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When it comes down to THAT server, Hillary and team used this private communications method to avoid FOIA and public disclosure. While there is a fire brewing about Hillary’s misuse of classified material, the larger scandal with major IRS implications is the clandestine operations of the Clinton Foundation and the international network of money and criminal players.
This is a saga and symptom of the Clintons, where it is almost impossible to determine the beginning, but certainly a saga that has no end, or does it?
NYPost: Fifteen years ago this month, on Jan. 20, 2001, his last day in office, Bill Clinton issued a pardon for international fugitive Marc Rich. It would become perhaps the most condemned official act of Clinton’s political career. A New York Times editorial called it “a shocking abuse of presidential power.” The usually Clinton-friendly New Republic noted it “is often mentioned as Exhibit A of Clintonian sliminess.”
Congressman Barney Frank added, “It was a real betrayal by Bill Clinton of all who had been strongly supportive of him to do something this unjustified. It was contemptuous.”
Marc Rich was wanted for a list of charges going back decades. He had traded illegally with America’s enemies including Ayatollah Khomeini’s Iran, where he bought about $200 million worth of oil while revolutionaries allied with the Khomeini held 53 American hostages in 1979.
Rich made a large part of his wealth, approximately $2 billion between 1979 and 1994, selling oil to the apartheid regime in South Africa when it faced a UN embargo. He did deals with Khadafy’s Libya, Milosevic’s Yugoslavia, Kim Il-sung’s North Korea, Communist dictatorships in Cuba and the Soviet Union itself. Little surprise that he was on the FBI’s Ten Most Wanted List.
Facing prosecution by Rudy Giuliani in 1983, Rich fled to Switzerland and lived in exile.
What bothered so many was that Clinton’s clemency to Rich reeked of payoff. In the run-up to the presidential pardon, the financier’s ex-wife Denise had donated $450,000 to the fledgling Clinton Library and “over $1 million to Democratic campaigns in the Clinton era.”
As Judge Abner Mikva, a counsel in the Clinton White House and mentor to President Obama, noted that even Obama “was very, very dismayed by the Marc Rich pardon and the basis on which it appears to have been granted.”
But does the story end there? Is it possible the payoffs continued after he left office?
Modal TriggerDenise Rich (left,) Marc’s ex-wife, donated $450,000 to the Clinton library in the run up to the presidential pardon.Photo: AP
The stench of the scandal in early 2001 sent people scurrying. Days after it was revealed that a senior UBS executive named Pierre de Weck had written a letter to Clinton “to support his request for a pardon,” the Swiss banking giant cancelled its discussions with Clinton about a lucrative post-White House speech, apparently “worried that a large speaking fee would create an appearance of impropriety.”
Even Bill Clinton eventually admitted that the pardon had been “terrible politics.” “It wasn’t worth the damage to my reputation,” he said.
But while the pardon was a political mistake, it certainly was not a financial one. In the years following the scandal, the flow of funds from those connected to Marc Rich or the pardon scandal have continued to the Clintons.
Rich’s business partners, lawyers, advisors and friends have showered millions of dollars on the Clintons in the decade and a half following the scandal
Rich died in 2013. But his business partners, lawyers, advisors and friends have showered millions of dollars on the Clintons in the decade and a half following the scandal.
Nigerian businessman Gilbert Chagoury is well known as a close ally and business associate of Rich. The Nigerian media declared in 1999 that the “Gilbert Chagoury-Marc Rich alliance remains a formidable foe.” They sold oil on international markets together. In 2000, Chagoury was convicted in Geneva of money laundering and aiding a criminal organization in connection with the billions of dollars stolen from Nigeria during the reign of dictator Gen. Sani Abacha.
As part of a plea deal the conviction was later expunged.
Chagoury has been very generous to the Clintons in the years following the Rich pardon. He has organized an event at which Bill was paid $100,000 to speak (in 2003), donated millions to the Clinton Foundation and in 2009 pledged a cool $1 billion to the Clinton Global Initiative. The Chagourys were also active in Hillary’s 2008 presidential bid. Michel Chaghouri, a relative in Los Angeles, was a bundler and served on her campaign staff. Numerous other relatives gave the maximum $4,600 each to her campaign.
Modal TriggerGilbert Chagoury, Nigerian businessman and close ally of RichPhoto: Getty Images
In return, Bill has lavished praised on Chagoury over the years. In 2005, Bill was the Keynote speaker when Chagoury received the “Pride of Heritage Award” from the Lebanese community.
In 2009, CGI gave Chagoury’s company an award for sustainable development. In 2013, Bill showed up in Nigeria for a public ceremony involving one of Chagoury’s projects. When Bill Clinton had his 60th birthday party, Chagoury was an invited guest. Chagoury also attended the wedding of Bill’s longtime aide, Doug Band.
Then there’s Russian investor Sergei Kurzin. He worked for Marc Rich in the 1990s, traveling around Russia looking for suitable investment opportunities in the crumbled former Soviet Union.
An engineer by training, Kurzin has been involved in lucrative deals in Kazakhstan and other countries, including the lucrative Uranium One deal that involved Bill Clinton and Frank Giustra.
Russia bought 20% of all uranium production capacity in the US, a deal that needed to be signed off by the State Department when it was headed by Hillary Clinton. While the deal was going through, Bill Clinton was paid $500,000 to give a speech in Moscow, paid for by a Russian investment bank promoting the uranium deal.
Kurzin, meanwhile, donated $1 million to the Clinton Foundation.
The London-based Reuben Brothers have made a fortune thanks in part to their commodities firm Trans World Metals. According to the World Bank, they founded that firm with money from Marc Rich.
Photo: Post photo composite
And they have confirmed that they had business dealings with Rich. The Reuben Brothers, through their own Reuben Foundation, have been enthusiastic supporters of the Clintons. They co-hosted a star-studded gala with the Clinton Foundation in London dubbed the Millennium Network. They have also directly donated tens of thousands of dollars to the Clinton Foundation.
Beth Dozoretz, a longtime Democratic party donor, was a friend to Denise Rich, and according to congressional investigations played a “key role” in helping secure the Marc Rich pardon. On Jan. 10, 2001, Dozoretz received a phone call from then-President Bill Clinton informing her that he was planning to pardon international fugitive Marc Rich. Dozoretz informed her ski partner on that trip, Denise Rich, of the great news.
Modal TriggerBeth Dozoretz, a close friend of Denise Rich, refused to testify against herself about Clinton’s controversial pardon of Rich.Photo: Reuters
In the years since the pardon was granted, Dozoretz has served the Clintons closely: as the finance co-chair of Hillary’s 2008 campaign and as a senior State Department official during Hillary’s tenure. She has supported the super PAC Ready for Hillary and the Hillary Clinton campaign. Her husband, Ronald, has sent $25,000 to $50,000 to the Clinton Foundation.
Modal TriggerRich died in 2013, and Clinton eventually admitted the pardon was terrible politics and “wasn’t worth the damage to my reputation.”Photo: Getty Images
Even the smaller phantoms of the Marc Rich scandal have popped up, opening their wallets for the Clintons. Gershon Kekst, who was Marc Rich’s longtime PR man in the United States, has contributed more than $10,000 to Hillary’s campaigns since the pardon. Clyde Meltzer was named in the original 1983 DOJ indictment against Marc Rich and Pincus Green. Meltzer pleaded guilty rather than flee the country like Rich and Green. In the 1990s he rejoined Rich, working for the fugitive’s new firm, Glencore.
According to Federal Election Commission records, Meltzer has a slim history of giving money to candidates, giving only $1,000 to a congressional candidate. But in 2007 he gave the maximum allowed to the Hillary Clinton campaign. Three of Marc Rich’s attorneys, Peter Kadzik, Robert Fink, and Jack Quinn, also a former counsel at the Clinton White House, have donated to Hillary’s campaigns. Quinn has given between $25,000 and $50,000 to the Clinton Foundation.
These Rich connections are, of course, based on disclosed donations. But we now know that the Clinton Foundation has failed to disclose more than 1,000 donors, despite its written agreement with the Obama transition team that it would maintain complete transparency.
Many of those donations came through a Clinton Foundation project in Canada, which is heavily laden with donations from the natural resources and commodities industries. Kurzin, for example, has given via this route. Are there more Marc Rich-connected dollars that have flowed to the Clintons? Will they ever provide the full disclosure they have so often promised?
It cannot be mere coincidence that in the years of fundraising for the Clinton Foundation, one of the industries that has emerged as a big backer of the Clintons is the mining and commodities industry, where Marc Rich made his fortune.
When it comes to Washington scandals, news usually sends political figures scurrying for cover — leading them to avoid those connected to the scandal. Apparently not so with the Clintons. Are you connected to the disgraced Marc Rich and the terrible pardon? It’s OK, as long as the check clears.
New State Department Intel Confirms Arab Smuggling “Cells,” Al Qaeda Leader in Mexico This week, Judicial Watch published another in our series of Pulitzer Prize-worthy reports the narco-terror threat, one of the many existential threats as a result of purposefully lax border security at the U.S.-Mexican reporter. I reprint the chilling report below from you from our Corruption Chronicles blog:
For more than a decade the U.S. government has known that “Arab extremists” are entering the country through Mexico with the assistance of smuggling network “cells,” according to State Department documents obtained by Judicial Watch that reveal among them was a top Al Qaeda operative wanted by the FBI. Some Mexican smuggling networks actually specialize in providing logistical support for Arab individuals attempting to enter the United States, the government documents say. The top Al Qaeda leader in Mexico was identified in the September 2004 cable from the American consulate in Ciudad Juárez as Adnan G. El Shurkrjumah. The cable was released to Judicial Watch under the Freedom of Information Act.
The new intelligence records were released as a result of an ongoing JW investigation into the critical national security threats on the southern border, specifically those created by Islamic terrorists teaming up with Mexican drug cartels to infiltrate and attack the U.S. In response to JW’s reporting in the last two years the Obama administration-through various spokespeople, including FBI Director James Comey-has vehemently denied that Islamic terrorists are operating in Mexican towns near American cities or entering the U.S. through the famously porous southern border. The State Department documents, which include substantial redactions supposedly to protect classified and personal information, contradict this. JW obtained them as part of an investigative series into Shukrijumah, an Al Qaeda operative also known as Javier Robles. In December, 2014 Shukrijumah was killed by the Pakistan Army in an intelligence-borne operation in South Waziristan. But before he died Shukrijumah helped plan several U.S. attacks, including plots to bomb Oprah Winfrey’s studio and detonate nuclear devices in multiple American cities. For years Shukrijumah appeared on the FBI’s most wanted list and, despite being sought by the agency, he crossed back and forth into the U.S. from Mexico to meet fellow militant Islamists in Texas. JW has reported that, as one of the world’s most wanted terrorists, Shukrijumah piloted an aircraft into the Cielo Dorado airfield in Anthony, New Mexico. The new State Department records show that U.S. authorities knew Shukrijumah was in Mexico because they say that the Regional Security Office (RSO) at the consulate in Ciudad Juárez used newspapers to distribute information throughout Sonora and Chihuahua, Mexico about the Al Qaeda operative at the request of the FBI’s Joint Terrorism Task Force in El Paso. This appears on page 17 of the documents, which are linked above in their entirety. Of interesting note is that the government uses an exemption that applies to classified information to continue to withhold some of the records when the entire file was already declassified back in September, 2014. Information about Middle Eastern terrorists entering the U.S. through Mexico appears in a September 2, 2004 cable-declassified 10 years later-titled “CONFIDENTIAL INFORMANT, A PROVEN CI TO USG IN THE PAST, REPORTS ARAB CELLS WITHIN MEXICO.” It explains that a reputable government informant went to the U.S. Consulate in Ciudad Juárez and provided information pertaining to suspect Arab extremists who have been smuggled into the U.S. through the Mexican border. “The confidential source (SUBJECT) stated his family member, who is a human trafficker, knows the exact whereabouts of three Arabs who are currently being hidden in Agua Prieta, Sonora, Mexico,” the State Department cable reads. “Although not absolutely positive, one of the three is likely Adnan G. El Shukrijumah, alleged to be a Saudi Arabian terrorist cell leader thought to be in Mexico. SUBJECT also provided information on two smuggling networks, “cells,” that specialize in providing logistical support for Arab individuals attempting to enter the United States.” Many questions remain about the U.S. government’s relationship with Shukrijumah, but last spring JW obtained records from the Florida Department of Law Enforcement (FDLE) that indicate he was a Confidential Source/Informant for the government. Shukrijumah lived in South Florida’s Broward County and graduated from Broward Community College with a degree in computer engineering. Four months before the 9/11 terrorist attacks Shukrijumah fled the U.S. He was one of the suspected actors in a number of planned terror attacks in the U.S., including a plot to simultaneously detonate nuclear devices in several U.S. cities. Convicted terrorist Jose Padilla claimed to have trained with Shukrijumah to blow up U.S. apartment buildings using natural gas explosions. In 2010 Shukrijumah was indicted in the Eastern District of New York for his role in a terrorist plot to attack targets in the United States-including New York City’s subway system-and the United Kingdom, according the FBI. The plot against New York City’s subway system was directed by senior Al Qaeda leadership in Pakistan, the FBI says, and was directly related to a scheme by Al Qaeda plotters in Pakistan to use Western operatives to attack a target in the United States. A year earlier Shukrijumah helped plan a terrorist truck-bomb targeting Winfrey’s Harpo Studios in Chicago as well as the iconic Sears Tower. Two of his fellow conspirators-Emad Karakrah and Hector Pedroza Huerta-were arrested in 2014 for unrelated state crimes in different parts of the country. Karakrah got busted in Chicago on charges of making a false car bomb threat after leading police on a high-speed chase with an ISIS flag waving from his vehicle. Huerta, an illegal alien twice convicted for driving intoxicated, got nabbed in El Paso for drunk driving. Both Karakrah and Pedroza were released from custody in 2015 under highly unusual plea deals. The men formed part of a sophisticated narco-terror ring, exposed in a JW investigative series, with connections running from El Paso to Chicago to New York City. The operation includes an all-star lineup of logistics and transportation operatives for militant Islamists in the United State, drug and weapons smugglers for the Juarez drug cartel in Mexico, an FBI confidential informant gone rogue and two of the FBI’s most wanted terrorists. Shukrijumah was one of them and, though he’s dead, he is an important part of the puzzle and extremely relevant when connecting the dots in the narco-terror ring.
The crisis at the Mexican border – and the government’s lies about the worsening Islamist terror threat – could result in a terrorist attack calamity for the United States. But you can see that we can make a difference – as I’m convinced JW’s reporting flushed the al Qaeda operative out of Mexico and resulted in his demise in Mexico.
Judicial Watch Clinton Records Lawsuits Uncovers More Hidden Documents
As if the hidden Clinton email cache wasn’t enough, apparently, the Obama State Department recently found “thousands” of new records from Hillary Clinton’s tenure as Secretary of State. According to information provided to Judicial Watch by various Justice Department attorneys, the new documents appear to be “working” records in electronic format located on both “shared” and “individual” drives accessible to or used by persons identified as being relevant to Judicial Watch Freedom of Information Act (FOIA) lawsuits on the Benghazi scandal and controversies from Clinton’s term at State. The State Department confirmed the new find in a court filing earlier this month as part of a FOIA lawsuit concerning records about Clinton aide Huma Abedin:
After State filed its motion for summary judgment in this case [on November 11, 2015], State located additional sources of documents that originated within the Office of the Secretary that are reasonably likely to contain records responsive to Plaintiff’s request. State has informed Plaintiff that it intends to search these locations, produce non-exempt portions of any responsive records, and file a supplemental declaration in support of its motion for summary judgment (which is presently stayed).
The watchdog group Judicial Watch has been suing the State Department for years to turn over public records related to Clinton’s tenure as secretary of state, the Clinton Foundation, the employment arrangements of Clinton’s top aides, and her response to the Benghazi attack. According to the State Department, the newly found records are likely to include information relevant to Judicial Watch’s requests. Officials said they would need until at least Feb. 1 to review the documents.
In another modified limited hangout, the State Department admitted in another JW court case that the new records include the files of two of Clinton’s top aides:
The newly identified files that need to be searched in this case consist of office files that were available to employees within the Office of the Secretary during former Secretary Clinton’s tenure as well as individual files belonging to Jake Sullivan and Cheryl Mills.
The notorious Mills was Hillary Clinton’s chief of staff at State and Sullivan was her top policy advisor. Both now work on her presidential campaign. As best as I can tell, the Obama State Department is still withholding key facts. We still don’t where exactly these newly identified records are located; why they were not identified and searched previously; and how and when they were just identified. This is the statement we issued to the press about this new Clinton records scandal:
This latest find of Clinton records, at this late date, is astonishing. The State Department waited to last possible moment, as it did with the Clinton emails, to tell Judicial Watch and the federal courts about thousands of records that haven’t been searched, as the law requires. Who knew what – and when did they know it – about these new Clinton documents? These newly recovered Clinton records are a potential game changer – and will be of interest to the courts, Congress, and the FBI’s criminal investigation. It sure looks like more of the same in terms of Obama administration officials’ obstructing our FOIA requests, obstructing the courts, obstructing Congress, and obstructing justice. Judicial Watch exposed this new cover up on the heels of a finding by State Department’s Inspector General that Hillary Clinton and the Obama State Department thwarted specific Judicial Watch FOIA requests by lying about her email system with “inaccurate” and “incomplete” responses.
Despite this new obstruction, there was some success last week over our legal fight for all the emails of Huma Abedin, another Clinton State consigliere. We forced the State Department to agree to review and release under FOIA at least 29,000 Abedin emails over the next year. As Politico’s Josh Gerstein reported:
At a court hearing in September, a Justice Department attorney said State had no plans to process for release all of the emails submitted by Abedin and other top aides such as Chief of Staff Cheryl Mills and Director of Policy Planning Jake Sullivan. However, a legal filing Monday in a lawsuit brought by the conservative group Judicial Watch indicated State has acceded to a request to process all the emails Abedin turned over, except for news articles and summaries. “The parties have agreed that State will produce to Judicial Watch responsive, nonexempt records from within the recently received documents, excluding news clippings/briefings contained therein,” said the court filing (posted here). The schedule the two sides agreed to has the disclosure of the records overlapping significantly with Clinton’s presidential campaign and will have the State Department ramping up release of Abedin’s private emails just as the agency winds down its disclosure of Clinton’s messages.
So now a court will supervise the release of records the Obama gang had previously opposed. Though we all would have like to have the records released years ago, as opposed to within a year, you should know that the Obama operatives trying to protect Hillary Clinton’s quest for the presidency wanted us to wait three years! Looking back over this week, it’s remarkable that JW’s numerous lawsuits continue to make waves on the Clinton records issue. Mrs. Clinton is probably worrying about 150 FBI agents, investigating her potential crimes on her records scandal and her evident abuse of office to help out those funding the Clinton Foundation and her own bank accounts. But as JW’s work first led to the disclosure of both these scandals, you can see how JW is the key driver of the effort to hold her accountable for her corruption.
There is always the pledge or promise of something, money, weapons, fighter jets or people….some or all of this went with those ten detainees from Gitmo to Oman. Will the White House or the Pentagon tell us? Nah….
Barack Obama bragged that al Qaeda has been decimated but with this release and the growing threat of al Qaeda once again in Afghanistan, this is no longer the case.
In his final State of the Union address, President Barack Obama said the terrorist groups al-Qaeda and Islamic State pose a “direct threat” to Americans but don’t threaten “our national existence.”
“Both al-Qaeda and now ISIL pose a direct threat to our people, because in today’s world, even a handful of terrorists who place no value on human life, including their own, can do a lot of damage,” he said, referring to the Islamic State in Iraq or Syria, or ISIS, also known as ISIL. “They use the Internet to poison the minds of individuals inside our country; they undermine our allies.”
New video message from Dr. Ayman al-Ẓawāhirī: “The Islamic Spring #8: The Sun of Victory Shines From Nusantara”
In part from FNC: The Omani Foreign Ministry reportedly described the move as a “temporary stay.” The administration is banned by law from transferring Guantanamo detainees to Yemen, given the risk in that country. Yemen is not only racked by civil war, but is the home of Al Qaeda in the Arabian Peninsula. At least three previously released Guantanamo detainees have gone on to become leaders with AQAP in Yemen after leaving the camp.
The transfer also coincides with a recent weapons deal. The terms are classified, but the State Department a week ago approved the proposed sale of TOW 2B missiles and supporting equipment to the government of Oman – valued at about $51 million.
Reuters:Ten Yemeni men held at the Guantanamo Bay U.S. military prison were sent to Oman on Thursday, bringing the detainee population below the symbolically important milestone of 100 as President Barack Obama steps up efforts to close the facility before he leaves office.
Their transfer to the Gulf Arab state marked the largest group of prisoners shipped out of the detention center at the U.S. naval base at Guantanamo Bay, Cuba, since Obama began his presidency in 2009 pledging to quickly shutter a prison that has drawn international condemnation.
The Yemenis, all held for more than a decade without charge or trial, were part of a wave of releases that the Obama administration signaled would take place early this year as it prepares to give Congress a plan for closing the facility. Four other detainees were moved out already this month.
Obama, whose term in office ends in January 2017, has vowed to push ahead with his efforts but faces opposition in the Republican-led Congress. Lawmakers have created obstacles to moving any Guantanamo prisoners to facilities in the United States.
In Oman’s, Muscat, an Omani official was cited by the state news agency as saying the Yemenis had arrived and would remain there for humanitarian reasons until conditions in Yemen, gripped by civil war, allow them to be sent home. Oman, a close U.S. ally, had accepted earlier groups of Guantanamo prisoners.
U.S. Defense Secretary Ash Carter said the transfer followed a “deliberate and careful review.”
“We completed the transfer of 10 Yemenis – roughly 10 percent, that is, of the total remaining Gitmo population – to the government of Oman,” Carter told an audience at the U.S. military’s Southern Command, which oversees the military detention facility.
The 93 prisoners remaining at Guantanamo mark the lowest number since 2002, shortly after then-President George W. Bush opened the facility to house foreign terrorism detainees after the Sept. 11, 2001, attacks on the United States.
Obama administration officials have said they will focus on repatriating or resettling the 34 Guantanamo prisoners, most of them Yemenis, cleared for release long ago by U.S. authorities.
The United States has ruled out sending the Yemenis home due to Yemen’s chaotic security situation.
Obama campaigned for the presidency in 2008 vowing to close the Guantanamo prison. In his final State of the Union address on Tuesday, he again urged Congress to help him achieve that goal.
“It’s expensive, it’s unnecessary and it only serves as a recruitment brochure for our enemies,” Obama said of the prison.
The White House has not said that Obama could use executive powers to shut the prison, bypassing Congress. Some lawmakers have vowed legal action if he does that.
Carter said he had proposed to Obama establishing an alternative location that would bring some detainees – those deemed too dangerous to be transferred – “to an appropriate, secure location in the United States.”
“Congress has indicated a willingness to consider such a proposal,” Carter said.
The Pentagon, in a statement, named the released detainees as: Fahed Abdullah Ahmad Ghazi, Samir Naji al-Hasan Muqbil, Adham Mohamed Ali Awad, Mukhtar Yahya Naji al-Warafi, Abu Bakr Ibn Muhammad al-Ahdal, Muhammad Salih Husayn al-Shaykh, Muhammad Said Salim Bin Salman, Said Muhammad Salih Hatim, Umar Said Salim al-Dini and Fahmi Abdallah Ahmad Ubadi al-Tulaqi.
From the Department of Defense and shame on Secretary Ash Carter, at least former Secretary Chuck Hagel slow walked approvals, eventually costing him his job.
Detainee Transfers Announced
The Department of Defense announced today the transfer of Fahed Abdullah Ahmad Ghazi, Samir Naji al-Hasan Muqbil, Adham Mohamed Ali Awad, Mukhtar Yahya Naji al-Warafi, Abu Bakr Ibn Muhammad al-Ahdal, Muhammad Salih Husayn al-Shaykh, Muhammad Said Salim Bin Salman, Said Muhammad Salih Hatim, Umar Said Salim al-Dini, and Fahmi Abdallah Ahmad Ubadi al-Tulaqi from the detention facility at Guantanamo Bay to the Government of Oman. As directed by the president’s Jan. 22, 2009, executive order, the interagency Guantanamo Review Task Force conducted a comprehensive review of these cases. As a result of those reviews, which examined a number of factors, including security issues, Ghazi, Muqbil, Awad, al-Warafi, al-Ahdal, al-Shaykh, Salman, Hatim, al-Dini, and al-Tulaqi were unanimously approved for transfer by the six departments and agencies comprising the task force. In accordance with statutory requirements, the secretary of defense informed Congress of the United States’ intent to transfer these individuals and of the secretary’s determination that these transfers meet the statutory standard. The United States is grateful to the Government of Oman for its humanitarian gesture and willingness to support ongoing U.S. efforts to close the Guantanamo Bay detention facility. The United States coordinated with the Government of Oman to ensure these transfers took place consistent with appropriate security and humane treatment measures. Today, 93 detainees remain at Guantanamo Bay.
Note, there are other cities where real estate money laundering occurs with frequency. They include San Diego, Los Angeles, Houston, Dallas, Las Vegas, Chicago and Atlanta.
There are guidelines for real estate professionals, click here.
Money laundering also occurs in commercial real estate, click here.
The official 21 page document on real estate money laundering is here.
Click here to see an actual case that involved a Russian.
Reuters:The United States is hunting down international criminals who launder money through real estate deals, with the Treasury Department ordering title insurance companies to report the identities of people paying cash for high-end properties in Miami and Manhattan.
The Financial Crimes Enforcement Network, an arm of the U.S. Treasury, said on Wednesday it is concerned that individuals buy residential real estate in cash through shell companies to hide their assets and veil their identities.
“We are seeking to understand the risk that corrupt foreign officials, or transnational criminals, may be using premium U.S. real estate to secretly invest millions in dirty money,” FinCEN Director Jennifer Shasky Calvery said in a statement.
FinCEN has issued rules aimed at preventing laundering through the mortgage market, but “cash purchases present a more complex gap that we seek to address,” Calvery added.
Title insurers will have to disclose buyer identities in deals of at least $1 million in Miami and at least $3 million for Manhattan, the Miami Herald reported. FinCEN did not answer Reuters’ requests for details.
Research conducted by the Homeland Security officials suggests that the majority of real estate purchases of at least $1 million in Florida’s Miami-Dade and Broward counties are made through shell companies, said John Tobon, deputy special agent in charge at Homeland Security Investigations in Miami.
Money trails linked to drug trafficking, foreign corruption and other criminal activity often lead to luxury real estate properties, but when agents try to determine the true, or “beneficial” owners, they find only documents listing shell companies, many of which in turn are owned by other shell companies, Tobon said.
“It is a part of every single significant investigation that we have ongoing right now,” he added.
But the threshold for reporting cash purchases is so low in the two markets that it will include many mainstream buyers, said Terrence Oved, lawyer with Manhattan real estate and commercial litigation firm Oved & Oved LLP.
“You’re going to get a lot of small fish caught up in this net,” he said.
The temporary orders begin on March 1 and last 180 days, and Oved expects a surge in deals to be completed March. Buyers may turn to other major metropolitan markets such as Los Angeles, as well, he added.
In November 2015, the most recent month for which data is available, 17 percent of the 82,595 all-cash purchases of single family homes and condos went to buyers with an “LLC” in the name, according to the housing data company RealtyTrac, indicating they were purchased by companies. Altogether, a third of home purchases in the United States since 2011 were all-cash.
Meanwhile, there were about $104 billion in transactions involving foreign investors in the U.S. real estate market between April 2014 and March 2015. More than half the buyers in those deals were from China, Canada, India, Mexico, and the United Kingdom, and the majority of transactions involving overseas buyers were in cash, said Deborah Friedman, who works in the FBI’s money laundering intelligence unit, in September.
Those purchases were concentrated in Florida, Texas, Arizona and California, she said.
The Patriot Act of 2001 required the Treasury to either issue rules on anti-money laundering controls and reporting of suspicious activity by real estate professionals or grant an exemption. The exemption has been in place now for more than a decade.
Motherboard: One of the “teenage hackers” who broke into the CIA director’s AOL email account last year hasn’t given up targeting government intelligence officials. His latest victim is the Director of National Intelligence James Clapper, Motherboard has learned.
A group of hackers calling themselves “Crackas With Attitude” or CWA made headlines in October, hacking into CIA Director John Brennan’s email account and apparently getting access to several online tools and portals used by US law enforcement agencies.The hackers’ exploits prompted the FBI to issue an alert warning government officials of their attacks.
One of the group’s hackers, who’s known as “Cracka,” contacted me on Monday, claiming to have broken into a series of accounts connected to Clapper, including his home telephone and internet, his personal email, and his wife’s Yahoo email. While in control of Clapper’s Verizon FiOS account, Cracka claimed to have changed the settings so that every call to his house number would get forwarded to the Free Palestine Movement. When they gained notoriety last year, Cracka and CWA claimed their actions were all in support of the Palestine cause.
“I’m pretty sure they don’t even know they’ve been hacked,” Cracka told me in an online chat.
But Brian Hale, a spokesperson for the Office of the Director of National Intelligence, confirmed the hack to Motherboard on Tuesday.
“We’re aware of the matter and we reported it to the appropriate authorities,” Hale said, declining to answer any other questions on the record. (The FBI declined to comment.)
Cracka, or whoever is pretending to be him, taunted authorities on Twitter (the hacker used a new Twitter account, not the same one he used at the time of the Brennan hack. But the hacker also is in control of a chat app account who’s been using to communicate with me since last October).
Cracka provided me with what he claimed to be Clapper’s home number. When I called it on Monday evening, I got an answer from Paul Larudee, the co-founder of the Free Palestine Movement. Larudee told me that he had been getting calls for Clapper for the last hour, after an anonymous caller told him that he had set Clapper’s number to forward calls to him. Larudee said that one of the callers said he was sitting in Clapper’s house next to his wife.
According to public records, the phone number does belong to James Clapper’s household. Cracka also provided another number, a cellphone, which he said belonged to either Clapper or Clapper’s wife, Susan. When I called, a woman picked up and I asked if this was Susan Clapper. The woman responded that Susan wasn’t there, but that she’d tell her to call me back. But nobody ever did.
Cracka also claimed to have gotten into Susan’s Yahoo email account, as well as Clapper’s email account. He provided a series of screenshots to prove he had control of their Verizon FiOS account, as well as Susan’s Yahoo account. Motherboard couldn’t independently verify the authenticity of the screenshots.
The hacker also sent me a list of call logs to Clapper’s home number. In the log, there was a number listed as belonging to Vonna Heaton, an executive at Ball Aerospace and a former senior executive at the National Geospatial-Intelligence Agency. When I called that number, the woman who picked up identified as Vonna Heaton. When I told her who I was, she declined to answer any questions.
“A journalist? Oh my gosh” she said, laughing uncomfortably. “I have somebody on the line, I’m sorry, I have no insight into that. But that’s really unfortunate, have a great day.”
“I just wanted the gov to know people aren’t fucking around, people know what they’re doing and people don’t agree #FreePalestine.”
Michael Adams, an information security expert who served more than two decades in the US Special Operations Command, said that this looks “more of a social engineering hack than a real hack,” but also added that “every serious hack starts with social engineering.”
Adams also said that it’s “insane” that Clapper doesn’t do more to hide his home address and phone number (both can be found with a Google search).
“If I’m the Director of National Intelligence of the United States of America nobody is going to know where the fuck I live, nobody is going to have my goddamn phone number or address,” Adams told me in a phone interview.
On Tuesday, Cracka asked me not to name him in the article, saying he “doesn’t like the attention.”
“You Asked why I did it,” he added. “I just wanted the gov to know people aren’t fucking around, people know what they’re doing and people don’t agree #FreePalestine.”