State/OIG Semi-Annual Report to Congress (Apri 1-September 30, 2013)

— Domani Spero

State/OIG submitted its last semi-annual report to Congress signed by Harold Geisel in September. Steve A. Linick took charge of the OIG on September 30, 2013.  The report was not published online until late December.

Via State/OIG

Via State/OIG

Under Oversight Review, State/OIG tells Congress it is conducting an in-depth review of Diplomatic Security’s investigative process.  This is in connection with last year’s allegations that several recent investigations were influenced, manipulated, or simply called off. (See CBS News: Possible State Dept Cover-Ups on Sex, Drugs, Hookers — Why the “Missing Firewall” Was a Big Deal):

The Office of Investigations (INV) is conducting an independent oversight review of certain investigations conducted by the Bureau of Diplomatic Security, Office of Investigations and Counterintelligence, Special Investigations Division (DS/ICI/SID). This is an in-depth review of the DS/ICI/SID investigations to assess the adequacy of the investigative process.

State/OIG also informs Congress that it audited seven posts under the purview of AF that had threat levels ranging from medium to critical. The audit was conducted “to determine to what extent the selected embassies in Africa complied with current physical security standards, and whether management officials at these posts used available authorities to effectively implement the posts’ security programs.” The audit identified physical security deficiencies at Embassy N’Djamena, Chad; Embassy Monrovia, Liberia; Embassy Nouakchott, Mauritania and Embassy Dakar, Senegal.  A brief summary of the audit is posted here but the reports are not publicly available.

The semi-annual report includes an item about the non-compliance of the local guard contractor for Embassy Lilongwe, Malawi, who was required to pay local guards $100 per month supplemental pay in addition to the guards’ regular wages and benefits, based on a provision in the contract. OIG estimated that the amount invoiced by the contractor and not paid to the local guards as of June 2013 could be as much as $1,489,200.

Other items of note:

  • OIG conducted an investigation after receiving allegations of improper activities being committed by a major contractor that provides survey services to the Department and other agencies. The investigation determined that the contractor provided false pricing information to the Department during negotiations for a 5-year, sole source contract worth $25,000,000. OIG led a multi-agency investigation which resulted in the contractor agreeing to pay a $10.5-million civil settlement for improperly inflating Department and U.S. Mint contract prices and engaging in prohibited employment negotiations with a Federal Emergency Management Agency official.
  • OIG conducted a joint investigation with the OIG for USAID into allegations that two foreign real estate companies paid bribes to two LE staff members at the local embassy in order secure U.S. Embassy lease agreements. During the investigation, the company presidents admitted to paying the bribes and both employees were terminated from employment at the embassy. On May 9, 2013, the Office of the Procurement Executive issued six contracting debarments for a period of 3 years in connection with the case, two for each former employee, two for the two firms, and two for the presidents of each firm.
  • OIG conducted an investigation of an assistant regional security officer who submitted a false reimbursement voucher in connection with an extended hotel stay. The investigation determined that the officer knowingly submitted two fraudulent vouchers for reimbursement to the Department and received $14,630.83 to which he was not entitled. On March 11, 2012, The Department of Justice declined criminal prosecution of the officer. On March 28, 2012, the Bureau of Resource Management initiated a collection action against the officer for the full amount of the false claims, and on April 23, 2013, the Bureau of Human Resources issued a 10 day suspension to the officer.

See more Semiannual Report to the Congress April 1, 2013 to September 30, 2013  [1990 Kb]  | Posted on December 30, 2013.

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