Purple Shovel, a Shipping or Weapons Company? Both

Purple Shovel has been around for a long while attempting contracts with the Coast Guard, the Navy and more recently with U.S. SOCOM.

See page 5 of this weapons and industry trade show for AFRICOM dated January 2014.

A marketing brochure: Providing global transportation and logistics services to the U.S. Government and select private sector clients

As you read through this summary and investigative piece by BuzzFeed, there are some familiar sounding State Department models being used reminiscent of Benghazi and Hillary buying weapons for the Transnational Fighters in Libya. One should also keep in mind that the State Department vets and approves contractors and forces them on the military. Hat-tip to BuzzFeed.

A multimillion-dollar deal with a minuscule arms dealer led to the death of a US citizen, delays in arming Syrian rebels, and the purchase of weapons from a pro-Russia dictatorship — all for a pile of defective 30-year-old weapons.

At the heart of the high-stakes U.S. program to train and equip Syrian rebels to fight ISIS is a multimillion-dollar arms deal that the Pentagon farmed out to a tiny, little-known private company called Purple Shovel LLC. A BuzzFeed News investigation, based on inside documents and confidential sources familiar with the Syria operation, has found:

▸ Purple Shovel, through the subcontractors it selected and oversaw, tried to sell the U.S. thousands of Russian-style rocket-propelled grenades that were considered unreliable because they were manufactured three decades ago, before Mikhail Gorbachev came to power in the Soviet Union.

▸ The U.S. government rejected them, and that delayed the effort to stand up the Syrian rebel force.

▸ An American contractor, 41-year-old Francis Norwillo, was killed in a weapons explosion in Bulgaria while training with such outdated grenades.

▸ The U.S. violated its own policy and gave Purple Shovel approval to acquire millions of dollars’ worth of high-tech missiles for the rebels from Belarus, a dictatorship that is under sanctions by the European Union. Belarus, which has supplied weapons to Syrian President Bashar al-Assad’s regime and is accused of human rights violations, is normally off-limits to U.S. arms dealers. But the U.S. military and State Department agreed to make an exception, allowing 700 powerful anti-tank missiles to be purchased, with U.S. taxpayer funds, for the rebels.

A Pentagon spokesperson defended its Train and Equip program in a statement to BuzzFeed News, saying, “We remain committed to expanding the New Syrian Forces and will continue to support those who we have trained.” She said the arms “delivery issues” identified in this story did not “prevent” training, though she said she would “not comment on delivery schedules.” A U.S. Special Operations Command spokesperson, Lt. Cmdr. Matthew Allen, acknowledged that the U.S. had acquired missiles from Belarus for the program.

A lawyer for Purple Shovel wrote that many of BuzzFeed News’ findings are incorrect. She declined to provide details because she said the firm is barred by federal law from discussing its Defense Department contracts. Purple Shovel’s CEO and founder, Benjamin Worrell, said in a brief telephone conversation, “I have absolutely no comment for you. I’m sorry.”

Purple Shovel’s arms contract is at the core of one of America’s top international priorities: thwarting ISIS, the extremist group that has seized large regions of Syria and Iraq, beheaded many of its captives, and helped fuel the ongoing exodus of refugees from Syria. Last year, President Barack Obama gave a primetime televised speech from the White House, calling on Congress to approve his $500 million program to train and equip moderate Syrian rebels. The program was to recruit moderate Syrians, vet them to ensure they weren’t infiltrators sent by ISIS or other groups, train them overtly using the U.S. military, and arm them. In December, Congress appropriated the funds.

Yet this July, eight months later, Secretary of Defense Ashton Carter testified that only 60 Syrians had been trained. Later, in a devastating blow, the Syrian commander trained by the Americans was captured along with some of his soldiers by Islamist rebels from the Jabhat al-Nusra group. And this week, the commander of Central Command, General Lloyd Austin, testified that only four or five of the U.S.-trained rebels were actually deployed and fighting ISIS.

While those fiascoes are known, the problems with Purple Shovel’s multimillion-dollar arms contract have not been reported until now, and they show that troubles with the high-profile effort run deeper than previously realized.

They also illuminate the murky world of arms-dealing contractors behind many of America’s efforts to prop up friendly fighting forces. The United States government is one of the biggest buyers of AK-47s and other Russian-designed weapons, pouring them into Iraq, Afghanistan, and other war-torn countries. The U.S. provides foreign weapons to groups it trains because fighters sometimes prefer them, because they can conceal U.S. links to an operation, and because they are inexpensive. As BuzzFeed News has reported, the Pentagon and the CIA sometimes use small, untested arms dealers to purchase the weapons.

A Tiny Firm Wins Big Contracts

Incorporated in Delaware in 2010, Purple Shovel was founded by Benjamin Worrell, who worked in Army counterintelligence from 1993 to 2001, according to military records. His company is designated as a Service-Disabled Veteran-Owned small business. His last assignment was with the 902nd Military Intelligence Group out of Fort Meade, Maryland. Military websites say the unit runs “full spectrum counterintelligence activities,” which include “detecting, identifying, neutralizing and exploiting foreign intelligence services, international terrorist threats and insider threats.”

From 2005 onward, according to his LinkedIn page, Worrell worked for the U.S. government and a series of contracting companies. He and his wife filed for personal bankruptcy in 2008, the year the financial crisis was cratering the economy. He reached an agreement with the bankruptcy court to discharge the debt, and federal court records show that his bankruptcy case was closed in July 2012. A Purple Shovel attorney, Margaret Carland, emailed that the bankruptcy was associated with medical costs and “is a private matter of no public news consideration.”

Purple Shovel’s big break came in December 2014, when it won two contracts totaling more than $50 million for the Syria program from the Special Operations Command, or SOCOM, which coordinates the activities of America’s most elite military units.

When Purple Shovel was awarded those crucial contracts, according to a federal procurement database, the company had just six employees and annual revenue of less than $2 million.

One contract, for $23.5 million, was not for guns, but rather for training and equipment. Over time, the contract came to include things like “Arabic keyboards,” and swelled to $31 million. Purple Shovel, records show, got this contract as a “sole source” award, meaning there was no competitive bidding — no other companies were able to try to get the work at a cheaper rate. Federal law typically discourages no-bid contracts, and the Pentagon declined to say why one was given in this case, though a federal procurement data system reported that it was because there was “only one source.” Still, according to a performance review Purple Shovel shared with BuzzFeed News, the government gave the company a glowing review of its work on this contract, which was completed at the end of July, calling the work “exceptional.”

The other big SOCOM contract was for approximately $26.7 million and was for “Foreign Weapons and Ammunition,” according to the description. In this case, federal records say Purple Shovel won the contract in a competitive bid against two other companies. This contract eventually worked its way up to $28.3 million.

The equipment Purple Shovel and its subcontractors were supposed to buy for the Syrian rebels, according to documents and sources familiar with the procurement operation in Bulgaria, included 12,640 armor-piercing rocket-propelled grenades, of a type called the PG-7VM, along with hundreds of shoulder-mounted launchers. Then there were 6,240 even longer-range anti-tank grenades called PG-9Vs, which are fired from launchers called SPG-9s. (Insiders pronounce it “spig-nines.”)

According to four sources with knowledge of the procurement, there was a huge problem with the effort to get the grenades. Purple Shovel’s subcontractors managed to find rocket-propelled grenades made by a Bulgarian company, but they’d been manufactured in 1984 and sitting in warehouses longer than many soldiers had been alive. “1984 is way past its shelf life,” one arms expert told BuzzFeed News, “unless it’s been refurbished.” But sources say these grenades had not been refurbished. The problem is that components can degrade, making the weapons either unstable, so they can blow up in a soldier’s hand­, or inert, so that soldiers can’t fire the weapons, leaving them vulnerable in battle.

Three of those sources said that SOCOM turned down batches of the grenades that were supposed to be given to the rebels, because they were too old and unreliable. They say that slowed down the operation for the Syrian rebel effort.

SOCOM and the Pentagon didn’t dispute that they rejected substandard equipment, but Cmdr. Elissa J. Smith, a Pentagon spokesperson, emailed BuzzFeed News, “I can tell you that the delivery issues did not prevent training from occurring.”

Meanwhile, Bulgarian arms dealers with knowledge of the deal told BuzzFeed News they are being asked to find newly manufactured rocket-propelled grenades for SOCOM to fill the gap in the Syria program. New weapons are hard to procure, Bulgarian arms industry executives said, because due to the wars around the world, production for Russian-designed grenades and other weapons in Bulgaria and other Eastern European countries has reached capacity. The production lines are full.

Death Of A Contractor

On June 6, the news broke in Bulgaria of a mysterious explosion near the village of Anevo, at a rented arms range just a few miles from a medieval mountain fortress. One American contractor was killed and two were injured. Two Bulgarians were also injured.

Soon afterward, the U.S. Embassy in the Bulgarian capital Sofia released a statement revealing the name of the Purple Shovel and its connection to the Syria operation.

The defense contractors involved in this incident are employees of the company Purple Shovel, which has been awarded a contract by U.S. Special Operations Command, at the request of U.S. Central Command, to support the Combined Joint Interagency Task Force-Syria (CJIATF-S). CJIATF-S is the organization tasked to administer the Coalition Syria Train and Equip program.

BuzzFeed News has learned that the man who lost his life was Francis Norwillo, a 41-year-old Navy veteran who was an expert armorer. Sources close to his family say that after leaving the Navy, where he had worked with Navy SEALs, Norwillo joined the ranks of the private military-contracting world.

This spring, he was based in Texas and looking for work. Sources say he was hired by SkyBridge Tactical, a subcontractor to Purple Shovel. His job, according to friends and family members who asked that they not be named, was training. They say he told them he would be in Bulgaria for a week and a half. There, sources say, Norwillo was supposed to receive training meant to familiarize him with the rocket-propelled grenades so that he would be prepared to train American soldiers who would, in turn, train the Syrian rebels.

He was killed, according to five sources and Bulgarian news accounts, when he fired a grenade that was old, manufactured in 1984.

The family was told little about the cause of the accident. “All we know is a weapon went off and he got blown up,” said Joe Norwillo, his father, in a phone interview from Texas. The Bulgarian government is conducting a probe, and the prosecutor’s office there told BuzzFeed News that it will be completed in December.

In her statement to BuzzFeed News, Purple Shovel’s lawyer wrote: “Mr. Norwillo’s death was a tragic accident. All of the questions you ask here must be asked of the US Government or the subcontractor who oversaw his actions.”

The SOCOM spokesperson, in an email, wrote that “we have not yet received an official report from the host government, which means we can’t know with certainty what occurred at the time of the incident.” Contradicting the U.S. Embassy statement, he added, “To the best of our knowledge, he was not supporting our contract when the incident took place.”

U.S. authorities said there is no American investigation into Norwillo’s death at this point.

SkyBridge Tactical, the subcontractor that employed Norwillo, declined to comment. The president, Stephen Rumbley, said that Norwillo’s family had been upset by BuzzFeed News’ calls: “If you hadn’t talked to the family to upset them I would talk to you. Write your blog. Do your thing. I’m not going to talk to you.”

Other companies were involved as subcontractors, according to sources and documents. Regulus Global, headquartered in Virginia, was Purple Shovel’s primary procurement subcontractor. It, in turn, arranged to buy the grenades from a Bulgarian firm, Algans Ltd.

In a brief interview, Regulus Global’s president, Lee Tolleson, said, “What we are doing for SOCOM is very good and very needed.” He declined further comment. Algans could not be reached for comment, and the firm did not respond to an email with detailed questions.

U.S. Buys Weapons From A Dictator

In addition to the rocket-propelled grenades, Purple Shovel was also contracted to acquire 700 Russian-designed Konkurs missiles for the Syria mission. Those are anti-tank weapons, which are guided in flight by an attached wire, and they can hit and destroy a target at up to two and a half miles away. In theory, they could be used to blast the heavy armor that ISIS had acquired by conquering U.S.-equipped units of the Iraqi army that fled. Or they could hit the heavily armored construction vehicles that ISIS jerry-rigs to bust through fortified lines.

But there was a problem: finding them on the worldwide arms market. Bulgaria, the source for most of the weapons for the Syria operation, didn’t have any. Ukraine is known to have some stored away but won’t sell because it is in a shooting war with Russian-backed rebels.

A country that has plenty is Belarus. But that country, often called “Europe’s last dictatorship,” is usually considered off-limits for arms dealers who work with the United States. President Alexander Lukashenko, a close ally of Russian President Vladimir Putin, has ruled with an iron fist for 21 years, and he has been accused of repeatedly stealing elections and of “disappearing” political opponents. This year, a United Nations special rapporteur found that “the situation of human rights in Belarus has not improved, and that widespread disrespect for human rights, in particular civil and political rights, continues.”

Ironically, along with Russia, Iran, and North Korea, Belarus was historically a major seller of arms to the Assad regime from 2006 to 2010, according to the Stockholm International Peace Research Institute, which tracks arms sales.

Belarus is on a special “International Traffic in Arms Regulations” list published by the U.S. State Department, of countries with bans or special restrictions. The State Department has to license almost every deal involving US companies, and arms dealers say they are almost always prohibited from buying weapons from Belarus, because it is on that list.

Still, Purple Shovel and its subcontractors turned to Belarus for the Konkurs missiles, according to five sources and SOCOM itself. Formally, the missiles would be acquired by Purple Shovel for SOCOM from a company in Bulgaria — but that company would get them from Belarus. Asked if it knew that the 700 Konkurs missiles specifically came from Belarus, the SOCOM spokesperson answered, “Yes. USSOCOM is required to know all sources of equipment procured for use.” SOCOM and the Office of the Secretary of Defense would not provide further comment on the issue. The U.S. State Department, which licenses private arms deals, also signed off on the transaction, sources say. The State Department declined to comment.

An official at the Military Industrial Committee of the Republic of Belarus, which coordinates military exports, told BuzzFeed News to send questions by email, but a subsequent email received no response.

At the Purple Shovel headquarters in at an office park in Sterling, Virginia, there’s a Purple Shovel logo on the mirrored front door. It shows a globe, a shovel formed from the letter “P,” and the words “Around the world, Around the clock.” Earlier this month, no one responded to repeated knocks on the door.

Aram Roston/BuzzFeed News

Check out more articles on BuzzFeed.com!

Aram Roston is an investigative reporter for BuzzFeed News and is based in Washington, D.C. His secure PGP fingerprint is D861 374F D725 4F61 39C0 08F1 4575 134B 09D9 B28D
Contact Aram Roston at [email protected].

 

 

 

Entire VA System Broken, Moment of Reckoning

Eric Shinseki could not fix it, Robert McDonald cant fix it, $60 billion cant fix it. The culture, the bureaucracy and leadership is at issue, either take it out of all government hands or put it into the Department of Defense. It may save a life or it may or it may restore a life.

Either way, a solution is at hand, the WILL to do it must be reckoned today.

VA Needs ‘Systemwide Reworking,’ Independent Report Finds
Congressionally mandated independent review of Veterans Affairs health-care system identifies widespread problems

WSJ: A sweeping independent review of the Department of Veterans Affairs health-care system made public Friday shows the multibillion-dollar agency has significant flaws, including a bloated bureaucracy, problems with leadership and a potentially unsustainable capital budget.

More than a dozen assessments—from analysts including Mitre Corp., Rand Corp. and McKinsey & Co.—show that the Veterans Heath Administration, the health-care arm of the department known as VHA, is still plagued by long-standing issues, including unsustainable costs in the future and a system that veterans find tough to navigate.

The assessments, weighing in at more than 4,000 pages total, were mandated by the Veterans Access, Choice and Accountability Act, commonly known as the Veterans Choice Act, a more than $16 billion emergency funding measure passed last summer in the wake of a systemwide scandal at the VA that led to the resignation of a number of top officials, including then-Secretary Eric Shinseki. They appear to restate, more thoroughly, many issues that have been previously identified. The assessments will be used by the Commission on Care, also mandated by the act, which is tasked with presenting the VA and Congress a comprehensive reform plan in early 2016.

“The report bears out collectively what I have seen individually, what I have seen in my role as chairman over the past nine months,” said Sen. Johnny Isakson (R., Ga.), chairman of the Senate Committee on Veterans’ Affairs. “There is a huge focus on some glaring deficiencies that need to be addressed.”
Mr. Isakson said the VA suffers especially from a system saddled with a number of different departments that can’t effectively talk with each other, as well as a number of vacancies in leadership positions that need to be filled, though he said the department has been working to correct a number of issues.

“VA is undergoing a radical transformation,” the department said in response to the findings, pointing out a number of efforts to address problems highlighted in the assessments. “VA will work with Congress, veterans service organizations, veterans, and other stakeholders on the recommendations outlined in the Independent Assessment Final Report. VA will especially work closely with Congress on those final report recommendations that specify specific congressional action needed to implement.”

The assessments found VA care outperformed non-VA care by many measures but also showed a system that needs even more change.

“The independent assessment highlighted systemic, critical problems,” the report said. “Solving these problems will demand far-reaching and complex changes that, when taken together, amount to no less than a systemwide reworking of VHA.”

With an annual budget of some $60 billion, 1,600 health-care sites and 300,000 employees, the VHA says it is the largest integrated health-care system in the U.S. Last year, nearly 6 million veterans were treated in the system.

The reports portray the VA as a huge operation that has become difficult to steer and permeated by a bureaucratic system plagued by mismanagement and inconsistent care from hospital to hospital.

“It’s pretty bad for VHA, it’s pretty stinging,” said a senior staff member of the Senate Committee on Veterans’ Affairs. “There’s nothing in here that has surprised me, but seeing it all in one place is probably the hardest thing.”

“They’ll push out a directive and they won’t follow-up to see how it’s implemented,” the congressional staffer said, adding that a large number of leadership positions in the organization remain unfilled or staffed by interim employees.

The report shows that the central office has grown 160% over the past five years, yet key leadership positions down the chain remain empty. More than half of the executives in the organization are eligible for retirement and could leave at any time, which could create even more leadership gaps.

The lengthy and critical reports come as the VA faces questions over whether it should allow more veterans to go outside of the system to receive private care. Recently, according to the assessments, health care obtained outside of the VA accounts for about 10% of VHA expenditures. The Veterans Choice Act of last year was built in large part around funding this type of care.

Questions about further privatization were highlighted recently when Ben Carson, a leading Republican presidential candidate and physician, suggested the VA make a push toward privatization and elimination of the VHA, its health-care delivery arm.

Earlier this week, a number of major veterans groups sent an open letter to Mr. Carson stressing the need to keep the VHA solvent.

The assessments released Friday unfavorably compared the VA’s management style to a number of private health-care providers like Kaiser Permanente.

Sen. Isakson said the Veterans Choice Act, which allows veterans more leeway in seeking care outside the VA, was an emergency measure and not something meant to steer the VA down a privatized path. “The Choice program, contrary to what everyone thought, was not a sinister program to privatize the VA.”

Robert McDonald, who took over as VA secretary last summer, has been praised by many in Congress as well as most major veterans groups for his efforts to reform the VA and his willingness to listen to patients and workers. But he has also been criticized for things like moving too slowly in firing underperforming employees and not supporting efforts to create an environment where employees can point out wrongdoing in the department. Mr. McDonald has said multiple times in the past that he is forcing out bad actors as quickly as possible.

“As a general matter, the president has made it a priority to ensure that America’s veterans are getting the kind of health care and benefits they have so richly earned,” White House press secretary Josh Earnest said Friday, saying he had not seen the substance of the report.

Mr. Earnest said that some of the reforms at the VA have already begun to show progress in improving care.

“But the president, Secretary McDonald and other senior officials at the VA are not going to rest until we have accomplished our goal of making sure that all our veterans are getting the kind of care that they deserve, on time,” Mr. Earnest said.

On Thursday, the U.S. Office of Special Counsel, an independent federal watchdog tasked with protecting government employees, especially whistleblowers, sent a letter to President Barack Obama criticizing what they said was the VA’s reluctance to take disciplinary action against officials responsible for inadequate patient care.

“I have identified recent additional cases in which the VA confirmed serious misconduct brought to light by whistleblowers, yet failed to appropriately discipline responsible officials,” said Carolyn Lerner, the head of the office. Her office criticized the VA for punishing whistleblowers while not punishing those who engaged in misconduct.

“Over the past year, the Department of Veterans Affairs has worked closely and in good faith with the Office of Special Counsel to correct deficiencies in the department’s processes and programs to ensure fair treatment for any whistleblower who raises a hand to identify a problem, make a suggestion or report what may be a violation in law,” the department said in a statement.

Access to VA care has increased dramatically since the mid-1990s, the report said, as changes in policy opened up the system to include not just combat-wounded veterans but many others who have served. Former Secretary Shinseki pushed to have veterans take advantage of their benefits and increased access to those like Vietnam veterans exposed to Agent Orange.

Although the VA has other departments, including a benefits arm, the VHA accounts for nearly 90% of the department’s discretionary budget and employee base. While the total population of veterans in the U.S. peaked around 1980 at 30 million and has declined since then, according to the report, demand for VA care has been steadily increasing as greater numbers of vets take advantage of benefits. The number of enrollees and patients isn’t expected to peak until 2019.

What Trump Should have Said During Townhall

In his own words, the Muslim Brother:

“I will stand with the Muslims should the politicall winds shift in an ugly direction”, page 261 of his book: The Audacity of Hope

Written by Mike Gallagher, an American radio host and conservative political commentator.  He is the host of The Mike Gallagher Show.

Many listeners have asked about the,  “Obama: It Was You,” essay that someone sent me. Here it is:

President Obama: This is why you didn’t go to France to show solidarity against the Muslim terrorists:

It was you who spoke these words at an Islamic dinner – “I am one of you.”

It was you who on ABC News referenced – “My Muslim faith.”

It was you who gave $100 million in U.S. taxpayer funds to re-build foreign mosques.

It was you who wrote that in the event of a conflict -“I will stand with the Muslims.”

It was you who assured the Egyptian Foreign Minister that – “I am a Muslim.”

It was you who bowed in submission before the Saudi King.

It was you who sat for 20 years in a Liberation Theology Church condemning Christianity and professing Marxism.

It was you who exempted Muslims from penalties under Obamacare that the rest of us have to pay.

It was you who purposefully omitted – “endowed by our Creator” – from your recitation of The Declaration Of Independence.

It was you who mocked the Bible and Jesus Christ’s Sermon On The Mount while repeatedly referring to the ‘HOLY’ Quran.

It was you who traveled the Islamic world denigrating the United States Of America.

It was you who instantly threw the support of your administration behind the building of the Ground Zero Victory mosque overlooking the hallowed crater of the World Trade Center.

It was you who refused to attend the National Prayer Breakfast, but hastened to host an Islamic prayer breakfast at the WH.

It was you who ordered Georgetown Univ. and Notre Dame to shroud all vestiges of Jesus Christ BEFORE you would agree to go there to speak, but in contrast, you have NEVER requested that the mosques you have visited adjust their decor.

It was you who appointed anti-Christian fanatics to your Czar Corps.

It was you who appointed rabid Islamists to Homeland Security.

It was you who said that NASA’s “foremost mission” was an outreach to Muslim communities.

It was you who as an Illinois Senator was the ONLY individual who would speak in favor of infanticide.

It was you who were the first President not to give a Christmas Greeting from the WH, and went so far as to hang photos of Chairman Mao on the WH tree.

It was you who curtailed the military tribunals of all Islamic terrorists.

It was you who refused to condemn the Ft. Hood killer as an Islamic terrorist.

It is you who has refused to speak-out concerning the horrific executions of women throughout the Muslim culture, but yet, have submitted Arizona to the UN for investigation of hypothetical human-rights abuses.

It was you who when queried in India refused to acknowledge the true extent of radical global Jihadists, and instead profusely praised Islam in a country that is 82% Hindu and the victim of numerous Islamic terrorists assaults.

It was you who funneled $900 Million in U.S. taxpayer dollars to Hamas.

It was you who ordered the USPS to honor the MUSLIM holiday with a new commemorative stamp.

It was you who directed our UK Embassy to conduct outreach to help “empower” the British Muslim community.

It was you who embraced the fanatical Muslim Brotherhood in your quest to overthrow the Egyptian President, Hosni Mubarak.

It was you who funded mandatory Arabic language and culture studies in Grammar schools across our country.

It is you who follows the Muslim custom of not wearing any form of jewelry during Ramadan.

It is you who departs for Hawaii over the Christmas season so as to avoid past criticism for NOT participating in seasonal WH religious events.

It was you who was un-characteristically quick to join the chorus of the Muslim Brotherhood to depose Egypt’s Hosni Mubarak, formerly America’s strongest ally in North Africa; but, remain muted in your non-response to the Brotherhood led slaughter of Egyptian Christians.

It was you who appointed your chief adviser, Valerie Jarrett, an Iranian, who is a member of the Muslim Sisterhood, an off-shoot of the Muslim Brotherhood.

The above provides the basis for virtually everything Obama does. There are more examples, but one deadly fact, the Obama administration called the murders of Nidal Hassan ‘work place violence’ and never uttered a word at the beheading of the woman in Oklahoma by a Muslim.

 

 

Census Bureau, Fleecing Taxpayers

It was immediate in the Obama administration that the White House took control, the first time ever of the Census Bureau. The motivation for that decision will be under scrutiny and debated for a long time, but the fleecing of the taxpayer seeped into that agency as well.

John Fund, WSJ: President Obama said in his inaugural address that he planned to “restore science to its rightful place” in government. That’s a worthy goal. But statisticians at the Commerce Department didn’t think it would mean having the director of next year’s Census report directly to the White House rather than to the Commerce secretary, as is customary. “There’s only one reason to have that high level of White House involvement,” a career professional at the Census Bureau tells me. “And it’s called politics, not science.”

The decision was made last week after California Rep. Barbara Lee, chair of the Congressional Black Caucus, and Hispanic groups complained to the White House that Judd Gregg, the Republican senator from New Hampshire slated to head Commerce, couldn’t be trusted to conduct a complete Census. The National Association of Latino Officials said it had “serious questions about his willingness to ensure that the 2010 Census produces the most accurate possible count.”

Anything that threatens the integrity of the Census has profound implications. Not only is it the basis for congressional redistricting, it provides the raw data by which government spending is allocated on everything from roads to schools. The Bureau of Labor Statistics also uses the Census to prepare the economic data that so much of business relies upon. “If the original numbers aren’t as hard as possible, the uses they’re put to get fuzzier and fuzzier,” says Bruce Chapman, who was director of the Census in the 1980s.

Mr. Chapman worries about a revival of the effort led by minority groups after the 2000 Census to adjust the totals for states and cities using statistical sampling and computer models. In 1999, the Supreme Court ruled 5-4 in Department of Commerce v. U.S. House that sampling could not be used to reapportion congressional seats. But it left open the possibility that sampling could be used to redraw political boundaries within the states. More here.

Watchdog finds widespread fraud at U.S. Census Bureau

WashingtonExaminer: Dozens of government employees at the U.S. Census Bureau have been billing taxpayers for time they never actually worked, wasting more than $1 million.

The 40 officials were supposed to be performing background checks on the census personnel who walk door-to-door throughout the country to collect information about Americans. Instead, they “engaged in pervasive misconduct over several years,” according to an investigation by the Commerce Department’s inspector general.

The watchdog found at least one employee in the Census Bureau’s employment office who “used his official position as a personal hiring vehicle for friends and their families.”

That employee, who was not identified, “was involved in a sexual relationship” with a contractor he personally interviewed, hired and supervised.

He also launched a year-long campaign to get a job at the Census Bureau for his friend’s son, an effort that was apparently unsuccessful.

The inspector general found that dozens of employees claimed to have worked at least 19,162 hours during which they actually did not work at all between 2010-14. The “time and attendance abuse” drained nearly $1.1 million.

But after a whistleblower alerted the agency watchdog to the billing scheme, census officials attempted to “intimidate” anyone who was cooperating with the inspector general investigation.

Another unnamed employee repeatedly called the whistleblower a “coward” and a “chickens—,” among other names.

“At an office social event held for a [census employment office] employee, this employee held a knife in his hand to cut the cake and, while making a stabbing motion with his arm, said something to the effect of, ‘This is for who went to the OIG!'” the inspector general said.

Other employees of the office lied to investigators from the watchdog’s office, violating federal laws that bar officials from making false statements to inspectors general.

Beyond the widespread misconduct, the watchdog found “disturbing” evidence that many staff members were not performing adequate background checks on the prospective employees and contractors of the Census Bureau. For example, the inspector general discovered the staff had shared among themselves their boss’ password, allowing them to sign off on their own work rather than have it verified by management.

John Thompson, director of the Census Bureau, said in a statement the employees implicated in the watchdog report “are being placed immediately on administrative leave pending further action.”

“The employee misconduct detailed in the recent Department of Commerce Inspector GeneraI’s report is inexcusable and will not be tolerated,” Thompson said. “Any employees who allegedly falsified timesheets and betrayed the trust of the American public will be held personally accountable to the fullest extent of the law, including possible termination.”

 

Those Hanging with Hillary Campaign, Those Bailing

Who exactly was reviewing the speaking invitations for Bill Clinton at the State Department and what was the criteria for acceptance or declining, if ever?

Bill Clinton mulled speaking request for company later charged by SEC

Washington (CNN)President Bill Clinton’s aides once explored the possibility of him addressing a lavish energy conference, whose sponsor the Securities and Exchange Commission later accused of using a Ponzi-like scheme to obtain the money to cover the $200,000 speaker fee. The possibility of Clinton’s participation in the event was discussed in an email from Clinton staff to a State Department official obtained by CNN.

Instead, Clinton’s successor, President George W. Bush, spoke at the September 2012 event, billed as a “U.S. China Energy Summit.”

The company, Luca International, and its top executives are now the subject of a lawsuit alleging securities fraud brought by the SEC in July. The complaint alleges that Luca misspent millions in foreign investor funds for improper purposes, including the summit, an all-expenses-paid golf junket to Pebble Beach, California, designed to recruit more Asian investors to the company.

An email provided to the conservative group Citizens United, obtained by CNN, shows Clinton was initially presented with the offer to speak at the conference and his staff sought permission from the State Department to accept the invitation and its $200,000 speaker fee. Citizens United received the email as part of a lawsuit under the Freedom of Information Act for correspondence between the Clinton Foundation and Hillary Clinton’s top aides.

“Would (the U.S. government) have any concerns about (Bill Clinton) taking this and directing the proceeds to the Clinton Foundation?” a Bill Clinton staffer asked several top advisers to then-Secretary of State Hillary Clinton in June 2012.

Both Clinton’s staff and Don Walker, president of the Harry Walker Agency, the speaking agency booking engagements for Bill Clinton, expressed concerns about the request even as the foundation presented it to Hillary Clinton’s chief of staff, Cheryl Mills. More here.

Clinton 2013 dates, places and speaking fees:

That pesky Clinton Foundation never seems to be out of the headlines either.

Obama admin, big businesses abandon Clinton Global Initiative: Column

Amid controversy, slipping polls, the non-profit arm of the Clinton dynasty is no longer a safe bet

 

More bad news for the Clintons. With Hillary’s presidential campaign slipping in the polls against Sen. Bernie Sanders and facing a potential fresh challenge from Vice President Joe Biden, six giants of the corporate world are bailing out on the Clinton Global Initiative.

On Sept. 26, CGI, a branch of the Clinton Foundation, convenes its 11th annual meeting with a star-studded cast. Bill and Chelsea Clinton will be joined by Ashley Judd, Charlize Theron, Edward Norton, Ted Danson, Tina Brown, Neil deGrasse Tyson, Sir Richard Branson, Bill Gates and George Soros. What will be missing is more than a million dollars from a who’s who of corporate behemoths that sponsored the meeting last year. Six high-profile firms ended their cash donations, to be replaced with only one similar high-profile corporate donor so far.

USA TODAY has confirmed that sponsors from 2014 that have backed out for this year include electronics company Samsung, oil giant ExxonMobil, global financial firms Deutsche Bank and HSBC, and accounting firm PwC (PricewaterhouseCoopers)Hewlett-Packard, which just announced major layoffs, will be an in-kind donor instead of a cash contributor, and the agri-chem firm Monsanto has cut back its donation. Dow‘s name is missing from the donor list as well, but the chemical company’s exit is not confirmed.

High-profile corporations might not be the only key supporters backing away from association with the Clinton family’s charitable arm. In 2014, eight national leaders, kings, presidents and prime ministers, appeared on the program for CGI’s annual meeting, including the president of the United States and the prime minister of Japan. This year, only leaders from Colombia and Liberia are currently on the program.

The Obama administration is backing away as well. In 2014, the cabinet officials heading the Environmental Protection Agency and the Department of Commerce, as well as key White House adviser Valerie Jarrett spoke at the conference. This year no Obama administration appointees as prominent are on the program.

In emails, Craig Minassian, chief communications officer of CGI, said that more speakers and sponsors are yet to be announced. The event will be attended by nearly two dozen heads of state. “Revenue is actually slightly better than last year … so there isn’t a decline in support,” he wrote.

Unless there is a sudden surge in high-profile corporate support in the coming days, the exodus of well-recognized brands could represent a setback for the Clinton campaign’s effort to maintain an aura of inevitability. Questions about ill-considered private email use while secretary of State and about the former first lady’s honesty already dog her efforts in Iowa and New Hampshire, where she is no longer considered a sure winner.

The corporate skittishness could be driven by a politically toxic atmosphere around the charity. Controversy over foreign donations to the Clinton Foundation while Clinton was secretary of State has tarnished the globally prominent foundation’s reputation. Some reporting has raised concerns that corporations and foreign governments were trying to curry favor with Clinton in an effort to influence government decision-making. The sluggish global economy could be a factor as well.

In any case, the corporate pullouts can’t be a morale builder for Team Clinton, where personnel have shifted freely among campaigns, government service and the family foundation.

It is not all bad news. According to the foundation website, Microsoft has increased its donation to the event and well-known retailer GAP, Inc. has joined the roster, but other names signing on are unknown to most Americans: Consolidated Contractor Company, a Middle East construction firm; Delos, a real estate company; and Cheniere, a natural gas pipeline and terminal company.

As in years past, a number of widely known corporate brands are sticking with sponsorship of the Clinton event. Barclays, CocaCola, P&G, Cisco, Goldman Sachs and Western Union remain sponsors, as they were in 2014. Senior executives from other companies, including Sodexo and Unilever, will appear on stage. And non-profit support for the event has not dropped off.

A Clinton Foundation official told USA TODAY that the changes in sponsorship are not out of the ordinary and that this is not a new trend. But the high-profile turnover appears greater than usual. Last year, Samsung, Monsanto, PWC, HSBC and Blackstone were added as sponsors of the CGI meeting, while Duke Energy, Pfizer, Booz Allen, ApCo Worldwide and Toyota left. The companies that joined tended to donate at higher levels. For example, HSBC joined at the $1 million “Convening Sponsor” level, while Booz Allen, Toyota and Pfizer ended donations at the lowest level of giving, “Meeting Sponsor,” representing donations of $250,000.

It’s a long way until Election Day, but the corporate rejections are another sign that all is not well for Clinton Inc.