Friday, October 3, 2014

TWO DETROIT-AREA RESIDENTS CHARGED IN HOME-HEALTH KICKBACK SCHEME

FROM:  U.S. JUSTICE DEPARTMENT
Tuesday, September 30, 2014
Two Defendants Charged in Connection with Detroit-Area Home Health Kickback Scheme

Two Detroit-area residents were arrested today on charges related to a Medicare fraud scheme in which they are alleged to have referred Medicare beneficiaries to home health care agencies in exchange for kickbacks.

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Barbara L. McQuade of the Eastern District of Michigan, Special Agent in Charge Paul M. Abbate of the FBI’s Detroit Field Office, Special Agent in Charge Lamont Pugh III of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) Chicago Regional Office, and Acting Special Agent in Charge Jarod Koopman, of the Internal Revenue Service - Criminal Investigation (IRS-CI) Detroit Field Office, made the announcement.

Sophia Eggleston, 52, of Farmington Hills, Michigan, and Sekne Ali, 48, of Dearborn, Michigan, were charged in a four-count indictment, unsealed today, with conspiracy to violate the Anti-Kickback Statute and substantive violations of the Anti-Kickback Statute.   The indictment alleges that both defendants recruited Medicare beneficiaries to two home health agencies in Oakland County, Michigan – Prestige Home Health Services Inc. and Royal Home Health Care Inc. – and were paid kickbacks for the patient referrals.  Both agencies purported to provide in-home health care services to Medicare beneficiaries.

The charges contained in an indictment are merely accusations, and a defendant is presumed innocent unless and until proven guilty.

This case was investigated by the FBI, HHS-OIG and IRS-CI 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 Eastern District of Michigan.  This case is being prosecuted by Trial Attorneys Niall M. O’Donnell and James P. McDonald 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 nearly 2,000 defendants who have collectively billed the Medicare program for more than $6 billion.  In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

FORMER WELLS FARGO EMPLOYEES ACCUSED OF RATINGS CHANGE ASSOCIATED RESEARCH TO MAKE INSIDER TRADES

FROM:  U.S. SECURITIES AND EXCHANGE COMMISSION 
Two Former Wells Fargo Employees Charged With Insider Trading in Advance of Research Reports Containing Ratings Changes
09/29/2014 12:05 PM EDT

The Securities and Exchange Commission today announced insider trading charges against two former Wells Fargo employees involved in an alleged scheme to profit by buying or short selling a stock before research analyst reports were published containing a ratings change.

Research analysts typically produce reports with a recommendation or rating of a stock or other security they’ve reviewed.  When an analyst alters a prior view on the prospects of a security, a new report is issued with a ratings change.  The SEC’s Enforcement Division alleges that while Gregory T. Bolan Jr. worked as a research analyst at Wells Fargo, he tipped a trader at the firm, Joseph C. Ruggieri, in advance of several market-moving ratings upgrades or downgrades that he made in certain securities.  The tips enabled Ruggieri to generate more than $117,000 in profits.

“Instead of abiding by firm policies that specifically prohibited trading ahead of published research, Ruggieri used information obtained from Bolan to make profitable trades in advance of six separate research reports,” said Sanjay Wadhwa, Senior Associate Director of the SEC’s New York Regional Office.  “The repeated nature of these violations demonstrates an utter disregard for our insider trading laws.”

According to the SEC’s order instituting a litigated proceeding before an administrative law judge, Bolan also tipped a close friend with nonpublic information about his upcoming ratings changes.  The friend, who is now deceased, generated approximately $10,000 in profits in a personal brokerage account by trading ahead of three ratings changes.

“Bolan gave two traders a sneak preview into his upcoming ratings changes and provided them an unfair and illegal advantage on the rest of the markets,” said Daniel M. Hawke, Chief of the SEC Enforcement Division’s Market Abuse Unit.

The SEC’s Enforcement Division alleges that after receiving Bolan’s tips, Ruggieri either purchased the relevant company’s stock ahead of Bolan’s upgrades or sold the stock short ahead of Bolan’s downgrades.  Ruggieri closed his overnight positions in those securities for a profit shortly after Bolan’s ratings changes were made public and the stock prices had moved.  From April 2010 to March 2011, Bolan published a total of eight research reports with a ratings change or initiation of coverage with an “outperform” or “underperform” rating.  Ruggieri traded profitably ahead of six of these reports in a manner that did not fit in his typical trading pattern.  Aside from this trading ahead, Ruggieri had only a handful of overnight positions in securities that had been rated within the six months prior to his trading.

The SEC’s Enforcement Division alleges that by engaging in the misconduct described in the SEC’s order, Bolan and Ruggieri willfully violated Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5.  The administrative proceeding will determine what relief, if any, is in the public interest against Bolan and Ruggieri, including disgorgement of ill-gotten gains, prejudgment interest, financial penalties, and other remedial measures.

The SEC’s investigation was conducted by Sandeep M. Satwalekar, Charles D. Riely, and John Marino of the SEC’s Market Abuse Unit in New York, as well as Peter A. Lamore and Alexander M. Vasilescu of the New York Regional Office.  The case has been supervised by Mr. Hawke and Mr. Wadhwa.  The SEC’s litigation will be led by Mr. Vasilescu and Mr. Satwalekar.

The SEC appreciates the assistance of the Financial Industry Regulatory Authority.

Thursday, October 2, 2014

U.S. CONGRATULATES PEOPLE OF GERMANY ON THEIR NATIONAL DAY

FROM:  U.S. STATE DEPARTMENT 
Germany's National Day
Press Statement
John Kerry
Secretary of State
Washington, DC
October 2, 2014

On behalf of President Obama and the people of the United States, I congratulate the people of Germany as you celebrate the Day of German Unity on October 3.

I will always have a personal connection to Germany.  When my father served in Berlin as a Foreign Service Officer after World War II, I learned to speak German and came to love the culture, architecture, and beauty of the country.

Just last year, on my first trip abroad as Secretary, I returned to Berlin and walked its streets – past the Reichstag, past the Brandenburg Gate.  I marveled not just at the miles Germany has traveled, but at the journey we have traveled together since the fall of the Berlin Wall almost twenty five years ago.

Today, the ties that bind the United States and Germany remain stronger than ever.  Our partnership is critical for promoting security and stability in Afghanistan, the Middle East, and beyond.  Germany is our largest trading partner in Europe, and we look forward to deepening those ties as we work together for an ambitious Transatlantic Trade and Investment Partnership.

On this anniversary, we give thanks for Germany’s many contributions to the prosperity and security of Europe and to the wider world.

SECRETARY KERRY MAKES REMARKS WITH VIETNAMESE DEPUTY PRIME MINISTER AND FOREIGN MINISTER MINH

FROM:  U.S. STATE DEPARTMENT  
Remarks With Vietnamese Deputy Prime Minister and Foreign Minister Pham Binh Minh Before Their Meeting
Remarks
John Kerry
Secretary of State
Benjamin Franklin Room
Washington, DC
October 2, 2014

SECRETARY KERRY: Thank you. Well, good morning, everybody. It’s my distinct pleasure to welcome the Deputy Prime Minister and Foreign Minister Pham Binh Minh, who I have known for many, many years. I first met him when he was a student in Boston at Tufts University, Fletcher, and we’ve seen each other many times since in my journeys to Vietnam and in his work over here.

It’s fair to say that in the first year of our comprehensive partnership, we have now made significant progress on the civilian 123 nuclear program, on the Proliferation Security Agreement, as well as on economic and other issues that are important to both of our countries.

And we still have things that we’re working on. One of the things that we want to try to conclude is the Trans-Pacific Partnership trade agreement, and Vietnam is working very hard with us in order to be able to do that. We continue to talk about issues in the bilateral relationship – human rights, economic development, private company ability to be able to do business. These are all important things. And I look forward to a good discussion today, and I’m delighted to welcome Pham Binh Minh here to have this dialogue.

Thank you. Thank you, sir.

DEPUTY PRIME MINISTER MINH: Thank you very much.

SECRETARY KERRY: Want to say anything?

DEPUTY PRIME MINISTER MINH: Good morning. Thank you, Mr. Secretary, for inviting me to visit officially the United States. Since the establishment of the comprehensive partnership, we have recorded many achievements in all fields – economic, political, security, defense, and other areas.

So I come to United States today to meet and to work with U.S. colleagues to review the bilateral relations between the two countries. I’m looking forward to have the fruitful discussions on bilateral issues, how to deepen our relation, and also discuss the regional and international issues of our mutual interest. Thank you.

SECRETARY KERRY: Thank you, sir, very much. Thank you. Thank you all very much.

DEPUTY PRIME MINISTER MINH: Thank you.

23 YEAR OLD BOMB PLOTTER SENTENCED TO SERVE 30 YEARS IN PRISON

FROM:  U.S. JUSTICE DEPARTMENT 
Wednesday, October 1, 2014
Convicted Bomb Plotter Sentenced to 30 Years

PORTLAND, Oregon. – Mohamed Osman Mohamud, 23, who was convicted in 2013 of attempting to use a weapon of mass destruction (explosives) in connection with a plot to detonate a vehicle bomb at an annual Christmas tree lighting ceremony in Portland, was sentenced today to serve 30 years in prison, followed by a lifetime term of supervised release.

Mohamud, a naturalized U.S. citizen from Somalia and former resident of Corvallis, Oregon, was arrested on Nov. 26, 2010, after he attempted to detonate what he believed to be an explosives-laden van that was parked near the tree lighting ceremony in Portland.  The arrest was the culmination of a long-term undercover operation, during which Mohamud was monitored closely for months as his bomb plot developed.  The device was in fact inert, and the public was never in danger from the device.

At sentencing, United States District Court Judge Garr M. King, who presided over Mohamed’s 14-day trial, said “the intended crime was horrific,” and that the defendant, even though he was presented with options by undercover FBI employees, “never once expressed a change of heart.”  King further noted that the Christmas tree ceremony was attended by up to 10,000 people, and that the defendant “wanted everyone to leave either dead or injured.”  King said his sentence was necessary in view of the seriousness of the crime and to serve as deterrence to others who might consider similar acts.  

“With today’s sentencing, Mohamed Osman Mohamud is being held accountable for his attempted use of what he believed to be a massive bomb to attack innocent civilians attending a public Christmas tree lighting ceremony in Portland,” said John P. Carlin, Assistant Attorney General for National Security.  “The evidence clearly indicated that Mohamud was intent on killing as many people as possible with his attack.  Fortunately, law enforcement was able to identify him as a threat, insert themselves in the place of a terrorist that Mohamud was trying to contact, and thwart Mohamud’s efforts to conduct an attack on our soil.  This case highlights how the use of undercover operations against would-be terrorists allows us to engage and disrupt those who wish to commit horrific acts of violence against the innocent public.  The many agents, analysts, and prosecutors who have worked on this case deserve great credit for their roles in protecting Portland from the threat posed by this defendant and ensuring that he was brought to justice.”

“This trial provided a rare glimpse into the techniques Al Qaeda employs to radicalize home-grown extremists,” said Amanda Marshall, U.S. Attorney for the District of Oregon.  “With the sentencing today, the court has held this defendant accountable.   I thank the dedicated professionals in the law enforcement and intelligence communities who were responsible for this successful outcome.  I look forward to our continued work with Muslim communities in Oregon who are committed to ensuring that all young people are safe from extremists who seek to radicalize others to engage in violence.”

According to the trial evidence, in February 2009, Mohamud began communicating via e-mail with Samir Khan, a now-deceased al Qaeda terrorist who published Jihad Recollections, an online magazine that advocated violent jihad, and who also published Inspire, the official magazine of al-Qaeda in the Arabian Peninsula.  Between February and August 2009, Mohamed exchanged approximately 150 emails with Khan.  Mohamud wrote several articles for Jihad Recollections that were published under assumed names.

In August 2009, Mohamud was in email contact with Amro Al-Ali, a Saudi national who was in Yemen at the time and is today in custody in Saudi Arabia for terrorism offenses.  Al-Ali sent Mohamud detailed e-mails designed to facilitate Mohamud’s travel to Yemen to train for violent jihad.  In December 2009, while Al-Ali was in the northwest frontier province of Pakistan, Mohamud and Al-Ali discussed the possibility of Mohamud traveling to Pakistan to join Al-Ali in terrorist activities. Mohamud responded to Al-Ali in an e-mail: “yes, that would be wonderful, just tell me what I need to do.”  Al-Ali referred Mohamud to a second associate overseas and provided Mohamud with a name and email address to facilitate the process.

In the following months, Mohamud made several unsuccessful attempts to contact Al-Ali’s associate.  Ultimately, an FBI undercover operative contacted Mohamud via email under the guise of being an associate of Al-Ali’s.  Mohamud and the FBI undercover operative agreed to meet in Portland in July 2010.  At the meeting, Mohamud told the FBI undercover operative he had written articles that were published in Jihad Recollections.  Mohamud also said that he wanted to become “operational.”  Asked what he meant by “operational,” Mohamud said he wanted to put an explosion together, but needed help.

According to evidence presented at trial, at a meeting in August 2010, Mohamud told undercover FBI operatives he had been thinking of committing violent jihad since the age of 15.  Mohamud then told the undercover FBI operatives that he had identified a potential target for a bomb: the annual Christmas tree lighting ceremony in Portland’s Pioneer Courthouse Square on Nov. 26, 2010.  The undercover FBI operatives cautioned Mohamud several times about the seriousness of this plan, noting there would be many people at the event, including children, and emphasized that Mohamud could abandon his attack plans at any time with no shame.  Mohamud indicated the deaths would be justified and that he would not mind carrying out a suicide attack on the crowd.

According to evidence presented at trial, in the ensuing months Mohamud continued to express his interest in carrying out the attack and worked on logistics.  On Nov. 4, 2010, Mohamud and the undercover FBI operatives traveled to a remote location in Lincoln County, Oregon, where they detonated a bomb concealed in a backpack as a trial run for the upcoming attack.  During the drive back to Corvallis, Mohamud was asked if was capable looking at all the bodies of those who would be killed during the explosion.  In response, Mohamud noted, “I want whoever is attending that event to be, to leave either dead or injured.”  Mohamud later recorded a video of himself, with the assistance of the undercover FBI operatives, in which he read a statement that offered his rationale for his bomb attack.

On Nov. 18, 2010, undercover FBI operatives picked up Mohamud to travel to Portland to finalize the details of the attack.  On Nov. 26, 2010, just hours before the planned attack, Mohamud examined the 1,800 pound bomb in the van and remarked that it was “beautiful.”  Later that day, Mohamud was arrested after he attempted to remotely detonate the inert vehicle bomb rked near the Christmas tree lighting ceremony

This case was investigated by the FBI, with assistance from the Oregon State Police, the Corvallis Police Department, the Lincoln County Sheriff’s Office and the Portland Police Bureau.  The prosecution was handled by Assistant U.S. Attorneys Ethan D. Knight and Pamala Holsinger from the U.S. Attorney’s Office for the District of Oregon.  Trial Attorney Jolie F. Zimmerman, from the Counterterrorism Section of the Justice Department’s National Security Division, assisted.

President Obama Meets with the Prime Minister of Israel

NASA VIDEO: THE MISSION IS IN SIGHT

COMPUTER SIMULATIONS, STATISTICAL TECHNIQUES INDICATE CALIFORNIA DROUGHT LIKELY LINKED TO CLIMATE CHANGE

FROM:  NATIONAL SCIENCE FOUNDATION 
Cause of California drought linked to climate change

Extreme atmospheric conditions responsible for drought more likely to occur in current global warming.

The atmospheric conditions associated with the unprecedented drought in California are very likely linked to human-caused climate change, researchers report

Climate scientist Noah Diffenbaugh of Stanford University and colleagues used a novel combination of computer simulations and statistical techniques to show that a persistent region of high atmospheric pressure over the Pacific Ocean--one that diverted storms away from California--was much more likely to form in the presence of modern greenhouse gas concentrations.

The result, published today in the Bulletin of the American Meteorological Society, is one of the most comprehensive studies to investigate the link between climate change and California's ongoing drought.

"Our research finds that extreme atmospheric high pressure in this region--which is strongly linked to unusually low precipitation in California--is much more likely to occur today than prior to the emission of greenhouse gases that began during the Industrial Revolution in the 1800s," says Diffenbaugh.

The exceptional drought crippling California is by some measures the worst in state history.

Combined with unusually warm temperatures and stagnant air conditions, the lack of precipitation has triggered a dangerous increase in wildfires and incidents of air pollution across the state.

The water shortage could result in direct and indirect agricultural losses of at least $2.2 billion and lead to the loss of more than 17,000 seasonal and part-time jobs in 2014 alone.

Such effects have prompted a drought emergency in the state; the federal government has designated all 58 California counties as natural disaster areas.

"In the face of severe drought, decision-makers are facing tough choices about the allocation of water resources for urban, agricultural and other crucial needs," says Anjuli Bamzai, program director in the National Science Foundation's (NSF) Division of Atmospheric and Geospace Sciences, which funded the research.

"This study places the current drought in historical perspective and provides valuable scientific information for dealing with this grave situation. "

Scientists agree that the immediate cause of the drought is a particularly tenacious "blocking ridge" over the northeastern Pacific--popularly known as the Ridiculously Resilient Ridge, or "Triple R"--that prevented winter storms from reaching California during the 2013 and 2014 rainy seasons.

Blocking ridges are regions of high atmospheric pressure that disrupt typical wind patterns in the atmosphere.

"Winds respond to the spatial distribution of atmospheric pressure," says Daniel Swain of Stanford, lead author of the paper.

"We have seen this amazingly persistent region of high pressure over the northeastern Pacific for many months, which has substantially altered atmospheric flow and kept California largely dry."

The Triple R was exceptional for both its size and longevity.

While it dissipated briefly during the summer months of 2013, it returned by fall 2013 and persisted through much of the winter, California's wet season.

"At its peak in January 2014, the Triple R extended from the subtropical Pacific between California and Hawaii to the coast of the Arctic Ocean north of Alaska," says Swain, who coined the term "ridiculously resilient ridge" to highlight the persistent nature of the blocking ridge.

Like a large boulder that has tumbled into a narrow stream, the Triple R diverted the flow of high-speed air currents known as the jet stream far to the north, causing Pacific storms to bypass not only California, but also Oregon and Washington.

As a result, rain and snow that would normally fall on the West Coast were instead re-routed to Alaska and as far north as the Arctic Circle.

An important question for scientists and decision-makers has been whether human-caused climate change has influenced the conditions responsible for California's drought.

Given the important role of the Triple R, Diffenbaugh and colleagues set out to measure the probability of such extreme ridging events.

The team first assessed the rarity of the Triple R in the context of the 20th century historical record.

Analyzing the period since 1948, for which comprehensive atmospheric data are available, the researchers found that the persistence and intensity of the Triple R in 2013 were unrivaled by any previous event.

To more directly address the question of whether climate change played a role in the probability of the 2013 event, the team collaborated with scientist Bala Rajaratnam, also of Stanford.

Rajaratnam applied advanced statistical techniques to a large suite of climate model simulations.

Using the Triple R as a benchmark, Rajaratnam compared geopotential heights--an atmospheric property related to pressure--between two sets of climate model experiments.

One set mirrored the present climate, in which the atmosphere is growing increasingly warmer due to human emissions of carbon dioxide and other greenhouse gases.

In the other set of experiments, greenhouse gases were kept at a level similar to those that existed just prior to the Industrial Revolution.

The researchers found that the extreme heights of the Triple R in 2013 were at least three times as likely to occur in the present climate as in the preindustrial climate.

They also found that such extreme values are consistently tied to unusually low precipitation in California, and to the formation of atmospheric ridges over the northeastern Pacific.

"We've demonstrated with high statistical confidence that large-scale atmospheric conditions similar to those of the Triple R are far more likely to occur now than in the climate before we emitted large amounts of greenhouse gases," Rajaratnam says.

"In using these advanced statistical techniques to combine climate observations with model simulations, we've been able to better understand the ongoing drought in California," Diffenbaugh adds.

"This isn't a projection of 100 years in the future. This is an event that is more extreme than any in the observed record, and our research suggests that global warming is playing a role right now."

The research was also supported by the National Institutes of Health. Rajaratnam was also supported in part by DARPA, the Air Force Office of Scientific Research and the UPS fund.

-NSF-
Media Contacts
Cheryl Dybas, NSF,


NOAA OCEAN TODAY VIDEO: 'CORAL FORESTS OF THE DEEP'

DOJ SETTLES ALLEGED DISABILITY-BASED HOUSING DISCRIMINATION CASE AGAINST DEVELOPER

FROM:  U.S. JUSTICE DEPARTMENT 
Tuesday, September 30, 2014
Justice Department Settles Allegations of Disability-Based Housing Discrimination with West Virginia Developer

The Justice Department announced today that developer Douglas Pauley and entities affiliated with him have agreed to pay $110,000 and make approximately $1.7 million in retrofits required to remove accessibility barriers at 30 apartment complexes, involving more than 750 units in West Virginia.  The parties’ agreement will settle the United States’ claims that defendants had violated the Fair Housing Act and the Americans with Disabilities Act by building the complexes with a variety of features that made them inaccessible to persons with disabilities.  The United States District Court for the Southern District of West Virginia approved the settlement yesterday.

Under the terms of the agreement, Pauley, as General Partner of 30 limited liability partnerships, must take extensive actions to make the complexes accessible to persons with disabilities, including wheelchair users.  These corrective actions include replacing excessively sloped portions of sidewalks, installing properly sloped curb ramps to allow persons with disabilities to access the sidewalks from the parking areas, replacing cabinets in bathrooms and kitchens to provide sufficient room for wheelchair users, and reducing door threshold heights.  In addition, defendants will pay $100,000 to establish a settlement fund for the purpose of compensating individuals with disabilities who have been impacted by the accessibility violations and $10,000 as a civil penalty.

“The Fair Housing Act protects the rights of persons with disabilities to have equal opportunities to enjoy the housing of their choice,” said Acting Assistant Attorney General Molly Moran for the Civil Rights Division. “And this comprehensive resolution will ensure equal access to persons with disabilities at 30 apartment complexes and will compensate those injured by the failure to provide accessible housing.”

“Housing is a fundamental human need, and it’s deeply unfair to deny persons with disabilities equal access to it,” said Booth Goodwin, United States Attorney for the Southern District of West Virginia.  “Thanks to this case, the developer will be required to devote nearly $2 million to correcting and compensating for the harm that he and his companies have caused.  That’s an important victory for West Virginians with disabilities.”

Individuals who are entitled to share in the settlement fund will be identified through a process established in the settlement.  Notices of the settlement and a list of subject properties will be published in the Charleston Gazette.  Persons who believe they were subjected to unlawful discrimination at one of those properties either when they lived there or considered living there should contact the Justice Department toll-free at 1-800-896-7743 mailbox # 9993 or e-mail the Justice Department at fairhousing@usdoj.govEmail links icon.

The federal Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex, familial status, national origin and disability.

POST-IT NOTE USER CHARGED BY SEC WITH INSIDER TRADING

FROM:  U.S. SECURITIES AND EXCHANGE COMMISSION 

The Securities and Exchange Commission charged a Brooklyn man with facilitating a $5.6 million insider trading scheme that typically involved the passing of illegal tips via napkins or post-it notes at Grand Central Terminal.

Earlier this year, the SEC charged a stockbroker and a law firm managing clerk with insider trading and alleged they were connected by a mutual friend who served as a “middleman” in an effort to keep the two unlinked.  In a separate complaint filed today in U.S. District Court for the District of New Jersey, the SEC identifies Frank Tamayo as that middleman.  The SEC alleges that Tamayo received material nonpublic information from Steven Metro about 13 impending corporate deals involving clients of the law firm where Metro worked.  Tamayo then tipped his stockbroker Vladimir Eydelman, who used the confidential information to illegally trade for himself and for Tamayo and other customers.  Tamayo allocated a portion of his ill-gotten profits for eventual payback to Metro for the inside information.

“As the middleman, Tamayo was the firewall between Metro and Eydelman.  Metro had the information, Eydelman did the trading, and Tamayo kept them apart,” said Robert Cohen, Co-Deputy Chief of the SEC Enforcement Division’s Market Abuse Unit.  “But they were wrong in believing that this would stop the SEC from detecting their scheme.”

In a parallel action, the U.S. Attorney’s Office for the District of New Jersey today announced criminal charges against Tamayo.  The U.S. Attorney previously brought criminal actions against Metro and Eydelman.  Those criminal cases and the SEC’s civil case against Metro and Eydelman are pending.

According to the SEC’s complaint against Tamayo, the scheme was deliberately structured to avoid detection, enabling Eydelman and Tamayo to profit without connecting the trades to an insider source and also allowing Metro to share in the trading proceeds.  For a five-year period, Metro repeatedly accessed confidential information in his law firm’s computer systems and met with Tamayo at bars and coffee shops in New York City to provide tips about firm clients ready to participate in a corporate transaction.  Tamayo typically would then connect with Eydelman near the clock at the information booth at Grand Central, where he would show him a post-it note or napkin on which Tamayo wrote the stock ticker symbol of the company to be acquired.  Tamayo then chewed up and sometimes even ate the post-it note or napkin to destroy evidence of the tip.  Tamayo also conveyed to Eydelman the approximate transaction price and timing of the deal.  After Eydelman returned to his office and gathered research about the target company, he would e-mail Tamayo supposed thoughts about why buying the stock made sense.  Their intent was to create a paper trail of e-mails to make it appear they were making their trading decisions based on research and analysis rather than inside information.

The SEC’s complaint charges Tamayo with violations of Sections 10(b) and 14(e) of the Securities Exchange Act of 1934 and Rule 10b-5 and 14e-3 as well as Section 17(a) of the Securities Act of 1933.

The SEC’s investigation was conducted by Jason Burt and Carolyn Welshhans in the Market Abuse Unit with assistance from John Rymas, Mathew Wong, Daniel Koster, and Leigh Barrett.  The case was supervised by Daniel M. Hawke, Chief of the Market Abuse Unit, and Mr. Cohen.  The SEC’s litigation will be led by Stephan Schlegelmilch and Bridget Fitzpatrick.  The SEC appreciates the assistance of the U.S. Attorney’s Office for the District of New Jersey, Federal Bureau of Investigation, Financial Industry Regulatory Authority, and Options Regulatory Surveillance Authority.

Wednesday, October 1, 2014

SECRETARY KERRY'S REMARKS WITH CHINESE FOREIGN MINISTER WANG YI

FROM:  U.S. STATE DEPARTMENT 
Remarks With Chinese Foreign Minister Wang Yi Before Their Meeting
Remarks
John Kerry
Secretary of State
Ben Franklin Room
Washington, DC
October 1, 2014

 SECRETARY KERRY:  Good afternoon, everybody.  It’s my distinct pleasure to welcome His Excellency, the foreign minister of China, Foreign Minister Wang Yi.  I met with the foreign minister in July in Beijing for a very productive Strategic & Economic Dialogue.  We spent two days together and President Xi opened up that meeting and closed the meeting.  And we are very grateful for China’s significant commitment to that dialogue.  And in addition, we had useful conversations in August during my trip to Burma for the ASEAN Regional Forum, and we had a chance to briefly talk in New York.  Knowing that we were going to be meeting here, we held back on the length and breadth of that conversation.

But I’m very pleased that he has taken time to visit us here in Washington on the occasion of China’s National Day, and we congratulate you on that and welcome you here.  And I’m pleased he’s taken time to come here and strengthen our relationship as part of the ongoing dialogue between us.

I want to emphasize that the United States welcomes the rise of a peaceful, prosperous, and stable China, and one that plays a responsible role in Asia and the world, and contributes to upholding the existing rules and the norms on economic and security issues.  I take note that China is stepping up and contributing to this challenge of Ebola, and we are appreciative for China’s willingness to put both equipment and personnel on the line in order to help deal with this.  We view that in very positive terms with respect to China’s important role in global leadership.

And that is why we are committed – that role and our interests together – in trying to find ways to cooperate on those issues of greatest consequence on a global basis while we manage some of the differences between us effectively.  We want to show a new model of relations in which we broaden our cooperation on the common interests and constructively manage those differences so that we can be as effective as possible.

The foreign minister and I are both coming off of a very busy and very productive week in New York for the climate summit and the UN General Assembly.  There I took pleasure in participating in President Obama’s meeting with Chinese Vice Premier Zhang Gaoli and I left those meetings encouraged, significantly encouraged, by his commitment on behalf of China to the dialogue with respect to climate change.  And particularly, we talked about dealing with the mitigating of threats from global climate change and also to trying to work together as we develop the targets for next year’s conference in Paris.  We also talked about containing Ebola as well as countering the challenge of radical extremism and terrorism, and particularly ISIL.

One of the issues that we’re going to discuss today, no doubt, is the situation in Hong Kong.  And as China knows, we support universal suffrage in Hong Kong accordant with the Basic Law, and we believe in open society with the highest possible degree of autonomy and governed by rule of law is essential for Hong Kong’s stability and prosperity.  And we have high hopes that the Hong Kong authorities will exercise restraint and respect for the protestors’ right to express their views peacefully.

China, importantly, is hosting APEC this year, and their hosting of that meeting could not be more timely or more important to all of us.  I know President Obama is personally looking forward to attending the APEC summit in November.  We’re grateful to the Chinese for helping to arrange the dates in a way that worked for everybody’s schedule.  And I think that the foreign minister and I in a few moments will discuss how we can make certain that that visit is a success, that it is as productive as possible, but also so that the APEC summit is the success that we all want it to be.

So Mr. Foreign Minister, I’m delighted you’re here, and I very much look forward to our conversation.  Thank you.

FOREIGN MINISTER WANG:  (Via interpreter) Secretary Kerry, friends from the press, today marks the 65th anniversary of the founding of new China.  It’s our National Day.  I want to share the joy of the Chinese people with you.  I also want to thank Secretary Kerry for his best wishes.  This is a regular visit to the United States by me; it is also a return visit for Secretary Kerry’s visit to China earlier this year.

More importantly, I’ve come to the United States to hold discussion with the U.S. side, to have strategic communication with the U.S. colleagues for President Obama’s trip to China for the APEC meeting and visit to China, particularly for the important consultations, talks between the two presidents.  I want to say that the common interests between us are far greater than our differences.  I agree with what Secretary Kerry said about the areas of cooperation.  Indeed, we need cooperation.  We can cooperate with each other.  And there is an increasing list of areas of cooperation between us, and I believe the list can go on.

There is a very important common mission for the two countries; that is, as the largest developing country and largest developed country in the world, China and the United States need to work together to build a new model of major country relations featuring non-conflict, non-confrontation, mutual respect, and win-win cooperation.  This meets our common interests, meets the expectation of the international community.  It is also in keeping with the trend of human progress.

We don’t think the process will be all smooth sailing.  There will be various risks and challenges on the way.  The China-U.S. relationship is just like a giant ship sailing on the sea.  It requires that both sides work jointly to keep the ship on the right course, keep injecting the impetus for it to forge ahead; and at the same time, we also work jointly to properly handle hidden rocks and shoals.  I believe we need to enhance mutual trust, strategic trust; reduce mutual strategic misgivings; and reduce our misjudgment.  As long as we work jointly in that direction, we will be able to meet our goal.  This is our common mission.  It is also the responsibility that we need to jointly fulfill for the international community.

The endeavor for building this new model of major country relationship is an ongoing process that we are undertaking right at this moment.  We are ready to work with the United States to enhance cooperation, properly manage our differences, and make unremitting efforts towards our common goal.

Secretary Kerry mentioned Hong Kong.  The Chinese Government has very firmly and clearly stated its position.  Hong Kong affairs are China’s internal affairs.  All countries should respect China’s sovereignty.  And this is also a basic principle governing international relations.  I believe for any country, for any society, no one will allow those illegal acts that violate public order.  That’s the situation in the United States, and that’s the same situation in Hong Kong.  We believe that the Hong Kong Special Administrative Region’s government has the capability to properly handle the current situation in accordance with the law.

And I am ready to have a full discussion with Secretary Kerry about those regional and international issues of mutual interest and also our strategic bilateral cooperation.  I hope that more consensus can be reached through such dialogue.  Thank you all.

U.S. DOD SAYS AIRSTRIKES CONTINUE IN IRAQ AND SYRIA

FROM:  U.S. DEFENSE DEPARTMENT 
More Airstrikes Hit ISIL in Syria and Iraq
DoD News, Defense Media Activity

TAMPA, Fla., Oct. 1, 2014 – U.S. military forces continued to attack ISIL terrorists in Syria yesterday and today using a mix of fighter and remotely piloted aircraft to conduct three airstrikes.

Separately, U.S. military forces and a partner nation used a mix of fighter and remotely piloted aircraft yesterday and today to conduct five airstrikes against ISIL in Iraq.

In Syria, three strikes near Kobani destroyed an ISIL armed vehicle, an ISIL artillery piece, and an ISIL tank. All aircraft departed the strike areas safely.
In Iraq, three strikes northwest of Mosul destroyed two ISIL armed vehicles, destroyed an ISIL occupied building, and struck two ISIL fighting positions. One strike in the vicinity of Haditha Dam destroyed an ISIL armed vehicle while another strike northwest of Baghdad destroyed two armed vehicles.

To conduct these strikes, the U.S. employed U.S. Air Force and U.S. Navy fighter aircraft deployed to the U.S. Central Command area of operations. In addition, the United Kingdom also participated in the Iraq airstrikes. All aircraft departed the strike areas safely.

The strikes were conducted as part of the President's comprehensive strategy to degrade and destroy ISIL. The destruction and degradation of ISIL targets in Syria and Iraq further limits the terrorist group's ability to lead, control, project power and conduct operations.

PRESIDENT OBAMA AND PRIME MINSITER NETANYAHU OF ISRAEL MAKE REMARKS BEFORE MEETING

FROM:  THE WHITE HOUSE 
October 01, 2014
Remarks by President Obama and Prime Minister Netanyahu of Israel Before Bilateral Meeting
Oval Office
11:23 A.M. EDT

PRESIDENT OBAMA:  Well, it’s good once again to welcome the Prime Minister of Israel, Bibi Netanyahu.  Obviously, he’s no stranger to the White House.  I think I’ve met with Bibi more than any world leader during my tenure as President.

We meet at a challenging time.  Israel is obviously in a very turbulent neighborhood, and this gives us an opportunity once again to reaffirm the unbreakable bond between the United States and Israel, and our ironclad commitment to making sure that Israel is secure.

Throughout the summer, obviously all of us were deeply concerned about the situation in Gaza.  I think the American people should be very proud of the contributions that we made to the Iron Dome program to protect the lives of Israelis at a time when rockets were pouring into Israel on a regular basis.  I think we also recognize that we have to find ways to change the status quo so that both Israeli citizens are safe in their own homes and schoolchildren in their schools from the possibility of rocket fire, but also that we don’t have the tragedy of Palestinian children being killed as well.

And so we’ll discuss extensively both the situation of rebuilding Gaza but also how can we find a more sustainable peace between Israelis and Palestinians.

Our agenda will be broader than that, obviously.  I’ll debrief Bibi on the work that we’re doing to degrade and ultimately destroy ISIL, and the broader agenda that I discussed at the United Nations, which is mobilizing a coalition not only for military action, but also to bring about a shift in Arab states and Muslim countries that isolate the cancer of violent extremism that is so pernicious and ultimately has killed more Muslims than anything else.

And we’ll also have an opportunity to discuss the progress that’s being made with respect to dealing with Iran’s nuclear program, which obviously has been a high priority for not only Israel, but also the United States and the world community.

So we have a lot to talk about, and I appreciate very much the Prime Minister coming.  It’s challenging I think for an Israeli Prime Minister to have to work so hard during Rosh Hashanah and Yom Kippur, but I know that the Prime Minister’s utmost priority is making sure that his country is safe during these difficult times.  And we’re glad that the United States can be a partner in that process.

PRIME MINISTER NETANYAHU:  Mr. President, first I want to thank you.  I want to thank you for the unflinching support you gave Israel during our difficult days and difficult summer we had -- expressed in so many ways, but also in an additional installment of support for Iron Dome, which has saved so many lives, saved many lives across the border.  And I thank you for that, and for the continuous bond of friendship that is so strong between Israel and the United States.

I also want to thank you for this opportunity to meet with you and to discuss the enormous challenges facing the United States and Israel in the Middle East.  There’s definitely a new Middle East.  I think it poses new dangers, but it also presents new opportunities.

As for the dangers, Israel fully supports your effort and your leadership to defeat ISIS.  We think everybody should support this.  And even more critical is our shared goal of preventing Iran from becoming a military nuclear power.

As you know, Mr. President, Iran seeks a deal that would lift the tough sanctions that you’ve worked so hard to put in place, and leave it as a threshold nuclear power.  I fervently hope that under your leadership that would not happen.

Equally, I think that there are opportunities.  And the opportunities, as you just expressed, is something that is changing in the Middle East, because out of the new situation, there emerges a commonality of interests between Israel and leading Arab states.  And I think that we should work very hard together to seize on those common interests and build a positive program to advance a more secure, more prosperous and a more peaceful Middle East.

I remain committed to a vision of peace of two states for two peoples based on mutual recognition and rock solid security arrangements on the ground.  And I believe we should make use of the new opportunities, think outside the box, see how we can recruit the Arab countries to advance this very hopeful agenda.  And I look forward to our discussions on these and many other matters.

PRESIDENT OBAMA:  Thank you very much, everybody.

END
11:29 A.M. EDT

U.S. CONGRATULATES THE PEOPLE OF GUINEA ON THEIR INDEPENDENCE DAY

FROM:  U.S. STATE DEPARTMENT   
Guinea's National Day
Press Statement
John Kerry
Secretary of State
Washington, DC
October 1, 2014

On behalf of President Obama and the people of the United States, I congratulate the people of Guinea as you commemorate 56 years of independence on October 2.

The United States shares a long and productive relationship with Guinea and recognizes the progress that the people of Guinea have made promoting democracy and shared economic prosperity. We look forward to continuing our close partnership in the areas of health, women’s rights, agricultural development, good governance, transparency in the mining sector, and regional stability.

On this joyous holiday, I send best wishes for a peaceful and prosperous future.

9/30/14: White House Press Briefing

The President Meets with the Prime Minister of India

DOD VIDEO: MORE NATIONS JOIN FIGHT AGAINST ISIL


DOD PHOTOS: U.S. PREPARES ARMOR ASSETS IN POLAND FOR OPERATION ATLANTIC RESOLVE

FROM:  U.S. DEFENSE DEPARTMENT 


U.S. soldiers prepare to unload their armor assets from a rail line as part of Operation Atlantic Resolve near Drawsko Pomorskie, Poland, Sept. 28, 2014. U.S. Army photo by 2nd Lt. Benton Conque.


U.S. soldiers prepare to unload armor assets that have arrived near Drawsko Pomorskie, Poland, and will be used as part of Operation Atlantic Resolve, Sept. 28, 2014. U.S. Army photo by 2nd Lt. Benton Conque.


U.S. CONGRATULATES PEOPLE OF NIGERIA ON THEIR INDEPENDENCE DAY

FROM:  U.S. STATE DEPARTMENT 
Nigeria National Day Message
Press Statement
John Kerry
Secretary of State
Washington, DC
September 30, 2014

On behalf of President Obama and the people of the United States, I congratulate the people of Nigeria as you celebrate your Independence Day on October 1.

Our peoples enjoy an enduring partnership founded on shared values of democracy, security, and respect for human rights and the rule of law. The United States and Nigeria must continue working together to thwart destabilizing forces that would use violence to undo gains achieved to date through so much effort.

I was honored to speak with President Goodluck Jonathan at the United Nations General Assembly last week, and to welcome him to Washington, DC, this summer for the U.S.-Africa Leaders’ Summit. We discussed how our two countries can deepen our partnership through trade and collaboration.

And weeks before, I shook hands with Beatrice Jedy-Agba—a courageous Nigerian woman who has devoted her life’s work to combatting human trafficking and bringing a peaceful, secure future to all Nigerians.

I wish all Nigerians a prosperous future on the 54th anniversary of your independence.

PAKISTANI INDICTED FOR SELLING SPYWARE APP FOR USE BY STALKERS/DOMESTIC ABUSERS

FROM:  U.S. JUSTICE DEPARTMENT 
Monday, September 29, 2014

Pakistani Man Indicted for Selling 'StealthGenie' Spyware App
A Pakistani man has been indicted in the Eastern District of Virginia for allegedly conspiring to advertise and sell StealthGenie, a spyware application (app) that could monitor calls, texts, videos and other communications on mobile phones without detection.  This marks the first-ever criminal case concerning the advertisement and sale of a mobile device spyware app.  

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Dana J. Boente of the Eastern District of Virginia and Assistant Director in Charge Andrew McCabe of the FBI’s Washington Field Office made the announcement.

“Selling spyware is not just reprehensible, it’s a crime,” said Assistant Attorney General Caldwell.  “Apps like StealthGenie are expressly designed for use by stalkers and domestic abusers who want to know every detail of a victim’s personal life – all without the victim’s knowledge.  The Criminal Division is committed to cracking down on those who seek to profit from technology designed and used to commit brazen invasions of individual privacy.”

“StealthGenie has little use beyond invading a victim’s privacy” said U.S. Attorney Boente.  “Advertising and selling spyware technology is a criminal offense, and such conduct will be aggressively pursued by this office and our law enforcement partners.”  

“This application allegedly equips potential stalkers and criminals with a means to invade an individual’s confidential communications,” said FBI Assistant Director in Charge McCabe.  “They do this not by breaking into their homes or offices, but by physically installing spyware on unwitting victim’s phones and illegally tracking an individual’s every move.  As technology continues to evolve, the FBI will investigate and bring to justice those who use illegal means to monitor and track individuals without their knowledge.”

According to allegations in the indictment, Hammad Akbar, 31, of Lahore, Pakistan, is the chief executive officer of InvoCode Pvt Ltd, the company that advertises and sells StealthGenie online.  Akbar and his co-conspirators allegedly created the spyware, which could intercept communications to and from mobile phones, including Apple’s iPhone, Google’s Android, and Blackberry Limited’s Blackberry.  StealthGenie was undetectable by most users and was advertised as being untraceable.

Akbar was charged in the indictment with conspiracy, sale of a surreptitious interception device, advertisement of a known interception device and advertising a device as a surreptitious interception device.  He was arrested in Los Angeles on Sept. 27, 2014, and is expected to appear before a magistrate judge in the Central District of California later today.

StealthGenie was hosted at a data center in Ashburn, Virginia.  On Sept. 26, 2014, a federal judge in the Eastern District of Virginia issued a temporary restraining order authorizing the FBI to temporarily disable the website hosting StealthGenie.

The indictment alleges that StealthGenie’s capabilities included the following: it recorded all incoming/outgoing voice calls; it intercepted calls on the phone to be monitored while they take place; it allowed the purchaser to call the phone and activate it at any time to monitor all surrounding conversations within a 15-foot radius; and it allowed the purchaser to monitor the user’s incoming and outgoing e-mail messages and SMS messages, incoming voicemail messages, address book, calendar, photographs, and videos.  All of these functions were enabled without the knowledge of the user of the phone.

Akbar and his co-conspirators allegedly programmed StealthGenie to synchronize communications intercepted by the app with the customer’s account so that the customer could review intercepted communications almost immediately from any computer with access to the Internet.  To install the app, a purchaser needed to obtain physical control over the phone to be monitored for only a few minutes.  The purchaser could then review communications intercepted from the monitored phone without ever again having physical control over the phone.  Akbar and others alleged designed SteathGenie to be undetectable to users of the phone.

According to allegations in the indictment, the business plan for the development, sale and advertisement of StealthGenie stated that the target population for the marketing of the app was “[s]pousal cheat: Husband/Wife of (sic) boyfriend/girlfriend suspecting their other half of cheating or any other suspicious behaviour or if they just want to monitor them.”  Language and testimonials on the StealthGenie website focused significantly on potential purchasers who did not have any ownership interest in the mobile phone to be monitored, including those suspecting a spouse or romantic partner of infidelity.  The indictment alleges that Akbar and his co-conspirators fabricated the testimonials.  

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

This case is being investigated by the FBI’s Washington Field Office, and prosecuted by Trial Attorneys William A. Hall Jr. and Peter V. Roman of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Jay V. Prabhu of the Eastern District of Virginia.

BOSNIA AND HERZEGOVINA BECOME FIRST EUROPEAN PARTNER IN GPOI TO ACHIEVE FULL TRAINING CAPABILITY

FROM:  U.S. STATE DEPARTMENT
Office of the Spokesperson
Washington, DC
September 29, 2014

The United States congratulates Bosnia and Herzegovina for becoming the first European partner in the U.S. Department of State-led Global Peace Operations Initiative (GPOI) to achieve the significant milestone of Full Training Capability, establishing the country’s certified self-sufficiency to train peacekeeping personnel for UN and regional peace operations. In doing so, Bosnia and Herzegovina demonstrates its commitment to promoting international peace and security by helping meet the growing global demand for military and civilian personnel needed to stabilize post-conflict countries around the world.

Bosnia and Herzegovina was among the founding partners of GPOI, an initiative started in 2005 to train military and police units to serve in both UN-led and regional peacekeeping missions, supply essential non-lethal equipment, and refurbish peacekeeping training facilities. In addition to Bosnia and Herzegovina’s contribution of military personnel to UN peacekeeping missions in Africa, as well as to coalition operations in Iraq and Afghanistan, its GPOI-supported Peace Support Operations Training Center has helped train military, police, and civilian personnel from 48 countries in accordance with the current UN standards. We applaud Bosnia and Herzegovina’s continued national investment in peacekeeping and look forward to building on our GPOI partnership to save lives and help set the stage for post-conflict recovery around the world.

To date, GPOI, administered by the Department’s Bureau of Political-Military Affairs, has helped train more than 270,000 peacekeepers from among its 69 partner nations and organizations; supported 52 national and regional peace operations training centers and three regional headquarters worldwide; and facilitated the deployment of more than 197,000 personnel from 38 countries serving in 29 peacekeeping operations around the world.

NSF VIDEO: SCIENCE OF INNOVATION: ELECTRONIC TATOO

PRODUCING ALOGORITHMS THAT ANALYSE HUMAN LANGUAGE

FROM:  NATIONAL SCIENCE FOUNDATION 
Growing field of natural language processing works at the interface of computers and language
Researcher's algorithm design produces valuable tools for translation, text mining, question answering and more

Most of us never actually bother to read text labeled "terms and conditions," "privacy policy," or "financial prospectus." We usually just check the "accept" box, assume all is well, and move on. Still, wouldn't it be nice to have a computer program that could read them for us, and alert us to any problems?

This ultimately could be among the potential benefits of natural language processing, a field that works at the interface of computers and language. The goal of this growing field, which dates back to the 1950s, is to enable computers to glean meaning from language through the use of automated algorithms that process linguistic data from text.

"Imagine a computer program that reads text and interprets it to do something useful, but not the way you and I would do," says Noah Smith, an associate professor at Carnegie Mellon University's School of Computer Science. "This program could read text that people don't like to read, or don't have time to read."

Smith designs algorithms that analyze human language, research that produces valuable software tools for translation, text mining, question answering, information extraction as well as "scientific discovery wherever text serves as data," he says, for example in sociolinguistics, political science or economics.

The National Science Foundation (NSF)-funded scientist specifically is studying computational models for natural language parsing and semantic analysis, that is, to "take a sentence and try to figure out what it means," Smith says. "Doing this could help with certain tasks that people cannot do easily, such as extracting information out of very large collections, and would rather delegate it to a computer that will perform consistently and without getting tired."

It's kind of like the automated equivalent of the sentence diagramming that many of today's adults engaged in during elementary school. "Our programs analyze sentences into deeper linguistic structures," Smith says.

To be sure, these programs have a long way to go before attaining human-like reading and comprehension skills, he says. However, "humans are not always perfect at these things," he says. "People do have cognitive limitations, or limitations on memory, or they get distracted. Computer programs have complementary strengths.

"The public perception of this artificial intelligence branch of computer science is often colored by fears that robots might replace us," he adds. "We are, in fact, trying to make tools that will make life easier and less tedious for people."

Smith is conducting his research under an NSF Faculty Early Career Development (CAREER) award, which he received in 2011. The award supports junior faculty who exemplify the role of teacher-scholars through outstanding research, excellent education and the integration of education and research within the context of the mission of their organization.

Smith also has applied his methods to problems like measuring public opinion as expressed in social media messages, and in understanding the underlying ecosystems of companies by scrutinizing their press releases. The latter could benefit economists who study companies, specifically how companies interact with government or with each other.

As for social media, "text exists in a larger social context," he says. "People don't create language purely because they feel like it. Social media, like Twitter and Facebook, are intended to be read by people we know, but often there is a much larger conversation that goes on. The advent of these platforms allows us to observe more of these interactions, and hopefully to develop statistical methods to better understand what people mean when they write or talk."

Educational activities as part of the grant include the development of new exercises and a competitive project within the undergraduate course on natural language processing. In past years, Smith has written problems for the Computational Linguistics Olympiad, a high school competition. Smith also is committed to tutoring and mentoring the graduate students he advises. His group calls itself "Noah's ARK."

"A lot of them interact with each other, including the junior doctoral students who can learn from the more senior ones," he says. "I try to promote opportunities for them to see all parts of my job, and work with me on not just research, but on service and teaching at the university and beyond."

Finally, his research group makes its software publicly available, not just for students in the classroom, but "so it can be used by other researchers and startup companies, as well as by regular people who want to try their hand at natural language processing," he says.

-- Marlene Cimons, National Science Foundation
Investigators
Noah Smith
Related Institutions/Organizations
Carnegie-Mellon University

400,000 CLAIM CHECKS MAILED TO VICTIMS OF ALLEGED FREE-TRIAL WEIGHT-LOSS SCAM

FROM:  U.S. FEDERAL TRADE COMMISSION 
FTC Mails More Than 400,000 Claim Forms to Possible Victims of Alleged LeanSpa Scam

The Federal Trade Commission, through an administrator, is mailing 449,044 claim forms to consumers who may have lost money after buying LeanSpa, a supplement whose marketers allegedly made deceptive weight loss claims. The claim forms are intended to help determine which consumers are eligible for refunds.

The FTC and the state of Connecticut sued the marketers of LeanSpa in December 2011, charging that they used fake websites to promote acai berry and “colon cleanse” weight-loss products, and that they falsely told consumers that they could receive free trials by paying a nominal cost for shipping and handling. In reality, consumers ended up paying $79.95 for the trial, and for recurring monthly shipments of the product that were hard to cancel. The defendants settled the complaint in January 2014, agreeing to stop making the claims and surrender assets valued at approximately $5.7 to $7 million for consumer refunds.

The claim forms will be mailed to consumers by Rust Consulting, Inc., an administrator working for the FTC. Consumers receiving forms will have 60 days to submit their claims online or by mail, following the instructions on the form. Consumers who lost money after buying LeanSpa, but do not receive a claim form, can still submit a complaint with the FTC using the FTC’s Complaint Assistant or toll-free number below.

Consumers with additional questions about the LeanSpa case or the claim form process can call the administrator toll-free number at 1-866-621-4156 or visit the FTC’s LeanSpa case web page. Using this information, the FTC will determine which consumers are eligible for refunds and how much they should receive. No refund checks are being mailed at this time.

The FTC urges consumers to carefully evaluate advertising claims for weight-loss products. For more information on how to avoid weight-loss scams, see the agency’s guidance for consumers of products and services advertised for Weight Loss & Fitness. The FTC also has guidance for media outlets on spotting false weight-loss claims in advertising.

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.

Tuesday, September 30, 2014

U.S. CONGRATULATES PEOPLE OF THE REPUBLIC OF CYPRUS ON THEIR NATIONAL DAY

FROM:  U.S. STATE DEPARTMENT 
On the Occasion of the Republic of Cyprus National Day
Press Statement
John Kerry
Secretary of State
Washington, DC
September 30, 2014

On behalf of President Obama and the people of the United States, I congratulate the people of the Republic of Cyprus as you celebrate your national day on October 1.

Fifty-four years after Cyprus’s independence, the bond between our two countries remains strong. In New York City last week, I had the opportunity to meet with President Anastasiades and Foreign Minister Kasoulides to discuss our shared challenges. We will continue to work closely together on initiatives to counter terrorism and promote regional security.

The strong partnership between our two countries is also reflected in the growing economic, cultural, and educational exchanges between our citizens. We look forward to deepening our commercial and people-to-people ties for the benefit of both Cypriots and Americans.

I remain fully committed to supporting efforts to reunify the island as a bi-zonal, bi-communal federation. I am hopeful that this goal can be achieved soon, so that all Cypriots may live in greater peace and prosperity.

I send warmest wishes on this important day.

U.S. SENDS BEST WISHES TO PEOPLE OF BOTSWANA ON THEIR INDEPENDENCE DAY

FROM:  U.S. STATE DEPARTMENT 
Botswana National Day
Press Statement
John Kerry
Secretary of State
Washington, DC
September 30, 2014

On behalf of President Obama and the people of the United States, I send best wishes to the people of Botswana as you celebrate 48 years of independence on September 30.

The United States and Botswana are natural partners. Ours is a relationship built on the shared values of democracy, justice, equality, and the fundamental rights of all people. Together we are taking our partnership to the next level by investing in Botswana’s greatest natural resource of all—its people.

The Young African Leaders Initiative is lifting up Botswana’s youth. Our commitment to combatting HIV/AIDS through PEPFAR is healing the sick. And the listing of the Okavango Delta as the 1000th UNESCO World Heritage Site is raising the global profile of environmental issues.

It is with an eye to a shared, bright future that we work together as Americans and Batswana to strengthen the relationship between our governments and between our people.

I send warm wishes to the people of Botswana for continued peace and prosperity.

PRESIDENT OBAMA'S STATEMENT ON SIGNING OF AGREEMENTS IN AFGHANISTAN

FROM:  THE WHITE HOUSE PRESIDENT 
September 30, 2014
Statement by the President on the Signing of the Bilateral Security Agreement and NATO Status of Forces Agreement in Afghanistan

Today we mark an historic day in the U.S.-Afghan partnership that will help advance our shared interests and the long-term security of Afghanistan. After nearly two years of hard work by negotiating teams on both sides, earlier today in Kabul the United States and the new Afghan Government of National Unity signed a Bilateral Security Agreement (BSA). This agreement represents an invitation from the Afghan Government to strengthen the relationship we have built over the past 13 years and provides our military service members the necessary legal framework to carry out two critical missions after 2014: targeting the remnants of Al Qaeda and training, advising, and assisting Afghan National Security Forces. The signing of the BSA also reflects the implementation of the Strategic Partnership Agreement our two governments signed in May 2012.

Today, Afghan and NATO officials also signed the NATO Status of Forces Agreement, giving forces from Allied and partner countries the legal protections necessary to carry out the NATO Resolute Support mission when ISAF comes to an end later this year.

These agreements follow an historic Afghan election in which the Afghan people exercised their right to vote and ushered in the first peaceful democratic transfer of power in their nation’s history. The BSA reflects our continued commitment to support the new Afghan Unity Government, and we look forward to working with this new government to cement an enduring partnership that strengthens Afghan sovereignty, stability, unity, and prosperity, and that contributes to our shared goal of defeating Al Qaeda and its extremist affiliates.

This day was only possible because of the extraordinary service of our men and woman in uniform who continue to sacrifice  so much in Afghanistan on behalf of our security and the Afghan people. The American people are eternally grateful for their efforts.


6/29/14: WHITE HOUSE PRESS BRIEFING

WILLIAM J. BURNS MAKES REMARKS AT SAMUEL L. LEWIS MEMORIAL SYMPOSIUM

FROM:  U.S. STATE DEPARTMENT 
Remarks at the Samuel L. Lewis Memorial Symposium
Remarks
William J. Burns
Deputy Secretary of State
Washington, DC
September 29, 2014

I can’t tell how both touched and honored I am by that, Dennis, and I also happened to notice that the photo on the plaque reminds me of the time in our lives when neither of us had any gray hair. It’s always an honor to be here at The Washington Institute but it’s a special honor to be introduced by Dennis Ross, someone for whom I’ve had great respect over many years. I’ve learned an enormous amount from you about what it is to be a diplomat and what it is to pursue our country’s interests and our country’s values, and how to do it with integrity and decency. So thank you very, very much.

I’m also deeply honored to join all of you in celebrating the wonderful life and career of Sam Lewis, one of our country’s most admired diplomats and peacemakers. From post-war Naples to the 1973 Afghanistan coup and from Camp David to Oslo, Sam lived a life of significance and adventure that most diplomats could only dream of. And with Sallie, he lived a life of friendship and romance that would make Woody Allen weep. His Texan charm, candor, courage, and common sense earned him the respect of countless leaders – both abroad and here at home. He was as comfortable going jaw to jaw with counterparts in the negotiation room as he was going cheek to cheek with sharks on his many scuba dives off the coast of the Sinai. He was a man who didn’t just know where he – and the country he loved – needed to go. He knew how to get there, how to lead, and how to get things done.

Sam once called the peace treaty between Egypt and Israel – an historic achievement in which he played an indispensable part – “a mountain peak in a sea of sand.” The same could be said about Sam’s own extraordinary career. Generations of American diplomats have tried to learn from his example, follow in his footsteps, and scale the diplomatic peaks he conquered so skillfully over the years. None of us have been terribly successful. But all of us learned a great deal along the way – about our profession, about the Middle East, and about the promise of American leadership.

Through Sam’s remarkable journey and my own checkered thirty-three year career in the Foreign Service, I have learned that the Middle East is a place where pessimists seldom lack for either company or validation, where skeptics hardly ever seem wrong. It is a place where American policymakers often learn humility the hard way… a place where you can most easily see the wisdom in Winston Churchill’s famous comment that what he liked most about Americans was that they usually did the right thing in the end; they just liked to exhaust all the alternatives first.

I’ve learned that stability is not a static phenomenon, and that regimes which do not offer their citizens a sense of political dignity and economic possibility ultimately become brittle and break. I’ve learned that change in the Middle East is rarely neat or linear, but often messy and cruel, and deeply unpredictable in its second and third order consequences. I’ve learned not to underestimate the depth of mistrust of American motives that animates so many people in the region, and I’ve learned that we often get far more credit than we deserve for complicated conspiracies. I’ve learned that, with all its stubborn dysfunction, the Middle East is a place where people and leaders are capable of great things… and that American diplomacy, with all of its own occasional dysfunction, can make a real and enduring difference.

During this incredible moment of testing in the region, we miss Sam’s judgment and good counsel more than ever. If Sam were with us, I suspect he would be the first to say that we cannot afford to neglect what’s at stake. And he would urge us not to neglect our responsibility to help shape, within the limits of our influence, the great generational struggle between moderation and extremism that is unfolding across the Middle East today.

A Changing Middle East

Nothing embodies that struggle in starker terms than the threat posed by ISIL. ISIL is obviously not the only source of disorder in the Middle East today. But it is one of the most immediate, and most poisonous. And it is the most dramatic symptom of the layers of change unleashed by the second Arab Awakening – within, among, and beyond Arab states.

Within a number of states, we’ve seen the collapse of a half-century old political order. Societies that for far too long had known far too little freedom, far too little opportunity, and far too little dignity began to erupt. But what also spilled out, in addition to the thirst of individual citizens for dignity, were all the demons of sectarian and communal tension that authoritarian rulers had fueled and forcefully suppressed.

That dynamic in turn helped set off new uncertainties and frictions among states in the region, as political rivalries, sectarian troubles and old Sunni-Shia passions spilled across borders still not firmly rooted nearly a century after their post-World War One formation.

Meanwhile, beyond Arab states, violent extremist groups were quick to try to fill emerging vacuums and take advantage of post-revolutionary chaos.

ISIL took advantage of all these developments – state collapse, proliferation of weapons, regional rivalries, and sectarian polarization – to prosper and grow. But more broadly, what all of these layers of change add up to is the most significant transition in the Arab world since the revolutions of the 1950’s. And what they have laid bare is the long-term question of whether an “Arab center”, as my friend and former Jordanian Foreign Minister Marwan Muasher has described it, can eventually replace the old order… gradually establishing democratic institutions to manage sectarian differences and provide an outlet for political pluralism and individual dignity… or whether hardliners and extremists of one stripe or another will prove more resilient. The United States has a powerful stake in that very complex competition, and in shaping a careful strategy for enhancing the long-term chances for a new, moderate order which best protects our interests and reflects our values.

A Global Coalition to Counter ISIL

As all of you know very well, there is no shortage of obstacles to a moderate order in the Middle East today. An arc of instability, complicated transitions, and stagnating economies runs nearly uninterrupted from the Maghreb to the Levant and the Gulf. Iran’s nuclear program continues to loom large as we near the November 24 deadline for a comprehensive deal. And if we needed any reminder, this summer’s tragic conflict in Gaza underscored just how unsustainable and combustible the status quo between Palestinians and Israelis remains.

We are seized with all of these challenges. I know Dennis and I will have the opportunity to touch on a number of them in our conversation. But let me just make a couple of points up front about what I’m sure is on everyone’s mind this afternoon: the challenge posed by ISIL and our strategy to degrade and ultimately defeat it.

First, it’s important to keep perspective. ISIL is not ten feet tall – it has no state partner and its most impressive achievement to date has been to unite the entire region – and the world – against it. But it poses a serious challenge that demands a serious response. If left unchecked, ISIL would control more territory, amass more resources, attract more foreign fighters, further destabilize an already deeply unstable region, and over time, pose a growing threat.

Second, as President Obama and Secretary Kerry have made clear, this is not America’s fight alone. A successful strategy to counter ISIL – and indeed to strengthen the forces of moderation in the region – cannot be about us. It has to be about the people and governments in the region and the choices they make. This is why President Obama made the formation of a united and inclusive Iraqi government an essential prerequisite to going on the offensive against ISIL. It’s why he has insisted that we help our partners on the ground secure their own country’s future. And it’s why he has placed so much focus on building and leading a broad-based coalition of states who have a stake in this fight and the means to provide practical support.

My third point is about the coalition and the comprehensive strategy it is pursuing. Beginning this month with the NATO summit in Wales and following meetings in Baghdad, Jeddah, Cairo, Paris, and last week at the UN General Assembly in New York, we’ve worked hard to build a coalition unified around shared goals, objectives, and actions. President Obama appointed John Allen – a retired four-star general and one of our nation’s finest public servants – to oversee this effort. And already, more than 50 countries from all corners of the globe have joined the coalition and we expect others to join in the weeks and months ahead.

Together, we will deny ISIL a safe-haven by continuing to conduct carefully targeted airstrikes against its leadership, and logistical and operational capabilities, and we will impede its ability to plan, prepare, and execute attacks. We’ve already conducted more than 200 such airstrikes in Iraq, and last week, Saudi Arabia, the United Arab Emirates, Jordan, Bahrain, and Qatar joined in strikes against ISIL targets in Syria. While we target ISIL from the air, we will strengthen the capacity of our partners to push back against ISIL on the ground. President Obama sent an additional 475 military advisors to Iraq this month to support Iraqi and Kurdish forces with training, intelligence, and equipment, and to help the Government of Iraq stand up National Guard Units to help Sunni communities push back against ISIL. We will also continue and step-up our support to the moderate Syrian opposition, including through the train and equip program recently authorized by bipartisan majorities in both chambers of Congress.

But this is far more than just a military effort.

We also need to cut off the flow of foreign terrorist fighters into and out of the region. ISIL has recruited thousands of foreign fighters to Iraq and Syria from nearly 80 countries, including over 100 Americans. These fighters pose an immediate threat to the region and a real and growing terrorism threat more broadly. Last week, the UN Security Council unanimously passed a binding resolution requiring countries to prevent and suppress funding, financing, recruiting, organizing, transporting, and equipping of foreign fighters. This resolution received the second most co-sponsors in the history of the United Nations.

Alongside this historic resolution, the coalition will press hard to accelerate global efforts to dry up ISIL’s funding, including by reducing ISIL’s revenue from oil and other plundered assets, extortion of local populations, kidnapping for ransom, and external donors.

We will also continue to provide urgent humanitarian assistance to states and societies carrying the heaviest burden from this conflict. Even before ISIL’s advance this spring, the scale and scope of the human tragedy in Syria was staggering – the world’s largest mass displacement in over three decades. ISIL’s campaign of terror has only exacerbated this tragedy, displacing over a million Iraqis and even more Syrians from their homes. The United States has been the single-largest contributor of humanitarian assistance to the Syrian people and the nations most directly affected by the refugee crisis, with nearly $3 billion in contributions since the start of the conflict. And we’ve led the way in preventing mass atrocities in Iraq. Together with our coalition partners, we will continue to assist populations in need, including vulnerable religious and ethnic minorities.

And we will continue to coordinate efforts to expose ISIL’s true nature and undercut its ideological appeal. Muslim leaders from Al-Azhar to Mecca have denounced ISIL and its false claim to be acting in the name of a great religion. We will work to amplify their efforts and to demonstrate, as President Obama said last week, that “the future belongs to those who build – not to those who destroy.”

All these steps are critical to success. But they will not have any sustainable effect on their own. There is no shortcut to getting at the roots of this moment of turbulence – the political paralysis that has failed to answer the region’s rising aspirations for dignity, political participation, and economic opportunity. Prime Minister Abadi and the new Iraqi government have outlined a bold and ambitious national program that has received broad cross-sectarian support. And it deserves international support as well. We will continue to engage diplomatically to find resolution to longstanding Sunni and Kurdish aspirations and to increase the stake of Iraq’s neighbors in its sovereignty and success. And we will continue to pursue a political transition in Syria to end this crisis once and for all.

Conclusion

If this sounds like a tall order, it is. But it is not impossible. ISIL’s advance can be blunted, and it can be rolled back – with people and leaderships in the region fully committed to working with us and our other international partners.

Sam Lewis knew as well as anyone how unforgiving the Middle East can be for American policymakers and diplomats. But he also knew that we can’t afford to pull back and retrench. There’s too much at issue right now. Together, we can degrade and defeat ISIL. Together, we can increase the odds that moderates across the region can succeed in the years ahead, that they can succeed in the great generational struggle to help open up space for pluralism and economic opportunity.

Sam would be the first to understand that we will not get every judgment right. But he also understood profoundly that we are far better off working persistently to help shape events, rather than wait for them to be shaped for us. Sam Lewis led a life of extraordinary significance in the service of our country, and all of us have been hugely honored to follow in his remarkable footsteps.

Thank you very much.

NSF VIDEO: SCIENCE BEHIND THE NEWS: TORNADOES

PEANUT COMPANY OFFICIALS AND BROKER CONVICTED BY JURY IN SALMONELLA-TAINTED PEANUTS CASE

FROM:  U.S. JUSTICE DEPARTMENT 
Friday, September 19, 2014
Peanut Corporation of America Former Officials and Broker Convicted on Criminal Charges Related to Salmonella-Tainted Peanut Products

A federal jury returned guilty verdicts against two former officials of and one broker for the Peanut Corporation of America (PCA), the Department of Justice announced today.

Stewart Parnell, of Lynchburg, Virginia, and Michael Parnell, of Midlothian, Virginia, were convicted of conspiracy, mail and wire fraud, and the introduction of misbranded food into interstate commerce.  Steward Parnell was also convicted of the introduction of adulterated food.  Stewart Parnell and Mary Wilkerson, of Edison, Georgia, were also convicted of obstruction of justice.  The convictions all arise from the unlawful sale of salmonella-tainted peanuts and peanut products.

Expert evidence at trial showed that tainted food led to an outbreak in 2009 with more than 700 reported cases of salmonella poisoning.  According to the Centers for Disease Control and Prevention (CDC), based on epidemiological projections, that number translates to more than 22,000 total cases.

The verdicts followed a seven-week trial in the Middle District of Georgia during which prosecutors presented the testimony of 45 witnesses and introduced 1,001 documents into evidence.  Among those who testified were Samuel Lightsey and Daniel Kilgore, both of Blakely, Georgia, both former operations managers for PCA and both of whom earlier pleaded guilty to several crimes for their roles in the sale of the salmonella-tainted food by PCA.

“As this verdict confirms, the salmonella outbreak that caused nationwide panic five years ago was a direct result of the actions of these individuals,” said Attorney General Eric Holder.  “This verdict demonstrates that the Department of Justice will never waver in our pursuit of those who break our laws and compromise the safety of America’s food supply for financial gain.  All Americans must be able to rely on the safety of the food they purchase.  And any individual or company who puts the health of consumers at risk by criminally selling tainted food will be caught, prosecuted, and held accountable to the fullest extent of the law.”

The government presented evidence at trial to establish that Stewart Parnell and Michael Parnell – with Lightsey and Kilgore – participated in several schemes by which they defrauded PCA customers and jeopardized the quality and purity of their peanut products.  Specifically, the government presented evidence that defendants misled customers about the presence of salmonella in their products.  For example, as the evidence demonstrated, the Parnells, Lightsey and Kilgore fabricated certificates of analysis (COAs) accompanying various shipments of peanut products.  COAs are documents that summarize laboratory results, including test results concerning the presence or absence of pathogens in food.  According to the evidence, on several occasions, the Parnells, Lightsey and Kilgore participated in a scheme to fabricate COAs that stated that the food at issue was free of pathogens when in fact there had been no testing of the food or tests had revealed the presence of pathogens.

The government also presented evidence that when FDA officials visited the plant to investigate the outbreak, Stewart Parnell, Lightsey and Wilkerson gave untrue or misleading answers to questions posed by those officials.

“We are gratified by the jury’s verdict,” said Joyce R. Branda, Acting Assistant Attorney General for the Civil Division.  “The jury delivered a powerful message that there will be serious consequences for criminals who put profit above the welfare of their customers and knowingly sell contaminated food.  The Department of Justice will not hesitate to pursue any person whose criminal conduct risks the health of Americans and the safety of the nation’s food supply.”

“In this great country, we take for granted the safety of the food we feed our families,” said U.S. Attorney Michael J. Moore of the Middle District of Georgia.  “We expect, and rightfully so, for food suppliers to follow the rules and regulations, and to never sacrifice public safety for profits.  In this case, these defendants were willing to put tainted food onto the shelves of stores across the country.  After this trial, it should be clear that individual accountability, not just corporate responsibility, for criminal conduct that puts public safety in jeopardy is now the norm in the eyes of the Department of Justice.  And while the evidence over the last few weeks has focused on the criminal acts  of these defendants, let’s not forget that there were real victims in this case who became ill and suffered greatly because making money, at least to the defendants, was more important than making sure that the peanut products they put into the marketplace were safe.”

Attorney General Holder, Acting Assistant Attorney General Branda and U.S. Attorney Moore thanked the jury for its service, and, especially, for its careful consideration of the evidence.

In all, the jury convicted Stewart Parnell of multiple counts of conspiracy, mail fraud, wire fraud, the sale of misbranded food, the sale of adulterated food, and obstruction; Michael Parnell of multiple counts of conspiracy, mail fraud, wire fraud, and the sale of misbranded food; and Mary Wilkerson of one count of obstruction.  The judge has not yet set a date for sentencing.

The case was prosecuted by Trial Attorneys Patrick Hearn and Mary M. Englehart of the Consumer Protection Branch of the Civil Division and Assistant U.S. Attorney Alan Dasher of the Middle District of Georgia.

NSF FUNDS MUSCLE FARM RESEARCH

FROM:  NATIONAL SCIENCE FOUNDATION
How to grow mussels
Researchers optimize growing conditions and practices to improve mussel farming
Blue mussels, Mytilus edulis, live on northern Atlantic shores in the area between high and low tides.

"Mussels are one of the most significant filter-feeders in the marine environment," said Brian Beal, a marine ecologist at the University of Maine at Machias. "They are responsible not only for efficiently producing high-quality protein but for cleaning the waters around them through their feeding activities."

Because many creatures--especially humans--enjoy eating blue mussels, farmers grow mussels using aquaculture, or aquatic farming. More than 650,000 pounds of blue mussels were cultured and harvested in Maine in 2012, according to the state's Department of Marine Resources.

Young mussels may be cultivated in the wild, or they may grow on ropes that are submerged in culture tanks, where they are protected from storms and predators. Once the mussels reach a certain size, they are moved into ocean pens to mature.

But practitioners often struggle in their efforts to increase the number, size and overall health of their mussels. Like many farmers, they turn to science and engineering to improve their harvest.

Beal, along with a team of National Science Foundation (NSF)-funded researchers at the University of Maine at Machias and the Downeast Institute, is investigating the growing conditions and practices that will reliably yield healthy and plentiful blue mussels.

"Our goal is to develop methods in the hatchery to create consistent quantities of seed-size mussel juveniles," Beal said. "At present, mussel farmers rely on wild settlement, which can be very spotty from year to year and from place to place." Maine's annual harvest of cultured blue mussels commonly varies by hundreds of thousands of pounds.

Young mussels go through several stages of development. After swimming for their first few weeks of life, mussel larvae adhere to an underwater surface such as a rope. They attach themselves using byssus threads, which are flexible strands of protein.

"A narrow range of seawater temperatures combined with relatively high salinities results in healthy, active juveniles," Beal said, "and different phytoplankton diets fed to the swimming larvae affect their ability to settle effectively onto substrates such as rope."

Beal's team plans to use what they learn about blue mussel development to optimize how many and how well larvae secure themselves to rope used in aquaculture. They are now conducting field studies to examine the effects of stocking densities on mussel growth and survival.

The researchers also are investigating exactly when to transition the young mussels into ocean pens, and where in the pens they grow best.

With better understanding of their cultivation, the researchers and their partner New DHC, an aquaculture company, hope to improve commercial prospects for sustainably grown blue mussels.

"A consistent seed supply also will allow aquaculturists to create business plans that project their annual production more realistically," Beal explained.

The collaboration is supported by the NSF Partnerships for Innovation program, which stimulates regional innovation based on science and engineering discoveries.

In speaking of Beal, NSF program director Sally Nerlove said, "His life's work is of tremendous potential importance to the economy and the ethos of region, and, at the same time, his accomplishments track the evolution of the NSF Partnerships for Innovation program."

-- Cecile J. Gonzalez,
Investigators
Brian Beal
Susan White
David Markow
Stuart Swain
Kevin Athearn
Sandra Shumway
Christopher Davis
Sherrie Sprangers
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