Category Archives: Foreign Assistance

USAID Afghanistan — SIGAR, OIG Investigates Second Largest Recipient of Reconstruction Funds

– Domani Spero  

Via SIGAR – Snapshot of Top Ten Recipients of USAID Funds in Afghanistan Reconstruction (2002-2013):

Our analysis of USAID data indicated that the top ten implementing partners in total awards accounted for about $7.7 billion, or 58 percent of total obligations. The remaining 42 percent of obligations were awarded to a total of 193 implementers who averaged $29 million in total awards. The World Bank was the top overall recipient of USAID funds in Afghanistan, with total awards equal to approximately $1.75 billion. USAID provided $1.74 billion to the Afghanistan Reconstruction Trust Fund (ARTF), which is administered by the World Bank, and awarded the Bank a $2 million grant for a project supporting business environment reform in Afghanistan. International Relief and Development, Inc. (IRD) received the second highest amount of total rewards at approximately $1.1 billion. Table 2 shows the top ten recipients by total obligation as reported by USAID. Figure 3 demonstrates the percentage of total USAID reconstruction awards received by each of the top ten recipients.

via SIGAR

via SIGAR

Via SIGAR

Via SIGAR

 

International Relief and Development, Inc. (IRD), number #2 on the list above is the subject of a recent WaPo investigation on Big budgets, little oversight in war zones. Quick notes from the report:

  • International Relief and Development increased its annual revenue from $1.2 million to $706 million, most of it from the USAID.
  • The nonprofit rewarded its employees with generous salaries and millions in bonuses. 38 IRD employees received more than $3.4 million in bonuses during the same period, according to the company’s tax filings.
  • IRD’s impressive board of advisers included former House majority leader Richard A. Gephardt and John D. Negroponte, who served as ambassador to several countries, including Iraq, and was the nation’s first director of national intelligence.
  • The company hired an all-star cast of humanitarian officials, drafting them from the top levels of USAID. In addition to the former acting administrator, the officials have included the deputy assistant administrator, the director of contracts and a key operations officer. According to WaPo, it has hired at least 19 employees from USAID. “Several of them came directly from their desks at the agency to occupy important posts at the company.”
  • As acting director of USAID, Alonzo Fulgham made $199,418. As vice president of IRD, he received $330,000. Jeffrey Grieco made $185,000 as the top public affairs official at USAID. As chief of public affairs at IRD, he received $225,000.

According to WaPo, the Special Inspector General for Afghanistan Reconstruction John F. Sopko had opened an investigation into allegations of “significant waste and mismanagement” and “kickbacks and bribery by IRD senior employees over a road project, which wound up costing $317 million.

We understand that SIGAR is also investigating IRD for  attempting to “use confidentiality agreements as a way of prohibiting its employees from making critical statements about IRD to “funding agencies” or “officials of any
government.” 

Via WaPo:
Some of the people who might know the most about what has happened with IRD-run programs — former company employees — say they have been barred from speaking about their experiences. Before leaving IRD, they said, they were asked to sign confidentiality agreements.

The agreements warn employees that they could be sued for making any “derogatory, disparaging, negative, critical or defamatory statements” about IRD to anyone, including “funding agencies” or “officials of any government.” Lawyers who reviewed the agreements at the request of The Post said it appeared that they could violate federal protections afforded to whistleblowers under the False Claims Act.

[Read a copy of the confidentiality agreement.]

In a letter to IRD, SIGAR Sopko writes that “IRD’s policy of prohibiting employees fiom informing government officials of critical information appears to violate the False Claims Act, 31 U.S.C. §§ 3729-3733, federal whistleblower statutes, and the Federal Acquisition Regulation. … The threat of retaliation for reporting problems to oversight agencies is all too real. I am simply not willing to tolerate an attempt to institutionalize employee intimidation. Therefore, I am initiating an inquiry into these allegations.”

SIGAR had also asked USAID to consider inserting a provision in all future contracts, cooperative agreements, and grant agreements for Afghanistan reconstruction that forbids the recipients of federal funds from using confidentiality agreements that prohibit their employees from talking to U.S. government officials.

Meanwhile at USAID/OIG — a “well-placed government source” told devex.com that the agency’s watchdog has been conducting an investigation into IRD for “months.” Devex.com reports that Bill Pierce, who serves as a spokesperson for IRD, told Devex that he was not aware of an OIG investigation that had been going on for months. 

* * *

Enhanced by Zemanta
About these ads

Leave a comment

Filed under Afghanistan, Contractors, Follow the Money, Foreign Assistance, Snapshots, U.S. Missions, USAID

Snapshot: Top Sectors for State Dept Reconstruction Awards in Afghanistan (2002-2013)

– Domani Spero

Via SIGAR:

We identified seven project sectors for Department of State reconstruction awards in Afghanistan. The project sectors include mine removal, governance and rule-of-law, support to cultural activities and civil society, education, humanitarian aid, human rights, and economic development. The governance and rule-of-law project sector had the highest amount of total awards with $3.5 billion, of the $4.0 billion in total awards. Governance and rule-of-law projects include rule-of-law activities such as counternarcotics programs and justice sector reform, peacekeeping initiatives, and government outreach programs. Land mine removal programs had the second-largest proportion of total awards with $150.7 million. Table 1 includes the total awards for each identified project sector as well as the percentage of total awards.

 

Screen Shot 2014-04-22

Read more here (pdf).

 

* * *

 

 

 

 

 

 

Enhanced by Zemanta

Leave a comment

Filed under Afghanistan, Awards, Counting Beans, Follow the Money, Foreign Assistance, Foreign Policy, Govt Reports/Documents, Snapshots, State Department, U.S. Missions, Uncategorized, US Embassy Kabul

Snapshot: Top Recipients of State Dept Afghanistan Reconstruction Funds (2002-2013)

–Domani Spero

Via SIGAR:

State data indicated that the top-five recipients of State Afghanistan reconstruction awards by total obligations accounted for approximately $3.5 billion, or 87 percent, of total State reconstruction obligations. State awarded the remaining 13 percent of obligations to 766 recipients,who averaged about $676 thousand each in total obligations.

The top recipient of State reconstruction funding by total awards was Dyncorp International Limited Liability Corporation (Dyncorp). Dyncorp received approximately $2.8 billion in contracts, accounting for 69 percent of total State Department reconstruction awards. The majority of Dyncorp contracts were for governance and rule-of-law activities such training and equipping the Afghan National Police. Dyncorp contracts included police trainers, construction of police infrastructure, and fielding police equipment and vehicles. PAE Government Services Incorporated (PAE) received the second largest amount of total State reconstruction awards, receiving $598 million in contracts. PAE contracts supported development of the rule of law, including police training, counter narcotics advising, and justice sector development.

Of the total reported awards between the beginning of fiscal year 2002 and March 2013, 98 percent of awards by total value were scheduled to be complete by the end of calendar year 2013.

Screen Shot 2014-04-22

According to SIGAR, the U.S. Congress appropriated $96.57 billion between fiscal year (FY) 2002 and FY 2013 for Afghanistan reconstruction, principally for the Departments of Defense (DOD) and State (State) and the United States Agency for International Development (USAID). SIGAR analysis of Department of State data indicates that State obligated nearly $4 billion for reconstruction in Afghanistan between the beginning of fiscal year 2002 and March 2013.

Read more here (pdf).

* * *

 

 

Enhanced by Zemanta

Leave a comment

Filed under Afghanistan, Counting Beans, Follow the Money, Foreign Assistance, Foreign Policy, Govt Reports/Documents, State Department, U.S. Missions, US Embassy Kabul

Cuban Twitter: Short Message Service for Displaced People in the Northwest Frontier of Pakistan?

– Domani Spero

The month of April started off with a bang for USAID!  We saw the Twitter Cubano story first, and then there’s USAID’s reportedly $1billion a year “DARPA-like” innovation lab.  Also SIGAR John Sopko accused USAID of cover up in Afghanistan. And no, USAID Administrator is not going to New Delhi as the next US Ambassador to India. We were seriously intrigued by  the ZunZuneo story, the secret Cuban Twitter reported by the Associated Press. Can you blame us?

 

We thought the Associated Press did a great investigative piece. Sorry, we are not convinced that this was ‘breathlessly written.’

In July 2010, Joe McSpedon, a U.S. government official, flew to Barcelona to put the final touches on a secret plan to build a social media project aimed at undermining Cuba’s communist government.

McSpedon and his team of high-tech contractors had come in from Costa Rica and Nicaragua, Washington and Denver. Their mission: to launch a messaging network that could reach hundreds of thousands of Cubans. To hide the network from the Cuban government, they would set up a byzantine system of front companies using a Cayman Islands bank account, and recruit unsuspecting executives who would not be told of the company’s ties to the U.S. government.

McSpedon didn’t work for the CIA. This was a program paid for and run by the U.S. Agency for International Development, best known for overseeing billions of dollars in U.S. humanitarian aid.

For a look on how much the U.S. Government spent on Cuban Democracy between 1996-2011, see a snapshot of the funding here.

In an interview with Popular Science, USAID’s Administrator, Rajiv Shah, who led USAID through the program, defended it.

“One of the areas we work in is in the area of rights protection and accountability,” Shah said. The highest-level official named in the AP documents is a mid-level manager named Joe McSpedon.

But Shah—despite the fact that the program was unknown to the public—said the idea that ZunZuneo was a covert operation is “inaccurate,” and pointed out that there are other USAID programs that require secrecy, such as protecting the identities of humanitarian workers in Syria. “These projects are notified to Congress and the subject of a thorough accountability report,” he said.

 

The AP story mentions two USAID connected companies: Creative Associates International as contractor and Denver-based Mobile Accord Inc. as one of the subcontractors.

According to Denver Business Journal, Mobile Accord is the parent organization of the mGive business, which helps nonprofits raise donation via text message, and of the GeoPoll business handling opinion surveys in developing nations.

The Guardian reports that the money that Creative Associates spent on ZunZuneo was “publicly earmarked for an unspecified project in Pakistan, government data show. But there is no indication of where the funds were actually spent.”

So we went digging over at USASpending.gov. The first contract we located is a State Department contract with Mobile Accord in the amount of $969,000 and signed on September 18, 2009.  The contract description says: “Short Message Service Support to Be Provided to Displaced People in the Northwest Frontier of PAKISTAN.”

Screen Shot 2014-04-04

 

The second contract also with Mobile Accord in the amount of $720,000 was signed in July 8, 2010:

Screen Shot 2014-04-04

So if Twitter Cubano was not a “covert”operation, what’s this over $1.6 million contract between the State Department and Mobile Accord for the Northwest Frontier Pakistan about?  The folks who prepared this data for USASpending.gov did not really intend to be inaccurate with this public information, right?  They just inadvetently spelled ‘Cuba’ as ‘Northwest Frontier Pakistan.’

And this is the official version of  ‘truth in reporting”as public service? What you don’t know can’t harm you?

If this money actually went to Twitter Cubano, and was hidden in plain sight, how are we to believe the accuracy of the data we see on the USASpending website?

Where else do we have similar projects for democracy promotion and/or regime change if possible, do you know?

* * *

 

 

 

 

 

 

 

 

 

 

Enhanced by Zemanta

1 Comment

Filed under Budget, Congress, Counting Beans, Follow the Money, Foreign Affairs, Foreign Assistance, Foreign Policy, Govt Reports/Documents, Huh? News, Pakistan, Social Media, State Department, Technology and Work, USAID

US Embassy Kuala Lumpur on Malaysia Airlines Flight #MH370, USS Pinckney to Join Search Efforts

- Domani Spero

On March 8, Malaysia Airlines released a statement that it is still unable to establish any contact or determine the whereabouts of flight MH370. Other details below:

  • Subang ATC had lost contact with the aircraft at 2.40am. The last known position of MH370 before it disappeared off the radar was 065515 North (longitude) and 1033443 East (latitude).
  • MH370 is a Boeing 777-200 aircraft on a code share with China Southern Airlines. It departed Kuala Lumpur at 12.41 am today for Beijing. The aircraft was scheduled to land at Beijing International Airport at 6.30am local Beijing time. The flight had a total number of 227 passengers and 12 crew members. The passengers were from 14 different countries, most of whom are from China.
  • An international search and rescue mission was mobilized this morning. At this stage, our search and rescue teams from Malaysia, Singapore and Vietnam have failed to find evidence of any wreckage.
  • For the passenger manifest of MH370, click here.

The U.S. Embassy in Kuala Lumpur released the following statement regarding the missing plane. (full statement here):

The U.S. Embassy is closely following the developments regarding Malaysia Airlines flight #MH370. We extend our thoughts and prayers to the loved ones of those on board the Malaysia Airlines flight.

At this time, we can confirm that three U.S. citizens were on board.  We are in contact with the individuals’ families.  Out of respect for them, we are not providing additional information at this time. We are working to assess whether additional U.S. citizens may have been on board the flight.
[...]
Malaysia Airlines has established dedicated phone numbers for family members and friends of passengers to contact the airline directly for information.  Family and friends should contact the airline at +603 8787 126 or +603 87871629.  The airline is also providing updates to the general public on its website, http://www.malaysiaairlines.com/hq/en.html.

US Embassy KL also announced that USS Pinckney has been sent to assist in the search efforts:

The United States Navy Seventh Fleets is sending the USS Pinckney, along with a P-3C aircraft to assist in search efforts. The USS Pinckney (DDG 91), an Arleigh Burke-class guided-missile destroyer, is en route to the southern coast of Vietnam to aid in the search efforts.  The ship could be in vicinity of the missing jet within 24 hours and carries two MH-60R helicopters which can be equipped for search and rescue.  In addition, A P-3C Orion aircraft will also depart shortly from Kadena Air Base in Okinawa, Japan bringing long-range search, radar and communications capabilities to the efforts.

The Arleigh Burke-class guided-missile destroyer USS Pinckney (DDG 91) transits San Diego Bay. Pinckney helps provide deterrence, promote peace and security, preserve freedom of the seas, and humanitarian/disaster response within U.S. 3rd Fleet's 50-million square mile area of responsibility in the eastern Pacific. (U.S. Navy photo by Mass Communication Specialist Seaman Todd C. Behrman/Released)

The Arleigh Burke-class guided-missile destroyer USS Pinckney (DDG 91) transits San Diego Bay. Pinckney helps provide deterrence, promote peace and security, preserve freedom of the seas, and humanitarian/disaster response within U.S. 3rd Fleet’s 50-million square mile area of responsibility in the eastern Pacific. (U.S. Navy photo by Mass Communication Specialist Seaman Todd C. Behrman/Released)

According to the U.S. Navy, USS Pinckney was conducting training and maritime security operations in international waters of the South China Sea.

Also, U.S. officials are reportedly investigating terrorism concerns after two people listed as passengers on the missing Malaysia Airlines jet turned out not to be on the plane and had reported their passports stolen in Thailand.

The passports stolen were from nationals of Italy and Austria; both countries are in the U.S. visa waiver program.

* * *

 

Enhanced by Zemanta

Leave a comment

Filed under Americans Abroad, Consular Work, Defense Department, Disasters, Foreign Assistance, Foreign Service, U.S. Missions

If True That Foreign Diplomats in the U.S. Are “Eligible” for Medicaid — That’s Absolutely Bonkers!

– Domani Spero

In early December, Preet Bharara, the United States Attorney for the Southern District of New York, and George Venizelos, the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced charges against 49 current or former Russian diplomats or spouses of diplomats employed at the Russian Mission in the United States for participating in a widespread fraud scheme from 2004 to August 2013 to illegally obtain nearly
$1.5 million dollars in Medicaid benefits. (See 49 Russian Diplomats/Spouses Charged With Picking Uncle Sam’s Pocket in Medicaid Scam).

On December 6, during the Daily Press Briefing, the State Department deputy spokesperson, Marie Harf said this:

“We routinely inform all foreign missions in the U.S. – most recently we did this in November – that we expect their personnel to maintain health insurance coverage. So under U.S. law, nonimmigrants, which diplomats fall under in this case, who meet certain eligibility criteria may apply for and receive federally funded medical care.”

Whaaat?!

Lest we get all excited, this is the same spokesperson, of course, who could not say what appropriate consular assistance is provided when an American citizen dies abroad.  Or who says from the podium that “It’s not for any State Department official to sign off on any arrests, right, even regarding a foreign diplomat.”  Whoops!  (We heard that the Special Agents of the Diplomatic Security Service toppled over in their swivel chairs when the clip aired on YouTube).

Then on December 14, UPI reported that “Russia’s Foreign Minister Sergei Lavrov said “some of the diplomats accused of glomming on to the U.S. healthcare system were actually entitled to do so.”

Entitled to do so?  As in  a legal right or a just claim to receive it?

On December 16, Interfax also reported that Moscow is “already taking disciplinary measures in relation to the Russian diplomats accused in the U.S. of unlawfully receiving Medicaid benefits to cover the pregnancy and childbirth costs.”

The report quotes Russian Foreign Minister Lavrov saying, “This is a disciplinary offence, because, by being insincere in filing applications and citing inaccurate figures to receive some benefits, they violated the host country’s norms and rules, which a diplomat has no right to do. I’d like to stress once again: they are being subjected and will be subjected to disciplinary action.”  Now, the same report repeats this notion that some of the Russian diplomats were “entitled” to apply for such assistance due to their low income:

“We have looked into this. First, the allegation that none of them was entitled to this because they are foreigners is wrong. There are different laws in various states of the U.S. that allow for using Medicaid benefits by foreigners. Second, it is not quite true that the Russian diplomats’ incomes did not make them eligible for receiving such payments through Medicaid,” he said.

“We have studied the files of the said colleagues, and it turned out that at least some of them had salaries that entitled them to apply for such assistance from the U.S. fund at that moment. 

How bonkers is that?  That American taxpayers are subsidizing the health care cost of foreign diplomats in the United States.  Which part of this makes sense? Medicaid is a federally funded program designed to assist low-income families afford health care. And in this case, if the allegations are true, Russian diplomats took public assistance that would have been  helpful to low income Americans.

The big question now is — can we also call this foreign aid?

Screen Shot 2013-12-26

Extracted from Medicaid Renewal Form
(click image for larger view)

Now Congress wants to know Whiskey Tango Foxtrot is going on here. The SFRC is missing on this but U.S. Rep. Ed Royce (R-CA), Chairman of the House Foreign Affairs Committee, recently expressed “serious concern about foreign diplomats receiving, and reportedly defrauding, U.S. Government-funded benefits programs.” In his letter to Secretary Kerry, Chairman Royce requested a meeting plus written answers to the following questions:

1.      How will the Administration treat the 11 named defendants who, according to the U.S. Attorney, remain in the United States?  Will you ask the Russian government to waive their immunity so that they can be prosecuted?  If not, will the Department declare them persona non grata?

2.      How will the Administration treat the 38 named defendants who, according to the U.S. Attorney, no longer reside in the United States?  Will you request that they be extradited to stand trial?  If not, will the Department impose a U.S. visa ban on them?

3.      How will the Administration treat the unindicted co-conspirators at Russian diplomatic offices in the U.S. who allegedly advised and assisted the named defendants by supplying false documentation to New York officials in support of the fraudulent Medicaid claims?

4.      Will the Administration bill the Russian government for the Medicaid benefits its personnel fraudulently used?  If not, how will New York State’s Medicaid program be compensated for the loss?

5.      On December 5, 2013, Department of State Deputy Spokeswoman Marie Harf said, “We are still…reviewing the charges that were unsealed.”  How closely did the U.S. Attorney, Department of Justice, or Federal Bureau of Investigation cooperate with the Department of State during the investigation?  What steps did the U.S. Attorney take to coordinate with the Department of State before filing the complaint on November 18, 2013 or unsealing it on December 5, 2013?

This situation also raises a number of important questions about government programs that provide benefits to foreign diplomats.  I therefore would appreciate written answers to the following questions not later than January 13, 2014:

6.      On December 6, 2013, Department of State Deputy Spokeswoman Marie Harf stated that foreign diplomats in the United States “who meet certain eligibility criteria may apply for and receive federally funded medical care.”  What are the medical programs for which foreign diplomats may be eligible?  What are the eligibility criteria?  Over the last 10 years, how many foreign diplomats have used these programs?  What was the total cost of the benefits provided?  Please provide these data sorted by foreign diplomatic mission or international organization.

7.      Are foreign diplomats eligible for government-funded benefits other than Medicaid (e.g., Temporary Assistance to Needy Families or the Supplemental Nutrition Assistance Program)?  If so, which programs and what are the eligibility criteria?  Over the last 10 years, how many foreign diplomats have taken advantage of these programs?  What was the total cost of the benefits provided?  Please provide these data sorted by foreign diplomatic mission or international organization.

8.      Is the Administration aware of other cases where foreign diplomats fraudulently or inappropriately obtained Medicaid or other government-funded benefits?  Please provide the details of these cases, including the cost of any benefits that were inappropriately obtained.

9.      What is the Administration doing to ensure that foreign diplomats cannot inappropriately obtain government-funded benefits in the future?  Has the Administration asked relevant government benefit agencies to check their rolls for the names of foreign diplomats?  Does the Department regularly provide a list of foreign diplomats to relevant government benefit agencies?

And — if some foreign diplomats in the United States are “eligible” for Medicaid, how about some of their underpaid domestic workers, are they eligible, too?

Oh, for god’s sakes, maybe the State Department should just publish a handbook of freebies.

 

 

 

 

 

 

Leave a comment

Filed under Congress, Diplomacy, Diplomatic Immunity, Diplomatic Life, Foreign Affairs, Foreign Assistance, Foreign Service, Govt Reports/Documents, Hall of Shame, Huh? News, Leaks|Controversies, State Department, UN

49 Russian Diplomats/Spouses Charged With Picking Uncle Sam’s Pocket in Medicaid Scam

– Domani Spero

Well, this isn’t good.  The defendants are current or former Russian diplomats or spouses of diplomats connected with the Russian Mission in the United States.  The alleged widespread Medicaid fraud occurred from 2004 to August 2013. Apparently, approximately $1,500,000 in fraudulently received benefits were obtained by the defendants and dozens of other co-conspirators not named in the complaint in the last 9 years.

Via USDOJ:

Preet Bharara, the United States Attorney for the Southern District of New York, and George Venizelos, the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), today announced charges against 49 defendants for participating in a widespread fraud scheme from 2004 to August 2013 to illegally obtain nearly half a million dollars in Medicaid benefits. Each of the defendants charged in the Complaint unsealed today is a current or former Russian diplomat or the spouse of a diplomat employed at either the Russian Mission to the United Nations (the “Mission”), the Russian Federation Consulate General in New York (the “Consulate”), or the Trade Representation of the Russian Federation in the USA, New York Office (the “Trade Representation”). The Complaint alleges that each of the defendants and their unnamed co-conspirators participated in a widespread scheme to illegally obtain Medicaid benefits for prenatal care and related costs by, among other things, falsely underreporting their income or falsely claiming that their child was a citizen of the United States.

Manhattan U.S. Attorney Preet Bharara said: “Diplomacy should be about extending hands, not picking pockets in the host country. Here, as alleged, a multitude of Russian diplomats and their spouses ran a scam on a health care system designed to help Americans in need. As the Complaint alleges, the scam exploited a weakness in the Medicaid system, and the charges expose shameful and systemic corruption among Russian diplomats in New York.”

According to the announcement, each of the defendants was charged with one count of conspiracy to commit health care fraud and one count of conspiracy to steal government funds and make false statements relating to health care matters, which carry maximum sentences of ten years and five years in prison, respectively.

Apparently, of the 49 defendants, 38 no longer reside in the United States.  There are, however, still 11 currently in the country. According to USDOJ, five of those individuals are diplomats working at the Russian Mission to the United Nations in New York. Another five of those individuals are the spouses of the diplomats. One defendant is currently employed at the Russian Federation’s embassy in Washington, D.C., but at the time of the charged offenses, was employed at the Consulate.

According to the allegations in the Complaint unsealed on December 5 in the Manhattan federal court:

Medicaid is a largely federally funded program in the United States designed to assist low-income families afford health care. In New York State, the Department of Health administers the Medicaid program, and the New York City Human Resources Administration oversees the program and processes applications in New York City. In New York State, pregnant women can receive immediate prenatal care following a preliminary assessment of the pregnant woman’s, and, if applicable, her spouse’s, income. If the pregnant woman provides an income level that is higher than the Medicaid eligibility threshold, the provider will generally not process the Medicaid application. Proof of United States citizenship is not required for a pregnant woman to receive Medicaid benefits because the unborn child is presumed to acquire United States citizenship by virtue of being born in the United States. Once completed, the pregnant woman is entitled to Medicaid benefits pursuant to the original application until the 60th post-partum day, and the newborn child is entitled to benefits on the mother’s initial application until the child’s first birthday. Diplomats, their spouses and children are generally not entitled to Medicaid benefits except in cases of emergency.

While in the United States, the individuals employed by the Mission, Consulate, and Trade Representation are paid a salary by the Russian government, which is not subject to United States federal, state, or local taxes. Employees of the Mission and Consulate generally live in housing, the vast majority of which is paid for by the Russian government. The Mission and Consulate historically have also paid for the medical expenses of their employees, including hospital and doctor bills, as well as dental expenses. Each of the defendants named in the Complaint is a Russian diplomat who works or worked at the Mission, Consulate, or Trade Representation, or was married to such an individual. As a result of an international convention among multiple nations and a bilateral agreement between the United States and Russia, children born in the United States to Russian diplomats generally do not acquire United States citizenship.

The investigation revealed the widespread submission of falsified applications for Medicaid benefits associated with medical costs for prenatal care, birth, and young children by the defendants, which enabled the defendants to obtain Medicaid benefits that they were not otherwise entitled to receive. Approximately $1,500,000 in fraudulently received benefits were obtained by the defendants and dozens of other co-conspirators not named in the Complaint. In general, the defendants underreported their income to an amount below or at the applicable Medicaid eligibility level in order to qualify for Medicaid benefits. In support of the underreported income, the defendants generally submitted letters signed by employees of the Mission, Consulate, or Trade Representation, purporting to corroborate that the falsely underreported income was the true income amount. The defendants’ true income was often hundreds, if not thousands, of dollars more per month than what was falsely reported to Medicaid. Moreover, before, during, and after the time that the defendants received Medicaid benefits, several of the defendants opened credit card accounts in which they reflected salaries thousands of dollars higher than they reported to Medicaid.

[...]

Three other defendants falsely claimed that their children – Russian nationals residing in the United States pursuant to visas issued by the Department of State reflecting their Russian citizenship – were citizens of the United States in order to obtain Medicaid benefits for their children. To support these lies, a United States social security card was provided for one application, and both a United States Social Security Card and a birth certificate issued by the New York City Department of Mental Health and Hygiene was provided in support of another application.

[...]

Moreover, before, during, and after the time that the defendants applied for and received hundreds of thousands of dollars in Medicaid benefits, they spent tens of thousands of dollars on luxury items, including cruise vacations and purchases such as watches, shoes, and jewelry, at stores such as Tiffany & Co., Jimmy Choo, Prada, Bloomingdale’s, and Burberry.

If you want to read the official complaint, click here: Kuleshov, Mikhail et al. 13 MAG 2711 Complaint

Meanwhile, at the State Department, the Spokesperson said on 12/5: “We are still at the State Department reviewing the charges that were unsealed. We’re not yet in a position to speak to the types of specifics about what might happen. Obviously, there is a legal procedure that will be unfolding from this point.” Below is an additional back and forth during the Daily Press Briefing:

QUESTION: Well, does it concern you at all that employees of the Russian Government, while in this country, were involved in – allegedly involved in such a scam? Will you ask the Russian Government to repay what was – what they allegedly stole, for lack of a better word?

MS. HARF: Well, we’re still looking into the charges and the type of specifics in terms of reimbursement and all of that. We’re still – we don’t have any position on that yet. We’re still looking at the charges. And as we go forward, we may have more to share.
[..]

QUESTION: I would suggest to you that 49 is more than a handful, and this appears to have been going on over a sustained period of time. And it’s unlikely that the Russian Government was unaware that these people were –

MS. HARF: I don’t know if they were –

QUESTION: You’ve read the charges?

MS. HARF: I don’t know if they were –

QUESTION: I mean, they were buying incredibly expensive jewelry, taking these fabulous vacations. You would think –

MS. HARF: I honestly don’t know if they were aware. We don’t think this should affect our bilateral relationship with Russia. Quite frankly, there are too many important issues we have to work on together. The justice system will proceed in the way that it does here in the States, and we don’t think it should impact our relationship.

Quite frankly, this was an FBI undercover operation  that went on for about a year and a half.  So a little appreciation for the work done by law enforcement agents would not be too undiplomatic, is it?  The FBI agent’s statement also notes that of the 63 births to the Russian diplomats and their spouses in New York City between the years 2004 and 2013, 58 of those families, or 92% were allegedly paid for by Medicaid benefits. False letters from senior Russian officials were allegedly routinely annexed to the Medicaid applications. The Russian official signatories include a Deputy Trade Representative, a consul, an attache’ and a counselor, according to the complaint.

Now, can you imagine Elizabeth Jennings doing something like this?

WaPo is reporting that the Russian Deputy Foreign Minister Sergei Ryabkov called the charges “no more than a cheap spin effort, no more than a desire to fulfill the order of Russophobic forces in the United States.” Also just so everyone knows, Ryabkov added that “We have many complaints about U.S. diplomats in Moscow, but we aren’t taking them into the public domain.”

This is now a diplomatic embarrassment. Friends at US Mission Russia, watch yourselves.

* * *

 

 

 

 

 

Leave a comment

Filed under Counting Beans, Court Cases, Diplomacy, Diplomatic Life, Follow the Money, Foreign Affairs, Foreign Assistance, Govt Reports/Documents, Huh? News, Scams, State Department

Snapshot: U.S. Government Humanitarian Assistance to the Philippines

Via USAID – @theOFDA as of November 18, 2013:

Screen Shot 2013-11-20

* * *

Leave a comment

Filed under Countries 'n Regions, Defense Department, Disasters, Foreign Assistance, Snapshots, State Department, USAID

Philippine Super Typhoon Disaster – USG Assistance, Welfare/Whereabouts, Donation Information

– Domani Spero

Via the UN Office for the Coordination of Humanitarian Affairs (OCHA):  “Typhoon Haiyan (locally known as Yolanda) made its first landfall in the early morning of 8 November in Guiuan, Eastern Samar province with maximum sustained winds of 235 km/h and wind gusts at 275 km/h. Haiyan made subsequent landfalls in Tolosa south of Tacloban City, Leyte province, Daanbantayan and Bantayan Island, Cebu province, Conception, Iloilo province and Busuanga, Palawan province. Communication and power lines are down in the most affected areas. Access has been limited due to damaged roads, fallen trees and debris which continue to hamper the humanitarian relief operations. On 9 November, the Government accepted the UN offer of international assistance. The Humanitarian Country Team and the UN Disaster Assessment and Coordination team were deployed to Tacloban City and Iloilo City to support rapid needs assessment, support coordination and re-establish communication networks.”

Screen Shot 2013-11-11

Image from OCHA

The Philippines is a country with over 7,000 islands, and a population of over 98 million. The fear that the number of casualties will grow as affected areas are able to re-establish communication with the mainland is justified.

According to the State Department there are an estimated four million Americans of Philippine ancestry in the United States, and more than 300,000 U.S. citizens residing in the Philippines.  An estimated 600,000 Americans also visit the Philippines each year. As of FY2012, our bilateral trade with the Philippines fast-growing economy was $17 billion.  Until early 1990s, the Philippines hosted U.S. Naval Base Subic Bay and Clark Air Base in the Luzon island.

On November 11, Secretary Kerry released the following statement (excerpt):

As we commemorate Veterans Day here at home, the State Department is working with Team Rubicon to deploy a team of incredible, courageous American veterans to the Philippines and all the areas damaged by Typhoon Haiyan. Just as they did after Hurricane Sandy, these veterans will be using the skills they learned in uniform to help others recover from this terrible storm.

The State Department also is cooperating with the Philippines Typhoon Disaster Relief Fund established by The mGive Foundation, a U.S. nonprofit organization, to coordinate donations via mobile phones to benefit victims of the typhoon.

I want to assure the people of the Philippines and the many Americans of Filipino heritage that we are working as hard as possible to provide essential assistance to help the Philippine people and their government recover from this tragedy.

On the same day, the Pentagon announced that Secretary of Defense Chuck Hagel has ordered the aircraft carrier USS George Washington (CVN 73) and other U.S. Navy ships to make best speed for the Republic of the Philippines. They are expected to be on station within 48-72 hours. These ships and aircraft will be able to provide humanitarian assistance, supplies, and medical care in support of the ongoing efforts in the Philippines.

The aircraft carrier, which carries 5,000 Sailors and more than 80 aircraft, is currently in Hong Kong for a port visit. The crew is being recalled early from shore leave and the ship is expected to be underway later this evening.

In company with the carrier will be the cruisers USS Antietam (CG 54) and USS Cowpens (CG 63), and the destroyer USS Mustin (DDG 89). The supply ship USNS Charles Drew (T-AKE-10) is already underway and will rendezvous with the group as they get closer. USS Lassen (DDG 82) got underway yesterday for the region. Embarked on board USS George Washington, is Carrier Air Wing Five (CVW-5).

CVW-5 is a collection of aircraft designed to perform various functions including disaster relief and includes the “Golden Falcons” of Helicopter Sea Combat Squadron 12 flying the MH-60S Seahawk; and the “Saberhawks” of Helicopter Maritime Strike Squadron 77 flying the MH-60R Seahawk.

Active links added above.  Also on November 11, USAID announced a $20 million humanitarian assistance to the Philippines:

In response to the storm, the United States Government announced today $20 million in humanitarian assistance, including emergency food aid and critical relief supplies–like shelter materials and hygiene kits–for disaster-affected areas. These supplies will not only provide life-saving care in the immediate aftermath of the storm, but will also help prevent illness and death from waterborne and communicable diseases. A shipment is already on its way with enough plastic sheeting, soap, toothbrushes, toilet paper, and sanitary supplies to help 10,000 families. Another shipment of the same size will follow closely behind. We are also sending 55 metric tons of food, including highly nutritious bars and paste–containing a day’s worth of calories–to nourish approximately 20,000 children and 15,000 adults for roughly 4 to 5 days.

To read more about the USG assistance, click here.

Welfare and Whereabouts of U.S. Citizens in the Philippines

If you are concerned about the welfare or whereabouts of an American citizen in the Philippines, here are some useful contact numbers:

If you are in the United States, you may call the Department of State’s Overseas Citizens Services (OCS) toll-free hotline at (888) 407-4747 during the hours 8:00 a.m. to 8:00 p.m. (EST) Monday through Friday.  The Department of State has activated the Typhoon Haiyan Response Call Center to handle inquiries about US citizens who may be present in the Philippines. You may contact the Call Center at 888-407-4747 if calling from within the U.S. or 202-501-4444 if calling from any other location.

At all other times, call the duty officer twenty-four hours a day at 202-647-4000.

Google has also put together a Google Crisis Response Yolanda  including a Person Finder and mapping urgent needs by category via MicroMappers:

Screen Shot 2013-11-12

Donation Information (per state.gov)

U.S. wireless subscribers can text AID to 80108 to give a $10 donation to the mGive Philippines Typhoon Disaster Relief Fund.

Donations will be collected from the U.S. wireless carriers by the mGive Foundation, a 501c3 public charity that empowers text donation campaigns across 60 U.S. wireless carriers–providing access to 99 percent of all mobile phone users. Donations made to mGive will be distributed to relief organizations supporting Philippine Typhoon response and recovery. For more information visit, www.mgive.org.

The $10 donation will go to The mGive Foundation’s Philippines Typhoon Disaster Relief Fund. Charges will appear on the donor’s wireless bill or be deducted from the prepaid balance. All purchases must be authorized by account holder. Donors must be 18 years of age or have parental permission to participate.

* * *

Leave a comment

Filed under Americans Abroad, Consular Work, Countries 'n Regions, Defense Department, Disasters, Foreign Assistance, Google Stuff, John F. Kerry, State Department, U.S. Missions, USAID

Snapshot: Top 10 State Department Assistance Recipients FY2013

Via USASpending.gov

Screen Shot 2013-10-16 at 11.41.51 AM

👀

Leave a comment

Filed under Follow the Money, Foreign Assistance, Govt Reports/Documents, Snapshots, State Department, UN