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DOJ appeals particular grasp choice

Documents seized by the FBI from Mar-a-Lago

Source: Ministry of Justice

The Justice Department on Thursday appealed a federal judge’s decision to authorize a special master to review documents seized by the FBI from former President Donald Trump’s Florida residence.

The Justice Department also asked Judge Aileen Cannon to stay her related order, which bars the government from further reviewing classified documents found in last month’s search of Mar-a-Lago, Trump’s Palm Beach resort .

The moves came three days after Cannon approved Trump’s request for a special foreman to sift through the seized materials to identify personal items and records protected by attorney-client privilege or executive privilege.

The DOJ opposed the request, saying it had already completed a privileged review of the documents and that a special master could harm the government’s national security interests.

The FBI seized more than 10,000 government records when it searched Mar-a-Lago on Aug. 8. Many of these documents bore classification marks, including dozens of folders that were empty when picked up by the FBI.

Cannon, who was appointed by Trump, wrote in her ruling Monday in the US District of South Florida that “the country is best served with an orderly process that encourages interest and perceptions of fairness.”

The DOJ’s appeal was filed with the US Court of Appeals for the 11th Circuit, which has appellate jurisdiction over Florida district court cases.

The DOJ also asked Cannon to stay its order barring the agency from further reviewing and using the seized classified documents for criminal investigative purposes pending appeal. Last week, the department announced that the FBI had seized more than 100 classified documents during the raid.

The DOJ said in Thursday’s filing that it is likely to succeed in its appeal given the classified records, which represent a fraction of the documents found at Mar-a-Lago.

Trump “does not and could not claim that he possesses or possesses classified records, that he has a right to have those government records returned to him, or that he can make plausible claims of attorney-client records preventing the government from doing so would review or use them,” the DOJ wrote.

This is breaking news. Please check back for updates.

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Biden DOJ evaluations paperwork for launch

The Justice Department on Monday promised to re-examine the files relating to the September 11, 2001 terrorist attacks for possible disclosure after years of pressure from victims’ families to divulge information about the alleged role of Saudi government officials.

The Justice Department did not provide any information about what documents or information could be released after the review was completed.

The decision comes just days after nearly 1,800 9/11 survivors, first responders and family members of the victims told President Joe Biden to skip commemorations this year unless he released FBI documents identifying the alleged role Saudi government officials are detailed in the deadly attacks.

FDNY firefighters carry another firefighter, Al Fuentes, who was injured in the World Trade Center collapse on September 11, 2001.

Matt Moyer | Corbis News | Getty Images

It also comes a month before the 20th anniversary of the terrorist attacks that killed nearly 3,000 people in the World Trade Center in New York, the Pentagon and Pennsylvania.

Biden welcomed the Justice Department’s decision.

“As I promised during my campaign, my administration is committed to ensuring the greatest possible degree of legal transparency and adhering to the strict guidelines of the Obama-Biden administration on the use of state secrecy,” Biden said in a statement. “With that in mind, I welcome today’s Justice Department filing.”

The Justice Department’s decision follows a federal lawsuit in the southern district of New York by families of 9/11 victims against the Kingdom of Saudi Arabia.

The Justice Department found in a judicial file on Monday that the FBI recently closed an investigation into individuals who may have provided significant assistance to the September 11, 2001 kidnappers.

The FBI will review its previous decisions to withhold information and identify additional information that is appropriate for disclosure according to the filing.

“The FBI will continue to disclose such information as soon as possible,” Justice Department officials said on the file.

Organizations representing the families of 9/11 victims, including Peaceful Tomorrows and the 9/11 Families’ Association, did not immediately respond to comment.

Biden campaigned for a promise to give survivors of September 11, 2001 and family members more transparency about unpublished documents held by the government about the attacks.

Survivors, first responders and families of the victims argued on Friday that Biden did not live up to his words. They also previously alleged that up to 25,000 pages of 9/11-related documents were withheld from them.

“We cannot greet the president in good faith and with reverence for the lost, sick and injured in our sacred grounds until he fulfills his obligation,” they wrote in a statement on Friday.

Brett Eagleson, whose father was killed in the attack on the World Trade Center, told CNN on Friday that the group specifically wanted documents revealing information about the alleged role of the Saudi Arabian government.

“The government continues to stab us in the back behind a cloak of secrecy,” said Eagleson.

The 9/11 Commission’s investigation, which closed in 2004, found that charities funded by the Saudi government supported the terrorist attacks but provided no evidence of direct government funding.

The group of survivors and family members claim that recent FBI documents, such as a 2016 investigation into Saudi Arabia, reveal whether people linked to al-Qaeda, the group that carried out the terrorist attacks, were in Associate, have received support or funding from Saudi Arabia government.

Fifteen of the 19 attackers in the 9/11 attacks were Saudi nationals, and mastermind Osama bin Laden was born in Saudi Arabia. The Saudi government denies allegations that it was involved.

Several presidential administrations withheld documents related to the attacks, citing security concerns. Most recently, in 2019, the Trump administration invoked the privilege of state secrecy to justify keeping documents secret.

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Trump pushed DOJ to overturn 2020 election outcomes: Home panel

Then-President Donald Trump put pressure on his new acting attorney general to overturn the 2020 vote, telling him, “Just say the election was corrupt + leave the rest to me and the R. Congressmen,” it says a phone call that was posted on Friday to a House Committee.

Trump also suggested he consider replacing the Justice Department leadership, according to the records of then-Assistant Attorney General Richard Donoghue, who called on Dec. 27.

Donoghue’s report on the call shows that Trump “directly directed our nation’s chief law enforcement agency to take steps to overturn a free and fair election in the final days of his presidency,” said House Oversight and Reform Committee Chair Carolyn Maloney, DN.Y in a press release.

The committee has already started scheduling witness interviews “to investigate the full extent of the former president’s corruption,” Maloney said.

Donoghue’s notes do not specify which Republican lawmaker Trump was referring to to overthrow Joe Biden’s victory. But Trump mentioned GOP representatives Jim Jordan from Ohio, Scott Perry from Pennsylvania, and Senator Ron Johnson from Wisconsin elsewhere on the call.

Jordan spokesman Russell Dye told CNBC in a statement that the congressman “has not pressured anyone in the Justice Department about the 2020 election, has not pressured them,” and that he “continues to agree with President Trump that it is perfectly.” is appropriate to raise concerns about electoral integrity. “

Johnson “had no discussions with President Trump about the DOJ questioning the election results,” said his spokeswoman Alexa Henning.

Chairwoman Carolyn Maloney, DN.Y., speaks during a House Oversight and Reform Committee hearing on DC statehood on Tuesday, February 11, 2020.

Caroline Brehman | CQ name call | Getty Images

The notes also show that Rosen and Donoghue are trying to inform Trump that his claims of widespread electoral fraud are not supported by evidence. Just four days before the call, Rosen became Trump’s incumbent AG after the resignation of William Barr.

“Much of the information you are receiving is inaccurate,” the phone notes shared with Trump said.

Later in the conversation, Trump claimed, “These people who say the elections are not corrupt are corrupt,” the notes read.

A Trump spokeswoman did not immediately respond to CNBC’s request to comment on the committee’s release. A Perry spokesman also did not immediately respond to a request for comment.

Trump has never admitted defeat to Biden. After his loss, Trump aggressively spread a wide range of baseless conspiracy theories in support of the false claim that the elections were rigged against him.

His lawyers and allies filed dozens of lawsuits in key states, all aimed at undoing Biden’s victory. No one was able to reverse the votes or change the results of the state elections.

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Donoghue’s notes are just the latest material House investigators have held up as evidence of Trump’s efforts to rely on government institutions to contest his electoral defeat.

Last month, Maloney’s committee dumped more than 200 pages of emails between DOJ officials and White House staff allegedly attempting to ask the Supreme Court to overturn major state election results.

Earlier this week, the DOJ announced former Trump administration officials that they would be able to partner with House and Senate investigations into Trump’s election reversal efforts in the final months of his only term in office.

Maloney’s committee has sent letters to Rosen and Donoghue asking them to appear for transcribed interviews. The panel has also asked former White House Chief of Staff Mark Meadows, former Assistant Attorney General Jeffrey Clark, former Assistant Attorney General Patrick Hovakimian, former U.S. Attorney for the Northern District of Georgia Byung Jin Pak, and former Acting U.S. Attorney General Prosecutor for interviewing District Bobby Christine.

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Trump tax returns have to be launched by IRS to Congress, DOJ says

US President Donald Trump leaves Air Force One upon arrival at McCarran International Airport in Las Vegas on September 20, 2018. – Trump travels to Las Vegas for a campaign rally.

Almond Ngan | AFP | Getty Images

Former President Donald Trump’s income tax returns must be submitted to Congress by the IRS, the Justice Department said on Friday.

The DOJ’s Office of Legal Counsel said the Democrat-led House Ways and Means Committee had filed a request with a legitimate legislative purpose to inspect Trump’s tax returns, with the stated aim of assessing how the IRS judges the presidents’ tax returns checks.

This 39-page statement is a reverse of a statement by the same bureau during the Trump administration that supported the IRS’s refusal to submit Trump’s Returns to the Committee.

Under federal law, the tax-related committees of Congress have a “broad right” to obtain taxpayer information from the Treasury Department, the parent company of the IRS, the new statement said.

“The statute at issue here is clear: ‘Upon written request’ from the chairman of one of the three tax committees of Congress, the secretary ‘sends’ the tax information requested to the committee,'” said Friday’s statement.

While these committees cannot force government executives to compel disclosure of this information, the opinion states that the committees should be denied tax returns “only in exceptional circumstances” and when the request “lacks a legitimate legislative purpose”.

The ruling comes more than a year after the US Supreme Court ruled that Trump’s tax returns and other financial records had to be turned over to Manhattan District Attorney Cyrus Vance Jr. by his longtime accountants following a criminal investigation subpoena.

The Trump Organization and its longtime CFO Allen Weisselberg were charged by Vance on July 1 with crimes related to an alleged plan since 2005 to avoid paying taxes on the remuneration of the CFO and other top executives.

Trump broke decades of precedents as a presidential candidate and White House resident by refusing to voluntarily release his income tax returns.

He had claimed that his returns were being examined by the IRS to justify not disclosing the returns.

However, there is no ban on taxpayers from making their tax returns publicly available, even if those tax returns are audited.

The Justice Department opinion, coming under an Attorney General Merrick Garland selected by President Joe Biden, is likely to anger Trump.

A Trump spokeswoman did not immediately respond to a request for comment.

House Ways and Means Committee Chairman Richard Neal, D-Massachusetts, said in a statement, “As I have maintained for years, the committee’s case is very strong and the law is on our side.”

“I’m glad the Justice Department approves and we can move forward,” said Neal.

Neal’s committee sued the Treasury Department and the IRS in July 2019 for obtaining Trump’s tax returns after then Treasury Secretary Steven Mnuchin and the head of the tax office defied subpoenas demanding Trump’s persona and business returns for six years. Mnuchin argued at the time that the committee had no legitimate legislative purpose in finding the documents.

House Speaker Nancy Pelosi, D-California, said in a statement: “Today the Biden administration won a rule of law victory as it respected the public interest by responding to Chairman Neal’s request for Donald’s tax returns Trump follows. “

“As speaker, on behalf of the House of Representatives, I applaud Chairman Neal for his dignified pursuit of the truth and the Justice Department of the Biden Administration for its respect for the law,” said Pelosi.

“Access to former President Trump’s tax returns is a national security issue,” she said. “The American people deserve to know the facts of their troubling conflicts of interest and the undermining of our security and democracy as President.”

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Politics

DOJ declined to prosecute 82% of hate crime suspects from 2005 to 2019

Dental students and others crowd during a vigil at the University of North Carolina following the murder of three Muslim students on February 11, 2015 in Chapel Hill, North Carolina.

Brendan Smialowski | AFP | Getty Images

The U.S. Department of Justice declined to prosecute 82% of hate crime suspects investigated between 2005 and 2019, according to a report released Thursday.

The report follows recent efforts by Attorney General Merrick Garland to enhance the Justice Department’s role in combating hate crimes and incidents.

Four pieces of US Criminal Code define hate crimes as crimes committed based on a victim’s characteristics, such as race, national origin, sexual orientation, gender identity, religion, or disability.

Recently, reports of hate crimes against Americans in Asia and Pacific Islanders have increased during the pandemic, with many attributing the surge to former President Donald Trump’s rhetoric blaming China for spreading Covid-19 in the US

According to the Bureau of Justice Statistics, the federal prosecutor’s office completed investigations into a total of 1,878 suspects of potential hate crimes in the 2005 to 2019 financial years. However, only 17% of suspects were prosecuted by US lawyers, while 1% of cases were settled by US magistrate judges.

The report cited insufficient evidence as the most common reason hate crimes were prosecuted. Decisions to prosecute hate crimes generally rest with United States lawyers in the country’s 94 judicial districts.

The Justice Department did not immediately respond to CNBC’s request to comment on the report’s findings.

President Joe Biden signed a bill in May that would direct the Department of Justice to expedite the investigation of hate crimes related to the pandemic and provide more resources to local law enforcement agencies to follow up on the incidents.

In May, Garland announced its own six-step plan to tackle hate crimes. These include increasing resources and coordination, facilitating the expedited review of hate crimes, and improving the department’s voice access capabilities to overcome the incident reporting barrier, among other things.

“Since its inception, the Justice Department has tried to combat illegal acts of hatred,” Garland said in the memo that outlined the plan in May. “As members of the department, we need to continue this work as much as possible and build on it.”

Garland’s plan also instructs US attorneys across the country to “build trust” with the communities they serve to increase hate crime coverage and appoint local criminal and civil attorneys to act as civil rights coordinators.

While the report found low law enforcement rates for hate crime suspects at the federal level, it also found that hate crimes prosecuted by prosecutors are largely successful. The conviction rate for all hate crimes rose from 83% in 2005 to 2009 to 94% in 2015 to 2019.

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Politics

DOJ drops lawsuit over John Bolton guide on Trump

U.S. National Security Advisor, John Bolton, meets with journalists during a visit to London, August 12, 2019.

Peter Nicholls | Reuters

The U.S. Justice Department on Wednesday dropped a lawsuit that sought to seize profits from a best-selling book written by John Bolton about his tenure as national security advisor to former President Donald Trump, a court filing shows.

At the same time, the Justice Department informed Bolton that it is closing an investigation into whether he committed a crime by possibly disclosing classified information in that book, “The Room Where it Happened,” according to a statement by Bolton’s office.

That book, published last year by Simon & Schuster, was harshly critical of Trump.

“These actions represent a complete vindication for Ambassador Bolton, and a repudiation of former President Trump’s attempt, under the pretext of protecting classified information, first to suppress the book’s publication and when that failed in court, to penalize the Ambassador,” Bolton’s office said.

“Trump openly admitted his desire to block publication of the book before the 2020 election for political reasons,” the statement noted.

“He said, for example, ‘We’re going to try and block the publication of the book. After I leave office, he can do this. But not in the White House.’ “

The statement also pointed out that before the Justice Department agreed to dismiss the lawsuit, the judge in the case, Royce Lamberth, had granted a request by Bolton’s lawyer to obtain evidence that could back up “allegations that President Trump or senior White House officials acted in bad faith by intentionally delaying prepublication review and by attempting to unduly influence classification decisions” about the book.

A Justice Department spokesman and a spokeswoman for Trump did not immediately respond to CNBC’s requests for comment.

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The Justice Department sued Bolton in 2020, claiming he failed to abide by a requirement that he receive written permission before publishing his book in order to make sure that no classified information was disclosed in it.

The department failed to convince a judge to prevent the book from being released, but was continuing to seek profits from it with the lawsuit, which was filed in U.S. District Court in Washington, D.C.

In its statement Wednesday, Bolton’s office attached a letter from lawyers for Ellen Knight, a former National Security Council official who reviewed the manuscript of the book for classified material.

The letter details how the Trump White House tried to keep the book from being published even after the manuscript was revised and found to contain no classified material.

Bolton’s lawyer Charles Cooper said in a statement, “We are very pleased that the Department of Justice has dismissed with prejudice its civil lawsuit against Ambassador Bolton and has terminated grand jury proceedings.”

“We argued from the outset that neither action was justifiable, because they were initiated only as a result of President Trump’s politically motivated order to prevent publication of the Ambassador’s book before the 2020 election,” Cooper said.

“By ending these proceedings without in any way penalizing Ambassador Bolton or limiting his proceeds from the book, the Department of Justice has tacitly acknowledged that President Trump and his White House officials acted illegitimately.”

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DOJ watchdog will probe reported Trump-era subpoenas of Apple for Democrats’ knowledge

House Intelligence Committee Chairman Rep. Adam Schiff (D-CA) speaks outside of a closed session before the House Intelligence, Foreign Affairs and Oversight Committees of the House of Representatives in Washington, DC on October 28, 2019. Capitol in front of media representatives. Also pictured are (LR) Rep. Carolyn Maloney (D-NY), Rep. Jamie Raskin (D-MD) and Rep. Eric Swalwell (D-CA).

Mark Wilson | Getty Images

The Justice Department’s internal watchdog office will investigate after a bomb report alleged that the Trump administration clandestinely summoned Apple over the House Democrats’ data, the office said on Friday.

The investigation will review the “use of subpoenas and other judicial authorities to obtain communications records” by members of Congress, their staff and the news media “in connection with the recent investigations into alleged unauthorized disclosure of information to the media by government officials”. This was announced by Inspector General Michael Horowitz in a statement.

The move follows a growing chorus of Democratic lawmakers, including the two whose records have reportedly been subpoenaed, demanding that the Justice Department inspector-general open an investigation into Trump-era behavior.

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The New York Times reported Thursday night that Trump’s Justice Department seized records in 2017 and early 2018 from at least a dozen people associated with the House Intelligence Committee, including the House Intelligence Chairman Adam Schiff, D-California, and that Committee member Eric Swalwell, D-Calif.

The agency also reportedly obtained data from the accounts of carers and family members, one of whom was a child.

Prosecutors for the DOJ, then headed by Attorney General Jeff Sessions, were looking for sources of harmful news of contacts between Trump employees and Russia, the report said.

When Trump’s prosecutors investigated the source of the leaks, they reportedly investigated the House of Representatives Intelligence Committee, whose members have access to sensitive documents.

The investigation did not link the House committee to the leaks – but Sessions replacement, William Barr, kept the investigation going, the Times reported.

U.S. President Donald Trump (left) speaks with William Barr, U.S. Attorney General, during the 38th annual National Peace Officers Memorial Day service at the U.S. Capitol in Washington, DC, May 15, 2019.

Kevin Dietsch | Bloomberg | Getty Images

Apple was silenced by a gag order that expired earlier this year, according to a company spokesman who confirmed the subpoena in a statement to CNBC on Friday evening.

“It would have been virtually impossible for Apple to understand the intent of the information you want without sifting through the accounts of the users,” said Apple spokesman Fred Sainz. “In accordance with the request, Apple limited the information it provided to account subscriber information and did not provide content such as emails or images.”

Microsoft similarly confirmed a 2017 subpoena and gag order regarding a personal email account on Friday.

“As soon as the gag rule expired, we notified the customer who told us that he was a congress employee. We then gave a briefing to the agent’s employees after this announcement, ”a Microsoft spokesman said in a statement to CNBC.

Assistant Attorney General Lisa Monaco referred the matter to the Department of Justice’s inspector general, an agency official told CNBC on Friday.

Schiff welcomed the move in a statement as “an important first step”. But the watchdog investigation “will not eliminate the need for other forms of oversight and accountability – including public oversight by Congress – and the ministry must work together in those efforts too,” Schiff said.

Monaco, the second official in the Justice Department, was ratified by the Senate in April. Horowitz has been Inspector General since 2012.

Horowitz said Friday that his investigation “will investigate the ministry’s compliance with applicable DOJ policies and procedures, and whether such use or investigations were based on improper considerations.

“If circumstances warrant, the OIG will consider other issues that may arise during the review,” he said, adding, “The review does not replace the OIG’s judgment on the legal and investigative judgments made in matters raised by OIG are checked, have been taken. “

The Times article came weeks after reports that the Trump administration had secretly received records from journalists from several news outlets.

On Thursday evening, Schiff called for an investigation into the Trump DOJ’s actions in “these and other cases that indicate the arming of law enforcement by a corrupt president”.

Trump had “tried to use the ministry as a club against his political opponents and media representatives,” Schiff said in a statement. “It is becoming increasingly clear that these demands have not fallen on deaf ears.”

Swalwell said in his own statement that Apple informed him last month that his files had been turned over to the Trump administration “as part of a politically motivated investigation into his supposed enemies.”

“Like many of the most despicable dictators in the world, former President Trump showed utter contempt for our democracy and the rule of law,” said Swalwell. “This kind of behavior is unacceptable, but unfortunately on the mark for a president who has repeatedly shown that he would put our constitution aside for his own benefit.”

Senate Majority Leader Chuck Schumer, DN.Y., and Senate Justice Committee Chairman Dick Durbin, D-Ill., Added Friday that Congress must obtain testimony from Sessions and Barr.

“The revelation that the Trump Justice Department secretly subpoenaed metadata from members and staff of the House Intelligence Committee and their families, including a minor, is shocking,” Schumer and Durbin said in a joint statement on Friday.

“This is a gross abuse of power and an attack on the separation of powers. This appalling politicization of the Justice Department by Donald Trump and his flatterers must be investigated immediately by both the DOJ Inspector General and Congress, ”said the Senate leaders.

“Former Barr and Sessions attorneys-general and other officials involved must testify under oath before the Senate Judiciary Committee. If they refuse, they will be summoned and forced to testify under oath, ”said Schumer and Durbin.

Senate Finance Committee Chairman Ron Wyden, D-Ore., Also joined calls for a full investigation, saying he plans to introduce laws to increase transparency and reform “abuse of gag orders”.

“The current Justice Department needs to act with much greater urgency to both detect abuses and ensure full accountability of those responsible,” said Wyden.

Read the full New York Times report.

—Sara Salinas of CNBC contributed to this report.

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Politics

CEOs want to arrange for improve in ransomware assaults: DOJ official

A senior Justice Department official warned Friday that US business leaders must do more to prepare for an onslaught of ransomware attacks by foreign states and criminal groups.

“The message has to be to viewers here, CEOs across the country, that they are seeing the exponential increase in these attacks,” said Lisa Monaco, Assistant Attorney General, CNBC’s Eamon Javers in her first television interview since joining the Justice Department in April .

Monaco, which has spearheaded the DOJ’s efforts to deter cyberattacks, said the recent high-profile hacks on the Colonial Pipeline and meat processing company JBS mirror the types of break-ins that happen every day.

“If you don’t take steps – today and now – to understand how to make your business more resilient, what is your plan?” Said Monaco, addressing business leaders. “If your chief security officer came to you today and said, ‘We’ve been hit, boss’, what’s your plan? You know, and does your chief security officer know the name and number of the FBI leader near you? Who cares about ransomware- Attacks? These are steps you must take now – today – to make yourself more resilient. “

Monaco, who was a homeland security adviser to former President Barack Obama, issued a memo to the country’s federal prosecutors on Thursday calling for the centralization of reporting of ransomware attacks. Shortly after joining the DOJ, she launched a 120-day review of the department’s cybersecurity challenges.

“What we are doing here at the Justice Department reflects the threat that ransomware poses to national and economic security,” Monaco said.

The two most recently published attacks against Colonial Pipeline and JBS have been linked to criminal groups in Russia. Monaco declined to speculate on whether Russian President Vladimir Putin, a U.S. opponent, played a role in the debilitating raids.

“We know that the recent attacks against JBS Foods and Colonial Pipeline have actually been linked to criminal actors, criminal groups known to law enforcement and ties to Russia, and these are attackers who have already struck, it reflects one persistent threat, “said Monaco.

“Today, Eamon, businesses are actually being attacked by ransomware attacks, from malicious cyber attackers, whether they are criminals, nation-states or what we call a” mixed threat “of both,” she added.

JBS, the world’s largest meat packer, was hit by a cyberattack on Monday that affected its operations in North America. As of Tuesday, the company said it had made significant strides in restoring the internet, but did not disclose whether it paid a ransom.

Monaco said it doesn’t know if the company paid a ransom. But she said, “I think we need to know” when companies are paying in response to attacks. Investigators, including the FBI, must be able to “follow up on that money,” she said, noting that it is often paid for in cryptocurrency.

Colonial Pipeline CEO Joseph Blount said his company paid a ransom of $ 4.4 million in bitcoin to DarkSide, the criminal group behind the attack. DarkSide self-closed in May but had reportedly received $ 90 million in bitcoin ransom payments.

“The use of cryptocurrency can of course have many good applications, but we have to be aware of the abuse, the abuse of criminal actors in this area,” said Monaco. “So we need both the exchanges and the companies that are going to work with them to really work with the FBI.”

Monaco also said it was vital for companies – especially those that are publicly traded – to disclose when they have been hit by ransomware attacks.

“It is important for the public to understand the steps companies are taking to make themselves more resilient,” she said.

Also on Friday, the FBI released a statement on the recent ransomware attacks, calling its investigation “top priority”.

“The FBI has a long history of addressing unique cyberspace challenges and of imposing risks and ramifications on our nation’s cyber adversaries,” it said. “Thanks to trusting relationships with our partners from the private sector, we are indispensable in the fight against cyberattacks.”

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Health

DOJ expenses 14 individuals in alleged Covid-related health-care fraud

Paul Hennessy | LightRocket | Getty Images

Federal prosecutors have charged 14 people — including a medical doctor and owners of laboratories, pharmacies and a home health agency — in multiple Covid-related fraud schemes that allegedly bilked consumers and insurers out of $143 million, the Department of Justice announced Wednesday.

In addition, the Center for Program Integrity at the Centers for Medicare & Medicaid Services announced it took administrative action against more than 50 medical providers for their involvement in health-care fraud schemes relating to Covid-19.

The DOJ’s Fraud Section, which leads the Medicare Fraud Strike Force, announced it is prosecuting cases in the following districts: Western District of Arkansas, Northern District of California, Middle District of Louisiana, Central District of California, Southern District of Florida, District of New Jersey and the Eastern District of New York.

“These medical professionals, corporate executives, and others allegedly took advantage of the COVID-19 pandemic to line their own pockets instead of providing needed health care services during this unprecedented time in our country,” Deputy Attorney General Lisa Monaco said. “We are determined to hold those who exploit such programs accountable to the fullest extent of the law.”

FBI Director Christopher Wray also said the agency is committed to combating Covid-related health-care fraud. “Medical providers have been the unsung heroes. … It’s disheartening that some have abused their authorities.”

The defendants allegedly engaged in various types of schemes “designed to exploit the COVID-19 pandemic,” the DOJ said in a news release.

“For example, multiple defendants offered COVID-19 tests to Medicare beneficiaries at senior living facilities, drive-through COVID-19 testing sites, and medical offices to induce the beneficiaries to provide their personal identifying information and a saliva or blood sample,” the DOJ said. “The defendants are alleged to have then misused the information and samples to submit claims to Medicare for unrelated, medically unnecessary, and far more expensive laboratory tests, including cancer genetic testing, allergy testing, and respiratory pathogen panel tests.” The DOJ said the proceeds of the schemes were allegedly laundered through shell corporations and used to buy exotic cars and luxury real estate.

In another example, a defendant allegedly exploited telehealth regulation expansions to submit fraudulent claims to Medicare for telemedicine encounters that never happened, according to the DOJ. Telehealth regulations had been broadened after Covid-19 was recognized as a national emergency to give Medicare beneficiaries greater access to a wider range of services so they could avoid risky travel to health-care sites.

Here are some of the cases the DOJ announced it is prosecuting:

In Arkansas, a man who owns two testing laboratories was charged with health-care fraud in connection with an alleged scheme to defraud the U.S. of more than $88 million. The man allegedly used access to beneficiary and medical provider information from prior lab testing orders to submit hundreds of fraudulent claims for urine, drug and other tests. Some of the falsely submitted claims were for beneficiaries who were already dead.

A doctor in New Jersey allegedly ordered expensive and medically unnecessary cancer genetic testing for Medicare beneficiaries that attended a Covid-19 testing event that he participated in. The man also allegedly billed Medicare for services to beneficiaries that he never provided, totaling about $19 million in health-care fraud schemes.

Another man in the state who was a partner at a diagnostic testing lab allegedly offered kickbacks in exchange for respiratory pathogen tests that were improperly bundled with Covid tests and billed to Medicare. The man allegedly paid and received bribes in a scheme totaling $5.4 million.

In New York, charges were brought against two people who owned several pharmacies and sham pharmacy wholesaling companies for allegedly committing health-care fraud, wire fraud and money laundering totaling $45 million. The two and their co-conspirators allegedly acquired billing privileges for multiple pharmacies. They also allegedly submitted fraudulent claims to Medicare by abusing emergency Covid-19 rules to avoid otherwise applicable limits on refills for expensive drugs. The DOJ news release said the defendants “allegedly used an elaborate network of international money laundering operations to conceal and disguise the proceeds of the scheme.”

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Health

DOJ expenses 14 folks for alleged health-care fraud associated to Covid-19

Paul Hennessy | LightRocket | Getty Images

The federal prosecutor has indicted 14 people in multiple fraud programs that allegedly charged consumers and insurers with $ 143 million, the Justice Department said on Wednesday.

In addition to those charged by the DOJ, more than 50 medical providers are facing administrative actions by the Center for Program Integrity and Centers for Medicare & Medicaid Services for participating in healthcare fraud programs related to Covid-19.

The DOJ’s fraud division, which heads the Medicare Fraud Strike Force, announced that it is pursuing cases in the following counties: Western District of Arkansas, Northern District of California, Middle District of Louisiana, Central District of California, Southern District of Florida, Borough of New Jersey and the eastern borough of New York.

“These health professionals, executives and others have allegedly taken advantage of the COVID-19 pandemic to fill their own pockets instead of providing the health services they need in our country at this unprecedented time,” said Assistant Attorney General Lisa Monaco. “We are determined to hold those who use such programs accountable to the fullest extent of the law.”

FBI Director Christopher Wray also said the agency is determined to fight healthcare fraud related to Covid-19.

The DOJ’s announcement also found that the profits from the fraudulent operations were allegedly laundered by Shell companies and used to purchase exotic cars and luxury homes.

After Covid-19 was recognized as a national emergency, telehealth regulations were expanded to allow Medicare beneficiaries better access to a wider range of services to avoid risky trips to health locations. The defendant allegedly used these extensions to bring fraudulent claims to Medicare over telemedicine encounters that the DOJ said never took place.

In Arkansas, a man who owns two testing laboratories was charged with more than $ 88 million in healthcare fraud in connection with an alleged fraud program against the United States. The man allegedly used access to beneficiary and medical provider information from previous laboratory test assignments to file hundreds of fraudulent claims for urine, drug and other tests. Some of the falsely submitted claims concerned deceased beneficiaries.

A doctor in New Jersey allegedly ordered expensive and medically unnecessary cancer genetic testing for Medicare beneficiaries attending a Covid-19 testing promotional event he attended. The man also reportedly billed Medicare for services to beneficiaries he never performed, totaling around $ 19 million in healthcare fraud systems.

Another man in the state who was a partner in a diagnostic testing lab allegedly offered setbacks in exchange for breath tests that were not properly bundled with Covid tests and billed to Medicare. The man reportedly paid and received bribes totaling $ 5.4 million.

In New York, charges were brought against two people who owned several pharmacies and bogus pharmacy wholesalers for allegedly guilty of healthcare fraud, wire fraud and money laundering totaling $ 45 million. The two and their co-conspirators have reportedly acquired billing privileges for several pharmacies. They also allegedly filed fraudulent claims with Medicare by abusing the Covid-19 emergency rules to avoid otherwise imposed restrictions on refilling expensive drugs.

The report alleges that the defendants “allegedly used an ingenious network of international money laundering activities to hide and disguise the proceeds of the system.”

“Medical providers have been the unsung heroes … It’s disheartening that some have abused their agencies,” Wray said.