Subpoena Tim Geithner About the Uranium One Deal for Starters

Posted on October 19, 2017October 19, 2017 by Denise Simon

Ever wonder where any Hillary emails are with regard to this case both as Secretary of State or through the Clinton Foundation? Perhaps Huma knows all…did Obama’s OFA take any kickbacks? What else is out there that the Obama administration hid from congress and oversight? Anyway read on for context and the people line-up.

Under the Treasury Department is also the responsibility of sanctions and where waivers to those sanctions occur.

Composition of CFIUS in 2010 the Chairperson was Tim Geithner.

The Secretary of the Treasury is the Chairperson of CFIUS, and notices to CFIUS are received, processed, and coordinated at the staff level by the Staff Chairperson of CFIUS, who is the Director of the Office of Investment Security in the Department of the Treasury.

The members of CFIUS include the heads of the following departments and offices:

Department of the Treasury (chair)
Department of Justice
Department of Homeland Security
Department of Commerce
Department of Defense
Department of State
Department of Energy
Office of the U.S. Trade Representative
Office of Science & Technology Policy

The following offices also observe and, as appropriate, participate in CFIUS’s activities:

Office of Management & Budget
Council of Economic Advisors
National Security Council
National Economic Council
Homeland Security Council

The Director of National Intelligence and the Secretary of Labor are non-voting, ex-officio members of CFIUS with roles as defined by statute and regulation.

Of note for the Uranium One transaction to happen, unless there was a waiver:

What steps can be taken with respect to information required by § 800.402 to further facilitate CFIUS review?

Suggestions include:

Section 800.402(j)(1) requires submission of organizational charts showing control and ownership of the foreign person that is a party to the transaction. CFIUS’s review would be aided if the parties provide such charts for the U.S. business and if the charts for the U.S. business and the foreign person diagram the ownership chains for the acquirer and target before and after the transaction being notified to CFIUS. These should be as extensive and detailed as possible.

Sections 800.402(c)(1)(iii) and (v) require submission of information related to the foreign person and its parents. CFIUS’s review would be aided if the notice identifies whether the actual party in interest is the party to the transaction or one of the parents of the party to the transaction. CFIUS does not consider special purpose vehicles, wholly-owned subsidiaries established for the sole purpose of the transaction, or other shell companies to be the actual parties in interest in a transaction.

Sections 800.402(c)(3)(iii) and (iv) require information regarding certain United States Government contracts. Parties are advised to update and verify United States Government contact information for such contracts. Private sector entities not party to the notice are not acceptable points-of-contact for contracts in question.

Filers should ensure that all files in the electronic version of a notice are less than five megabytes (5MB) in size.

What steps, though not required for a notice to be determined complete, may facilitate CFIUS review?

CFIUS agencies have found it very helpful in the past for filing companies to provide the following additional information, even if the activity is not the primary focus of their commercial operations. CFIUS often requests this information after a voluntary notice has been accepted if it was not included in the initial filing.

Cyber systems, products, services: Identify whether the U.S. business being acquired develops or provides cyber systems, products, or services, including:

Business systems used to manage or support common business processes and operations (for example, enterprise resource planning, e-commerce, email, and database systems); control systems used to monitor, assess, and control sensitive processes and physical functions (for example, supervisory control, data acquisition, process and distributed control systems); safety, security, support, and other specialty systems (for example, fire, intrusion detection, access control, people mover, and heating, ventilating, and air conditioning systems); or

(ii) Telecommunications and/or Internet or similar systems, products or services.

Natural resources: Identify whether the U.S. business being acquired processes natural resources and material or produces and transports energy, and the amount processed, produced, or transported annually.

Discussion in the notice of the business rationale for the transaction may be useful.

The regulations require parties to provide information regarding any other applicable national security-related regulatory authorities, such as the ITAR, EAR, and NISPOM. Some of the regulatory review processes under these authorities may have longer deadlines than the CFIUS process, and parties to transactions affected by these other reviews may wish to start or complete these processes prior to submitting a voluntary notice to CFIUS under section 721.

The FBI has a network of informants domestically and it did the job it is tasked to do, that is until the Holder Justice Department ensured it could no longer do the job with regard to the Uranium One Case.

Before the Obama administration approved a controversial deal in 2010 giving Moscow control of a large swath of American uranium, the FBI had gathered substantial evidence that Russian nuclear industry officials were engaged in bribery, kickbacks, extortion and money laundering designed to grow Vladimir Putin’s atomic energy business inside the United States, according to government documents and interviews.

Federal agents used a confidential U.S. witness working inside the Russian nuclear industry to gather extensive financial records, make secret recordings and intercept emails as early as 2009 that showed Moscow had compromised an American uranium trucking firm with bribes and kickbacks in violation of the Foreign Corrupt Practices Act, FBI and court documents show.

They also obtained an eyewitness account — backed by documents — indicating Russian nuclear officials had routed millions of dollars to the U.S. designed to benefit former President Bill Clinton’s charitable foundation during the time Secretary of State Hillary Clinton served on a government body that provided a favorable decision to Moscow, sources told The Hill.

The racketeering scheme was conducted “with the consent of higher level officials” in Russia who “shared the proceeds” from the kickbacks, one agent declared in an affidavit years later.

When this sale was used by Trump on the campaign trail last year, Hillary Clinton’s spokesman said she was not involved in the committee review and noted the State Department official who handled it said she “never intervened … on any [Committee on Foreign Investment in the United States] matter.”

In 2011, the administration gave approval for Rosatom’s Tenex subsidiary to sell commercial uranium to U.S. nuclear power plants in a partnership with the United States Enrichment Corp. Before then, Tenex had been limited to selling U.S. nuclear power plants reprocessed uranium recovered from dismantled Soviet nuclear weapons under the 1990s Megatons to Megawatts peace program.

Vadim Mikerin was a director of Rosatom’s Tenex in Moscow since the early 2000s, where he oversaw Rosatom’s nuclear collaboration with the United States under the Megatons to Megwatts program and its commercial uranium sales to other countries. In 2010, Mikerin was dispatched to the U.S. on a work visa approved by the Obama administration to open Rosatom’s new American arm called Tenam.

The kickbacks were known by the FBI, they had to happen to advance the case and to allow them as evidence of wrong-doing.

His, Mikerin’s, illegal conduct was captured with the help of a confidential witness, an American businessman, who began making kickback payments at Mikerin’s direction and with the permission of the FBI. The first kickback payment recorded by the FBI through its informant was dated Nov. 27, 2009, the records show.

In evidentiary affidavits signed in 2014 and 2015, an Energy Department agent assigned to assist the FBI in the case testified that Mikerin supervised a “racketeering scheme” that involved extortion, bribery, money laundering and kickbacks that were both directed by and provided benefit to more senior officials back in Russia. More here.

Mikerin indictment document here.

The plea deal and 2 associated cases here.

Mikerin was sentenced to 4 years and forfeited $2,126,622.36 :

According to court documents, Mikerin was the director of the Pan American Department of JSC Techsnabexport (TENEX), a subsidiary of Russia’s State Atomic Energy Corporation and the sole supplier and exporter of Russian Federation uranium and uranium enrichment services to nuclear power companies worldwide, and the president of TENAM Corporation, a wholly owned subsidiary and the official representative of TENEX. Court documents show that between 2004 and October 2014, conspirators agreed to make corrupt payments to influence Mikerin and to secure improper business advantages for U.S. companies that did business with TENEX, in violation of the Foreign Corrupt Practices Act (FCPA). Mikerin admitted that he conspired with Daren Condrey, Boris Rubizhevsky and others to transmit approximately $2,126,622 from Maryland and elsewhere in the United States to offshore shell company bank accounts located in Cyprus, Latvia and Switzerland with the intent to promote the FCPA violations. Mikerin further admitted that the conspirators used consulting agreements and code words to disguise the corrupt payments.

Condrey, 50, of Glenwood, Maryland, pleaded guilty on June 17, 2015, to conspiracy to violate the FCPA and conspiracy to commit wire fraud. Rubizhevsky, 64, of Closter, New Jersey, pleaded guilty on June 15, 2015, to conspiracy to commit money laundering. Condrey and Rubizhevsky await sentencing.

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Mikerin

Officials Potentially Influenced (Name; Title; Organization):

Vadim Mikerin; President; TENAM Corporation

Vadim Mikerin; Director of the Pan American Department; JSC Techsnabexport (“TENEX”)

Defendant-Related Entities Involved in the Misconduct: N/A

Third-Party Intermediary:

Cypriot shell company , Shell Company

Latvian shell company , Shell Company

Swiss shell company , Shell Company

Vadim Mikerin , Agent/Consultant/Broker

For the FBI Haters, Check out Operation Cross Country

Posted on October 18, 2017October 18, 2017 by Denise Simon

FBI Announces Results of Operation Cross Country XI

Underage Sex Trafficking Crackdown Leads to Recovery of 84 Minors

The Federal Bureau of Investigation, along with the National Center for Missing & Exploited Children (NCMEC), announced today that 84 minors were recovered and 120 traffickers were arrested as part of Operation Cross Country XI, a nationwide effort focusing on underage human trafficking that ran from October 12-15, 2017.

This is the 11th iteration of the FBI-led Operation Cross Country (OCC), which took place this year in 55 FBI field offices and involved 78 state and local task forces, consisting of hundreds of law enforcement partners. This year’s coordinated operations took place with several international partners, including Canada (Operation Northern Spotlight), the United Kingdom (Aident 8), Thailand, Cambodia, and the Philippines.

“We at the FBI have no greater mission than to protect our nation’s children from harm. Unfortunately, the number of traffickers arrested—and the number of children recovered—reinforces why we need to continue to do this important work,” said FBI Director Christopher Wray. “This operation isn’t just about taking traffickers off the street. It’s about making sure we offer help and a way out to these young victims who find themselves caught in a vicious cycle of abuse.”

Story and Videos

Operation Cross Country XI

The 11th iteration of Operation Cross Country, the FBI’s annual law enforcement action focused on recovering underage victims of prostitution, concluded with the recovery of 84 sexually exploited juveniles.

As part of Operation Cross Country XI, FBI agents and task force officers staged operations in hotels, casinos, and truck stops, as well as on street corners and Internet websites. The youngest victim recovered during this year’s operation was 3 months old, and the average age of victims recovered during the operation was 15 years old. Minors recovered during Cross Country Operations are offered assistance from state protective services and the FBI’s Victim Services Division. Depending on the level of need, victims are offered medical and mental health counseling, as well as a number of other services.

“Child sex trafficking is happening in every community across America, and at the National Center for Missing & Exploited Children, we’re working to combat this problem every day,” said NCMEC President and CEO John Clark. “We’re proud to work with the FBI on Operation Cross Country to help find and recover child victims. We hope OCC generates more awareness about this crisis impacting our nation’s children.”

Operation Cross Country XI is part of the FBI’s Innocence Lost National Initiative, which began in 2003 and has yielded more than 6,500 child identifications and locations. For additional information on Operation Cross Country XI and the Innocence Lost initiative, please visit www.fbi.gov.

Examples of stories from various cities that took part in Operation Cross Country XI:

On October 13, FBI Denver recovered two minor girls—one 3-month-old and one five-year-old. The subject, a friend of the children’s family, offered an undercover officer access to the two children for sexual purposes in exchange for $600. The FBI is working with Child Protective Services to conduct a forensic interview and secure safe placement of the children. The subject was placed under arrest.
Also on October 13, a 16-year old female victim was recovered by FBI El Paso after an undercover agent called an online advertisement for entertainment. Shortly thereafter, the agent met with a 21-year-old female, who offered a fee of $200 to engage in sexual intercourse with her and another female, the 16-year-old victim. Further investigations revealed that a second adult female drove the minor and the 21-year-old to the undercover agent’s location. Both female subjects have been arrested on federal charges.

Note to Editors: B-Roll and interviews associated with Operation Cross Country can be downloaded at www.fbi.gov.

Scope of Russian Troll Operation Explained

Posted on October 17, 2017October 17, 2017 by Denise Simon

Information warfare = Troll warfare

Russian journalists publish massive investigation into St. Petersburg troll factory’s U.S. operations

A day after Dozhd television published an interview with a former member of Russia’s infamous Internet Research Agency, the magazine RBC released a new detailed report on the same organization’s efforts to meddle in U.S. domestic politics. Meduza summarizes RBC’s new report here.

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The Internet Research Agency, Russia’s infamous “troll farm,” reportedly devoted up to a third of its entire staff to meddling in U.S. politics during the 2016 presidential election. At the peak of the campaign, as many as 90 people were working for the IRA’s U.S. desk, sources told RBC, revealing that the entire agency employs upwards of 250 people. Salaries for staff working in the U.S. department apparently range from 80,000 to 120,000 rubles ($1,400 to $2,100) per month.

The head of the IRA’s U.S. desk is apparently a man originally from Azerbaijan named Dzheikhun Aslanov (though he denies any involvement with the troll factory).

In August and September this year, Facebook, Instagram, and Twitter suspended 118 communities and accounts run by the St. Petersburg “troll factory,” disabling a network capable of reaching 6 million subscribers. In 2016, at the height of the U.S. presidential campaign, this network reportedly produced content that reached 30 million people each week.

A source also told RBC that the Internet Research Agency spent almost $80,000 over two years, hiring roughly 100 local American activists to stage about 40 rallies in different cities across the United States. The activists were hired over the Internet, communicating in English, without their knowledge that they were accepting money or organizing support from a Russian organization. According to RBC, internal records from the IRA verify its role in these activities.

The main activity in the troll factory’s U.S. desk was to incite racial animosity (playing both sides of the issue), and promoting the secession of Texas, objections to illegal immigration, and gun rights.

RBC estimates that the Internet Research Agency’s total salary expenses approach $1 million per year, with another $200,000 allocated to buying ads on social media and hiring local activists in the U.S.

According to RBC, the IRA still has a U.S. desk, though its staff has apparently dropped to 50 employees.

Note: Formally, the Internet Research Agency ceased to exist roughly two years ago, rebranding itself under different names, but sources say the organization continues to operate as before.

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One part of the factory had a particularly intriguing name and mission: a “Department of Provocations” dedicated to sowing fake news and social divisions in the West, according to internal company documents obtained by CNN.

Prigozhin is one of the Kremlin’s inner circle. His company is believed to be a main backer of the St. Petersburg-based “Internet Research Agency” (IRA), a secretive technology firm, according to US officials and the documents reviewed by CNN. Prigozhin was sanctioned by the US Treasury Department in December of 2016 for providing financial support for Russia’s military occupation of Ukraine. Two of his companies, including his catering business, were also sanctioned by Treasury this year.

CNN has examined scores of documents leaked from Prigozhin’s companies that show further evidence of his links to the troll factory.

One contract provided IRA with ways to monitor social media and a “system of automized promotion in search engines.”

Prigozhin has a colorful past. He spent nine years in prison in the 1980s for fraud and robbery, according to Russian media reports. After his release, he went into the catering business — renovating a boat and opening New Island, one of a half-dozen upscale restaurants he owns in St. Petersburg. Putin turned to him to cater his birthday parties as well as dinners with visiting leaders, including President Bush and Jacques Chirac of France. A headline in The Moscow Times referred to Prigozhin as Putin’s “Personal Chef.”

Prigozhin subsequently won lucrative catering contracts for schools and Russia’s armed forces. He escorted Putin around his new food-processing factory in 2010. By then he was very much a Kremlin insider with a growing commercial empire. More here.

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Trolling NATO? Yuppers

Seventy percent of Russian-language tweets targeting NATO military activities in Eastern Europe are generated by automated Russian trolls, according to a survey done by the military alliance.

“Two in three Twitter users who write in Russian about the NATO presence in Eastern Europe are robotic or ‘bot’ accounts,” the NATO Strategic Communications Centre of Excellence stated in a report made public this week.

The Russian bots sent 84 percent of all Russian language messages. English language tweets against the alliance also were found to be automated, with some 46 percent generated by automated Twitter accounts.

The report criticized the global social media platform for not doing enough to counter Russian bot activities on Twitter. “Our impression is that Twitter in Russian is policed less effectively than it is in English,” the report said.

A Twitter spokesman could not be reached for comment. Colin Crowell, Twitter’s vice president for public policy, stated in a recent post on the company website that “we strictly prohibit the use of bots and other networks of manipulation to undermine the core functionality of our service.” Read more here.

Trump vs. Iran vs. Europe

Posted on October 16, 2017October 16, 2017 by Denise Simon

Primer: From BBC/

Iran has been blamed for a major cyber-attack on Parliamentary email accounts, including those of cabinet ministers.

Whitehall officials say Iran was behind a “sustained” cyber-attack on 23 June with hackers making repeated attempts to guess passwords of 9,000 accounts.

Up to 30 accounts are thought to have been compromised.

Security sources now believe the attackers came from Iran, although none of the information appears to have been used and the motive remains unclear.

BBC security correspondent Gordon Corera described the June attack as “not especially sophisticated” but told BBC Radio 4 it was a sign that Iran was becoming “more aggressive and capable as a cyber power”.

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And Britain still stands with the JCPOA?

Source: President Trump’s decision to decertify does not withdraw the U.S. from the Joint Comprehensive Plan of Action (JPCOA). Congress will now debate whether the U.S. should continue sanctions relief. Trump’s strategy also promised that the U.S. would focus more broadly on addressing Iran’s destabilizing behavior in the region, among other aspects.

President Hassan Rouhani slammed Trump’s speech and new strategy, and claimed that Trump has only distanced himself from his European allies and unified Iran. UK Prime Minister Theresa May, German Chancellor Angela Merkel, and French President Emmanuel Macron stressed their commitment to upholding the JCPOA in a statement following Trump’s speech.

European leaders issue statement following Trump’s speech. UK Prime Minister Theresa May, German Chancellor Angela Merkel, and French President Emmanuel Macron issued a joint statement conveying their commitment to the JCPOA following President Trump’s announcement that he will not certify that the deal is in the national security interests of the U.S. The European leaders cautioned President Donald Trump and U.S. lawmakers to carefully consider the implications of taking actions that could undermine the JCPOA, such as “re-imposing sanctions [that were] lifted under the [JCPOA].” They also expressed their concern about Iran’s ballistic missile program and disruptive regional activities, stating that they “stand ready to take further appropriate measures to address these issues.” European leaders have voiced their continuous support for the JCPOA. Several European countries have signed a myriad of financial deals with Iran since the implementation of the JCPOA in January 2016. The imposition of new sanctions or the reintroduction of previously lifted sanctions could imperil existing and future deals reached between Europe and Iran. (GOV.uk)

Drug Czar Nominee, Trump vs. 60 Minutes

Posted on October 16, 2017October 16, 2017 by Denise Simon

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Primer: The Drug Enforcement Administration has proposed hiring its own prosecutor corps to bring cases related to drug trafficking, money laundering and asset forfeiture — a move that advocacy groups warn could exceed the DEA’s legal authority and reinvigorate the 1980s-era war on drugs.

Citing the epidemic in opioid-related overdoses, the DEA said it wants to hire as many as 20 prosecutors to enhance its resources and target the biggest offenders. The DEA said the new force of lawyers “would be permitted to represent the United States in criminal and civil proceedings before the courts and apply for various legal orders.” The agency would use money it gets from companies that manufacture and dispense certain kinds of prescription drugs under the federal Controlled Substances Act.

From the Federal Register

Joe Manchin calls Trump to pull drug czar nomination

Sen. Joe Manchin urged President Trump on Monday to withdraw his nomination for drug czar, Rep. Tom Marino, after a report noted he was the chief backer behind legislation that made it more difficult for the federal government to go after prescription drug companies for suspicious narcotic shipments.

Manchin does not mention in his letter that at the time he also had voted in favor of passing the bill, which received unanimous support in the Senate and was signed into law by former President Barack Obama.

“Congressman Marino led the effort in Congress to move through a bill that has made it significantly harder for the Drug Enforcement Agency to enforce our nation’s anti-drug diversion laws,” Manchin, D-W.Va., wrote to Trump in a letter. “For years, wholesale drug distributors were sending millions of pills into small communities – far more than was reasonably medically necessary.”

Manchin was responding to a report published Sunday by the Washington Post and CBS “60 Minutes,” which concluded that the Ensuring Patient Access and Effective Drug Enforcement Act of 2016 made it so the DEA could no longer bring enforcement actions against opioid distributors who give the painkillers to corrupt doctors and pharmacists.

As a result of the legislation one prescription opioid company shipped 20 million doses of oxycodone and hydrocodone to pharmacies in West Virginia between 2007 and 2012, including 11 million doses in a county where 25,000 people lived, according to the news investigation.

Trump tapped Marino, a Pennsylvania Republican, in September to lead the Office of National Drug Control Policy, which administers programs aimed at combating opioid abuse, including through drug monitoring programs or helping people access treatment.

“The head of this office … is a key voice in helping to push and implement strategies to prevent drug abuse, stop drug trafficking, and promote access to substance use disorder treatment,” Machin said, adding that the Washington Post report “calls into question Congressman Marino’s ability to fill this critical role in a manner that will serve the American people and end the epidemic. Congressman Marino no longer has my trust or that of the public that he will aggressively pursue the fight against opioid abuse.”

The opioid epidemic, which started after doctor overprescribing of prescription painkillers, resulted in more than 33,000 deaths in 2015, according to the Centers for Disease Control and Prevention. Because of such CDC reports, lawmakers were aware of the rising death toll and the contribution of the prescription drug industry to the trend when Obama signed the bill in April of 2016.

Many patients who were prescribed the drugs to treat pain then moved onto the drug’s cheaper alternative, heroin, which comprised an increased proportion of such deaths. West Virginia, in particular, has been hit hard, with 700 people dying from opioid overdoses in 700, according to Manchin’s office.

What steps can be taken with respect to information required by § 800.402 to further facilitate CFIUS review?

What steps, though not required for a notice to be determined complete, may facilitate CFIUS review?