Category Archives: DOJ, DC and inside the Beltway

Obama vs. China President Xi, Hacking

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A new unit of the People’s Liberation Army was identified last week by cyber security researchers as Unit 78020 based in Kunming, in Yunnan Province.
The unit’s operations have been tracked for five years and have included targeted attacks on states in the region that are challenging Beijing’s strategic program of seeking to control the sea through building up small islands and reefs and then deploying military forces on them.
“Unit 78020 conducts cyber espionage against Southeast Asian military, diplomatic, and economic targets,” according to a security report on the unit that included a satellite photo of the unit’s Kunming compound.
“The targets include government entities in Cambodia, Indonesia, Laos, Malaysia, Myanmar, Nepal, the Philippines, Singapore, Thailand, and Vietnam as well as international bodies such as United Nations Development Program (UNDP) and the Association of Southeast Asian Nations (ASEAN).” More details here.

Chinese president Xi Jinping is supposed to have dinner this evening with U.S. president Barack Obama. Wonder if the name Ge Xing will come up?Ge Xing is the subject of a joint report published this morning by ThreatConnect and Defense Group Inc., computer and national security service providers respectively. Ge is alleged to be a member of the People’s Liberation Army unit 78020, a state-sponsored hacking team whose mission is to collect intelligence from political and military sources to advance China’s interests in the South China Sea, a key strategic and economic region in Asia with plenty of ties to the U.S.

The report connects PLA 78020 to the Naikon advanced persistent threat group, a state-sponsored outfit that has followed the APT playbook to the letter to infiltrate and steal sensitive data and intellectual property from military, diplomatic and enterprise targets in a number of Asian countries, as well as the United Nations Development Programme and the Association of Southeast Asian Nations (ASEAN).

Control over the South China Sea is a focal point for China; through this region flows trillions of dollars of commerce and China has not been shy about claiming its share of the territory. The report states that China uses its offensive hacking capabilities to gather intelligence on adversaries’ military and diplomatic intentions in the regions, and has leveraged the information to strengthen its position.“The South China Sea is seen as a key geopolitical area for China,” said Dan Alderman, deputy director of DGI. “With Naikon, we see their activity as a big element of a larger emphasis on the region and the Technical Reconnaissance Bureau fitting into a multisector effort to influence that region.”The report is just the latest chess piece hovering over Jinping’s U.S. visit this week, which began in earnest yesterday with a visit to Seattle and meetings with giant technology firms such as Microsoft, Apple and Google, among others.

Those companies want to tap into the growing Chinese technology market and the government there is using its leverage to get them to support stringent Internet controls imposed by the Chinese government. A letter sent to American technology companies this summer, a New York Times report last week, said that China would ask American firms to store Chinese user data in China. China also reportedly asked U.S.-built software and devices sold in China to be “secure and controllable,” which likely means the Chinese would want backdoor access to these products, or access to private encryption keys.Jinping, meanwhile, tried to distance himself from the fray when he said in a Wall Street Journal interview: “Cyber theft of commercial secrets and hacking attacks against government networks are both illegal; such acts are criminal offences and should be punished according to law and relevant international conventions.”Journal reporter Josh Chin connected with Ge Xing over the phone and Ge confirmed a number of the dots connected in the report before hanging up on the reporter and threatening to report him to the police.

While that never happened, the infrastructure connected to Ge and this slice of the Naikon APT group, was quickly shut down and taken offline. In May, researchers at Kaspersky Lab published a report on Naikon and documented five years of activity attributed to the APT group. It describes a high volume of geo-politically motivated attacks with a high rate of success infiltrating influential organizations in the region. The group uses advanced hacking tools, most of which were developed externally and include a full-featured backdoor and exploit builder.Like most APT groups, they craft tailored spear phishing messages to infiltrate organizations, in this case a Word or Office document carrying an exploit for CVE-2012-0158, a favorite target for APT groups. The vulnerability is a buffer overflow in the ActiveX controls of a Windows library, MSCOMCTL.OCX. The exploit installs a remote administration tool, or RAT, on the compromised machine that opens a backdoor through which stolen data is moved out and additional malware and instructions can be moved in.Chin’s article describes a similar attack initiated by Ge, who is portrayed not only as a soldier, but as an academic.

The researchers determined through a variety of avenues that Ge is an active member of the military, having published research as a member of the military, in addition to numerous postings to social media as an officer and via his access to secure locations believed to be headquarters to the PLA unit’s technical reconnaissance bureau.“Doing this kind of biopsy, if you will, of this threat through direct analysis of the technical and non-technical evidence allows us to paint a picture of the rest of this group’s activity,” said Rich Barger, CIO and cofounder of ThreatConnect. “We’ve had hundreds of hashes, hundreds of domains, and thousands of IPs [related to PLA unit 78020].

Only looking at this from a technical lens only gives you so much. When you bring in a regional, cultural and even language aspect to it, you can derive more context that gets folded over and over into the technical findings and continues to refine additional meaning that we can apply to the broader group itself.”The report also highlights a number of operational security mistakes Ge made to inadvertently give himself away, such as using the same handle within the group’s infrastructure, even embedding certain names in families of malware attributed to them. All of this combined with similar mistakes made across the command and control infrastructure and evidence pulled from posts on social media proved to be enough to tie Ge to the Naikon group and elite PLA unit that is making gains in the region.“If you look at where China is and how assertive they are in region, it might be a reflection of some of the gains and wins this group has made,” Barger said. “You don’t influence what they’re influencing in the region if you don’t have the intel support capabilities fueling that operational machine.”

 

Democrats, the Planned Parenthood Lifeline, Hearing

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Listening to the hearing today with the CEO of Planned Parenthood is chilling. She is flanked by a set of lawyers and her responses are either non-responses, twisted replies or she does not have statistics or facts at hand.

A question was asked by a Democrat if abortion was legal, the response was ‘yes’. The follow up question was, ‘is an abortion a Constitutional right?’, the response by Richards was :YES!  How can that be? Anyone?

Meanwhile, the Democrats on the House hearing panel continue to state the collection of videos are either fake or doctored. CEO, Cecile Richards of Planned Parenthood has too admitted she has not seen the videos but states she has read the transcripts. In order to protect or defend her organization, why no see the videos in their entirety?

Additionally, the videos have been sent to an independent organization to determine forensic alterations. The verdict is below.

Forensic Analysis: Planned Parenthood Videos Are ‘Authentic’

TheDailySignal:

A forensic analysis of undercover videos about Planned Parenthood’s abortion practices are “authentic and show no evidence of manipulation or editing,” according to a report released Tuesday by Alliance Defending Freedom.

The analysis was completed by Coalfire, a digital security and forensics firm that has worked on civil and criminal investigations. The firm had access to all audio and video investigative footage recorded by the Center for Medical Progress.

“The Coalfire forensic analysis removes any doubt that the full length undercover videos released by Center for Medical Progress are authentic and have not been manipulated,” said Casey Mattox, senior counsel at Alliance Defending Freedom. “Analysts scrutinized every second of video recorded during the investigation and released by CMP to date and found only bathroom breaks and other non-pertinent footage had been removed.”

According to the report, the videos only omit footage irrelevant to the allegations such as bathroom breaks.

“Planned Parenthood can no longer hide behind a smokescreen of false accusations,” Mattox said, “and should now answer for what appear to be the very real crimes revealed by the CMP investigation.”

“American taxpayer money should be redirected to fund local community health centers and not subsidize a scandal-ridden, billion-dollar abortion business,” Kerri Kupec, legal communications director for Alliance Defending Freedom said in a statement.

“Planned Parenthood is an organization that cares about one thing: making a profit at the expense of women’s health,” she added. “The investigative videos, whose authenticity was confirmed by the report, show that Planned Parenthood is an abortion-machine whose top executives and doctors haggle and joke about the harvesting and selling of baby body parts. Women deserve far better.”

Spokespersons for Planned Parenthood have denied illegal conduct. Last month, the organization commissioned their own analysis of the videos which claimed that the “edited” videos “have no evidentiary value in a legal context and cannot be relied upon for any official inquiries.”

The Daily Signal previously reported that the firm hired by Planned Parenthood, Fusion GPS, has ties to the Democratic Party, including an effort to expose a group of eight private citizens who donated to a super PAC supporting former Massachusetts Gov. Mitt Romney’s 2012 presidential campaign.

Planned Parenthood Forensic Analysis Report

 

How Does the Syrian War End?

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For the United States, there is a ripple affect already and Congressma McCaul is but one legislator that has introduce a bill to stop the insurgency in the United States.

WASHINGTON, DC– Today, Congressman Michael McCaul, Chairman of the House Committee on Homeland Security, introduced the Refugee Resettlement Oversight and Security Act. If enacted into law, this legislation would give the American people’s representatives the chance to vote up or down on the President’s plan to resettle 10,000 Syrian refugees into the United States and improve the security vetting process.  Specifically, this bill will:

  • Require affirmative approval by both the House and Senate before any refugees are admitted to the U.S.
  • Allow Congress to block any inadequate refugee resettlement plan put forward by the President.
  • Require the Administration, when considering the admission of refugees from Iraq and Syria, to prioritize the resettlement of oppressed religious minorities.
  •  Ensure DHS, in coordination with DNI and FBI, provides new security assurances before admitting refugees into the country and for the Governmental Accountability Office to conduct a sweeping review of security gaps in the current refugee screening process.

McCaul: “Many Americans are understandably concerned about the threat posed by inadequate security screening procedures for refugee seeking entry into the United States.  ISIS themselves have stated their intention to take advantage of the crisis to infiltrate the west. We have to take this threat seriously.

This bill will rein in the Administration’s refugee resettlement plans and give Congress more control over the process by requiring the Administration to get affirmative approval from Congress through the enactment of a joint resolution before any refugees may be admitted into the United States.

These important security updates to the refugee process are necessary for not only the security of the United States, but for the safety of the refugees.”

Syria is a mess, Mr Obama. Tell me how this ends

“Tell me how this ends.” That was the remark David Petraeus, the US general who led the “surge” in Iraq, is said to have made on his first post-invasion visit to the country.

It proved an eerily prescient comment. The US soon found it was unable to end its war in Iraq on its own terms. For the Middle East, that war has not yet ended at all.

Tell me how this ends. The same charge might be levelled at Barack Obama over Syria. In the month in which Russia’s introduction of military hardware into the Syrian conflict has decisively changed its trajectory, America and its allies now look like the only group without a plan.

That’s the reality that lies behind the words of Barack Obama and Francois Hollande in New York. Despite their insistence that Bashar Al Assad must go – although perhaps not just yet – and that the regime cannot be pardoned, although it can perhaps be “worked with”, their actions send a much clearer message. No one in the West knows how this ends.

In Damascus, in Moscow, in Tehran and even in Raqqa, they know how this ends. Every one of those players in the Syrian civil war has a clear end in mind. They know their goal and they are seeking it, day after day.

The Assad regime knows exactly how this ends: with its survival. The regime, father and son, has been preparing for this moment for decades, preparing for a serious challenge to its authority.

In the years before Hafez Al Assad came to power in 1970, there were seven coups in Damascus. In the 45 years since, there have been none.

ISIL, too, have an end in mind, the carving out of a caliphate. They have not been preparing for it as long as the Assads, but they have been preparing: solidifying alliances through politics and marriage; gaining intelligence on their enemies; forging links with jihadis abroad and creating a vast online propaganda network that brings in men and money.

Both Russia and Iran also have an end in mind, and it is nothing less than the replacement of the US-Israel axis with one of their own. Already they are laying the groundwork.

Almost unremarked amid coverage of the theatrics at the United Nations in New York, was a small announcement by Iraq that it would now share intelligence with Syria, Iran and Russia.

Ostensibly, this communication is only about the fight against ISIL. But a Kremlin-backed network now runs from Tehran, through Baghdad and Damascus, and even, via Hizbollah, into Lebanon. A new axis is being formed, while America is distracted.

A turning point has been reached with the entry of Russia. And, once again, the western powers are divided, unable to agree among themselves what result they want and how best to achieve it.

This was exactly what happened the last time there was a turning point, just over two years ago, when the Assad regime used chemical weapons against civilians in Ghouta, a suburb of the capital.

Then, as now, the unwillingness of the United States to do anything – even in violation of its own “red lines” – had wide repercussions. Inaction carries consequences.

One of the reasons why the refugee crisis in Europe became acute over the summer was an intangible feeling among those inside Syria and in neighbouring countries that the war was not coming to an end soon, and so it would be better to restart their lives elsewhere, rather than remain in perpetual limbo. It is not far-fetched to imagine that the inaction of the West contributed to this feeling – and thus, in a roundabout way, European countries contributed to the migrant crisis becoming worse.

That, precisely, is what is wrong with the West’s analysis of the Syrian civil war. It is too complex. In particular, America’s strategy seeks to take into account too many factors: how will intervention play at home? Will they call this another Iraq? What about the nuclear deal with Iran? What about Russia’s role in Ukraine? What will Israel, Saudi Arabia and Turkey think?

There is much truth to the label of “philosopher-in-chief” often pinned on Mr Obama by his enemies. Seeking the perfect policy, with the fewest consequences, he has ended up enacting a policy of inaction – a policy which, of course, brings with it its own set of consequences.

America will come to deeply regret its mistakes in Syria, even more, perhaps, than its mistakes in Iraq. Allowing an old rival to re-enter the Middle East will make America’s ability to project power in Asia much harder. Vladimir Putin appears to understand the optics of power much better than Mr Obama. Weakness in one sphere makes it harder to project power in another.

All across Asia, America’s traditional allies will be warily eyeing Russia’s re-entry, looking hard at the consequences of their alliance with America and wondering: “Tell me how this ends.”

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Union Corruption Runs Far and Wide

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For a listing of union members corruption, investigations and indictments, go here.

For a chilling read of an 84 page report on union corruption and how cases play into the RICO Act, go here.  There is a long history of criminal activity and it is an enterprise that still occurs and grows.

Report: Government Unions Take from the Poor to Give to the Rich

White-collar professionals dominate public sector union ranks

FreeBeacon: The government employees who now make up a majority of the nation’s union members are a far cry from the blue-collar archetype of old, according to a new report.

The Competitive Enterprise Institute will release a report on Tuesday morning documenting the changing nature of unionism in America, as white-collar professionals in the public sector overtake the private sector working class as the face of unionism.

“Public sector unions may claim they stand up for the little guy, but generally they aren’t representing blue collar workers against a better-educated, white-collar management,” said Carrie Sheffield, a scholar at the institute, in a release. “Government unions represent skilled, white-collar workers who enjoy big benefits and job security, courtesy of the taxpayer.”

Government workers are more likely to work behind a desk and enjoy civil service protections than the manufacturing workers who stood at the forefront of the labor movement at the start of the 20th century, according to the report. A majority of them have college educations.

“A larger share of public sector than private sector workers are employed in “management, professional, and related occupations.” In 2013, 56.2 percent of public sector workers and 37.8 percent of private sector workers were employed in these occupations,” the report says. “As the percentage of public sector union members increased between 1971 and 2004, the fraction of union members in the top third of the nation’s income distribution increased by 24 percent, while the proportion of unionists in the bottom third of the distribution declined by 45 percent. This is because better-educated and more affluent workers are more likely to belong to public rather than private sector unions.”

Sheffield said that these paychecks and costs have grown rapidly—retired New York City cops, the report notes, now outnumber active duty ones—in recent years and have the effect of pitting taxpayers, including the working class, against well-paid civil servants.

Pension debt and other unfunded compensation for government workers have led to several major municipal bankruptcies. Detroit, for example, declared bankruptcy when it was unable to meet nearly $20 billion in debt, about half of which was attributed to worker retirement benefits.

“Unfortunately for taxpayers, government unions donate huge amounts to elected officials who then vote on those expanding benefit packages—much to the detriment of cities like Detroit and Stockton, California, and states like Illinois and New Jersey that are on the brink of fiscal insolvency,” Sheffield said in a release.

The shift has created incentives to grow government and spur political involvement from public servants. The current system allows government unions to pump millions of dollars to candidates, who become the agents that the unions negotiate with at the bargaining table.

Sheffield recounts how early private sector union boosters were skeptical of government unions. President Franklin Delano Roosevelt, a champion of organized labor, once said that “Collective bargaining, as usually understood, cannot be transplanted into the public service.”

The institute says that lawmakers should enact reforms akin to that of Gov. Scott Walker in Wisconsin to return to the balance outlined by Roosevelt. Walker was able to become the first sitting governor to survive a recall vote by highlighting the high costs associated with union-negotiated benefits and its effect on his state’s working class. Sheffield said that lawmakers should do the same.

“Government unions are a powerful interest group that is uniquely privileged in being funded by taxpayers. Their members generally have higher levels of education than the average private sector worker, and enjoy greater compensation and job security. David taking on Goliath they are certainly not,” the report says.

Trump Blew it on his Proposed Tax Plan

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Pile more taxes on the wealthy and allow those below a certain level to never pay anything. We have that now. What is new? Not too much and no mention of the more proven plan called ‘Fair Tax’.

TownHall in part:

Trump’s plan for an overhaul of the U.S. tax code would eliminate federal income taxes on individuals earning less than $25,000 and married couples earning less than $50,000. He said those individuals would receive “a new one page form to send the IRS saying, ‘I win.'”

Trump’s plan would also disproportionally benefit wealthy earners by lowering the highest income tax rate from 39.6 percent to 25 percent, and businesses by cutting their tax rate — from major corporations to mom-and-pop shops — to no more than 15 percent.

Trump said his plan would also bring in new sources of revenue to the Treasury by allowing corporations to bring money held in overseas accounts back to the United States after paying a one-time tax of 10 percent. He would also prevent companies from deferring taxes paid on income earned abroad.

In sum, he says, the changes he wants to enact would not add to the annual federal budget deficit or the national debt.

“We have an amazing code,” Trump said of his tax system. “It will be simple. It will be easy. It will be fair.”

Trump said the plan had been crafted with the help of leading economists, but refused to say who they are during his news conference. He also said his plan didn’t suit any particular political agenda, describing it as a “common sense approach.”

Trump to Call for Higher Taxes on the Wealthy

WSJ via MSN:

Donald Trump is set to release a tax plan Monday that calls for major reductions in levies on middle-income and poor payers, while increasing taxes on the wealthy and reining in companies that pay less in taxes by moving their headquarters overseas.

The plan will offer a “major tax reduction for almost all citizens” and help stimulate business in the U.S. again, the Republican candidate’s campaign said Sunday.

The GOP presidential front-runner is also expected to call for the poorest filers to pay no federal taxes at all while also recommending that corporate levies be reduced.

In an interview set to air on CBS’s “60 Minutes” Sunday night, Mr. Trump shrugged off questions as to how he would pay for the tax plan and what kind of Republican presidential candidate would recommend that the wealthy pay more to the government.

“Some very wealthy are going to be raised. Some people that are getting unfair deductions are going to be raised,” Mr. Trump told CBS anchor Scott Pelley about his tax plan, according to a transcript. “But overall it’s going to be a tremendous incentive to grow the economy and we’re going to take in the same or more money.”

The tax plan will be the second policy platform released by Mr. Trump in the more than three months since he declared his candidacy. He released a six-page paper outlining his hard-line stance on immigration last month.

The tax plan comes at an uncertain time for Mr. Trump as his summer status as the Republican front-runner could be fading with the arrival of fall. The businessman has led rounds of national public polls and drawn massive crowds to his campaign rallies, but his support has shown some signs of softening as other outsider candidates gain steam.

A Wall Street Journal/NBC News poll released Sunday showed Mr. Trump is still the race’s front-runner with 21% of GOP primary voters saying he is their top pick, but he’s now virtually tied with Ben Carson, with 20% of those surveyed favoring the retired neurosurgeon. In the prior Journal/NBC News poll, Mr. Carson had only 10% of support compared with Mr. Trump’s 19%.

On Saturday, Mr. Trump came in fifth in a straw poll of social conservatives surveyed by the Family Research Council at the conclusion of its Values Voter Summit in Washington. He trailed Texas Sen. Ted Cruz, Mr. Carson, former Arkansas Gov. Mike Huckabee and Florida Sen. Marco Rubio.

Of the 1,151 summit participants who voted in the straw poll, 56 chose Mr. Trump for president, with 20 respondents saying he would make a good vice president.

Mr. Trump brought a Bible on stage with him during his Friday appearance at the summit and his address was full, but the businessman was booed when he called Mr. Rubio a “clown” at the event.

Mr. Trump is slated to hold a private meeting with evangelical Christian leaders at Trump Towers in Manhattan Monday afternoon. An invitation said the meeting would be capped at 30 people, but about 45 religious leaders have said they plan to attend the hourlong session, according to a person familiar with its planning.

Participants will come from churches across the country, and many are African-American pastors, the person said.

During the “60 Minutes” segment, Mr. Pelley repeatedly tried to press Mr. Trump to be more detailed with his policies and the two men went back and forth several times.

Regarding his plan to repeal the Affordable Care Act, Mr. Trump said he would be able to extend health insurance universally in the U.S. by making “a deal with existing hospitals to take care of people.” Coverage would be private, he said.

“They can have their doctors, they can have plans, they can have everything,” Mr. Trump said about his health plan.

Mr. Trump said that the North American Free Trade Agreement should be ended regardless of breaking a standing international deal. He said he would support sending ground troops to Iraq to fight Islamic State, but would seek less involvement in Syria, believing that Islamic State and the Assad regime would turn on each other and then the U.S. would “pick up the remnants.”

When asked how he would get along with Congress to get his plans passed, Mr. Trump said his leadership style would pave the way.

“I’ve gotten along with politicians my whole life. I’ve made a fortune on politicians. Nobody knows politicians better than I do. I get along with politicians,” Mr. Trump said.

In discussing his personal life, Mr. Trump said his life’s greatest hardship was the loss of his brother, Fred, to alcohol abuse. Mr. Trump said it motivated his decision to not drink.

“I’ve never had a drink. I own the largest winery on the east coast and yet I don’t drink which is a little weird,” Mr. Trump said.

Mr. Trump didn’t shy away from the image that he is a narcissist. When asked about magazine covers featuring the businessman that line the walls of his office at Trump Towers, he quipped: “it’s cheaper than wallpaper.”