. The Syrian government must respect its obligations under international humanitarian law to protect the civilian population. The Syrian government must fulfill its November commitment to do more to facilitate the safe and unhindered delivery of humanitarian assistance, so that millions of Syrian men, women, and children have access to urgently needed services. To bring the suffering of the Syrian people to an end, it is imperative that Syrians reach a comprehensive and durable political solution to end the crisis in Syria. The United States remains committed to advancing a political settlement to help end the bloodshed in Syria.
NSF REVEALS HOW SCIENTISTS LOOKED AT HOW MARINE SNAILS SWIM
FROM: NATIONAL SCIENCE FOUNDATION
Oh, the places you'll go--if you're an Atlantic slipper shell
New research reveals the biomechanics of how marine snails swim
December 18, 2013
Walk the beach or peer into a tidepool anywhere along the northeastern U.S. coast, and you'll find shells stacked on top of one another. They're most likely common Atlantic slipper shells, a species of marine snail.
Scientists took a closer look at these ubiquitous snails, and discovered that how their larvae swim is key to the species' seeming residence in every nook and cranny along the coast. And to how the snails may be able to invade new territory.
Equipped with high-speed, high-resolution video, the researchers discovered how the larvae of these marine snails swim, a behavior that determines individual dispersal and ultimately, survival.
Researchers at the Woods Hole Oceanographic Institution (WHOI) and Stony Brook University grew Atlantic slipper limpet larvae, which can become slightly larger than a grain of rice, and recorded videos of them swimming.
In previous studies, it was thought that the larvae swim faster when they beat their hair-like cilia faster. However, this new research shows that's not the case.
"I was very surprised when I saw that there was no relationship between cilia beat frequency and how fast these animals swim," says Karen Chan, a WHOI scientist and the lead author of a paper published today in the journal PLOS ONE.
The larvae control how fast they swim by subtly shifting the position of their velar lobes--flat, disc-shaped wings fringed with cilia.
The ability to make small movements with these velar lobes, akin to how a bird adjusts the angle of its wings while soaring, demonstrates complex neuromuscular control.
"This careful study tells us a lot about how organisms interact with the marine environment, knowledge we need in a time of environmental change," says David Garrison, program director in the National Science Foundation's Division of Ocean Sciences, which funded the research.
The Atlantic slipper shell is a marine snail native to the northeastern United States. It has become an invasive species elsewhere in the world, especially in Europe.
The slipper shell has many common names, including Atlantic slippersnail, boat shell and quarterdeck shell. It is known in the United Kingdom as the common slipper limpet. The species is a medium-sized sea snail, a marine gastropod mollusk in the family Calyptraeidae, the slipper snails and the cup-and-saucer snails.
Paper co-author Dianna Padilla of Stony Brook University collected the snails from the North Shore of Long Island, N.Y. She grew the larvae in her lab, which were then sent to WHOI for video analysis.
Houshuo Jiang, a scientist at WHOI and collaborator on the project, says the goal is to understand the limpet's role in shaping the marine ecosystem.
With support from NSF, Jiang built a customized, vertically-oriented optical system that can magnify and record high-speed, high-resolution video of microorganisms swimming in seawater at 2,000 frames per second.
"Much more can be observed in great detail using this setup than looking through a microscope," Jiang says.
Jiang found that in a single day, slipper shell larvae could vary their speed from swimming one body length per second to four body lengths per second.
"What this means is they have a lot of control over how fast they swim," Chan says. How they swim can determine where they go.
And where they might turn up next.
"These results show the flexibility these little animals have," says Padilla, "which is likely what makes them so successful in their environment."
In addition to NSF, the Croucher Foundation, the Royal Swedish Academy of Sciences and WHOI provided support for the project.
-NSF-
Oh, the places you'll go--if you're an Atlantic slipper shell
New research reveals the biomechanics of how marine snails swim
December 18, 2013
Walk the beach or peer into a tidepool anywhere along the northeastern U.S. coast, and you'll find shells stacked on top of one another. They're most likely common Atlantic slipper shells, a species of marine snail.
Scientists took a closer look at these ubiquitous snails, and discovered that how their larvae swim is key to the species' seeming residence in every nook and cranny along the coast. And to how the snails may be able to invade new territory.
Equipped with high-speed, high-resolution video, the researchers discovered how the larvae of these marine snails swim, a behavior that determines individual dispersal and ultimately, survival.
Researchers at the Woods Hole Oceanographic Institution (WHOI) and Stony Brook University grew Atlantic slipper limpet larvae, which can become slightly larger than a grain of rice, and recorded videos of them swimming.
In previous studies, it was thought that the larvae swim faster when they beat their hair-like cilia faster. However, this new research shows that's not the case.
"I was very surprised when I saw that there was no relationship between cilia beat frequency and how fast these animals swim," says Karen Chan, a WHOI scientist and the lead author of a paper published today in the journal PLOS ONE.
The larvae control how fast they swim by subtly shifting the position of their velar lobes--flat, disc-shaped wings fringed with cilia.
The ability to make small movements with these velar lobes, akin to how a bird adjusts the angle of its wings while soaring, demonstrates complex neuromuscular control.
"This careful study tells us a lot about how organisms interact with the marine environment, knowledge we need in a time of environmental change," says David Garrison, program director in the National Science Foundation's Division of Ocean Sciences, which funded the research.
The Atlantic slipper shell is a marine snail native to the northeastern United States. It has become an invasive species elsewhere in the world, especially in Europe.
The slipper shell has many common names, including Atlantic slippersnail, boat shell and quarterdeck shell. It is known in the United Kingdom as the common slipper limpet. The species is a medium-sized sea snail, a marine gastropod mollusk in the family Calyptraeidae, the slipper snails and the cup-and-saucer snails.
Paper co-author Dianna Padilla of Stony Brook University collected the snails from the North Shore of Long Island, N.Y. She grew the larvae in her lab, which were then sent to WHOI for video analysis.
Houshuo Jiang, a scientist at WHOI and collaborator on the project, says the goal is to understand the limpet's role in shaping the marine ecosystem.
With support from NSF, Jiang built a customized, vertically-oriented optical system that can magnify and record high-speed, high-resolution video of microorganisms swimming in seawater at 2,000 frames per second.
"Much more can be observed in great detail using this setup than looking through a microscope," Jiang says.
Jiang found that in a single day, slipper shell larvae could vary their speed from swimming one body length per second to four body lengths per second.
"What this means is they have a lot of control over how fast they swim," Chan says. How they swim can determine where they go.
And where they might turn up next.
"These results show the flexibility these little animals have," says Padilla, "which is likely what makes them so successful in their environment."
In addition to NSF, the Croucher Foundation, the Royal Swedish Academy of Sciences and WHOI provided support for the project.
-NSF-
Monday, December 23, 2013
PRESIDENT'S MESSAGE TO CONGRESS REGARDING WAR POWERS RESOLUTION INVOLVING SOUTH SUDAN
FROM: THE WHITE HOUSE
Message to the Congress -- War Powers Resolution Regarding South Sudan
TEXT OF A LETTER FROM THE PRESIDENT
TO THE SPEAKER OF THE HOUSE OF REPRESENTATIVES
AND THE PRESIDENT PRO TEMPORE OF THE SENATE
December 22, 2013
Dear Mr. Speaker: (Dear Mr. President:)
In my report to the Congress of December 19, 2013, I provided information on the deployment of U.S. forces to support the security of U.S. personnel and our Embassy in South Sudan. I am providing this additional report, consistent with the War Powers Resolution (Public Law 93-148), to help ensure that the Congress is kept fully informed on U.S. military activities in South Sudan.
On December 21, 2013, approximately 46 additional U.S. military personnel deployed by military aircraft to the area of Bor, South Sudan, to conduct an operation to evacuate U.S. citizens and personnel. After the aircraft came under fire as they approached Bor, the operation was curtailed due to security considerations, and the aircraft and all military personnel onboard departed South Sudan without completing the evacuation.
The purpose of this operation was to protect U.S. citizens, personnel, and property. As I monitor the situation in South Sudan, I may take further action to support the security of U.S. citizens, personnel, and property, including our Embassy, in South Sudan.
This action has been directed consistent with my responsibility to protect U.S. citizens both at home and abroad, and in furtherance of U.S. national security and foreign policy interests, pursuant to my constitutional authority to conduct U.S. foreign relations and as Commander in Chief and Chief Executive.
I appreciate the support of the Congress in these actions.
Sincerely,
BARACK OBAMA
Message to the Congress -- War Powers Resolution Regarding South Sudan
TEXT OF A LETTER FROM THE PRESIDENT
TO THE SPEAKER OF THE HOUSE OF REPRESENTATIVES
AND THE PRESIDENT PRO TEMPORE OF THE SENATE
December 22, 2013
Dear Mr. Speaker: (Dear Mr. President:)
In my report to the Congress of December 19, 2013, I provided information on the deployment of U.S. forces to support the security of U.S. personnel and our Embassy in South Sudan. I am providing this additional report, consistent with the War Powers Resolution (Public Law 93-148), to help ensure that the Congress is kept fully informed on U.S. military activities in South Sudan.
On December 21, 2013, approximately 46 additional U.S. military personnel deployed by military aircraft to the area of Bor, South Sudan, to conduct an operation to evacuate U.S. citizens and personnel. After the aircraft came under fire as they approached Bor, the operation was curtailed due to security considerations, and the aircraft and all military personnel onboard departed South Sudan without completing the evacuation.
The purpose of this operation was to protect U.S. citizens, personnel, and property. As I monitor the situation in South Sudan, I may take further action to support the security of U.S. citizens, personnel, and property, including our Embassy, in South Sudan.
This action has been directed consistent with my responsibility to protect U.S. citizens both at home and abroad, and in furtherance of U.S. national security and foreign policy interests, pursuant to my constitutional authority to conduct U.S. foreign relations and as Commander in Chief and Chief Executive.
I appreciate the support of the Congress in these actions.
Sincerely,
BARACK OBAMA
U.S. DEFENSE DEPARTMENT CONTRACTS FOR DECEMBER 23, 2013
FROM: U.S. DEFENSE DEPARTMENT
CONTRACTS
AIR FORCE
Raytheon Co., Space and Airborne Systems, Marlborough, Mass., has been awarded an $134,399,631 fixed-price-incentive (firm target) contract for the design and development of Global Aircrew Strategic Network Terminals Increment I, with firm-fixed-price and cost-plus-fixed-fee options for manufacturing, installation, and sustainment. Global ASNT Increment I is a secure, survivable multi-path communication system used to disseminate nuclear command and control messages from national-level decision authorities to wing command posts and bomber, tanker and reconnaissance aircrews at geographically dispersed locations. Work will be performed at, Marlborough, Mass., and the design and development is expected to be complete in December 2016, with production, installation, and sustainment options extending to December 2020. This award is the result of a competitive acquisition with one offer received. Fiscal 2013 research, development, test & evaluation funds in the amount of $1,395,000 are being obligated at time of award. Air Force Lifecycle Management Center, Hanscom Air Force Base, Mass., is the contracting authority (FA8705-14-C-0001).
Lockheed Martin Aeronautics Corp., Fort Worth, Texas, has been awarded an $108,194,928 cost-plus-fixed-price modification (P00501) for an existing contract (FA8611-08-C-2897) for F-22 sustainment. The contract modification is for calendar year 2014 F-22 Depot throughput and touch-labor. Work will be performed at Fort Worth, Texas, and is expected to be completed by Dec. 31, 2014. Fiscal 2014 aircraft procurement and operations and maintenance funding in the amount of $36,291,036.00 will be obligated for this effort. This contract is not a multiyear contract. Air Force Life Cycle Management Center/WWUKH, Hill Air Force Base, Utah, is the contracting activity.
Exelis Inc. Radar, Reconnaissance & Undersea Systems, Van Nuys, Calif., has been awarded a $76,164,504 contract for the procurement and installation of nine ground control approach radars 2000 Systems (GCA-2000) plus associated operator and maintenance training for installation at nine airbases in Poland in support of the Polish Armed Forces for the Polish Armaments
Directorate. The contractor will manufacture, assemble, test, install systems to be used for aircraft approach and landing guidance, airspace control services and support of air traffic control operations, mission requirements and operator maintenance training. Work will be performed in Poland, and is expected to be complete by Nov. 2018. This award is 100 percent foreign military sales for Poland. Air Force Life Cycle Management Center/HBAK, Hanscom Air Force Base, Mass., is the contracting activity (FA8730-14-C-0009).
Raytheon Co., Goleta, Calif., has been awarded a not-to-exceed $70,000,000 firm-fixed-price contract for eight Advanced Countermeasures Electronic Systems (ACES) full systems for in country spares, three full systems to support software sustainment activities, 13 ACES Line Replaceable Units (LRU) to create a repair and return spares pool, and 21 ACES LRUs to support operation of ACES reprogramming benches at Warner Robins and Eglin Air Force
Bases, plus a lifetime supply of diminishing manufacturing source parts to support future repair and return and production. Work will be performed at Goleta, Calif., and is expected to be completed March 2017. This award is the result of a sole-source acquisition. This contract is 100 percent foreign military sales for the governments of Morocco, Egypt and Iraq. Air Force Life Cycle Management Center/WWMK, Wright-Patterson AFB, Ohio, is the contracting activity (FA8615-14-C-6022).
CORRECTION: In the Dec. 18, 2013 release of contract FA8616-14-C-6061 to Rockwell Collins, Inc. Government Systems, Cedar Rapids, Iowa, the contract amount should have read $43,812,122.
NAVY
BAE Systems Technology Solutions and Services, Rockville, Md., is being awarded a $48,860,666 cost-plus-fixed-fee, cost reimbursable contract for services in support of the Program Executive Office for Ships, Naval Sea Systems Command, PEO C41, and the Naval Air Warfare Center Aircraft Division. Services provided will include the design, integration, testing, installation, training, and support of shipboard Command, Control, Communications, Computers, & Intelligence (C4I) electronic communication systems for ships of the U.S. Navy. Work will be performed in St. Inigoes, Md. (50 percent); California, Md. (48 percent); Bath, Maine (1 percent); and Pascagoula, Miss. (1 percent), and is expected to be completed in June 2019. Fiscal 2011 and 2012 shipbuilding and conversion, Navy contract funds in the amount of $48,860,666 will be obligated on this award, none of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Warfare Center Aircraft Division, Patuxent River, Md., is the contracting activity (N00421-14-C-0011).
Lockheed Martin, Maritime Systems and Sensors, Moorestown, N.J., is being awarded a $37,133,082 modification to previously awarded contract (N00024-09-C-5103) to incrementally fund the Aegis Platform Systems Engineering Agent (PSEA) activities and Aegis Modernization Advanced Capability Build engineering. The Aegis PSEA manages the in-service combat systems configurations as well as the integration of new or upgraded capability into the CG57 Class of ships and the DDG 51 Class of ships. Aegis Modernization will provide upgrades to Aegis cruisers and Aegis destroyers and will be applicable to all Aegis ships with a computer program that is backfit compatible to Baseline 2 cruisers. Work is being performed in Moorestown, N.J., and is expected to be completed by September 2014. Fiscal 2014 research, development, test and evaluation, Fiscal 2014 operations and maintenance, Navy and Fiscal 2014 other procurement, Navy funds in the amount of $37,133,082 will be obligated at the time of the award. Contract funds in the amount of $3,988,400 will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington D.C., is the contracting activity.
Defense Support Services LLC*, Mount Laurel, N.J., is being awarded a $24,903,892 indefinite-delivery requirements contract for instructional support services to conduct basic and advanced courses on the Navy's Cargo Offload and Discharge System (COLDS), including the operation and maintenance of Navy Lighterage and Improved Navy Lighterage System powered and non-powered craft, other COLDS subsystems, and continued Contractor Instruction, Maintenance, Operations and Training Support, which yields qualified COLDS graduates. Work will be performed in Coronado, Calif. (65 percent) and Norfolk, Va. (35 percent), and is expected to be completed in December 2018. No funds will be obligated at time of award. Funds will be obligated on individual delivery orders as they are issued. No funds will expire at the end of the current fiscal year. This contract was competitively procured via an electronic request for proposals, with one offer received. The Naval Air Warfare Center, Training Systems Division, Orlando, Fla., is the contracting activity (N61340-14-D-0001).
Lockheed Martin Corp., Baltimore, Md., is being awarded a $23,275,441 modification to previously awarded contract (N00024-11-C-2300) to exercise an option for Littoral Combat Ship core class services. Lockheed Martin will provide engineering and design services as well as affordability efforts to reduce LCS acquisition and lifecycle costs. Work will be performed in Moorestown, N.J. (36 percent), Hampton, Va. (30 percent), Washington, D.C. (23 percent), and Marinette, Wis. (11 percent), and is expected to be complete by December 2014. Fiscal 2013 shipbuilding and conversion, Navy funds in the amount of $12,056,601 will be obligated at time of award. Contract funds will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
Austal USA LLC., Mobile, Ala., is being awarded a $14,057,992 modification to previously awarded contract (N00024-11-C-2301) to exercise options for class service efforts for the Littoral Combat Ship (LCS) program. Austal USA will provide engineering and design services as well as affordability efforts to reduce LCS acquisition and lifecycle costs. Work will be performed in Mobile, Ala. (72 percent) and Pittsfield, Mass. (28 percent), and is expected to be complete by December 2014. Fiscal 2013 shipbuilding and conversion, Navy and Fiscal 2014 research, development, test and evaluation contract funds in the amount of $3,984,807 will be obligated at time of award. Contract funds will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
EDO Corp., Panama City, Fla., is being awarded a $13,168,340 firm-fixed-priced, indefinite-delivery/indefinite-quantity contract for depot level repair, maintenance and modifications of the MK105 Magnetic Minesweeping Gear and MH-53E Airborne Mine Neutralization System (AMNS53) Launch and Recovery System and tracking system to support the Navy for the currently deployed Airborne Mine Countermeasures legacy systems. The contract includes the technical support, analysis, repair, modification, interface equipment, and engineering support for the MK105 and AMNS53 systems. The MK105 and AMNS53 are currently fielded for use in the Navy's capability to conduct quick response, high speed airborne mine countermeasures. This includes all depot repairs and incorporation of engineering change proposals, including the generation of all Integrated Logistics Support documentation to support the conversions. This contract includes options which, if exercised, would bring the cumulative value of this contract to $53,877,327. Work will be performed in Panama City, Fla., and is expected to be completed by December 2014. Fiscal 2014 operations and maintenance, Navy funds in the amount of $70,000 will be obligated at time of award and will expire at the end of the current fiscal year. This contract was not competitively procured in accordance with 10 U.S.C. 2304(c)(1) - only one responsible source and no other supplies or services will satisfy agency requirements. Naval Surface Warfare Center Panama City Division, Panama City, Fla., is the contracting activity (N61331-14-D-0002).
Marine Hydraulics International,* Norfolk, Va., was awarded an $11,559,768 modification to previously awarded contract (N00024-10-C-4405) to exercise options for the accomplishment of USS Gonzalez (DDG-66) FY14 Selected Restricted Availability (SRA). An SRA includes the planning and execution of depot-level maintenance, alterations, and modernizations that will update and improve the ship's military and technical capabilities. Work will be performed in Norfolk, Va., and is expected to be completed by July 2014. Fiscal 2014 operations and maintenance, Navy funds in the amount of $11,559,768 will be obligated at time of award and will expire at the end of the current fiscal year. The Norfolk Ship Support Activity, Norfolk, Va., is the contracting activity.
3 Phoenix, Inc., Chantilly, Va., is being awarded a $10,576,352 cost-plus-fixed-fee modification to previously awarded contract (N00024-11-C-6287) for the procurement of engineering services for development, integration, and logistic support of the Torpedo Warning System (TWS). The TWS provides surface ships with the ability to detect threat torpedoes and thereby employ defensive measures including maneuver and hard and soft kill countermeasures. Work will be performed in Chantilly, Va., (46 percent); Fairfax, Va., (28 percent); Houston, Texas, (18 percent); Wake Forest, N.C., (6 percent), and Hanover, Md., (2 percent), and is expected to be completed by October 2014. Fiscal 2014 research, development, test and evaluation funding in the amount of $7,566,566 will be obligated at time of award and will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
Northrop Grumman Technical Services, Herndon, Va., is being awarded a $9,531,889 cost-plus-fixed-fee contract to provide maintenance services for E-2C, E-2D, and C-2 aircraft in support of the VX-20 Squadron. Work will be performed at the Naval Air Station, Patuxent River, Md. (95 percent) and in St. Augustine, Fla. (5 percent), and is expected to be completed in December 2014. Fiscal 2014 Navy working capital fund in the amount of $4,175,000 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Warfare Center Aircraft Division, Patuxent River, Md., is the contracting activity (N00421-14-C-0009).
Bell Boeing Joint Project Office, Amarillo, Texas, is being awarded an $8,991,254 modification to a previously awarded cost-plus-fixed-fee, firm-fixed-price contract (N00019-13-C-0021) to exercise an option for two V-22 Block A to B 50-69 series upgrade kits. Work will be performed in Philadelphia, Pa. (60 percent) and Fort Worth, Texas (40 percent), and is expected to be completed in November 2015. Fiscal 2014 aircraft procurement, Navy contract funds in the amount of $8,991,254 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air System Command, Patuxent River, Md., is the contracting activity.
Hornbeck Offshore Services, LLC, Covington, La., is being awarded an $8,080,209 modification under a previously awarded firm-fixed-price contract (N00033-11-C-2000) to exercise a one-year option for the time charter of one offshore supply vessel, HOS Dominator. The ship's primary mission will be to provide submarine rescue diving and recompression system support service, in support of Commander, Submarine Forces, U.S. Pacific Fleet. Work will be performed at sea on the U.S. East Coast, U.S. West Coast, Hawaii and Alaska, and is expected to be completed by December 2014. Fiscal 2014 Working capital contract funds in the amount of $6,090,691 will be obligated on this award, and will not expire at the end of the current fiscal year. The U.S. Navy's Military Sealift Command is the contracting activity (N00033-11-C-2000).
General Dynamics Bath Iron Works, Bath, Maine, was awarded a $7,684,132 cost-plus-fixed-fee delivery order under Basic Ordering Agreement (N00024-12-G-4330) for the accomplishment of the Planning Yard Services in support of LCS-2 and LCS-4. Planning yard functions ensure well-integrated and executed planned and emergent maintenance support, and in-service sustainment. These services will include: vendor training and crew familiarization; in-service engineering support; trainer support; availability advanced planning; long lead time material planning and procurement; material warehousing; logistics product updates; and class sustainment management. Work will be performed in Bath, Maine, and is expected to be completed by Dec. 21, 2014. Fiscal 2014 operations and maintenance, Navy contract in the amount of $1,000,000 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.
The Boeing Co., Seattle, Wash., is being awarded a $6,781,461 modification to a previously awarded fixed-price-incentive-firm contract (N00019-12-C-0112) for initial spares in support of eight P-8A Low Rate initial Production Lot IV aircraft. Work will be performed in Grand Rapids, Mich. (24.9 percent); Torrance, Calif. (18.8 percent); Greenlawn, N.Y. (15 percent); Irvine, Calif. (14.5 percent); Freeland, Wash. (8.5 percent); Avenel, N.J. (5.2 percent); Rockford, Ill. (3.3 percent); Wilson, N.C. (3.1 percent); Manfield, Ohio (2.8 percent); Rochester, N.Y. (1.8 percent); West Chester, Ohio (1.5 percent); Sarasota, Fla. (.5 percent), and Wichita, Kansas (.1 percent). Work is expected to be completed in April 2017. Fiscal 2013 aircraft procurement Navy contract funds in the amount of $6,781,461 are being obligated on this award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
ARMY
Sikorsky Aircraft Corp., Stratford, Conn., was awarded a $723,998,360 modification (P00127) to contract W58RGZ-12-C-0008 to fund program year three for 33 UH-60M helicopters and 24 HH-60M helicopters, and associated program management, systems engineering, provisioning, technical publications, and integrated logistics support. Also provided for are advance procurement funding (termination liability) for program years four and five. Fiscal 2014 other procurement funds in the amount of $723,998,360 were obligated at the time of the award. Estimated completion date is June 30, 2015. Work will be performed in Stratford, Conn. Army Contracting Command, Redstone Arsenal, Ala. is the contracting activity.
Oshkosh Corp., Oshkosh, Wisc., was awarded a $104,944,411 modification (000721) to contract W56HZV-09-D-0159 to add an additional 545 medium tactical vehicles, 79 trailers, and applicable federal excise tax to the contract. Fiscal 2014 other procurement Army funds in the amount of $104,944,411were obligated at the time of the award. Estimated completion date is Nov. 30, 2015. Bids were solicited via the Internet with three received. Work will be performed in Oshkosh, Wisc. Army Contracting Command, Warren, Mich. is the contracting activity.
AAI Corp., Hunt Valley, Md. was awarded a $23,024,245 modification (P00009) to contract W58RGZ-13-C-0016 for logistics support for the "One System Remote Video Terminal" in Afghanistan. Fiscal 2014 operations and maintenance (Army) funds in the amount of $23,024,245 were obligated at the time of the award. Estimated completion date is Dec. 30, 2014. Work will be performed in Hunt Valley, Md. Army Contracting Command, Redstone Arsenal, Ala. is the contracting activity.
Lockheed Martin Missiles and Fire Control, Orlando, Fla., was awarded a $14,500,852 modification (P00047) to contract W58RGZ-11-C-0120 for engineering and logistics services to implement and field the Modernized Target Acquisition Designation Sight High Reliability Turret. Fiscal 2014 other procurement funds in the amount of $14,500,852 were obligated at the time of the award. Estimated completion date is Sept. 30, 2017. Bids were solicited via the Internet with one received. Work will be performed in Orlando, Fla. Army Contracting Command, Redstone Arsenal, Ala. is the contracting activity.
Navistar Defense, LLC, Lisle, Ill. was awarded a $6,920,507 modification (P00086) to contract W56HZV-10-C-0011 for field service support in the continental United States and overseas for Mine Resistant Ambush Protected MaxxPro vehicles. Fiscal 2014 operations and maintenance (Army) funds in the amount of $6,920,507 were obligated at the time of the award. Estimated completion date is Dec. 31, 2014. Bids were solicited via the Internet with one received. Work will be performed in Lisle, Ill., and Afghanistan. Army Contracting Command, Warren, Mich. is the contracting activity.
DEFENSE LOGISTICS AGENCY
Eagle Crusher Company Inc., Galion, Ohio, has been awarded a maximum $157,500,000 fixed-price with economic-price-adjustment contract for the procurement of commercial type environmental equipment. This contract is a competitive acquisition, and sixteen offers were received. This contract is one of up to ten contracts being issued against solicitation number SPM8EC-11-R-0006 and with requirements that specifically call for environmental equipment within the product line and will be competed amongst other contractors who receive a contract under this solicitation. This is a five-year base. Location of performance is Ohio with a Dec. 22, 2018 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal year 2014 through fiscal year 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa., (SPE8EC-14-D-0004).
Revision Military,* Essex Junction, Vt., has been awarded a maximum $21,139,200 firm-fixed-price, definite-quantity contract for the procurement of advanced combat helmets. This contract is a competitive acquisition, and two offers were received. Location of performance is Vermont with an Apr. 15, 2015 performance completion date. Using military services are Army, Navy, Air Force, and Marine Corps. Type of appropriation is fiscal year 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa., (SPM1C1-14-C-0006).
CORRECTION: In the Dec. 20, 2013 contract announcements, the award to CFM International, Cincinnati, Ohio, had an incorrect contract number. The correct number is SPRTA1-14-G-0002-0002.
*Small Business
CONTRACTS
AIR FORCE
Raytheon Co., Space and Airborne Systems, Marlborough, Mass., has been awarded an $134,399,631 fixed-price-incentive (firm target) contract for the design and development of Global Aircrew Strategic Network Terminals Increment I, with firm-fixed-price and cost-plus-fixed-fee options for manufacturing, installation, and sustainment. Global ASNT Increment I is a secure, survivable multi-path communication system used to disseminate nuclear command and control messages from national-level decision authorities to wing command posts and bomber, tanker and reconnaissance aircrews at geographically dispersed locations. Work will be performed at, Marlborough, Mass., and the design and development is expected to be complete in December 2016, with production, installation, and sustainment options extending to December 2020. This award is the result of a competitive acquisition with one offer received. Fiscal 2013 research, development, test & evaluation funds in the amount of $1,395,000 are being obligated at time of award. Air Force Lifecycle Management Center, Hanscom Air Force Base, Mass., is the contracting authority (FA8705-14-C-0001).
Lockheed Martin Aeronautics Corp., Fort Worth, Texas, has been awarded an $108,194,928 cost-plus-fixed-price modification (P00501) for an existing contract (FA8611-08-C-2897) for F-22 sustainment. The contract modification is for calendar year 2014 F-22 Depot throughput and touch-labor. Work will be performed at Fort Worth, Texas, and is expected to be completed by Dec. 31, 2014. Fiscal 2014 aircraft procurement and operations and maintenance funding in the amount of $36,291,036.00 will be obligated for this effort. This contract is not a multiyear contract. Air Force Life Cycle Management Center/WWUKH, Hill Air Force Base, Utah, is the contracting activity.
Exelis Inc. Radar, Reconnaissance & Undersea Systems, Van Nuys, Calif., has been awarded a $76,164,504 contract for the procurement and installation of nine ground control approach radars 2000 Systems (GCA-2000) plus associated operator and maintenance training for installation at nine airbases in Poland in support of the Polish Armed Forces for the Polish Armaments
Directorate. The contractor will manufacture, assemble, test, install systems to be used for aircraft approach and landing guidance, airspace control services and support of air traffic control operations, mission requirements and operator maintenance training. Work will be performed in Poland, and is expected to be complete by Nov. 2018. This award is 100 percent foreign military sales for Poland. Air Force Life Cycle Management Center/HBAK, Hanscom Air Force Base, Mass., is the contracting activity (FA8730-14-C-0009).
Raytheon Co., Goleta, Calif., has been awarded a not-to-exceed $70,000,000 firm-fixed-price contract for eight Advanced Countermeasures Electronic Systems (ACES) full systems for in country spares, three full systems to support software sustainment activities, 13 ACES Line Replaceable Units (LRU) to create a repair and return spares pool, and 21 ACES LRUs to support operation of ACES reprogramming benches at Warner Robins and Eglin Air Force
Bases, plus a lifetime supply of diminishing manufacturing source parts to support future repair and return and production. Work will be performed at Goleta, Calif., and is expected to be completed March 2017. This award is the result of a sole-source acquisition. This contract is 100 percent foreign military sales for the governments of Morocco, Egypt and Iraq. Air Force Life Cycle Management Center/WWMK, Wright-Patterson AFB, Ohio, is the contracting activity (FA8615-14-C-6022).
CORRECTION: In the Dec. 18, 2013 release of contract FA8616-14-C-6061 to Rockwell Collins, Inc. Government Systems, Cedar Rapids, Iowa, the contract amount should have read $43,812,122.
NAVY
BAE Systems Technology Solutions and Services, Rockville, Md., is being awarded a $48,860,666 cost-plus-fixed-fee, cost reimbursable contract for services in support of the Program Executive Office for Ships, Naval Sea Systems Command, PEO C41, and the Naval Air Warfare Center Aircraft Division. Services provided will include the design, integration, testing, installation, training, and support of shipboard Command, Control, Communications, Computers, & Intelligence (C4I) electronic communication systems for ships of the U.S. Navy. Work will be performed in St. Inigoes, Md. (50 percent); California, Md. (48 percent); Bath, Maine (1 percent); and Pascagoula, Miss. (1 percent), and is expected to be completed in June 2019. Fiscal 2011 and 2012 shipbuilding and conversion, Navy contract funds in the amount of $48,860,666 will be obligated on this award, none of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Warfare Center Aircraft Division, Patuxent River, Md., is the contracting activity (N00421-14-C-0011).
Lockheed Martin, Maritime Systems and Sensors, Moorestown, N.J., is being awarded a $37,133,082 modification to previously awarded contract (N00024-09-C-5103) to incrementally fund the Aegis Platform Systems Engineering Agent (PSEA) activities and Aegis Modernization Advanced Capability Build engineering. The Aegis PSEA manages the in-service combat systems configurations as well as the integration of new or upgraded capability into the CG57 Class of ships and the DDG 51 Class of ships. Aegis Modernization will provide upgrades to Aegis cruisers and Aegis destroyers and will be applicable to all Aegis ships with a computer program that is backfit compatible to Baseline 2 cruisers. Work is being performed in Moorestown, N.J., and is expected to be completed by September 2014. Fiscal 2014 research, development, test and evaluation, Fiscal 2014 operations and maintenance, Navy and Fiscal 2014 other procurement, Navy funds in the amount of $37,133,082 will be obligated at the time of the award. Contract funds in the amount of $3,988,400 will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington D.C., is the contracting activity.
Defense Support Services LLC*, Mount Laurel, N.J., is being awarded a $24,903,892 indefinite-delivery requirements contract for instructional support services to conduct basic and advanced courses on the Navy's Cargo Offload and Discharge System (COLDS), including the operation and maintenance of Navy Lighterage and Improved Navy Lighterage System powered and non-powered craft, other COLDS subsystems, and continued Contractor Instruction, Maintenance, Operations and Training Support, which yields qualified COLDS graduates. Work will be performed in Coronado, Calif. (65 percent) and Norfolk, Va. (35 percent), and is expected to be completed in December 2018. No funds will be obligated at time of award. Funds will be obligated on individual delivery orders as they are issued. No funds will expire at the end of the current fiscal year. This contract was competitively procured via an electronic request for proposals, with one offer received. The Naval Air Warfare Center, Training Systems Division, Orlando, Fla., is the contracting activity (N61340-14-D-0001).
Lockheed Martin Corp., Baltimore, Md., is being awarded a $23,275,441 modification to previously awarded contract (N00024-11-C-2300) to exercise an option for Littoral Combat Ship core class services. Lockheed Martin will provide engineering and design services as well as affordability efforts to reduce LCS acquisition and lifecycle costs. Work will be performed in Moorestown, N.J. (36 percent), Hampton, Va. (30 percent), Washington, D.C. (23 percent), and Marinette, Wis. (11 percent), and is expected to be complete by December 2014. Fiscal 2013 shipbuilding and conversion, Navy funds in the amount of $12,056,601 will be obligated at time of award. Contract funds will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
Austal USA LLC., Mobile, Ala., is being awarded a $14,057,992 modification to previously awarded contract (N00024-11-C-2301) to exercise options for class service efforts for the Littoral Combat Ship (LCS) program. Austal USA will provide engineering and design services as well as affordability efforts to reduce LCS acquisition and lifecycle costs. Work will be performed in Mobile, Ala. (72 percent) and Pittsfield, Mass. (28 percent), and is expected to be complete by December 2014. Fiscal 2013 shipbuilding and conversion, Navy and Fiscal 2014 research, development, test and evaluation contract funds in the amount of $3,984,807 will be obligated at time of award. Contract funds will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
EDO Corp., Panama City, Fla., is being awarded a $13,168,340 firm-fixed-priced, indefinite-delivery/indefinite-quantity contract for depot level repair, maintenance and modifications of the MK105 Magnetic Minesweeping Gear and MH-53E Airborne Mine Neutralization System (AMNS53) Launch and Recovery System and tracking system to support the Navy for the currently deployed Airborne Mine Countermeasures legacy systems. The contract includes the technical support, analysis, repair, modification, interface equipment, and engineering support for the MK105 and AMNS53 systems. The MK105 and AMNS53 are currently fielded for use in the Navy's capability to conduct quick response, high speed airborne mine countermeasures. This includes all depot repairs and incorporation of engineering change proposals, including the generation of all Integrated Logistics Support documentation to support the conversions. This contract includes options which, if exercised, would bring the cumulative value of this contract to $53,877,327. Work will be performed in Panama City, Fla., and is expected to be completed by December 2014. Fiscal 2014 operations and maintenance, Navy funds in the amount of $70,000 will be obligated at time of award and will expire at the end of the current fiscal year. This contract was not competitively procured in accordance with 10 U.S.C. 2304(c)(1) - only one responsible source and no other supplies or services will satisfy agency requirements. Naval Surface Warfare Center Panama City Division, Panama City, Fla., is the contracting activity (N61331-14-D-0002).
Marine Hydraulics International,* Norfolk, Va., was awarded an $11,559,768 modification to previously awarded contract (N00024-10-C-4405) to exercise options for the accomplishment of USS Gonzalez (DDG-66) FY14 Selected Restricted Availability (SRA). An SRA includes the planning and execution of depot-level maintenance, alterations, and modernizations that will update and improve the ship's military and technical capabilities. Work will be performed in Norfolk, Va., and is expected to be completed by July 2014. Fiscal 2014 operations and maintenance, Navy funds in the amount of $11,559,768 will be obligated at time of award and will expire at the end of the current fiscal year. The Norfolk Ship Support Activity, Norfolk, Va., is the contracting activity.
3 Phoenix, Inc., Chantilly, Va., is being awarded a $10,576,352 cost-plus-fixed-fee modification to previously awarded contract (N00024-11-C-6287) for the procurement of engineering services for development, integration, and logistic support of the Torpedo Warning System (TWS). The TWS provides surface ships with the ability to detect threat torpedoes and thereby employ defensive measures including maneuver and hard and soft kill countermeasures. Work will be performed in Chantilly, Va., (46 percent); Fairfax, Va., (28 percent); Houston, Texas, (18 percent); Wake Forest, N.C., (6 percent), and Hanover, Md., (2 percent), and is expected to be completed by October 2014. Fiscal 2014 research, development, test and evaluation funding in the amount of $7,566,566 will be obligated at time of award and will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
Northrop Grumman Technical Services, Herndon, Va., is being awarded a $9,531,889 cost-plus-fixed-fee contract to provide maintenance services for E-2C, E-2D, and C-2 aircraft in support of the VX-20 Squadron. Work will be performed at the Naval Air Station, Patuxent River, Md. (95 percent) and in St. Augustine, Fla. (5 percent), and is expected to be completed in December 2014. Fiscal 2014 Navy working capital fund in the amount of $4,175,000 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Warfare Center Aircraft Division, Patuxent River, Md., is the contracting activity (N00421-14-C-0009).
Bell Boeing Joint Project Office, Amarillo, Texas, is being awarded an $8,991,254 modification to a previously awarded cost-plus-fixed-fee, firm-fixed-price contract (N00019-13-C-0021) to exercise an option for two V-22 Block A to B 50-69 series upgrade kits. Work will be performed in Philadelphia, Pa. (60 percent) and Fort Worth, Texas (40 percent), and is expected to be completed in November 2015. Fiscal 2014 aircraft procurement, Navy contract funds in the amount of $8,991,254 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air System Command, Patuxent River, Md., is the contracting activity.
Hornbeck Offshore Services, LLC, Covington, La., is being awarded an $8,080,209 modification under a previously awarded firm-fixed-price contract (N00033-11-C-2000) to exercise a one-year option for the time charter of one offshore supply vessel, HOS Dominator. The ship's primary mission will be to provide submarine rescue diving and recompression system support service, in support of Commander, Submarine Forces, U.S. Pacific Fleet. Work will be performed at sea on the U.S. East Coast, U.S. West Coast, Hawaii and Alaska, and is expected to be completed by December 2014. Fiscal 2014 Working capital contract funds in the amount of $6,090,691 will be obligated on this award, and will not expire at the end of the current fiscal year. The U.S. Navy's Military Sealift Command is the contracting activity (N00033-11-C-2000).
General Dynamics Bath Iron Works, Bath, Maine, was awarded a $7,684,132 cost-plus-fixed-fee delivery order under Basic Ordering Agreement (N00024-12-G-4330) for the accomplishment of the Planning Yard Services in support of LCS-2 and LCS-4. Planning yard functions ensure well-integrated and executed planned and emergent maintenance support, and in-service sustainment. These services will include: vendor training and crew familiarization; in-service engineering support; trainer support; availability advanced planning; long lead time material planning and procurement; material warehousing; logistics product updates; and class sustainment management. Work will be performed in Bath, Maine, and is expected to be completed by Dec. 21, 2014. Fiscal 2014 operations and maintenance, Navy contract in the amount of $1,000,000 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.
The Boeing Co., Seattle, Wash., is being awarded a $6,781,461 modification to a previously awarded fixed-price-incentive-firm contract (N00019-12-C-0112) for initial spares in support of eight P-8A Low Rate initial Production Lot IV aircraft. Work will be performed in Grand Rapids, Mich. (24.9 percent); Torrance, Calif. (18.8 percent); Greenlawn, N.Y. (15 percent); Irvine, Calif. (14.5 percent); Freeland, Wash. (8.5 percent); Avenel, N.J. (5.2 percent); Rockford, Ill. (3.3 percent); Wilson, N.C. (3.1 percent); Manfield, Ohio (2.8 percent); Rochester, N.Y. (1.8 percent); West Chester, Ohio (1.5 percent); Sarasota, Fla. (.5 percent), and Wichita, Kansas (.1 percent). Work is expected to be completed in April 2017. Fiscal 2013 aircraft procurement Navy contract funds in the amount of $6,781,461 are being obligated on this award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
ARMY
Sikorsky Aircraft Corp., Stratford, Conn., was awarded a $723,998,360 modification (P00127) to contract W58RGZ-12-C-0008 to fund program year three for 33 UH-60M helicopters and 24 HH-60M helicopters, and associated program management, systems engineering, provisioning, technical publications, and integrated logistics support. Also provided for are advance procurement funding (termination liability) for program years four and five. Fiscal 2014 other procurement funds in the amount of $723,998,360 were obligated at the time of the award. Estimated completion date is June 30, 2015. Work will be performed in Stratford, Conn. Army Contracting Command, Redstone Arsenal, Ala. is the contracting activity.
Oshkosh Corp., Oshkosh, Wisc., was awarded a $104,944,411 modification (000721) to contract W56HZV-09-D-0159 to add an additional 545 medium tactical vehicles, 79 trailers, and applicable federal excise tax to the contract. Fiscal 2014 other procurement Army funds in the amount of $104,944,411were obligated at the time of the award. Estimated completion date is Nov. 30, 2015. Bids were solicited via the Internet with three received. Work will be performed in Oshkosh, Wisc. Army Contracting Command, Warren, Mich. is the contracting activity.
AAI Corp., Hunt Valley, Md. was awarded a $23,024,245 modification (P00009) to contract W58RGZ-13-C-0016 for logistics support for the "One System Remote Video Terminal" in Afghanistan. Fiscal 2014 operations and maintenance (Army) funds in the amount of $23,024,245 were obligated at the time of the award. Estimated completion date is Dec. 30, 2014. Work will be performed in Hunt Valley, Md. Army Contracting Command, Redstone Arsenal, Ala. is the contracting activity.
Lockheed Martin Missiles and Fire Control, Orlando, Fla., was awarded a $14,500,852 modification (P00047) to contract W58RGZ-11-C-0120 for engineering and logistics services to implement and field the Modernized Target Acquisition Designation Sight High Reliability Turret. Fiscal 2014 other procurement funds in the amount of $14,500,852 were obligated at the time of the award. Estimated completion date is Sept. 30, 2017. Bids were solicited via the Internet with one received. Work will be performed in Orlando, Fla. Army Contracting Command, Redstone Arsenal, Ala. is the contracting activity.
Navistar Defense, LLC, Lisle, Ill. was awarded a $6,920,507 modification (P00086) to contract W56HZV-10-C-0011 for field service support in the continental United States and overseas for Mine Resistant Ambush Protected MaxxPro vehicles. Fiscal 2014 operations and maintenance (Army) funds in the amount of $6,920,507 were obligated at the time of the award. Estimated completion date is Dec. 31, 2014. Bids were solicited via the Internet with one received. Work will be performed in Lisle, Ill., and Afghanistan. Army Contracting Command, Warren, Mich. is the contracting activity.
DEFENSE LOGISTICS AGENCY
Eagle Crusher Company Inc., Galion, Ohio, has been awarded a maximum $157,500,000 fixed-price with economic-price-adjustment contract for the procurement of commercial type environmental equipment. This contract is a competitive acquisition, and sixteen offers were received. This contract is one of up to ten contracts being issued against solicitation number SPM8EC-11-R-0006 and with requirements that specifically call for environmental equipment within the product line and will be competed amongst other contractors who receive a contract under this solicitation. This is a five-year base. Location of performance is Ohio with a Dec. 22, 2018 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal year 2014 through fiscal year 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa., (SPE8EC-14-D-0004).
Revision Military,* Essex Junction, Vt., has been awarded a maximum $21,139,200 firm-fixed-price, definite-quantity contract for the procurement of advanced combat helmets. This contract is a competitive acquisition, and two offers were received. Location of performance is Vermont with an Apr. 15, 2015 performance completion date. Using military services are Army, Navy, Air Force, and Marine Corps. Type of appropriation is fiscal year 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa., (SPM1C1-14-C-0006).
CORRECTION: In the Dec. 20, 2013 contract announcements, the award to CFM International, Cincinnati, Ohio, had an incorrect contract number. The correct number is SPRTA1-14-G-0002-0002.
*Small Business
JUSTICE ANNOUNCES RECOVERY OF $3.8 BILLION FROM FALSE CLAIM ACT CASES IN FISCAL 2013
FROM: U.S. JUSTICE DEPARTMENT
Friday, December 20, 2013
Justice Department Recovers $3.8 Billion from False Claims Act Cases in Fiscal Year 2013
Second Largest Annual Recovery in History Whistleblower Lawsuits Soar to 752
The Justice Department secured $3. 8 billion in settlements and judgments from civil cases involving fraud against the government in the fiscal year ending Sept. 30, 2013, Assistant Attorney General for the Civil Division Stuart F. Delery announced today. This dollar amount, which is the second largest annual recovery of its type in history, brings total recoveries under the False Claims Act since January 2009 to $ 17 billion – nearly half the total recoveries since the Act was amended 27 years ago in 1986.
The Justice Department’s fiscal year 2013 efforts recovered more than $3 billion for the fourth year in a row and are surpassed only by last year’s nearly $5 billion in recoveries. As in previous years, the largest recoveries related to health care fraud, which reached $2. 6 billion. Procurement fraud (related primarily to defense contracts) accounted for another $ 890 million – a record in that area.
“It has been another banner year for civil fraud recoveries, but more importantly, it has been a great year for the taxpayer and for the millions of Americans, state agencies and organizations that benefit from government programs and contracts,” said Assistant Attorney General Delery. “The $3. 8 billion in federal False Claims Act recoveries in fiscal year 2013, plus another $443 million in recoveries for state Medicaid programs, restores scarce taxpayer dollars to federal and state governments. The government’s success in these cases is also a strong deterrent to others who would misuse public funds, which means government programs designed to keep us safer, healthier and economically more prosperous can do so without the corrosive effects of fraud and false claims.”
The False Claims Act is the government’s primary civil remedy to redress false claims for government funds and property under government contracts, including national security and defense contracts, as well as under government programs as varied as Medicare, veterans benefits, federally insured loans and mortgages, transportation and research grants, agricultural supports, school lunches and disaster assistance. In 1986, Congress strengthened the Act by amending it to increase incentives for whistleblowers to file lawsuits on behalf of the government, which has led to more investigations and greater recoveries.
Most false claims actions are filed under the Act’s whistleblower, or qui tam, provisions, which allow private citizens to file lawsuits alleging false claims on behalf of the government. If the government prevails in the action, the whistleblower, known as a relator, receives up to 30 perc ent of the recovery. The number of qui tam suits filed in fiscal year 2013 soared to 752 –100 more than the record set the previous fiscal year. Recoveries in qui tam cases during fiscal year 2013 totaled $2. 9 billion , with whistleblowers recovering $345 million.
Health Care Fraud
The $2. 6 billion in health care fraud recoveries in fiscal year 2013 marks four straight years the department has recovered more than $2 billion in cases involving health care fraud. This steady, significant and continuing success can be attributed to the high priority the Obama Administration has placed on fighting health care fraud. In 2009, Attorney General Eric Holder and Health and Human Services Secretary Kathleen Sebelius announced the creation of an interagency task force, the Health Care Fraud Prevention and Enforcement Action Team (HEAT), to increase coordination and optimize criminal and civil enforcement. This coordination has yielded historic results: From January 2009 through the end of the 2013 fiscal year, the department used the False Claims Act to recover $12 .1 billion in federal health care dollars. Most of these recoveries relate to fraud against Medicare and Medicaid. Additional information on the government’s efforts in this area is available at StopMedicareFraud.gov, a webpage jointly established by the Departments of Justice and Health and Human Services.
Some of the largest recoveries this past fiscal year involved allegations of fraud and false claims in the pharmaceutical and medical device industries. Of the $2. 6 billion in federal health care fraud recoveries, $1.8 billion were from alleged false claims for drugs and medical devices under federally insured health programs that, in addition to Medicare and Medicaid, include TRICARE, which provides benefits for military personnel and their families, veterans’ health care programs and the Federal Employees Health Benefits Program. The department recovered an additional $443 million for state Medicaid programs.
Many of these settlements involved allegations that pharmaceutical manufacturers improperly promoted their drugs for uses not approved by the Food and Drug Administration (FDA) – a practice known as “off-label marketing.” For example, drug manufacturer Abbott Laboratories Inc. paid $1.5 billion to resolve allegations that it illegally promoted the drug Depakote to treat agitation and aggression in elderly dementia patients and schizophrenia when neither of these uses was approved as safe and effective by the FDA. This landmark $1.5 billion settlement included $575 million in federal civil recoveries, $225 million in state civil recoveries and nearly $700 million in criminal fines and forfeitures. In another major pharmaceutical case, biotech giant Amgen Inc. paid the government $762 million, including $598.5 million in False Claims Act recoveries, to settle allegations that included its illegal promotion of Aranesp, a drug used to treat anemia, in doses not approved by the FDA and for off-label use to treat non-anemia-related conditions. For details, see Abbott, Abbott sentencing, and Amgen.
The department also settled allegations relating to the manufacture and distribution of adulterated drugs. For example, generic drug manufacturer Ranbaxy USA Inc. paid $505 million to settle allegations of false claims to federal and state health care programs for adulterated drugs distributed from its facilities in India. The settlement included $237 million in federal civil claims, $118 million in state civil claims and $150 million in criminal fines and forfeitures. For details, see Ranbaxy.
Adding to its successes under the False Claims Act, the Civil Division’s Consumer Protection Branch, together with U.S. Attorneys across the country, obtained 16 criminal convictions and more than $1. 3 billion in criminal fines, forfeitures and disgorgement under the Federal Food, Drug and Cosmetic Act (FDCA). The FDCA protects the health and safety of the public by ensuring, among other things, that drugs intended for use in humans are safe and effective for their intended uses and that the labeling of such drugs bears true, complete and accurate information.
In other areas of health care fraud, the department obtained a $237 million judgment against South Carolina-based Tuomey Healthcare System Inc., after a four-week trial, for violating the Stark Law and the False Claims Act. The Stark Law prohibits hospitals from submitting claims to Medicare for patients referred to the hospital by physicians who have a prohibited financial relationship with the hospital. Tuomey’s appeal of the $237 million judgment is pending. If the judgment is affirmed on appeal, this will be the largest judgment in the history of the Stark Law. For the court’s opinion, see Tuomey.
The department also recovered $26.3 million in a settlement with Steven J. Wasserman M.D., a dermatologist practicing in Florida, to resolve allegations that he entered into an illegal kickback arrangement with Tampa Pathology Laboratory that resulted in increased claims to Medicare. Tampa Pathology Laboratory previously paid the government $950,000 for its role in the alleged scheme. The $26.3 million settlement is one of the largest with an individual in the history of the False Claims Act. For details, see Wasserman.
Procurement Fraud
Fiscal year 2013 was a record year for procurement fraud matters. The department secured more than $887 million in settlements and judgments based on allegations of false claims and corruption involving government contracts. Prominent among these successes was the department’s $664 million judgment against Connecticut-based defense contractor United Technologies Corp. (UTC). A federal court found UTC liable for making false statements to the Air Force in negotiating the price of a contract for fighter jet engines. In 2004, the department had won a smaller judgment after a three-month trial. Both sides appealed, but the government’s arguments prevailed, resulting in the case being returned to the trial court to reassess damages. The $664 million judgment, which UTC has appealed, is the largest judgment in the history of the False Claims Act and, if the appellate court affirms, will be the largest procurement recovery in history. For details, see UTC.
The department also settled allegations of false claims with two companies in connection with their contracts with the General Services Administration (GSA) to market their products through the Multiple Award Schedule (MAS) program. To be awarded a MAS contract, and thereby gain access to the broad government marketplace, contractors must provide GSA with complete, accurate and current information about their commercial sales practices, including discounts afforded to their commercial customers. The government alleged that W.W. Grainger Inc., a national hardware distributor headquartered in Illinois, and Ohio-based RPM International Inc. and its subsidiary, Tremco Inc., a roofing supplies and services firm, failed to disclose discounts given to their commercial customers, which resulted in government customers paying higher prices. The department recovered $70 million from W.W. Grainger in a settlement that also included allegations relating to a U.S. Postal Services contract and $61 million from RPM International Inc. and Tremco. For details, see Grainger, RPM/Tremco.
Other Fraud Recoveries
A $45 million settlement with Japan-based Toyo Ink S.C. Holdings Co. Ltd. and its Japanese and United States affiliates (collectively Toyo) demonstrates the breadth of cases the department pursues. This settlement resolved allegations that Toyo misrepresented the country of origin on documents presented to the Department of Homeland Security’s U.S. Customs and Border Protection to evade antidumping and countervailing duties on imports of the colorant carbazole violet pigment into the United States. These duties protect U.S. businesses by offsetting unfair foreign pricing and foreign government subsidies. For details, see Toyo.
The False Claims Act also is used to redress grant fraud. In a significant case involving a grant from the Department of Education, Education Holdings Inc. (formerly The Princeton Review Inc.) paid $10 million to resolve allegations that the company fabricated attendance records for thousands of hours of afterschool tutoring of students that was funded by the federal grant. For details, see Education Holdings.
Recoveries in Whistleblower Suits
Of the $3. 8 billion the department recovered in fiscal year 2013, $2. 9 billion related to lawsuits filed under the qui tam provisions of the False Claims Act. During the same period, the department paid out more than $345 million to the courageous individuals who exposed fraud and false claims by filing a qui tam complaint. (The average share paid to whistleblowers in fiscal year 2013 cannot be determined from these numbers because the awards paid to whistleblowers in one fiscal year do not always coincide with the fiscal year in which the case was resolved, and the fiscal year’s recoveries may include amounts to settle allegations outside the whistleblower’s complaint.)
Whistleblower lawsuits were in the range of three to four hundred per year from 2000 to 2009, when they began their climb from 433 lawsuits in fiscal year 2009 to 752 lawsuits in fiscal year 2013. Due to the complexity of fraud investigations generally, the outcomes of many of the qui tam cases filed this past fiscal year are not yet known, but the growing number of lawsuits filed since 2009 have led to increased recoveries. Qui tam recoveries exceeded $2 billion for the first time in fiscal year 2010 and have continued to exceed that amount every year since. Qui tam recoveries this past fiscal year bring the department’s totals since January 2009 to $13.4 billion. During the same period, the department paid out $1.98 billion in whistleblower awards.
“These recoveries would not have been possible without the brave contributions made by ordinary men and women who made extraordinary sacrifices to expose fraud and corruption in government programs,” said Assistant Attorney General Delery. “We are also grateful to Congress and its continued support of strengthening the False Claims Act, including its qui tam provisions, giving the department the tools necessary to pursue false claims.”
In 1986, Senator Charles Grassley and Representative Howard Berman led successful efforts in Congress to amend the False Claims Act to, among other things, encourage whistleblowers to come forward with allegations of fraud. In 2009, Senator Patrick J. Leahy, along with Senator Grassley and Representative Berman, championed the Fraud Enforcement and Recovery Act of 2009, which made additional improvements to the False Claims Act and other fraud statutes. And in 2010, the passage of the Affordable Care Act provided additional inducements and protections for whistleblowers and strengthened the provisions of the federal health care Anti-Kickback Statute.
Assistant Attorney General Delery also expressed his deep appreciation for the dedicated public servants who investigated and pursued these cases. These individuals include attorneys, investigators, auditors and other agency personnel throughout the Justice Department’s Civil Division, the U.S. Attorneys’ Offices, the Departments of Defense and Health and Human Services, the various Offices of Inspector General and the many other federal and state agencies that contributed to the department’s recoveries this past fiscal year.
“The department’s continued success in recovering fraudulent claims for taxpayer money this past fiscal year is a product of the tremendous skill and dedication of the people who worked on these cases and investigations and continue to work hard to protect against the misuse of taxpayer dollars,” said Delery.
Friday, December 20, 2013
Justice Department Recovers $3.8 Billion from False Claims Act Cases in Fiscal Year 2013
Second Largest Annual Recovery in History Whistleblower Lawsuits Soar to 752
The Justice Department secured $3. 8 billion in settlements and judgments from civil cases involving fraud against the government in the fiscal year ending Sept. 30, 2013, Assistant Attorney General for the Civil Division Stuart F. Delery announced today. This dollar amount, which is the second largest annual recovery of its type in history, brings total recoveries under the False Claims Act since January 2009 to $ 17 billion – nearly half the total recoveries since the Act was amended 27 years ago in 1986.
The Justice Department’s fiscal year 2013 efforts recovered more than $3 billion for the fourth year in a row and are surpassed only by last year’s nearly $5 billion in recoveries. As in previous years, the largest recoveries related to health care fraud, which reached $2. 6 billion. Procurement fraud (related primarily to defense contracts) accounted for another $ 890 million – a record in that area.
“It has been another banner year for civil fraud recoveries, but more importantly, it has been a great year for the taxpayer and for the millions of Americans, state agencies and organizations that benefit from government programs and contracts,” said Assistant Attorney General Delery. “The $3. 8 billion in federal False Claims Act recoveries in fiscal year 2013, plus another $443 million in recoveries for state Medicaid programs, restores scarce taxpayer dollars to federal and state governments. The government’s success in these cases is also a strong deterrent to others who would misuse public funds, which means government programs designed to keep us safer, healthier and economically more prosperous can do so without the corrosive effects of fraud and false claims.”
The False Claims Act is the government’s primary civil remedy to redress false claims for government funds and property under government contracts, including national security and defense contracts, as well as under government programs as varied as Medicare, veterans benefits, federally insured loans and mortgages, transportation and research grants, agricultural supports, school lunches and disaster assistance. In 1986, Congress strengthened the Act by amending it to increase incentives for whistleblowers to file lawsuits on behalf of the government, which has led to more investigations and greater recoveries.
Most false claims actions are filed under the Act’s whistleblower, or qui tam, provisions, which allow private citizens to file lawsuits alleging false claims on behalf of the government. If the government prevails in the action, the whistleblower, known as a relator, receives up to 30 perc ent of the recovery. The number of qui tam suits filed in fiscal year 2013 soared to 752 –100 more than the record set the previous fiscal year. Recoveries in qui tam cases during fiscal year 2013 totaled $2. 9 billion , with whistleblowers recovering $345 million.
Health Care Fraud
The $2. 6 billion in health care fraud recoveries in fiscal year 2013 marks four straight years the department has recovered more than $2 billion in cases involving health care fraud. This steady, significant and continuing success can be attributed to the high priority the Obama Administration has placed on fighting health care fraud. In 2009, Attorney General Eric Holder and Health and Human Services Secretary Kathleen Sebelius announced the creation of an interagency task force, the Health Care Fraud Prevention and Enforcement Action Team (HEAT), to increase coordination and optimize criminal and civil enforcement. This coordination has yielded historic results: From January 2009 through the end of the 2013 fiscal year, the department used the False Claims Act to recover $12 .1 billion in federal health care dollars. Most of these recoveries relate to fraud against Medicare and Medicaid. Additional information on the government’s efforts in this area is available at StopMedicareFraud.gov, a webpage jointly established by the Departments of Justice and Health and Human Services.
Some of the largest recoveries this past fiscal year involved allegations of fraud and false claims in the pharmaceutical and medical device industries. Of the $2. 6 billion in federal health care fraud recoveries, $1.8 billion were from alleged false claims for drugs and medical devices under federally insured health programs that, in addition to Medicare and Medicaid, include TRICARE, which provides benefits for military personnel and their families, veterans’ health care programs and the Federal Employees Health Benefits Program. The department recovered an additional $443 million for state Medicaid programs.
Many of these settlements involved allegations that pharmaceutical manufacturers improperly promoted their drugs for uses not approved by the Food and Drug Administration (FDA) – a practice known as “off-label marketing.” For example, drug manufacturer Abbott Laboratories Inc. paid $1.5 billion to resolve allegations that it illegally promoted the drug Depakote to treat agitation and aggression in elderly dementia patients and schizophrenia when neither of these uses was approved as safe and effective by the FDA. This landmark $1.5 billion settlement included $575 million in federal civil recoveries, $225 million in state civil recoveries and nearly $700 million in criminal fines and forfeitures. In another major pharmaceutical case, biotech giant Amgen Inc. paid the government $762 million, including $598.5 million in False Claims Act recoveries, to settle allegations that included its illegal promotion of Aranesp, a drug used to treat anemia, in doses not approved by the FDA and for off-label use to treat non-anemia-related conditions. For details, see Abbott, Abbott sentencing, and Amgen.
The department also settled allegations relating to the manufacture and distribution of adulterated drugs. For example, generic drug manufacturer Ranbaxy USA Inc. paid $505 million to settle allegations of false claims to federal and state health care programs for adulterated drugs distributed from its facilities in India. The settlement included $237 million in federal civil claims, $118 million in state civil claims and $150 million in criminal fines and forfeitures. For details, see Ranbaxy.
Adding to its successes under the False Claims Act, the Civil Division’s Consumer Protection Branch, together with U.S. Attorneys across the country, obtained 16 criminal convictions and more than $1. 3 billion in criminal fines, forfeitures and disgorgement under the Federal Food, Drug and Cosmetic Act (FDCA). The FDCA protects the health and safety of the public by ensuring, among other things, that drugs intended for use in humans are safe and effective for their intended uses and that the labeling of such drugs bears true, complete and accurate information.
In other areas of health care fraud, the department obtained a $237 million judgment against South Carolina-based Tuomey Healthcare System Inc., after a four-week trial, for violating the Stark Law and the False Claims Act. The Stark Law prohibits hospitals from submitting claims to Medicare for patients referred to the hospital by physicians who have a prohibited financial relationship with the hospital. Tuomey’s appeal of the $237 million judgment is pending. If the judgment is affirmed on appeal, this will be the largest judgment in the history of the Stark Law. For the court’s opinion, see Tuomey.
The department also recovered $26.3 million in a settlement with Steven J. Wasserman M.D., a dermatologist practicing in Florida, to resolve allegations that he entered into an illegal kickback arrangement with Tampa Pathology Laboratory that resulted in increased claims to Medicare. Tampa Pathology Laboratory previously paid the government $950,000 for its role in the alleged scheme. The $26.3 million settlement is one of the largest with an individual in the history of the False Claims Act. For details, see Wasserman.
Procurement Fraud
Fiscal year 2013 was a record year for procurement fraud matters. The department secured more than $887 million in settlements and judgments based on allegations of false claims and corruption involving government contracts. Prominent among these successes was the department’s $664 million judgment against Connecticut-based defense contractor United Technologies Corp. (UTC). A federal court found UTC liable for making false statements to the Air Force in negotiating the price of a contract for fighter jet engines. In 2004, the department had won a smaller judgment after a three-month trial. Both sides appealed, but the government’s arguments prevailed, resulting in the case being returned to the trial court to reassess damages. The $664 million judgment, which UTC has appealed, is the largest judgment in the history of the False Claims Act and, if the appellate court affirms, will be the largest procurement recovery in history. For details, see UTC.
The department also settled allegations of false claims with two companies in connection with their contracts with the General Services Administration (GSA) to market their products through the Multiple Award Schedule (MAS) program. To be awarded a MAS contract, and thereby gain access to the broad government marketplace, contractors must provide GSA with complete, accurate and current information about their commercial sales practices, including discounts afforded to their commercial customers. The government alleged that W.W. Grainger Inc., a national hardware distributor headquartered in Illinois, and Ohio-based RPM International Inc. and its subsidiary, Tremco Inc., a roofing supplies and services firm, failed to disclose discounts given to their commercial customers, which resulted in government customers paying higher prices. The department recovered $70 million from W.W. Grainger in a settlement that also included allegations relating to a U.S. Postal Services contract and $61 million from RPM International Inc. and Tremco. For details, see Grainger, RPM/Tremco.
Other Fraud Recoveries
A $45 million settlement with Japan-based Toyo Ink S.C. Holdings Co. Ltd. and its Japanese and United States affiliates (collectively Toyo) demonstrates the breadth of cases the department pursues. This settlement resolved allegations that Toyo misrepresented the country of origin on documents presented to the Department of Homeland Security’s U.S. Customs and Border Protection to evade antidumping and countervailing duties on imports of the colorant carbazole violet pigment into the United States. These duties protect U.S. businesses by offsetting unfair foreign pricing and foreign government subsidies. For details, see Toyo.
The False Claims Act also is used to redress grant fraud. In a significant case involving a grant from the Department of Education, Education Holdings Inc. (formerly The Princeton Review Inc.) paid $10 million to resolve allegations that the company fabricated attendance records for thousands of hours of afterschool tutoring of students that was funded by the federal grant. For details, see Education Holdings.
Recoveries in Whistleblower Suits
Of the $3. 8 billion the department recovered in fiscal year 2013, $2. 9 billion related to lawsuits filed under the qui tam provisions of the False Claims Act. During the same period, the department paid out more than $345 million to the courageous individuals who exposed fraud and false claims by filing a qui tam complaint. (The average share paid to whistleblowers in fiscal year 2013 cannot be determined from these numbers because the awards paid to whistleblowers in one fiscal year do not always coincide with the fiscal year in which the case was resolved, and the fiscal year’s recoveries may include amounts to settle allegations outside the whistleblower’s complaint.)
Whistleblower lawsuits were in the range of three to four hundred per year from 2000 to 2009, when they began their climb from 433 lawsuits in fiscal year 2009 to 752 lawsuits in fiscal year 2013. Due to the complexity of fraud investigations generally, the outcomes of many of the qui tam cases filed this past fiscal year are not yet known, but the growing number of lawsuits filed since 2009 have led to increased recoveries. Qui tam recoveries exceeded $2 billion for the first time in fiscal year 2010 and have continued to exceed that amount every year since. Qui tam recoveries this past fiscal year bring the department’s totals since January 2009 to $13.4 billion. During the same period, the department paid out $1.98 billion in whistleblower awards.
“These recoveries would not have been possible without the brave contributions made by ordinary men and women who made extraordinary sacrifices to expose fraud and corruption in government programs,” said Assistant Attorney General Delery. “We are also grateful to Congress and its continued support of strengthening the False Claims Act, including its qui tam provisions, giving the department the tools necessary to pursue false claims.”
In 1986, Senator Charles Grassley and Representative Howard Berman led successful efforts in Congress to amend the False Claims Act to, among other things, encourage whistleblowers to come forward with allegations of fraud. In 2009, Senator Patrick J. Leahy, along with Senator Grassley and Representative Berman, championed the Fraud Enforcement and Recovery Act of 2009, which made additional improvements to the False Claims Act and other fraud statutes. And in 2010, the passage of the Affordable Care Act provided additional inducements and protections for whistleblowers and strengthened the provisions of the federal health care Anti-Kickback Statute.
Assistant Attorney General Delery also expressed his deep appreciation for the dedicated public servants who investigated and pursued these cases. These individuals include attorneys, investigators, auditors and other agency personnel throughout the Justice Department’s Civil Division, the U.S. Attorneys’ Offices, the Departments of Defense and Health and Human Services, the various Offices of Inspector General and the many other federal and state agencies that contributed to the department’s recoveries this past fiscal year.
“The department’s continued success in recovering fraudulent claims for taxpayer money this past fiscal year is a product of the tremendous skill and dedication of the people who worked on these cases and investigations and continue to work hard to protect against the misuse of taxpayer dollars,” said Delery.
AIR FORCE COMMITS TO USE OF GSA'S OASIS CONTRACT FOR COMPLEX PROFESSIONAL SERVICES
FROM: U.S. GENERAL SERVICES ADMINISTRATION
Air Force Signs On the Line, Commits to Primary Use of GSA’s OASIS Contract for Complex Professional Services
December 19, 2013
WASHINGTON -- In a ceremony held today at U.S. General Services Administration headquarters, GSA and the United States Air Force signed a Memorandum of Understanding (MoU) securing Air Force’s use of GSA’s One Acquisition Solution for Integrated Services (OASIS) and OASIS Small Business contracts for procurement of complex professional services. OASIS is a first-of-its kind contract that will provide the government with a total solution contract vehicle for complex professional services projects.
“OASIS will save Air Force, and our folks in the field, a tremendous amount of time and effort. It will allow us to aggressively go after our small business goal with access to highly capable and vetted companies, and it significantly reduces our manpower requirements to conduct complex acquisitions,” said Randall D. Culpepper, Program Executive Officer for Combat and Mission Support, Office of the Assistant Secretary of the Air Force for Acquisition. "Our partnership with GSA on OASIS allows us preserve precious resources while putting in place a tool that is exceptionally responsive to the needs of defense organizations supporting the warfighter. We think this will be a great long-term relationship that will get us a lot of bang for the acquisition bucks that we have.
Through OASIS and OASIS Small Business, Air Force will:
Reduce excess costs associated with award and administration of multiple IDIQ and/or standalone contracts
Reduce the lead time and administrative efforts it currently takes agencies to acquire complex professional services
Gain insight into spend volume and labor types and costs across the Federal Government and facilitate negotiation of lower pricing at the task order level
Improve and reduce time associated with task order proposal comparison process by creating “apples to apples” comparisons of proposed labor costs
Eliminate need for Task Order Contracting Officers to evaluate proposals from poor performers
The response period for OASIS and OASIS-Small Business Requests for Proposal (RFPs) came to a close last month; the OASIS team expects to award contracts in early 2014.
OASIS will be designed to address agencies' needs for any one or combination of the following professional service requirements that:
Span multiple professional service disciplines
Contain significant IT components, but are not IT requirements in and of themselves
Contain Ancillary Support components commonly referred to as ODCs
Require flexibility for all contract types at the task order level including cost reimbursement
OASIS will be able to provide both commercial and non-commercial services. The core disciplines of the contract will include program management services, management consulting services, logistics services, engineering services, scientific services, and financial services.
Air Force Signs On the Line, Commits to Primary Use of GSA’s OASIS Contract for Complex Professional Services
December 19, 2013
WASHINGTON -- In a ceremony held today at U.S. General Services Administration headquarters, GSA and the United States Air Force signed a Memorandum of Understanding (MoU) securing Air Force’s use of GSA’s One Acquisition Solution for Integrated Services (OASIS) and OASIS Small Business contracts for procurement of complex professional services. OASIS is a first-of-its kind contract that will provide the government with a total solution contract vehicle for complex professional services projects.
“OASIS will save Air Force, and our folks in the field, a tremendous amount of time and effort. It will allow us to aggressively go after our small business goal with access to highly capable and vetted companies, and it significantly reduces our manpower requirements to conduct complex acquisitions,” said Randall D. Culpepper, Program Executive Officer for Combat and Mission Support, Office of the Assistant Secretary of the Air Force for Acquisition. "Our partnership with GSA on OASIS allows us preserve precious resources while putting in place a tool that is exceptionally responsive to the needs of defense organizations supporting the warfighter. We think this will be a great long-term relationship that will get us a lot of bang for the acquisition bucks that we have.
Through OASIS and OASIS Small Business, Air Force will:
Reduce excess costs associated with award and administration of multiple IDIQ and/or standalone contracts
Reduce the lead time and administrative efforts it currently takes agencies to acquire complex professional services
Gain insight into spend volume and labor types and costs across the Federal Government and facilitate negotiation of lower pricing at the task order level
Improve and reduce time associated with task order proposal comparison process by creating “apples to apples” comparisons of proposed labor costs
Eliminate need for Task Order Contracting Officers to evaluate proposals from poor performers
The response period for OASIS and OASIS-Small Business Requests for Proposal (RFPs) came to a close last month; the OASIS team expects to award contracts in early 2014.
OASIS will be designed to address agencies' needs for any one or combination of the following professional service requirements that:
Span multiple professional service disciplines
Contain significant IT components, but are not IT requirements in and of themselves
Contain Ancillary Support components commonly referred to as ODCs
Require flexibility for all contract types at the task order level including cost reimbursement
OASIS will be able to provide both commercial and non-commercial services. The core disciplines of the contract will include program management services, management consulting services, logistics services, engineering services, scientific services, and financial services.
NASA ACCOMPLISHMENTS IN 2013
FROM: NASA
NASA Transforms Access to Low-Earth Orbit, Touches Interstellar Space, Makes Unprecedented Discoveries and Develops Cutting-Edge Technologies in 2013
In 2013, NASA helped U.S. commercial companies transform access to low-Earth orbit and the International Space Station even as one of the agency's venerable spacecraft was confirmed to have reached interstellar space, and engineers moved ahead on technologies that will help carry out the first astronaut mission to an asteroid and eventually Mars.
"Even in a time of great change and transition, NASA employees stayed focused on what it takes to get the job done -- returning space station resupply launches and the jobs they support back to the United States, developing cutting-edge technologies that will help us send American astronauts to an asteroid and Mars, uncovering new knowledge about our home planet and the universe and helping develop cleaner and quieter airplanes," NASA Administrator Charles Bolden said. "It's all the hard work and dedication from the NASA folks on the frontlines that keep the United States the world’s leader in space exploration."
The following are some of NASA's top stories this year:
Commercial Space Progress
A little more than two years after the end of the Space Shuttle Program, NASA has returned the International Space Station resupply missions to the United States in a powerful partnership with U.S. companies SpaceX and Orbital Sciences, who are investing here and creating good-paying jobs for American workers.
NASA remains committed to launching American astronauts from U.S. soil within the next four years. Recent progress includes key milestones in commercial crew development met by three American companies: Boeing, SpaceX and Sierra Nevada Corporation; a Nov. 19 request for proposals on the Commercial Crew Transportation Capability contract (CCtCap), designed to ensure commercial companies meet NASA’s safety requirements for transporting NASA and international partner crews to the International Space Station; unfunded Space Act Agreements with other potential commercial providers; and creation of a Space Technology Program focused on breakthrough innovations that will change future transportation options. These accomplishments have been bolstered by the extension of International Space Station operations to 2020, enabling expanded commercial and research opportunities.
NASA Transforms Access to Low-Earth Orbit, Touches Interstellar Space, Makes Unprecedented Discoveries and Develops Cutting-Edge Technologies in 2013
In 2013, NASA helped U.S. commercial companies transform access to low-Earth orbit and the International Space Station even as one of the agency's venerable spacecraft was confirmed to have reached interstellar space, and engineers moved ahead on technologies that will help carry out the first astronaut mission to an asteroid and eventually Mars.
"Even in a time of great change and transition, NASA employees stayed focused on what it takes to get the job done -- returning space station resupply launches and the jobs they support back to the United States, developing cutting-edge technologies that will help us send American astronauts to an asteroid and Mars, uncovering new knowledge about our home planet and the universe and helping develop cleaner and quieter airplanes," NASA Administrator Charles Bolden said. "It's all the hard work and dedication from the NASA folks on the frontlines that keep the United States the world’s leader in space exploration."
The following are some of NASA's top stories this year:
Commercial Space Progress
A little more than two years after the end of the Space Shuttle Program, NASA has returned the International Space Station resupply missions to the United States in a powerful partnership with U.S. companies SpaceX and Orbital Sciences, who are investing here and creating good-paying jobs for American workers.
NASA remains committed to launching American astronauts from U.S. soil within the next four years. Recent progress includes key milestones in commercial crew development met by three American companies: Boeing, SpaceX and Sierra Nevada Corporation; a Nov. 19 request for proposals on the Commercial Crew Transportation Capability contract (CCtCap), designed to ensure commercial companies meet NASA’s safety requirements for transporting NASA and international partner crews to the International Space Station; unfunded Space Act Agreements with other potential commercial providers; and creation of a Space Technology Program focused on breakthrough innovations that will change future transportation options. These accomplishments have been bolstered by the extension of International Space Station operations to 2020, enabling expanded commercial and research opportunities.
NURSE SENTENCED FOR ROLE IN $11 MILLION FRAUD
FROM: U.S. JUSTICE DEPARTMENT
Friday, December 20, 2013
Unlicensed Miami Clinic Nurse Convicted at Trial and Sentenced for Role in $11 Million HIV Infusion Fraud Scheme
An unlicensed nurse who fled after being charged in 2008 and was captured this year was sentenced today to serve 108 months in prison for her role in a fraud scheme that resulted in more than $11 million in fraudulent claims to Medicare.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Special Agent in Charge Michael B. Steinbach of the FBI’s Miami Field Office and Special Agent in Charge Christopher B. Dennis of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) Office of Investigations Miami Office made the announcement.
Carmen Gonzalez, 39, of Cape Coral, Fla., worked at St. Jude Rehabilitation Center, a fraudulent HIV infusion clinic in Miami, that was controlled by her cousins, Jose, Carlos and Luis Benitez, aka the Benitez Brothers. Gonzalez was also sentenced for failing to appear at a June 2008 bond hearing. The sentencing follows her conviction at trial to one count of conspiracy to defraud the United States to cause the submission of false claims and to pay health care kickbacks and one count of conspiracy to commit health care fraud. Gonzalez had previously pleaded guilty to a separate charge of failure to appear.
Gonzalez was sentenced by Chief United States District Judge Federico A. Moreno in Miami, who also sentenced her to serve three years of supervised release.
Evidence at trial revealed that Gonzalez was an unlicensed nurse who paid thousands of dollars over a five month period to HIV beneficiaries so that St. Jude could submit millions of dollars in false and fraudulent claims to Medicare. Gonzalez knew that St. Jude billed millions of dollars to Medicare for expensive HIV infusion therapy that was neither medically necessary nor provided. Gonzalez fabricated patient medical records to facilitate and conceal the fraud, and these fabricated records were utilized to support the false and fraudulent claims submitted to Medicare on behalf of St. Jude.
On Oct. 17, 2013, Gonzalez pleaded guilty to knowingly and willfully failing to appear at a June 2008 hearing as directed by Judge Moreno. Court documents reveal that Gonzalez was released on bond pending trial, but she knowingly and willfully failed to appear as directed by the court to a June 2008 hearing.
In January 2013, Gonzalez’s father, Enrique Gonzalez, was sentenced to 70 months in prison by U.S. District Judge Cecilia M. Altonaga in the Southern District of Florida for his role in separate health care fraud conspiracy.
The Benitez Brothers remain fugitives. Anyone with information regarding their whereabouts is urged to contact HHS-OIG at 202-619-0088.
The case was investigated by the FBI and HHS-OIG, and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division's Fraud Section and the U.S. Attorney's Office for the Southern District of Florida. This case was prosecuted by Trial Attorneys Allan Medina and Nathan Dimock of the Criminal Division’s Fraud Section.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 1,700 defendants who have collectively billed the Medicare program for more than $5.5 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Friday, December 20, 2013
Unlicensed Miami Clinic Nurse Convicted at Trial and Sentenced for Role in $11 Million HIV Infusion Fraud Scheme
An unlicensed nurse who fled after being charged in 2008 and was captured this year was sentenced today to serve 108 months in prison for her role in a fraud scheme that resulted in more than $11 million in fraudulent claims to Medicare.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Special Agent in Charge Michael B. Steinbach of the FBI’s Miami Field Office and Special Agent in Charge Christopher B. Dennis of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) Office of Investigations Miami Office made the announcement.
Carmen Gonzalez, 39, of Cape Coral, Fla., worked at St. Jude Rehabilitation Center, a fraudulent HIV infusion clinic in Miami, that was controlled by her cousins, Jose, Carlos and Luis Benitez, aka the Benitez Brothers. Gonzalez was also sentenced for failing to appear at a June 2008 bond hearing. The sentencing follows her conviction at trial to one count of conspiracy to defraud the United States to cause the submission of false claims and to pay health care kickbacks and one count of conspiracy to commit health care fraud. Gonzalez had previously pleaded guilty to a separate charge of failure to appear.
Gonzalez was sentenced by Chief United States District Judge Federico A. Moreno in Miami, who also sentenced her to serve three years of supervised release.
Evidence at trial revealed that Gonzalez was an unlicensed nurse who paid thousands of dollars over a five month period to HIV beneficiaries so that St. Jude could submit millions of dollars in false and fraudulent claims to Medicare. Gonzalez knew that St. Jude billed millions of dollars to Medicare for expensive HIV infusion therapy that was neither medically necessary nor provided. Gonzalez fabricated patient medical records to facilitate and conceal the fraud, and these fabricated records were utilized to support the false and fraudulent claims submitted to Medicare on behalf of St. Jude.
On Oct. 17, 2013, Gonzalez pleaded guilty to knowingly and willfully failing to appear at a June 2008 hearing as directed by Judge Moreno. Court documents reveal that Gonzalez was released on bond pending trial, but she knowingly and willfully failed to appear as directed by the court to a June 2008 hearing.
In January 2013, Gonzalez’s father, Enrique Gonzalez, was sentenced to 70 months in prison by U.S. District Judge Cecilia M. Altonaga in the Southern District of Florida for his role in separate health care fraud conspiracy.
The Benitez Brothers remain fugitives. Anyone with information regarding their whereabouts is urged to contact HHS-OIG at 202-619-0088.
The case was investigated by the FBI and HHS-OIG, and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division's Fraud Section and the U.S. Attorney's Office for the Southern District of Florida. This case was prosecuted by Trial Attorneys Allan Medina and Nathan Dimock of the Criminal Division’s Fraud Section.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 1,700 defendants who have collectively billed the Medicare program for more than $5.5 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
CONSUMERS TO RECEIVE REFUND CHECKS FOR CERTAIN "COLON CLEANSER" PURCHASES
FROM: U.S. FEDERAL TRADE COMMISSION
FTC Sends Refund Checks Totaling nearly $6 Million to Consumers Who Bought Dietary Supplements
An administrator working for the Federal Trade Commission is mailing 316,716 checks averaging $18.74 each to consumers who purchased acai berry supplements, “colon cleansers,” and other products from Phoenix-based Central Coast Nutraceuticals, Inc.
In August 2010, the FTC charged Central Coast Nutraceuticals, two individuals, and four related companies with multiple violations, including unfair billing practices, and deceptively advertising Acai Pure, an acai berry supplement, as a weight-loss product, and Colotox, a colon cleansing supplement, as an aid for preventing cancer.
The checks, which total $5,936,243.63, must be cashed within 60 days after they are issued. The deadline for filing a refund request has expired. Consumers who have questions should call (877) 283-6531. For more general information, see www.FTC.gov/refunds. The FTC never requires consumers to pay money or provide information before redress checks can be cashed.
Consumers should carefully evaluate advertising claims for dietary supplements. For more information see: Dietary Supplements.
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. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics. Like the FTC on Facebook, follow us on Twitter, and subscribe to press releases for the latest FTC news and resources.
FTC Sends Refund Checks Totaling nearly $6 Million to Consumers Who Bought Dietary Supplements
An administrator working for the Federal Trade Commission is mailing 316,716 checks averaging $18.74 each to consumers who purchased acai berry supplements, “colon cleansers,” and other products from Phoenix-based Central Coast Nutraceuticals, Inc.
In August 2010, the FTC charged Central Coast Nutraceuticals, two individuals, and four related companies with multiple violations, including unfair billing practices, and deceptively advertising Acai Pure, an acai berry supplement, as a weight-loss product, and Colotox, a colon cleansing supplement, as an aid for preventing cancer.
The checks, which total $5,936,243.63, must be cashed within 60 days after they are issued. The deadline for filing a refund request has expired. Consumers who have questions should call (877) 283-6531. For more general information, see www.FTC.gov/refunds. The FTC never requires consumers to pay money or provide information before redress checks can be cashed.
Consumers should carefully evaluate advertising claims for dietary supplements. For more information see: Dietary Supplements.
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. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics. Like the FTC on Facebook, follow us on Twitter, and subscribe to press releases for the latest FTC news and resources.
NATIONAL GUARD COLONEL AND SERGEANT INDICTED FOR ALLEGED RECRUITMENT FRAUD
FROM: U.S. JUSTICE DEPARTMENT
Friday, December 20, 2013
Army National Guard Colonel and Sergeant Indicted for Allegedly Defrauding Recruiting Assistance Program
A retired colonel and a sergeant in the Army National Guard have been charged in a nine-count indictment in Albuquerque, N.M., for allegedly defrauding the National Guard Bureau and its contractor of approximately $12,000 by fraudulently obtaining recruiting bonuses, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division.
Retired Colonel Isaac Alvarado, 74, of Albuquerque, N.M. was charged with one count of conspiracy to commit wire fraud, four counts of wire fraud and four counts of aggravated identity theft in an indictment that was filed this week in the U.S. District Court for the District of New Mexico. Sergeant First Class Travis Nau, 40, also of Albuquerque, N.M., was charged with one count of conspiracy to commit wire fraud, three counts of wire fraud and three counts of aggravated identity theft.
According to court documents, in approximately September 2005, the National Guard Bureau entered into a contract with Document and Packaging Broker Inc. to administer the Guard Recruiting Assistance Program (G-RAP). The G-RAP was a recruiting program that was designed to offer monetary incentives to soldiers of the Army National Guard who referred others to join the Army National Guard. Through this program, a participating soldier could receive bonus payments for referring another individual to join. Based on certain milestones achieved by the referred soldier, a participating soldier would receive payment through direct deposit into the participating soldier’s designated bank account. To participate in the program, soldiers were required to create online recruiting assistant accounts. The rules prohibited Army National Guard recruiters from participating in the G-RAP.
According to court documents, between approximately November 2007 and February 2012, Alvarado participated as a recruiting assistant in the G-RAP. Nau, who worked in a recruiting office and is Alvarado’s son-in-law, allegedly provided Alvarado with the names and Social Security numbers of potential soldiers. This enabled Alvarado to claim that he was responsible for referring these potential soldiers to join the military, when in fact he did not recruit any of them. In addition, Nau advised at least two potential soldiers to falsely report that Alvarado had assisted in their recruitment even though he had not. As a result, Alvarado allegedly received a total of approximately $12,000 in fraudulent recruiting bonuses.
An indictment is merely a charge and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
If convicted, the defendants face up to five years in prison on the conspiracy count. Each wire fraud count carries a maximum penalty of 20 years in prison. Each count of aggravated identity theft carries a mandatory two-year sentence in prison. Each charged count carries a maximum fine of up to $250,000, or twice the gross gain.
The case is being investigated by special agents from the Fort Bliss Army Criminal Investigation Command. The case is being prosecuted by Trial Attorneys Sean F. Mulryne, Mark J. Cipolletti and Heidi Boutros Gesch of the Criminal Division’s Public Integrity Section.
Friday, December 20, 2013
Army National Guard Colonel and Sergeant Indicted for Allegedly Defrauding Recruiting Assistance Program
A retired colonel and a sergeant in the Army National Guard have been charged in a nine-count indictment in Albuquerque, N.M., for allegedly defrauding the National Guard Bureau and its contractor of approximately $12,000 by fraudulently obtaining recruiting bonuses, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division.
Retired Colonel Isaac Alvarado, 74, of Albuquerque, N.M. was charged with one count of conspiracy to commit wire fraud, four counts of wire fraud and four counts of aggravated identity theft in an indictment that was filed this week in the U.S. District Court for the District of New Mexico. Sergeant First Class Travis Nau, 40, also of Albuquerque, N.M., was charged with one count of conspiracy to commit wire fraud, three counts of wire fraud and three counts of aggravated identity theft.
According to court documents, in approximately September 2005, the National Guard Bureau entered into a contract with Document and Packaging Broker Inc. to administer the Guard Recruiting Assistance Program (G-RAP). The G-RAP was a recruiting program that was designed to offer monetary incentives to soldiers of the Army National Guard who referred others to join the Army National Guard. Through this program, a participating soldier could receive bonus payments for referring another individual to join. Based on certain milestones achieved by the referred soldier, a participating soldier would receive payment through direct deposit into the participating soldier’s designated bank account. To participate in the program, soldiers were required to create online recruiting assistant accounts. The rules prohibited Army National Guard recruiters from participating in the G-RAP.
According to court documents, between approximately November 2007 and February 2012, Alvarado participated as a recruiting assistant in the G-RAP. Nau, who worked in a recruiting office and is Alvarado’s son-in-law, allegedly provided Alvarado with the names and Social Security numbers of potential soldiers. This enabled Alvarado to claim that he was responsible for referring these potential soldiers to join the military, when in fact he did not recruit any of them. In addition, Nau advised at least two potential soldiers to falsely report that Alvarado had assisted in their recruitment even though he had not. As a result, Alvarado allegedly received a total of approximately $12,000 in fraudulent recruiting bonuses.
An indictment is merely a charge and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
If convicted, the defendants face up to five years in prison on the conspiracy count. Each wire fraud count carries a maximum penalty of 20 years in prison. Each count of aggravated identity theft carries a mandatory two-year sentence in prison. Each charged count carries a maximum fine of up to $250,000, or twice the gross gain.
The case is being investigated by special agents from the Fort Bliss Army Criminal Investigation Command. The case is being prosecuted by Trial Attorneys Sean F. Mulryne, Mark J. Cipolletti and Heidi Boutros Gesch of the Criminal Division’s Public Integrity Section.
PIKAS SURVIVE THE HEAT BY EATING MOSS
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| Photo: Pika Credit: Jacob W. Frank, Wikimedia Commons |
Mountain pikas, relatives of rabbits, survive at warm sea-level temperatures by eating mosses
In some mountain ranges, Earth's warming climate drives rabbit relatives known as pikas to higher elevations--or wipes them out.
But biologists discovered that pikas living in rockslides near sea level in Oregon can survive hot weather by eating moss.
"Pikas eat foods like moss to persist in warming environments," says biologist Denise Dearing of the University of Utah, co-author of a new paper reporting the results. The paper is published online today in the Journal of Mammalogy.
Jo Varner, also a biologist at the University of Utah and a paper co-author, says that although "some fiber is good, moss is 80 percent fiber. It's a bit like eating paper.
"By consuming mosses that grow on the rockslides where they live, the pikas don't have to forage outside the shady heat-buffer of the rocks.
"Few herbivores consume moss because it's so nutritionally deficient. These pikas set a new record for moss in a mammal's diet: 60 percent."
Pikas' extensive moss-eating "suggests that they may be more resistant to climate change than we thought," says Dearing.
The biologists, whose research was funded by the National Science Foundation (NSF), believe they know why.
Like rabbits and hares, pikas produce a fraction of their feces in the form of caecal (pronounced see-cull) pellets, and reingest them to gain nutrition.
"Pikas and rabbits--and their gut microbes--are the ultimate recycling factory," Dearing says. "They ingest low-quality food over and over again, and turn it into high-quality protein and energy. The end product is six times more nutritious than the moss" that started it all.
The order Lagomorpha, to which pikas belong, has two families: one is made up of rabbits and hares, the other of pikas.
Pikas are native to cold, alpine climates--often above 8,200 feet--in North America, Asia and Eastern Europe.
Pikas are very sensitive to heat, dying if they spend more than two hours above 78 degrees Fahrenheit.
In parts of the West--including Nevada, Oregon and Colorado--pikas have gone extinct in some mountain ranges and moved to higher peaks in others.
Pikas live as high as 11,230 feet on the slopes of Mount Hood east of Portland, Ore. They also live thousands of feet down the north slope of Mount Hood in the wet, foggy Columbia River Gorge.
How do they exist in warmer places like the gorge? By living in rocks on moss-covered slopes, the researchers found.
The scientists conducted their study on two such slopes near Wyeth, Ore., from June through August, 2011 and 2012. Pikas are most active in the summer months.
The biologists surveyed the abundance of mosses, lichens, ferns, grasses, sedges, rushes, forbs, shrubs and trees in the rockslides. They found that the slopes were 60 percent to 70 percent covered by vegetation.
Samples of the pikas' food were analyzed for how much the animals ate, and for the food's nutrition and fiber content.
Sixty percent of the pikas' diet by dry weight came from mosses. The pikas favored two species: hoary rock moss and big red-stem moss.
"This study represents the highest degree of voluntary moss consumption reported for a mammalian herbivore in the wild," Dearing and Varner write in their paper.
For temperature-sensitive pikas, cool, green mosses--whether atop a mountain or at the bottom of a gorge--are life-rings.
The research was also funded by the University of Utah, Wilderness Society, Southwestern Association of Naturalists, Society for Integrative and Comparative Biology, and American Society of Mammalogists.
-NSF-
Sunday, December 22, 2013
U.S. CONDEMNS ATTACKS IN IRAQ
FROM: U.S. STATE DEPARTMENT
U.S. Condemns Attacks and Pledges to Support Iraq in the Fight Against ISIL
Press Statement
Jen Psaki
Department Spokesperson
Washington, DC
December 22, 2013
The United States condemns the recent attacks by the Islamic State of Iraq and the Levant (ISIL) against Iraqi soldiers, elected officials, civilians, and military commanders. ISIL, a branch of al-Qa'ida, is a common enemy of the United States and the Republic of Iraq, and a threat to the greater Middle East region.
The Strategic Framework Agreement between our two countries provides the basis for long-term security cooperation, and we remain committed to helping strengthen Iraqi forces in their ongoing fight against ISIL. We also note the unanimous condemnation of the attacks yesterday by Iraqi officials, including the Prime Minister and the Speaker of the Council of Representatives, as well as the detention in recent days of al-Qa'ida affiliated militants in the Iraqi Kurdistan Region.
We will continue to work with all Iraqi leaders to promote political progress and isolate violent extremist networks. We further call on regional leaders to take active measures to police the funding and recruitment for these groups, including ISIL and the al-Nusrah front, and deter the flow of foreign fighters into Syria, many of whom later conduct suicide bombings against innocent civilians in Iraq.
The United States mourns the loss of life in recent days, and we wish a speedy recovery to the wounded. We also stand with the Iraqi Security Forces, civilian leaders, tribes, and local councils, in their fight against terrorists who are seeking to gain control of territory inside the borders of Iraq. By working together, we will ensure these terrorists cannot succeed.
U.S. Condemns Attacks and Pledges to Support Iraq in the Fight Against ISIL
Press Statement
Jen Psaki
Department Spokesperson
Washington, DC
December 22, 2013
The United States condemns the recent attacks by the Islamic State of Iraq and the Levant (ISIL) against Iraqi soldiers, elected officials, civilians, and military commanders. ISIL, a branch of al-Qa'ida, is a common enemy of the United States and the Republic of Iraq, and a threat to the greater Middle East region.
The Strategic Framework Agreement between our two countries provides the basis for long-term security cooperation, and we remain committed to helping strengthen Iraqi forces in their ongoing fight against ISIL. We also note the unanimous condemnation of the attacks yesterday by Iraqi officials, including the Prime Minister and the Speaker of the Council of Representatives, as well as the detention in recent days of al-Qa'ida affiliated militants in the Iraqi Kurdistan Region.
We will continue to work with all Iraqi leaders to promote political progress and isolate violent extremist networks. We further call on regional leaders to take active measures to police the funding and recruitment for these groups, including ISIL and the al-Nusrah front, and deter the flow of foreign fighters into Syria, many of whom later conduct suicide bombings against innocent civilians in Iraq.
The United States mourns the loss of life in recent days, and we wish a speedy recovery to the wounded. We also stand with the Iraqi Security Forces, civilian leaders, tribes, and local councils, in their fight against terrorists who are seeking to gain control of territory inside the borders of Iraq. By working together, we will ensure these terrorists cannot succeed.
U.S. CONDEMNS BUS BOMBING IN ISRAEL
FROM: U.S. STATE DEPARTMENT
Bombing of Bus in Israel
Jen Psaki
Department Spokesperson
Department Spokesperson
Washington, DC
December 22, 2013
We strongly condemn the bombing of a bus near Tel Aviv today. Our thoughts are with those affected and with the Israeli people at this time. Violent acts targeting civilians are deplorable. We reaffirm our unshakable bond with Israel and our solidarity with the Israeli people.
PATIENT RECRUITER SENTENCED FOR ROLE IN $7 MILLION HEALTH CARE FRAUD
FROM: U.S. JUSTICE DEPARTMENT
Friday, December 20, 2013
Patient Recruiter and Therapy Staffing Company Owner Sentenced for Roles in $7 Million Health Care Fraud Scheme
A patient recruiter and a therapy staffing company owner were sentenced today to serve 50 months and 46 months in prison, respectively, for their participation in a $7 million health care fraud scheme involving defunct home health care company Anna Nursing Services Corp.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Special Agent in Charge Michael B. Steinbach of the FBI’s Miami Field Office and Special Agent in Charge Christopher B. Dennis of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) Office of Investigations Miami Office made the announcement.
Ivan Alejo, 48, and Hugo Morales, 37, both of Miami, were sentenced by U.S. District Judge Jose E. Martinez in the Southern District of Florida. In addition to their prison terms, Alejo and Morales were both sentenced to serve three years of supervised release. Alejo and Morales were also ordered to pay jointly and severally with their co-defendants $6,928,931 and $1,958,279, respectively, in restitution.
In August 2013, Alejo and Morales pleaded guilty before Judge Martinez to conspiracy to commit health care fraud.
Alejo worked as a patient recruiter at Anna Nursing, a Miami home health care agency that purported to provide home health and therapy services to Medicare beneficiaries. Morales owned a therapy staffing company, Professionals Therapy Staffing Services Inc., which provided therapists to Anna Nursing.
According to court documents, co-conspirators of Alejo and Morales operated Anna Nursing for the purpose of billing the Medicare Program for, among other things, expensive physical therapy and home health care services that were not medically necessary and/or not provided.
Alejo’s primary role in the scheme at Anna Nursing involved negotiating and paying kickbacks and bribes, interacting with patient recruiters and assisting in the submission of fraudulent claims to the Medicare program. Alejo and his co-conspirators would pay kickbacks and bribes to patient recruiters in return for the recruiters providing patients to Anna Nursing for home health and therapy services that were medically unnecessary and/or not provided. Alejo and his co-conspirators would pay kickbacks and bribes to co-conspirators in doctors’ offices and clinics in exchange for home health and therapy prescriptions, medical certifications and other documentation. Alejo and his co-conspirators would use the prescriptions, medical certifications and other documentation to fraudulently bill the Medicare program for home health care services, which Alejo knew was in violation of federal criminal laws.
Morales’s primary role in the scheme at Anna Nursing involved operating Professionals Therapy, where he and others created fictitious progress notes and other patient files indicating that therapists from Professionals Therapy had provided physical or occupational therapy services to particular Medicare beneficiaries, when in many instances those services had not been provided and/or were not medically necessary. Morales knew the documents he and others from Professionals Therapy falsified were used to support false claims for home health care services billed to Medicare by his co-conspirators at Anna Nursing, which Morales knew was in violation of federal criminal laws.
From approximately October 2010 through approximately April 2013, Anna Nursing was paid by Medicare approximately $7 million for fraudulent claims for home health care services that were not medically necessary and/or not provided.
The case was investigated by the FBI and HHS-OIG and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. This case was prosecuted by Trial Attorney A. Brendan Stewart of the Criminal Division’s Fraud Section.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 1,700 defendants who have collectively billed the Medicare program for more than $5.5 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers
Friday, December 20, 2013
Patient Recruiter and Therapy Staffing Company Owner Sentenced for Roles in $7 Million Health Care Fraud Scheme
A patient recruiter and a therapy staffing company owner were sentenced today to serve 50 months and 46 months in prison, respectively, for their participation in a $7 million health care fraud scheme involving defunct home health care company Anna Nursing Services Corp.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Special Agent in Charge Michael B. Steinbach of the FBI’s Miami Field Office and Special Agent in Charge Christopher B. Dennis of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) Office of Investigations Miami Office made the announcement.
Ivan Alejo, 48, and Hugo Morales, 37, both of Miami, were sentenced by U.S. District Judge Jose E. Martinez in the Southern District of Florida. In addition to their prison terms, Alejo and Morales were both sentenced to serve three years of supervised release. Alejo and Morales were also ordered to pay jointly and severally with their co-defendants $6,928,931 and $1,958,279, respectively, in restitution.
In August 2013, Alejo and Morales pleaded guilty before Judge Martinez to conspiracy to commit health care fraud.
Alejo worked as a patient recruiter at Anna Nursing, a Miami home health care agency that purported to provide home health and therapy services to Medicare beneficiaries. Morales owned a therapy staffing company, Professionals Therapy Staffing Services Inc., which provided therapists to Anna Nursing.
According to court documents, co-conspirators of Alejo and Morales operated Anna Nursing for the purpose of billing the Medicare Program for, among other things, expensive physical therapy and home health care services that were not medically necessary and/or not provided.
Alejo’s primary role in the scheme at Anna Nursing involved negotiating and paying kickbacks and bribes, interacting with patient recruiters and assisting in the submission of fraudulent claims to the Medicare program. Alejo and his co-conspirators would pay kickbacks and bribes to patient recruiters in return for the recruiters providing patients to Anna Nursing for home health and therapy services that were medically unnecessary and/or not provided. Alejo and his co-conspirators would pay kickbacks and bribes to co-conspirators in doctors’ offices and clinics in exchange for home health and therapy prescriptions, medical certifications and other documentation. Alejo and his co-conspirators would use the prescriptions, medical certifications and other documentation to fraudulently bill the Medicare program for home health care services, which Alejo knew was in violation of federal criminal laws.
Morales’s primary role in the scheme at Anna Nursing involved operating Professionals Therapy, where he and others created fictitious progress notes and other patient files indicating that therapists from Professionals Therapy had provided physical or occupational therapy services to particular Medicare beneficiaries, when in many instances those services had not been provided and/or were not medically necessary. Morales knew the documents he and others from Professionals Therapy falsified were used to support false claims for home health care services billed to Medicare by his co-conspirators at Anna Nursing, which Morales knew was in violation of federal criminal laws.
From approximately October 2010 through approximately April 2013, Anna Nursing was paid by Medicare approximately $7 million for fraudulent claims for home health care services that were not medically necessary and/or not provided.
The case was investigated by the FBI and HHS-OIG and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. This case was prosecuted by Trial Attorney A. Brendan Stewart of the Criminal Division’s Fraud Section.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 1,700 defendants who have collectively billed the Medicare program for more than $5.5 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers
INTERNATIONAL ARMS SMUGGLER SENT TO PRISON FOR 180 MONTHS
FROM: U.S. JUSTICE DEPARTMENT
Thursday, December 19, 2013
International Arms Smuggler Sentenced to 180 Months in Prison
Siarhei Baltutski, aka Sergey Boltutskiy, 41, of Minsk, Belarus, was sentenced today to serve 180 months in prison for conspiracy to violate the Arms Export Control Act, conspiracy to violate the International Emergency Economic Powers Act and conspiracy to commit money laundering.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, Acting Assistant Attorney General John Carlin of the Justice Department’s National Security Division and U.S. Attorney Zane David Memeger of the Eastern District of Pennsylvania made the announcement.
Baltutski pleaded guilty on Jan. 25, 2013. In addition to the prison term, U.S. District Court Judge Paul S. Diamond of the Eastern District of Pennsylvania ordered Baltutski to serve three years of supervised release.
Between Jan. 1, 2008, and Sept. 21, 2011, Baltutski organized a network of buyers in the United States to obtain and illegally export to Belarus high-tech military hardware such as Scorpion Thermal Weapon Sights, ThOR 2 Thermal Imaging Scopes, Thermal-Eye Renegade 320’s, and other night vision targeting devices. During the course of the conspiracy, Baltutski and his associates illegally exported hundreds of these items. Baltutski then arranged for hundreds of thousands of dollars to be secretly wired, via offshore shell companies, to purchase these items, to pay for shipping, and to pay his network of buyers.
The Arms Export Control Act and the International Emergency Economic Power Act prohibit the export of high-tech military technology. Keeping this technology out of the hands of current and potential adversaries is critical to national interest and the safety and success of U.S. service members in combat.
This case was investigated by the U.S. Immigration and Customs Enforcement Homeland Security Investigations and the FBI. The case was prosecuted by Trial Attorney Jerome Maiatico of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Robert Livermore of the Eastern District of Pennsylvania, with assistance from Trial Attorney David Recker of the National Security Division’s Counterespionage Section.
Thursday, December 19, 2013
International Arms Smuggler Sentenced to 180 Months in Prison
Siarhei Baltutski, aka Sergey Boltutskiy, 41, of Minsk, Belarus, was sentenced today to serve 180 months in prison for conspiracy to violate the Arms Export Control Act, conspiracy to violate the International Emergency Economic Powers Act and conspiracy to commit money laundering.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, Acting Assistant Attorney General John Carlin of the Justice Department’s National Security Division and U.S. Attorney Zane David Memeger of the Eastern District of Pennsylvania made the announcement.
Baltutski pleaded guilty on Jan. 25, 2013. In addition to the prison term, U.S. District Court Judge Paul S. Diamond of the Eastern District of Pennsylvania ordered Baltutski to serve three years of supervised release.
Between Jan. 1, 2008, and Sept. 21, 2011, Baltutski organized a network of buyers in the United States to obtain and illegally export to Belarus high-tech military hardware such as Scorpion Thermal Weapon Sights, ThOR 2 Thermal Imaging Scopes, Thermal-Eye Renegade 320’s, and other night vision targeting devices. During the course of the conspiracy, Baltutski and his associates illegally exported hundreds of these items. Baltutski then arranged for hundreds of thousands of dollars to be secretly wired, via offshore shell companies, to purchase these items, to pay for shipping, and to pay his network of buyers.
The Arms Export Control Act and the International Emergency Economic Power Act prohibit the export of high-tech military technology. Keeping this technology out of the hands of current and potential adversaries is critical to national interest and the safety and success of U.S. service members in combat.
This case was investigated by the U.S. Immigration and Customs Enforcement Homeland Security Investigations and the FBI. The case was prosecuted by Trial Attorney Jerome Maiatico of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Robert Livermore of the Eastern District of Pennsylvania, with assistance from Trial Attorney David Recker of the National Security Division’s Counterespionage Section.
REMEMBRANCE: PAN AM FLIGHT 103 25TH BOMBING ANNIVERSARY
FROM: U.S. JUSTICE DEPARTMENT
Attorney General Eric Holder Delivers Remarks at the Memorial Service Marking the 25th Anniversary of the Bombing of Pan Am Flight 103
Arlington, Va. ~ Saturday, December 21, 2013
Thank you, Frank [Duggan], for those kind words – and for your many years of service, and leadership, alongside your fellow members of Families of the Victims of Pan Am Flight 103.
I’d also like to recognize just a few of the many dedicated public servants who are here today, including former FBI Director Bob Mueller, who has been involved with this case since he led the Justice Department’s Criminal Division more than two decades ago; Brian Murtagh, a tenacious former Justice Department prosecutor who worked tirelessly on this case for over 20 years; and U.S. Attorney Rick Hartunian, of the Northern District of New York, whose sister was aboard Flight 103 on that fateful night – and who became an original member of the victims group that called for a presidential commission on airport security. I know that Rick’s mother Joanne and his sister Patricia – and their families – are among the many family members in this crowd today. And I consider it an honor to join you all, once again, for this important annual remembrance.
Although a quarter century has passed since the world was shaken – and so many lives were devastated – by a heinous and cowardly act of terror, no amount of distance or time can ease the pain, or erase the loss, that was inflicted on that day. Even now, it remains difficult to comprehend the magnitude of such a senseless crime – which claimed the lives of 259 innocent men, women, and children in the skies above Scotland, along with the lives of 11 residents of the peaceful town of Lockerbie.
Some of the victims were traveling to the United States for the very first time. Some were enjoying quiet evenings with their families. Some were on their way to visit friends and relatives. Some were simply trying to come home. And although their respective journeys, and their individual lives, were cut tragically short – all continue to be dearly loved, and deeply missed, by everyone who knew them – and especially by those who come together on this patch of hallowed ground each year to pay tribute to the lives that were stolen – and to heal those that were irreparably changed.
We will always remember the heartache, the devastation, and the pain that was etched into our collective memory on the 21st of December, 1988. But we also recall, as we gather each year, the tremendous generosity of the Scottish people – and particularly the people of Lockerbie – who, despite their own losses, opened their homes to the families of victims who streamed into that small town from around the world in the days after the bombing. In the midst of their anguish, these generous men and women gave what comfort they could offer, and shared what solace they could provide.
We recall the determination that animated families and victim advocates who joined together to seek answers and understanding. Some of these passionate individuals, including many of the current and former FBI agents, Justice Department prosecutors, and other officials who are with us today, have selflessly defined the quest for justice in the aftermath of this crime as their life’s work.
But more than anything – as we assemble in this place of remembrance, year after year – we recall the moments of unity, and of love, that have arisen from the grief we share. We remember the occasions that have brought this community together not only in mourning, but in search of healing and hope – and in celebration of the extraordinary lives that bind us together.
We keep calling for change, and fighting for justice, on behalf of those no longer with us. We rededicate ourselves – and our nation – to the qualities that defined the men and women we lost. And we continue to be drawn together every year on this date: faces old and new, friends long departed and members of fresh generations – including some who bear the names of absent loved ones – to lend our voices to this solemn memorial. To hear stories and exchange joyous memories. And to be part of the community that – a quarter century after that terrible day – is still striving to build, from an act of unspeakable evil, a lasting legacy of compassion, of fellowship, and of love.
Today, this legacy is all around us – and it is very much alive. It lives in the resolve that brings us together and pushes us forward each day. It persists in our unfinished but ongoing work to see that justice is done, and to ensure that those who commit acts of terror are held accountable to the fullest extent of the law. And it endures in our determination to secure a brighter future for ourselves and our fellow citizens – a future that is free from the hatred, and the senseless destruction, that has touched your lives and far too many others.
May our continuing efforts serve as a fitting monument to those who were taken from us 25 years ago. May we never tire in our work to forge a society, and a world, that are worthy of the empathy and grace that unites this remarkable group. And may God bless the memories of those we’ve lost; the cause of justice we are humbled to serve; and the great nation that will forever hold the victims of Pan Am 103, and each of their loving families, in our hearts.
Thank you all.
Attorney General Eric Holder Delivers Remarks at the Memorial Service Marking the 25th Anniversary of the Bombing of Pan Am Flight 103
Arlington, Va. ~ Saturday, December 21, 2013
Thank you, Frank [Duggan], for those kind words – and for your many years of service, and leadership, alongside your fellow members of Families of the Victims of Pan Am Flight 103.
I’d also like to recognize just a few of the many dedicated public servants who are here today, including former FBI Director Bob Mueller, who has been involved with this case since he led the Justice Department’s Criminal Division more than two decades ago; Brian Murtagh, a tenacious former Justice Department prosecutor who worked tirelessly on this case for over 20 years; and U.S. Attorney Rick Hartunian, of the Northern District of New York, whose sister was aboard Flight 103 on that fateful night – and who became an original member of the victims group that called for a presidential commission on airport security. I know that Rick’s mother Joanne and his sister Patricia – and their families – are among the many family members in this crowd today. And I consider it an honor to join you all, once again, for this important annual remembrance.
Although a quarter century has passed since the world was shaken – and so many lives were devastated – by a heinous and cowardly act of terror, no amount of distance or time can ease the pain, or erase the loss, that was inflicted on that day. Even now, it remains difficult to comprehend the magnitude of such a senseless crime – which claimed the lives of 259 innocent men, women, and children in the skies above Scotland, along with the lives of 11 residents of the peaceful town of Lockerbie.
Some of the victims were traveling to the United States for the very first time. Some were enjoying quiet evenings with their families. Some were on their way to visit friends and relatives. Some were simply trying to come home. And although their respective journeys, and their individual lives, were cut tragically short – all continue to be dearly loved, and deeply missed, by everyone who knew them – and especially by those who come together on this patch of hallowed ground each year to pay tribute to the lives that were stolen – and to heal those that were irreparably changed.
We will always remember the heartache, the devastation, and the pain that was etched into our collective memory on the 21st of December, 1988. But we also recall, as we gather each year, the tremendous generosity of the Scottish people – and particularly the people of Lockerbie – who, despite their own losses, opened their homes to the families of victims who streamed into that small town from around the world in the days after the bombing. In the midst of their anguish, these generous men and women gave what comfort they could offer, and shared what solace they could provide.
We recall the determination that animated families and victim advocates who joined together to seek answers and understanding. Some of these passionate individuals, including many of the current and former FBI agents, Justice Department prosecutors, and other officials who are with us today, have selflessly defined the quest for justice in the aftermath of this crime as their life’s work.
But more than anything – as we assemble in this place of remembrance, year after year – we recall the moments of unity, and of love, that have arisen from the grief we share. We remember the occasions that have brought this community together not only in mourning, but in search of healing and hope – and in celebration of the extraordinary lives that bind us together.
We keep calling for change, and fighting for justice, on behalf of those no longer with us. We rededicate ourselves – and our nation – to the qualities that defined the men and women we lost. And we continue to be drawn together every year on this date: faces old and new, friends long departed and members of fresh generations – including some who bear the names of absent loved ones – to lend our voices to this solemn memorial. To hear stories and exchange joyous memories. And to be part of the community that – a quarter century after that terrible day – is still striving to build, from an act of unspeakable evil, a lasting legacy of compassion, of fellowship, and of love.
Today, this legacy is all around us – and it is very much alive. It lives in the resolve that brings us together and pushes us forward each day. It persists in our unfinished but ongoing work to see that justice is done, and to ensure that those who commit acts of terror are held accountable to the fullest extent of the law. And it endures in our determination to secure a brighter future for ourselves and our fellow citizens – a future that is free from the hatred, and the senseless destruction, that has touched your lives and far too many others.
May our continuing efforts serve as a fitting monument to those who were taken from us 25 years ago. May we never tire in our work to forge a society, and a world, that are worthy of the empathy and grace that unites this remarkable group. And may God bless the memories of those we’ve lost; the cause of justice we are humbled to serve; and the great nation that will forever hold the victims of Pan Am 103, and each of their loving families, in our hearts.
Thank you all.
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