State/OIG Audits CA’s Official and Diplomatic Passport Records

 

 

Via State/OIG:
(U) Treasury Inspector General for Tax Administration Concerns

(U) In September 2020, OIG received a referral from the Treasury Inspector General for Tax Administration (TIGTA). According to the referral, in 2019, during an audit of the Internal Revenue Service’s (IRS) passport management and security controls,19 TIGTA requested from CA information associated with diplomatic and official passports issued to IRS employees and appointees for the last 20 years, as of March 31, 2019. Specifically, for each passport issued, TIGTA requested the applicant’s name, passport number, passport type, issuance date, and passport status (e.g., cancelled, lost, or stolen).

(U) According to TIGTA officials, TIGTA received three separate passport datasets from CA. However, TIGTA found that the data provided in each dataset were incomplete. For example, some passport records had blank issuance and expiration date fields. Furthermore, the data identified onlyfive passports that were issued in 2016 and indicated that no passports were issued to IRS employees from 2017 through 2019. However, IRS records indicated that more than 200 official or diplomatic passports were issued to employees between 2016 and 2019. Lastly, one dataset included only Department of Treasury employees and not IRS employees. According to TIGTA officials, CA officials could not explain why the database was providing incomplete data. Based on the missing records and data fields, TIGTA deemed CA’s information as unreliable for use in its audit.
[…]
(U) In response to TIGTA’s concerns about receiving incomplete data from CA, OIG reviewed the  847,880 official and diplomatic passport records provided to OIG by CA and found that none of  the passport records had blank issuance or expiration date fields. Furthermore, the records  showed that CA issued 652 official and diplomatic passports to IRS employees and their family  members from FY 2017 through FY 2019 as opposed to the data provided to TIGTA, which showed that no passports were issued to IRS employees from FY 2017 through FY 2019.

The Special Issuance Agency (SIA) did not review the data!

(U) When asked about TIGTA’s concerns, CA officials stated that CA’s Office of Consular Systems and Technology ran a query in TDIS using sponsor codes28 that are associated with IRS to obtain the data requested by TIGTA. CA’s Office of Legal Affairs and Law Enforcement Liaison and the  Office of Passport Integrity and Internal Controls reviewed the data before the data were  released to TIGTA. SIA did not review the data. If SIA employees had reviewed the data, they  would have recognized that it was incomplete. SIA employees would know, because of  reimbursement data, the number of passports issued to IRS employees. CA officials also stated  that, although there are processes in place for reviewing and clearing data prior to release to Federal customers, there is not a formal written policy or standard operating procedures. CA officials are formalizing procedures to address this deficiency.

(U) CA officials indicated that requests for passport information from other agencies are infrequent—there have been none since TIGTA’s request in 2019. However, it is important that CA have effective internal control activities in place to ensure that quality data are provided to other Government agencies. Internal control is a process effected by an entity’s management that provides reasonable assurance that the objectives of an entity will be achieved.29 Management should establish control activities through policies and procedures to achieve objectives.30 Because CA had not implemented effective internal control activities to ensure that the data provided to TIGTA in response to its request were properly reviewed and validated, it failed to meet its objective of delivering a high level of customer service and earning customer trust, which consequently impacted TIGTA’s ability to conduct an audit of passport management and security at the IRS. Although OIG acknowledges that CA is developing internal control activities and associated procedures to help ensure that the incident with TIGTA is not repeated, OIG is making the following recommendation and will track its implementation through the audit compliance process to confirm that the identified deficiency has been fully addressed.

(U) Prior Office of Inspector General Reports

(U) During this audit, OIG was alerted that a former Department of State employee had  allegedly not surrendered their diplomatic passport upon separation from the Department.  Department employees’ entitlement to an official or diplomatic passport, in most instances,  ends when they separate from the Department, and the passport must be surrendered for  cancellation.

(U) OIG found that CA had not electronically cancelled one of the former employee’s diplomatic  passports. Based on that information, OIG performed additional steps to determine whether CA  had cancelled other diplomatic or official passports once an employee had separated from the  Department of State. OIG found that CA had not electronically cancelled 57 of 134 (43 percent)  passports tested.5 In addition, of these 57 passports, 47 (82 percent) had not expired as of  February 1, 2021, meaning they could still be valid. One reason for the deficiencies identified is  that bureaus and offices did not always maintain proper accountability of passports and could  not confirm whether separating employees had surrendered their passports for cancellation.  OIG made one recommendation that is intended to improve the accountability of official and  diplomatic passports of separating employees. As of June 2021, OIG considers the  recommendation resolved, pending further action.

State/OIG: Accountability of Official and Diplomatic Passports Needs Improvement

13 Going on 14 — GFM: https://gofund.me/32671a27

 

State/OIG issued its Management Assistance Report: Accountability of Official and Diplomatic Passports of Separating Employees Needs Improvement this week.
According to the OIG, in December 2020, after it announced an audit of official and diplomatic passport records, the Office of Inspector General (OIG) was alerted that a former Department of State employee, a political appointee, allegedly kept their diplomatic passport after separating from the Department and wanted to use it in their new role with another U.S. Government organization.

Specifically: “A politically appointed Senior Advisor separated from the Department in November 2019. In 2020, President Trump appointed the former advisor to a role with another U.S. government organization. A representative from the new organization contacted the appointee’s former Department bureau because the political appointee was in possession of a diplomatic passport. The representative wanted to know whether the appointee could travel on behalf of the new organization using this diplomatic passport. The representative was informed by a bureau official that the appointee should not use the diplomatic passport.”

Excerpt from the MAR:

(U) During an audit of CA’s official and diplomatic passport records, OIG was alerted that a former Department employee had allegedly not surrendered their diplomatic passport upon separation from the Department and wanted to use it in a new role with another U.S. Government organization.24 According to the FAM, entitlement to an official or diplomatic passport ends when the employee separates from the Department, and the passport must be surrendered for cancellation.25

U) OIG found that the former employee’s diplomatic passport was listed as “issued” in ACRQ and had not been electronically cancelled by SIA. Based on that information, OIG performed additional steps to determine whether SIA had cancelled other employees’ official and diplomatic passports once separated from the Department. Specifically, OIG selected a sample of 134 official and diplomatic passports issued to employees who subsequently separated from the Department between November 2017 and September 2020. OIG found that 57 of 134 (43 percent) passports had not been electronically cancelled by SIA after the employee separated. Moreover, of the 57 that had not been electronically cancelled, 47 (82 percent) of the passports had not expired as of February 1, 2021, meaning they could still be valid.

(U) One reason for the deficiencies identified is that Department bureaus and offices did not always maintain proper accountability of passports and could not confirm whether separating employees had surrendered their passports for cancellation. When an employee’s entitlement to an official or diplomatic passport ends, but the passport is not surrendered or cancelled, the individual could misuse the passport, such as misrepresenting themselves as a representative of the U.S. Government. Doing so is a criminal offense.26

(U) Separated Employees’ Official and Diplomatic Passports

(U) Based upon a Bureau of Global Talent Management list of employees who had separated from the Department between November 2017 and September 2020, OIG identified 4,714 official and diplomatic passports associated with those employees. OIG selected a sample of 134 passports to test. 27 OIG found that 57 of 134 (43 percent) passports had not been electronically cancelled by SIA. In addition, of those 57 passports, 47 (82 percent) had not expired, as of February 1, 2021, meaning they could stil l be valid. 28 For example, one employee separated from the Department in December 2017, but the employee’s diplomatic passport was not scheduled to expire until April 2022- more than 4 years after separating from the Department.

OIG apparently followed up with 3 bureaus and 1 office to determine whether 17 former Department employees had surrendered their passport(s) and whether the bureaus or office had requested that SIA cancel the passports in accordance with the FAM. The follow-up revealed the following:

Two former CA employees:  “OIG identified two former CA employees who had diplomatic passports listed as “issued” in ACRQ. According to CA’s employee check-out list, employees are required to return special-issuance passports to SIA that were issued to them and to their family members upon separation and obtain the signature of an SIA staff member. SIA has no record of either of these two passports being returned for cancellation after the employees separated.”

Two former Office of the Secretary employees: “OIG identified two former Office of the Secretary employees who had diplomatic passports listed as “issued” in ACRQ. These two individuals had four passports issued to them. The Office of the Secretary’s employee check-out form requires departing employees to return their special-issuance passports and have the form initialed by the Office of the Secretary’s budget and travel office staff. An Office of the Secretary official stated that the office would have been in possession of three of the identified passports because the office maintains the diplomatic passports of people who travel with the Secretary of State. Because the three passports could not be found in the office, the official assumed that they were physically cancelled and returned to the individual. The Office of the Secretary could not provide information on the fourth passport. The Office of the Secretary official stated that a memorandum would have accompanied each passport to SIA for cancellation, but copies of the memoranda were not maintained .”(what the what? italics added).

Eleven former DS employees:  “OIG identified 11 former Bureau of Diplomatic Security (DS) employees who had diplomatic passports listed as “issued” in ACRQ. These 11 individuals had 16 passports issued to them, including 2 that were issued to a former Assistant Secretary. DS’s employee check-out form requires employees to return to the Employee Services Center or contact SIA about special-issuance passports that were issued to them and to their family members upon separation. A DS official stated that the two passports issued to the former Assistant Secretary were collected before he separated from the Department, but DS had not returned them to SIA. The DS official stated that a former employee, who returned as a PSC, claimed to have lost one passport but there was no comment on her second passport and another employee’s passport had been returned to CA. Three former DS employees had returned four passports in total to their DS offices; however, DS could not locate an additional passport for one of these individuals and an additional two passports for another of these individuals. The DS official further stated that DS did not have records for two of the people associated with two passports. DS may have facilitated the issuance of these passports, but they were not DS employees. DS did not provide information on the remaining 2 of 16 passports.”

OIG recommends that the Bureau of Consular Affairs “improve accountability over special-issuance passports by updating the Foreign Affairs Manual and any other relevant policy documents to require that (a) all Department of State bureaus and offices that participate in the Special Issuance Passport Program either (1) physically cancel special-issuance passports (including secondary passports) issued to a separating employee and email the Special Issuance Agency (SIA) a copy of the physically cancelled data page requesting that the passport(s) be electronically cancelled (along with returning the passport to SIA for destruction if not returned to the separating employee) or (2) if appropriate, file the special-issuance passport with SIA and (b) the Special Issuance Agency confirm that all special-issuance passports issued to the separating employee have been included in the cancellation request and electronically cancel all additional passport(s) as appropriate.”
Consular Affairs concurred with the recommendation, stating that it “will propose updates to the FAM and to the Special Issuance Passport Program.”  The bureau will also “update SIA’s cancellation and destruction SOP to confirm that all special-issuance passports issued to a separating employee have been included in the cancellation request and electronically cancel all additional passports as appropriate.”

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AFSA Issues Guidance on the Use of Diplomatic Passports

 

Via afsa.org:

AFSA has seen an increasing number of Foreign Service employees under investigation for possible misuse of their Diplomatic Passports (DPs). To ensure that our members understand the relevant rules for DPs, AFSA issues the following guidance.

General Guidance:

DPs carry the same message from the Secretary of State as do any other passports, i.e. that their bearers be permitted “to pass without delay or hindrance” and be given “all lawful aid and protection.”  However, they also announce that their bearers are abroad on diplomatic assignment with the U.S. government. While traveling abroad with such passports, DP holders not only have a special obligation to respect the laws of the country in which they are present, but they must abide by U.S. government and agency-specific standards of conduct.

In addition to reviewing the guidance below, we suggest all DP holders review the following material:

  • 8 FAM 503.2, Travel with Special Issuance Passports (updated 6/27/2018)
  • 18 STATE 6032, Proper Use of Special Issuance Passports (1/19/2018)
  • 12 STATE 12866, Official and Diplomatic Passports – Notice to Bearers (2/11/2012)

DP Terms of Use:

  • DPs may only be used while their holders are in positions which require such documents, i.e. during official business travel.
  • A DP attests that the bearer is traveling on diplomatic/official business for the U.S. government or is an accompanying family member of such a person.
  • DPs are authorized for any travel on government orders. For example, DPs may be used for R&R or medevac travel.
  • TDY travel should be conducted with DPs and any required visas. DP holders are advised to check with the post in question regarding requirements for entry.
  • DP holders should practice carrying both regular and diplomatic passports while on travel.
  • DPs must be used when entering and exiting the holder’s country of assignment abroad and returning to the U.S. from the country of assignment. Regular (tourist) passports must be used for all personal travel.
  • For all travel, we strongly advise carrying both diplomatic and regular passports and complying with instructions of local immigration authorities, even if those instructions are not necessarily in compliance with this guidance. If this or any other unusual situation occurs involving the use of diplomatic passports, please document the event for your records.

Examples:

  • U.S. diplomat assigned to Country A is taking a personal trip (tourist trip) with his/her family to Country B. The U.S. diplomat, and accompanying family members, must use the DPs for entering/exiting Country A. However, they must use their personal passports (“blue book”) for entering/exiting Country B. Whichever type of passport is used to enter a country must be used to exit that country.
  • U.S. diplomat has completed his/her tour in Country A and is returning to the U.S. with his/her family. The U.S. diplomat and accompanying family members will use their DPs for leaving Country A and entering the U.S.
  • U.S. diplomat assigned to Country A has an official meeting in Country B and then will travel to Country C for tourism. The U.S. diplomat must use the DP to exit Country A and enter and exit Country B. However, the diplomat must use his/her personal passport to enter and exit Country C. The DP will be used to re-enter Country A.

DPs Do Not:

  • Confer diplomatic immunity.
  • Exempt the bearer from foreign laws.
  • Allow the bearer to carry classified or sensitive material across borders.
  • Allow the bearer to avoid questions from foreign immigration or bypass security.
  • Protect their holders from arrest, hazards of war, criminal violence, or terrorism.

To Note:

  • DPs may subject their bearers to increased scrutiny by foreign governments and other entities.
  • Misuse of DPs may be investigated and prosecuted as a violation per 18 U.S.C. 1544.
  • Employees who are found to have misused DPs may also be subject to disciplinary action.
  • Many countries have visa requirements for DPs which exceed those for regular passports.  Guidance can be found here: https://travel.state.gov/content/special-issuance-agency-home/en/spec-issuance-agency.html
  • Taiwan: All travel to Taiwan by executive branch personnel must be with a regular passport.  In addition, executive branch personnel who plan to travel to Taiwan for official purposes must have prior concurrence from the Office of Taiwan Coordination: (202) 647-7711.

More information can be found at the Special Issuance Agency page here.

We understand that the Department of State will issue its own guidance on this topic shortly.

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