Tuesday, February 11, 2014

LABOR DEPT. SUES AT&T OVER ALLEGED RETALIATIONS AGAINST WORKERS REPORTING INJURIES

FROM: LABOR DEPARTMENT

Suspension of 13 AT&T workers prompts lawsuit by US Labor Department

CLEVELAND — Workers suspended without pay for reporting workplace injuries has prompted a lawsuit by the U.S. Department of Labor.
The department filed the lawsuit against The Ohio Bell Telephone Company, which operates as AT&T, on behalf of 13 employees who received unpaid suspensions after reporting work place injuries from 2011 to 2013.
“It is against the law for employers to discipline or suspend employees for reporting injuries,” said Dr. David Michaels, assistant secretary of labor for occupational safety and health. “AT&T must understand that by discouraging workers from reporting injuries, it increases the likelihood of more workers being injured in the future. And the Labor Department will do everything in its power to prevent this type of retaliation.”

The complaint alleges that in 13 separate incidents, employees of AT&T were disciplined and given one- to three-day unpaid suspensions for reporting injuries that occurred on the job. The company alleged that each employee violated a corporate workplace safety standard; however, the Occupational Safety and Health Administration’s investigation found that the suspensions were a result of workers reporting their injuries.

Five of the employees in the suit are based in Columbus; two in Brooklyn Heights; two in Canton; and one each in Akron, Cleveland, Gallipolis and Uhrichsville.
The suit, filed in the U.S. District Court for the Northern District of Ohio, Eastern Division, alleges the company violated the whistleblower provisions of the Occupational Safety and Health Act of 1970. The department’s Regional Office of the Solicitor in Cleveland is litigating the case.

OSHA enforces the whistleblower provisions of 22 statutes protecting employees who report violations of various airline, commercial motor carrier, consumer product, environmental, financial reform, food safety, motor vehicle safety, health care reform, nuclear, pipeline, public transportation agency, railroad, maritime and securities laws.
Employers are prohibited from retaliating against employees who raise concerns or provide information to their employer or the government under any of these laws.

FORMER BANK EXEC. PLEADS GUILTY IN MUNI-BOND BID-RIGGING FRAUD CASE

FROM:  JUSTICE DEPARTMENT 

FORMER BANK OF AMERICA EXECUTIVE PLEADS GUILTY FOR ROLE IN CONSPIRACY AND FRAUD INVOLVING INVESTMENT CONTRACTS FOR MUNICIPAL BONDS PROCEEDS

WASHINGTON — A former Bank of America executive pleaded guilty today for his participation in a conspiracy and scheme to defraud related to bidding for contracts for the investment of municipal bond proceeds and other municipal finance contracts, the Department of Justice announced.

Phillip D. Murphy, the former managing director of Bank of America’s municipal derivatives products desk from 1998 to 2002, pleaded guilty today before U.S. District Judge Max O. Cogburn Jr. in the U.S. District Court for the Western District of North Carolina to participating in a fraud conspiracy and wire fraud scheme with employees of Rubin/Chambers, Dunhill Insurance Services Inc., also known as CDR Financial Products, a broker of municipal finance contracts, and others.  Murphy also pleaded guilty to conspiring with others to make false entries in the reports and statements originating from his desk, which were sent to bank management.

Murphy was indicted by a grand jury on July 19, 2012.  According to the indictment, Murphy participated in a wire fraud scheme and separate fraud conspiracies that began as early as 1998 and continued until 2006.

“By manipulating what was intended to be a competitive bidding process, the conspirators defrauded municipalities, public entities and taxpayers across the country,” said Brent Snyder, Deputy Assistant Attorney General of the Antitrust Division’s Criminal Enforcement Program.  “Today’s guilty plea reaffirms the Antitrust Division’s continued efforts to hold accountable those who corrupt and subvert the competitive process in our financial markets.”

Public entities seek to invest money from a variety of sources, primarily the proceeds of municipal bonds that they issue, to raise money for, among other things, public projects.  Public entities typically hire a broker to conduct a competitive bidding process for the award of the investment agreements and often for other municipal finance contracts.

According to the charges, Murphy conspired with CDR and others to increase the number and profitability of investment agreements and other municipal finance contracts awarded to Bank of America.  Murphy won investment agreements through CDR’s manipulation of the bidding process in obtaining losing bids from other providers, which is explicitly prohibited by U.S. Treasury regulations.  As a result of the information, various providers won investment agreements and other municipal finance contracts at artificially determined prices.  In exchange for this information, Murphy submitted intentionally losing bids for certain investment agreements and other contracts when requested, and, on occasion, agreed to pay or arranged for kickbacks to be paid to CDR and other co-conspirator brokers.

Murphy and his co-conspirators misrepresented to municipal issuers that the bidding process was competitive and in compliance with U.S. Treasury regulations.  This caused the municipal issuers to award investment agreements and other municipal finance contracts to providers that otherwise would not have been awarded the contracts if the issuers had true and accurate information regarding the bidding process.  Such conduct placed the tax-exempt status of the underlying bonds in jeopardy.

“Mr. Murphy’s actions undermined the public’s trust when he conspired to manipulate a competitive bidding process,” said Richard Weber, Chief, IRS Criminal Investigation (IRS-CI).  “IRS-CI has experienced great success in unraveling significant and complex financial frauds as we work in close collaboration with our law enforcement partners.”

“Mr. Murphy ripped off hard working American taxpayers and cash-strapped municipalities all in pursuit of his own lucre,” said George Venizelos, Assistant Director in Charge of the FBI’s New York Field Office.  “Let this serve as a reminder to others who are entrusted to act in the public’s best interest; your lack of candor won’t go without notice.”

Murphy pleaded guilty to two counts of conspiracy and one count of wire fraud.  The fraud conspiracy carries a maximum penalty of five years in prison and a $250,000 fine.  The wire fraud charge carries a maximum penalty of 30 years in prison and a $1 million fine.  The false bank records conspiracy carries a maximum penalty of five years in prison and a $250,000 fine.  The maximum fines for each of these offenses may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.

Including Murphy, a total of 17 individuals have been convicted or pleaded guilty.  Additionally, one company has pleaded guilty.

The prosecution is being handled by Steven Tugander, Richard Powers, Eric Hoffmann, Patricia Jannaco and Stephanie Raney of the Antitrust Division.  Assistant U.S. Attorneys Kurt Meyers, Michael Savage and Mark Odulio of the U.S. Attorney’s Office for the Western District of North Carolina have also provided valuable assistance in this matter.  The guilty plea announced today resulted from a wide-ranging investigation conducted by the Antitrust Division’s New York office, the FBI and the IRS-CI.  The division coordinated its investigation with the U.S. Securities and Exchange Commission, the Office of the Comptroller of the Currency and the Federal Reserve Bank of New York.

Today’s guilty plea is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes.  With more than 20 federal agencies, 94 U.S. attorney’s offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud.  Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations.

Monday, February 10, 2014

100,000 CONSTRUCTION JOBS PLEDGED TO VETERANS

FROM:  LABOR DEPARTMENT 
Construction industry pledges to hire more than 100,000 veterans in announcement with Joining Forces and US Labor Department

WASHINGTON — In an announcement today at A National Symposium: Veterans' Employment in Construction, hosted by the U.S. Department of Labor and Joining Forces, First Lady Michelle Obama and U.S. Secretary of Labor Thomas E. Perez celebrated a broad coalition of construction employers and associations that have collectively pledged to hire 100,000 veterans over the next five years.

Also at the announcement were representatives of the construction companies making these hiring commitments, veterans who have completed apprenticeships in the construction industry, and other leaders in the field.

In an op-ed running in this morning's Wall Street Journal, the First Lady writes:
"Today, more than 100 American construction companies came together to announce that they plan to hire more than 100,000 veterans within the next five years. They made this commitment not just because it's the patriotic thing to do, and not just because they want to repay our veterans for their service to our country, but because they know that it's the smart thing to do for their business."
"All men and women who have sacrificed for our country in our armed services deserve opportunities for good jobs worthy of their character and their achievements," said Secretary Perez. "The Department of Labor will do whatever it takes to help our veterans translate their skills and leadership into jobs, and I am inspired by the commitment displayed today by the construction industry and all our partners in helping to achieve that mission."

The construction industry is expected to grow rapidly in the coming years – outpacing the steady growth of the economy as a whole and helping to strengthen local communities. The Bureau of Labor Statistics estimates that construction is one of the fastest-growing industries in the nation, with job growth of more than 1.5 million jobs between now and 2022 – an annual growth rate of 2.6 percent.
Construction companies large and small – from national firms like Jacobs and Bechtel, to regional firms like Cianbro Construction, to local contractors and subcontractors across America – are stepping up to ensure their industry welcomes home the nation's heroes with good-paying jobs. More than 80 additional companies are committing their existing training and employment programs to fill new construction jobs with veterans.

The construction industry was represented at the announcement by executives of several participating companies, with Larry L. Melton, project executive for Bechtel and Marine Corps veteran delivering remarks. "Veterans are invaluable to the construction industry. Men and women who serve in the military often have the traits that are so critical to our success: agility, discipline, integrity, and the drive to get the job done right," Melton said. "Bechtel is passionate about supporting veterans and we continue to expand our efforts to hire transitioning military members."

Lori Sundberg, senior vice president of human resources at Jacobs also stated: "We are pleased to support programs that provide career opportunities for our military veterans. Many of the skills and abilities gained during military training and service are highly transferable to the skills we require to successfully serve our clients around the world. We are proud of the veterans working at Jacobs and appreciate their military service, their dedication, and the value they add to our company."


U.S. DEFENSE DEPARTMENT CONTRACTS FOR FEBRUARY 10, 2014

FROM:  DEFENSE DEPARTMENT 
CONTRACTORS
CONTRACTS
DEFENSE LOGISTICS AGENCY

Vermilion Valley Produce Company Inc.*, Danville, Ill., has been awarded a maximum $12,937,595 fixed-price with economic-price-adjustment contract for fresh fruit and vegetable support.  This contract is a competitive acquisition, and four offers were received.  This is an 18-month base contract with two 18-month option periods.  Locations of performance are throughout Illinois with an Aug. 9, 2018 performance completion date.  Using military services are Army, Navy, Air Force, Marine Corps, and Department of Agriculture schools.  Type of appropriation is fiscal 2014 defense working capital funds.  The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa., (SPE300-14-D-P246).

Racoe, Inc.**, Celina, Tenn., has been awarded a maximum $8,709,452 modification (P00009) exercising the first option year on a one-year base contract (SPM1C1-13-D-1022) with four one-year option periods for Marine Corps combat utility uniform trousers.  This is a firm-fixed-price, indefinite-quantity contract.  Locations of performance are Tennessee and Mississippi with a Feb. 13, 2015 performance completion date.  Using military service is Marine Corps.  Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds.  The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.

AIR FORCE

Alion Science and Technology Corp., McLean, Va., has been awarded a $12,851,147 modification (P00116) on an existing cost-plus-award-fee and cost-reimbursable contract (FA7014-07-C-0009) value estimated at $970,000,000 for technical and analytical support.  This contract provides the following acquisition support services:  programmatic analyses; policy analyses; budget analyses; administrative technical support; facilities engineering services; business reengineering analyses; database development; internet/intranet development; software application development; legislative analyses; engineering/technical consulting support; and acquisition consulting services.  Government customers include the assistant secretary of the Air Force for acquisition, Joint Strike Fighter Program Office, SAF/FML (Congressional), Air Force Program Executive Office, Aircraft & Space Launch, Air Force Life Cycle Management Center, the Air Force Scientific Advisory Board and other Headquarters Air Force organizations.  This modification rebaselines the current program for the last option period four (Jan. 1 2013 through July 31, 2015) and reinstitutes the original, intended period of performance to Jan. 1, 2001 through Dec. 31, 2015, increasing the estimate.  Option period four was exercised and announced in 2012; however, due to the period of performance extension as a result of the rebaselining effort, this announcement is reporting new work.  Work will be performed at Arlington, Va., and Washington, D.C., and is expected to be completed by Dec. 31, 2015.  The following fund types will be incrementally funded onto this contract:  Air Force research and development, procurement, operations and maintenance and foreign military sales to Israel, Japan, Korea, Saudi Arabia, Singapore, and Spain.  The Air Force District of Washington Contracting Directorate, Strategic Sourcing Division, Joint Base Andrews, Md., is the contracting activity.

ARMY

HELLFIRE SYSTEMS, LLC, Orlando, Fla., was awarded a $157,362,903 modification (P00068) to firm-fixed-price contract W31P4Q-11-C-2042, to exercise option for fiscal 2014 Hellfire II missile production requirements.  This contract involves foreign military sales to Saudi Arabia, Jordan and Indonesia.  Fiscal years 2012, 2013 and 2014 funds in the amount of $157,362,903 are being obligated on award.  The performance location is Orlando, Fla., with an estimated completion date of Nov. 30, 2016.  The U.S. Army Contracting Command – Redstone Arsenal (Missile), Redstone, Ala., is the contracting activity.

Weeks Marine, Inc., Covington, La., was awarded a $9,570,000 firm-fixed-price contract for work consisting of furnishing one fully crewed and equipped ‘cutterhead’ dredge, with a dredge discharge size of 30-inches inside diameter complete in all respects, including all attendant plant and crew.  Fiscal 2014 operations and maintenance funds in the amount of $9,570,000 are being obligated on award.  The contract was solicited via the Web with two bids received.  The performance location is Pilottown, La., with an estimated completion date of July 25, 2014.  The U.S. Army Corps of Engineers – New Orleans District, New Orleans, La., is the contracting activity (W912P8-14-C-0023).

U.S. SPECIAL OPERATIONS COMMAND

Oregon Iron Works, Inc., of Clackamas, Oregon was one of two companies previously awarded indefinite-delivery/indefinite-quantity contract H92222-11-D-0080 in September 2011 in support of the Combatant Craft Medium Mark One (CCM Mk1). The CCM Mk I Program is an  acquisition program to develop, test, produce, field, and sustain a modern, clandestine, agile, adaptive, technically relevant, reliable, and operationally capable combatant craft system in support of U.S. Special Operations Command.  The government has tested and evaluated the test articles provided by the two Phase II CCM Mk 1 awardees during Phase III of this evaluation, evaluated final proposal revisions and has made a final down select decision awarded to Oregon Iron Works, Inc.  The total IDIQ contract ceiling, previously announced, remains $400,000,000, and the period of performance inclusive of all options and ordering periods is through December 2021.  Funds in the amount of $17,500,290 will be obligated at this time for test article refurbishment as well as support the purchase of long lead items and low rate initial production  units.  The majority of the work will be performed in Clackamas, Oregon.  This contract was originally solicited through the Web as a 100 percent set aside for small business in accordance with Federal Acquisition Regulation 19.502-2 with six proposals received.  U.S. Special Operations Command, Tampa, Fla., is the contracting activity.

*Small Business
** Small Business, In HubZone, Woman Owned

OP-ED BY PRESIDENT OBAMA AND FRENCH PRESIDENT HOLLANDE

FROM:  THE WHITE HOUSE 
Op-ed by President Obama and President Hollande: An Alliance Transformed

The full text of an op-ed by President Obama and President Hollande of France is printed below. 

Obama and Hollande: France and the U.S. enjoy a renewed alliance
By Barack Obama and François Hollande,
Monday, February 10
Barack Obama is president of the United States. François Hollande is president of the French Republic.

Today, American and French diplomats are preparing for talks with Iran that build on the agreement that has halted progress on and rolled back key elements of the Iranian nuclear program. French and American officials share information daily to combat terrorism around the world. Our development experts are helping farmers across Africa and on other continents boost their yields and escape poverty. In forums such as the Group of Eight and the Group of 20, the United States and France promote strong, sustainable and balanced growth, jobs and stability — and we address global challenges that no country can tackle alone. At high-tech start-ups in Paris and Silicon Valley, American and French entrepreneurs are collaborating on the innovations that power our global economy.

A decade ago, few would have imagined our two countries working so closely together in so many ways. But in recent years our alliance has transformed. Since France’s return to NATO’s military command four years ago and consistent with our continuing commitment to strengthen the NATO- European Union partnership, we have expanded our cooperation across the board. We are sovereign and independent nations that make our decisions based on our respective national interests. Yet we have been able to take our alliance to a new level because our interests and values are so closely aligned.

Rooted in a friendship stretching back more than two centuries, our deepening partnership offers a model for international cooperation. Transnational challenges cannot be met by any one nation alone. More nations must step forward and share the burden and costs of leadership. More nations must meet their responsibilities for upholding global security and peace and advancing freedom and human rights.

Building on the first-step agreement with Iran, we are united with our “P5+1” partners — Britain, Germany, Russia and China — and the E.U. and will meet next week in Vienna to begin discussions aimed at achieving a comprehensive solution that prevents Iran from obtaining a nuclear weapon. In Syria, our credible threat of force paved the way for the plan to eliminate Syria’s chemical weapons; now, Syria must meet its obligations. With the Syrian civil war threatening the stability of the region, including Lebanon, the international community must step up its efforts to care for the Syrian people, strengthen the moderate Syrian opposition, and work through the Geneva II process toward a political transition that delivers the Syrian people from dictatorship and terrorism.

Perhaps nowhere is our new partnership on more vivid display than in Africa. In Mali, French and African Union forces — with U.S. logistical and information support — have pushed back al-Qaeda-linked insurgents, allowing the people of Mali to pursue a democratic future. Across the Sahel, we are partnering with countries to prevent al-Qaeda from gaining new footholds. In the Central African Republic, French and African Union soldiers — backed by American airlift and support — are working to stem violence and create space for dialogue, reconciliation and swift progress to transitional elections.

Across the continent, from Senegal to Somalia, we are helping train and equip local forces so they can take responsibility for their own security. We are partnering with governments and citizens who want to strengthen democratic institutions, improve agriculture and alleviate hunger, expand access to electricity and deliver the treatment that saves lives from infectious diseases. Our two countries were the earliest and are among the strongest champions of the Global Fund to Fight AIDS, Tuberculosis and Malaria.

Alongside a revitalized alliance on the world stage, we’re also working to deepen our bilateral economic relationship. Already, France is one of America’s top export markets, and the United States is the largest customer for French goods outside the European Union — trade that supports nearly a million jobs in our two countries. Our cooperation in science and education is illustrated by existing partnerships between our universities, top research laboratories and space agencies. But as entrepreneurial societies that cherish the spirit of invention and creativity, we need to do more to lead the world in innovation.

The trade and investment partnership that we are pursuing between the European Union and the United States is a major opportunity to build on millions of jobs on both sides of the Atlantic already supported by U.S.-E.U. trade. Such an agreement would result in more trade, more jobs and more export opportunities, including for small businesses in both of our countries. It would also build a lasting foundation for our efforts to promote growth and the global economic recovery.

This includes our leadership to combat climate change. Even as our two nations reduce our own carbon emissions, we can expand the clean energy partnerships that create jobs and move us toward low-carbon growth. We can do more to help developing countries shift to low-carbon energy as well, and deal with rising seas and more intense storms. As we work toward next year’s climate conference in Paris, we continue to urge all nations to join us in pursuit of an ambitious and inclusive global agreement that reduces greenhouse gas emissions through concrete actions. The climate summit organized by the U.N. secretary general this September will give us the opportunity to reaffirm our ambitions for the climate conference in Paris.

The challenges of our time cannot be wished away. The opportunities of our interconnected world will not simply fall into our laps. The future we seek, as always, must be earned. For more than two centuries, our two peoples have stood together for our mutual freedom. Now we are meeting our responsibilities not just to each other — but to a world that is more secure because our enduring alliance is being made new again.

West Wing Week 02/07/14 or "POTUS Cam!"

U.S. AIR FORCE DOWNED AIRCRAFT RECOVERY EXERCISE

                              FROM:  U.S. DEFENSE DEPARTMENT 
A UH-60 Black Hawk helicopter lifts off while carrying a simulated injured aircrew member during a personnel and downed aircraft recovery exercise in Honduras, Feb. 4, 2014. U.S. Air Force photo by Capt. Zach Anderson.


A CH-47 Chinook helicopter makes a landing during a personnel and downed aircraft recovery exercise in Honduras, Feb. 4, 2014. U.S. Air Force photo by Capt. Zach Anderson.



SOCHI SKI RUNS VIEW BY NASA'S TERRA SPACECRAFT

FROM:  NASA 

The 2014 Winter Olympic ski runs may be rated double black diamond, but they're not quite as steep as they appear in this image of the skiing and snowboarding sites for the Sochi Winter Olympic Games, acquired on Jan. 4, 2014, by the Advanced Spaceborne Thermal Emission and Reflection Radiometer (ASTER) instrument on NASA's Terra spacecraft. Rosa Khutar ski resort near Sochi, Russia, is in the valley at center, and the runs are visible on the shadowed slopes on the left-hand side of the valley. Height has been exaggerated 1.5 times to bring out topographic details. The games, which begin on Feb. 7 and continue for 17 days, feature six new skiing and boarding events plus the return of the legendary Jamaican bobsled team to the winter games for the first time since 2002.

In this southwest-looking image, red indicates vegetation, white is snow, and the resort site appears in gray. The area imaged is about 11 miles (18 kilometers) across in the foreground and 20 miles (32 kilometers) from front to back. The image was created from the ASTER visible and near-infrared bands, draped over ASTER-derived digital elevation data. With its 14 spectral bands from the visible to the thermal infrared wavelength region and its high spatial resolution of 15 to 90 meters (about 50 to 300 feet), ASTER images Earth to map and monitor the changing surface of our planet. ASTER is one of five Earth-observing instruments launched Dec. 18, 1999, on Terra. The instrument was built by Japan's Ministry of Economy, Trade and Industry. A joint U.S./Japan science team is responsible for validation and calibration of the instrument and data products. The broad spectral coverage and high spectral resolution of ASTER provides scientists in numerous disciplines with critical information for surface mapping and monitoring of dynamic conditions and temporal change. Example applications are: monitoring glacial advances and retreats; monitoring potentially active volcanoes; identifying crop stress; determining cloud morphology and physical properties; wetlands evaluation; thermal pollution monitoring; coral reef degradation; surface temperature mapping of soils and geology; and measuring surface heat balance. The U.S. science team is located at NASA's Jet Propulsion Laboratory, Pasadena, Calif.

 The Terra mission is part of NASA's Science Mission Directorate, Washington, D.C. ;More information about ASTER is available at asterweb.jpl.nasa.gov/. Image Credit: NASA/GSFC/METI/ERSDAC/JAROS, and U.S./Japan ASTER Science Team

Credit-NASA-GSFC-METI-ERSDAC-JAROS, and U.S.-Japan ASTER Science Team

3 TENNESSEANS PLEAD GUILTY IN PONZI SCHEME

FROM:  JUSTICE DEPARTMENT 
Friday, January 31, 2014

Three Tennessee Men Plead Guilty in $18 Million Ponzi Scheme

Top officers and a salesman for an investment company based in Nashville, Tenn., have pleaded guilty for their roles in an $18 million Ponzi scheme.

Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney David Rivera of the Middle District of Tennessee, Special Agent in Charge Todd McCall of the FBI’s Memphis Division and Special Agent in Charge Christopher Henry of the IRS-Criminal Investigation in Nashville made the announcement today after the pleas were accepted by U.S. District Judge Todd J. Campbell in the Middle District of Tennessee.

Terry Kretz, 61, of Gallatin, Tenn., the chief executive officer for Hanover Corporation, and Daryl Bornstein, 54, of College Grove, Tenn., a Hanover salesman, pleaded guilty today to securities fraud, money laundering, and conspiracy to commit securities fraud, wire fraud and mail fraud.   On Jan. 29, 2014, Hanover’s chief financial officer, Robert Haley, 54, pleaded guilty to the same charges.   Kretz and Haley also pleaded guilty to mail fraud.

“The three men who pleaded guilty today schemed, lied, and stole at the expense of innocent investors,” said Acting Assistant Attorney General Raman.  “They ran a classic Ponzi scheme until the bottom fell out, and their clients – people looking to provide stability for their families or save for their retirements – suffered serious financial harm.  We will stay vigilant to ensure that fraudsters like Kretz, Bornstein and Haley are held accountable.”

“Ponzi schemes typically leave unsuspecting investors in financial ruin and many have lost their life’s savings,” said U.S. Attorney Rivera.   “The U.S. Attorney’s Office and our law enforcement partners will continue to place a great emphasis on educating the public about investment fraud and will vigorously pursue those who prey upon unsuspecting investors.”

“It is a priority of the FBI to target fraudsters who use criminal investment and Ponzi schemes to scam innocent working families and retirees out of their hard earned money,” said FBI SAC McCall. “These pleas demonstrate the effectiveness of state and federal law enforcement working together to protect the public from financial fraudsters and bring those responsible to justice.”

“Promoters of Ponzi schemes prey upon trusting investors and then steal their hard earned money,” said IRS-CI SAC Henry.  “Investors should be wary of programs promising unbelievable returns and investments should be looked at carefully.   Remember the old cliché, ‘If it seems too good to be true, it probably is’.

The three men were indicted by a federal grand jury on July 27, 2011.   Sentencing is scheduled for April 2, 2014.

According to court documents, the defendants carried out the fraudulent scheme from October 2004 through August 2006.   During that period, Kretz and Bornstein offered clients the opportunity to invest in Hanover through promissory notes bearing high interest rates.   Through representations in the promissory notes, as well as their own discussions with investors, Kretz and Bornstein told clients that their money would be used for specific purposes, such as investing in stock options and startup companies.   In fact, as all three defendants knew, more than half the money invested in Hanover went to repay earlier investors, to pay Hanover’s salaries and overhead, or to benefit the defendants personally.   Such personal benefits included the purchase of a $600,000 residential building lot in the name of Kretz personally, contributing more than $176,000 to a church, and paying for golf memberships.

Kretz and Bornstein also issued Hanover promissory notes to reimburse individuals who had previously lost money investing in ventures recommended by Bornstein before he joined Hanover.   In some cases, these old investors contributed new money to Hanover, while in other cases, they invested nothing.   In both cases, money from new investors in Hanover was used to make payments on promissory notes issued to cover non-Hanover losses without the Hanover investors’ knowledge.

Haley, in his role as chief financial officer, furthered the fraud by sending note holders checks that purported to be for “interest” — but were in fact simply transfers of money recently taken in from new investors.   Haley also prepared a false balance sheet that overstated Hanover’s financial health and that he knew would be shown to note holders.

The case was investigated by the FBI, IRS-CI, the Tennessee Bureau of Investigation, and the Tennessee Department of Commerce and Insurance.   The case is being prosecuted by Assistant United States Attorney Scarlett S. Nokes of the Middle District of Tennessee and Trial Attorney Justin Goodyear of the Criminal Division’s Fraud Section.

COMBAT TRAINING PHOTOS TAKEN DURING RED FLAG 14-1

                                          FROM:  U.S. AIR FORCE
                       Colorado Air Guard Participates In Red Flag 14-1 
An F-16 Fighting Falcon takes off for a sortie training mission during Red Flag 14-1, Jan. 30, 2014, at Nellis Air Force Base, Nev. Combat units come together from the U.S. and its allied countries to engage in realistic combat training scenarios within Nellis AFB’s 2.9 million acre Test and Training Range Complex. The F-16 is assigned to the 120th Fighter Squadron at Buckley Air Force Base, Colorado Air National Guard. (U.S. Air National Guard photo/Tech. Sgt. Wolfram M. Stumpf). 


B-2 Takes Off During Red Flag
A B-2 Spirit takes off during Red Flag 14-1, Jan. 28, 2014, at Nellis Air Force Base, Nev. The B-2 is a multi-role bomber capable of delivering both conventional and nuclear munitions. Red Flag gives Airmen an opportunity to experience realistic, stressful combat situations in a controlled environment to increase their combat readiness and effectiveness. The B-2 is assigned to the 13th Bomb Squadron at Whiteman Air Force Base, Mo. (U.S. Air Force photo/Airman 1st Class Thomas Spangler).

Sunday, February 9, 2014

COURT ORDERS HEALTH CARE COMPANY TO CEASE RETALIATIONS AGAINST WORKERS

FROM:  NATIONAL LABOR RELATIONS BOARD 
United States District Court for the Northern District of Ohio Eastern Division Grants Injunction Against Affinity Medical Center
February 7, 2014

On January 24, 2014, the United States District Court for the Northern District of Ohio Eastern Division granted an injunction filed by Frederick J. Calatrello, Regional Director for Region 8 (Cleveland) of the National Labor Relations Board (NLRB) against DHSC, LLD, which does business as Affinity Medical Center in Massillon, Ohio. The court found that the NLRB had reasonable cause to believe that Affinity Medical Center violated the National Labor Relations Act when the company disciplined and fired a long-tenured orthopedic nurse who was a union supporter, limited access to its property to a union representative, and refused to recognize or bargain with the National Nurses Organizing Committee (NNOC), the nurses’ recently-certified collective bargaining representative.

The court ordered Affinity to cease and desist from disciplining, discharging and reporting its employees to the State Board of Nursing because of their union activities, sympathies, or support. Further, the court ordered the company to “recognize, and upon request, bargain in good faith with the union as the exclusive collective bargaining representative of the employees concerning their wages, hours and other terms and conditions of employment.” Lastly, the company was ordered to stop imposing more onerous working conditions on employees because the employees engaged in protected concerted activities and/or union activities.

MSHA OFFICIAL'S REMARKS TO WV COAL ASSOCIATION MINING SYMPOSIUM

FROM:  LABOR DEPARTMENT 
MSHA's Joseph Main addresses WV Coal Association Mining Symposium
Mine safety chief touts decline in fatality and injury rates

ARLINGTON, Va. — In a speech before attendees of the West Virginia Coal Association's 41st Annual Mining Symposium in Charleston, W.Va., today, Assistant Secretary of Labor for Mine Safety and Health Joseph A. Main discussed actions taken by the Mine Safety and Health Administration and the mining community over the past year to improve mine safety and health.
In his remarks, Main stated that mine safety has been on a steady path of improvement since the agency began implementing reforms, characterized by a reduction in the number of chronic violators and better compliance with mine safety and health standards. Most importantly, during this period, the industry achieved the lowest fatality and injury rates in the history of mining in 2011 and again in 2012, a trend that continued through FY 2013.

"MSHA has put into place a number of initiatives that we believe have improved mine safety and health and mine emergency response," said Main. Notably, the agency spearheaded the creation of a national organization to provide guidance on mine rescue; continued actions to reduce black lung and other occupational diseases; and filed the most discrimination cases ever filed in a single year on behalf of miners who have been retaliated against by their employers for making hazardous condition complaints.

In addition, in 2013, the agency completed all of its corrective actions in response to the 100 recommendations made by the internal review of the Upper Big Branch mine disaster. "This Upper Big Branch review was one of the most comprehensive internal reviews conducted in MSHA history," Main said, "and the corrective actions MSHA took have resulted in the most extensive changes at MSHA in decades, improving mine safety and health for the nation's miners and changing how we do business at the agency." To address its recommendations, MSHA overhauled its mine inspection handbooks, implemented new inspection procedures on rock dusting of mines to prevent coal dust explosions, and implemented a centralized directive system for the development and to ensure consistency of the agency's policies.

Main highlighted these and other actions, noting that MSHA and the mining community still have work to do. However, as he stated: "Certainly, the progress we have made in mine safety in recent years lets us know that greater improvements are achievable. We owe the nation's miners that much."


FORMER POLICE OFFICER SENTENCED IN ARRESTEE ASSAULT CASE

FROM:  JUSTICE DEPARTMENT 
Wednesday, February 5, 2014

Former Tennessee Police Officer Sentenced for Assaulting an Arrestee
Christopher Eugene Reynolds, 39, a former police officer of the Selmer, Tenn., Police Department (SPD), was sentenced today by U.S. District Judge J. Daniel Breen to serve one year and one day in prison following his conviction for violating the civil rights of an arrestee, the Justice Department announced.  Reynolds pleaded guilty Nov. 6, 2013.  Judge Breen also sentenced Reynolds to a period of two years supervised release and a $100 special assessment.

“The majority of law enforcement officers do not abuse their authority, however, the defendant has admitted that he wrongfully assaulted an arrestee,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division.  “The Justice Department will continue to vigorously prosecute officers who use their official position to violate the civil rights of those in their custody.”

Reynolds admitted that on April 28, 2011, while using his authority as a SPD officer, he slammed a handcuffed arrestee to the floor of the McNairy Regional Hospital and struck him once in the face.  According to information presented in court, Reynolds acknowledged that this assault was unreasonable, did not serve a legitimate law enforcement purpose and was not made by accident, mistake or inadvertence.

Reynolds was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.

This case was investigated by FBI Special Agent Christopher Miller with the assistance of the Tennessee Bureau of Investigation.  The case was prosecuted by Trial Attorney Ryan J. Murguía for the Civil Rights Division and Special Litigation Counsel Gerard V. Hogan, with the assistance of Assistant U.S. Attorney Victor L. Ivy for the Western District of Tennessee.

TWEET FROM SPACE: CRESCENT MOON RISING


FROM:  NASA 
On Feb. 1, 2014, Japan Aerospace Exploration Agency astronaut Koichi Wakata tweeted this view of a crescent moon rising and the cusp of Earth's atmosphere. Distinct colors are visible because the dominant gases and particles in each layer of the atmosphere act as prisms, filtering out certain colors of light.  Image Credit: NASA

USS HALYBURTON ASSISTS SEARCH AND RESCUE OF CRASHED PANAMANIAN HELICOPTER SURVIVORS

FROM:  U.S. NAVY 
140115-N-KG407-411 ATLANTIC OCEAN (JAN. 15, 2014) An MH-60R Sea Hawk helicopter assigned to the Grandmasters of Helicopter Maritime Squadron (HSM) 46 lands aboard the guided-missile frigate USS Halyburton (FFG 40). A detachment from HSM-46 is deploying with Halyburton to the U.S. 4th Fleet area of responsibility. (U.S. Navy photo by Mass Communication Specialist Kameren Guy Hodnett/Released)

USS Halyburton Assists in Rescue of Panamanian Crashed Helicopter
Story Number: NNS140206-15 Release Date:  2/6/2014 6:18:00 PM 
By Lt. Mark Day, USS Halyburton Public Affairs

CARIBBEAN SEA (NNS) -- A Panamanian helicopter crashed killing one and injuring eight while working together with USS Halyburton (FFG 40) conducting operations in support of Operation Martillo in the 4th Fleet area of operations, Feb. 6.

The names of the victims will not be released until after notification of the next of kin and released by the Panamanian authorities. There were no U.S. service members or personnel hurt in this incident.

The Panamanian helicopter, a Bell 412, had arrived in the vicinity of the beached small craft and assumed monitoring activities from the U.S. helicopter when it crashed with nine people onboard.

The Halyburton, a guided-missile frigate, immediately assumed the role of search and rescue on-scene commander. While Cutlass 466, the MH-60R attached to the Halyburton from Helicopter Maritime Strike Squadron 46, returned to the area to begin search and rescue operations.

Halyburton's helicopter Cutlass 466 transported six of the wounded to a hospital in Panama, while Panamanian forces rescued and are transporting the other two survivors.

Halyburton is currently deployed in the Caribbean Sea conducting counter illicit trafficking operations in support of Operation Martillo.

Operation Martillo targets illicit trafficking routes in coastal waters along the Central American isthmus, and is an international, interagency operation which includes the participation of 14 countries committed to a regional approach against transnational criminal organizations moving illicit cargo.

This deployment is Halyburton's last deployment in her 30-year career, as she is scheduled to decommission later this year. Her keel was laid Sept. 26, 1980 and she was commissioned Jan. 7, 1984. She is named for Petty Officer 2nd Class William David Halyburton, a pharmacist's mate, who was posthumously awarded the Medal of Honor for extraordinary heroism, May 10, 1945, while serving with the Marine Rifle Company, Second Battalion, Fifth Marines, First Marine Division on Okinawa.

U.S. Naval Forces Southern Command and U.S. 4th Fleet supports U.S. Southern Command's joint and combined military operations by employing maritime forces in cooperative maritime security operations in order to maintain access, enhance interoperability, and build enduring partnerships in order to enhance regional security and promote peace, stability, and prosperity in the Caribbean, Central and South American regions.

REMARKS BY PRESIDENT OBAMA AT SIGNING OF NEW FARM BILL

FROM:  THE WHITE HOUSE 
Remarks by the President at Signing of the Farm Bill -- MI
Michigan State University
East Lansing, Michigan
FEBRUARY 7, 2014
2:16 P.M. EST

THE PRESIDENT:  Hello, Spartans!  (Applause.)  Go, Green!

AUDIENCE:  Go, White!

THE PRESIDENT:  Thank you so much.  Everybody have a seat here.

It’s good to be at Michigan State.  Thank you, Ben, for that wonderful introduction.  Give Ben a big round of applause.  (Applause.)  He’s got his beautiful family right here.  How did dad do?  Was he pretty good?  Yes, there he is.  He did good?  I thought he did great.

It is good to be in East Lansing.  It’s good to be with all of you here today.  I’m here because I’ve heard about all the great things that you’re doing.  And I want to thank Mayor Triplett and President Simon for hosting us.

I am also here to do some scouting on my brackets.  (Laughter and applause.)  I just talked to Coach Izzo -- Spartans are looking pretty good.  I know things were a little wild for a while, had some injuries.  But the truth is that Coach Izzo, he always paces so that you peak right at the tournament.  (Applause.)  That’s a fact.  Then I got a chance to meet Mark Dantonio.  (Applause.)  So you’ve already got a Rose Bowl victory.  (Applause.)  You guys, you’re greedy.  (Laughter.)  You want to win everything.

But it’s wonderful to be here.  I love coming to Michigan.  Mainly I love coming to Michigan because of the people.  But I also love coming here because there are few places in the country that better symbolize what we’ve been through together over these last four, five years.

The American auto industry has always been the heartbeat of the Michigan economy and the heart of American manufacturing.  So when that heartbeat was flat-lining, we all pulled together, all of us -- autoworkers who punched in on the line, management who made tough decisions to restructure, elected officials like Gary Peters and Mark Schauer who believed that -- (applause) -- folks who believed that rescuing America’s most iconic industry was the right thing to do.

And today, thanks to your grit and your ingenuity and dogged determination, the American auto industry’s engines are roaring again and we are building the best cars in the world again.  And some plants are running three shifts around the clock -- something that nobody would have imagined just a few years ago.  (Applause.)

I just had lunch with Detroit’s new Mayor, Mike Duggan.  (Applause.)  He told me if there’s one thing that he wants everybody to know, it’s that Detroit is open for business.  And I have great confidence that he’s going to provide the leadership that we need.  (Applause.)  Really proud of him.  The point is we’ve all had to buckle down.  We’ve all had to work hard.  We’ve had to fight our way back these past five years.  And in a lot of ways, we are now better positioned for the 21st century than any other country on Earth.

This morning, we learned that our businesses in the private sector created more than 140,000 jobs last month, adding up to about 8.5 million new jobs over the past four years.  (Applause.)  Our unemployment rate is now the lowest it’s been since before I was first elected.  Companies across the country are saying they intend to hire even more folks in the months ahead.  And that’s why I believe this can be a breakthrough year for America.

And I’ve come here today to sign a bill that hopefully means folks in Washington feel the same way -- that instead of wasting time creating crises that impede the economy, we’re going to have a Congress that’s ready to spend some time creating new jobs and new opportunities, and positioning us for the future and making sure our young people can take advantage of that future.

And that’s important, because even though our economy has been growing for four years now, even though we’ve been adding jobs for four years now, what’s still true -- something that was true before the financial crisis, it’s still true today -- is that those at the very top of the economic pyramid are doing better than ever, but the average American’s wages, salaries, incomes haven’t risen in a very long time.  A lot of Americans are working harder and harder just to get by -- much less get ahead -- and that’s been true since long before the financial crisis and the Great Recession.

And so we’ve got to reverse those trends.  We’ve got to build an economy that works for everybody, not just a few.  We’ve got to restore the idea of opportunity for all people -- the idea that no matter who you are, what you look like, where you came from, how you started out, what your last name is, you can make it if you’re willing to work hard and take responsibility.  That’s the idea at the heart of this country. That’s what’s at stake right now.  That’s what we’ve got to work on.  (Applause.)

Now, the opportunity agenda I laid out in my State of the Union address is going to help us do that.  It’s an agenda built around four parts.  Number one:  More new jobs in American manufacturing, American energy, American innovation, American technology.  A lot of what you’re doing here at Michigan State helps to spur on that innovation in all sorts of areas that can then be commercialized into new industries and to create new jobs.

Number two:  Training folks with the skills to fill those jobs -- something this institution does very well.

Number three:  Guaranteeing access to a world-class education for every child, not just some.  That has to be a priority.  (Applause.)  That means before they even start school, we’re working on pre-K that’s high quality and gets our young people prepared, and then takes them all the way through college so that they can afford it, and beyond.

Number four:  Making sure our economy rewards honest work with wages you can live on, and savings you can retire on, and, yes, health insurance that is there for you when you need it.  (Applause.)

Now, some of this opportunity agenda that I put forward will require congressional action, it’s true.  But as I said at the State of the Union, America does not stand still; neither will I.  And that’s why, over the past two weeks, I’ve taken steps without legislation, without congressional action, to expand opportunity for more families.  We’ve created a new way for workers to start their own retirement savings.  We’ve helped to make sure all of our students have high-speed broadband and high-tech learning tools that they need for this new economy.

But I’ve also said I’m eager to work with Congress wherever I can -- because the truth of the matter is, is that America works better when we’re working together.  And Congress controls the purse strings at the federal level and a lot of the things that we need to do require congressional action.

And that is why I could not be prouder of our leaders who are here today.  Debbie in particular, I could not be prouder of your own Debbie Stabenow, who has done just extraordinary work.  (Applause.)  We all love Debbie for a lot of reasons.  She’s been a huge champion of American manufacturing but really shepherded through this farm bill, which was a very challenging piece of business.  She worked with Republican Senator Thad Cochran, who I think was very constructive in this process.  We had Representatives Frank Lucas, a Republican, working with Collin Peterson, a Democrat.  We had a terrific contribution from our own Secretary of Agriculture, Tom Vilsack, who deserves a big round of applause.  (Applause.)

And so Congress passed a bipartisan farm bill that is going to make a big difference in communities all across this country.  And just so they don’t feel left out, I want to recognize one of your congressmen, who’s doing an outstanding job -- Dan Kildee.  (Applause.)  And somebody who was just a wonderful mentor to me when I was in the Senate and has been just a great public servant, not just for your state, but for the entire country -- Carl Levin.  (Applause.)  He’s always out there, especially when it comes to our men and women in uniform.  We’re very proud of him.  (Applause.)

     And while we’re at it, we got a couple of out-of-towners -- Pat Leahy from Vermont -- there are a lot of dairy farms up there, so he had something to do with it.  (Applause.)  Amy Klobuchar from Minnesota.  (Applause.)  All that cold air is blowing from Minnesota down into -- (laughter).

Now, despite its name, the farm bill is not just about helping farmers.  Secretary Vilsack calls it a jobs bill, an innovation bill, an infrastructure bill, a research bill, a conservation bill.  It’s like a Swiss Army knife.  (Laughter.)  It’s like Mike Trout -- for those of you who know baseball.  (Laughter.)  It’s somebody who’s got a lot of tools.  It multitasks.  It’s creating more good jobs, gives more Americans a shot at opportunity.  And there are two big ways in which it does so.

First, the farm bill lifts up our rural communities.  Over the past five years, thanks to the hard work and know-how of America’s farmers, the best in the world, we’ve had the strongest stretch of farm exports in our history.  And when I’m traveling around the world, I’m promoting American agriculture.  And as a consequence, we are selling more stuff to more people than ever before.  Supports about 1 million American jobs; what we grow here and that we sell is a huge boost to the entire economy, but particularly the rural economy.

Here at Michigan State, by the way, you are helping us to do even more.  So I just got a tour of a facility where you’re working with local businesses to produce renewable fuels.  You’re helping farmers grow crops that are healthier and more resistant to disease.  Some students are even raising their own piglets on an organic farm.  When I was in college, I lived in a pig sty -- (laughter) -- but I didn't work in one.  So I’m impressed by that.  (Laughter.)  That's no joke, by the way.  (Laughter and applause.)  Your hygiene improves as you get older.  (Laughter.)

So we’re seeing some big advances in American agriculture.  And today, by the way, I’m directing my administration to launch a new “Made in Rural America” initiative to help more rural businesses expand and hire and sell more products stamped “Made in the USA” to the rest of the world -- because we’ve got great products here that need to be sold and we can do even more to sell around the world.  (Applause.)

But even with all this progress, too many rural Americans are still struggling.  Right now, 85 percent of counties experience what’s called “persistent poverty.”  Those are in rural areas.  Before I was elected President, I represented Illinois, home of a couple of your Big Ten rivals, but also a big farming state.  And over the years, I’ve seen how hard it can be to be a farmer.  There are a lot of big producers who are doing really well, but there are even more small farms, family farms, where folks are just scratching out a living and increasingly vulnerable to difficulties in financing and all the inputs involved -- farmers sometimes having to work off the farm, they’ve got a couple of jobs outside the farm just to get health care, just to pay the bills, trying to keep it in the family, and it’s very hard for young farmers to get started.

And in these rural communities, a lot of young people talk about how jobs are so scarce, even before the recession hit, that they feel like they’ve got to leave in order to have opportunity.  They can't stay at home, they’ve got to leave.

So that's why this farm bill includes things like crop insurance, so that when a disaster like the record drought that we’re seeing across much of the West hits our farmers, they don’t lose everything they’ve worked so hard to build.  This bill helps rural communities by investing in hospitals and schools, affordable housing, broadband infrastructure -- all the things that help attract more businesses and make life easier for working families.

This bill supports businesses working to develop cutting-edge biofuels -- like some of the work that's being done here at Michigan State.  That has the potential to create jobs and reduce our dependence on foreign oil.  It boosts conservation efforts so that our children and grandchildren will be able to enjoy places like the Mississippi River Valley and Chesapeake Bay.

It supports local food by investing in things like farmers markets and organic agriculture -- which is making my wife very happy.  And when Michelle is happy, I don't know about everybody being happy, but I know I'm happy.  (Laughter and applause.)  And so it's giving smaller producers, local producers, folks like Ben, the opportunity to sell more of their products directly, without a bunch of processing and distributors and middlemen that make it harder for them to achieve.  And it means that people are going to have healthier diets, which is, in turn, going to reduce incidents of childhood obesity and keep us healthier, which saves us all money.

It does all this while reforming our agricultural programs, so this bill helps to clamp down on loopholes that allowed people to receive benefits year after year, whether they were planting crops or not.  And it saves taxpayers hard-earned dollars by making sure that we only support farmers when disaster strikes or prices drop.  It's not just automatic.

So that’s the first thing this farm bill does -- it helps rural communities grow; it gives farmers some certainty; it puts in place important reforms.

The second thing this farm bill does -- that is huge -- is help make sure America’s children don’t go hungry.  (Applause.)   And this is where Debbie’s work was really important.  One study shows that more than half of all Americans will experience poverty at some point during their adult lives.  Now, for most folks that's when you're young and you're eating ramen all the time.  But for a lot of families, a crisis hits, you lose your job, somebody gets sick, strains on your budget -- you have a strong work ethic, but it might take you six months, nine months, a year to find a job.  And in the meantime, you’ve got families to feed.

That’s why, for more than half a century, this country has helped Americans put food on the table when they hit a rough patch, or when they’re working hard but aren’t making enough money to feed their kids.  They’re not looking for a handout, these folks, they’re looking for a hand up -- (applause) -- a bridge to help get them through some tough times.  (Applause.)

And we sure don't believe that children should be punished when parents are having a tough time.  As a country, we’re stronger when we help hardworking Americans get back on their feet, make sure that children are getting the nutrition that they need so that they can learn what they need in order to be contributing members of our society.

That’s the idea behind what’s known as the Supplemental Nutrition Assistance Program, or SNAP.  A large majority of SNAP recipients are children, or the elderly, or Americans with disabilities.  A lot of others are hardworking Americans who need just a little help feeding their families while they look for a job or they’re trying to find a better one.  And in 2012, the SNAP program kept nearly 5 million people -- including more than 2 million children -- out of poverty.  (Applause.)  Think about that -- 5 million people.

That’s why my position has always been that any farm bill I sign must include protections for vulnerable Americans, and thanks to the good work of Debbie and others, this bill does that.  (Applause.)  And by giving Americans more bang for their buck at places like farmers markets, we’re making it easier for working families to eat healthy foods and we're supporting farmers like Ben who make their living growing it.  So it’s creating new markets for produce farmers, and it means that people have a chance to directly buy from their farmers the kind of food that’s going to keep them healthy.

And the truth is a lot of folks go through tough times at some points in their lives.  That doesn’t mean they should go hungry.  Not in a country like America.  So investing in the communities that grow our food, helping hardworking Americans put that food on the table -- that’s what this farm bill does, all while reducing our deficits through smart reforms.

It doesn’t include everything that I’d like to see.  And I know leaders on both sides of the aisle feel the same way.  But it’s a good sign that Democrats and Republicans in Congress were able to come through with this bill, break the cycle of short-sighted, crisis-driven partisan decision-making, and actually get this stuff done.  (Applause.)  That's a good sign.

And that’s the way you should expect Washington to work.  That’s the way Washington should continue to work.  Because we’ve got more work to do.  We’ve got more work to do to potentially make sure that unemployment insurance is put in place for a lot of folks out there who need it.  (Applause.)  We’ve got more work to do to pass a minimum wage.  We’ve got more work to do to do immigration reform, which will help farmers like Ben.  (Applause.)

So let’s keep the momentum going here.  And in the weeks ahead, while Congress is deciding what’s next, I’m going to keep doing everything I can to strengthen the middle class, build ladders of opportunity in the middle class.  And I sure hope Congress will join me because I know that’s what you’re looking for out of your elected officials at every level.  (Applause.)

So thank you, everybody.  God bless you.  I’m now going to sign this farm bill.  (Applause.)

Hold on a second, I forgot to mention Marcia Fudge is here.  I wasn’t sure whether she came to the event.  I knew she flew in with me.  She does great work -- (applause) -- out of the great state of Ohio.

(The bill is signed.)  (Applause.)

END

CDC REPORTS ON CONTROL AND ELIMINATION OF MEASLES, 2000-2012

FROM:  CENTERS FOR DISEASE CONTROL AND PREVENTION 

Global Control and Regional Elimination of Measles, 2000–2012
CDC Media Relations


During 2000–2012, measles vaccination prevented approximately 13.8 million deaths; increasing routine MCV coverage worldwide and regular SIAs in member states lacking high coverage with 2 doses of MCV contributed to a 77 percent decrease in reported measles incidence and a 78 percent reduction in estimated measles mortality, reaching historic lows. The World Health Assembly established milestones to be achieved by 2015: 1) increase routine coverage with the first dose of measles-containing vaccine (MCV) for children aged 1 year to ≥90 percent nationally and ≥80 percent in every district or equivalent administrative unit; 2) reduce and maintain annual measles incidence to <5 cases per million; and 3) reduce measles mortality by >95 percent from the 2000 estimate. All 6 World Health Organization regions now have measles elimination goals. During 2000–2012, increases in routine MCV coverage, plus supplementary immunization activities reaching 145 million children in 2012, led to a 77 percent decrease worldwide in reported annual measles incidence, from 146 to 33 per million population, and a 78 percent decline in estimated annual measles deaths, from 562,400 to 122,000. Achieving the 2015 targets and elimination goals will require countries and their partners to raise the visibility of measles elimination and make substantial and sustained additional investments in strengthening health systems.

FARMER SENTENCED IN FARM SUBSIDY FRAUD CASE

FROM:  JUSTICE DEPARTMENT 
Friday, February 7, 2014
New Mexico Farmer Sentenced to Prison for Tax Fraud, Fraudulently Collecting Farm Subsidies

Bill Melot, a farmer from Hobbs, N.M., was sentenced to serve 14 years in prison today to be followed by three years of supervised release for tax evasion, program fraud and other crimes, the Justice Department, Internal Revenue Service (IRS) and U.S. Department of Agriculture’s (USDA) Office of Inspector General announced today.  Melot was also ordered to pay $18,469,998 in restitution to the IRS and $226,526 to the USDA.

Melot was previously convicted of tax evasion, failure to file tax returns, making false state ments to the USDA and i mpeding the IRS following a four-day jury trial in Albuquerque, N.M.  According to court documents and evidence presented at trial and at sentencing, Melot has not filed a personal inco me tax return since 1986, and owes the IRS more than $25 million in federal taxes and more than $7 million in taxes to the state of Texas.  In addition, Melot has i mproperly collected more than $225,000 in federal farm subsidies from the USDA by furnishing false infor mation to the agency.  Specifically, Melot provided the USDA with a false Social Security nu mber (SSN) and a fictitious e mployer identi fication nu mber (EIN) to collect federal farm aid.

According to court documents and evidence presented at trial, Melot took nu merous steps to conceal his ownership of 250 acres in Lea County, N.M., including notarizing forged deeds and titling the property in the na me of no minees.  The evidence also showed that Melot used false SSNs and fictitious EINs to hide his assets from the IRS.  Additionally, Melot maintained a bank account with Nordfinanz Zurich, a Swiss financial institution, which he set up in Nassau, Baha mas, in 1992, and failed to report the account to the U.S. Treasury Depart ment as required by law.

Assistant Attorney General Kathryn Keneally for the Justice Department’s Tax Division and Acting U.S. Attorney Steven C. Yarbrough for the District of New Mexico co mmended the investigative efforts of IRS - Cri minal Investigation and the USDA’s Office of Inspector General, as well as Tax Division Trial Attorney Jed Silvers mith and Assistant U.S. Attorney George Kraehe, who prosecuted the case.  Assistant Attorney General Keneally and Acting U.S. Attorney Yarbrough also thanked the Cri minal Investigation Division of the Texas Co mptroller of Public Accounts for assistance in prosecuting this matter.

CUTTING EDGE STUDIES OF BRAINS

FROM:  NATIONAL SCIENCE FOUNDATION 

NSF-funded researchers describe their cutting-edge brain research
Why and how are researchers studying the brains of mice, octopuses, zebra fish, frogs, lizards and cichlid fish?

Our understanding of the brain is still downright rudimentary compared to our understanding of other organs. To revolutionize brain science, President Obama in April 2013 announced the Brain Research through Advancing Innovative Neurotechnologies (BRAIN) Initiative, which is co-led by the National Science Foundation (NSF).

But even before BRAIN was created, NSF had a long history of funding innovative basic research focused on the brain. NSF's research approaches integrate information, methods and models at scales ranging from the molecular level to the behavioral level; they also draw from multiple scientific, engineering and computational disciplines.

In addition, some NSF-funded scientists are examining how changes in brain structure and activity correlate with different external environments and behavioral changes. These factors, along with genetic analyses, are--in many cases--easier to study in relatively simple organisms than in humans. Also, by identifying features that are similar and different across species, and by studying organisms throughout their lifespans, scientists are advancing their understanding of how nervous systems work.

Featured here are video interviews with selected NSF-funded brain researchers about their cutting-edge, multidisciplinary research on mice, octopuses, zebrafish, frogs, lizards and cichlids. These interviews were recorded at the NSF Workshop on Phylogenetic Principles of Brain Structure and Function at the Howard Hughes Medical Institute's Janelia Farm Research Campus in Ashburn, Va., in October 2013.

Partha Mitra of Cold Spring Harbor Laboratory is currently focused on the Mouse Brain Architecture Project (MAP), which is aimed at creating 3-D maps of the mouse brain at various scales. (The mouse brain is 1/1000 of the volume of the human brain.) MAP is also dedicated to relating brain circuits (groups of neurons) to behavior.

One way that Mitra is contributing to MAP is by mapping the projection patterns of groups of similarly organized neurons across regions of the mouse brain. He is thereby helping to identify how neurons are connected and communicate across regions of the brain.

In addition, Mitra is applying his background in theoretical physics to his studies of the mouse brain. He is doing so by working to identify ways to apply to brain research methods in statistical physics that are used to analyze the macroscopic behavior of large, distributed networks.

Specifically, these methods have been used by engineers to analyze technologically important networks--such as power grids and coordinated formations of vehicles--and to help design such networks with wanted properties. If these methods can be applied to brain research, they may enable researchers to identify and prioritize important aspects of brain networks for study--helping to distinguish microscopic details that play important roles in overall behaviors from those that do not.

Once the map of the mouse brain is completed and analyzed, it will be the first-of-its-kind map of a whole vertebrate brain. MAP's future goals include mapping connectivity patterns in the marmoset monkey brain and ultimately in the human brain.

Information and images from MAP are publically available on MAP's website.

Clifton Ragsdale of the University of Chicago is researching the nervous system of the octopus, which is a successful predator partly because it has excellent eyesight--the best of any invertebrate. The octopus's excellent eyesight enables it to visually zero in and focus on prey.

What's more, each of the octopus's eight agile, boneless arms has about 44 million nerve cells (or almost 10 percent of all of its neurons). These arm neurons are connected to the animal's brain.

When an octopus spots a tasty-looking fish, the information it collects about this prey travels from the animal's eye to its brain. This information then travels through its arm neurons to help these soft-bodied contortionists determine how to snatch the prey.

Conversely, tactile information, such as the feel of a crab's rough shell, travels back through the octopus's arm neurons to its brain's learning and memory centers to help these clever animals improve their hunting skills.

Ragsdale is currently pioneering the use of modern molecular techniques to study how the octopus's unique nervous system processes visual information, and if its processing system significantly differs from those of vertebrates.

Melina Hale of the University of Chicago is studying neuronal circuits in zebrafish that generate startle responses. (Yes, the kinds of startle responses that are produced by sudden sounds or movements.)

Because little is known about how circuits operate in any organism and because startle responses are controlled by relatively simple circuits, an improved understanding of the circuitry of the zebrafish's startle responses is expected to help lay the groundwork for research on more complicated circuits.

The zebrafish--a small common aquarium fish--serves as an excellent fish for laboratory studies because molecular tools are available for experimenting with its neurons. The zebrafish can also be easily maintained and reproduces and develops rapidly. Also, young zebrafish are transparent and so their nervous systems are easily observable.

Walter Wilczynski of Georgia State University is researching how non-mammals signal one another in mating competitions, and how these signals influence the behavior of individual males and females. According to Wilczynski's research, an individual's behavioral responses to such signals and whether it loses or wins a mating competition may modify its brain in ways that may influence its future behavior.

Wilczynski's research is important because a) competition for reproduction is fundamental to all of biology; and b) Wilczynski uses model organisms whose social interactions are, in many ways, simplified versions of human social interactions. These model organisms include frogs, which communicate through vocal calls, and lizards, which communicate through visual displays.

Hans Hofmann of the University of Texas, Austin, is researching the influences of environment and genetics on the brains and behavior of cichlid fish. Cichlids provide excellent model organisms for such studies because thousands of species of cichlids have evolved; many of these species are genetically similar but behaviorally and socially different from one another. Hofmann is using the diversity of cichlid species to help identify which genes regulate various behaviors and evaluate how different social environments affect brain function and behavior.

Mammals and cichlids share many of the same genetic mechanisms that are sensitive to social environments and help govern mating systems (such as monogamous vs. non-monogamous systems) and parental care systems (such as those that involve fatherly caretaking vs. those that don't). Therefore, research on the effect of social environments on cichlid brains, genetics and behavior may ultimately help advance our understanding of differing human mating and parental care systems.

Saturday, February 8, 2014

SECRETARY KERRY'S REMARKS ON INTERNATIONAL COURT OF JUSTICE NOMINEE

FROM:  STATE DEPARTMENT 
Statement on the Nomination of Joan E. Donoghue to the International Court of Justice
Press Statement
John Kerry
Secretary of State
Washington, DC
February 8, 2014

I am delighted to announce the formal nomination of Joan E. Donoghue by the U.S. National Group to serve a second term as Judge on the International Court of Justice, an institution that plays a vital role in international dispute resolution and in the development of international law.

Judge Donoghue has had a long and distinguished career in international law.

From 2007 to 2010, she was the State Department’s senior career lawyer, serving as the Acting Legal Adviser for the first six months of the Obama Administration. She has taught at several U.S. law schools and has lectured widely on international law and adjudication.

Since joining the Court in 2010, Judge Donoghue has demonstrated exceptional intelligence, integrity and independence in addressing the diverse and complex issues that come before the Court. Her knowledge, temperament, and commitment to the rule of law make her an outstanding choice for this important position.

I strongly support her election for a second term.

SHORT- MEDIUM TERM FINANCE OPENED IN BURMA BY EX-IM BANK

FROM:  EXPORT-IMPORT BANK 
Ex-Im Bank Opens for Short-Term and Medium-Term Financing in Burma

Washington, D.C. – The Export-Import Bank of the United States (Ex-Im Bank) announced today that it will open for business in Burma to help finance short-term and medium-term U.S. export sales.

“Today the Export-Import Bank is sending a strong signal that we are committed to strengthening economic ties with Burma as the nation continues its transition,” said Ex-Im Bank Board Chairman and President Fred Hochberg. “After a diligent review, the Bank's Board reached this decision--which will improve trade flows between our two countries and help reintegrate Burma into the global economy. Furthermore, this decision will open an important new market for American exports and support American jobs.”

Ex-Im Bank can now provide export-credit insurance, loan guarantees and direct loans for creditworthy export sales to Burma starting February 6, 2014.  Short-term insurance is available for sovereign transactions with repayment terms of 180 days or less, and up to 360 days for capital goods. Medium-term insurance, loan guarantees and loans are available for sovereign transactions with terms typically up to five years.

The Bank's working capital guarantees, which help U.S. exporters or their suppliers to obtain funds to produce or buy goods or services for export, will be available to support exports to Burma as well.

The Bank is also able to provide long-term support in Burma, provided there are financing arrangements that eliminate or externalize country risks, such as asset-backed financings and structures that earn revenues offshore in a third country.


EDUCATION DEPARTMENT TO GIVE AWARDS TO TURN AROUND LOWEST-PERFORMING SCHOOLS

FROM:  EDUCATION DEPARTMENT 

U.S. Department of Education Announces Awards to 6 States and District of Columbia to Continue Efforts to Turn Around Lowest-Performing Schools

FEBRUARY 7, 2014

U.S. Secretary of Education Arne Duncan today announced that six states and the District of Columbia will receive more than $38 million to continue efforts to turn around their persistently lowest-achieving schools through new awards from the Department's School Improvement Grants (SIG) program. Those receiving these new awards are: Delaware, District of Columbia, Georgia, Mississippi, Nebraska, Virginia, and West Virginia.

"When schools fail, our children and neighborhoods suffer," Duncan said. "Turning around our lowest-performing schools is hard work but it's our responsibility, and represents a tremendous opportunity to improve the life chances of children. We owe it to our children, their families and the broader community. These School Improvement Grants are helping some of the lowest-achieving schools provide a better education for students who need it the most."

School Improvement Grants are awarded to State Educational Agencies (SEAs) that then make competitive subgrants to school districts that demonstrate the greatest need for the funds and the strongest commitment to provide adequate resources to substantially raise student achievement in their lowest-performing schools.

Under the Obama Administration, the SIG program has invested up to $2 million per school at more than 1,500 of the country's lowest-performing schools. Early findings show positive momentum and progress in many SIG schools. Findings also show that many schools receiving SIG grants are improving, and some of the greatest gains have been in small towns and rural communities.

States announced today and their grant amounts are:

Delaware $1,454,995
District of Columbia $1,424,316
Georgia $16,476,501
Mississippi $5,645,842
Nebraska $2,453,597
Virginia $7,593,473
West Virginia $3,177,082

TRENDNET, INC. SETTLES HOME SECURITY-PRIVACY CASE WITH FTC

FROM:  FEDERAL TRADE COMMISSION 

Following a public comment period, the Federal Trade Commission has approved a final order settling charges that electronics company TRENDnet, Inc.’s lax security practices led to the exposure of the private lives of hundreds of consumers on the internet for public viewing.

The FTC’s complaint alleged that TRENDnet marketed its SecurView cameras for purposes ranging from home security to baby monitoring, and claimed in numerous product descriptions that they were “secure.”  In fact, the cameras had faulty software that left them open to online viewing, and in some instances listening, by anyone with the cameras’ Internet address.

In settling the complaint, TRENDnet is prohibited from misrepresenting the security of its cameras or the security, privacy, confidentiality, or integrity of the information that its cameras or other devices transmit. In addition, the company is barred from misrepresenting the extent to which a consumer can control the security of information the cameras or other devices store, capture, access, or transmit.

TRENDnet also is required to establish a comprehensive information security program designed to address security risks that could result in unauthorized access to or use of the company’s devices, and to protect the security, confidentiality, and integrity of information that is stored, captured, accessed, or transmitted by its devices.  The company also is required to obtain third-party assessments of its security programs every two years for the next 20 years.

The settlement requires TRENDnet to notify customers about the security issues with the cameras and the availability of a software update to correct them, and to provide customers with free technical support for the next two years to assist them in updating or uninstalling their cameras.

The Commission vote approving the final order was 4-0.

WEEKLY ADDRESS FOR FEBRUARY 8, 2014

FROM:  THE WHITE HOUSE 

Weekly Address: Expanding Opportunity for the American People

WASHINGTON, DC— In this week’s address, President Obama said he will do everything he can to make a difference for the middle class and those working to get into the middle class, so that we can expand opportunity for all and build an economy that works for the American people.
Remarks of President Barack Obama
As Prepared for Delivery
The White House
February 8, 2014
Hi, everybody.  In my State of the Union Address, I talked about the idea of opportunity for all. 
Opportunity is the idea at the heart of this country – that no matter who you are or how you started out, with hard work and responsibility, you can get ahead.
I ran for President to restore that idea, and I’m even more passionate about it today.  Because while our economy has been growing for four years, and those at the top are doing better than ever, average wages have barely budged.  Too many Americans are working harder than ever just to get by, let alone get ahead – and that’s been true since long before the recession hit.
We’ve got to reverse those trends.  We’ve got to build an economy that works for everyone, not just a fortunate few.  And the opportunity agenda I laid out last week will help us do that. 
It’s an agenda with four parts.  Number one: more new jobs.  Number two: training folks with the skills to fill those jobs.  Number three: guaranteeing every child access to a world-class education.  And number four: making sure that hard work pays off, with wages you can live on, savings you can retire on, and health insurance that’s there when you need it. 
I want to work with Congress on this agenda where I can. But in this year of action, whenever I can take steps without legislation to expand opportunity for more American families, I will.  I’ve got a pen and a phone – a pen to take executive action, and a phone to rally citizens and business leaders who are eager to create new jobs and new opportunities.  And we’ve already begun.
In Wisconsin, I ordered an across-the-board reform of our training programs to train folks with the skills employers need, and match them to good jobs that need to be filled right now.
In Pittsburgh, I directed the Treasury to create “my-RA,” a new way for working Americans, even if you’re not wealthy, to start your own retirement savings.
In Maryland, I rallied the leaders of some of America’s biggest tech companies to help us make sure all our kids have access to high-speed internet and up-to-date technology to help them learn the skills they need for the new economy.
And at the White House, I brought together business leaders who’ve committed to helping more unemployed Americans find work, no matter how long they’ve been looking.  And I directed the federal government to make hiring decisions the same way – based on whether applicants can do the job, not when they last had a job.
So when you hear me talk about using my pen and my phone to make a difference for middle class Americans and those working to get into the middle class, that’s what I mean.  And I’m going to keep asking students and parents and business leaders to help – because there are millions of Americans outside Washington who are tired of stale political arguments, ready to move this country forward, and determined to restore the founding vision of opportunity for all.
And so am I.  Thanks, have a great weekend, and to our Olympians in Sochi, go Team USA! 

RECENT U.S. DEFENSE DEPARTMENT PHOTOS

FROM:  U.S. MARINE CORPS 

U.S. Marine Corps Sgt. Rush, a military working dog, searches for explosives during a patrol near Patrol Base Boldak in Helmand province, Afghanistan, Jan. 30, 2014. U.S. Marine Corps photo by Lance Cpl. Zachery B. Martin.

A U.S. Marine and his military working dog take a break during a patrol near Patrol Base Boldak in Helmand province, Afghanistan, Jan. 30, 2014. U.S. Marine Corps photo by Lance Cpl. Zachery B. Martin. 

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