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tv   Key Capitol Hill Hearings  CSPAN  May 22, 2015 12:30am-2:31am EDT

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. of course there are not operating banks. you notice the other day the kenyan to wanted to shut down some of the services. funding. funding terrorism, but there is a huge outcry international. so many were disadvantaged. your question is absolutely right. what is to be done is to bring these informal systems and do a formal structure rather than banning them in trying to push them out. formal banks unwilling to offer banking services because they fear regulations and so on. >> i want to move on to another issue isis and the iraqi government. one of the best ways isis has financed the season currency. various countries have
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issued new currency replacing all make notes with new banknotes. this is incredibly inconvenient for criminals and corrupt politicians just as it would invalidate the banknotes stolen at the regional bank by isis. does anyone have a good estimate as to the value of the notes? i have had various reports. >> it is hard to say. alleged to have sold $500 million. >> you would hope the iraqi government would at least no the gold currency in his bank before the american troops ran and left the
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money for crisis but it goes beyond that. the is paying salaries to bureaucrats and the money is taken. it is my understanding and i don't know the iraqi government is sending electricity free end three and a isis gets to collect from the utility users. i get conflicting arguments spent from our government half the time the iraqi of our boasting make it possible to get governments. they care about the people and want to make sure their lives are comfortable.
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finally, there is the real for spoke about. oil wells. it it is hard to five we can bomb the oil wells. the chosen to the chosen to not do that because we want to make sure. >> hopefully take back that territory in a legal manner. >> just like any business. >> i no we're bombing the refineries. i asked about the oil wells. we did not think. >> the chair now recognizes the german from maine performance.
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>> thank you for being here today in dealing with this new dimension chose. a encourage everyone to continue to do good work and make sure we do everything possible. the flow to stop the flow of funds to terrorist groups the threat,. i am concerned. we we see a marriage between organized crime and terrorism. i no all of us this country being increasingly alarmed by the savagery that we see over in the middle east in particular. like to follow up with the stooges question doing the administration's negotiations currently with respect to a nuclear deal with iran and if in fact sanctions are lifted the
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currently imposed on iran 2500 _-dash. what might that do with respect to the increased marriage between organized crime and terrorist funding in particular could you through your knowledge you have a background in international making and security? what would happen next? >> the concerns of how it might turn out to one of the objections the sanctions brought the iranians to the negotiating table. that is clear. the economy is so suffocated the scenarios they would like his immediately upon signature of the agreement that it would be an automatic lifting of the
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sanctions. it is hard it is hard to put the genie back in the bottle you have now a global sanctions regime. the us, eu and other countries have issued sanctions. once you have countries who are hoping to do business with the opening of the lifting of the sanctions it will be hard to apply these so-called snapback sanctions more importantly, there will enter into the global economy. and, as we all know, iran is a state sponsor of terrorism but more importantly it is a patron of hezbollah. actually supply and the fighters for the aside regime. so complex and convoluted.
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other countries would like to do trade with iran want access to the oil. oil. once you with the punitive measures it is hard to backtrack. >> let's drill down want if we can. assuming sanctions were lifted, and as you state, iran is a sponsor of terrorism syria, somalia yemen what would be the mechanics of what you see if you call international banking community with respect to how the lifting of sanctions might facilitate organized crime, interconnecting with terrorism activities and how might the uranian regime be involved specifically to facilitate that. >> more importantly financial sections. globally. more importantly from trade piece the ability to think
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about import and export components that could be used for other nuclear aspirations we did a time of compliance there are several for anticipating. we spent time taking a look at how actors in the region and latin latin america can also destabilize other parts of the world. thank you.
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>> and now recognize the digital man from texas for five minutes. >> thank you. i am concerned about the notion we should follow my. i am concerned about following the counterfeit money. these -- this currency is so finely tuned that sometimes it is difficult to be detected but for some sort of special technology. as you know, the dollar's reserve currency of most of that is unlawful crisis is. my concern you should not be on these superheroes going in and out of our country to countries can pose a threat:. i understand that we
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retooled our currency i am concerned about _ _ _ it's like to terrorist organizations that can play able to evaluating creating mistrust and currency. >> having overseen it, i guess it is a costly endeavor. the national level, counterfeit currency. i do not know that they have succeeded counterfeiting the latest iteration of $1500 bill.
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i appreciate your interest and concern. it is cost hundreds of millions of dollars. they did spoke on several huge bank runs. you know, the amount of money the regime has garnered is probably not as high as some think the damage they have done is considerable. the damage they could do and if they could counterfeit the security measures of knew notes, it would be pretty incredible technologically. they are pretty good now. we know they are essentially putting their notes and our notes on printing presses.
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they are using their absolute best ability. the department of the treasury is on top. why did north korea not prosecuted? the fbi had an incredible investigation north korean supernova activity 1970s. it was wild stuff which is vanity fair future. kim regime. i was involved in trying to press charges.
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expire. >> if i may i appreciate your answer. i have one of the question will lead to knock off's. i want to move to a pedestrian level. we see a lot of them on the street. the question is to what extent are these networks of criminal activities and also the possibility of being linked to terrorism. >> the largest export for north korea is counterfeit cigarettes go north korea government controlled criminal a run factories. making babies misses $712 billion a year in revenue trafficked all over
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the united states frequently appear as coming out of china, but they are actually coming through china. does it benefit the regime? absolutely. are they they tied and the transnational organized crime? 100 percent certain. you should be concerned. >> thank you. i yield back. >> the chair now recognizes my colleague from pennsylvania for five minutes. >> thank you, mr. chairman. >> you.out in your testimony that iran is banks are largely barred from the western financial system benefit from access to the international financial for
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financial market through venezuela, ecuador bolivia and financial institutions which act as proxies by moving iranian money has if it originated in their own unsanctioned financial systems. can you explain -- explained in a practical manner how they eluded international sanctions regime jam with the to what the us has tried to do clearly unsuccessfully to provide this? >> thank you. there are two specific cases one is the banco to show which was set up as a venezuelan banks but the directors were iranian command it was eventually when i and others dug out the initial documents all in one incident -- citizens. asus to have subsidiary orion bank. the treasury department sanctions them, and they are now functioning as a much smaller level. they still have the iranian influence. the case of american ecuador were able to get records to
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investigative journalists in the region. those of us of the other stuff. >> ahmadinejad asked him for a bank. he said i have one. national bank that was virtually nonfunctional at the time of existed as a bank. after they reached that agreement he said the president of the central bank of ecuador to iran to negotiate which bank with whom you have a correspondent relationship. they stopped in russia and the account a russian make that maintains correspondent peggy relationships. you can have your bank
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transfer without registering. a good and negotiate. israel sanctions banks. go ahead. >> absolutely. we are seeing now you have literally billions of unexplained dollars regular correspondent relationships multiple things that are not let these canadian bank tape thing. those joint task force would be good. they are looking at different things. what we're looking at now the state groundbreaking systems. multiple banks growing exponentially no rational explanation. thanks in panama are doing exactly the same thing.
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>> with any measures that we take the baby by a lifting of sanctions with respect to the uranian banks? >> i think that it would make it much more difficult. it's the sanctions are lifted the snapback will not be rapid. >> let me bring the professor and for 2nd. one of the measures they you identified the counter these networks was to maintain a vigorous -- transnational criminal organization campaigns, and designated nationals. i have contended that the sanctions regime in place today is justified completely on the fact that they have been exporting terror for decades responsible for hundreds of american deaths since 1980.
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go back to the rescue attempt and the people was there. they go through the list of what they have been doing, including the killing of hundreds of soldiers in iraq. that alone justifies the regime without regard to nuclear program. my question if you could address that if we lift the sanctions only see more terror financing? >> one of the things that has limited them from supporting hezbollah. it will need to have alleviate the economic stress. it's actually a question we have not been able to make their pockets my life. the global sanctions regime. and all the income will have
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lots reactor the global marketplace. financial as was the important export and trade. that is the downside of globalization which are more about. we about. we benefited tremendously. unfortunately the terrorists and criminals are taking advantage. >> having my time has expired. thank you for your testimony. >> we recognize the german from arkansas for five minutes. >> thank you mr. chairman. reflect for me. when we put pressure on developed countries and through the financial process and the patriot act always these legitimate users of those marketplaces. has been a big important tool.
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noriega's assets of the players around. what can we do in that arena? and we expand the process? amended? is there are many program we could use? you expand upon that? >> it is an interesting question. we have not been utilized outside of the world of straight have heard trafficking the process of asset forfeiture effectively something i have advocated against the use of rico a huge transnational with us organized criminal entities. terrorism is a specified unlawful act. so if you engage in more than two you are engaged in
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a conspiracy that can be prosecuted. the thing about rico you can charge anyone. a lot of want to buy. you are charged. but you can moreover go after their money. if there is a foundation and a far-flung land the country that does not honor the 1st lebanon for example we found $150 million of the proceeds for sale basically a big big obama. they put their money in there. well, under our law code section 118 k. the us government. it did not have one they
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were to freeze the money. proceeds. of course, we should use them strategically more effectively, it will be exponentially more effective but where we do not have it we have legal tools that can be useful. we have to deprive financial assets were adversaries pockets. >> is there a a formalized model that you can see in this charitable every we have seen maybe a best practice where through either force disclosure of legitimate charity toward potential donors that they have a record of bad acting us charity or is there a way
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to formalize the receipt of remittances in a a foreign country like somalia that my work your way to better monitor flows? >> you are right. public awareness is to have enormously important. the public has a responsibility to know how charities will spend money. they are regulations which have developed over the years best practices in this country, the united kingdom as well which require registration of charities and the auditing of their accounts with much more detailed scrutiny. and that is having a real effect. fewer charities which can be found to be funding terrorism in jurisdictions where the law is applied properly and fully. and on remittances there is
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a mistake made the cut is somehow prepared to turn a blind eye to transactions no space might otherwise stop but they must know the customers even more because just based entirely on trust rather than a purely commercial basis. >> i yield back. >> the chair now recognizes the gentleman from kentucky five minutes. >> thank you for calling this important hearing and exploring and learning more about the dangerous nexus between terrorism and organizations. i am particularly interested in whether or not there is substantial evidence of us-based organizations that have partnered with islamic terrorist organizations. what is the extent of the nexus?
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we have heard about international drug cartels but to what extent are american based us-based criminal organizations affiliated with islamic terrorist organizations like hezbollah? a larger scale us criminal organization. the press would be very very high. organizations are largely rational actors.
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the price the price they pay being that i am a profit the don't need those groups. i am not aware of that. >> just briefly the similar drug cartel is not based in the united states. it derives a lot of income from the united states. pablo escobar's empire massive amounts of cocaine. in both cases there is definitely a partnership going on. especially the darker side. in my work personally i can attest to that. we have seen it. prosecuting criminal court. the the major cartels and states will start his great job pointing out organizations like hezbollah
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are out of control. >> let me turn to ice is for a moment. you know from your testimony the sources of isis funds are predominantly oil to the interests and the like. access and participate in the international financial system. >> is an excellent question and one that is puzzling. the caste -based economy and the self generating economy.
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the territories occupied by ice. but i think increasingly we see the transfer of money through the internet which is becoming more common elsewhere. people want to make donations can send it to a bank in turkey parts of the countries of syria and iraq. there will be some sort of interaction. section 311 comes -- is the best tool available to the united states to disrupt those backing activities? >> the best tool as they gather intelligence on how that is happening in the individual cases as they come up. if i could approach will be
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difficult when you look at the variety that may be available and the fact that predominantly the cash flow the single most important policy change of this congress. >> i think i think the bank secrecy act is to be fully realized. unsuccessful attempts to eliminate terrorism financing. as a huge overregulation of the financial system. ..
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>> >> there are banks live in central america if you deposit over a certain amount of the 17% they will give you a history of justification for all records and is one of the
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full services. >> how much of that is government leaders? >> of the white? prettify adjusted 22% of the cocaine money coming back into the country that government has created a charter to allow me to have access what is the government taking? to read the of vice president with the decorative scheme where there were some banks involved end it becomes the state's operations i don't know the exact percentage but the government officials
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will take up to half. with data guatemalans who wrapped up multi hundreds of millions of dollars into is charged with 200 million and to some party investigation and shows he made $450 million. >> than in regards to certain issues? >> i think fed is true we have some good smart people with severe resource constraints. just like the 311 designation they have three branches operating in panama. we had at least $2 million
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of organized crime. so they simply don't have the resources to reach out. we have three people to look and 45 cases. >> i was in panama from the countries that you mentioned and he swears he watched the checks being deposited. and tried to do speak publicly and has made little progress. >> trying to get my a head and around we have a hearing that talks about venezuela with your price with the
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u.s. currency you pay this sore this day and this is however breaks out. >> is called a criminal states carry as a active national policy. no surprise there is money in the oil accounts. of disaster there had to get the money from the u.s.? but to show those movement of funds. i have no idea if any of these are involved but things pop up there has to be something going on with a formalized transactions and
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trade ended is concerning from knifing tape perspective that we do little to police it because even if they are engaged in criminal activity. >> thank you for letting me go over. rebuff to see the movement to treat bad actors and governments and also just plain bad actors to see that flow chart. >> thank you gentleman we will proceed to a second round of questions that the member wishes to be recognized. >> i appreciate the courtesy. when there is a settlement with the bank to be conclusive in money-laundering what happens to the proceeds of the settlement funds?
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could they be used for counterterrorism efforts and how could reach designate that? >> u.s. marshal saugh manage the assets then there's the actual seizure it is more popularized through movies with said dea to go after cartels but among those agencies involved in the actual operation is it interesting u.s. model to export to other partner nations as forfeiture as useful model. they are rated but extradition to a solitary cell without a cell phone and the actual expropriation of funds per dry have
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actually advocated the actual seizure of those funds when they are levied to those that are violating the known the sanctions regimes and laundering money there should be apportioned dedicated to helping who uncover m prosecute these crimes we have heard how the government has experts but because of these shortages and the fact the best experts are going to the private sector we need to work on capacity building the resources were critical talking hundreds of millions of dollars with the allocation of funds this
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seems to be advancing those counterterrorism efforts. >> we contributed a few hundred million dollars and i wonder what happens? it is a great question. yes we have these pots better used but not enough to be used proactively it is controversial issue here on the hill with this fiasco is something that we will regret but the use of money as the two will as a racist so we have to put money on the table. with its credibility. with the tiny amount with
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said effectiveness committed against them. with that fact of forfeiture is how they are years. we have to give it much more aggressive leader is people are getting shot in the streets of queeney. >> i yield back. >> i just want to follow up their members that are so concerned of the iranian negotiations underway between the it ministration and iran. for the last hearing we were shocked at the magnitude of money flowing back for the proposed treaty to be successful with the
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$50 million signing bonus a and cash in the accounts that were frozen in the flow was noted. is in your role of financing how would you rank them wanted to $20 billion if the treaty proceeds? if it is of low importunes to national security then how would you to view bring of the $120 billion? give me a number. >> 85 or maybe three.
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that externalization reaches of a top priority as a policy. we should have been focused not there is the nuclear reactor cheers syria. >> bill whole orientation is against our business. maybe there's something going on to change that but those that are opposed to us as a state. >> iran operates in its best interest and good identify in different ways according to the context of the international community around they may find actors
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that the allies would not like to see that are funded like iran with a huge amount of money to syria but is the militia of iraq is the most effective forces against i says. the main way to make sure that additional money will not be used in ways that we like is to bring iran into the international community along side ever ready else that is the allied air and then to be with us sectarianism and mindy and others.
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and then talking about a rand of latin america i was as heavy red iran's constitution? he said read the preamble. it is up policy to expand using the armed guard to spread jihad that is written into the constitution. so i agree there is a fundamental nature to be something that allows fungible money into their system will almost inevitably .2 much more aggressive action because that is the core underlying believe. >> is as great concern here refocus on the nuclear deal where the allies have much more focused on the iranian makes kitchen isn't and talk
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about the revival of our persian empire we have seen the four major capitals and many of the gulf states allies are worried about becoming into the shi'ah circle. in the bond in syria and what you're seeing with yemen. as a state sponsor it is about iranian hegemony that is so complex because of that historical vibrant -- rivalry rigo icarian the press as much not looking at that you political aspirations. >> the chair recognizes the gentleman from new york. >> i have been listening attentively in my office.
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let me ask a few questions because my focus on this committee is what we can do in congress to make sure we're not allowing the internet and others to facilitate money-laundering so i will ask you the first question so with your testimony mention should day amend the data sharing among banks? the issue we recently had to vote there is a general concern about personal information to be widely available with little knowledge with how that is used so could you elaborate
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how congress should proceed well-preserved inky human rights privacy? >> secrecy actually was not passed with privacy but to stop money-laundering. i am concerned with that person liberation in to be divulged but the cat is out of the bag that is almost ridiculous the information they may have about us but the basics are reticent even though it is allowed under the patriot fact banks can share e-mail but they cannot pull it if you could do the
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visa or mastercard you will see massive schemes that could be stopped by baying said a relatively low cost because you'll see you open-ended account at this stage gore this city and they set up the money-laundering network program so sharing that data would not only to medically to do cost but improve effectiveness the still not be obliged there were just share with these other so for that to be divulged any more than it is but the economy of scale does help to stop things from occurring and also brings down cost but they could be in a position to have classified data dash u.s.
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government we need to consider providing that we did to airlines and shipping lines if we have a container of weapons we will say there is you have to inspect it they're doing business with drug traffickers or hezbollah? we don't need to publicly approach these issues. >> that debate is going on. >> is a healthy debate but i am thinking of will lead to any more -- than is already if anything it may be much more effective. >> trying to figure out what we can do as a committee because you say in your testimony a that corruption
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particularly with the delivery of justice the most significant driver of terrorism so what role does the financial-services committee with their oversight authority will roll can replay to better insure the occurrence struggling with terrorist organizations? >> i think what you're doing is right because criminality is said judge driver of terrorism in these areas where the sense of the the people are dissatisfied with what is provided as government leaders are involved in that financial
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skulduggery then the less dissatisfied people would be if they receive justice served in another jurisdiction it is very encouraging. >> think to the witnesses for their testimony in their time here today and your expertise. without objection all members will have five legislative days to submit additional questions i asked witnesses to please respond as promptly as you are able. the hearing is adjourned. [inaudible conversations]
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sorry she food spills his blood with me shall be my brother gentlemen in england shall think of themselves first that they were not here. >> one drop of blood drawn from the countries pose some -- but a summer should be less then streams of foreign gore.
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>> sometimes you have to go with the poetic images the sound of the rhine and the way that to pause and winter over a long phrase then stop in to keep going. he uses the rhythms of the language that shakespeare did so brilliantly to put english into high gear then in slowdown that is something shakespeare lets you do if you are a politician. goodnight could night partying is such sweet sorrow in there really is.
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one the georgia arms ever security lot of lives honored to have it informs in cybercrime. serving as the head of a united states support of the injustice oversees nearly 600 attorneys to prosecute a - - prosecute federal cases against law and criminal enforcement policy in addition to work closely with the nation's attorneys' offices with the investigation of criminal matters in their district. the career over 30 years in hell's cases as a defense counsel and as a prosecutor. she was in the eastern district of new york after a
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move to the west coast she served as the chief of the apparel division and chief of the series fraud section for the northern district of california. 2002 through 2004 served as director of the doj task force where her work was highly recognized and several occasions including the upper stages attorney general word for exceptional service. next she spent a decade into private practice where she was co-chair of the corporate investigations and white caller groups. may 15, 2014 she was confirmed as the assistant attorney general. as her first-year head of the criminal division and she has made prosecuting cybercrime the top priority per she has new initiatives the bottom investigate to
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put a cybercriminals behind bars but a practice strategy that works with law-enforcement around the world. could one of the highlights was the creation of the cybersecurity unit within the division of intellectual property. please kindly joinery to warm welcome assistant attorney general called well [applause] >> thank you for not coming out tuesday that i am really old. [laughter] but good afternoon in thank you for inviting me to speak here today. cybercrime and cybersecurity are very complicated issues to raise concerns that defy
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a simple solution in gore our investigative tools with no single technology that will magically guarantee the security of our data or information systems. but to use prosecuting cyber crime to set of cybersecurity is hard fought in not easily won. the same is true of the prosecution of cybercrimes we have been in the business more than 20 years. the criminal division sunset that intellectual property division so now i will call it ccip to investigate espionage to work with the national security division, network of 270
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prosecutors across the country hand in hand in ccip is the linchpin with their effort against cybercrime they have been involved lung capacity or another in almost every cybercrime case since the nineties. over the years we have developed strategies to combat such -- cybercrime and we try to combine those. one of the things we have done is to collaborate a lot with the private sector as well as international law-enforcement partners all over the world. cybercrime is the most international so we have to develop relationships and rehab great relationships with law-enforcement all over the world also with the private sector and frankly
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every could not do it without foreign law enforcement. because of collaboration we could identify what are the biggest threats out there? people will say isn't cybercrime like to play wack the mold? -- role it is no longer focused on the guy in his pajamas but if we are is because they're part of the bigger networks and bigger organization. we can identify which threats get our priorities and we can do that with the collaboration of law enforcement agencies all over the world region also dismantle infrastructure that they used to victimize people all over the world and that collaboration is critical to our success in this area more than in the
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other area of criminal prosecution for court not only want to continue that but expand as we go forward. to dash one to repress on everyone we need to have for real sense of urgency talking about cybercrime for break gets bigger every day weaknesses' make companies and individuals will honorable. every day they get more sophisticated, more organized greasy networks to have updated reach and it is a significant problem with a sense of personal security and stealing intellectual property to enrich themselves at the expense of people in the u.s. all over the world and at the expense of our companies. please work closely with us
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because we're better positioned than we ever have before to help fight this problem we can drink the intruders to justice. we can help to better defend your network and i will talk about the cybersecurity division and for right now we're in a place we cannot tell you where the next day dash a breach will be or who will do the next attack. so what we try to do is emphasize we need to prevent it so we have a cybersecurity unit to be a strong voice in that space. just stepping back ever ready knows that cybercrime is a huge threat. a couple years ago trade publications called 2013 the year of the breach because
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there were so many. recently publications have called 2014 the year of the negev region. [laughter] i cannot wait to see 2015 i don't think it'll be the year that they stop. we have seen a surge nearly invasive data reaches that target some of the largest businesses across the spectrum focused on banks. the victims have ranged from any company with personal identifying information that could be monetized that could be mom-and-pop tax preparer or a huge bank or health care company a day are anyone who has the data that is what they're seeking to sell that on darker
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markets. one study estimated the global economy lost is $400 billion last week there is a study that said by 2019 the number will grow at $2 trillion. think about that. it is just flowing out of the system intellectual property that is stolen and these numbers are huge but does not count the damage to individuals. i got my letter from a of them blue cross we are sorry but we're buying insurance for you for a couple years. but against the whole backdrop we have seen some victories in the service as a reminder although complicated, the cybercrime is not insolvable we should
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not just put our head stem and not prosecuted. they have become more sophisticated so have we and our agencies around the world. were using old-fashioned types of investigation and was cutting edge technology with the private sector to do some things that could not be done one thing i have heard from people is why you bother to indict these people in vietnam's or russia that we cannot get to them? because we do. a few weeks ago we unsealed the indictment and two vietnamese hackers with over 1 billion records over a three-year period als year pursuant to the request from the office of international affairs, a foreign partner's
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arrested a notorious russian hacker named roman. he was vacationing in the maltese the next day he was in jail in seattle. we extradited another russian hacker who traveled to the netherlands and was arrested. he is part of a group responsible for data every chat retail stores where more than 160 million credit cards with identifying information was stolen. so we have extradited about one dozen high-level cybercriminals from all over the world including those i just mentioned from countries that we had no reason to expect we would never get them unless they travel. they do travel it is a long winter in brescia. [laughter] but those that we do have
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treaties with to work collaborative the with that will grow because we not the only victims. all prosperous country are victims. the international cooperation will grow because it is in everyone's interest. we're also a to link other things to try to disrupt the tools at criminals use. last summer with u.s. law enforcement working with foreign partners and numerous private sector partners we could disrupt of the of crypto locker game we face an extremely sophisticated type of now where that could steal information from the computers that infected.
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one but those computers became part of a of close full network of compromise computers or a the botnet was used for various purposes but mostly stealing confidential information to gain access to financial information such as bank accounts. and net worth between 500,000 and 1 million computers worldwide most of those in the united states for'' it wears shoes to steal hundreds of millions of dollars from small businesses and individuals a lot of those had their entire bank account wiped out because their business accounts they are not insured. so it is schaede distribution mechanism for the up malware it would encrypt the files on the
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computer and tell day paid our rand some. it affected more than two 1000's of computers in the short run a time and in the same time businesses paid more than 27 million to get their computer files uncorrected if you know, each victim only paid rose $750 though that adds up in a short period of time in those are the people who paid the ransom. that operation and was of success and was course supervised as all operations are. we could not have done it without law-enforcement partners overseas are without technical assistance from companies like dell and microsoft and shadow server.
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we did not stop dead day we announced to take down the botnet rehab warrants for people's arrests the state department announced a $3 million reward for information in the dingy to a reward of five rushes nationalism is the mastermind of the botnet. is a long winter in russia and other people may want that $3 million we hope that reward will help us to get him. there are not hundreds of thousands of people who live engaged in that activity it is a small number that is known to lose the fbi better focused to get to the big people because we see overlapping cast of characters with big data breaches so that
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collaboration over zeus was the private sector is law-enforcement it was not an aberration and that is the new normal with our investigations just a few weeks ago we dismantled another botnet we do not come up with these names by the way a. [laughter] that is all of the hackers. that installed rand some information and it was critical to you dismantle it will. have made it clear we appreciate your help and we want your help but we also want to help you. as mentioned at the georgetown law school campus i announce the plan to work more closely with the
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private sector and other government officials on the issue of cybersecurity salary recognize prevention is important because you cannot foresee when these things will happen and you cannot stop them in advance so you have to prevent them from happening so we have a new section called the cybersecurity unit. the reasons were simple. cybercraven crime is ever security are linked to each other vulnerabilities and inadequate implementation and is one of facilities and enables cybercrime so we hope to use those lessons that we learned reveres with from investigating and disrupting cybercrime to create guidance to support
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cybersecurity efforts and by creating that unit the we are already focused on cybersecurity but this is the dedicated unit to make sure it gets the constant attention it deserves and warrants. said to have that experience already it is going to concentrate that with the relatively small group of people. with the cyprus security unit will do? we're already doing it to analyze them provide legal guidance on and cybersecurity issues to the extent they implicate federal laws like the wiretap act and are already working with congress on legislation empire days and working with the national security council made on various initiatives and
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actively engaged with the public sector to address those legal challenges addressing cybersecurity and it is only been an existence a few months but it has broken a lot of ground and has been a big hit there is a lot of honegger for it we are conducting a reach and meeting with security researchers in in-house counsel and trade associations and others in the private sector. one recently had the discussion with the center for strategic and international studies to talk about active defense and what can companies do? with a cybersecurity unit website a summary of that discussion if anybody is a
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nerdy enough to go look at it. [laughter] but i did. will also learn to about in-house counsel challenges when faced with a cybersecurity breach or what your do to prevent as the direct result we have arranged the presentation to in-house counsel henry also learned which defensive measures experts think are most effective and what actually work to see if we have a role to assist in the implementation of several of those measures we also held a round table with data reach experts and it was
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mobbed and we had to turn people away because there is such a honker on this issue we see cases of in-house counsel you don't know what to do so there is a real demand with the robust discussion about various issues including the prompt reporting to law-enforcement and our new attorney general gave her opening remarks to make clear a top priority mitt is to address the problem of cybercrime. the unit is collaborating with other agencies and various regulatory issues with. the ftc just today issued a statement on the web site to say, i will just read it, the company reported a breach to the appropriate
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law enforcement and cooperated has taken the important step to reduce the of harm so therefore to conduct the investigation is likely we view them more favorably than the company that has not cooperated in that is the ftc statement after consulting and coordinating with from our perspective we view victims as data reaches in this statement will help to show other agencies are willing to do the data breach. a public example of cybersecurity is on the web site is on a guidance document of best practices is this is the first written contribution to the discourse and has been well received.
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it is consistent with the mission that the cybercrime prosecutors have to investigate cybercrime but also from the private sector and organizations that have handled cyberintrusions' and also a pretty common sense obvious measures that an organization in should voluntarily make to react to a cybersecurity attack to provide step-by-step advise before during and after a cyberattack. some of the things we seem obvious but many did not have these things in to use sony as an example i am not
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involved in the case but i don't think they really thought they would be vulnerable to the kind of attack made on them ended is a wake-up call thinking we're not defense contractors we're not financial institutions. every company has to worry. so that is something that has been surprising serve the plan says what you should do before and you should have a plan about what you will do to prevent this and what to do with this happens but that should identify what are the most important cyberaspects? to adopt risk management practices to protect the assets to make sure you have the right people who have access and those who are identified in advance he
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will be though responders to develop relationships before the cyberattack develop a relationship with law-enforcement to have outside counsel in mind to you will call if something happens so you are ready. the guidance also goes into detail about what you do if you are attractive and what you do after words. the most important thing is notify your law enforcement person and i know the director probably spoke of that but it is important we have the tools that vendors stowe have been the information they don't have with the ability to do
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things they cannot do we can tell a for let gatt said dative reach over here that the same people did this same back over here and other companies may have difficulty with that but it is carefully thought out with a product as well as input from others with similar experience. we really hope we see where new beer called the injury situation to read that bewildered company who did not have adequate authority to monitor their networks and did not know what you'd do to preserve their data may have taken measures on their own in response that would thwart our ability to investigate effectively. free drafted the chitin's
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but it was a smaller organization that is less likely to have several security relationships. because it can benefit everyone we understand with compliance there is no one size fits all you have to tailor to your company but is of good starting point also the document is a living document and we will update as we get additional input to from others in the field. we will put out additional guidance as we go forward. also is to save what organizations should not do and to be consistent with the goals we hope the guidance will help steer
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companies away from what may be the first instinct to ring gauge and defensive measures to hack back at who you think and attacked you to harm them or retrieve your stolen data based on our decades of experience we think that's tint carry serious legal consequences and create a significant policy risk and will probably not get you anything more than thinking you damage to them. first with the legal position some say it is lawful but that is not our view. but even if it were we were recommend against it because it creates a lot of risk and
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those decisions facilitating against it imposes a significant risk to the third-party so with many investigations we have seen sophisticated criminals who hijacked the infrastructure of the innocent third party to use that to commit crimes while basking identity you could happen to the unsuspecting innocent third party. cybercriminals use multiple third-party is. they may keep the stolen data for later retrieval so you don't know who you hack into. also it can interfere with our investigation or validates europe gathered data is sent a theoretical concern but where a company takes its own actions and we cannot piece together the
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trail digitally then are hampered with the ability to do that. there is a significant risk of traumatic escalation. you don't know who these people are. they to be sophisticated or a foreign intelligence service and has much more destructive capabilities than anything that you have if you try to hack back. and first of all is not the goal here but hopefully not in other countries around the world you could pack back into the country to violate a lot of another country. also the possibility whoever you have backed could mistake your action as the action of the united states government to create other problems from a foreign policy perspective.
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also another reason is it doesn't usually the work or obtain the desired results. that is not just us talking there was "christian science monitor" article that pooled a group of experts with the privacy community if companies should be allowed and 82% said no we have gotten similar feedback from severs security experts with the eight units their experts there in their radio was to have back was a better idea but i am encouraged by the proposals that we have seen i think they go along way to increase security through alternative passwords
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including private sector capabilities that devalues that data there is nothing they can do with it but anything to defend the network is not necessarily a good idea and have backed we feel strongly does not work and is a bad idea and makes those you to legal risk here and overseas. we are considering now the cyprus security unit whether to offer guidance on defense says countermeasures we have been told by experts are beneficial and increasing our efforts to make sure we can act with our partners in a more timely fashion with the data every to respond more quickly and in realtime
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to have international partners with the 24/7 network and we want to help these dative reaches and real working to make ourselves as fast and nimble as possible prior will finish by reiterating that everyone in this room who works in several security feels the threat breathing down our necks with the sense of urgency and we want you to feel that. status quo is not pretty enough we have to keep up to get ahead of them paid to more every day to invade our lives and steal our money to harm businesses. we have to find ways to prevent that. prosecuting is grey had we
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will continue to put that all over the world in case somebody travels from russia but that will much solved of problem it is only sold by prevention and education of companies so they know what to do and how to prevent an attack when it happens. we have to find a new ways to alter the state's of cybersecurity but it will require the private sector or the public sector experts , everyone to fight cybercrime to improve cybersecurity price think we will do it some thank you very much for having me. [applause]
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. . weren't allowed to participate in the procession 150 years ago.
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find the complete schedule at c-span.org. now the u.s. capitol police chief kim dine testifies. shortly before the house administration committee on conduct and mission of his agency. >> the house had a vote and expecting a couple other members here i would call to order the committee on house administration for today's hearing on the capitol police. the hearing record will remain open for five legislative days so members may submit any materials they wish to be included. quorum is present so we might proceed. i mentioned to the ranking member, he may have had one of
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his finest moments a moment ago. he spoke for the entire congress and the entire country and perhaps the entire world perhaps so eloquently about what happened with the train crash in your area there and the first responders, how quickly, it is interesting, we are going to talk about the capitol police. here was a national tragedy i mentioned to him one of our state senators in michigan her daughter 39 years old was one that perished. it went around the country. you spoke so very, very well. i want to tell you how much i appreciated everything you said. i'd also like to take a moment to welcome the newest member to the house administration committee, and of course that's mark walker who represents the sixth district in north carolina in his first term here in
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congress. came very highly recommended to us that he had an interest in this committee and we are delighted that he's here. his background is i think going to be very much an asset to our committee who previously served his community as a pastor in greensborough, north carolina, worked in a small business in the private sector. both of those attributes will be very much needed here. we look forward to putting him to work and his input on our committee. we are meeting here today to discuss the united states capitol police. this law enforcement agency is unique really, unique maybe in the world. certainly probably not what most would consider a typical community police force. that's because the mission of the capitol police is to protect and to serve the united states capitol which of course is the citadel of democracy in the world. there is no denying this building and this institution are very dramatic symbols of our free society which is based on self-government. this also makes the capitol campus and this institution a
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target of those who hate our freedoms. hate our values here in america. and in fact, some say that because of this, perhaps we need even greater restrictions on access to the capitol campus here but obviously that would be totally counter to what this nation stands for. one of the many important rights secured on behalf of the american people and the first amendment in our constitution is the right to redress their grievances before their government. american people must have access to those they send to the capitol to represent their interests and they must also have access to the grounds of our capitol building to also exercise their constitutional guaranteed right to peaceably assemble. since congress created the u.s. capitol police in 1828, they have worked very hard to fulfill this dual mission really of safety and accessibility. every member of congress, the staff of the capitol -- in the capitol here and the office buildings and the american people as a whole, understand that this is no small task that we have missioned them with.
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and we commend and we have the utmost respect for the many men and women who uphold their sworn duty to act as protectors and defenders of the law day in and day out, 24/7. each officer has come here willingly answering the call to serve and protect. capitol police law enforcement agency is just not a few individuals. they are many who serve as one to meet their mission of protecting our complex. so we hold this hearing today as part of our committee's jurisdiction to review, to have oversight for the safety and the security of the capitol and its facilities, each member of congress, all of the staff, and most importantly, most importantly, of course, the security and the safety of the millions of americans who visit each and every year. our committee works very closely with the capitol police on a daily basis to ensure that they have the tools, the authority and the support that they need to keep our capitol safe and security for everyone. -- secure for everyone. and the security needs of the capitol complex are always at the forefront of our minds
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because we all understand the threats. there is a constant need to review security protocols, make certain those protocols are thoughtfully developed and ensure that the protocols are reviewed, tested and deployed against the threats. the importance of this process has not diminished over the years. in fact, new and verifiable threats have only increased and we must work together to adapt. as with any law enforcement organization, the responsibility for meeting the mission begins and ends at the top. in this case with the chief of police, kim dine. while our committee meets on a regular basis to discuss the security status of our capitol and all of its inhabitants with the capitol police leadership, we thought it timely to have a general oversight hearing to hear from the chief of the capitol police about his force. obviously we all recognize, chief, that there are very sensitive aspects about the operations and the capabilities of the capitol police that we can probably not discuss in an open forum. but it's important to note, i
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think as well, that most often threats are discovered and they are investigated and they are resolved without them ever becoming public. and often they do that -- almost always really in cooperation with other agencies. due to the inherent professionalism of the force, that's the type of flawless response that we have come to expect from the u.s. capitol police. but certainly some of the recent events, the gyrocopter incident brings these threats to the forefront. many have questions how the gyrocopter was actually able to fly all the way to the front lawn of the capitol. however, i will note this. actually protecting the restricted airspace over washington, d.c. is not the mission of the capitol police. that falls to other agencies. in fact, i can remember i think it was during president reagan's funeral whether a former governor of kentucky, his general aviation aircraft, a state aircraft, came in to the restricted airspace, a mistake. pilot error. but the air force actually
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scrambled their jets, i think, on that day. but i do remember the capitol police doing their duty to evacuate the capitol campus flawlessly. and again, in that instance the job of the capitol police was not to so much eliminate the air threat in the restricted airspace but to protect those who work here or are visiting the capitol campus. i would say this. i had a briefing after that. many of us did. i told the chief then that i thought the capitol police performed very well once the gyrocopter landed. almost flawlessly really. however, i would also say that there were some aspects of the event -- which i'm going to be looking forward to hearing from the chief on -- which we would like to talk a bit about, about when did the capitol police know that the individual was heading for the capitol, and if we had some heads up, how would that affect the response then and how does it affect the response going forward as lessons learned. i would also like to note that in that incident, and others, i
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have taken issue with the lack of communication. during that incident, actually the best source of information that i had -- and i think many members had -- i was watching cable tv, actually, looking at some of the different news channels. so i think the police work was very impressive but the communications could be improved. that is an area that we want to have a bit of oversight on, though again, i've raised these concerns with the chief and it does appear to me that the communications protocols have already been improved. also, there have been three separate incidents that perhaps normally you wouldn't talk about publicly but they've been in all the media outlets so it is quite known where officers have left their assigned firearms unattended. and these are very serious breaches. i think that alarm all of us, quite frankly. when you're in an open and public environment with literally millions of visitors each and every year, securing your weapon is of primary importance. so i understand again that these incidents are being investigated
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and again, normally wouldn't talk about it openly but certainly at this point i hope to hear a bit about how they're being handled, whether the capitol police has the training and resources it needs, what steps are being taken to ensure these kinds of serious incidents are not repeated. purpose of the hearing is to examine the current operations and responses taken by the capitol police, particularly those leadership decisions which have an affect on training, on readiness and on the overall morale of the force of the united states capitol police. i would say this. we certainly all understand that now is a particularly challenging time for law enforcement across the entire country. certainly not just here. across the entire country. and we are also very aware that the capitol police operate in sort of an asymmetrical environment. the purpose of this hearing is certainly not to second-guess every single action that's been
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taken in pursuit of security. however, our committee does have the oversight responsibility for conducting a hearing such as this and we intend to carry out our responsibilities. of course, nearly all of the events that have occurred in the public view are met with textbook responses that display again the standard of conduct, the professionalism that congress expects of its law enforcement agency and is demanded by the american people as well. we would ask the chief to provide us as much information as possible in an open setting about these incidents such as what was learned, training improvements, where the training proved successful in the cases of the unattended firearms, what kinds of corrective actions have been taken. again, that you could discuss openly. lastly, but likely most importantly, what your plan is for the department to move forward. i think we always want to -- spending our time looking in the rear-view mirror. we want to look forward as much as possible. always. one of the questions -- i mentioned this to the chief
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before we started that i'm going to want to bring up in perhaps more members here -- is exploring how the chain of command is structured. because right now the chief of police reports to the capitol police board which is made up of the sergeant at arms of the house, the sergeant of arms in the senate, and the architect of the capitol. this was a police board that was comprised back in the 1800s. it just seems like it would be a timely thing for us perhaps to discuss whether or not this reporting structure complicates performing the duties that we have an expectation of from the cop capitol police and its chief and the management and structure. finally, i'd ask the chief to explain leadership steps he's taken and is taking to guide the law enforcement agency forward. so i'm very hopeful that the result of this hearing will be that we all gain a better understanding of the challenges faced by the capitol police, areas where some of the changes or improvements can be made, and
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finally how this committee can assist which is what we really want to do, how we can assist the united states capitol police in performing their mission because we all share the common goal of protecting the united states capitol, the entire campus here. as i say, not just the members or the staff, but most importantly the american people, the millions of american people that visit each and every day. i certainly thank the chief for his appearance before our committee today and i would now like to recognize my colleague, the gentleman from pennsylvania, mr. brady. >> thank you, madam chair. i join my friend chairman miller in welcoming the chief to this hearing. we wish we saw you more often, although under different circumstances. the congressional community and the american public need to make sure they are safe in the united states capitol and surrounding areas. i believe the strong oversight and policy direction of vital elements of building and unfortunately in some instances rebuilding that trust.
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the other legislative oversight committees of the house and senate need to be sure we are not an afterthought in process of managing this department. if something potentially embarrassing happens which reflects on the capitol police risk to public safety or is likely to become publicly known, run, don't walk to this committee. we don't want to find out from local hill newspapers or through the rumor mill. recent incidents with officers lose their weapons, the gyro copter landing on the front lawn, the dragic murders in the navy yard. it is my understanding several of these issues are still under investigation and subject to the legal process. but none of that reduces the committee's obligation to know the facts and the department's obligation to be forthcoming. i have been and continue to be unwavering in my support of the capitol police. change miller and i have many conversations on the uscp and on
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virtually every issue we are in complete agreement. i think i can safely say we both want to do everything we can possibly do to ensure you and the force is successful. daily rank and file officers may be called upon to protect visitors, members and staff. as the son of a police officer i am intimately aware of that tremendous burden and commitment it requires. quite frankly i've been deeply troubled by several recent occurrences that have forced me to question the leadership of the force. i look forward to your testimony and i look forward to learning how you plan to continue to strive to be the leader that they deserve. thank you, madam chair. >> thank the gentleman. are there any other members that wish to be recognized for an opening statement? chair recognizes mr. harper. >> thank you, chairman miller. thank you, chief dine, for being here today and offering testimony to the committee. there have been media reports on the rarity of a capitol police chief appearing before the committee. that is in fact charged with oversight of the force.
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i don't think that it should be unusual and hope that this may be the start of a new tradition of frequent appearances by you and your successors. i appreciate your service as well as that of each and everyone of the officers under your command. i don't consider it my job to criticize you or others in your command structure just when things go wrong. i think this committee can and should be as much a part of your support network as the capitol police or supporting agency of the u.s. congress. however, that requires open and honest communication between us. while i recognize the often sensitive nature of your work in terms of security, i also recognize that we are both public servants and have responsibility to submit ourselves to public scrutiny from time to time. again i appreciate your appearance today and look forward to hearing your testimony. i yield back. >> other members? >> i, too, want to thank you, madam chair, for having this hearing.
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i also want to thank the chief. i sat on the san diego city council, we had responsibility for the city police there. i was also in the state assembly and state senate. i have to say the professionalism here has been fantastic. in particular i want to call out sergeant steven merle. we've had a couple issues with people who have mobility issues in my district that have come to the capitol and he has been fantastic. one lady in particular asked me if i would pass along her thanks to him. again, his name is sergeant steven merle. again, i thank you for this hearing. again, my experiences have been very, very positive and i appreciate it again. thank you. >> thank the gentleman. mr. nugent from florida. >> thank you, madam chair. i appreciate, ranking member, your support of the capitol police and to chief dine. listen, after 38 years of being in law enforcement that i have experience and being a chief administrator, i know it can be a thankless job from time to time. but, the pressures do exist.
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one of the things i think that this committee would like to see -- at least i would like to see -- is more transparency with the agency and us. it doesn't always have to be in a formal setting such as this. it can be on a one-on-one setting with any one of us as this goes forward. obviously we have great concerns. reference to what's been in the media as it relates to officers leaving their weapons in areas that they shouldn't, in the gyrocopter landing. i don't think we need to go through every issue at this point in my comments, but i will tell you that we need to have a better understanding of the capitol police. it is probably the most unique law enforcement agency in the nation that i'm aware of. because your mission is really about protecting this campus and all of us, but as the chairman
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had mentioned, all the citizens that come here on a daily basis to view democracy an action. yours is a job that not many people could do. and i will tell you, you're only as good as the folks that surround you and your upper administration. but also the men and women that daily put on those uniforms and the vest to protect us. without them, this doesn't happen. and we don't have an open setting like this. so i want to make sure we're doing everything to support you, but also support the men and women of this agency. i think sometimes that gets lost that there's actually people that kiss their husbands or wives good-bye in the morning and not knowing if they're going to come back tonight. and i want to make sure that we're doing everything in our power that they have a great working environment. i'm sure you agree with that. so we want to hear what steps you're going to do to remedy
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some of the issues that have been brought up by members here today. you're going to hear about later as we move forward, it's very important that we feel assured that you're the chief executive officer, the chief of police, that you have a good handle on it and what you're going to do to remedy it. obviously we talked to your folks on a regular basis. and we want to make sure that their morale is high and that they want to stay here. because we have a big investment in them. so i want to hear from you what exactly -- what specific ideas you have to put in place to make sure that this elite force stays elite, has the training and the backing of its administration as we move forward. madam chair, i yield back. thank you very much. >> thank the gentleman. other members? if not, let me formally introduce our witness. our one witness here today. kim dine is the eighth chief of
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the united states capitol police and has served in this position since december of 2012. the chief has had a distinguished career in law enforcement for the last 39 years. he began his career at the metropolitan police department in washington, d.c. where he was eventually appointed assistant chief of police for the department. in 2002 he became the chief of police of the frederick, maryland police department. served there for ten years. and as chief of the u.s. capitol police, chief dine is responsible for commanding a force of nearly 2,000 sworn and civilian personnel who are very dedicated to provide comprehensive law enforcement, security and protective operation services to the u.s. congress, members, staff and millions of annual visitors in the surrounding complex. with that, chief, we certainly appreciate you joining us today. and we look forward to your comments and there's normally a five-minute period but you take what you need and go through it. thank you. >> thank you, chairman miller.
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good afternoon, everyone. and thank you for the opportunity to appear before the committee on house administration to discuss the leadership of the united states capitol police. i'm joined by assistant chief and the administrative officer as well as some members of my executive team. this afternoon i'd like to provide the committee with a brief summary of my first two and a half years leading the uscp and lay out for you my short and long-term vision and leadership priorities for the department. first, however, i'd like to thank the committee for its sustained and unwavering support for the united states capitol police. i am truly grateful for the support of congress and now the capitol police board. i would also be remiss if i did not recognize the brave women and men of the united states capitol police. each and every day they place themselves in harm's way to ensure that this great institution can carry out its critical role in legislating and providing one-third of the infrastructure for our great democracy. i firmly believe that the women and men of the uscp continually demonstrate professionalism, pride and effectiveness in
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meeting the mission requirements for both routine operations and critical incident response and do so proficiently. in december 2012 i was appointed by the capitol police board to serve as chief of police to the united states capitol police. within the first two months on the job i had the pleasure of leading the department during the 57th inauguration of the president of the united states. since then, i have also overseen numerous state of the union activities, concerts, national peace officers memorial services, joint meetings of the u.s. congress, visits from heads of state, dignitaries and v.i.p.s, codells and demonstrations. i've also overseen unique demonstrations such arms the african summit which saw 50 heads of state visit the capitol. ricin incidents in our mail activities. operational activities on the capitol complex as a result of the navy yard shooting. the october 3rd 2013, vehicular shooting incident on capitol hill. the concert for valor. impacts of demonstrations resulting from the ferguson,
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missouri, police activity. two suicides on capitol grounds within the last two years. and most recently, the national capitol region event with the gyro copter. however, response operations have not been the only focus of my leadership. in february of 2014 the department fully implemented its new digitally encrypted radio system without issues or communication service interruptions. in 2014 the department also successfully achieved reaccredit reaccreditation from law enforcement agencies earning the gold standard in public safety accreditation. further we have continued our efforts to resolve recommendations provided by the united states capitol inspector general designed to improve our internal controls and management practices, including our controls over inventory of weapons and ammunition. i unequivocally understand the concerns regarding the recent issues related to the
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mishandling of weapons by some of our officers. there are no excuses for these mistakes. the department takes these incidents very seriously and we will rely on our disciplinary process to provide the framework for accountability. uscp employees are held to a very high standard in terms of conduct and discipline. the uscp has a team of highly experienced, well-trained professional investigators whose sole job function is to investigate internal conduct issues. this is done by conducting thorough, defendable, legally sufficient investigations into misconduct as well as employee-related matters. the first offense for mishandled weapon typically receives a five or more day suspension without pay. i am considering increasing the minimum penalty to up to 30-day suspension all the way to termination for a first offense and potential termination for any subsequent offense. this is not offered in response to these incidents but rather my ba heave that any liability type of violation warrants strict disciplinary action.elief that any
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liability type of violation warrants strict disciplinary action. in reference to the mishandled weapons that have been publicized, it should be pointed out that employees are trained on safe handling of firearms. currently basic training includes several weeks of weapons training, discussions on safe handling of weapons, and instruction on what to do in situations in which an employee uses the restroom. that said, i have directed implementation of new elements to our weapons safety training to reinforce the proper handling of weapons. this training will also be delivered biannually in person during weapons requalification as well as annually online. all of the department's operational activities and management initiatives involve our most precious resource which is our people. no one cares more about our people than i do. my goal has been, and continues to be, to create a work environment to provide the tools and training that our workforce needs to be successful in a well managed and efficient manner. our relationships with our labor unions are a key part of that goal. during my tenure we successfully negotiated and ratified a new
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contract with the teamsters which is the labor union representing our covered civilian workforce. additionally i meet regularly with members of the fraternal order of police. the executive board on issues of importance to our sworn workforce. we've also initiated negotiations with the fop in a new contract which will provide a labor/management framework for our covered sworn workforce. these negotiations are ongoing. i would now like to briefly lay out my focus as we go forward. before i do, i realize i have not fully developed relationships with you and others in leadership that i have needed to in order to be a completely effective leader. i came into the department facing many imminent operational activities and did not appropriately return my focus to establishing myself as the chief of police with the congressional community. i would like you to know that i'm committed to making necessary effort to meet your expectations and to provide better communication with all of our oversight committees and congressional leadership.
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as you know, on may 1st 2015 i appointed matthew verdarosa as chief of operations and assistant police of chief after a 30-year career in federal law enforcement. he's served in many operational and administrative roles within the department which i believe make him uniquely qualified to help me and my chief administrative officer mr. richard braddock lead the department. in an effort to provide greater focus to our efforts i have laid out a plan for achieving many necessary management activities over the next several months. i will be focused on developing the necessary relationships with the department stakeholders to be the most effective chief that i can be. i plan to enhance communications with our workforce and ensure the most efficient utilization of overtime. i plan to continue training for onboard sworn personnel for the remainder of fy 2015. i plan to complete promotions for ranks of deputy chief, inspector and captain and continue to enhance the promotional process for ranks of lieutenant and sergeant which will be administered in late 2015 or early 2016. i will oversee the deployment of the department's new strategic
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plan in the coming weeks which will provide greater focus for the uscp's efforts and allow our workforce to more clearly understand their role in achieving our mission responsibilities. finally, i plan to continue to work with the fop to address the remaining issues related to contract negotiations. my long-term focus over the next several years includes the plan to focus the department's energy in several areas which tie to our new strategic plan which includes smart policing, deploying more effective law enforcement services through collaboration, adaptability and innovation, and focusing on workforce efficiency and effectiveness through improved communications. to successfully achieve these goals, i am committed to taking leadership actions necessary to build a managing team who shares my vision and will actively engage in all levels of the workforce. given the huge responsibilities of this department and our entire workforce, i realize the department's failure is not an option. i will continue to involve --

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