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08/24/2016

CoA Institute Seeks Records on Clinton Ethics

Washington, DC – Today, Cause of Action Institute (CoA Institute) sent a Freedom of Information Act request to the U.S. Department of State seeking information about Secretary Hillary Clinton’s interactions with the Department’s ethics office.

CLICK HERE TO VIEW THE FOIA REQUEST

Recently released emails demonstrate that Clinton Foundation donors may have received special access to Secretary Clinton. These emails raise questions about whether she and members of her staff adequately addressed any potential conflicts of interest.

CoA Institute has requested copies of recusals and ethics agreements for Secretary Clinton and members of her staff, as well as any ethics waivers or exemptions they obtained from the State Department’s ethics office. The FOIA request also seeks records of advice the ethics office provided to Secretary Clinton, as well as certain communications with the Office of Government Ethics.

 Cause of Action President and CEO, and former federal judge, Alfred J. Lechner, Jr. issued the following statement:

“The State Department’s Inspector General found that only 53% of senior Department officials completed required annual ethics training in 2012. These findings suggest that Department officials during Secretary Clinton’s tenure did not take even their basic ethics responsibilities seriously. Americans have a right to know whether Secretary Clinton and her aides at the State Department flouted ethics requirements in order to grant special favors to Clinton Foundation supporters.”

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08/10/2016

CoA Institute Investigates $400 Million Cash Payment to Iran, Hidden “Side Agreement” During Nuclear Negotiations

Washington, DC – Today, Cause of Action Institute (CoA Institute) sent Freedom of Information Act requests to the U.S. Department of State and U.S. Department of Treasury seeking information surrounding the widely reported $400 million cash payment the Obama administration sent to Iran in January.  Recent revelations about this previously undisclosed cash payment has called into question whether the State Department and other executive branch agencies engage in secret, potentially unlawful negotiations with foreign governments, designed to evade Congressional and public notice and oversight.

Cause of Action President and CEO, and former federal judge, Alfred J. Lechner, Jr.: “Since 1984, Iran has been listed as a state sponsor of terror; it has been subject to various financial sanctions.  Serious concerns about money laundering and terrorist financing in Iran persist. Details regarding this payment and the supposedly coincidental timing of the hostage release have been hidden from the public and Congress.”

Administration officials, including State spokesmen John Kirby, denied any connection between this payment and the release of American hostages, asserting that the payment was part of a separate settlement agreement, despite reports that the Iranians considered the cash payments “ransom.”

Because any transaction with Iran in U.S. dollars violates U.S. sanctions provisions, the $400 million payment was reportedly made entirely with foreign currency and flown into Iran on wooden pallets onboard an unmarked cargo plane. It has also come to light that Department of Justice officials apparently objected to the payment on legal and policy grounds, but were overruled by the State Department.

In a related but separate matter, CoA Institute is also investigating allegations of a secret “side agreement” the State Department apparently negotiated with Iran last year that would ease restrictions on its nuclear program. In July 2015, the United States, along with six other countries, finalized a controversial agreement involving Iran’s nuclear program.  Under the agreement, Iran was supposedly barred for a 15-year period from engaging in nuclear research and development. Despite widespread criticism from Congress, the agreement went into effect beginning in October 2015.

However, within the last few weeks, contents of a secretive “side agreement” have been revealed.  According to the Associated Press, this side agreement allows Iran to start replacing its stockpile of uranium centrifuges with thousands of more sophisticated models beginning in 2027 instead of 2031.  Such a process could cut the time needed to develop weapons-grade uranium to six months or less. If confirmed, this side agreement would significantly reduce the timeframe for Iran to re-build its nuclear capabilities. Despite such serious consequences, this agreement was hidden from the public and from members of Congress.

In order to further examine these issues, CoA Institute today requested records and internal agency communications surrounding these issues.

The letter to the Department of Treasury can be found here.
The letter to the Department of State can be found here.

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07/29/2016

Court Rules Against Local Fishermen, Upholds Job-Killing Government Mandate

The U.S. District Court for the District of New Hampshire held that the requirement is “an expected expense of doing business” for New England fishermen

 

WASHINGTON, D.C. – Today, the United States District Court for the District of New Hampshire dismissed the lawsuit filed by Plaintiffs David Goethel and Northeast Fishery Sector 13 against the U.S. Department of Commerce.

In December 2015, the Department of Commerce ordered that fishermen who fish for cod, flounder and certain other fish in the Northeast United States not only must carry National Oceanic and Atmospheric Administration (“NOAA”) enforcement contractors known as “at-sea monitors” on their vessels during fishing trips, but must pay out-of-pocket for the cost of those monitors.  This “industry funding” requirement would devastate the Northeast fishing industry, at the price of many jobs and livelihoods.  The District Court’s order allows that requirement to remain in place.

The Court found that the fishermen’s suit was untimely and that the requirement that monitors be funded by the fishermen was authorized by law.

“I am very disappointed by this decision,” said Goethel.  “I’ve made a living fishing in New England for more than 30 years, but I can’t afford to fish if I have to pay for at-sea monitors.  I’m grateful to Cause of Action Institute for joining the fight, and I hope that the rule of law will win in the end.”

“The fishermen in my sector can’t sustain this industry funding requirement,” said Northeast Fishery Sector 13 Manager John Haran. “They’ll have to try other fisheries, if they can keep fishing at all.”

“While we respect the District Court and its decision, it appears that decision is contrary to the law and facts,” said Alfred J. Lechner, Jr., President and CEO of Cause of Action Institute and a former federal judge.  “In the end, the federal government is overextending its regulatory power and is destroying an industry. We intend to study the decision and consider further action.”

The District Court’s full opinion can be found here. For additional information about the case, visit the Cause of Action Institute website.

 

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07/29/2016

FTC Reverses Initial Decision in LabMD

Federal Trade Commission finds cancer detection lab in violation of data security statute, despite no evidence of consumer harm

 

Washington, D.C. – In an unfortunate but somewhat anticipated decision, the Federal Trade Commission (FTC) today issued a finding that LabMD violated a data security statute, reversing an earlier decision by the agency’s own chief in-house administrative law judge (ALJ).  In the Initial Decision on November 13, 2015, Chief ALJ D. Michael Chappell held that the FTC failed to prove the commercial activities of LabMD were unfair to consumers under Section 5(n) of the FTC Act. 

This decision sets a dangerous precedent for every small business in America that deals with sensitive personal information. The FTC appears to have overlooked a significant body of evidence that had been presented before the agency’s chief ALJ. The FTC has imposed liability on LabMD, despite there being no evidence that a single consumer was harmed.

In reversing the Initial Decision, the FTC Commissioners disavowed and disregarded the witness credibility findings of Chief ALJ Chappell, which were based on his first-hand observations of the witnesses.

About Cause of Action Institute:

Cause of Action Institute is a public interest law firm committed to limiting corruption and abuse in the federal government. For more information, visit www.causeofaction.org.

 

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07/14/2016

CoA Institute Investigates Role of DHS, Shooter’s Motives in Dallas Shooting

Washington, DC – Cause of Action Institute (CoA Institute) today filed a Freedom of Information Act (FOIA) request to investigate the involvement of the Department of Homeland Security (DHS) in investigating and responding to the recent shooting of Dallas police officers. In light of seemingly contradictory statements by Secretary Johnson and President Obama regarding the shooter’s motives, CoA Institute seeks to better understand if information is being withheld from the American public.

CoA Institute President and CEO, and former federal judge, Alfred J. Lechner, Jr.: “Statements about the shootings by President Obama and DHS Secretary Jeh Johnson raise questions about the DHS role in responding to the Dallas shooting and whether there is information about the shooter being withheld from the public.  Because Secretary Johnson appears to be the first public official to confirm that only one shooter existed, it raises questions as to what extent DHS was involved during the aftermath of the shooting and why local authorities were not first in alerting the public. Additionally, discrepancies between statements by President Obama and the Dallas police chief raise concerns that there may be additional information about the motives of the gunman that are being withheld from the public by the Obama administration.”

Background:

On July 7, 2016, a gunman killed five police officers in Dallas, Texas.  On July 8, Chief David Brown held a press conference and stated that multiple suspects may be involved. Three suspects were ultimately taken into custody. Later the same day, Secretary Johnson contradicted initial reports by announcing that the gunman apparently acted alone. According to media reports, Secretary Johnson was the first public official to announce that the gunman was a sole actor.

Additionally, at a press conference on July 9, President Obama said that it is “very hard to untangle the motives” of the Dallas shooter.   He further stated, “I’ll leave that to psychologists and people who study these kinds of incidents . . . I think the danger is that we somehow suggest the act of troubled individuals speaks to some larger political statement across the country.”   President Obama’s statement that the motives of the gunman appear uncertain directly contradicts Dallas Police Chief David Brown’s description of the incident.  According to Chief Brown, the gunman stated that he “was upset about the recent police shootings…and he wanted to kill white people, especially white officers.”

CoA Institute requests documents and communications to better understand the role of DHS in the aftermath of the Dallas Shooting. The full FOIA request is available HERE.

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07/13/2016

Cause of Action Institute Sues HUD to Disclose its Role in Controversial Mortgage Settlements

Banks required to provide “donations” to government-approved third parties

Washington D.C. – Cause of Action Institute (CoA Institute) today filed a complaint in the U.S. District Court for the District of Columbia against the United States Department of Housing and Urban Development (HUD) for failing to produce records about its role in the federal government’s multi-million dollar agreements with big banks over their allegedly faulty residential mortgage securities practices.  HUD has failed to produce relevant documents for more than a year after CoA Institute filed a Freedom of Information Act (FOIA) request for information.

Cause of Action Institute President & CEO, and former federal judge, Alfred J. Lechner, Jr.: “Taxpayers deserve to know why the money from these agreements is going to third parties and not being returned to the Treasury Department.  The Obama administration should be held accountable when agencies like HUD make decisions behind closed doors and fail to produce timely relevant documents in accordance with the law.”

Starting in 2013, the Department of Justice (DOJ) in collaboration with HUD and other agencies entered into a series of agreements with three large banks to resolve potential federal and state legal claims that these institutions knowingly sold billions of dollars in faulty residential mortgage-backed securities to investors prior to and during the 2008 financial crisis.  These agreements contain so-called consumer relief provisions requiring or permitting that banks provide “donations” to government-approved third parties in lieu of paying funds to settle the federal claims into the U.S. Treasury.

CoA Institute, a nonprofit legal watchdog organization, has led efforts to investigate these controversial agreements.  Last year, CoA Institute issued multiple public records requests aimed at exploring whether the federal government was authorized to encourage or force banks to steer funds to these third-party groups that support various initiatives backed by the Obama administration.  One of these requests was submitted to HUD on July 8, 2015.

HUD has failed to respond or produce any documents in response to CoA Institute’s request.  Recent evidence uncovered by the House Financial Services Oversight & Investigations Subcommittee, chaired by Congressman Sean Duffy, indicates that these agreements were structured, in a DOJ-HUD collaboration, with, in Chairman Duffy’s words, a “keen eye to make sure conservative groups could not access any money through these settlements.”

CoA institute is suing to force HUD to respond to its request and to get to the bottom of these issues.

  • Cause of Action Institute’s full complaint with exhibits is available HERE.
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07/7/2016

Did Federal Government Push Controversial Hawaii Gun Law?

Washington, DC – Cause of Action Institute (CoA Institute) today filed a Freedom of Information Act (FOIA) request to examine any potential involvement by the Department of Justice (DOJ) in preparing or advocating for Hawaii’s recently-passed law to restrict the exercise of constitutionally-protected gun rights.

CoA Institute President and CEO, and former federal judge, Alfred J. Lechner, Jr.: “While touted as an important public safety measure designed to encourage responsible gun ownership and assist law enforcement, in reality this legislation will place law-abiding American citizens into a database maintained by the federal government to monitor criminals. This measure has the potential to severely chill gun ownership in Hawaii and limit individuals from exercising their Second Amendment rights.”

On June 23, 2016, Hawaii Governor David Ige signed into law SB 2954, thereby authorizing “county police departments in Hawaii to enroll firearms applicants and individuals registering their firearms” into a federal database known as “Rap Back,” which is a centralized “criminal record monitoring service” maintained by the FBI.

The Hawaiian gun law is unprecedented.  It makes Hawaii the first state to submit information about its gun-owning citizens to the federal government. In light of current efforts by the Obama administration to create a national gun registry—which would be prohibited under current law —there is significant interest in examining the role, if any, played by the federal government in the development of this new law.

The full FOIA request is available HERE

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