. OFFICE OF THE DIRECI'OR OF N ATIONAL INTHLIGENCE W ASil iNGTON, DC 20511 JUt 19 2016 Mr. Jason Leopold References: ODNI Case #DF-2015-00229; Leopold v. Office of the Director of National Intelligence, 16-cv-0534 (D.D.C) Dear Mr. Leopold: This letter is an interim response to your 17 May 2015 Freedom of Information Act (FOIA) request to the Office of the Director of National Intelligence (ODNI) in which you seek "disclosure from the Intelligence Community Inspector General (ICIG) a copy of the concluding document (report of investigation, final report, closing memo, referral letter) concerning all ICIG investigations closed in calendar years 2013,2014, 2015." The 6 June 2016 joint status report in the case referenced above provides that the ODNI will make a "rolling production of non-exempt records that are responsive [to this FOIA request], with the first production occurring on or before 19 July 2016." In accordance with your request and the terms of the joint status report, ODNI is providing you the attached ODNI records. Within these records, certain information is being withheld under FOIA exemption (b)(3) because it is falls within the ambit ofFOIA exemption statutes. The applicable FOIA exemption statutes are: Section 6 of the Central Intelligence Agency Act (50 U.S.C. § 3507), as applied to the ODNI through the National Security Act (50 U.S.C. § 3024(m)), and (50 U.S.C. § 3033(g)(3)(A)). In addition, certain information is being withheld pursuant to the privacy protections found in FOIA exemptions (b)(6) and (b)(7)(C). Finally, FOIA exemption (b)(7)(E) has been applied to protect against the disclosure of techniques and procedures for law enforcement investigations, or guidelines for law enforcement investigations, if such disclosure could reasonably be expected to risk circumvention of the law. The ODNI will continue to process records pursuant to your FOIA request. Sincerely, Approved for release by ODNI on 8-19-2016, FOIA Case DF-2015-00229. UNCLASSIFlED//FOUO DJssemlnatlon ts prohibited unless authorized pursuant to 50 USC § 3033 CWFH'l': oF 1Hr~ !NSPI~r:ror~ Gr-~Nit.HAL ur TilE INn;u,HmNcr: c,·,MMtiNIT\ lNVESTH:I\TlONS DIVISION wA."llllNGTO:-..'. DC 2051 1 (b)(3) (b)(6) (b)(7)(C) (U//FOUO) MEMO FOR: (U //FOUO) FROM: Investlgator- (U //FOUO} SUBJEC'I'! INV 2013-0067 05 March 2014 b3 b6 b7C .b7E-IGTech b3 b6 b7C -IG Subject b3 b6 advised during his interview she frequently attends offstte meetings at various locations, most of which do not have tumstlles. -,provided a detailed list of her offsite mf"l~tllll"~· ..................u.a •.,. the time of occurred. b3 b6 b7C IG Subject b3 b6 b7C -IG Subject b7E-IGTech b7C IGTech b3 b6 b7C- Witness (U / / F O U O ) - was interviewed on 29 January 2014, durtng which her discrepant hours were discussed. During the interview. she stated she thought leaving early to attend to family matters accounted for some of the discrepant hours. She noted she frequently leaves her house to drive to work around 10:00 AM, after her children leave for school at approximately 9:00 AM. She oiigtnalJ;y explained she commonly leaves work and sits 1n her car for approximately a half hour to reView notes the day before meetings. She later admitted this to be an exaggeration, and stated on occasion she spends a few minutes in her car reviewing her notes the day Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 UNClASSIFIED/ /FOUO 1 000226 Approved for release by ODNI on 8-19-2016. FOIA Case DF-2015-00229. UNCLASSIFIED//POUO Dissemination ts prohibited unless authorized pursuant to 50 USC § 3033 prior to a scheduled meeting. She admitted she cannot charge for this tune. She also confumed she attends offstte meetings and explained they typically start no earller than 8:00AM. and no later than 4:00 PM. In addition. they use a driver who ptcks them up at CIA Headquarters. {U//FOUO) She was shown as well as the total figure of 303 hours. The time process was thoroughly explained and she acknowledged she understood how we arrived at that number of discrepant hours, but added she never intended to fraudulently record her time. When asked how she defined the act of billing hours that weren't spent working at her workstte. she stated It was false bJJllng. She then acknowledged the 303 discrepant hours were a fair calculation. She also aclmowledged she was responsible for falsely btlling these hours. and vowed to do a better job of accounting for her tJme and attendance In the future. When asked If she had falsely billed hours. she admitted she had. b3 b6 b7C b7E -IGTech (U //POUO) also discussed CENT'RA's bJlllng process during the lntelVfew. and her use of personal time. She stated she charges the contract for hours actually worked. and If she takes time off early. accounts for this time using positive numbers. ~ She is then required to make up these hours at a later date by working longer. and b7C -JG subject accounts for this time using negative numbers. For instance If she works a six hour day then takes off early. six hours are charged to the contract and the remaining two are listed as (2 personal hours). She would then work a ten hour day at a later date. charge ten hours to the contract and the additional two hours are listed as (-2 personal hours). After the interview. the follow up investigation conftrmed a total of approximately 306 discrepant hours after flna1 adjustments were added. including time billed to on weekends. which had not been computed In the ortginal b3 T&A analysis. submitted a Jist of offstte meetings which confumed that the :~c IG list provided by and her calendar entrtes were accurate. Witness {U//FOUO) Finding: - f a l s e l y charged approximately 306 hours from 1 June 2012 to 29 July 2013. She had a bUUng rate of $89.14 per hour during this time frame. The total amount of mischarging ls approximately $27.301. (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 UNCI.ASSIFIED//FOUO 2 000227 b3 bG b7C-IG Subject Approved for release by ODNI on 8-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED//FOOO Of· FtC!:: t w Till~ INS!'E(vf'OH GENr:RAL OF TJU: lNTEU.I.ged, or protected by Federal law, Including protection from public disclosure under the Freedom of Infonnatton Act (FOIA), 5 USC§ 552. Accordingly, the use, dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFIEDt/F'OUO 000228 ApproveEHor release by ODNI on 8-19-2016, FOIA Case DF-2015.-::00229. UNCLASSIFIED//PG90 ODNI Instruction I 0.34, Qffice of the Inspector General of the InteUigence Communlty, dated 22 Sept 2013; and. Quality Standards for Investigations, dated 15 November 2011, set forth by the Council of the Inspectors General on Integrity and Efficiency. APPLICABLE LAW AND POLICY: 18 USC 1001, False Statements: whoever makes or presents to any person or officer 1n the civil, military. or naval service of the united states. or to any department or agency thereof. any claim upon or against the united states or any department or agency thereof, knowing such claim to be false, fictitious or fraudulent. shall be imprisoned not more than five years and shall be subject to a fine in the amount provided 1n this title. 31 USC 3729. False Claims: Any person who-{a) knowingly presents, or causes to be presented, a false or fraudulent claim for payment or approval; (b) knowingly makes, uses. or causes to be made or used, a false record or statement material to a false or fraudulent claim; (c) conspires to commit a violation of subparagraph (a), (b), (d), (e), (1), or (g): (d) has possession. custody, or control of property or money used, or to be used, by the Government and knowtngly delivers, or cases to be delivered, less than all of that money or property; (e) is authorized to make or dellver a document certifytng receipt of property used. or to be used. by the Government and, intending to defraud the Government, makes or deHvers the receipt without completely knowing that the information on the receipt is true; (f) knowingly buys, or receives as a pledge of an obligation or debt, public property from an officer or employee of the Government, or a member of the Anned Forces, who lawfully may not sell or pledge property; or (g) knowingly makes. uses, or causes to be made used, a false record or statement material to an obligation to pay or transmit money or property to the Government, or knowingly or knowtngly conceals or knowingly and improperly avoids or decreases an obligation to pay or transmit money or property to the Govenunent is ltable to the United States Government for a cfvil penalty of not less than $5,000 and not more than $10.000, as adjusted by the Federal Civil Penalties Inflation Adjustment Act of 1990 (28 USC 2461 note; Public Law 104-410), plus 3 times the amount of damages which the Government sustams because of the act of that person. ANALYSIS: Whether engaged in labor mischarging in violation of law or poltcy. b3 bG b7C -IG Subject 2 b3 b6 b7E -IGTech 000229 b3 b6 b7C -IG Subject Approvr rele..e by ODNI on ll- 19-2016, FOIA case DF-201_6,00229. UNCLASSIFIED//f'9!:19 led to a preliminaiy finding of approximately 603 discrepant claimed hours and formal time and attendance. Detailed analysts of tnvestJgation into .~\' I,. ,, ~.'•" ~ • durin1g the investigation reduced the number ap))ro;ldmtate~ly 303. These Steps b3 b6 b7E- IG Te<:h :! b7C- tG SubJect b3 b6 b7E- IG Tech govemment lead, • attempted to further reduce the discrepant hours by advising IC JG INV that she frequently attends offslte meetings at various locations. most of which do not have tumstlJes. · provided a detatled Ust of her offstte meetings, lncluding the time of day __.___ ---· (U//FGUO) occun..s - ~- - - b3 b6 b7C -IG Subject b3 b6 - IG W~ness - -IG Teproved for release byODNI on8·19·2016. FOIA Case DF-2015-00229. UNCLASSTFIED//FOUO UNCLASSIF1ED//FOUO 000235 b7E -IG Tech ~OVed lot tele..e by ODNI on 8-19-2016, FOIA Case OF-2015.()0229. UNCLASSIFIED//F9UO UNCLASSIFIED//FOU9 000236 b7E -IG Tech Approved for release by ODNI on 8·19·2016. FOIA Case DF·2015·00229. UNCLASSIFIED/IFOTJO UNCLASSIFIED//FSUO 000237 b7E -IG Tech AppiOV00229. UNCUI.SSIFIED //FOUO UNCLASSIFIED//I'OUO 000241 b7E -IG Tech Ajlproved for release by CONI on 8-19-2016, FOIA Case DF-2015-00229. b7E -IG Tech UNCLASSIFlED//FeUO j.JNCLASSIFIEDI /FOI:IO 000242 Approve~:1 or ;u;. INorl·~T,..·ll GtNI'WAI. ''! \\ \~till<• Tilr lt<1, .. t!Gf:I'Ocr CtlM:>UJ~.:-:·. ·,,.,..,til.: 20511 Swora Statemeac 1/J//'1 All marked b3 havin& been duly ~Worn by Investigator [DIDIC], hereby make b6 b7C -IG Subject (b)(3) (b)(6) (b)(7)(C) foiJowioa statement to Investi&ator . . . . whom I know to be lnvestipton of tbe Jncelliaeocc Community lospedar General (IC IG). I have been advisod of my rights ud rapoasibilitiel in COIIDeCI.ion with lhil illq1lily u se1 forlh on lbe Wamiaa and Aaaurances form. wbich I have ...Sand siped. J Wldctsrand from my review of tbe w~mina roan dill I abould provide truthful and compjclC aoswcnto all qoestioos posed to me. yl- A.t.t. ~ JD~~~ ~ .... ~ ~ ~ ~~~ ~ ~ ~ o-rr-t4., ~ r llhtl#( ""UU ~~ ~~~4 ~· <.b~~ ft! ~A.~~ IUS~ ~fJ' ~ ...? ~ ~ ~ tv?ft.-~~ ~~u ~ ~~~u:d?f. <.:J~~~~·~ ~~~ ~~~~ 1~~~~ ~~~1-e ~r;. (b)(3) (b)(6) (b)(7)(C) ~ wu~~0.._~~~ ~· tn..jh-~~~ ~ ~ Dluemlna.Uon S. problbtted un1e8a aut.hortlled punrwmt to 50 USC 1 303S UNCLASSIFIEDl/PeR 8Jl'PieW; \:IS ONLY Page 20 of24 UNCLASSIFIED//FOUO 000247 Approved for release by ODNI ooS-19-2016, FOIA Case DF-2015;00229. UNCLASSIFIED //FOUO UJ-n;LASSIP'JEDI/PeR BJI'Pieb\b 1::166 tltfbY DIUemlnation 18 prohibited unJe8s authorized purauant to 50 USC§ 3033 Swom Statement d ~ ~ ~~·1:.4/r ~ ~~ ~ 1/!~. tL~ ~~ f.j~ ~ ~~r~~-~cj ~~A~~~wz:iA~~ fl1 ~~J ~~tAfA~.tl ~~~~0~tk~~ fnr~ ..:;~ uwu- (b)(3) (b)(6) (b)(7)(C) ~~~~~~·~ ~ a.h.: ~ ~-IJ-e, ~ ~ ~ ~ ~t:.d, ~~~~~~ "(tlu ~ ~~ in..Ath ~~ ~.~~~~~~~ Va...l; ~~~ht. ~~ ~. ~~~~~~~ ~ ~ tnut aAu(.. ~ ~ uvn.h. ~ ~ ~tt.,. ~ ~ ~ ~~ M. u_ ~ 2 Dtasem1natlon Ia prohiblted unle8a authorized pursuant to 50 USC § 3033 UNCLASSIFIED/IPf!fft OPPfCW:. HSS 9NLY Page 21 of24 UNCLASSIF1ED//FOUO 000248 Approved tor release by ODNI on 8-19-2016, FOIA Case DF-2015c00229. UNCLASSIFIED//FOUO uu•..:I.ASSIFIED//¥8R ePPJew. tfM uHL"i Dlaaeminadon la pn»bibited un1esa authorized purauant to 50 USC 8 3033 b3 b6 b7C • IG Subject SworD Statnneat I have DO other peniaeot iAfonnatioo reprding this 1.11&1tel'. I bave beer1 ad\'ised !hat I may and &houkl contact fhc:: IC 10 if I become aware of aoy additional information. I have been instructA:d l]g1 to discuss this mauer with anyone Olbcr than tbe investigaJ.or condueting this interview, another IC IG empiO)U. 1111 ODNI Employee Assis~anee deQde Propam (EAP} Counielor. or my attomey. I have been cold thar should I to ctireuss tbiJ matter with aayone clliC, I must fusl obtai.a authorization from tbe IC 10. This SUWIIJICnl is true aud correct to lhe bat of my lwowladge. b3 b6 b7C • IG Subject (b)(3) (b)(6) (b)(7)(C) 3 IMaemln&Uon ia prohibited unleu authorized pursuant to 50 USC 8 3033 UNCLASStFIED}~ QFP=IGJA.b YSI!leNfN Page 22 of24 UNCLA.SSIFIEDt/FOUO 000249 Approved for release by ODNI on 8-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED //F'OUO Exhlbit A4 b3 Re: Follow up b6 b7C- IG Subject (b)(3) (b)(6) (b)(7)(C) (b)(3) (b)(6) (b)(7)(C) 4Here IS U:e llst ot dales ltiat we had meebngs W!ll1 consumers. ro1 20·2 Jull€ i.e 12. 13 14, 22. July12. 15·21 iOutoltown ~IP) 2DJ. 31. Augost6. 8.9. !3,16. '7 20. 21.23. 27.28. 29. 30.Seplember 4, 56 '7. 1SJ5. and Octobe!16 For 2013 Jur,e 4. 5.6. 7. 11. :3 13 19 20 21. 24. 25. 26. July 5. 9. 10. 11. 15. 13 24. 25. 26, 29. 30-31 (Out ottovdllnpj Sesl Rega;ds Snem Tllete 1S away to do i! billet. Frnd rt 'Thomas Ed1soo Page 23of24 UNCLASSIFIED //FOUO 000250 Approve& for release by ODNI on 8-19-2016, FOIA Case DF-201.6-00229. UNCLASSIFIED//FOUO Ezhlblt Bl (U) 18 USC§ 1001: (a) except as otherwise provided in this section. whoever, in any matter within the jurtsdictlon of the executive, legislative, or judicial branch of the Government of the United States, knowingly and wtllfully- (1) Falsifies. conceals. or covers up by any trick, scheme, or device a material fact; {2) Makes any materially false. fictitious, or fraudulent statement or representation: or (3) Makes or uses any false W11tlng or document knowing the same to contain any materially false, fictitious. or fraudulent statement or entry: Shall be fined under this title. imprisoned not more than 5 years or, if the offense involves international or domestic terrorism, imprisoned not more than 8 years or both. Page 24 of24 UNClASSIFIED //FOUO 000251 Approved for release by OONI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I /FOR OFFIC:IA:L USE ONLY Dissemination is prohibited unless authodzed pursuant to 50 USC 403-3h Or net <)~ 'IHI. INSI•LGIUhGLNlHALOrlttt.INn::l.l..IC.rNC!. CIJ~I.Mulll INVI ~1 GATIONS DI VISION w1\~HINGTON, DC Y p~ 1 7 May 2013 (U I I~) MEMO FOR: AlGI . _ _ __ (UI / FOUOJ FROM: Invec:tfgator (UI / Fe\lQ) SUBJECT: INV 2011-0021 - _.J (b)(3) (b1(6) (bl(7)(C) (VI I ~) This office opened the captioned matter on 14 March 201 1 after we received information from the Central Intelligence Agency (CIA) Office of Securtty (OS) Office of General Counsel (OGC) that ·• an ODNl contractor under a Science International Corporation (SAJC) con tract number supported the National Cou nterterrortsm Center excessively used his Agency Internet (AlN) account wherein he sent instant messages to friends, checked onllne dating services, viewed images of ..scantily clad or naked women." and accessed several social media sites, among others . An audit of 's AIN activity showed that approximately 9~o/o of his time on his AIN account was spent for personal use. \ (U I / I'GOO) was a contractor on an SAIC contract with th~ODNJ from 6 November 2006 to 30 March 2012. On 30 March 2012, participated in an Administrative healing wherein the security allegations against h im were substantiated. The allegations included mtsuse of government equipment in violation of The Intelligence Community Policy Guidance 704.2 Adjudicative Guidelines for Use of Information Technology Systems. The allegations against were also a violation of Agency Regulation 7-21 Limited Personal Use of Government Office Equipment Including Information Technology: AR-7-21 disallows using Agency computers for inapproprtate acti·ities and creating sexually explicit materials. These substantiated allegations led to the government revoking his access to classified information which led to termination by his employer. SAJC. received a letter of reasons on 8 May 2012, explaining the revocation of his access to classified information. (U/IFOUO) In the administrative heari.ng held on 30 March 2012. admitted that while a t work he used his AIN connection to purchase non-official plane tickets, send instant messages to friends, and check online dating services. Accordin~ to he accessed these online datinl?; and social accounts to view images of scantily clad or naked women. noted Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED I lroR OFFICIAL USE ONI:Jf 000001 b3 b6 b7C • IG Subject b3 b6 b7C -IG Subject b3 b6 b7C -IG Subject b3 b6 b7C • IG Subject Approv~ for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I / FOR OFFICIAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h that while on the AlN he used MySpace and Meebo as his means of e-mailing and instant messaging his frtends and acknowledged that some of these conversations lasted all day. also explained that 95% of his time spent on the internet was for personal use. (UI /FOUO) In addition to misconduct with respect to his AIN usage, had multiple encounters with law enforcement. The Commonwealth of Virginia, County of b3 b6 b7C- IG Subject b3 b6 b7C - IG Subject The judge ordered a nolle prosequi on prosecutions motion. (U I / :FOUO) On The State of Maryland, (U I / :FOUO) On 11 July 2011, Computer Investigations Unit (CIU) opened Case No. because *CIU received lead information that subject viewed inappropriate materials on his AIN account." The investigation resulted in CIU recognizing "misuse of computer systems and software and that it violated lCD 704.2 Guideline M: Use of Information Technology Systems. Cill stated that his actions could raise concern regarding his ability to adhere to Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIEDI / FOR OFFICIAL USB ONLY 000002 b3 b6 b7C -IG Subject b3 b6 b7C- IG Subject Approvf!9 for release by ODNI on 7-19-2016. FOJA Case DF-201,5-00229. UNCLASSJFTED I !FOR OP'flCii\L U5E ONL'i" Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h (b)(3) (b )(6) (b)(7)(C) rules and regulations as they relate to his willingness or ability to properly protect sensitive systems. networks. and information. Information Technology Systems include all related computer hardware. software, fumware, and data used for the communication, transmission. processing, manipulation, storage. or protection of information." CIU placed the conducted investigation related documents in security file. {U/ /POUO) On 5 June 2012, Investigator received an electronic spreadsheet from SAIC's . which revealed hours billed and billing rate through the time period of his employment on the DNI contract. A summary of the spreadsheets is as follows: Year 1 (9 October 2006-31 May 2007): hours at the rate of $84.25/hour. The total cost billed for Year 1: $96,971.75. Year 2 (1 June 2007-31 May 2008): the rate of$87.62/hour. The total cost billed for Year 2: $172,414.26. billed 1,151.00 b3 b6 b7C • IG Subject b3 b6 b7C • IG Subject; Witness b3 b6 b7C - IG Subject billed l. 967.75 hours at b3 b6 b7C • IG Subject Year 3 (1 June 2008- 31 May 2009): the rate of $91.13/bour. The total cost billed for Year 3: $171,119.36. billed 1,877.75 hours at Year 4 (1 June 2009-31 May 2010): the rate of$96.08/hour. The total cost billed for Year 4: $189,733.98. billed 1,97 4. 75 hours at Year 5 (I June 2010 - 31 May 2011): the rate of $95.47 /hour. The total cost billed for Year 5: $189,245.41. billed 1,982.25 hours at Year 6 (1 June 2011- 12 April 2012): at the rate of $95.67/hour. The total cost billed for Year 6: $154,985.40. billed 1,620.00 hours b3 b6 b7C - IG Subject b3 b6 b7C- IG Subject Grand total of 10,573.50 ho111'8: Total co•t $974,470.15. (U/ / Fel:1e) On 9August 2012, Investigator~ecuted a person search (b)(3) (b)(6) tb)(7)(CJ ~ ~~~ database. Investigator obtained phone n umbers related to and attempted to contact by using these phone numbers in order to discuss this investigation with him. Investigator - w a s unable to contact The phone numbers listed on the search results were and (U I / FeOO) The search also produced two Maryland addresses . with a report date of b3 ~ b7C • IG Subject b7E-IG Tech b3 b6 b7C - IG Subject b7E-IG Tech Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCI.ASSIFIED I / FGR-eFFIGIAL USE GNb¥- ooooo3 Approve:Q for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIEDI / FOR OFFICIAL USE O~JJY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h (UI / FOUO) Investigator- sent a certified mail, return receipt (b)(3) (b)(6) (b)(7)(C) requested notification letter to the last known address of on 2013. The post office returned the item on 2013 due to an insufficient address. (U I / FOUO) ODNI Contracts Office received a letter from Investigato r to advise the of findings and to provide the office with infonnation to assist With recovery. INVESTIGATOR (b)(3) (b)(6) (b)(7)(CJ Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNClASSIFIED I / FeR OFFICIAL USB ONL¥ 000004 b3 b6 b7C- IG Subject b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19·2016, FOIA Case DF-2015-00229. UNCLASSIFIED I I POR OFFICIAL USE ONL"t DISSEMJNAnON IS PROHIDITEO UNU::SS 1\trrHORIZEO PtlRSUM"r TO 50 USC 403-3u •~· C. OF TH[ IN=PE H»1 GE.N£.HAI. Of -rl INTCU..IGftJ c Sot.~M Jwl'· ltJI/{;til Gil TI'Jf'•S Ot, S r11 ~---:-::-~--. WAS ~~..,. · (U I IEOUeJ MEMO FOR; AlGI (U I May 7. 2013 /"l /.FGBe) FROM: Senior Investigator- - (U/ /~} SUBJECT: (b)(3) (b)(6) (b)(7 )(C) -r" 2:- ·~ (b){3) -w ,.,. (b){6) (b)(7l(C) INV 2012-0003 KPMG, LLP Contract# {U/ ~ InAprtl 2012. the IC IG Investigations Division opened an inves tigation into an allegation that KPMG may not have performed work in accordance with the contract terms. This was referred to our office during the IC IG audit of the KPMG con tract compliance regarding a review of improper ODNl payments vertfication. ln short, KPMG performed a verification aud it of improper ODNI payments for the year 2010 when it should have perfonned a review of 2011 improper payments . and the government accepted the results. (U 1/~) According to the IC IG auclltor. the IC IG a udit found that the government was unaware error. After d iscovering the mistake, ODNI management chose not to correct the mistake and audit the correct year. b3 (U/ IEOY'el I m et with ·. a CIA contracting officer (CO) to discuss the KPMG contract and whether the government could require KPMG to audit the correct year a t no cost to the government. Ms. reviewed the con tract file and verbally provided the following comments relative to the contract: • • • • The contract Statement of Work (SOW} was poorly written COTR direction as t o what year to review was consistent with KPMG auditing the wrong year. Contract Funds have expired . ODNI cannot now go back and require KPMG to perform with expired funds - that would be a violation of the AntiDefiCiency Act. KPMG is under no contractual obligation to perform work under the current finn fixed price/level of effort cap once the government accepted the deliverables. The contracts office did n ot receive any derogatoty reports on KPMG that would give rtse to any indication of miScharging. (U/ /~) There ls no ~legal means" available to require the contractor to perform additional work once government has accepted deUvety. Additionally. there was no indication that KPMG employees were engaged in billing irregularities. (U I / .li'Gtle) It is recommended tha t this investigation be closed. D!SSEMINAn ON IS PROHIOITED UNLESS AIITHOHIZED PURSUANT TO 50 USC 403-311 UNCLASSIFIED I / FOR OFFICIAL USE ONLY 000005 b6 b7C - IG Witness Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNCL<\SS-;;-:)//FOR OFFICL'•L eSC ONLY DISSEMINATION IS PROHIE 'TED EXCI"PT AS AUTHORIZED PL'RSUANT TO 50 USC 403-3H 21 March 20 13 INVM-20 12 -001 2-001 MEMORAl\iDUM FOR Hon. Dave Buckley. Inspector Ge'"leral Cent:al ll'lt'"IJ.!g.-..,ce Age:1cy SCBJEC!: ru} I~-v 2012 001 2 a~d INV 2012-0013 'l;j / FO{;O) Ll"le IC IC :~vest4i;at!c:->'> D!V:sio.:o has oo"lduc..ed ovc--tl:re revie"\i'S of OD:\T"f employees as pa:t of ongoing p:-oactive ;,...vest:illati··e activities . iu-t""'~~ a.., iritial probe, -fwo C IA e;nployees were "Tli~lde'"ltified as O~NI ~nployees. lhe CIA ewployees ar<.• --~~~-......... } and / FOUOl Our ir:i 'fa I ;-e~e-r n.; d"~t:l L,dic"'ted pcssio'e tl.-rne"a=d mischa:-ging. Ho-'evr -. o::ce ,•.e beca.we aware of -~etr CrA afr..liatior . ....,..,. discor~,ued a...., · furhe:irvestigati ·e acttor 7b i::itia.l discrPpa:l.~' hours •~itllOut any n:.;t:~tleo;: ~-ere 186.5 hon-s ~em July 2012 tJ-.rough ecewber 2 102 for b3 b6 b7C - IG Subject ~t.J / 1\:r. tt"id ~6 .0 hours fo:r Ms /FOU~ Plea"e related ac-tions to dtis mPmo.:-n ,...,rh • ~ or dl.:-~ct (b)(3) (b)(6) (b)(7)(C) Assi-tar..: ll'lspector General for hvPstiP:ations DISSEMil'ATION IS PROIIIF- 'T'W EXC-...- ~S AFTHOR IZ::D PURSt;ANT TO 50 USC 403-3H UNCL'\SS:::F.F::>/IFOQ OFFiCIAL lSE Ol'tiX 000006 b7C - IG Subject b7E - IG TECH b7E - IGTECH fiJ/ / FOUQ.) We wm forward copies of our initial to v ur offlce se arately via das sifl d cmai . (UI b3 b6 Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASS~/IFOR Ot=:FfCiAL USE ONLY DISSEMINATION IS PROHIBITED EXCEPT AS AUTHORIZED PlJRSUAJ'I;' TTO 50 \ltf t~, USC 403-3H d .. Jrur 2 1 March 2013 I?vVM-201 2-001 2-00 l MEMORAi'lDUM FOR: Hon. Dave Buckley. Inspector General Central Intelligence Agency SUBJECT: {U) INV 201 2-00 12 and INV 2012-0013 {u I /Fette} The iC IC I:wes tigations Div'.sion has conducted ovc.'i::i.-ne re..,'iews of ODNI employees as part of ongoing p:-oactive i~vestigati·•e activities. urlng a:1 initial probe. +wo CIA f'-:nployeac; wr-e -:tlside-.,• ified a s ODNI employees. TI1e CL~ e:nployees are I ________. fu"'ld b3 b6 b7C - IG Subject "--~---- fU I / f'OUO Our initiaJ rev!ewindicated possible t::in;ecard mischarging. Ho'Wever. once we became aW'"'are of their CIA affiliation. we disco11tinued any furt..l'jcr investigati~ ·e action. ':'he bitial discrepant hou:-s v;,;thout any rniti$tion \1.-e;-e 186.5 hours from July 2012 thsou~ Dec-ember 2 !02 fer and 46.0 hours fo:r (l.J I / Fet7Q) Wf" will for\.\;ard copies of our initial to your office se arately via classified e:r.ail. (U/ / FOUe) Please direct related actions to (b )(3) (b)(6) (b)(7)(C) Assistant Inspector Ge:::1eral for IPvestillations DISSEMINAT JON IS P RO HIP 'TED EXCEPT AS AUTHORIZED PURS UANT TO 50 UNCLASSu-tb) /$0R O~ClAL USE OWJf 000007 USC 403-3H b3 b6 b7C • IG Subject b7E - IG TECH b7E - IG TECH Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I /FOR OlfiCfAL USE ONLY Dissemination is prohibited unless authoriud pursuant to 50 USC .i03-3h 2012-0040 DA-= 8 Feb 2013 I. PURPOSE AND AUTHORITY: Conduct a Special Review of the unauthortzed release of sensitive information concerning the 6 July 2012 so called '7 Day letter" to Congress. authored on 3 July 2012 by the National Reconnaissance Office (NRO) Office of the Insr"""tor General (OIG) and submitted on 6 July 2012 by (Former) NRO Director Bruce Carlson. This investigation was conducted under the authority of the National Secw1ty Act of 1947, as amended, Section 103H. 2. S UBJECT: UNKNOWN 4. DATE AND BACKGROUND OF COMPLAINT: The NRO OIG requested the Intelligence Community Inspector General (IC IG) Investigations Division conduct an inquiry into the unauthorized disclosure of sensitive information. and notified Congress of this request by letter on 16 August 2012. -:be NRC submit ed a "7 Day letter" to Congress on 6 July 2012, and on 14August 2012, McClatchy Newspapers published an article cttln~ numerous portions of the 7 day letter with enough detail and accuracy make it more likely than not that the author, Ma,: isa Taylor. h ad direct access to the original letter, in whole or in part. 5. ALLEGA:lON: That persons unknown. and without at:!hority. publicly released non-releasable government infonnation related to an ongoing criminal investigation. TI1e release of this information violates 5 USC 552a, Privacy Act and DOD Instruction 5200. 1. DOD Information Security Program, Controlled Unclasstfied L"lfonnaUon. 6. FINDINGS: a. The "7 day" letter to Congress did not contain restMcted handling guidance and was unclassified. For these reasons, the release of the information was not a criminal act. as typically required in offiCial leak investigations. The IC IG agreed to investigate the matter as requested but the Investigation was limited to only those with access in the Executive Branch. Congressional Staff Members with access were not interviewed in this investigation. b. IC IG Investigations determined that. at a n:.inimum. the folloWing individuals •eceived the letter. or otherwise had access to it: Dissemination is prohibited except as authorized by the 50 USC 403-3h UNCLASSIFIED I / FOR OrACIAL USE ONb¥ 000008 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. Dissemination is prohibited except as authorized by the 50 USC 403-3h UNCLASSIFIED I / FOR OFFICIAL USE ONL¥ lF~"' - OR GENERAL OF THE INTELUGr NCE COMMUNITY INVES - IGATIONS D IVI SION DC 2n'51 ' 10 January 2013 (b)(3) (b)(6) (b)(?)(C) (U / /FOUO) MEMO FOR: (UI /-FOliO) FROM: (VI I FOUO) SUBJECT: (U I / FOUO) Mr. Investigator INV 2012-0049- _ _ _ _ :) was identified in b3 b6 b7C • IG Subject b3 b6 revealed that Mr. was not present at his assi$1ed worksite for the full period for which he billed the government. Preliminary comparison between and Mr. show that from 15 Februa -y 2012 u ntil 31 July 2012, Mr. billed the government for approximately 77.0 hours during which he was not present at his worksite. b7C - IG Subject b7E - IG Tech (UI / FOUO) Mr. was interviewed on two occasions with ffiM attorneys present. in which the days in question were discussed. Mr. was able to rectify 24.25 hours in question. The remaining 52.75 hours were still unaccounted for after the interviews. Mr. was not properly adVised that leaving the building for even brief periods of time for actiVities such as purchasing coffee at the nearby coffee shop. were not appropriate reasons to bill the contract. b3 b6 (U/ / FOUO) Finding: Mr. had 52.75 hours of un accounted for time d uring the period of 15 February 2012 and 31 July 2012. (U/ / FOUO) Obsexvation: Mr. SPPms to be productive when he is present at work, however it appears that he was not properly advised that leaving the building for even brief periods of time for actiVities such as purchasing coffee a t the nearby coffee sh op, were not appropriate reasons to bill the contract. (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFiED I / FOR OFFICW. USE ONLY 000016 b7C - IG Subject b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSlFIED//fOI~ OFFICIAL USE ONL¥ Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h REPORT OF INVESTIGATION #2012-0051 2 NOV 12 EXECUTf\TE SUMMARY NAME I POSm ON: b3 b6 Contnctor: MITRE: Lead Systems Engineer b7C · IG Subject BACKGROUND: that was not present at her assigned worksite for the full period for which she billed the govc'"'l ment. and shows that from 15 FEB 12 until 12 JUL 12. bllled the government for approximately 117 hours during which she was not present at her worksite. Additional audits of AIN internet activity showed that she regularly used the internet for personal U'-~ 4-6 hours per day for an additional average of 335 hours from 15 FEB to 12 JUL 12 inclusive of hours for which the government is billed. In addition. the subject was using AIN to administer a distance education course she taught for University of Maryland Univf'rsity College (UliAUC) fron 10 MAY 11 until 18 OCT 12 for approximately 1-2 hours per day totaling approximately 330 additional hours. S UBSTANTIATED ALLEGATTON: That contract employPP with MITRE. by admission, was making false statements by knowingly and willfully entering false information on timeket>ping documents for submission to a government contractor in violation of 18 USC 1001. FaLse Statements. SUBSTANTIATED ALLEGATION : Tllat cont n ct employee with MITRE. knowin~ly caused to be presentert to an employee of the US Govrr-ment a fraudulent claim for payment. by billing hours to a government contract for which no service was performed. in violation of 18 USC 287. False Claims SUBSTAJ\1- tATED ALLEGATION: That contract employee with MITRE. having devised an artifice to obtain money by false pretenses, transm:tted by means of wire communication for the purpose of executing the scheme. false claims for payment of salary and received, via wire communications. the proceeds of the false claims for payment. in violation of 18 USC 1343. Fraud by Wire. Radio. or Television. Dissemination is prohibited except as authorized pursuant 50 USC 403-3h UNCLASSlFTD/IFOR OmCb\L USE ONLY 000017 b3 b6 b7C- IG Subject b7E · IGTech b3 b6 b7C - IG Subject b3 b6 b7C- IG Subject b3 b6 b7C- IG Subject Approved for release by OONI on 7-19-2016, FOIA Case DF-2Q15-00229. UNCLASSIFIED//FOR 0fFI€W:; USE ONLY Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h F INDINGS: That in making false statements and claims. caused approximately 665 hours of labor charges, for which no service was performed for the government, to be invoiced against a government contract at a rate of $1 41 .7 4 per hour between 10 MAY 11 and 18 ocr 12 and 117 hours that were performed outside the scope of the contract. Tha t and other MITRE employees were routinely allowed to claim hours that were spent working from their homes using MITRE laptops, with Uttle oversight or verifiable work performed for the government and cont:raiy to the terms of the contract between ODNl and MITRE. That by admission. was using AIN to support activities related to secondary employment with University of Maryland University College (UMUC). for which she also received compensation. and did so concurrent with hours for which the government was billed. MITIGATION: cooperated with this investigation. believed she was a u thorized to work outside the scope of the contract because of guidance received from her MITRE program manager, who informed that sh e may claim time worked at home as long as it was in support of the contracl Addition ally. MITRE's timekeeping system was not capable of recording time in increments of less than one hour. Page 2 oflO Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED//FOR OFRCIAL USE ONL't 000018 b3 b6 b7C - IG Subject b3 b6 b7C - IG Subj ect b3 b6 b7C- IG Subject b3 b6 b7C - IG Subject; Witness Approved for release by ODNI on 7-19-2016, FOIA Case DF-201~229. UNCLASSIFIED//VOR 0~ U81i ONLY Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h 1. PURPOSE AND AUTilORriY: Investigate allegations that was fraudulently billing a government contract in violation of 18 USC 1001. 18 USC 287. and 18 USC 1343. This investiga tion was conducted under the authority of the National Security Act of 1947, as amended, Section 103H. b3 b6 b7C • IG Subject 2 . S UBJECT: b3 b6 Name: Work Address: ONCIX. ICC-B Home Address: Home Phone#: b7C • IG Subject b3 b6 4 . DATE AND BACKGROUND OF COMPLAINT: that was not present at her assigned worksite for the full pertod for which she billed the government. shows that from 15 FEB 12 until 12 JUL 12, billed the government for approximately 117 hours during which she was not present at her worksite. Additional audits of AIN internet activity showed that she reguJarly used the internet for personal use 4-6 hours per day for an additional average of 335 hours from 15 FEB to 12 JUL 12 inclusive of hours for which the government is billed. In addition, the subject was using AIN to administer a distance education course she taught for University of Maryland University College (UMUC) from 10 MAY 11 until 18 OCT 12 for approximately 1-2 hours per day totaling approximately 330 additional hours. b7C - IG Subject b7E -IGTech 5. ANALYSIS OF ALLEGATIONS: b3 b6 Allegation 1: That conuact employee with MITU, was maktng false statements by owingly and wfllfuJly entering false Information on U:nekeeping documents for submission to a govemment contractor In violation of 18 USC b7C -IG Subject 1001. a. Evidence. (l) b3 b6 with showing a 117.7 5 hour discrepancy between hours billed to the MITRE contract and hours where was present at her place of performance. (C-1) (2) Analysis of AIN internet activity demonstrating an average of 46 hours per day using AIN Internet for non-work related p urposes. between 15 FEB and 12 JUL. (C-2} UMUC related internet activity demonstrating 1-2 (3) Analysis of hours per day of activity on UMUC web-based platforms from 10 MAY 11 to 18 ocr 12. (C-3) Page 3of10 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSDAED/. ~~~9Aht~~~ b7C - IG Subject b7E -IG Tech b 3 b6 b7C- IG Subject b3 b6 b7C- IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED//FOR OFACIAL USE ONLY Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h (b3,b6,b?C (3) Interview o , _ CIC/KMG, on 12 OCT 12. in which ~lated that her assessment of Ms. AIN use was likely up to six hours per day. 12 hours of which was spent on UMUC related websites between 15 FEB 12 and 12 b3 b6 b7C - IG Subject JUL 12. (B- 1) (4} lnteiVfew of S . UMUC Faculty Appointments Group. on 12 O CT 12. who confirmed employment with UMUC as an adjunct professor since JAN 11. further confumed that received compensation from UMUC for her work. (B-2) (5) Interview o f MrrRE. on 22 OCT 12, who admitted to entering false records on her MITRE timecards by rounding up her time to the nearest hour by as much as 35 minutes, admitted to significant use of the internet on a daily basis for personal activities. and admitted to performing activities related to her outside employment while billing the government contract. stated her understanding that she may bill the government for hours directly related to the project. She was not aware of a policy on use of the internet. agreed that 46 hours a day of internet use might be accurate, but stated that she thought it was more like 2.5-3 hours a day. stated during the interview that she was not aware of the general terms of her contract, and believed that she was authorized to work at home based on the advice of According to any hours billed over the time she was either at MITRE or Bethesda may have been billed was aware that her timecards were ultimately for work performed at home. billed to a government contract and an invoice approved by a government officer. admitted that she was not always supporting the contract while on the internet. said she didn't give it any thought when she was billing for that time. agreed that the 5-6 hours a day shouldn't have billed if they weren't work related. Her supervisor did not know how much time she spent on the internet, but was not given enough work. thought it was enough that she was present for duty, but during periods of downtime she didn't know how to keep busy. didn't think she was doing anything wrong because she was present and available. didn't think about the dual compensation. provided a sworn statement admitting to rounding the time on her timecards in her fa vor. (B-3} b3 bG b7C • IG Subject; Witness b3 b6 b7C • IG Subject; Witness b. Discussion: { 1) contract employee with MITRE. was allegedly making false statements by lmowingly and will.fullv enterin2: false information on timekeeping documents for submission to a government contractor in violation of 18 USC 1001. (2) 18 USC § 100 I. False Statements: Whoever. in any matter within the jurisdiction of any department or agency of the United States lmowtngly and willfully falsifies, conceals or covers up by any trick, scheme, or device a material fact. or makes or uses any false writing or document knowing the same to contain any false. fictitious or fraudulent statement or entry, shall be fined under this title or imprisoned not more than five years, or both. Page4of 10 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED//FS R eFFtCIAf. ~E OJ'Itl:Y 000020 b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-20.1_5-00229. UNCLASSIFIED/.IFGR-GFRCIAL USE O~JL¥ Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h b3 jb3,b6,b7C (3) Documentary evidence obtained through show a combined discrepancy of appro~tween hours billed and hours worked. When interviewed by I N V - - - -. admitted that she routinely rounded up on her timecards and suggested as an example that if she worked 9 hours and 25 minutes. she would bill for 10 hours. ultimately admitted that she spent a significant amount of time on the internet, agt'f"Ping that it could h ave been as much as six hours per day, and that she knew she shouldn't be billing the government for time that wasn't used 1n support of the contract. also agreed that she used AIN to support her activities as an Adjunct Professor for UMUC. b6 b7C-IG Subject b7E - IGTech (4) According to she was authoriZed to work at home by her MITRE b3 Program Manager and stated that it was standard practice for MITRE ~;c IG SubJect; employees to work at home when they don't have MITRE Office Space. Witness asserted that she often left the ICCB facility early but would work an additionall-2 hours from home. _ (5) Though asserted the authorization to work at home, she admitted the misconduct by confuming the government's estimate of internet usage and that it was not always related to the project; stating that she routinely rounded her time in her favor on her time sheets; and admitting to use of government time and resources to support her outside employment. asserted that she was underemployed at ICCB and that she frequently asked for work. but did not have enough to keep busy. assertion that she was underemployed at ICCB undermines the credibility of any assertion that she vv-as working from home for an additional 1-2 hours when not present at either ICCB or MITRE. which suggests that the 117 hours worked outside the scope of the contract may also have been fraudulently billed. was making false statements by (6) Conclusion: The allegation that knowingly and willfully entering false information on timekeeping documents for submission to a government contractor in violation of 18 USC 10011s substantiated. Alle&ation 2: That contract employee with MITRE. knowingly caused to be presented to ao employee of the US Government a fraudulent claim for payment, by b1111Dg hours to a government contract for whJch no service was performed in violatfop of 18 USC 287. b3 b6 b7C - IG Subject b3 b6 b 7C - IG Subject b3 b6 b7C - IG Subject a. Evidence. b3 (1) b6 showing a 117.75 hour discrepancy between hours billed to the MITRE contract and hours where was present at her place of performance. (C-1} with (2) Analysis of AIN internet activity demonstrating an average of 46 hours per day using AIN internet for non-work related purposes, between 15 FEB 12 and 12 JUL 12. (C-2) Page 5 of10 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED//FOR OFRCit\b f:ISE ONLY 000021 b7C - IG Subject b7E - IG Tech b3 b6 b7C -IG Subject Approved for release by ODNI on 7- 19-2016. FOIA Case DF-2Q15-00229. UNCLASSIFTED/fliOR OmclAL USE ONLY Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h (3} Analysis of UMUC related internet activity demonstrating 1-2 hours per day of activity on UMUC web-based platforms from 10 MAY 12 to 18 ocr b3 b6 b7C - IG Subject 12. [C-3) jbJ,b6 b 7 C I CIC/KMG, on 12 ocr 12, in which --elated ~ that her assessment Ms. AIN use was likely up to s ix hours per day, 12 hours of which was spent on UMUC related websites. [B - 1) (3) Interview (4) Interview of 12, who conftnned UMUC Faculty Appointments Group, on 12 ocr employment with UMUC as an adjunct professor since JAN 11. further confinned that had received compensation from UMUC for her work. [B-2) (5) lnteiView of MITRE, on 22 ocr 12, who admitted to entering false records on her MITRE timecards by rounding up her time to the nearest hour by as much as 35 minutes. admitted to significant use of the internet on a daily basis for personal activities, and admitted to performing activities related to her outside employment wh1Je billing the goverrunent contract. stated her understanding that she may bill the government for hours directly related to the project. She was not aware of a policy on use of the internet. agreed that 4 6 hours a day of internet use might be accurate, but s tated that she thought it was more like 2.5-3 hours a day. stated during the interview that she was not aware of the general terms of her contract, and believed that she was authorized to work at home based on the advice of According to any hours billed over the time she was either at MITRE or Bethesda may have been billed for work performed at home. was aware that her timecards were ultimately billed to a government contract and an invoice approved by a government officer. admitted that she was not always supporting the contract while on the internet when she was billing the government. said she didn't give it any thought when she was bllling for that time. agreed that the 5-6 hours a day shouldn't ha ve billed if they weren't work related. Her supervisor did not know how much time she spent on the internet, but was not given enough w-ork. thought tt was enough that she wns present for duty, but during periods of downtime, she didn't know how to keep busy . didn't think she was doing anything wrong because she was present and a vailable. didn·t think about the dual compensation. provided a sworn statement admitting to rounding the time on her timecards in her favor. [B-3) b3 b6 b7C • IG Subject b3 b6 b7C - IG Subject; Witness b3 b6 b7C • tG Subject; Witness b. Discussion: (1) contract employee with MITRE. allegedly knowingly caused to be presented to an employee of the US Government a fraudulent claim for payment. by billing hours to a government contract for which no service was performed. in violation of 18 USC 287. (2) 18 USC 2 87, False Claims- Criminal: Any person who knowtngly presents, or causes to be presented, to an officer or employee of the United States Government or a mem ber of the Anned Forces of the United States a false or fraudulent claim for payment or approval, or knowingly makes, uses. or causes to be made or used, a false Page 6of10 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED/IFORa~ClAL USE ONLY b3 b6 7 16 b C• Subject Approv~ for release by ODNI on 7-19-2016, FOIA Case DF-20...!.5-00229. UNCLASSIFIED/!FOR OR=lCT:AL USE aNI:;¥ Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h record or statement to get a false or fraudulent claim paJd or approved by the Government. is liable to the United States Government for a civil penalty of not less than $5,000 and not more than $10.000. plus three times the amount of damages which the Government sustains because of the act of that person . .----::----,,.-----,---, lb3 ,b6 b?C I (3) Documentary evidence show a combined discrepancy of hours billed and hours worked. When interviewed by I N V - - - - -. admitted that she routinely rounded up on her timecards and suggested as an example that if she worked 9 hours and 25 minutes, she would bill for 10 hours. ultimately admitted that she spent a significant amount of time on the internet. a~ing that it could have been as much as six hours per day, and that she knew she shouldn't be billing the government for time that wasn't used in support of the contract. was aware that her timecards were billed to the government at an hourly rate. also agreed that she used AIN to support her activities as an Adjunct Professor for UMUC. appro~tween (4) According to she was authoriZed to work at home by MITRE Program Manager and stated that it was standard practice for MITRE employees to work at home when they don't have MITRE Office Space. asserted that she often left the ICCB facility early but would work an additional 1-2 hours from home. attribute the amount of time she spent on the internet to being underemployed while on the NCIX project and asserted that she frequently asked for more work. (5) Though asserted the authortzation to work at home, she admitted the misconduct by confirming the government's estimate of internet usage and that it was not always related to the project; stating that she routinely rounded her time in her favor on her time sheets; and admitting to using government time and resources to s upport her outside employ'Tllent concurrent with hours she was billing to the government. asserted that she was underemployed at ONCIX and that she frequently asked for work, but did not h ave enough to keep busy. assertion that she was underemployed at ICCB undermines the credibility of any assertion that she was working from home for an additional l-2 hours when not present at either ICCB or MITRE. which suggests that the 117 hours worked outside the scope of the contract may have been fraudulently billed as well. (6) Conclusion: The allegation that contract employee with MITRE. knoWingly caused to be presented to an employee of the US Government a fraudulent claim for payment, by using falsified timekeeping documents to bill a government contract in violation of 18 USC 287 is substantiated Page 7of10 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED//fOR OFACIM: USE ONi::Y 000023 b3 b6 b7C- IG Subject b7E - IGTech b3 b6 b7C- IG Subject; Witness b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-20t5-D0229. UNCLASSIFIED/IIiOR Omc'IAL US~ ONLY Dissemination is p rohibited except as authorized pursuant to 50 USC 403-3h Allegation 3: That contract employee for MITRE. having devised an artifice to obtaJn money by false pretenses, transmitted by means of wire commUD.ication for the purpose of executing the scheme, false claiD;ls for payment of salary and received, via wire communications. the proceeds of the false claims for payment, Ia violation of 18 USC 1343. a. Evidence. of- Interview Ml1RE. on 22 ocr 12, who admitted to entering false records on her MITRE timecards by rounding up her time to the nearest hour by as much as 35 minutes , admitted to significant u se of the internet on a daily basis for personal actiVities, and admitted to perform1Dg activities related to her outside employment whUe billing the government contract. stated that she submits her payments electronically on a web-based system and recetves payment via electronic fund transfer. (I) b3 b6 b7C • IG Subject b3 bG 7 b C - IG subject b. Discussion: contract employee for MITRE. allegedly having devised an artifice to obtain money by false pretenses transmitted by means of wire communication for the purpose of executing the scheme. false claims for payment of salary and received. via wire communications. the proceeds of the false claims for payment, in Violation of 18 USC 1343. (1) That b3 bG b7C- IG subject (2) (U) 18 USC 1343. Fraud by wire, radio, or television: Whoever, having devised or intending to devise any scheme or artifice to defraud. or for obtaining money or property by means of false or fraudulent pretenses, representations, or promises. transmits or causes to be transmitted by means of wire, radio, or television communication in interstate or foreign commerce, any writings. si~. signals. pictures, or sounds for the purpose of executing such scheme or artifice. shall be fined under this title or imprisoned not more than five years, or both. admitted to entering false records on her MITRE timecards by rounding up her time to the nearest hour by as much as 35 minutes, admitted to significant use of the internet on a daily basis for personal activities. and admitted to performing actiVities related to her outside employment while billing the government contract. then made claim for payment of these hours using a web-based timekeeping system and received payment by electronic fund transfer. (3 ) (4) Conclusion: The allegation that contract employee for MITRE. having devised an artifice to obtain money by false pretenses, transmitted by means of wire communication for the purpose of executing the scheme, false claims for payment of salary and received, via wire communications, the proceeds of the false claims for payment. in violation of 18 USC 1343 is subs tantiated. b3 b6 b7C · IG Subject b3 b6 b7C • IG Subject 6 . OTifER FINDINGS: a. That in making false statements and claims, caused approximately 665 hours of labor charges, for which no service was performed for the Page8of10 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED//FOR OFFKlAb U&e ONLY 000024 b3 b6 b7C · IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-201_5-00229. UNCLASSIFIED/~rRCJAL USE ONLY Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h govemment, to be invoiced agamst a govermnent contract at a rate of $141.74 per hour between 10 MAY 11 and 18 ocr 12 and 117 hours that were performed outside the scope of the contract. b. That and other MITRE employees were routinely allowed to claim b3 hours that were spent working from their homes using MITRE laptops , with little ~~c _IG Subject oversight or verifiable work performed for the government and contrary to the tenns of the contract between ODNI and MITRE. c. That by admission. was usin¢ AIN to support activities related to b3 secondary employment With University of Maryland University College (UMUC). for bG . which she also received compensation. and did so concurrent with hours for which the b]C • IG SubJect government was billed. 7. RECOMMENDATIONS: a. That this report be approved and a summary provided to the appropriate Contract Officer and Company representatives for a ction. b. That ONCIX reevaluate Full-llme Equivalent n eeds for each contract and adjust contracts accordingly. Assistant Inspector General For Investigations Page9of10 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED//FOR OfHCb\L USE ONLY 000025 Approved for release by ODNI on 7-19-2016, FOIA Case DF-20l5-00229. UNCLASS1FIED/IFOR OR=ICIAL USE ONLY Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h EXHIBIT DESCRIPTION A 1. 2. Directive Investigative Plan B I. lb3,b6,b7C 2. 3. Interview of Interview of Testimony UMUCFAG CIC/KMG c 1. 2. 3. 4. SAIC Contract and MOD Page 10of10 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED//FOR OFFICIAL US~ ONLY 000026 Approved ror release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCI.ASSIFTFDI I FOUO \I I I ' l't' - 20 June 2013 MEMORANDUM FOR: FROM: SUBJECT: 1. Agency 0 EOD Senior Investip;ator . . (b)(3) (b){6) (b)(7)(C) IC IG Investigation 2012-052 - cial: (UI I POUO' 2008, Resigned from ODNI on GG- 11. AIN 2013. b3 b6 b7C - IG Subject 2. Ant b o:-ity· (U) 50 USC § 403-3h. 3. ~ -:tclu:r?un ci: (U I I FOUO} The Office of the General Counsel (OGC). Office of b3 the Director of National Intelligence (ODNI). refe-,-ed a p ossible 18 U.S.C. § 205 bG . 7 violation to the IC IG'for inquiry. S p,.cifically, it was alleged that Mr. b C - IGSubJect an ODNI govemment employee, represented an Agency contractor, CACI. when meeting with CIA officials. (UI /f'OUO) The incident referred by the OGC occurreri on 10 August 2012, when Mr. who was seeking employment as a contractor. interviewed with CIA officials for a CACI contractor position. - ollowing the interview one of the CIA officials questioned CIA OGC about the appropriateness of Mr. wearing an ODNI issued blue access badge while interviewing for a contractor position. The m atter was referred to ODNI OGC when it was determined that Mr. was an ODNI employee. (U I / FOUO) The investigation found that Mr. met with CIA officials as a prospective CACI employee while wearing his blue (government employee) badge. In doing so. Mr. a government employee. m ay have represented a third party, CACI, back to the government. b3 b6 b7C - IG Subject b3 b6 b7c _IG subject 5. E'T'iden ce: (UI IFOUO) . Pro~ram Manager for CLA.'s Support Contractor Management Program (SCl\ r) reported Mr. interview as a possible -1DiP~m!n tion is pTOb i it·ed unJe5s autborl.: d by Sec. lOSH of tile National ~eu.-ity Act. UNCLASSIFIED I / FOUO 000027 b3 b6 b7C- IG Subject; Witness AppFnl'\'G -:'0:", DC .:;:-:;' ~- MEMOHANDUM FOR RECORD SUBJE CT: Correction to INV-2012-0057 Case-Closing Memorandum The file for case number INV-2012-0057 contains an incorrectly dated caseclosing memorandum. This Memorandum For The Record corrects the issue date of that document from 18 June 2012 to 18 June 2013. !\o further action is required. (b)(3) (b)(6) (b)(7)(C) Assistant Inspector GeneraL Investigations This doc•Jment Is intended only for authorized rcclpl!"nts. Recipients may not further disseminate this information without the express pennission of the signatory or other Office of Inspector General of the Intelligence Community personnel. Tills document may contain Inspector General sensitive information that is confidential. sensitive. work product or attorney-client privileged . or protected by Federal Jaw, including protection from public disclosure under the Freedom of Information Act (FOI.A). 5 USC§ 552. Accordingly. the use. dissemination. distribution or :-cproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFIED 000036 Approved for release by ODNl on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ / FOR OFFICIAL USB ONL¥ Dissemination is prohibited unless authoriZed pursuant to 50 USC 403-3h () I H 1· or Ill·; I SJ'f.~ H.W (lf"Ni-.KAJ t1. Tl!l: IN'TFII.IL,fo.Nl 1::: ( OMMI NIT\ J.N\ t;~;Til•A riUN'-' Dl\ 1:--10 .J W~HINt. ru~. DC 20" • 1 18JUN 12 (b)(3) (b)(6) (b)(7)(C) (U/ /~}MEMO FOR: (U I / FeUO) FROM: (U I /-Fette>) SUBJECf: b3 INV- b6 2012-0057- (UI / .FOUe) After further review of the preliminary inquiry. further investigation was unable to establish that did not perforn the work billed against the FUSION contract. was allegedly authoriZed to work at home by Senior Advisor to the IC CIO. and the relevant contract documents only establish that the TASC facility was the primary place of performance. I recommend that this case be closed without further action. (b)(3) (b)(6) {b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED I /FOR OFFICIAL USE ONLY 000037 b7C • IG Subject b3 b6 b7C • IG Subject; Witness Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNClASSIFIED/ / FOR OFFJCI:AL USE u . iiN Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h OFFI r. JC:lHE IH5n - :;-rr"~:tGC:NL! O~"- ~=lrHE trc,-ucECvMMI u1rv SION 11 March 2013 (U I /FOUO) MEMO FOR: AlGI b3 b6 {U I / FOUO} FROM: (U I / FOUO) SUBJECT: b7C • IG Subject ltW 2012-005~ l) (U I fFOUO) l-= IN' FI - ~., G;:~JL.RA o:- n' USC 403-3H itHE.IIIGEN · ;: c 0 tMII tr ~~~vr:.s T GA if • w~ D1vts Otf WA.:.~rr.-lUN DC 20511 6 JUN 13 ICb)(3} I (UI I FOUO) i\tiEMO FOR: AlGI- (U I I FeBO) FROM: Investigator - b3 INV 2013-0062- b7C -IG Subject b6 at (UI f Fe{JQ) During the TECH Building in b3 b6 the Investigations Division identified AlN IC CIO, as having an excessive discrepancy between hours billf'd and hours present at the principal place of perfonnance. is a Cleared Solutions, Inc. employee and subcontractor to TASC on ODNI Contract and shows that from 29 NOV 11 through 24 OCT 12, billed the government for a pproximately 455.75 hours during which he was not present at his worksite. b7C • IG Subject b7E-IG Tech (b)(3) (b )(6) (U/ / ffit:Je) Investigators intf'niewed on 30 APR 13, b3 uring which the days in question were discussed. stated that his job ~~c. 16 subject (b)(7)(C) id not fit the ..hour by hour. minute by minute paradigm", and stated that he ...._--~an work at any location as long as he gets the job done. admitted that he b illed the contract for work performed outside the authorized place of p erformance, including commercial food s ervice locations With WIFI access. further stated that he was recently instructed that work at home was not permitted. and he is "... trying to adhere to it." (This may refer to a J AN 13 email from the COTR advising that no cor>tractor may bill the contract for work performed at home.) (UI I FOUO} On 16 MAY 13, reiterated, by email, his belief that he is authorized to work ..wherever and whenever" necessary to complete the work and claimed that it was sanctioned by and government employees in CIO. (UI 1-FeOO} ON 17 MAY 13, and were both questioned about assertions regarding the authorization to work a t offsite locations. Both and stated they have never authorized to work from home and both firs t became aware of these activities only recently. 0ISSI::MlNAT10N IS PROtllf' IT"'I) UNLESS A(f n!ORI--=-D PIJRSI IAN!" TO 50 USC 403-3H UNClASSIFIED/ /FOR OFFICIAL USE ONLY 000042 b3 b6 b7C - IG Subject; Witness b3 b6 b7C- IG Subject; Witness Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015.()0229. U~~I.ASSIFIED/ /FeR-BFFICIAL USE '-'t>Jl.Y 0 1SSEMINA110N IS PROHIBITED UNLESS At.TlliOR!ZEO ?URSUANT TO 50 USC 403-3H ~~~~~~ (U/ /¥900) Investig a t o r - obtained ent:Iy/exit badge record data for BAH, TASC, NRO and MITRE facilities which verified that had been present ( b)(7 )(C ) ~..--_ _.,...Jat those facilities d uring the period in question. was credited with 209 hours for the periods that he reported to those facilities. b3 bG b7C • IG Subject (UI /FeY€>) Findings: h as 246 of unaccounted for time during the period of November 29, 2011 through October 24, 2012, which, by admission, were performed outside the scope of the contract. has a billing rate of 146.45 per hour. The estimated amount of mischarging is $36,026. may have committed a violation of 18 USC 1001. by making false statements to investigators durtng the ·30 APR 13 interview wherein he asserted government employees had sanctioned his work habits. may h ave committed security violations by using public access WlFI networks to perform official business on a personal computer. (b)(3 ) (b )(6 ) (b)(7)(C) 1 DISSEMINATION IS PROHIBITED UNLESS At.TlliORIZED PURSUANT TO 50 USC 403·3H UNClASSIFIEDI / FOR OFFICIAL USE ONL¥ 000043 b3 b6 b7C • IG Subject b3 b6 b 7C - IG Subject b3 b6 b7C • IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. Ur11CI.ASSIFIED/ / FOR OFFICIAL USE b .&Y Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 5June 201 3 (b)(3) (b)(6) (b)(7)(C) (U I / FOUO} MEMO FOR: AI (U I /FOOO) FROM: Investigator (U/ / FOUO) SUBJECT: Report oflnvestlgation, INV-2012-0063, was identified data at the TEC Building in Mr. is a K2 Solutions, LLC, en101~:>vt:~e subcontractor to TASC on ODNI FUSION Contract revealed that Mr. was not present at his assigned worksite for the full period for which he billed the contract. (UI /f'OUO} ls authortzed pursuant to 50 USC§ 3033 In the slightly more than one year of Mr. timesh eets that we reviewed there were 23 mid-day absencf's in excess of 30 minutes that could not be accounted for. (UI /FOUe) Mr. conceded that there were discrepancies that he could not account for, but did not admit to any wrongdoing. He insis ted that all the remaining discrepancif's could be balanced off by 'off-theclock' service to his customer. I pointed out to Mr. that that the formula used for this investigation is extremely generous in favor of the s ubject. It gives the subject credit for every minute s pent within the turnstiles, regardless of what they are doing. b3 b6 b7C- IG Subject b3 b6 b7C - IG Subject (U I / FOUO} Finding: Mr. has 77 hours of mischarges during the b3 peiiod of 3 October 2011 through 15 October 2012. Throughout the large ~~C -IGSubject majority of this report period Mr. had a billing rate of$152.96 per hour. Therefore . the total amount of mischarging is at least $ 11 ,777.92. (b)(3) (b)(6) (b)(7}(C) Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 UNCLASSIFTED I I~R OFFICIAL USE ONLY 000045 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UI'II~I.ASSIF'IED I / FOR OFFICIAL USE br~LY Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 Orfl ~ iHr I'J!Elltr.c.r•• r 0 l V 1!'>! () ; \VA<:.H <1'101, 0::; 2051 1 J 11- lr·~Jt'i-I~TuP GE~~JEr USB bxfLV Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 (U/ /FOUO) Mr. admitted that there are approxim ately 70 hours :~ that be cannot account for and for which "I cannot produce b7C- IG subject substantiation for the hours billed_" He also conceded that he had "been trained to round time s ubmission to the nearest half-hour... He stated that error m ay have resulted in up to an additional 38 hours of m iscbarges. I pointed out to Mr. that the formula for calculations used for this investigation credits him for any and all work done in excess of the time he billed; however. there were very few instances where Mr. claimed less time than he billed(U/ / FOUO) Mr. testified that he gave extra. uncompensated service to the government by his evening and weekend service to his ODNI customer. However. there was no evidence to support that contention and, on the contrary. extensive documentary evidence of his mischarges. particularly for lunchtime breaks- He closed by stating, "to the extent tha t this [rebuttal] is found to be an unacceptable margin for undocumented time, I have to accept this personal responsibility and I reiterate to you my willingness to make the necessary reimbursements.~ (U/ / FOUO) FindinC: Mr. has 105.5 hours mischarges during the period of 3 October 2011 through 24 October 2012. Throughout the large majority of this report period Mr. had a billing rate of $ 198.56 per hour. Therefore, the total amount of mischarging is at lea c:;t $20,948.08. (b)(3) (b )(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 UNCLASSIFIED / /FOR 0Ff'I€1A:b USE ONL¥ 000047 b3 b6 b7C- IG Subject b3 b6 b7C- IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-0022.9. Ul\~I.ASSIFIED I / FOR OFf'ICIAL USE tmLY DissE>mination is prohibited unless authorized pursuant to 50 USC 403-3h (U I /FOUG} MEMO FOR: (U I IFOUO~ FROM: Investigator (Ui fFO~ INV 20 12-0065-{ SUBJECT: 13 March 2013 (b)(3) (b )(6) (b)(7)(C) (U I / FOUO} let which included leaving the office and charging the contract for activities such as "meeting the FiOS guy," "meeting the HVAC guy," "leaving ~because parents are arriving." and several occasions to pick up his son. - · for various reasons including to coach sports. doctor's appointments and lack of childcare. On 8 March 2013, provided Investigator - w i t h an eJ\.-planation for an additional 4 .50 hours. b3 b6 b7C- IG Subject (U I I FOUO}- Finding: has 406.25 hours of unaccounted for time during the period of 3 October 2011 through 24 October 2012. has a b3 b6 b7C- IG Subject billing rate of $ 141.73 per hour. The total amount of mischarging is $57.577.81. (b)(3) (b)(6) INVESTTGATOR (b)(7)(C) Dissemination is prohibited unless authorized p ursuant to 50 USC 403-3h UNCLASSIFIED I / FOR OFFICIAL USE ONLY 000048 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. u ftt.EU rut: lN~P!lliOHGe.NEFALtlr rw IN E!liGEN- W ·~fu-l;J~1r Cvl.1'f' "!(\ OC 20511 13 March 2013 INVM-20 13-0065-001 MEMORANDUM FOR: l) 18 U.S .C. §3729, False Claims ISSUE PRESENTED: (UI /FOUO) Whether mischarged labor cos ts from 17 Januruy through 2 4 October 20 12 in violation of law. b3 b6 b7C - IG Subject ANALYSIS: (UI /FOUO) was interviewed on 16 Januruy 2013 and reported that he b3 worked two to three hours per day from home due to workspace constraints at ~;c the Tech Building. He further explained in an email that he was never provided a dedicated des k at the government location and often had to change workstations throughout the day; and the computer equipment provided to him at Tech was not a ble to support the type of webinars in which h e participated, or manipulate the data in his files. As a result. he used his personal comput er a t home to support the unclassified work that he did. (U I /FOUO) stated that he attended meetings and conferences throughout the Wa shington metro area and provided dates and documentation for the ones that he could recall. This information reduced the discrepant hours from 463.25 to 224. (U I /-FeOO) The current and former functional leads for the SETA Cloud Computing Project were interviewed on 30 January and 1 Februruy 2013, and expressed shock a t the amount of hours that claimed to work at home. They reported that never requested to work from h ome, or mentioned working from home, except on two occasions. Although was always available when n eeded, and would be trusted to work from home, his responsibilities did not, under any circumstances. require two to three hours of unclassified research per day. (U/ IFOUO) On 4 February 2013 the contracting officer's technical repre~ntative (COTR) was interviewed, and was s urprised to learn that was working from h ome since he was assigned to a classified project that required working in as serF. The C01R requires written requests and a pprovals for anyone Wishing to work at home; at no time did she or any other government lead receive or grant such a request for _ IG Subject b3 b6 b7C - IG subject b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject CONCLUSION: (VI / FOUO) Between 17 January and 24 October 2012. charged the ODNI under the FUSION Contract for 224 hours he did not work. The evidence 2 UNCLASS I FI ED / /~euG000053 b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED// ~ used to substantiate this claim includes badge record data. email correspondence. contract time cards, weekly activity reports. interviews, and own statements regarding working from home. b3 b6 b7C- IG Subject S UBSTANTIATED ALLEGATION: (U/ /FOUG) Belween 17 January and 24 October 2012 the ODNI for 224 hours he did not work in violation of law. APPROVED BY: (b)(3) (b)(6) (b)(7)(C) for Investigations 3 UNCLASSIFI ED//¥GYG 000054 charged b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I /FOR OFFICfAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 c::l'-...z, ~ ..------. (b)(3) (b)(6) (b)(7)(C) {U I / FOUO) MEMO FOR (U I /FOUO) FROM: (U/ / FettO) SUBJECT: 16 July 2013 Investigatorb3 b6 b7C - IG Subject INV 201 3-000 I 1. AIN (U/ / FOUOJ was identified in at the Tech Building i n j(b)(3) 1 was a Celerity (whose name recently changed to . which was a sub to the prtme contractor. TASC, on ODNl Contract revealed that was not present at his assigned full hours for which he billed the contract. show that from 17 April 2012 through 29 January 20 13. billed the government for approXimately 184.25 hours which he was not present at his worksite. o5 b6 b7C • IG Subject b7e -IG Tech b3 (U/ / FOUO~ interviewed on 15 July 2013, in which the days in question were discussed. was unable to account for 184.25 missing hours. He explained that he sometimes worked from home but did not tell anyone. was not authorized to work from home. bG b7C- tG Subject (U/ / FOUG) has 184.25 unaccounted hours for period from 17 Aprtl2012 b3 through 29 January 2013. bas a btlline; rate of $96.93 per hour. The ~;C-IGSubject total amount of mischarging is $17.859.35. INVESTIGATOR- (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 UNCLASSIFIED I / FGR OFFICIAL USE ONLY 000055 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I / FOR OFPCI:AL USE ONLY Dissemination is p rohibited unless authorized pursuant to 50 USC 403-3h Ot· 1 , .1r ,·t1t= I"!$FfC~C:R Gt:IIER.r.t o rt·1 TE tlnFH<.Jt: CnMMtll~. v lt.VLSTI ~~~- ONS D'VIS ~~-) W;."-'rll'-4 - ~.DC 2051 9 May 2013 b-:-:-)(3::::-:-)~ r::-( {U/ / POUO) MEMO FOR: AlGI (U I /FOUO) FROM: INV {U I / FOUO) SUBJEC~ 2013-0002 (b)(6) (b)(7)(C) b3 b6 b7C- IG Subject (U/ / FOUO) On 2 January 2013, the IC IG opened an investigation on regarding inaccurate time card s ubmissions. The preliminary investigation found 301 questionable hours from 27 March 2012 through 25 February 2013. (b)(3) (b)(6) (b)(7)(C) (U/ / FOUO) On 8 May 2013, ll\TV~terviewed . He explained that the discrepant hours were all related to working from home/offsite. as allowed by government and contractor management, until 19 March 2013, when the Con•racting Officer advised that contractors wt>re not permitted to work offsite. explained that s ome of their work could not be conducted at the government or contractor fa cility. because the computer program was not available at either location. After returned to his office following the interview. he forwarded an email from his government manager, . which cleared stated he could work from home. I N V also spoke with following thP interview with . and corroborated statements. (U I I FOUO) r recommend that this case be closed without further action by this office. (b)(3) (b)(6) INVESTIGATOR (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSiFiED ' /FOft OFFICIJ\L US~ ONLf 000056 b3 b6 b7C • IG Subject b3 b6 b7C- IG Subject b3 b6 b7C - IG Subject, Witness Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I / FOR OFFIClt\L USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h 19June 2013 (b)(3) (UI / Fffiffi) MEMO FOR: (b)(6) (b1(7)(C) (U I / FeY€>) FROM: Investigator b3 INV 2013-0003 b7C - IG Subject b6 (U/ / ¥900) SUBJECT: (U/ / FQY.0) A revealed that TASC employee, . was not present at her assigned worksite for the full period for which she billed ODNl contract 2006- 1236415000. at assigned workplace, Tech Building, and found that from 9 Aprtl 2013 through 25 February 2012. billed the government for approximately 180 hours during which she was not present at her worksite. (U I /-¥GYO) The IC IG interviewed t on 27 March 2013 and allowed 20 hours for possible offsite work. which decreased the 180 discrepant hours to I 60 hours. t admitted that she did not accurately record her time charged to the contract . also admitted to spending significant time on the internet conducting personal business, including solicitin~ others to join her private business. The IC IG con servatively estimates that spent a t least two hours per day conductinj! private business on the internet. (U/ / ~) Finding: worked approximately 168 days during the time period reviewed, which equates to an additional336 hours not worked and charged to the contract. approximate personal internet usage and her inaccurately recorded 160 hours equate to 496 discrepant hours; her hourly charge to the government is $104.05, which is a total loss of$51.608 to the government. (U I / Fet1e) Recommendation: The IC IG reconunends that TASC, in coordination with ODNI contracts. determine the exact loss to the ODNI. and take appropriate corrective action. INVESTIGATO~ (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3b UNCLASSIFIED/ /POR OFFieiAL USB ONLY 000057 b3 b6 b7C - IG Subject b7E - IG TECH b3 b6 b7C - JG Subject b3 b6 b7C - IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. U~ <.., LASS I-~01 / FOR 0 ' ;:-'JCll'\L USE Of\lLY Disserrination is prohibited unless authorized pursuant to 50 USC 403-3h \ I I' ~ 20 June 2013 .------~Il\TW.1- 2013-0005-00 1 (U I / F'OUO) MEMO FOR: AlGI (U/ I FOUO~ FROM: Investigate~ (b}(3) (b)(6) (b)(7)(C) b3 b6 INV 20 13-0005 ~ b7C - IG Subject b3 (U I I FOUO) IC IG Investigations Division iden tified (AIN b6 ina b7C • IG Subject Is a TASC employee on OD~I b7E - IG Tech , revealed th at was not presen t a t his assie;ned works1te the full period for which he billed the contract. A and show that from 3 October 2011 through 25 February 20 13, billed the government for approximately 342.55 hours during which he was not present at his worksite. (U/ I POUO) On 29 March 2013. IC IG investigators interviewed regarding his questionable hours. was unable to explain any of the hours in question. He said he attends mP~tinf!s at other locations but he does not keep r~cords or a calendar of the m "Ptings he attends. The TC IG investigators requested that he review his records and provide any documentation that could explain the que~tionable hou-s . spent a (U I I FOUO) The IC IG inves ti~ation also found that significant amoun t of time each day conducting personal business on the internet; . The majority of this time appeared to be related to his Boy Scouts voluntPPr work. (b)(3) 1 explained that while his contract prohibited personal internet l u s e. he took the . . trainin~ each year, and believed he complied with rules. He said he believed his internet use was reasonable because he got his work done. and was efficient at his j ob, doin~ the work of two to three people. (U/ / WUO) On 17 April2013 . met again with an IC IG investigator. and provided additional documentation regarding m~etings he attended away fr')...,... his nonnal work location. --he IC IG reviewed Dissemination is prohibited unkc;c; a uthorized pursuant to 50 USC 403-3h UNCLASSfFTEJ I /FOR OFFICIAL USE ONLY 000058 b3 b6 b7C • IG Subject b3 b6 b7C • IG Subject b7E · IGTech b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I / FOR OFFICIAL USE OWLY Dissemination is prohibited unless a uthorized pursuant to 50 USC 403-3h each document provided. and credited the time explained in the documentation. which decreased inaccurate hours to 291.05. (U I / FOUO) Finding: charged the contract 291 hours which he did not work on ODNI matters from 3 October 2011 through 25 February 2013. current billing rate is $136.39 per hour. which equates to approximately $39,689.49_ This estimate does not inc1ude inaccurate charges for spending signifie&""lt time each day conducting personal business on the internet. which should be considered when determining the total loss to the government. INVESTIGATOR- {b}(3) (b)(6) (~)(7)(C} 2 000059 b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSWIED / /FOR OFFICIAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h 0 I.E 0 Hi~ INSP'=CTC ~ GE~'EA/;L OF THE It -l:.LLIGf, ~Cf: ftJV'-<:rtC:ATIONS D I' 'ISif'' Wo\SHIN1 - CC UUtJ ll' ~ t::'?P' 19 APRIL 2013 (U I / FOU<:)) MEMO FOR: AI (U/ / F OUE)} FROM: Inves ugator (U I / roUe} SUBJECT: INV 2013-0006- was identified at the Tech Building in is a Mavetic LLC employee and is working as a su to MOD2 who is a sub-contractor to TASC on ODNI Contract revealed that was not present at his assigned worksite for the full p E"riod for which he billed the contract. show that from 17 nd April 2012 through 17 September 2012, billing the govemment for approximately 207.50 hours during which he was not present at his worksite. (U/ / FOU6) j(b)(3) 1 (b)(3) (b )(6) (b)(7)(C) ,), AIN (U/ / FC>UO) was interviewed on 14 March 2013, in which the days in question were discussed. was able to rectify 38.75 hours in question. The r emaining 168.75 h ours were still unaccounted for after the inte:rv;ews. did n ot provide any explanation for mid-day gaps that were unaccounted for and remained steadfast in his position that there were in fact mf'etings that could be driven to and had within a 12 minute time span. explained further that he would be a pproachect as he wa s leaving and remain in the parking lot for 13 m inutes, however did not provide documentation or reference of any such meetings. also offered the explanation that his time descrepancies were because of meetings at other IC buildings. (U/ /-FOUe) On 8 APRIL 2013, was interviewed for a second time regarding his inproper use of the internet on a government Dissemination is p rohibited unless authorized pursuant to 50 USC 403-3h UNCLASSITTSD I /FOR OFFICIAL USE ONLY 000060 b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject b7E - IG Tech b3 b6 b7C- IG Subject b7E- IG Tech b3 b6 b7C- IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-20'15-00229. ~ClASSIFIED I / FOR OFFICW.. USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h computer. During that interview, admitted to sending sexually explicit e-mails to his wife while using a government computer and billing the government contract for that time. (U I IFOU()) Finding: has 168.75 hours of unaccounted for time during the period of 17 APRIL 2012 through 17 SEPT 2012. has a billing rate of $145.00 per hour. The total amount of mischargin~ is $24.468.75. (U I I FOU6) Finding: This matter is also being referred to Security as a Counterintelligence concern due to his activity on the internet related to his position as a Cyber Security representative. INVESTIGATOR (b)(3) (b)(6) {b)(7)(C) Dissemination is prohibited unless authortzed pursuant to 50 USC 403-3h UNCL.I\.SSIFIED I / FOR On:FICIAL I ISJii: Om.¥000061 b3 bG b7C - IG Subject b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNc l.ASSIFIED/ / FOR OFF!CIAL USE ONLY Dissemination is prohibited unless a uthorized pursuant to 50 USC 403-3h 20511 (b)(3) 13 MAY 2013 (b)(6) {U/ /~) M F \10 FOR: (b)(7)(C) (U I / FOUO) FROM: Investigator- (UI / FOUO) S UBJECT: INV 20 I 3-0007- b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject b7E - IG Tech (U/ /FOUO) l1tis office identifier! l< b)(3) at the Tech Building in Is a GENERAL DYNAMICS employee working as a contractor on Contract - w a s not workin~ for she billed the cont-t.ct. I shows that from 3 OCT 2011 throul!h 24 OCT 2012, government for a pproximately 272.75 hours during was working. l<3> (U/ /-FGBe) ·. the IC IG found that spPnt nearly the entire day on AlN sh opping. watching YouTube videos, and chatting on personal emails. For a one year period there are I b3 b6 b7C- IG Subject b7E -IG Tech This data reprpc:Pn tc; a ctivity not rela ted t o the work for which she chargf'd the government, and does not a ccount for the time that she left work early and improperly billed the con tract. When this office intrriewed on 9 May 2013, she descrihf'ri her role on the Capitol Area Network (CAPNET) team as hectic, busy. and always tasked. l<3> I (U I / F'OUO) ~m Manager for . wa s interview on 25 APR 2013. - - explained that worked on CAPNET under the PYRAi\1ID contract f-om May 2011 to February 2013. most cu rrently wor king on the iS2 contract. still within CAPNET. One pers on is expected to be on -call each week for four hours . If. during an on-call WPf'k, that employe<> works over fou r hours. they may bill the contra c t accordingly. Dissemination is prohibited unless a uthorized pursuant to 50 USC 403-3h UNCLASSIFIED I / FOR OFFICIAL USE ONLY 000062 b3 b6 b7C - IG Subject; W it ness Approvec:1 for release by ODNI on 7-19-2016. FOIA Case DF-2o'15-00229. UNClASSIFIED I / FeR-OFFICIAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h l I than-· (U/ / FOUO} was interviewed on 9 MAY 2013, and the days 1n question were discussed. explained the scheduling and on-call practices of the contract much differently stated that no team member of CAPNET had a set schedule. Rather. as long as someone was at the Tech building to answer the support line. it did not matter when each team m ember came or left work. b3 b6 b7C -IG Subject b3 (U I / FeBG) Regarding billing for on-call weeks. she stated that each team member billed eight hours to the contract when on-calL She also stated that on-call hours were billed under a different billing code. She said that team members were no longer allowed to bill for their on-call weeks and were not allowed over thne any longer. shows that billed eight hours evezy two weeks not under a separate billing code. but as overtime. b6 b7C -IG Subject b7E - IG Tech (UI / FOUOJ said that they were given blackberries and pagers for the entirety of the time they served the contract. According to her, CAPNET team members were only on-call every two weeks, which did not matter since she received phone calls on her personal cell phone from all of the staff members at all hours of the night regardless of who was on call. When asked to specify who called her and when, she only offered. "some Hill customers have my personal cell phone where they contact me as well as an agency issued blackberry." She did not offer specific times or dates when this occurred. (U I f p:QljQ) indicated that although there is a tracking database for support calls, no one utilized the database 1n practice. She also stated that there is no way to provide any documentation that she was working with any Hill staff member when she was unaccounted for at work. {U/ / FGYQ) During the interview, admitted that she left work early, and shopped on the computer every day at multiple sites. While admitted that she had these habits, she denied knowing these were unallowed practices. Furthermore. she insisted that she worked from home via her cell phone every pay period. b3 b6 b7C • IG Subject b3 b6 b7C -IG Subject b3 b6 b7C • IG Subject (U I / Fet:JE» said in a written statement: "During Oct 2011 to Oct 2012. I did not go to shopping websites. You'IUbe. pinter"'st, facebook, and twitter . ..I was not aware that I was not able to actually checkout and purchase things at work.. .I left work early but given the nature of my job even after I leave work I s till make phone calls to Hill customers and pages I have to follow up on." Throughout the interview, repeatedly stated that she "understood where [the Investigator) was coming from" and wanted the investigators to know she ..didn't do this with any malice." She also stated, "It's upsetting because 1 know I did it.. .and it's not who I am." The investigation found that 272.75 hours were still unaccounted for after the interview. b3 {U/ / FOUO) has 272.75 hours of unaccounted for time during the period of 11 ocr 2011 through 24 ocr 2012. has a billing rate of $ 102.83 per hour. The total estimated amount of mischarging is $28,046.88. b3 Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED I / FeR OFFICIAL USE-ONLY 000063 b6 b7C • IG Subject b6 b7C- IG Subject Approve(! for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. (b)(3) (b)(6) (b}(7)(C) D I•' ~ ~'' UNCLASSIFIEDI / FOR OFFICW.. USE ONLY • ! bited unless authorized pursuant to 50 USC 403-3h . , • Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ / FOR OFFICI:AL USE ONL¥ 000064 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSI FIEDIIPeee Dissemination is prohibited unless authoriZed pursuant to 50 USC§ 3033 :Jcr: GE c:= THE INSPfCTOR GE'NERAL -~F INTE .LIG ENCE COMMUNITv' INvES.TJGA r ION:: DrviSION \NJo.~H .DC INV- (U I I~) MEMO FOR: AlGI (UI I~) FROM: (UI IFeHO) SUBJECf: (b}(3) (b)(6) (b)(7)(C) (b)(3) (b)(6) 8 March 2013 (b)(7}(C} 2013--0008- On 21 February 2013. the IC IG opened an investigation on due to nine hundred sixteen discrepant hours Correspondence between I N V - and Lead Program Manager for SAJC. . show that was allowed to work from home through the COTR. (UJ / FeOO) b3 b6 b7C- IG Subject b3 b6 b7C- IG Subject; Witness b7E · IG Tech {U I IFGOO) In reVieWing the contract on which was under. the IC IG found that working from h ome is n o t permissible. Furthennore. the Contracts Office maintains that the interpretation of the contract in no way allows or accounts for e:-nployees working from h ome. As such, no modifications were made to the contract to allow for absences. {U I / Fette) However. it was clear that went above and beyond his scope of work to fulfill not only his goals. but the mission of CHCO. The following findings lay out the case for closure: (U/ /~) The COTR for CHCO. ·. not only allowed to work from home. but frequently praised him for ~doing what he has to" in order to achieve outcomes and objectives in terms of the CHCO mission. His government lead. . gave express permission to work from home. The Chief of Staff. aJso gave permission to work from home. In one email obtained by U1e IC IG told that she and were checking "'ith the contract to make certain he could work from home and was sure it was not a problem. Understandably. becaus-e of the numbe r of government personnel that allowed his working from home. was under the impression he was not doing anything wrong or out of scope. {U I I FeOO) Each person interviewed stated that everyone on the contract including government personnel was aware of working from home Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 UNCLASSIF IE~ I/~~ 000065 b3 b6 b7C - IG Subject b3 b6 b7C • IG Subject; Witness b3 b6 b7C - IG Subj ect ApprOVed for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSI FIED// Feee Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 and did not h ave a p roblem with it. Specifically, those who worked d irectly with him stated that they spoke wttb him frequently while at h ome about work. (U I /FE*:fe) was awarded a Letter of Appreciation for his work on the contract. He was given numerous compliments from his supervisors during the course of the investigation. Furthermore. every person interviewed in the investigation praised work ethic. and his ability to produce quality deliverables in a hectic environment. b3 b6 b7C - IG Subject b3 b6 (U/ / FeW) b7C - IG Subject b7E - IGTech (U/ / FOOO) After further review of the preliminary inquiry, 1 recommend that t further action by this office. (b)(3) (b)(6) (b)(7)(C) Dissemina tion is prohibited unless authorized pursuant to 50 USC § 3033 UNCLASSIFIED// ~ 000066 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCI.Assr ·E o I / FOR OFFiCIAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h .., F I I (b){3) (U/ / ffiOO) MEMO FOR: l<3> I (b)(6) (b){?)(C) (U/ / FeOO) FROM: Investigator- (U/ / FGOO) SUBJECT: INV 2013-0010 (U I 10 J uly 2013 /FGOOJ . was identified 1n at the Bethesda Facility in is a Tasc em ployee (sub to General Dynamicc;) on ODNI Contract revealed that was not present at his assigned period for which he billed the contract. s h ow that from 15 Feb 2012 through I 4 June 20 12. billed the goverrment for approXimately 200 hours during which he was not present at his worksite. b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject b7E - IGTech (U I/ ~) was interviewed on 4 March 2013, in which the days in question b3 were dlscussed. adm itted that he charged hours which he did not work. He bG said he charged the governmen t for time in which he a ttended job fairs, interviewed for b7C - IG Subject other jobs. and took extended lunch breaks. accounted for some discrepant hours for offsite meetings, which d ecreased his discrepant hours to 140. admitted that he mischarged his hours since 2009; however, prior to 15 Feb 2012. he worked at a building without turnstiles. charged an average of approximately 8.24 hours per week; 8.24 hours from 01 January 2009 through 14 June 12 equates to 1,771.6 hours. (U I / FOUO) Finding: chargf>d an average of approximately 8.24 hours per week from 01 January 2009 through 14 J une 12, which equates to 1.77 1.6 hours. has billing rate of $116.45 per hour, which t-quates to $206,302. INVES TIGATOR- (b)(3) {b){6) (b){7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ / FOR OFFIClt\b USE ONLY 000067 b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASS 7Ti'D/IFOR O~CI ·\L USii O~U..Y D i SSE'<-i!N ATION !S PROHJB!TED EXC""Mr." AS AUTIIOR n'~ PURSUANT TO 50 USC 403-3H ruunu 2 8 Ma:-ch 2013 fNVV- 20! 3~00 12-00 1 MEMORANDUV FOR: Hon Dave Buckle..-. Irs.-v> ~tor Gen.e:aJ Cen '-a.i ir.t,.,.Jlige-~e AI!,~rv s · T9...iEC':': (U) rw 20 13 -001 2 and: rv 2 013-0013 (Correcteci iV "'"') (i.J/ /FOU01 T.ht: IC' 10 i··westi~at io~s :)ivision has conducted ovf>,.....i:ne of O:> ,..,.,loYees as pe--t of ongoin~ P'"Oa,..t:ve · -:· ·ps~fla~·f\"e ac~it:~s. -t•~ a& ':-Jtial probe two C!A e:r1ployees w e:- :r>'c;H.-.-.!.ifieri rf>\'"'r>--- ='' a s ODf\"T e;r. lov (A ·~ : ~,.:£\: b3 . poss 1b e timeca.-d -ru.sch4:-~..g. Hmr vr-: once heca- e z··-... -~ o " ~ht=>i;- CIA ar:·:"ition. we rfl<;i"')'":..' -··eri ~""ly f• 4 r"'r i:-- ·pc;• · ;;.._•;v~ a,..";on . The in;tial d isc-:~--;ant h,..··:-;. \' "' t~C':.it ClTlY niH~atiO"!i ,r~r i ~. 5 i~ot::"c; ~o-- Ju..'y 20 12 · 1-:ough Dec~":nh"t' 2!02 fc,.. '.-. and 11n 0 hou- for Ms. Wf' (I; I ;·~ouo) P' ase rl: - ~ct to (b)(3) (b)(6) (b)(7)(C) Assistant Jn!=;pect or Ge:-teral for Investi~tatlons Di<:Sc:\1;:-IA T!Ol\' IS PROHll>"'"'"';:;') LXCE?T AS At --I l OR !ZED PU~SUM-T TO 50 l1 ·c-.. .ASSifi>=D//JiOR Of!C~ r·se ONLY 000068 b6 b7C - IG Subject b7E · IGTech b7E · IG Tech (U I / FOUO We will fo- ·'ctor GenPral Int,.·•iqP.;-ce A f'e""'cy Ce:"'t---~] (U) TNV 201 3 -0012 a_-,d :, v 2013-0013 (Cc - ectPd IV ...s) S UBJEC':': (;,;//FOllO\ -~~., IC In (·-mest:4Z~tions Di\oisi~n 1"-as cc:~.duc<-pd ovc,......::ne •·n~ ...,-~, ~f O"JNJ e-nll'yeas as ")?~ of or:going pro~rt:·rp i'":· ·~tlg~~ -e act-t it•es. D• -'n,:! 2'1 irJtial prol-e two CIA c::r.ployet>s - ,e:-<> ::l;si:;- C L-\ affliatlon. -r:ve clisr'J~t•r·· er aii'"'y ~,.-..~.,.r iPV"Sfjpzti·m a.,..'"! P. The ~~ i~~l di"C:-~~!:. hou=--" - i+'-'lut any - rti~::tion w~-e :~o. 5 l:ou.rs ft-0-.: July 2012 L'1:-ough Dec,.-r r 2102 fo.. · ,... '1.-d 46 0 hou;-s for Ms. tt:/ / F OUOl 'VI! will f to yo<.:- offi""" ~P -ard copies of our ini'ial analysis of ...,e ar:1tely Via clasc:: fi ~ e:n~ . (b )(3) {b)(6) (b)(7)(C) Assistant Inspector Ge-,,.ra! for I:westi~Mions 0'SSF\11S ~ TIOI' IS PROHT- ....;) EXCEP"f AS Al -fHOR rz..-1"' Pifi{SUANT TO 50 USC 403-3H U: .CLASS~D/IFOR O?=tei \L T·~;- 000069 O~tLY b6 b7C • IG Subject b7E -IG Tech b7E - IG Tech Approved for release by ODNI on 7-1 9-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I / FOR OFFICIAL USE 0~1:;¥ Of+k~ of rl-,e In <;pectr•r Ge•eraliJf the Imelligence Co.,-nun.i.t v 'ave-<.ri~:o~bns Divisior \\ _. .:'-'~"'·- : -,,_ DC :lnc:;n 26 DEC 13 (U I / FOUO) MEMORANDUM FOR RECORD [Corrected Copy]• (U I / FOUQ) SUBJECT: 2013-001 4NCI'C/DI/AQSEQ b3 b6 AIN b7C -IG Subject (U I / FBUO) l11is investigative file is closed. The Investigations Division discovered sufficient evidence to find that entered false and inaccurate timekeeping information into the . However. the minimal financial retum anticipated by the agency oes not merit fu r ther expenditure of ICIG resources or man-hours. l express permission of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain In spector General sensitive information that is confidential. sensitive. work product or attorney-client privileged. or protected by Federal law, including protection from public disclosure under the Freedom of Infom1ation Act (FOW. 5 USC§ 552. Accordingly. the use. dissemination . distrib ution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFIED I /ffiR OFFICIAL USB ONLY 000070 b3 b6 b7C · IG Subject Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. U1-..~1ASSIFIED/ /FOR OFFICiAL USE ( mLV Dissemination is prohibited unless authorized pursuant to 50 USC 3033 n • I I II IN'"'I'i•l '( IM:-..11 Nl' ' 26 DEC 13 (U I / FOUQ) MEMO FOR RECORD b3 (UI j FQI IOJ SUBJECT: 2013-0014--l AIN: NCTC/DI/AQSEO lent at the TECH 166 . -~ (b)(3) (b)(6) (b)(?){C) (U/ /FOUO) On 23 APR 13. Investigator- refer-ed the matter t~ j(b)(3) for intemal review. -responded on 8 May 13, indicating that they had conducted a thorough review and provided an assPc;sment that the hours were properly billed to the contract. (b)(3) (U/ / FOUO) Investigator- interviewed .. Chief. Data Security and Integration Group. who was the goverrment lead for for the majority of the period in question. On 20 MAY 13, informed Invf"stigator Clark that was instn.unental to her transition into her current position. According to frequently accompanied her to meetings throughout the Washington Metro Arf'a. and that it was not unusual to schedule meetings with start times al 0700 or 1700. (b)(6) (b)(?)(C) (U I /FeUO} told to claim mileage for u se of his personal vehicle. but stated that h<> neve- did. Accorrling to also did several projects at home after hours without bein~ asked to do so by any government official. stated that s he did not address this issue h<>rause, in her opinion. the wor'·:.ng conditions at TECH are so poor that the contractors have difficulty working there on complex ensztnecring projects. (b}(3) (b)(6) (b)(7)(C) '------J (U/ / FGUO} Investigator-was able to identify 19.5 hours in mid-day gaps that were clearly not long enough to have travelled to anotber location and conduct meaningful work, and thc-r'"'fore are more than likely lunch breaks. Dissemina tion is prohibited unleqc:; a uthorized pursuant to 50 USC 403-3h UNCLASSiF ED/ / FOH OFFICIAL USE ONL¥ 000074 I b3 b6 b7C - IG Subject; Witness b3 b6 bJC - IG Subject; Witness Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. ur.. ...__L.ASSIFIED/ / FOR OFFICIAL USE c _. LY (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h (U I / FOUO} Because of the likelihood that further investigation would produ ce negligible results, Investigator ~ecided not to b3 b6 b7C • IG Subject b7E -IG Tech review of the 19.5 hours noted above. (U I / FOUO}. Reconunend this case be closed with no further action by this office with a referral to the appropriate Information System Security Officer to review the assertion by that was producing software at home for use on ODNI systems. (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ / FOR OFFI€fAL USE ONLY 000075 b3 b6 b7C · IG Subject; Witness Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ /~ Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 . ...-:-...... or-: or fllr INSrE:CTOR Gr N- ~Al or THf INrrutC"lENL[ CCJrvlt..lliNI1 I~JII;;""'IG "T!ONS OIV1510N WASHINC' I .....~. DC '"'" 511 1 Apt11 2013 INVM-20 13-0024-001 (U I I F.GtJQ} MEMO FOR: (U//FGYQ) FROM: (U/ I ~) SUBJECT: Investigator- (b)(3) (b)(6) (b)(?)(C) b3 b6 b7C - IG Subject £NV 20 13-0024- b3 (U// FeOO) On February 28, 2013, the IC IG received a complaint from b6 b7C - IG Subject; Witness stated that he had received a complaint from that a . was not working her allotted hours. He requested the help of the IC IG. After initial review. it was found that had discrepant hours. (U I I FeOO) was interviewed on 11 MAR 2013. He explained that while he felt that was well-intentioned. her discrepant hours were not s urprising. He provided context: at ODNI. In the beginning of the year, a permanent position became available to which she applied. She was subsequently turned down for the permanent pos ition and remains in an acting role. She was turned down based on her inabillty to provide insight as to why she was the strongest candidate. exuded an entitled air without justification. and clearly had not prepared for the interviewing process. felt that due to the rejection. as well as the reasons for the rejection, her discrepant hours were not unexpected . b3 b6 b7C - IG Subject; W itness b3 (VII~) Analysis showed that frequently arrives late, leaves early, takes several coffee and "walking" breaks throughout the day lasting between fifteen and forty-five minutes. as well as spending extensive periods o n - chatting with coworkers regarding non-work related matters. l(b)(3) 1 (UI IFBHe) On 12 MAR 2013. the were interviewed. They stated that who originally complained at an open desk Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 UNCLASSIFIED// ~ 000076 b6 b7C -IG Subject b7E - IGTech b3 b6 b7C - IG Subject; Witness Approved for release by DONI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED// ~ Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 space tn the NCTC. was required to work nine and half (9.5) hour shifts , as were they. However, they notjced that for "a while now" was coming to work later than thev were and leavtng earlier than they were. would J routinely tell them she vras leaVing early. on some occasions via asking after, "Am I bad?" and saying. "Don't judge me!· The l(b){3) stated they told to stop shorting her hours on two occasions. She continued to leave early and come in late, saying she would make it up. On the last occasion the confronted them as she was leaving early and asked if they were ·going to tell anybody." b3 bG 7 b c · IG SubJect; Witness I (U/ /Fette>) was interviewed on 22 MAR 2013. was able to rectify 24 hours in question. There was a remaining one hundred ninety-five point eight five hours (195.85h). admitted that she routinely leaves between one and two hours early, admitting that it was a pattern for her. felt a lot of her ·tax" behavior was due to resentment she felt for being paid less than everyone in her office. and being passed over for a permanent position within the NCTC. One complainant in the matter. a colleague of however, stated that he noticed the lack of timekeeping well before was passed over for the permanent position. She also offered that sh e was "just following [her) coworkers." b3 b6 b7C - IG Subject (U I/ ~) In a written statement. wrote: "I take complete responsibility for my actions and I thoroughly apologize. I am glad this was brought to my attention and will never allow this to happen again. I never intended for this to happen. This all occurred changing and adapting from shift work (12.5 hour) shifts to 9.5 hour shifts based on an AWS schedule changing jobs as an operations officer to an intelligence account manager." (UI / EOYe) also signed a statement saying: MI. knowingly falsified my timecards to reflect hours worked that I did not. Between December 5, 2011 and March 5, 2013 I inaccurately recorded one hundred ninety-five point eight five hours as time worked when I was not working." b3 b6 b7C • IG Subject b3 b6 b7C - IG Subject (U/ / mtJ€>) Throughout the interview. was concerned wtth losing h er clearance or her job, as well as comparing herself to other investigations. She seemed disinterested 1n proving that she had not falsified timecards. (U/ / 0000) On 26 MAR 2013, was interviewed for a second time at her request. stated that she restated that she was "definitely not 100% innocent" and that her career is "(herJ life," offering that it was "irresponsibility" on her part that lead to the discrepant hours. She offered to pay back the money or have leave taken from her pay. During the second interview, discrepant time was lowered by fifty-four potnt four hours. (UI / EOYe) Finding: has one hundred forty-one point four five hours (141.45h) of falsified timecards and pay between 5 DEC 2011 and 5 MAR 2013. Oissemmation is prohibited unless authoriZed pursuant to 50 USC§ 3033 UNCLASSIFIED// ~ 000077 b3 b6 b7C ·IG Subject b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED //~ Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 is a GS-12 step 2. The total amount of falsified time equals five dollars and sixty-five cents ($5.233.65). (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authoriZed pursuant to 50 USC§ 3033 UNCLASSIFIED/I F~ 000078 b3 b6 b7C - IG Subject Approved for release by ODNI on 7- 19-2016. FOIA Case DF-2015-00229. UNCLAS SI FI ED / /~ Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 I• t.C:I C•J:lMlJNI r 26 November 2013 (U //Fette) MEMO FOR: b3 b6 b7C - IG Subject (U I / FOOO) FROM: (U/ / Fette) SUBJECT: (U/ / ~) On 19 March 2013 the IC IG opened an investigation on due to 1.352.78 discrepant hours .. On 19 June 2 0 13, the IC IG reducin~ the number of discrepant hours to 622. b3 b6 b7C - IG Subject b7E - IGTech (U/ / Fette) On 22 November 2013. the IC IG inteiViewed who stated that most of L'le work he did required work at non-governmental facilities. Furthermore, he stated that before guidance on the place of performance for contractors-namely that contractors were required to work from government facilitiesmaintained a VPN token and worked from outside of govemn ent facilities with the a pproval and encou.ras!ement of his Government Lead. On 25 November 2013, the IC IG conducted a teleph onic interview with .. the government lead for stated that the majority of work required him to be away from government facilities and that he encouraged to work on weekends and at rught. stated that when the guid ance regarding place of performance was put out. his mission was made substantially more difficult by inability to work around the Washington Metro Ar"a. b3 b6 b7C- lG Subject; Witness (U// ~) had six hundred twenty two discrepant hours. He was therefore absent from government facilities twelve percent of the time. government lead has stated tha t he felt worked well over the amount of time he billed and that he would be comfortable stating that more than h•·elve percent of work hours were outside of government facil1ties . (U I j F-QY(;}) Aftf'r further review of the preliminary inquiry. I reco-nmend that this case be closed without further action by this office. Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 UNC LASSIFI ED //~ 000079 b3 b6 b7C - IG Subject b7E - IGTech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFI ED // ~ Dissemination is prohibited unless a uthorized pu rsu ant to 50 USC § 3033 <'111'11 I Tllt : h :-. 11" .HG!'l'.!ll\1 \JI lll!· !."PEl'TrR GI=IIJI Hl\1 'JF THF INTI::LlJGi- NCF C OMMUN11Y IN\ E"~ :O.A110NS DIVISION WASH 3 1 July 2013 {b)(3) (b)(6) (b)(7}(C) (U I I FOUO) MEMO FOR: (UIIFOUO) FROM: INV- (U I 2013-0027 b3 b6 b7C- IG Subj ect /FOUO) SUBJECf: (U I I FOVO) On 21 March 2013, the IC IG opened an investigation on due to six hundred thirty eight discrepant hours ver the course of two and halfyears. On 20June 2013, the IC IG reducing the n umber of discrepant hours to thirty. . . . ..., .. (UI I FOUO} After further review of the preliminary inquiry, I recommend that , . . INVESTIGATOR . I further action by this office. (b)(3) (b)(6) (b)(7)(C) Diss emJnation is prohibited unless authorized pursuant to 50 USC § 3033 000081 b3 b6 b7C • IG Subj ect b7E -IG Tech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED or:h E ,): T':-iF. I" ~::·•or{ G '-l R .. ~or nu: r-...:··r: llG J-.'\(1 c.-'''"''~' ' J' ,-:_ s·.. ..\. rc -...s D. ,s c" \\ O:T"':.::"I.:'\ L'C 2051' MEMOHANDUM FOR RECORD SUBJECT: Correction to INV-2013-0028 Case-Closing Memorandum The file for case number fNV-2013-0028 contains an incorrectly dated caseclosing memorandum. This Memorandum For The Record corrects the issue date of that document from 19 June 2012 to 19 June 2013. (b)(3) (b)(6} (b)(7)(C) Assistant Inspector General , Inves1igations This document is intended only for authorized recipients. Recipients may not further disseminate this info:-matlon without the express p<'rmisston of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain Inspector General s ensitive information that is confidential. scnsiUve. work product or attorney-client privileged . or protected by Federal law. including protection from public disclosure under the Freffiorn of Information Act (FOIA). 5 USC§ 552. Accordin![ly. the use, dissemination, distribution or reprodm Uon of this Information to or by unauthortzcd or unintended recipients may be tmlawful. UNCLASSIF IED 000082 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I / FOR OFFICIAL USB O~ t;Y Dissemination is prohibited unless auth0rized pursuant to 50 USC 403-3h OH I t·. OF I' iF J· ~ I'ECTf < G;-":-iL!{J\1. of- I ·~. I• -n.I.Hil:Nl F COMMI 1'\l"·y !~VE~-. r-I<;_\TJON-- Dl\ ·;f(l' '\Vt\::,Iw... l ·ru .. nc 2'" o:::. • • 19 JUN 12 (U I / FOUO} MEMO FOR: (U/ / FOUO) r.R.OM: (UI /FOt.IO~ SUB.JECT: (b )(3) (b )(6) (b)(7)(C) AlGI INV- 2013-0028- (U I / FOUO) After revie--- of the preliminary inquiry. further investigation was unable to establish that did not perform the work billed al!ainst the FUSION contract. worked at multiple places of perlor:nance during the review period and was frequently in attendance at meetings at facilities reduced the prelimina·ry hours from 530 to 140 hours. I recommend that this case be closed without further action. (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ / FOR OFFICIAL US'F' ONuY 000083 b3 b6 b7C -IG Subject b3 b6 b7C - IG Subject b7E -I GTech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIF IED/ /~ Dissemination is prohibited unless authorized pursuant to 50 USC 3033 OF1:1 E cu: Till-: INS?!ZC-(lR GESI;:RA!.. UF THE JNTE!. L IGENCE C) After the final interview on 9 July 2013, recanted his b6 stat ement. On 22 August 2013. wrote a second statement. b7C - IG Subject res tates that, because of his lack of a station a t his workplace. his hours would be discrepant. However, in this statement. he contends that because his charged hours were a pproved by the prime contractor, and subsequently the government, any discrepant hours are the fault of the government's , not time and attendance fraud. (U/ / FeBG) used USG systems to market himself on casual sex encounter b3 websites , make arrangements to engage in casual sex during business hours, and b6 7 seek out sexual partners for his wife. The IC JG maintains in evidence b C • IG subject b7E - IG Tech ;); and at ODN1. confession that he engaged in the conduct during his entire tenure (U 1/FG-00) has 739 hours of unaccounted for time d uring the period of b3 03 OCT 2011 through 29 MAR 2013. He has a billing rate of $179.04 per hour. The b6 16 total a pproximate amount of mischarging is $132,310.56. blC • Subject b3 (U/ /'FGOO) Additionally, repeatedly lied to the Int elligence Comm unity Inspector General's office throughout the investigation. His subsequ ent recantations bG regarding his admissions were not credible and appeared to h ave been coached by a b7C • IG Subject third person. As a result, he has likely violated 18 USC §1001. (b)(3) (b)(6) (b)(7)(C) Dissemination is unless authorized pursuant to 50 USC 3033 UNCL&SSIFIED//PG99 v u.......4,.._.....,. 2 000085 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFI ED ()J"·I- ~~ T'-li= (',..:.:.:C'0R 1:;~:,~~R.:.. L' \":.S J 1 ', .' • IE ")t: t, ~( .• ~ r.l."',.. -- :-; D 1' 'r .u·.; (I' (O\l' . "' I~ .:'' rx. .!0? il MEMOHANDUM FOR RECORD SUBJECT: Correction to INV-2013-0030 Case-Closing Memorandum The file for case number rNV-2013-0030 contains an incorrectly dated caseclosing memorandum. This Memonmdum For The Record corrects the issue date of that document from 18 June 2012 to 18 June 2013. No further action is required. (b)(3) (b)(6) (b)(7)(C) 1.1) ~ t\:f 1.L \ \., Assistant Inspector General. Inves1igations Th is doc11mc.nt is intended only for authorized recipit'n ts . Recipients may not fu rthe r disseminate this infoimation without the express permission of the signatory or other Offict' of Inspector Gtmeral of the Intelligence Community personnel. This document may contain Inspector General sensitive information lhal is confidential. sensitive. work product or attorney-client privileged , or protected by Federal law, including protection from public disclosure under the Freedom of Informat ion Act (FOIA), 5 USC§ 552. Accordingly, the usc. dissemination. distribution or rcproduc·tion of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFI ED 000086 Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNClASSIFIED/ /FOR OFFIClAL USE 0 1\ t Y Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h ~ 01 - \ •f. t )t nn:; j;-.; ..... p~,-TOH Gr::...F!Ml . f)f TI'E 1NT I~f l.l( ,f·:~ r·:~ Cc 1!\11\HI'\:iT I\"' 1- r {11\Tlt ):\~ 1)1\ Js ,. W:\t;,l'J'\r,roN. DC 20)1 l .-P-~ 18 JUN 12 (b)(3) (b)(6) (b)(7)(C) (U I / FOUO) MEMO FOR: AlGI (U/ / FOUO) FROM: INV- b3 (U I / FOUO) SUBJECT: 2013-0030- b7C - IG Subject b6 (U I / FOUO) After further review of the preliminary inquiry. further investigation was unable to establish that did not perform the work billed against the FUSION contract. was authorized to work at home by , COTR. OD NI/SRA for at least 40 hour<" worked in m ultiple locations. including approximately 20016 of his time at facilities without consistent badge access data. I recommend that this case be closed without further action. (b)(3) {b){6) (b){7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNClASSIFIED / / FOR O r=tCIAL USE ONLY 000087 b3 b6 b7C - IG Subject; W itness Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-Q0229. lJ t ~CLASSIFIED/ / FOR OFPICIAL USE bNIX Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h o, H t o• Tilt ~ PE roR Gi:N · RA " or -w JN- i:.LUGENCE C uu 1111 - , IN ES- SATIONS OIV SIO WASHJNGTOI, OC 20511 I I APR 13 (b)(3) (b )(6) (b)(7)(C) (U//FGOO) MEMO FOR: AlGI (U//Fet:le) FROM: INV . . (U//t=eOO) SUBJECT: 2013--0031 - b3 b6 - Suspected T&A b7C- IG Subject Fraud b3 (U//Fet1e) On 8 APR 13, the IC IG opened an investigation on a potential475 as a result of a was not present at the l.X2 facility. hours charged for time where (b )(3) (b)(6) (b)(7)(C) (U//R*JS) b3 On 10 APR 13, INV b6 Preliminary information from SCITOR indicated that employees on the SRA contract frequently work at SCITOR facilities in Chantilly and Reston. (U//£OU.O) that (b )(3) (b)(6) (b)(7)(C) On 11 APR 13, the COTR for this contract, confirmed was authorized to work in other facilities. INV . . contacted informed her of the general nature of the allegation, and requested calendars or other materials that she may have in her possession which would tend to show an authorized purpose for the absences from LX2. Calendar. INV -eviewed the calendar and was to IN~ to her was scheduled able to account for approximately 264 hours of time where to be present at NRO, NGA. or Chantilly facilities, leaving 10.5 hours unaccounted for over an 18 mont!:' period. (U//Fet:le) b6 b7C - IG Subject b7E -IG Tech Recommend this case be closed with no further action. Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED I /FOR OFFICIAL USE ONLY 000088 b7C- IG Subject b7E - IG Tech b3 b6 b7C - IG Subject; Witness b7E - IG Tech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015·00229. UNCLASSIFI ED //~ Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 -~ " o·· I 01 THf-_ IN~·;:- ,;T ·r Gf::Nf:RAL OF "'"H <.. INlELLIOENCE COM'\,IUNIT'r' INVE'S~tGATIONS D IVISION WASHINGT I. DC ''0'" 11 (b)(3) 23 Aprtl 2013 (b)(6) (U //FOUG} MEMO FOR: (U//¥000) FROM: I~ (U//FSOO) SUBJECI': 2013-0035 (b)(?)(C) (U/ / FOlJO) On 4 April20 I3. the IC IG opened an in vestigation on due to five hundred seven discrepant hours over the course of si..x months. On 23 Aprtl20 13 , the IC IG reducing the number of discrepant hours to fi ft een. (U//FOUG} After further review of the preliminary inquiry, I recommend that • • •. • • • . • .'1 • • t rther action by this office. INVESTIGATOR ) (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 UNCLASSIFIED// FOTTQ 000089 b3 b6 b7C - IG Subject b3 b6 b7C -IG Subject b7E -IG Tech Approved for release by ODNI on 7·19-2016, FOIA Case DF-2015..002.29. UNClASSIFIEDI / FOR omCIAL USE ONLY Dissemination Is prohibited unless authorized pursuant to 50 USC 403-3h (H·FKE <•F TIE I ·~i'~-oR Gi-. ·," .. o .. TUI:: 1!\l~u.. :~H' cr. <' oMr.~r · Nr n JNv&Sr c. ~ ·s Dlvls.JO WA...:;~u:-.o - " . Dr 2051 i E XECUTIVE SUMMARY INV 2013-0041 13 SEP 13 1. PURPOSE AND AUTiiORJTY: Investigate allegations that was submitting false timecards in violation of 18 USC § 1001. This investigation was conducted under the authority of the National Security Act of 1947, as amended, Section 103H b3 b6 b7C • IG Subject 2. SUBJECT: Name: Work Address: Work Phone #: l(3) LX2. I b3 b6 b7C - IG Subject 3. DATE AND BACKGROUND OF COMPlAINT. a. and rds shows that from 3 ocr 11 until 15 MAR 13, billed the government for 501 hours during which she was not present at her worksite. b3 b6 b7C- IG Subject b7E -IG Tech 4. FINDINGS. The Allegation that The allegation that . contract employee of KPMG. was making false statements by knowin.gly and willfully entertng false information on timekeeping documents for submission to a government contractor in violation of 18 USC§ 1001 is unsubstantiated. Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIEDI / FOR OFFICW. USE ONl.Y 000090 ~~ blC .. IG subject Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNClASSIFIEDI / FOR OFFICI:AL USE ONLY Dissemination is prohibited unless authotized pursuant to 50 USC 403-3h REPORT OF INVESTIGATION INV 2013-0041 12 SEP 13 1. PURPOSE AND AL"THORI'IY: Investigate allegations that was fraudulently billing a government contract in violation of 18 USC§ 1001. nus investigation was conducted under the authority of the National Security Act of 1947, as amended. Section 103H b3 b6 b7C - IG Subject 2. SUBJEcr. Name: Work Address: Work Phone#: .LX2. b3 b6 b7C · IG Subject j(b)(3) 1 3. DATE AND BACKGROUND OF COMPLAINT. a. was not present at her assigned worksite for the full period for which she billed the government. b3 b6 b7C - IG Subject b7E - IG Tech submitted time cards shows that from 3 ocr 11 until 15 MAR 13, billed the government for 501 hours during which she was not present at h er works1te . b3 b . On 15 MAY 13, the IC lG opened an investigation on b6 b7C · IG Subject a KPMG contractor employee assigned to the ODNI Chief Financial b7E - IG Tech Officer, Financial Management Division (CFO/FMD), approximately 501 hours charged for time where was n2!.£_resent at the (b)(3) LX2 facility. During imtial investigative records checks, also discovered that may be using agency IT systems (b)(6) (b)(7)(C) to solicit sales of Girl Scout cookies in the work place. INV- 4. ANALYSIS OF ALLEGATIONS: a. Allegation: That contract employee of KPMG, was making false statements by knoWingly and willfully entering false infonnation on timekeeping documents for submission to a government contractor in violation of 18 USC 1001. b. Standard: "...{W]hoever...knowingly and willfully makes any materially false, fictitious, or fraudulent statement or representation; or m akes or uses any false writing or document knowing the same to contain any materially false. fictitious, or fraudulent statement or ent:Iy; shall be fined under this title, imprisoned not more than 5 years or both." Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ /FOR OFFICIAL USE ONLY 000091 b3 b6 b7C - IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIFIEDI / FOR OFFICIAL USE ONL¥ Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h c. Evidence: ( 1) Prelimimuy analysts identifying 501 discrepant hours [Exhibit D- 1) b3 online a ctivities of b6 and identifying severa specific references to work absences during periods for b7C • IG Subject which she was billing the govenunent contra ct. In addition, b7E - IG Tech appeared to be using agency IT systems to support sales of Girl Scout Cookies. [Exhibit D-2) (2) (3) OnlO Jun 13, COTR, ODNI/CFO/FMD, provided information about his knowledge of daily activities. stated that 90o/o of work was unclassified, but was not aware of any other authortzed work locations. He said that tf · worked from home it was only on exceptional occasions and that there was no reason she should be billing for weekends and holidays. referred INV ~o as someone who would have more direct knowledge of duties and responsibilities. (Exhibit A-1) (b)(3) (b)(6) (b)(7)(C) (4) On 14 JUN 13, provided information about work habits telephonically. was very defensive regarding and asserted that she trusted implicitly stated that if "says she is working. then she is working". stated that would know more about activities. did not recall anyone authorizing to work at home. was hostile and combative once identified himself. INV ~eclined to interview in person. b3 b6 b7C - IG Subject; Witness (b)(3) (b )(6) (b){?)(C) b3 b6 b7C - IG Subject; Witness A-2) {5) On 17 JUL 13. General Counsel. KPMG sent an email to the IC IG stating KPMG's position that "Principal Place of Performance" as stated in the contract does not mean "exclusive" place of performance. further asserted that project management responsibilities required access to KPMG system s which were not available a t LX2. but could be accessed through a Virtual Private Network u sing a KPMG laptop, or from KPMG systems at the local contractor facility. [Exhibit D-3) (6) On 17 JUL 13. provided KPMG access information for the KPMG (b)(3) facility in Mclean. VA. Using this infonnation, I N V - prepared a (b )(6) 29 hours credited for periods where (b)(7)(C) was present at the KPMG facility. [Exhibit D-4] (7) ON 28 AUG 13, Director, ODNI/CFO/FMD provided information to the IC IG about contractor management in FMD. was aware that frequently attended off-site meetings and that she had project management responsibilities that required her to access KPMG systems that were unavailable at LX2. also noted that there were certain audit and accounting applications that needed to use that were not available on agency networks. but were accessible on the KPMG Dissemination is prohibited unles s authorized purs uant to 50 USC 403-3h UNCLASSIFIED I /FOR OFFICfAL USE ONL¥ 000092 b3 b6 b7C • IG Subject; Witness b3 b6 b7C - IG Subject; Witness b7E - IGTech b3 b6 b7C - IG Subject; Witness Approved for release by OONI on 7- 19-2016, FOIA Case OF-2015-00229. UNCLASSIFIED I /FOR OFFICIAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h network. further stated that due to the unclassified nature of her work. would not necessarily need to access VPN or agency unclassified systems to do her job. s tated that he requires contractors to seek permission of the COTR prior to working at off-site locations and that should have a record of that. was uncertain whether any government employee had authorized to work at home but that she should have to seek permission from the COTR to bill for weekends or evenings where she was working at home. noted that sits n ear and that s hould have a clear understanding of her daily actiVities. expressed a very high opinion and stated that she is a "top lOo/o performer" and that he has no suspicions a bout her conduct. voiced his concern that ODNI actually couldn't provide enough seats at LX for the contractors, stating that he only had 12 seats for 25 authorized contractors. said that contractors were encouraged to work at other sites if the classification of the work allowed i'l (Exhibit A-3] (8) On 29 AUG 13, during a second interview. s tated that had never relayed any expectation that would receive and approve requests from contractors to work at off-site locations. does not receive invoices that provide enough level of detail to know when or where the work is performed, but only sees the number of hours billed. stated his opinion that "Principle Place of Perfonnance" does not mean "exclusive place of performance". stated that it is possible that receives taskings while on leave or TDY. stated that nothing in the contract prohibited KPMG employees from perfonning work at other locations. (Exhibit A-4] (9) On 5 SEP 13, KPMG provided internal network audit data that showed six months of activity where was accessing the K.PMG VPN from her KPMG laptop. KPMG only retains data for six months, but the data e stablishes a pattern demonstrating that a ccesses the VPN on an almost daily basis between 1700 and 2200 hours. (Exhibit D-5) (1 0} On 11 SEP 13, was advised of her rights and provided information to the IC IG about her timekeeping activities. admitted that she leaves early on some days to make her carpool ride, but asserted that she is working from the carpool and h ome on a nearly daily basis, via email and VPN. stated that there was not a specific authorization to work at home, but that it was part of the culture. According to it was eA-pected that KPMG employees be available at any hour, especially management. has a KPMG issued smart-phone and VPN capable laptop which allows her to access KPMG email and systems remotely when she is at home or carpooling. noted that her project management responsibilities require her to access systems and prepare reports which must be done on KPMG systems. Because her work is unclassified, is able to make herself available to ODNI and KPMG management when she is away from the LX compound. had been counseled by KPMG to not discuss Girl Scout cookie sales on agency IT systems. According to Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED I /FOR OFFICIAL USE ONLY 000093 b3 b6 b7C - IG Subject; Witness b3 b6 b7C • IG Subject; Witness b3 b6 b7C • IG Subject b3 b6 b7C -IG Subject; Witness Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED I / FOR OPFICfAL USE; ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h people know that she is a Girl Scout troop leader, and they come to her when they lmow it is Girl Scout cookie season, but she does not solicit orders from coworkers. [Exhibit A-5] (11) On 11 SEP 13, (U.Y Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 during December 2012 and J anuary 2013 were erroneously included as days of s upervision. Once the mobilization dates were rem oved there was not enough days of s upervision to justify an appraisal. Discussion. (U I I FOUO) It is clear that Mr. was frustrated by the timing of Mr. December 2012 activation, and Mr. was frustrated at his inability to get out of the work center. However. the management a ctions alleged to violate USERRA policy seem highly likely to have occurred regardless of Mr. a ctivation as a National Guardsman. b3 b6 b7C • IG Subject; W itness (UI IFOUO) The Liaison Engagement Office had a limited staff and it is reasonable that management would refuse to give up someone of Mr. skills without a replacement. Mr. admitted that he felt compelled to have a witness present when meeting with Mr. and include 'cc' addressees when corresponding with Mr. due to "baseless allegations" made by Mr. While those actions equate to treating Mr. different than other employees, but it appears to be a justified management a ction under the circumstances. b3 b6 b7C • IG Subject; Witness b3 (U I /FOUO) Mr. justified the downgrading of Mr. performance appraisal to an overall satisfactory rating and the wording of the narrative as appropriate based on what he observed. Nevertheless, the entire performance appraisal was cancelled and converted to a memo for record due to an insufficient number of days of supervision. Therefore, there is no adverse impact on Mr. Finding: (UI /FOU()) The preponderance of eVidence does not support the allegation that Mr. Violated USERRA guidance as defined in AR 20-6, Employment and Reemployment of Members of the Uniformed Setvices. April 22. 2008. The allegation is u nsubstantiated. (b)(3) (b}(6) (b)( 7 )(C) Dissemination ts prohibited unless authorized pursuant to 50 USC § 3033 UNCLASSIFIED I / FeR OFFICJ:A:L USE ONLY 000099 b6 b7C · IG Subject; Witness b3 b6 b7C • IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. Ul\vLASSfFIED / / FOR OFFJGI:AL US:: (;,o;LY D:l'iSI-:~I:NATiON !S PROH iWTED ~JN:.ESS AlrrHO!Q:O:i> I'IE~SliA!In' TO 50 USC 403·311 6 ...-UK 13 lrn ~ f .....,F~t"G Di.-ectorate of Tr-o-!st Identities (DTr, as was ar.. SAIC r>-;-ployee Co.:t:a ct a nd OCT 12. which she \\·as (b)(3) (b)(6) (b)(7)(C) (b)(3) (b)(6) (b)(7)(C) le:fc-,ance and t.ir.'P~eepi'"1~. Acco-..-I:Tlg lo - · SAIC ?rog:ra-;-- Mana~e;-s a nd were aware of concerns :-ega:-cL.-:1g • tlmekee--:>~n~. (U/ / !OUO) On 22 W:.AY l 3, rnvestigator did not recall a.~y ptior notice r-egardiil~ or b7C - IG Subject b7e · IG Tech ODNI r>• on :.t _ (C I /FOUO} Investigato r s - a n d - ir..t?:rv-1""-v.o..< M l \Y 13. d t·:-:ng which tJ-.o d ays ii: questior. we:-e discuss-...0.. ?m\-:ded a w:itten, swo- s~:e :-"'""! ! :n wr.:ch s:te ar- !4-~c. :J:at t~~ ho··rs sr.e entered on her- time shee~ -4id ~ot r:tatcn ~ :,e :,oxs st.,f' was pres"-t at wo:"k. safd ·~at s~,. ,..as d:s•:-"'<'ted by a far•:v iss-:..xe and intended to :na:-cted '"''')rk t:•at s hf' entered on the tir.t>: arc ~u t ultina:ely did not work. F""-fonr.~nce b3 b6 tinek"'t:>OL'1~. .. who conce__,'5 a bout also s tated t!- a t l(b)(3) I Dls.<;t:llf.iNA~ON IS J>I{Ohltlr.EO u;~;LESS AIJTHO~IZ:·::> P:JRSUAI'If TO 50 L'SC 4C3·3J : tNCtASSiFIED/ / FOR o•~-cfAL USE ONLY 000100 is no b3 b6 b7C • IG Subject b3 b6 b7C - IG Subject; Witness b3 b6 b7C - IG Subject; Witness Approved for release by ODNI on 7-19-2016, FOtA Case DF-2016-002.29. UN~LASSIF;ED I /FOR OF=FICW.. USE ONLV DISSEMTNATION IS PROifiBITED liNLE.'>"- AtmiORIZED PURSUANT TO 50 USC 403-311 longer on the contract. said that may have attended training for her new position in ocr 10. but could not specify the dates and stated that he could not explain absences from the workplace occurring on an almost daily basis. (UI I FOUO} Though an excessive use of unclassified networks. according to 40-50% of time would have been spent conducting unclassified database searches. b3 b6 b7C · IG Subject; Witness b3 b6 b7C - IG Subject b7e -IG Tech (UI / ¥0UO) Findings: has 510 hours of unaccounted for time during the period of 3 ocr 11 through 12 ocr 12, which, by admission, were billed despite absence from the workplace. has a billing rate of 110.87 per hour. of mischarging is $56,543. (b)(3) (b)(6 ) (b)(7)(C) DlSSI::MlNATION IS I'ROHI8m-.:v UNU:::S..o.;Alflli01U7Jo:J> PI.JRSllANTTO 50 USC 4()3-3H UNCLASSIFIED/ / FOR OF~Cit\L USE ONL¥ 000101 b3 b6 b7C - IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UN,_LASSIFIED/ / FOR o •riCIAL USE On ~Y Dissemination is prohibited unles s a uthorized pu rsu ant to 50 USC 403-3h 16 July 2013 ~( b..,...,.)(3 ~ ) ----. (U I /FOUO} MEMO FOR: (U I /-FetlO} FROM: (VI / -fflt:tO) SUBJECT: (b)(6) (b)(7)(C) INV 201 3 -0051 ( (UI /¥aBO) On 2 J u ly 2013, the IC IG opened an inves tigation on , a MITRE employee wor k•ng on ODNI contract n umber 20090917826-004 and supportin ~ National Counterterrorism Center. This investigation wa s open ed due to a potential 1,232.41 discrepant hours in over the course of 18 m onths, from 3 October 2011 through 23 March 2013. (UI j F-QY.Q) The IC IG receivt-ci from contracting company which reduced the number of discrepant hours to 22.92. 1Ta ve1 t ime was then factored into the equation when Mr. traveled between 'P'"CH and MITCE. The flat amount of travel time that was credited per incident was .25 hours . There were 207 instances where Mr. traveled bet ween the buildings giving him a total of 51 .75 hours of travel time. The final total of Mr. time eva luation was 28.83 hours over his expected time presence. (U I / Ji:OUe) After fu rther review of the preliminary inquiry. I recommend that this closed without fu rther a ction by this office. (b)(3) (b)(6) (b)(7)(C) INVESTIGATOR Dissemination is prohibited unle!=\s authorized pursuant to 50 USC 403-3h UNCLASSIFIED I / FOR OFFICIAL USE ONLY 000102 b3 b6 b7C • IG Subject b3 b6 b7C • IG Subject b7e - IG Tech b3 b6 b7C- IG Subject b7e-IG Tech Approved ror release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIEDI / FOR OFFICIAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 U It I a I H. INSI'r l'l k l .. I'- .R·\I.lH 'rill-: lN'l'I'LI.IGI:'!'Cf COM h s·l , .'\!IONS DI\'I~ION _ _ .....:0:. .6:::.,December 2013 (U I I FOUG) MEMO FOR: AlGI (U I I FOUO) FROM: INV- (U I / FOUO) SUBJECf: 2013-0052 ( (b)(3) (b)(6) (b)(?)(C) b3 b6 t) (UI / FOTIO) On 03 July 2013, the IC IG opened an investigation on after and The Mitre Corporation in McLean, VA. On 02 December 2013, it was confirmed works on a Completions type contract and therefore is not required to work a set number of hours per week. (UI / FOUO) Mter further review of the preliminary inquiry, I recommend that this case be closed without further action by this office. (b )(3) (b )(6) (b)(7)(C) INVESTIGATOR Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 UNClASSIFIEDI / FOR OFFICIAL USE ONLY 000103 b7C- IG Subject b3 b6 b7C- IG Subject b7E -IG TECH Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIF IED// ~ ()lf'I''L()I lH h:-.t•lt'IOR(d;\l-'1:{·\r < 1'1!1 ~0<\, : .!'>I' (, \ j I\'':-, 1 \ ...... , " , -:-... DJ \ 1:\Hlil!.l\t~ Ctt\1'\l .. ~ll' hi\'" rx: 20511 ME MORANDUM FOR RECORD SUBJECf: (U/ / ~) lNV-2013-0057 (NRO Crimes Reporting Cases) (U I / FOUO} This Memorandum For The Record es tablishes that the IC IG Hotline referred to the NRO Deputy Assistant Inspector Genera l for Investigations, and then closed the subject case on 15 July 2013. (b)(3) (b){6) (b)(7)(C) 7,.~~'-1 kQ)\.., Date Inves tigations This document is intended only for authorized recipients. Recipients may not further dissrminate this infonnation without the express permission of the signatory or other Office of Inspector General of the intelligence Community personnel. This document may contain Inspector General sensitive information that ls confidential. sensitive, work product or attorney-client privileged. or protected by Federal law. including protection from public disclosure under the Freroom of Infonnalion Act (r'OJA.). 5 USC§ 552. Accordingly. the use. dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASS IFIED //~ 000104 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. . --=--· ;'\. =:STJ(, A7!0.'1S C:\'J~iGl\ '~I;.:--"-· .,,~ 1 ~ • DC 1t;~ - , MEMORANDUM FOR RECORD SUBJECf: 8orrection to INV-2013-0058, and INV-2013-0059 Case-Closing Memorandlllll (U) -.e flle for case numbers INV-2013-0058 and INV-2013-0059 contains an incorrecJy dated case-closing memorandum. This Memorandum For The Record corrects the issue date of that document from 15 July 2013 to February 24,2015. {U) No further action is required. (b)(3) (b)(6) (b)(7)(C) Date Assistant lr..apector General, Investigations 000105 Approved for release by DONI on 7-19· 2016, FOIA Case DF-2015-00229. UNt,lASSlFIED I / FOR OFFICIA-.b USE 0 "' I y Dissemination is prohibited unless authorized pursuant to 50 USC 3033 • (b}(3} (b)(6) (b)(7)(C) 15 July 13 (U/ /FSYO) MEMO FOR: (U I /FGUO) FROM: INV- (U I / FGOO) SUBJECf: 2013-0058 and 0059 (NRO Crtmes Reporting Cases) (U I I FGYOl The IC IG Hotllne referred the subject cases to the NRO Deputy Assistant Inspector General for Investigations on 15 July 20 13. (U I /-FeY-0) No further action is required by this office. (b)(3) (b)(6} (b)(?)(C) ' . . . Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNClASSIFIED/ / FOROFFICW. liSE ONLY 000106 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. • =- _, :.... ..:.:·_· :. ·. :: . ·.;.:. ·- :::- ·..· ,··, ..., · - ... .= ...... .:.:. !~ I.... , • ' : r: s·;·.c,A7i:):-.:s Dr' DC 1r:: ~ 1 MEMORAN::>UM FOR RECORD SUBJECT: Correction to INV-2013-0058, and INV-2013-0059 Case-Closing Memorandu.u (U) T'te file for case numbers INV-2013-0058 and INV-2013-0059 contains an incorrecJy dated case -closing memorandum. This Memorandum For The Record corrects the issue date of that document from 15 July 2013 to February 24. 2015. (U) l'To further a ction is required. (b)(3) (b)(6) (b)(7){C) Date Assistant Ir..spector General, Investigations 000107 Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNt.-LASSIFlEDI l fi'OR OFFICfAL USE O~LY Dissemination is prohibited unless authorized pursuant to 50 USC 3033 o·- ,·I:F ,, :~£ h~~·c:-cs.C::\'FP..),J Ji nu: !1'1;-;:,:ucE:'\Ct: C":\·:\IL '-'ll'l i'" :· .:, •·• 10'\~ t"V. ~ :C'." \' - ~5 · ··~1 1:':-.. DC 1051! (b)(3) (b)(6) (b)(7)(C} (U I I FOUO) MEMO FOR: AlGI 15 July 13 {UI IFOUO) FROM: INV- (U I IFOUO) SUBJECT: 2013-0058 and 0059 (NRO Crimes Reporting Cases) {U I IFOUO) The IC IG Hotline referred the subject cases to the NRO Deputy Assistant Inspector General for Investigations on 15 July 2013. (U I / FOUO) No further a ction is required by this office. Dissemination is prohibited unless authoriZed pursuant to 50 USC 403-3h UNCLASSIFIED I / FOR OFFICIAL USE ONLY 000108 Approved for release by OONI on 7-19-2016, FOIA Case DF-2015-00229. UNcLA.SSWTFD //FOR OFIICIAL USB Or~LY Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h <> nc 1 \ )J rift l"'srrnuH \.z ·NLRAI 111 I'~\ 1~I I Till IN"tfl.l.lld.:\:t:t C111\1MI ,.,rr :\'1 ICI:'\!'- ) 'v 1510 '•, \\ "HI' JI '\ l 10"' i i REPOJr OF INVESTIGATION INV-2013-0060 DATE: 15 July 2013 EXEClT"E SUMMARY (U I /FOUO} NAME AND POSION OF SUBJECT: b3 bG b7C - IG Subject (U I / F'OUO) AUTHORITIES: 50 USC § 403-3h et seq. (U/ /FOUO) BACKGROUND: On 24 June 2013 the b3 bG b C - IG Subject, 7 Complainant, Witness b3 b6 b7C - IG Subject b3 bG b7C - IG Subject, Complainant, Witness outgoin~ info:rrerl. the Intelligence Community Inspector General by email of her concern that may have violated federal criminal law by failing to timely report a case of suspected child abuse in late 2009 and early 2010 as required by 42 USC § 13031 when. he se,·<>d .. On 25 June 2013 the Office of the Intelligence Community Inspector General obtained a final copy of most recent Statement for Record to the Senate Select Committc:-e on Intelligence. Tilis document included. among other things. allegations that inappropriately closed an ethics investigation in 2010 and the process for selecting and hiring him was improper. (U/ /FOU(ij St.1STA! nATED ALLEGATIONS: None. Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCI.ASSi~TED / / FOR OFFICIAL USE ONL¥ 000109 Approved for release by ODNI on 7-19·2016, FOIA Case DF-2015::P0229. ~'"'LASSlFIED/ /FOR OFFICW.. USE briL¥ Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h {U/ /F'OUO) ALLEGATIONS NOT SUBSTANTIATED: b3 b6 b7C • IG Subject (UI / POUO} Tite allegation that failed to comply with 42 USC § 13031 by n ot timely reporting a 2009 admission of chJld abuse by a fonner National Reconnais sance Office contractor employee is not substantia ted . Ther e is no evidence to support a <'riminal or a dministrative failure to report. b3 b6 b7C • IG Subj ect {U I I R>VO) The allegation that failed to properly conduct or supervise the conducting of an investigation into a possible ethics Violation by a Central In telligence Agency senior official assigned to National Reconnaissance Office is not substantiated. b3 b6 b7C - IG Subj ect (U I IFeOOl The allegation that hiring action to be the National Reconnaissance Office Inspector General was improper is not s u bstantiated. Page 2 of 15 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ / FOR O~FICIAt. USE ONL¥ 0001 10 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. Ul\i~I.ASSIFIED I /FOR OFFlC!A:L USE btofLY Dissemination ts prohibited except as authorized pursuant to 50 USC 403-3h L (U I I FOUO) PURPOSE AND AUTHORfiY: A (U I IPOUO) The IC IG Investigations Division investigated an allegation made by the that a fanner NRO employee and OIG official engaged in professional misconduct or potentially criminal conduct while assigned to the position of b3 b6 b7C -IG Complainant, Witness The investigation also examined the propriety of the b3 b6 b7C - IG Complainant, Witness B. (VI I FOUO) The National Security Act of 1947. Section 103H authorizes the Intelligence Community Inspector General (IC IG) to investigate m atters within the programs and activities under the authortty of the Director of National Intelligence (DNO. The NRO is an Intelligence Community (IC) agency funded by the National Intelligence Program. Additionally, the referred this m atter to the IC IG because had a conflict of interest in relation to the involves a allegations. More signJ.ftcantly, the criminal allegation other members of the NRO s trict liability statute that could equally apply to OIG. II. (U I I FOUO) COMPLAINANT: b3 b6 b7C - IG Complainant, Witness Name: Work Address: Work Phone: m. (U1I FOUO) suBJECT: b3 b6 b7C - IG Subject Name: Work Address: Work Phone: IV. (U I / FOUOJ DATE AND BACKGROUND OF COMPlAINT: b3 b6 b7C- IG Subject; Complainant, Witness A (U I IFOUO} On 24 June 2013 the b3 was also considered a potential subject throughout the investigation because of the strict liabiltty nature of the criminal allegation b6 b7C- IG Subject Complainant, Witness informed the IC IG by email of her concern that 2 Page 3 of 15 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED I /FOR OFFICI:A:L USE ONLY 000111 of Approved for release by ODNI on 7-19· 2016. FOIA Case DF-2015-00229. Ul\i~LASSIFIE D I /FOR OFFICIAL USE uNLY Dissemination is prohibited except as authoriZed pursuant to 50 USC 403-3b b3 • may have violated federal crtminal law by failing to timely report a case of suspected cbild abuse as required by 42 USC§ 13031 when he was the NRO b6 b7C-IG Subject b3 bG b7C - IG Subject; Complainant, Witness b3 b6 b7C - IG Complainant, Witness B. (U //F€ffie) On 25 June 2013 the Office of the IC IG obtained a final copy of Statement for Record (SFR) to the Senate Select Committee on Intelligence (SSCI). The SFR included, among other things. allegations that inappropriately closed an ethics investigation in 2010 and the process for selecting and hiring was improper. C. (U I / FOUO} This investigation examined records of the NRO OIG and Office of Security and Counterintelligence (OS&CI). The IC IG Investigations Division interviewed all personnel with knowledge that was material and relevant to allegations . In support of this investigation. the NRO OGC issued a preservation and production notice to NRO offices for records relevant to the allegationsV. (U I / FOUO) ALLEGATIONS: A. (U I IFOU~ The IC IG Investigations DMsion investigated the following allegations: b3 b6 l. That failed to comply wtth 42 USC§ 13031 by not tlmely reporting a 2009 admission of child abuse by a former l\"RO contractor employee. b7C - IG Subject 2. That failed to properly conduct or supervise the conduct of an investigation into a poss ible ethics violation by a CIA senior official assigned to NRO_ 3. That hiring action to be the NRO was improper_ B. (UI /F~ The investigation of the allegations was subj ect to the following supervision: l. The IC IG Investigations Division crtminally inve stigated Allegation 1 rmder the general supervision of the US Attorney's Office for the Eastern District of Vrrginia (EDVA) and the FBI Washington Field Office from 27 J une to 15 July, 2013. The supervising EDVA attorney issued a declination to prosecute Allegation 1 on 15 July 2013. 2. The IC IG Investigations Division criminally investigated allegation 1 and administratively investigated Allegations 2 and 3 under the direct supelVision of the IC IG AlGI. b3 b6 b7C - IG Subject 3. In an e m ail dated 26 June 2013 the IC IG recused himself from any involvement into the investigation of all allegations against From that point until the completion of the investigation the Deputy IC IG exercised general supervision over Allegations 2 and 3. Page 4 of 15 Dissemination ts prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIEDI / FOR OFA€1:A:L USE 0Nb¥ooo112 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. Ul\J~LASSIFIED / / FOR OFFICJ:AL USE bxJb¥Dtssemination is prohibited except as authorized pursuant to 50 USC 403-3h OS&CI possessed the information 27 days before referring it to the NRO OGC- NRO legal officials regarded the child abuse as "bad parenting" and swnmartly dismissed It with no further action. (2) notionally received the information on 10 December 2009, but it was not until 16 December 2009 that he received the narrative of the referral that included the a dmission and relevant information. However. it was not until22 January 2010 that received the referra1 from NRO OS&CI in the proper fonn and at an unclassified level that would allow him to release the information to a state or local entity. This means office spent 19 d ays perfonnlng its own vetting and verification p rocess before releasing the information. This is significantly shorter than the alleged delay of 68 days. b3 b6 b7C - IG Subj ect b3 b6 b7C- IG Subject b3 b6 b7C - IG Subject e. The legal standard for child abuse reporting is that a person defined as a covered professional engaged in a related professional capacity or activity on Federal land or in a Federal facility shall as soon as possible make a report of the suspected abuse to the appropriate agency [Emphasis added). There is no dispute that was on Federal land and in a Federal facility during the period he allegedly failed to comply with 42 USC§ 13031. The issue as to whether violated Federal criminal law in this instance therefore turns on whether he was a covered professional, was engaged in professional capacity or a ctivity, and made a report as soon as possible. {I) Covered ProfessionaL Of the several classes of covered professionals the most relevant to an OIG investigator is the one referred to as "law enforcement personnel" in 42 USC § 13031. At the time of the activity when allegedly committed a crime the NRO OIG was characterized as an administrative IG. The NRO OIG later acquired the status of Designated Federal Entity (DFE) IG as defined in the 1978 IG Act. The distinction is that an a d ministrative IG derives authority to exist and function from the agency head while the DFE IG d erives the same from a statute. independent of the agency head. (a} A DFE IG investigator is statutorily authorized to investigate criminal a ctivity and can reasonably be considered law enforcement personnel for purposes of child abuse reporting under 42 USC § 13031.5 Alternatively. it is not clear that an investigator in an administrative IG office w ho investigates crimes can be considered law enforcement personnel. b3 b6 b7C - IG Subject The NRO OIG was an administrative OIG during the period of the allegation. However. there was a NRO policy that gave the NRO OIG responsibility for criminal matters related to the programs and activities of the NRO. This agency designation likely qualified as law enforcement personnel for purposes of child abuse reporting under 42 USC§ 13031. (b) 5 While many non·IC Agency DFE OIGs do possess law enforcement powers. NRO DFE JG investigators do not possess law enforcement powers and are therefore not considered Federal law enforcement officers. Page 7 of 15 Dissemination is p rohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED I / FGR-OFFICIAL USE ONLY 000115 Approved ror release by DONI on 7-19-2016, FOIA Case DF-2015-00229. ~'-'LASSIFIED I /-FOR OFFICIAL USE b, ~LV DiSsemination is prohibited except as authorized pursuant to 50 USC 403-3h b3 b6 b7C - IG Subject (2) Enaaaed in professional capacity or activib.J. was seiVi.ng as the NRO durtng the alleged incident and processing the information in the course and scope of his duties that qualified him as law enforcement personnel. He was without doubt engaged in a professional capacity or activity related to his covered personnel status. (3) Made a report as soon as possible. The Federal statute req1.1t.ring child abuse reporting does not establish a standard for reporting as soon as possible. The EDVA opined that taking actions on an admission of criminal activity typically requires some degree of due diligence to determine the credibility of the admission. b3 b6 b7C- IG Subject; Complainant, Witness b3 b6 b7C- IG Subject b3 b6 b7C-IG Subject b3 b6 b7C -1 G Subject ~~ (a) stated in her interview that the reporting requirement is no more than 24 four hours. nus position is inexplicable because there is no indication that the NRO OIG reported any admission of child abuse 1n less than 24 hours after it acquired the information during for the past eight years. Moreover, she did not know the Federal reporting requirement existed until recently and she had not read the statute or taken any steps to have it implemented as NRO policy at the time of this investigation. (b) It is more reasonable to conclude that how much time is required is situation dependent. Factors such as risk of immediate harm and type of abuse are relevant in determining whether compliance with agency reporting requirements was reasonable under the circumstances. In this instance the NRO contractor employee credibly disclosed the abuse had ended and that he had taken remedial steps to avoid its recurrence. When coupled with the onerous crimes reporting vetting process imposed on the NRO OIG. did make the report as soon as possible by submitting it 19 days after he was officially cleared to release the information. (4} Immunity. If one could argue that delays created by other NRO offices did not relieve of his duty to report as soon as possible and that the period in the alleged case was too lengthy. the statute that created the duty to report would allow for immunity from criminal liability for good faith reporting. (a) The OIG file in the alleged case reveals that aggressively took steps to ensure that his office reported the admission of child abuse to an appropriate state or local entity. More telling in regard to good faith is his established history and record of advocacy to ensure timely reporting in all matters related to the disclosure of chtld abuse during his entire period of employment at NRO OIG. Witness (b) As the was best positioned to establish a more aggressive and timely reporting regime. It appears however that With the exception of attending one planning meeting in 2009, she was disengaged on the issue of climes reports involving child abuse. b3 b6 (5) Knowledge. In addition to the d efense of immunity for good faith reporting. NRO, specifically the NRO General Counsel and NRO OIG supervisors. failed bJC _ 16 Subject; complainant, b7C -IG Subject Page 8 of 15 Dissemination is prohibited except as authorized pursuant to 50 USC 403-Sh UNCLASSIFlED I / FGR OFFICW:; USE ONb¥oo0116 Approved for release by ODNI on 7-1 9-2016, FOIA Case OF-2015_:90229. U1'4~LASSIFIED I / FGR OFFICIAL USE bt~¥ Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h b3 b6 to satisfy its statutory duty to periodically train of his responsibility to report. Of more concern, the NRO OIG leadership, namely was never aware of the existence of a Federal child abuse reporting requirement applicable to investigators such as 6 b7C - IG Subject; Complainant, Witness b7C - IG Subject 3. Conclusion: The allegation that failed to comply with 42 USC§ 13031 by not timely reportin~ a 2009 admission of chtld abuse by a former NRO contractor employee is not substantiated. There is no evidence to support a criminal or administrative failure to report. b3 b6 B. (U I b3 b6 /FOU~ Allegation 2: That failed to properly conduct or supeiVise the conduct of an investigation into a possible ethics violation by a CIA senior official assigned to NRO. b7C - IG Subject I. Evidence used in analysis of Allegation 2. a. Documentary Evidence. (1) NRO OIG Report of Investigation 2010-096, 21 December 2010 (2) NRO OJG Report oflnvestigation 2013-095, 5 July 2013 b. Testimonial Evidence. b3 b6 (l} Interview of b7C - IG Subject; (2) Interview ot NRO IG Investigator, 10 July 2013 (3) Interview of former NRO/GED Director, 10 J UL 2013 Complainant, Witnesses (4) Interview of (5} Interview of NRO IG Investigator. 2 July 2013 former NRO 11 July 2013 NRO IG, 11 July 2013 2. Discussion: b3 b6 b7C- IG Subject a. That failed to properly conduct or supervise the conduct of an investigation into a possible ethics violation by a CIA senior official assigned to NRO. b. The following policies were applicable to allegation 2: b3 b6 b7C - IG Subject; Complainant, Witness ~ unawareness of the Jaw likely explains why she relies on a s trict liability statute that is equally applicable to h er fa.Uure to report the matter she alleges failed to report. As his supervisor at the time of the alleged violation. by naming a subject she makes herself a potential subject. Page 9 of 15 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3b UNClASSIFIED/ / FeR OFFICM:L USE ON~ 000117 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UN.._;IASSIFIED / /1i'OR OFFICIAL USE bi'JL¥ Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h (1) Counsel of Inspectors General on Integrity and Efficiency (CJGIE). Quality Standards for Investigations, 15 November 2011. provide guidelines for the conduct of IG investigations and state in part that "reasonable steps are taken to ensure that pertinent issues are sufficiently resolved and to ensure that all appropriate Ciiminal. civil, contractual. or administrative remedies are considered"; evidence mus t be gathered in an unbiased and independent manner: and that evidence must be collected in such a way to ensure that all known or obviously relevant material is obtained. (2) NRO Inspector General Investigative Procedures Manual. 7 April 2009 states that the assigned investigator and AlGI make case closing decisions in consultation with the IG Counsel. Cases are considered closed when appropriate legal or administratiVe action has been taken or when allegations have been found to be without merit or disproved. b3 b6 b7C • IG Subject; Witness, Investigator b3 b6 b7C - IG Subject; Witness, Investigator b3 b6 b7C - IG Subject; Witness, Investigator b3 b6 c. On 22 July 2010. the NRO IG initiated a preliminary inquiry into an ethics violation by CIA Employee fanner Director, Ground Enterprise Directorate (GED), related to her recusal from matters involVing Northrop Grumman and Scitor. A confidential source was developed durtng a routine inspection of GED by the NRO IG. The confidential source asserted that was participating in matters involving Northrop Grumman and Scttor in violation of the conditions of her recusal based on husband's relationship with the two companies. Investigator was assigned as lead investigator in the case. On 7 September 2010. the NRO IG opened an investigation and obtained additional lead information regarding involvement in contract decision-making. notified NRO OIG management of his investigative efforts to that date. and his plan to interview the Contracting Officer and Program Manager . who potentially had information related to a ct.Jv1tles and Involvement in particular matters that would have violated the terms of her recusal. (1) On 10 September 2010, interviewed . who p rovided an opinion that was making programmatic decisions which would impact the Northrop Grumman and Scitor contracts and information that had signed decision briefings that affected both contracts. Several witnesses offered opinions that could not make broad programmatic deCisions without affecting the financial interests of Scitor or Northrop Grumman. had not obtained documentary evidence that corroborated these views as of30 November 2010. (2) Prior to completing his planned investigative activities. he beUeved that on or about 3 0 November 2010, met informally with during an NRO "All-hands" where informed of her s tatus as the s ubject of an ongoing investigation. After the conversation s upposedly occurred. approached to close the inVestigation based on statements. {3) In the opinJon of , the lead investigator on the 2012 investigation. had been allowed to conttnue wtth his investigative plan, would have b7C - IG Subject; Witness, Investigator Page 10 of 15 Dissemination is prohibited except as authortzed pursuant to 50 USC 403-3h UNCLASSIFIED I / FOR OFFICIAL USE ONLY 000118 Approved for release by OONI on 7-1 9-201 6. FOIA Case DF-2015-00229. Ul'...;LASSIFIED/ / FOR OFFICIAL USB btfu¥ Dissemination is prohibited except as a uthoriZed p ursuant to 50 USC 403-3h obtained 1nforr1ation to substantiate one regulatory conflict of interest violation in 20 10. b3 b6 b7C- IG Subject; Wit ness, (4) stated in a 2 July 2013 interview that he believed h e still had a viable case w hen he closed the investigation. aclmowledged that the closing was approved by who was then the Deputy AlGI. Investigator b3 b6 b7C - IG Subject; Witness, Investigator b3 b6 b7C- IG Subject; Witness, Investigator b3 b6 b 7C- IG Subject; W itness, Invest igator b3 6 bb c 7 - 16 w·1tness b3 b6 b7C - IG Subject; Complainant, Witness, Investigator d. By mid-November 20 10, interviewed several witnesses who had suspicions about involvement with m atters related to Northrop Grumman, but the NRO/GED counsel, op ined in a 29 November 2010 Interview with that there was no actual conflict of interest with regard to involvement in Northrop Grumm an m atters. and related to IC IG investigators that there was a disagreement between NRO OGC and CIA OGC as to whether a regulatory Violation existed with regard to Northrop Grumman. who claimed a dVised her on her participation in Northrop Grumman matters, had likely advised that she may continue to sexve in the manner she did with regard to Northrop Grumman. ( 1) stated that at the time of involvement in the investigation, he had not acquired any direct. documentary evidence that corroborated allegations that had engaged in activities that would be considered a conflict of interest with regard to either Northrop Grumman or Scitor_ acknowledged that during the investigation, the focus was on potential criminal violations with regard to Scitor, and a t that point it appeared that witnesses primarily had knowledge of involvement with Northrop Grumman mat ters. had a conversation (2) The NRO case file and closin~ memo suggest that with regarding the alleged conflicts of interest on or about 30 November 201 o_ Significantly. there is no witness s tatem ent that a m eeting between and occurred, and the contents of that alleged conversation were entered lnto the case me based on the second-hand knowledge of as rela ted to him by Neither nor recall an informal discussion where was put on notice that she was the subject of an investigation. (3) s tated that in his expeiience as an investigator at NRO OIG. it was not unusual for managem ent to review cases and make a detennina tion to cease . _ investigative efforts wh en the primary offense could be resolved through administrative measures and properly referred to m anagement officials for action. e. This allegation p rimarily revolves around a discretionary authority possessed by the AlGI to determine the best application of tnvestigative resources. While the CIGIE standards and NRO m anual call for an investi~tlon to resolve allegations, those standards also allow for assignment of investigative priorities by IG management. Cont.ra.Iy to the allegations made by on 25 June 2013, the investigator asstgned to the case had not obtained credible evidence suggesting that was involved in criminal or administrative ethics violations. It was not unreasonable for to advise that the investigation be closed. The Page 11 of 15 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNClASSIFIED I /FOR OFFICIAL USB ONL¥ 000119 Approved for release by ODNI on 7-19-201 6, FOIA Case DF-2015-00229. Ul\I~LASSIFJED //FOR OFFICIAL USE b rfLY Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h investigation was closed in accordance with NRO IG processes with the D I AlGI recommending the closing, the AlGI approving tt. and the NRO OIG attomt>y providing no legal objection to the closing. b3 bG b7c- IG Subject; Witness, Investigator b3 b6 b7C- IG Subject; Complainant, Witness, Investigator b3 b6 b7C - IG Subject; Complainant, Witness, Investigator b3 b6 b7C - IG Subj ect; Complainant, Witness, Investigator (1) did not offer disagreement with about the decision to close the investigation, and made it clear to IC IG investigators that he was not directed to close the investigation. (2) NRO investigators had not obtained evidence during four months of inquiry to substantiate a criminal allegation. Though alleged that closed the investigation while the OIG was in possession of credible eviclence of a criminal conflict of interest on the part of there is no basis in fact for this position. Moreover. the allegation was made With the benefit of hindsight and without consultation with The NRO OIG case file shows that the NRO OIG did not possess evidence of any violation until nearly two years after the original investigation was closed. Such evidence was discovered only after a much more broadly scoped special review of GED was authorized by the IG. (3) Notably. the complainant, did not know any details of the 2010 investigation that were the factual basis for her allegation on 25 J une 2013. did note during her 11 July 2013 inteiView that she trusted judgment in all investigative m atters therefore underm1ntng her allegations against him. (4) The testimonial evidence of shows that the left these matters to the discretion of the and that there were no prior instances where that judgment was called into question. In the absence of actual misconduct on the part of which this investigation did not discover, and given the adherence to NRO OIG procedures in closing the investigation, there is no basis to show that abused his discretion or did anything else improper in this case. 3. Conclusion: The allegation that fatled to properly conduct or supervise the conducting of an investigation into a possible ethics violation by a CIA senior official assigned to NRO Is not substantiated. b3 b6 b7C - IG Subj ect C. (U I /FeUQ} Allegation 3: That improper. hiring action to be the was l. Evidence used in analysts of Allegation 3 . b3 b6 b7C - IG Complainant, Witness a. Documentary E\idence. (1} Statement for Record by da ted 25 June 2013 (2} DNRO Letter to the Senate Select Committee on Intelligence, dated 26 June 2013 (3) Senate Select Committee on Intelligence Letter to the DNRO, dated 2 July 2013 Page 12 of 15 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ / FOR OFFICL'\L USE ONL¥ 000120 Approved for release by CONI on 7-19-2016, FOIA Case DF-2015_:00229. U~~LASSIFIED I / FOR OF'FlClA:L USE b•ofuY Dissemination is prohibited except a s authorized pursuant to 50 USC 403-3h b3 b6 b7C - IG Complainant, Witness, (4) Letter from --~ • NRO General Counsel, to DNRO, dated 3 July 2012 Emails between 25 June 2013. and the NRO Director, dated 24 June 2013 and (5) (6) Emails between February 2013. dated 4 February 2013 and 3 and b. Testimonial Evidence. b3 b6 b7C - IG Witness, (I) lnteiView ofDNRO Sapp, 1 July 2013 (2) Interview of PDDNRO . 1 July 2013 (3) InteiView of HR/NRO .. 27 July 2013 2 . Discussion: b3 b6 b7C- IG Subject a. Allegation: That hirtng action to be the NRO was improper. b. The followtng law or policy is applicable to allegation 3: (1) Title 5 App., Inspector General Act of 1978. (2) Memorandum of Agreement between the Central Intelligence Agency and the National Reconnaissance Office on Personnel Support Relationship, dated August 2012. b3 b6 b7C - IG Subject Complainant, Witness, c. On 25 June 2013 propounded in a SFR to the SSCI that the circumstances surrounding the raised "serious concerns on several fronts" to include the NRO ., and a lack of Director's failure to consult with independent evaluation in the process. d. The Inspector General Act of 1978 §8G(c} explicitly states that each Inspector General shall be appointed by the head of the DFE in accordance with applicable laws and regulations governing appointments Within the designated Federal entity. For the NRO IG, the applicable law and regulation governing appointments are Section 2 .4 of the 2 1 September 2010 Memorandum of Agreement between the Secretary of Defense and the Director of National Intelligence which states "formal agreements either bilateral or multi-lateral among NRO. CIA. and/or other DoD components will be used to address staffing and delegations of authority." (1) Paragraph one of the August 2012 Memorandum of Agreement between the Central Intelligence Agency and the National Reconnaiss ance Office on Personnel Support Relationship provides CIA and NRO respective responsibilities and documents the Page 13 of 15 Dissemination is prohibited except as authorized pursuant m 50 USC 403-3h UNCLASSIFIEDI /FOR OFFICIAL USE ONIX 000121 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. tTh~LASSIFlED I /FOR OFFICfAL USE b tiL'l Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h alignment of positions providing CIA support to the NRO. This MOA p rovid es in pertinent part: "In accordance with Section BG of the Inspector General Act of 1978, as amended, 5 USC App. 3. '.. .the Inspector General shall be appointed by the head of the designated Federal entity.. .'" b3 b6 b7C -IG Witness. b3 b6 b7C - IG SubJect Complainant, Witness. b3 b6 b7C - IG Subject Complainant, Witness. (2) NRO General Counsel, . wrote in a memorandum for the NRO Director. dated 3 July 2013. 'There are no NRO policies or procedures that require the DNRO to com pete the IG vacancy" and !be DNRO has the authority to appoint the NRO IG under the Inspector General Act of 1978, as amended, and did so in accordance with the Act." (3) erroneously asserted that the NRO Director did not consult With regardJng appointment. Despite not needing to consult with in appointing The NRO Director did review from superlati ·e performance reviews of The NRO Director cited outstanding reviews of as part of her reason for his in her 26 June 20 13 letter to the SSCI. e. concerns with the hiiing and selection of to be the are \\1thout effect. Also, as there are no restrictions regarding limited tenn appointments of an there is no basis to review that concern. Finally. the NRO Director was not required to consult with regarding was 3. Conclusion: The allegation that improper is not substantiated. VII. (U / /FOUO) CONCLUSIONS: b3 bG A. (U I / FOUO} The allegation that b7C - IG subject report child abuse while serving as the NRO credible. b3 b6 b7C - IG subject b3 b6 b7C -rG Subject committed a crime for a failure to was neither substantiated nor B. (U/ /.FOUO).Jbe allegation that failed to properly conduct or supervise the conduct of an investigation into a possible ethics violation by a CIA senior official while serving as the NRO was neither substantiated nor accurate. C. (UI /FOUO) The allegation that improper was neither substantiated nor based in fact. law, or policy. VII. (U I was /~COMMENDATIONS: A. (U/ / FOUO} The NRO Director should implement 42 USC§ 13031 through an NRO policy and train the approprtate covered personnel in NRO, such as IG investigators and behavioral health care providers. Page 14 of 15 Dissemination is prohibited except as authorized ptrrsuant to 50 USC 403-3h UNCLASS IFIED/ / FOR OFFICW. USE ONL¥ 000122 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. - .· Ul't~LASSIFIED I /FOR OFFICIAL USE bt'ILY Dissemination ts prohibited except as authorized pursuant to 50 USC 403-3h B. (UI I FE>UG} To ensure that intra-agency disagreement over the release of criminal information no longer prevents the timely reporting of a dmissions of criminal conduct. particularly in cases dealing with child abuse, the NRO Director should consider a thorough review of the responsibility for reporting Federal and state crimes amongst the relevant NRO offices. Such a review should result in clear guidance to and authority for the responsible offices. S UBMTITED FOR APPROVAL: APPROVED: (b)(3) (b)(6) (b)(7)(C) Page 15 of 15 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNClASSIFIED I / FOR OFFICIA!. USii: ONLY 000123 ApprovEiji.for release by ODNI on 7-19-2016. FOIA Case DF-201 ~0229. UNClASSIFIED/ /FOR OFFICIAL USE O&:u¥ DiSsemination is prohibited except as authorized pursuant to 50 USC 403-3h SUPPLEMENT TO REPORT OF INVESTIGATION INV-2013-0060 b3 ::. b6 b?C -IG Subject (U I /FetJal DATE: 26 J uly 2013 NAME AND POSmON OF SUBJECT: J:I. (U1fFOUO) AUTifORITIES: 50 USC § 403-3h et seq. rn. (U //FeU()). BACKGROUND: See Report of Investigation for INV-2013-0060 dated lS July 2013. IV. (U/FGlJO) REPORI1NG TIMELINE REGARDING ALLEGATION 1: A. NRO Office of Security & Counter Intelligence and Office of General Counsel . 1- November 27, 2009: The NRO Office of General Counsel {OGC) received information disclosed durtng a July 2009 polygraph examina tion from the Office of Security & Counter Intelligence (OS&CI) concerning suspected child abuse by an NRO contractor employee. 2 . November 30, 2009: OS&CI produced a formal internal crlmes report referral for OGC and external Climes report referral for the Department of Justice. b3 b6 b7C - IG Witness b3 b6 b7C-IG Witness b3 b6 b7C -IG Witness 3 . December 1 , 2009: OS&CI's Special Actions Staff (SAS) notified . Chief of the OS &CI Personal Security Division, that OGC received the ciimes report referral and the General Counsel. declined to take any action on the matter. 4. December 2, 2009: After OGC declined to take action SAS subordinates asked her for guidance on how to refer the suspected chlld abu se to ap_propt1ate state and local authorities_ then sought a dvice from OGC attorney told that NRO internal policies made OGC responsible for referring the matter to the NRO Office of the Inspector General (OIG)_ told that in this instance she should discuss referring the matter to state and local authorities directly with OIG. However, he went on to state that in all other ins tances OS&CI should not refer child pornography or non-NRO program information to OIG because OGC would exclusively receive any referrals related to these matters. 5 . December 4, 2009: After further discussion with subordinate to refer the m atter to OIG. directed an SAS R NRO Office of Security and Counter Intelligence and Office of Inspector Counsel. !::3 b6 b7C - IG Subject; Witness 1- December 7 . 2009: of SAS sent a notification email to referencing the OGC referral document. but did not attach it. She Dissemination is prohib ited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIEDI /FOR OFFICIAL USE ONIX 000124 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ fFeR OFFICIAL USE 0f'l4h¥ Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h b3 b6 informed that a Special Issue Polygraph (SIP) was planned . He stated that he would withhold notification to local authortties until the SIP was complete. b7C - IG Subject; Witness b3 b6 b7C - IG Subject; 2. December 7. 2009: advtsed local law enforcement pending the SIP. 3. December 10. 2009: informed conduct an SIP in this matter. to delay the referral to state and that OS&CI were not going to Witness 4. December 16. 2009: requested and received a copy of the November 30. 2009 OGC referral document from b3 b6 5. January 11 , 2010: informed that he was traveling to the OIG field office in Los Angeles on January 13 and W{)uld discuss the matter with the b7C-IG Subject; Witness b3 b6 b7C - IG Subject; Witness 6. J anuary 22, 2010: informed that the OIG would not open an investigation in the sus pected child abu se referred by her office because it was outside of OIG jurisdiction. In the same communication. copied and directed him to brief chiJd protective services. 7. February 10. 2010: made an entry in the OIG case management sys tem of a telephone biiefing to child protective services regarding the NRO contractor employee's admission of child abuse. On that same day referred the matter to Los Angeles County Department of Children and Family Services. IV. (U / FOUO) ADDmONAL TESTIMONIAL EVIDENCE REGARDING ALLEGATION 1: b3 b6 b7C - IG Subject; Witness testified on 2013 that the OIG was unable to independently refer information such as child abuse to external agencies within the framework of NRO policy at that time. made clear that such actions were prohibited by understanding of his reporting authority was that he could not unilaterally ignore restrictions. The restrictions that existed in 2009 limited OIG to receiving referrals of fraud. waste, and abuse within NRO programs and a ctivities . stated that any sus pected child abuse information the OIG received was through an informal "back channel" process, but he could not act on the information until a formal referral was m ade by OS&CI or OGC to OIG. A. 2013 the • ( testified that was "vecy passionate about the issue of reporting child abuse." blC_- IG Furthermore, s tated. frequently argued with OGC over the ~~~~~;inant, reporting process and the NRO IG's Inadequate access to OS&CI child abuse Witness information. called a ~champion" of changing the policy regarding OIG's role in child abuse reporting. She maintained that he was "very much in the forefront of this fight." On several occasions throughout the interview for his role in the child abuse reporting policy praised making process. b3 b6 B. On Page S-2 ofS-3 Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ / FOR OFFICW. USE ONLY 000125 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2Q15-00229. UNcLASSIFIED/ /FOR OFFICIAL USE O t•t.¥ Dissemination is prohibited except as authorized pursuant to 50 USC 403-3h IV. (U / FOUO) ADDffiONAL DOCUMENfARY AND TESTIMONIAL EVIDENCE REGARDING ALLEGATION 2: b3 b6 b7C - IG Subject; W itness In an email dated 29 November 2010 from OIG Investigator to NRO attorney recommended that a senior official misconduct investigation of be closed. testified that sometime after November 30, 2010 directed h1m to close the case. which he eventually closed on December 20. 20 10. According to an email from to on December 15. 2010, spoke with on 30 apparent intent to close this case one day before November 20 10. Given lt is unclear why is now testifying allegedly spoke to that he would have continu ed his case had not told him to close it. APPROVED: Assistant Inspector General for Investigations Page S-3 of S-3 Dissemination Is prohibited except as authorized pursuant to 50 USC 403-3h UNClASSIFIED I / FOR OFFICIAL USE ONLY 000126 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015--00229. TJNCiASSP.'"EDI I POR OFFiCiAL USE ON"u V Dissemination is prohibited unless authoriZed pursuant to 50 USC 403-3h ! H i•l- ltft·l:-..'f>l. -t> rt :\11·,1· \1 ll fHF 1\1 l i · ol q: ~· 111.'~1t :\II ];\ 2 August 2013 (b)(3) (b)(6) (b)(7)(C) (U I / FOUe) MEMO FOR: (U 1; roue) -noM: INV - (U I / F8U6) SUBJECT: 2013-006~ b3 b6 b7C -IG Subject (U/ ;roue) On 30 July 2013, the IC IG opened an investigation on . due to 400 discrepant hours in data over the course of one year. On 2 August 2013, the IC IG received data reducing the number of discrepant hours to zero. (U I ; roue) After further review of the preliminary inquiry, I recommend t further action by this office. (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNClASSIFIED I /FOR OFFICii\L USE ONL¥ 000127 b3 b6 b7C- IG Subject b7E - IG Tech Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ / F'OR OFFICIAL USE vi:\'L¥ Dissemination is prohibited unless authorized pursuant to 50 USC § 303 3 H l. 'lf-1 \1 • 'r r \ ll!F I \ \1 \I r-•..; 11., ''' ,, 17 October 2013 (U I / fflUO) MEMO FOR: (U I I FOUej FROM: INV- b3 b6 (U I l roUot S UBJECT: b3 b6 b7C -IG Subject 2013 -0066 b7C- IG Subject (UI I FOUet On 25 September 2013, the IC IG opened an investigation on , due to 126 discrepant hours in data over the course of fourteen m onths . On 17 October 2013, the IC IG received b7E - JGTech data reducing the numb er of discrepant hours to one. (UI I FOUQJ After further review of the preliminary inquiry, I recommend that this case be closed without further action by this office. (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC§ 303 3 UNClASSIFIED I / FOR OFFICIAl. U SE O NLY 000128 Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED Ot''·ll.l- 1H tlH Ii'lsl•! - -roR GEJ'.I~R·\1 oF IHF l~•ruH.r:N " \ • ~·1 (, ,. 'H"'"I" ) \I ·,.\ \.-..m: Ct)'VJI\lPNn l)'\ '· :x. )0.5 · M EMORANDUM FOR RECORD SUBJECT: INV-2013-0069 This Memorandum For The Record establishes that case number INV-20130069 was erroneously issued for the matter already the subject ofiKV-2013-0027. No further action is required. (b)(3) (b )(6) (b)(7){C) Date Assistant Inspector General. Investigations This document is intended only for authorized reC'ipicnts. Recipients may not further disseminate this information without the express permission of the signatory or other Office of Inspector General of the Intclligc.n<:t> Community personnel. This document may contain Inspector General sensitive information that is confidential. sensitive. work product or attorney-client privileged, or protected by Federal law. including protection from public disclosure under the Freedom of Information Act (f'Ol.A). 5 USC§ 552. Accordingly. the use. dissemination. distribution or rcproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFIED 000129 Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-{)0229. UNCLASSIFIED/ / FOR OFFICIAL USE ONL¥ Dissemination is prohibited unless authorized pursuant to 50 USC 3033 () lhkl)! I'JII'I~'\PFt.'l )JiGI.N~I(\I.Ul-'1'11~ 1:"-I'II.I.JGi-:NCF<.'l'l\1'11:\11'' T:-J\ E"l IG \'Ill'~:, Llt\ ISION W ,.., II t T(l:"\, j)(' 20'i 1 I 6 March 2014 (b)(3) (b)(6) (b)(7)(C) (U/ /FOUOt M EMO FOR: AlGI (U/ / FOUO) FROM: INV- (U /I FOUO) SUBJECT: 2013-007 1 l) (U I I FOUO) Following a preliminary inquiry which found 124 d iscrepant hours from 1 June 2012 through 30 July 2013, the IC IG Investigations Division opened an investigation regarding on 20 November 2013. After reviewing additional evidence this office found that the initial analy sis included time charged to vacation, holiday, and overhead, which negated all discrepant hours. (U I I FOUOl I recommend that this office discontinue this matter without further action. (b)(3) (b)(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED / / FOR OF FlCI:AL USE ONLY 000130 b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ / FOR OFFICIA!. USE ONlX Dissemination is prohibited unless authorized pursuant to 50 USC 3033 )" I• (l!·l \I Dl TilE I ~SPI.Cl )H G!·.NFRAI Oi'IIJI·l:'\T ''1.1\iF. CECO\l,l\1 '\; 1;-:\ 'I ·A I ():\-; 01\ 1!:-! 1:--i \, y·'-~''' 1)C '1'\511 6 March 2014 (U/ / FOUO) MEMO FOR: l11:r:·,1111,;,,,f:·1.i:.·,,.,·. and Contractor regarding leaving work PageSofS Dissemination is prohibited except as~orized UNCLASSIFIED//. . 000252 by 50 use § 3033 Approved for release by ODNI on 8-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ /FOR OFFICIAL USE ONLY Dissemination is prohibited except as authorized by the 50 USC 403-3h REPORT OF INVESTIGATION 2011-0052 DATE: 8 Feb 2013 F:XECUTTVE SUMMARY All Marked b3 b6 b7C - IG Subject (U//FOUO) AUTHORITIES: This investigation was directed pursuant to the National Security Act of 1947, as amended; Section 103H, by the Assistant Inspector General for Investigations. (U//FOUO) BACKGROUND: On 7 December 2011, the Intelligence Community Inspector : '1" 11,,:111,,,,,~~i,,,~~"'"'. . · · · GS 5 General (IC IG) an mvestigation concerrung -1 employee, 1;'1 'i!l1i'~lii:ii:1~:!:i11,i:i1it1:1!1::1~:11:!\:i ,,,,,,,,,,.,,,,,, ,,,,,,,",'"'•" Ph.D. Chief Human Capital Office, Intelligence Learning Network, upon receiving an allegation that misused the ODNI Medical Leave Bank (MLB). The informant believed that altered a physician's medical statement concerning her medical condition, and that physical ailment was either exaggerated, or did not exist. The evidence concerning medical leave was not sufficient to substantiate medical leave bank abuse; however, the IC IG found Ms. violated regulations and her personal behavior failed to meet security standards. 1 1 (U//FOUO) SUBSTANTIATED ALLEGATIONS: 1. Title 5 Code of Federal Regulations (CFR) Part 2635.502 Subchapter B, Conflict of Interest ~ 2. 3. Title 5 CFR 2635.705 Subpart G Use of Official Time 4. 7- 21 Limited Personal Use of Government Office Equipment Including Information Technology ~5. Title 5 CFR 2635.704 Use of Government Property ~6. 7. Tntelligence Community Directive 704, Personnel Security Standards Dissemination is prohibited except as authorized by the 50 USC 403-3h SECRET//NOFORN 000252 All Marked b3 bG b 7 C - IG Subject Approved for release by ODNI on 8-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ /FOR OFFICIAL USE ONLY Dissemination is prohibited except as authorized by the 50 USC 403-3h (U//F000) UNSUBSTANTIATED ALLEGATION: Medical Leave Abuse. On 7 December 2011, the Intelligence Community General IO) opened an 1 Ph.D. ,.(1 \.'--<... nspeclor General for Investigations FROM: SUBJECT: Management Referral Contractor Employee b3 b6 b7C - IG Subject All marked b3 b6 b7C · IG Subject (U/!f=OUO} From December 2012 to December 2013 the Office of the Inspector General of the Intelligence Community (IC IG) conducted various investigative activities related to , an ODNI contractor employee supporting the National Intelligence Emergency Management Activity (NlEMA). is the owner of t Judr·. Jn R ..: '~PL:t's C'OTJ.!trOnel. Acronlingly, the u.~ di~semination, distribution or reproduction ofthi; information to or by unnuthorra.'d or unintended rc<:1picnts may be u nlawful. l'asoo~ d:~lnsing this information publicly or to others not having an o fficial need to know arc subject to possible adm iniSitati•c. civil. and/or criminal pcnallies. This memorandum should be safeguarded co prevent in~per discl05ure at all times. 1\uthori?.cd rec ip ients "ho l'C'ctive requests to relco.~c lhis information should refer the requestor to the Office of the lru."Oector General of the lntel iil!tllce Comm unity. ~silhc. or protected by t rooo 000132 All marked b3 b6 b7C · IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIF IE D/ /YO~e (U//fOUO) Although position does not require a doctorate or m1ster' s degree, he refers to himself as "doctor" and lists both Pacific Wcstc-. University degrees on his SAIC resume. Such actions by are improper because he did not earn these degrees from an accredited or credible academic institution. Additionally. based on information and belief. claim to be a specialist in counterterrorism. narcotics, weapons, explosive". and technical security measures does not appear to be supported by any formal training or certitications in these areas. l(b)(3} I was selected for his contractor employee (U/If'OtJO) ]tis unknown whether position based on his misrcrrcsentation of hts academic credentials and professional certifications. Appropriate ODNI management should consider misrc~d take action · you need further information. please contact me at - (secure) or non-secure). (b)(3) (b)(6) (b)(7)(C) UN C LAS SI F IED / /~ 000133 All marked b3 b6 b7C-IG Subject All marked b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED 0 Fit. f. nr 'T 11 F IN."iPF.CrR <:r:I\FR ·\ Ot 'I' 1F [S\' 11 • \liONS Dl\ I ·~~: 1 J< ; FNn C0\1:\>li•NI f''i . ~ l l)'\ w ~ . . ,,~ .l\ . nc ,c, 1 MEMORANDUM FOR RECORD SUBJECT: Correction to INV-2013-0009 Case-Closing Memorandum The file for case number INV-2013-0009 contains an incorrectly dated caseclosing memorandum. This Memorandum For The Record corrects the issue date of that document from January 9, 2014 to February 26, 2015. (b)(3) (b)(6) (b)(7)(C) Assistant Inspector General, Investigations This document is intended only for authori7.cd recipients. Recipients may not further disseminate this information without the express permission of the signatory or other Office of Inspector General of the intelligence Community personnel. This document may contain Inspector General sensitive information that Is confidential, sensitive, work product or attorney-client p riVileged, or protected by Federal law. including protection from public disclosure under the Freedom of Information Act (FOIA), 5 USC§ 552. Accordingly, the usc. dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSI FI ED 000134 Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNCI.ASSIFIED//POK OPFlCtAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h -- . . - - - . - -- -·-=- - -~ = - ..... .. .•.:·.. _ ..:- - ~ ·. -- -;.. (U I I FOUO) MEMO FOR: (UI IFOUO) FROM: (U I /FOUO) SUBJECT: INV 2013-0009Misuse of Gove:-""ment Property) c ·"'ff'"OLnd. (UI /FOUO) On October 22, 2012. agency security officials referred an AIN misuse matter to the IC IG. The referral. regardi!1~ SAIC contractor ~. included a 90page report detailing graphic sexual chat originated by from May 27. 2010 through October 3. 2012. -:be IC IG Investigations Division opened an mvestigatlon into alleged actions on March 2 i, 2013. AppJ~crtb1e S,iande~ ..~ . b3 b6 b7C - IG Subject All marked b3 b6 b?C-IG Subject (U) 5 C .F.R. § 2635-704(a) (Misuse of GoveM-nent Property). An employee has a duty to protect and conserve Govc--ment property and shall not use s uch property. or allow its use. for other than authoriZed purposes . inveatl&r tive Actl"rl. .·y. (UI /POUO) In May 2013. the IC IG Investigations Division obtained additional AIN records of sexual chat. We found that began u sing AIN for sex chat in May 2010. and continued on a near daily bas is until his removal ODNJ facilities on July 18, 2013, under the direction of agency security officials. All marked b3 b6 {U I /FOUO) often ga~erl in as many as 20 exchanges per day seeking sex pa-ners. The ::1ajority of sex chat included attempts to establish after work sexual e ncounters, descriptions of desired sex acts. and graphic desciiptions of his genitalia. All marked b3 b6 p - Dlsserrunation ts prohibited unless authortzed pursuant to 50 USC 403-3h UNC LASSI- 1 ~D I /l"'ft OFFfCtAL USE ONL¥ 000135 b7C - IG Subject b7C - IG Subject Approved for release by ODNI on 7-1 9-2016. FOIA Case DF-2_015-00229. UNCLASSIFIED/ /FOR OFFICIJ\b USE O&LY Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h (U //FOUO) Upon discovexy of information that attempted to establish a sexual relationship with a pos sible minor residing in northem Virginia, this office referred the matter to the FBI, specifically. the Northern Virginia Internet Crimes Against Children (ICAC) task force. (U I / Feue) During the course of the FBI investigation into interaction with a possible minor, agency security officials detected attempting to establish a sex chat with another possible minor, this one residing in Colorado. At that time, on July 18. 2014. agency securtty officials suspended access to US government systems, confiscated his access badge, and escorted him out of ODNI facilities. After these events. agency security officials notified the FBI, who referred the case to local law enforcement officials affiliated \Vith the ICAC. Agency security officials also notified Fairfax and Prince William county law enforcem ent agencies. (U //FOUO) The available evidence established that misused the government AIN system for personal and possibly illegal purp oses. However. quanti.f)i ng the amount of government funded labor misused by was not possible in this instance. Recommendation. (U //FOUO) Close this matter without further action. Dissemination is prohibited unless authoriZed pursuant to 50 USC 403-3h UNCLASSIFIED I /FOR OFFfCfld; USE ONLY 000136 b3 b6 b7C - IG Subject All marked b3 b6 b7C - IG Subject All marked b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. Ut'<~CLASS~iED/ / FOR OFFICIAL USE t:N4LY Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 Ill (U I /FOUO} MEMO FOR: (U I /FOUO} FROM: Investigator- (U I /FOUO} SUBJECT: 2013-0047 ( b3 b6 b7E - ICTech (UI /FOUO) b3 b6 b7E - IG Tech ~on tracts (b)(3) (b)(6) (b)(7)(C) was identified in a and The Mitre Corporation in McLean, VA. b3 b6 b7C -IG Subject · was not present at her assigned worksites for the full period in which she billed the contract. (UI /FOUO} was interviewed on 18 September 2013 and again on 31 October 2013. during which the discrepant hours were discussed. admitted she charged hours. which she claims having worked from home. also admitted she had never been authorized to work from home nor had she ever sou~ht permission to do so. Working from home is not authorized under the ODNI contracts she supports. accounted for some of the discrepant hours due to offsite meetings. During interviews with her C01R and Government Lead. it was discovered that was authorized to bill for authorized offsite meetings. as well as certain training requiring advanced approval. Both her COTR and Gove m ment Lead confirmed that had never sought authorization, nor had either ever authorized her to work from home. Mitre policy regardin~ billing to the nearest hour was factored in to calculate the total number of discrepant hours. The investigation reduced the number of discrepant hours to approximately 424. Oissemihation is prohibited unless authorized pursuant to 50 USC§ 3033 UNCLASSIFIED I /FOR OFFICIAL USE ONL¥ 000137 All marked b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. Ut~CI.ASSIFIED //FOR OFFiCIAL USE OxVLY OissemJnation is p rohibited unless authorized pursuant to 50 USC § 3033 All (U I /FOUO) Finding: charged approximately 424 hours from 11 October 20 11 until 22 March 2013 which she did not work at her authorized places of performance. has an estimated billing rate of$76.53 per hour. which equates to approximately $32,429 over the time period in question . (b)(3) (b)(6) (b)(?)(C) Investigator UNClASSIFIED I /FOR OFFICIAL USE ONLY Dissemination ts prohibited unless authorized pursuant to 50 USC§ 3033 000138 marked b3 b6 b7C - IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ /FOUO t!~h:i Ill • 'NEI-:\ Jr-..\ r.:,l, 1 • IHlNn: l lttf~· - i:\ ' t''~li .,, rJ :-;'!"In J\1 )N \\ .... 1117\(, n•··· nc :•o:;i 6June 2014 MEMORANDUM FOR: FROM: SUBJECT: (b)(3) (b)(6) (b)(7)(C) Executive Director, Office of the National Counterintelligence Executive Assistant Inspector General for Investigations, Office of the Inspector General of the Intelligence Community Referral - IC IG Inquiry 2013-0063 (U//f'OUO) The Office of the Inspector General of the Intelligence Community (IC IG) recently All marked conducted an inquiry which determined there were time and attendance discrepancies associated ~~ wjth a National Counterintelligence Executive (NCIX) b7C - IG subJect employee. The IC JG is referring this matter to you for management consideration. (U/IFOUO) supervisor reported him to the IC IG and provided evidence, which included copies of several email conversations between him and regarding nonadherence to time and attendance policies, and a signed reprimand issued to by his supervisor regarding he matter. However, time and attendance practices remained questionable after these counseling efforts. All marked b3 b6 b7C -IG Subject (U/filOU9~ On 6 August 2013 the IC IG began a preliminary inquiry concerning :~marked time and attendance practices. After analyzing documentary evidence and interviewing him. we b 6 found that likely claimed 239 hours of unearned compensation. b7C- IG subject (b)(3) (b)(6) (b)(7)(C) ( would like furth~lease contact IC IG (non-secure) o r - - -), or by email at (b)(3) (b)(6) (b)(7)(C)' This document is intended only for authorized recipients. Recipients may not further disseminate this infonnal.ion without the express pennission of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain lnsDCctor General sensitive information that is confidential, sensitive. work product or auomey-client privileged, or prot.!etcd by Federal law, including protection from public disclosure under the Freedom oflnformation Act (FOIA), 5 USC§ 552. Accordingly, the usc, dissemination, distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFI ED // ~ 000139 Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. SECRET Dissemination is prohibited unless authori7.ed pursuant to 50 USC§ 3033 On1 · t:l ml T s ·~ r:n GLNI£RALU1· nit:.l:'-tl ::.LLIGJ·. fN\ e.-n~AllON~ DJ\; ISION \\ -=HIN t'O'\:. D~ 20511 t.;E(oM UNin REPORT OF INVESTIGATION #2013-0063 DATE: 24 January 2014 EXECUTIVE SUMMARY (U/ /FOUO) GS14 step 10 Program Manager, assigned to Office of the Director of National Intelligence. Office of the National Counterintelligence Executive. Strategic Capabilities (ODNI/ONCIX/SC) Bethesda Maryland. All marked b3 b6 b7C · IG Subject (U/ /fflUe:J AUTHORITIES: This investigation was conducted through the National Security Act of 194 7. as ame nded; Section 3033, under the supervision of the Assistant Inspector General for Investigations. (U I /fOUO} BACKGROUND: On 6 August 2013, the Office of the Inspector General of the Intelligence Community (IC IG} opened an investigation concerning upon receiving an allegation that may be involved in Time and Attendance (T&A) fraud. entered on duty (EOD) with the ODNI on 10 April2011, as a GS-14 full Ume staff employee. Prior to his EOD with the ODNl. worked as a staff employee at the FBI. professional biography Includes no fort"al degree infonnation. (U/tFOUO} (U/ /FOUO) SUBSTANTIATED ALLEGATION: The IC IG investigation substantiated that cornrnl ~ed T&A fraud. From 2 July 2012 throu~h 2 August 2013, recorded 239 hours that he did not work; an approximate $15.716loss to the government. Dissemination is prohibited unless authori7.ed pursuant to 50 USC § 3033 SECRET 000140 All marked b3 b6 b7C • IG Subject All marked b3 b6 b7C- IG Subject All marked b3 b6 b7C • IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. .sECRET Dissemination is prohibited unless a uthortzed pursuant to 50 USC § 3033 1. (U I /FOUO) PURPOSE AND AUTHORfiY: This investigation was conducted through b3 the National Security Act of 1947. amended: Section 3033, under the SUQCIVision of ~;c . 1GS b' the Assistant Inspector General for Investigations. to determine if u Ject committed T&A fraud. as 2. (U I / FOUO) COMPLAINANT: Name: b3 b6 AIN: Work Address: Work Phone #: b7C • IG Witness 3 . (U I / FOUO) SUBJECT: b3 b6 Name: AIN: b7C- IG Subject Work Address: Work Phone#: b3 b6 4. (U I / FOUO) DATE AND BACKGROUND OF COMPLAINT: On 6 August 2013, the IC bJC- 16 Subject IG opened an investigation concem.inp; time and attendance practices. current supeiVisor. 1, Chief. ODNIIONCIXISCIProject b3 Opera tions Group. reported the matter to the IC IG. provided evidence to the ~;c _16 Witness IC IG. which included an email he exchanged with for not adhering to time and attendance policies, and a signed reprimand. said that T&A practices remained questionable after all of his counseling efforts. b3 5. CUI /FOUO) ALLE GATION(S): That committed T&A fraud. bG b7C - IG Subject 6. (UI /FOUO) ANALYSIS OF ALLEGATION: Allegation 1: a . Evidence used in analysis of Allegation 1. Documentary Evidence. All marked • b3 b6 b3 b6 fSECRE'I1 · b7C- IG Subject b7E - IG TECH b7E -IG Tech {EXHIBIT 1) b3 b6 • b7C -IG Witness U/ fFOUO}- Email to from his current supeiVisor Chief. ODNI/ONCIXISCIProject Operations Group regarding not adhering to T&A policies. (EXHffiiT 2) Page 2 of15 Dissemination ts prohibited unless authorized purs uant to 50 USC § 3033 SECREJ:000141 All marked b3 b6 b7C -IG Subject Approved for release by OONI on 7-19-2016, FOIA Case OF-2015-00229. SECR:E'F Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 All marked b3 b6 • b7C • IG Subject • (UI /FOUO} (EXHIBIT 3) • written statement to the IC IG. On 27 September All marked (U I ~ 20 13, wrote a statement for the record which said that he did b 3 b6 not use his government time wisely, and that he would work with his b?C - IG subJect management to improve. (EXHIBIT 4) D signed repnmand for not adhering to T&A policies . {U I /f'OUO) mitigating documentation. On 28 October 2013, All marked provided d ocumentation s ufficient to prove he was at work at b3 offsite facilities for approximately 65 hours of the 303 hours in question. b6 b7C • IG Subject The IC IG reduced the discrepant hours to 239. (applied to EXHIBIT I} Testimonial Evidence: (b)(3} {b}(6) (b){7)(C) b3 b6 b7E- IGTech (b){3) (b)l6) (b)(7)(C) CUI I FOUOJ On 27 SEP 2013. at 10:00 AM, Investigate~ and Investigator interviewed was given a Warnings and Assurances Form. which he si~ed and stated for the record that he understood: waived his right to remain silent. and to seek priVate counsel. provided the following infonnation: All marked b3 b6 b7C • IG Subject (U I /FOUO) Investlgato~ provided a copy of All marked b3 b6 review. for explained that he undeiWent multiple knee surgeries and was on medical leave for an e>..1:ended amount of time ( medical leave was not considered discrepant on the spreadsheet). b7C • IG Subject b7E - IG TECH All marked b3 (UI /FOUO} said that he sometimes had meetings at other IC buildings, which required IC badges. b6 b7C • IG Subject b3 (UI /FOUC» explained that his supervisor , I, b6 b7C • IG Witness "gives no direction", and referred to him as a '"clock watcher". admitted that he left work early. He explained that he All marked b3 knocks work out pretty fast and that he's "here to serve". He said that b6 he leaves work early to '"catch a bus". He lives in Georgetown, and does b7C • IG Subject not own a car. (U I I FOUO) wrote a statement in which he apologized for his discrepant hours, and said he would improve. The interviewed concluded at approximately 10:40 AM. All marked b3 b6 b7C • IG Subject Discussion: Page 3 of 15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SECRET 000142 Approved tor release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. """SECRET Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 (SI!:CRET} The IC IG conducted a b3 b6 b3 b6 b7C -IG Subject b7E - IG TECH b7E- IG Tech (U/ /FOUe) On 27 September 2013, the IC IG interviewed reviewed the analysts and explained that he was out of work for an extended time (from August 2012 through Januazy 2013), because he undeiWent multiple knee surgeries. admitted that he left work early. and explained that wknocks work out pretty fast", and sometimes leaves early to catch a bus. as he lives tn Georgetown ( work location is Bethesda Maryland) and does not own a car. All marked b3 b6 b 7 C • rG Subject (U I /FGYO). wrote a statement for the record which said that he did not use his government time wisely. and that he would work With his management to improve. The IC IG tasked to review his records. and provide any documentation that may prove he was conducting official business during the time in question. On 28 October 2013. provided documentation sufficient to prove he was at work at offslte facilities for approximately 65 hours of the 303 hours in question. The IC IG reduced the discrepant hours to 239. an approximate $15.716loss to the government. (U/ /FOUO} During the entire review period, took approximately 40 hours of excused absence. 266 hour of annual leave. 133 hours of sick leave. and 558 hours of medical leave. Omitting all 997 leave hours. of the total 2.280 hours reviewed , inaccurately recorded approximately 19 percent of his T&A. All marked b3 b6 b7C - IG Subject All marked b3 b6 b7C- IG Subject All marked {1) Allegation: That committed T&A fraud b3 b6 b7C - IG Subject (2) Standards: a. (U) Title 18 United States Code (U.S.C.) § 641 Theft of Government Property : Whoever embezzles. s teals. purloins, or knoWingly converts to his u se or the u se of another, or Without authority, sells. conveys or d isposes of any record. voucher . money. or thing of value of the United States or of any department or agency thereof, or any property made or being made under contract for the United States or any department or agency thereof: or Whoever receives. concE:-als, or retains the same with intent to convert It to his use or gain. knowing it to have been embezzled, stolen, purloined or converted - shall be fined under this title or imprisoned not more than ten years. or both: but lf the value of such property in the ~egate, combing amounts from all the counts for which the defendant is convicted in a single case, does not exceed the sum of$1,000, he shall be fined under this Page4of 15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SECRET 000143 All marked b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. SECRET Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 title or imprtsoned not more than one year. or both. The word "value" means face. par, or market value, or cost price. either wholesale or retail. whichever is greater. b. (U) Title 18 U.S.C. § 1001 False Statements: Whoever. in any matter within the j urtsdiction of the executive. legislative. or judicial branch of the Government of the United States. knoWingly and willfully (!) Falsifies, conceals, or covers u p by any trick. scheme. or device a material fact; (2) Makes any materially false, fictitious, or fraudulent statement or representation; or (3) Makes or uses any false wnting or document knowing the same to contain any materially false, fictitious. or fraudulent statement or entry; Shall be fined under this title, imprisoned not more than 5 years or. if the offense involves international or domestic terrorism. imprisoned not more than 8 years or both. c. (U //FOUO) ODNI Instruction 73.04 Time and Attendance Responsibilities: Employees have the responsibility to submit accurate and timely official T&A reports. Employees must properly account for all hours in the biweekly pay period. Any employee who intentionally misrepresents any information on a T&A report shall be subject to disciplinary action. including termination of employment. and/or criminal prosecution by the Department of Justice. (3) Evidence supporting substantiation: b3 b6 1) iSECRE'tl b3 b6 b7E- IGTech (EXHIBIT 1) ~ bG b7C - IG W itness 2) (UI /F9UO, Email exchange bern·een and his current supervisor. , Chief, ODNI/ONCIX/SC/Project Operations Group regarding not adhering to T&A practices. {EXHIBIT 2) b7C - IG Subject b7E - IG TECH ~ bG b7C - IG Subject b3 3) (U/IFOUot (EXHIBIT 3) s igned reprimand for not a dhering to T&A policies. 4) (U/ /P'OUO} written statement to the IC IG. On 27 September 20 13, wrote a statement for the record which said that he did not use his government time wisely, and that he would work with his management to Improve. (EXHIBIT 4) Page 5 of 15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 ""SECRET 000144 bG b7C -IG Subject All marked b3 b6 b7C • IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. SSCRET Dissemination ts prohibited unless authorized pursuant to 50 USC § 3033 5) (U/ /FOUO} mitigating documentation. On 28 October 2013. provided documentation sufficient to prove he was at work at offsite facilities for approximately 65 hours of the 303 hours in question. The IC IG reduced the discrepant hours to 239. All marked b3 b6 b7C - IG Subj ect (4) Analysis of evidence: (U / /FOUO) All documentary and testimonial evidence revealed that from 2 July 2012 through 2 August 2013. recorded 239 hours that he did not work: an approxima1e $15.716loss to the government. All marked b3 b6 b7C- IG Subject (5) Conclusion: (UI ~e preponderance of evidence substantiated that committed T&A fraud. From 2 July 2012 through 2 August 2013, recorded 239 hours that he did not work; an a pproximate $15.716loss to the government. T&A fraud violated all of the following standards: 1. Title 18 United States Code (U.S.C.) § 641 Theft of Government Property 2. 18 U.S.C. § 1001 False Statements 3. ODNI Instruction 73.04 Time and Attendance Responsibilities The Department of Justice decUned prosecution in favor of administrative action. (6)(U /FOUot RECOMMENDATIONS: That ODNI Employee Review Board takes a dminis trative action as deemed necessary in this matter. INVESTIGATOR (b)(3) (b)(6) APPROVED: (b}(7)(C) - A lGI EXHIBIT! Page6 of15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SECRET 000145 All marked b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. SECRET Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 All marked b3 b6 b7C -·IG Subject b7E -IG TECH Page 7 of 15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SECRET 000146 Approved for release by OONI on 7- 19-2016, FOIA Case DF-2015-00229. All marked b3 SEC!tE"f Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 Page 8 of 15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SECRET 000147 b6 b7C- IG Subject b7E -IG TECH Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. All marked b3 SECRET Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 Page 9 of 15 DissemtnaUon is prohibited unless authoriZed pursuant to 50 USC§ 3033 SECRET 000148 b6 b7C - IG Subject b7E -IGTECH Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. SECRET Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 Page 10 of 15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SSG RET 000149 All marked b3 b6 b7C- JG Subject b7E -JGTECH Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. All marked b3 b6 SECRET Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 Page 11 of 15 Dissemination is prohibited unless authoriZed pursuant to 50 USC § 3033 SECRET 000150 b7C - IG Subject b7E -IG TECH Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. SBCRET Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 EXHIBIT 2 All marked ~'1d"'IV ... anUa."'f.l4, 2013 11:14 AM ~- - ~ · -..~ - b3 b6 FiE: \ ILB llmeca~ • a~ion -:::- , , ·• ..,.. 's ~ ... ,, p 1·ocess. s;oer-vi!>oi"'. If you w~ ~,. ;:o go on J\nn~al :.e.;ve, yo u need to s~b:.-i~ a rec;ues~ b7C-IG Witnesses and Subject yo~•~· Y.-:-_ o:n ly ">dve 8 hot;rs A/L or: t'l .? boo(s , ., .. no ll'.ore MLB. ·· · ··Origi1al Message- ---January 12, 2613 6:53 P~ T:.: Page 12 of 15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SECRET 000151 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. '"SECRE1' Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 EXHIBIT S ..... .. .. :.. ·~ ... . '" :' ~.: ..: :· . ; - · ·:- '? ~! .. . ~ .. ~ .....,. "·... . . ......:. .... .. ... -.. ~ .. .. ... .... .... -·.;.. ..... ., . . .. .. .. :: . .. . . .. . .. . --- : . ... ·- . .. .. .. .. - ...... ..... ... .. .. ' .. :. - .. .· --: ..... : . ~ - ·":" -- : ·~:· : ... ,:l -~ ,_,.!.. ·:: • - ·:· : : : .. .. .. .. : : 0 .. :.. .:,.. • • : :-·... ... .... . : ... :': .E,"i ; .. . .. .. - · ·- : 0 ·· · ·:· :·:.· ·· ·- ··: : :.. : ·::; ..... : ..• •.: • - ·· : ·; ..... - ... ... "Y: • ,. ~ ·· -:. ' ··- :· ··· :: c: .. .. ... .... --·· ::. :"':' . . ; : .... , E. .. ·: .. : .. - .. : All marked b3 . . b6 b7C - IG Witness . .,: - ..... . . ....... . - .. . ; :.:! . .. .. ~ - .. -. . Page 13 of 15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SECRET 000152 Approved for release by OONI on 7-19-2016, FOIA Case DF-2015-00229. SECRET Dissemination is prohibited unless authorized purs uant to 50 USC § 3033 ~;~: :-:: ., ;;:-d :..: r i :'lz c~~-: ·-:c:.. :--; ~:- ~ ~ t n, ~8 11-; ~-or: t ?.:1~ Oi :f ' hours tH00-3pm . 7ha~ doesn't -; :-·~n you can work cr.iy 6 h:::;.rs c: n~ cha:-ge 8 yo:...; have ~o b-e !r t 't ?. lFce fro:~ 9- 3p:n a:1C bdc: "'"''< !S"Idance r.-c :'i~ e ··:..2 - r-·v rep:-c ~= - · n:+·,,e. Page 14of15 Dissemination is prohibited unless authorized pursuant to 50 USC § 3033 SECRET 000153 ~:... ~ Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. SECRET Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 EXHIBIT 4 ... u b.-:c;:~·~ct Ix -fcrc r::c ,.·,\, .:f ={;--st ;· n. VA S wll -- : 1 r~d ( l:1 7 7 dc;ty of (b)(3) (b)(6) (b)(?)(C) Page 15 of 15 Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 SECRET 000154 Approved for release by ODNI on 7- 19-2016. FOIA Case DF-2015-00229. UNCLASSIFIED ~)H IC ~ :)J lllr' i~>-;!--J'l::f TOt'\ ~I''~RI\1 OFTI' '1 .. lJ.JGt:NC (P,\IMLINII' I!\ 1.·•:s n ,; ,q·zl'"'" D' ,. 1"10'-: ty,~tfl, 0'\.DC 20:;'; MEMORANDUM FOR RECORD SUBJECT: Correction to INV-2013-0065 Case-Closing Memorandum The file for case number INV-2013-0065 contains an incorre-c Uy numbered and dated case-closing memorandum. This Memorandum For The Record corrects the document number from INV-2014-0065 to INV-2013-0065. and the issue date from 18 March 2014 to February 24. 2015. (b)(3) (b)(6) (b)(7)(C) Assistant Inspector General. Investigations This document is intended only for authorized recipients. Recipients may not further disseminate this Information without the express permission of the signatory or other Office of Inspector General of the Intelligence Community pers onnel. This document may contain Inspector General sensitive information that is confidential. sensitive. work product or attorney-client privileged. or protected by Federal law. including protection from public disclosure under the Freedom of lnfonnatlon Ad (FOIA). 5 USC § 552. Accordingly. the usc . dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASS IFIED 000155 Approved for release by OONI on 7-19-2016. FOIA Case OF-2015-00229. UNLLASSIFIED/ /FOR OFFICIAL USE ONV! Dissemination is prohibited unles s authorized pursuant to 50 USC 3033 :-··· Or;· ct. )';" :--... i h~ ' ::cTv s. G- '~R , L L) :- T';{f Ir.; -.- 1:-. '--l:.' LJ(; : , ,_.: c.~ \ 1.\L ,---1 (;-\TIO~ <>D \.$10"- \'\ -_-\S !!:':<_!TO )I. DC 20511 18 MAR 14 (U / /FOUO) MEMO FOR RECORD (U I /FOUot SUBJECT: I ' 20 14-0065 [ (U I /FOUO) On 17 S EP 13. the IC IG opened a preliminary inquiry into the activities of for possible ethics violations. After review of the associated information. the available evidence does not support continued investigation. (U I /FOUOI This case is closed without further action. (b)(3) (b)(6) (b)(7)(C) Assistant Inspector For Investigations Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNClASSIFIED I /FOR OFFICW; USE ONLY 000156 All marked b3 b6 b7C- IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNcLASSIFIED I /FOR OFFIGI:AL USB ( :n ,L¥ Dissemination is prohibited unless authorized pursuant to 50 USC 3033 ·- · 1 ttt1' ,), 1111 IN:-PI~TOin months. On 27 January 2014, the IC IG received supplemental data reducing the number of discrepant hours to eleven. (U I /FOUO) After further review of the data a ssociated with this preliminary inquiry. I recommPnd that this case be closed without further action by this office. (b)(3) (b )(6) (b)(?)(C) INVESTIGATOR Dissemination ts prohibited unless authorized pursuant to 50 USC 403-3h UNCLASSIFIED I / FOR OFFICft\L USS ONLY 000158 b3 b6 b7C - IG Subject b3 b6 b7C -IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFI ED ,.,p _( ;t, \JtTIO:!..- I TJ- • __ G _, ' I< \J (.,, J Ht. I:-;---L!.JCJ- :-,r . v;·-rq····. h''s D''"l"' -. .,. ~ _!-:~;-·:· ., r•J:-.. DC (.n·.~ 1._1_ '·! 20S: i MEMOHANDUM FOR RECORD SUBJECT: Correction to INV-2013-0070 Case-Closing Memorandum The file for case number INV-2013-0070 contains an incorrectly dated caseclosing memorandum. This Memorandum For The Record corrects the issue date of that document from 20 March 2013 to 20 March 2014. 1\o further action is required. (b)(3) (b )(6) (b)(7)(C) Date Assistant Inspector General. Investigations This docnmcnt is intended only for authorized recipients. Recipients may not further disseminate this tnfo'lnatton without the expr~ss p<'mtlsston of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain Inspector General st>nsitive informati on t hat is confidentiaL sensitive. work product or attorney-client p rivileged. or protected by Feckral law. including protection from public disclosure under the FrC'c dom of Information Act (FOIA). 5 USC ~ 552. Accordingly. the use. dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFI ED 000159 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-002.2 9. UNv~SSIFIED //FOR OFFICIAL USE Oi'u.Y Dissemination is prohibited unless authorized pursuant to 50 USC 3033 liE l:-\ EU t<; ' ~..oh Co i 11J" 20 MARCH 2013 (b)(3) (b)(6) (b}(7)(C) (U / / FOUO) MEMO FOR: AI (U/ / FOUO~ FROM: (U // FOUO~ b3 b6 b7E - IGTech SUBJECT: \ INV- b3 b6 2013-0070 b7C - IG Subject (U I f FOUOl On 27 FEB 14, the Investigations Division opened an investigation b3 on contractor employee due to 788 discrepant hours in b6 over the course of 13 months. b?C - IG Subject b3 b6 (b)(3) (b)(6) (b)(7)(C) (b)(3) (b)(6) (b)(7)(C) b3 b6 b7E - IG Tech (U/ / FOUO) ON 7 MAR 14, I N V - reviewed the contract and noted that the b7C - IG Witness contract requires a minimum of five trips per year to customer testing and evaluation sites, including Cape Canaveral, Guam, Denver, and Tucson. INV ~~ also consulted with General Counsel. related b7C - IG Subject that works in multiple locations, inclu~IARPA, NRO, and Airln Tech corporate offices. also informed I N V - that Airln Tech does not have entry/exit records or IT log-on information availab le. and infonned this office that b3 (U / f FOUO} On 7 MAR 14, both this matter was previously reviewed by (former) INV who b6 subsequently n otified TASC on 2 OCT 13 that the matter was closed. I N V - b7C - IG consulted w i t h - on 17 MAR 14, and she confirned that the matter Subject/Witness was closed during the preliminary inquiry. (U/ / FOUO) On 20 MAR 14, I N V - received and reviewed AiriN Tech Invoices for travel expenses, and other travel related documents. As noted on the secondary analysis (attached), a combination of travel records, eliminates 754 of the original 788 hours from contention. (U I /'POUO~ After further review of the data associated with this preliminary inquiry, I recol'mend that this case be closed without further action by this office . . ' ., . . " Dissem ination is prohibited unless authorized pursuant to 50 USC 3033 UNCLASSIFIED/ / FOR OFFICiAL USE ONLY 000160 b3 b6 b7E - IG Tech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. Dissemination is prohibited unless authorized pursuant to 50 USC§ 3033 I s L ":T 30 Jan 2014 (U I /POUO) MEMO FOR: (UI /FOUO} FROM: (U I /FOUO} SUBJECT: b3 bG b7C- IG subject INV- (b}(3) (b)(6) (b)(7)(C) 2013---0072 On 6 December 2013, the IC IG opened an inves tigation on due to 481.85 discrepant hou rs in over the course of one year. On 28 January 20 14, the IC IG received supplemental data negating all discrepant hours. (UifFOU OJ (UI /FOUO} After further review of the preliminary inquiry. I recommend that this case be closed without further action by this office. (b)(3) (b)(6) (b)(7)(C) Disse mination is prohib ited unless authorized pursuant to 50 USC § 3033 UNCLASSIFIED/ tFOUO 000161 b3 b6 b7C -IG Subject b7E- IG Tech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. Ul\~I..ASSIFIEDI /FOR OFPJCW; USE oNLY Dissemination is prohibited unless authorized pursuant to 50 USC§ 303 3 -·- · 0.11 E •W rtll· INSJH... t'T 1h. G~_,ERt\L tW T-..:1. r:~·•·' Ill. 1: I...IW·:. { ·~ c li\\Ml 'iTY .A1'1u:'\~ 01\'ISIO:\ 10 March 20 14 (U I / FOUO) MEMO FOR: b3 b6 b7C - IG Subj ect (U I / FOUO) FROM: INV- (U I I FOUO) SUBJECT: 2013-0073 b7C - IG Subject o-, 20 November 2013, the IC IG opened an investigation on due to 1.997 discrepant hours in over the course of fourteen m onths. The preliminary investigation revealed he only worked on ODNI contracts from 6 February 2013 to 13 J une 2013. On 10 March 201 4. the IC IG received s upplemen tal information. reducing the number of discrepant hours to two. (UI /FOUO} b3 b6 (U I /FOUO} Mter further review of this preliminary inquiry. I recommend that this case b e closed without further action by this office. (b)(3) (b){6) (b)(7)(C) Dissemin ation is prohibited unless authorized pursuant to 50 USC § 303 3 UNCLASSIFIED I / fr'Oft Ofi"FfCIAL USE ONLY 000162 b7E - IG Tech Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015..()0229. UNCLASSIF IED/ / FOR OFFTClAL USE ON'LY Dissemination is prohibited unless authorized pursuant to 50 USC 3033 I :'> I <.. 6 March 2014 AI (b )(3) (U/ / FOUO. FROM: INV- (b)(6) (b)(7)(C) (U I tpOUQ) SUBJECT: 201 -0074 (U / / FOU()t MEMO FOR: b3 b6 b7C - IG Subject (UI / FOUO} Upon discovering 1,278 discrepant hours charged from 1 June 2012 throu gh 31 July 2013 in a preliminary inquiry, the IC IG Investigations Division opened an investigation regarding on 20 November 2013. After reviewing additional evidence, this o ffice learned that charged her hours to approximately six contracts and worked at multiple locations (corporate and government) which negated all discrepant hours. (U/ /'FOU~ I recommend that this case be discontinued without further action. , ., . . .. (b)(3} (b }(6) (b)(7)(C) Dissemination is prohibited u nless authorized pursuant to 50 USC 403-3h UNCLASSIFIED/ / FOR OFFICIAL USE ONL¥ 000163 All marked b3 b6 b7C - IG Subject Approved for release by DONI on 7-19-2016, FOIA Case DF-2015-00229. UNt_;LASSWJEDI /FOR OFFICIAL USE 6NLY 11 •• 1 loi· w-: I 'I'E ,, , ' n - "r n t,, · .n 1 a:" ·1·. cl)· It! ' 1:-.i . r>- , ~ \ IJ t ~ .' ll \ I" 1 - \,J ,. , ... -,~<.:'1m.. nr · I); i. 1 10JUN 2014 (U I fFOUO} MEMO FOR: AlGI (V I 1-FOUO~ FROM: (U I IFOUO) SUBJECT: b3 b6 b7C - IG Subject b3 b6 b7C- IG Subject b3 b6 b7C- IG Subject (b )(3) (b)(6) (b)(7)(C} INV- 2013-0075 (U I IFOUO)-t>n 20 NOV 13, the Inspector General of the Intelligence Commwlity (IC IG}, Investigations Division opened a preliminary inquiry on as a result of labor mischarging analysis. The analysis revealed 954 discrepant hours from 1 JUN 12 and 30 JUL 13. b3 b6 b7C - IG Subject b7E -IG Tech (UI /FOUO} On 27 FEB 14, Investigator- received and reviewed the analysis of the mischarging and consulted \vith the COTR that has oversight of (b)(3) as well as Booze Allen Hamilton (BAH) Counsel (b)(6) Initial investigative steps indicated that travelled frequently to NRO (b)(7)(C) and NGA between 1 JUN 12 and 30 JUL 13. (UI /F()UO). On 3 MAR 14, Investigator requested data. On 16 MAY 14, NGA OIG proVided review. NGA 1, BAH ,, and BAH revealed was properly billlng the contract for 837 of the original954 hours in question. There remains 117 discrepant hours. (U 1/FOUOJ According to a 4 MAR 14 telephone call with is a part-time employee who bills several projects other than ODNIIIARPA projects, and has multiple worksites other than IARPA. and BAH for Department of Defense and Intelligence Community contracts from 1 J UN 12 to 30 JUL 13 show that bills multiple projects on a neardaily basis in addition to his work for IARPA. It is likely that further Tilis document is intended only for authorized recipients. Recipients may not further disseminate this information without the express pennission of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain Inspector General sensitive information that is confidential, s ensitive, work product or attorney-client privileged. or protected by Federal law. including protection from public disclosure under the Freedom of Information Act (FOIA). 5 USC§ 552. Accordingly. the use, dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNClASSIFIED I /FOR OFFICIAL USE ONL¥ 000164 b7E -IG Tech b3 b6 b7C - IG Subject b7E - IG Tech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFI ED investigation will further reduce the discrepancies to an amount that is negligible. (U I /FOU<»-After further review of the data associated with this prelimina.xy inquiry. I recommend that this case be closed without further action by this office. (b)(3) (b)(6) (b)(7)(C) ·~· f ~· eY: ~•• UNCLASSIFI ED 000165 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASS IFIED 0·• :~01 - ,_. • I'-S~'f'C :;r:(·:::XFR~l I:-.. t.~···;(:!1l- ot J!lrt"\rEIII', ~; t',t•1l\ll ' ' ' ' ·' -J1' ISh-, 20511 - ·~-~··-:-·: ·~,DC MEMOHANDUM FOR RECORD SUBJECT: Correction to INV-2013-0076 Case-Closing Memorandum The file for case number INV-2013-0076 contains an incorrectly dated caseclosing memorandum. This Memorandum For The Record corrects the issue date of that document from 4 March 2013 to 4 March 2014. I\o further action is required . (b)(3) (b}(6) (b)(7)(C) 1..0 """-" ~ L Q \ L Assistant Inspector General. Investigations This do<'llment is intended only for authorized recipients. Recipients may not further disseminate this info -mation without the express permission of tht> signatory or other Office of Inspc'<'tor General of the Intelligence Community personnel. This document may contain Inspector General sensitive Information that is confidential. sensitive. work product or attorney-client privileged. or protected by Federal law. including protection from publlc disclosure under t.he Freedom of Information Act (FOlA). 5 USC§ 552. Accordingly. the usc. dissemination. distribution or reprodu< tton of this information to or by unauthorized or uninlended recipients may be unlawful. UNCLASSIFI ED 000166 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNClASSIFIED I /FOR OFFICIAL USE ONL"t Dissemination is prohibited unless authorized pursuant to 50 USC 3033 I )PH ~ 1., JW iN~PE '101{ G t.NERt\1 () h r'[F l'Hi eJ(,~-.;u· Cn\! It Nl . t::STI• \ I I e:-;s DI\'ISI\.1 '' \\.'>\.'-'!liN ·r 1', pr. :!M I l 4 MARCH 2013 b-:-:'(-::-:-3 ) )-----, ('7:'( (U I /FOU()J MEMO FOR: (U/ /FOUO} FROM: (U/ / FOUO}-SUBJECT: b7E- IG Te<:h b7E - IG Tech (b)(6} (b)(7)(C) ~ b3 2013-0076 (U I /FOUO• On 20 NOV 13, the IC IG opened an investigation on due to 1905 discrepant hours in data over the course of 16 months. On 4 MAR 14. Investigator reviewed the data in conjunction with data and data. reducing the discrepancy to zero hours. (U I fFOUO} After further review of the data associated with this preliminary inquiry. I recommend that this case be closed without further action by this (b)(3) (b)(6) (b)(?)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 3033 UNCLASSIFIED I /FOR OFFICIAL USE ONLY 000167 b6 b7C -IG Subject b3 b6 b7C- IG Subject b7E - IG Tech (b)(3) (b)(6) (b){?){C) Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. MEMORANilUM FOR RECORD S UBJECT: Correction to INV-2013-0077 Case-Closing Memorandu m {U) The flle for case number INV-2013-0077 contains an incorrectly dated case-closing memorandum. Tills Memorandum For The Record corrects the issue date of that document from 21 March 2014 to February 24, 2015. (U) N) further action is required. r.:(b~)~(::-:-)-.., 3 (b)(6) (b)(7)(C) \ 'Z.J Date Assistant Inspector General, Investigations 000168 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIEDI / FOR OFFICIRL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 3033 2 1 MAR 14 (b)(3) (b)(6) (b)(7)(C) (U I I FOUO) MEMO FOR: (UI I FOUO) FROM: INV (U I }'1"0Uei SUBJECT: 2013-0077 ( All marked (U I /FOUO} On 20 NOV 13, the IC IG opened a preliminary inquiry into alleged labor mischarging by . After further review of the data associated with this investigation. I recommend that this case be closed without further action by this office. (b)(3) (b)(6) (b)(?)(C) INVI '..,TIGATOR Dissemination is prohibited unless authorized pursu ant to 50 USC 403-3h UNClASSIFIED I /FOR OFFJCW, USE Ol\11 Y 000169 b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNCLASSIFIED )I !·It:!-.'·'' I JH: JN~t't:'CH'R Gt:"-- EHAI l)F rH r: lN\ Fl\'1 '\' Tr-;---r U(;~~~n·. CnMMW>iiT' c:A . ON'i 0!\ 1~1ll'' .• . ;\t' I'(,,.... ')C ::!05 l MEMORANDUM FOR RECORD SUBJECT: Correction to INV-2013-0078 Case-Closing Memorandum The file for case number INV-2013-0078 contains an incorrectly numbered case-closing mem orandum. This Memorandum For The Record corrects the case number of that document from lNV-2014-0078 to INV-2013-0078. No further action is (b)(3) (b)(6) (b)(7)(C) Assistant Inspector General. Investigations This document is intended only for authorized recipients. Recipients may not further disseminate this information without the express permission of the signatory or other Office of Inspector General of the Intelligence Commwlity personnel. This document may contain Inspector General sensitive infoi111aUon t hat is confidential, sensitive, work product or attorney-client privileged. or protected by Federal law. includmg protection from public disclosure under the Freedom of Information Act (FOIA), 5 USC§ 552. Accordingly, the use, dissemination. distribution or reproduction of this infonnation to or by unauthorized o'r unintended recipients may be unlawful. UNCLASSIFIED 000170 Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCIASSIF1EDI / FOR OFfi'fCI:AL USE ONLY I) Wt ("!" • i hSi' r 1~ \ GE"l l R \ I i"'F Ti t ••tol\~ l.1G ~.NC:f. Ct~Mt:t ~II , .,._,..! ~:\ l'iL'/10' 0 !\ ' :iiO:'\ •' . ' I I' I I ' - l'>C 2 - i 2 1 March 2014 (UI /FOU~ MEMO FOR: b3 b6 b7C - IG Subject (b)(3) (b)(6) (b)(7)(C) (UI jFOUOt FROM: INV - (UI I FOUot Sl ~CT: 2014-0078 (UI/FOUO) On 20 November 2013, the IC IG opened a preliminary inquiry regarding upon discovering discrepant hours charged to the ODNI contract from 1 J une 20 12 through 3 1 July 2013. Upon reviewing s u pplemental eviden ce. the IC IG leam.ed that divided his time between LX and his contrac tor facility. His revealed tha t he worked all h ours charged (U I /FOUO} After further review of the data associated With this preliminary inqui.Iy, I recommend that this case be discontinued without further action by this office. (b)(3) (b)(6) (b)(7)(C) This document is inten ded only for authorized recipients. Recipients may not further disseminate this information without the express permission of the s ignatory or other Office of Inspector General of the intelligence Community personnel. This document may contain lnspector General sensitive information that is confidential, sen s itiVe. work product or attorney-client priVileged. or p rotected by Federal law. including protection from public disclos ure under the Freedom of Information Act (FOIA), 5 USC § 552. Accordingly, the use. dissemination. distribution or reproduction of this infonnation to or by unauthorized or unintended recipients may be unlawful. UNClASSIFIED I / FOR OFFICIAL USE ONLY 000171 b3 b6 b7C- IG Subject b3 b6 b7C- IG Subject b7E -IG Tech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. MEMORANDCM FOR RECORD SUBJECT: Correction to INV-2013-0079, INV-2014-0003-0004 Case-Closing Memorandum (U) The file for case numbers INV-2013-0079, INV-2014-0003, and INV20 14-0004 contains an incorrectly dated case-closing memorandum. This Memorandum For The Record corrects the issue date of that document from 01 August 2014 to February 24, 2015. (b )(3) (b)(6J (b)(7)(C) Investigations 000172 Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNClASSIFIEDI /FOR OFFfCtA:L USE ONb¥ Dissemination is prohibited unless authorized pursuant to 50 USC 3033 '- ".:' . ..,.. .. 1 AUG 14 (U I /FOUO~ (U I / FOUO} FROM: (U 1/FOI IO) (b)(3) (b)(6) (b)(?)(C) MEMO FOR: AlGI scs ·Ecr: INV- 2013-0079 DCIS Support (DIA Armored Car Case) 2014-0003 DCIS Support (NGA Ethics Case) 2014-0004 DCIS Support (NGA Ethics PU (UI / FOUO) From 12 DEC 13 to 1 APR 14, the IC IG Opened the subject INV numbers to document support to the Defense Criminal lnvAstlgative Service activities at the Defense Intelligence Agency CDIA) and National Geo"'patial lntelli#!f"nce Agency (NGA). (UI /FOUO) As of 1 AUG 14. DCIS has declined further assistance on the subjecl issues. Recommend the INV numbers be closed out without further action by this office. (b)(3) (b)(6) (b)(?)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNClASSIFIED I / FOR OFFICh\L USE ONL¥ 000173 Approved for release by ODNI on 7-19-2016. FOJA Case DF-2015-00229. UNCLASSIFIED I JFQUO" IH )1\...;rt-:{ l• >R GENV.I11 \\'\-.Ill'.,_,. ' T (; :lt);; i} ·r:----:,~Xt'l•, l(b)(3) MEMORANDUM FOR: THRU: FROM: (b)(3) (b)(6) (b)(7)(C) I 12 February 2014 Intelli Community Chief Information Officer, Office of the ~••,.t,,rof National Intelligence ant Inspector General for Investigations Office of ·~··· 6~ .......... Community Inspector General Hotline Manager Office of the lnteJiigence Community Inspector General b3 DNIICIO/SP/GPO/CSS SUBJECT: (UIIFOUO) On 7 JAN 2014, an employee of the Office of the Chief Information Office of the IC (CIO) informed the Intelligence Community Inspector General (IC lG) Investigations Division that a CIO employee, , may be recording time and attendance improperly. b6 b7C- IG Subject b3 b6 7 b C- JG Subject (U/IFOUO) Based on this complaint the Investigations Division examined Ms. ~~ time and attendance records. We discovered that may have submitted inaccurate time and b7 c -JG Subject attendance records between 8 JAN 2012 and 8 JAN 2014. However, the discrepancies we fou nd were not significant enough to warrant a fo m al investigation by this office. Therefore, we are forwarding this matter to you for any inquiry you deem appropriate. (b)(3) (b}(6) (b)(7)(C) UNCLASSIFIED I /FOUO 1 000174 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. vir cr. o:: ·:·ri=: ;i.;;>Pr:c:·!'Gil G:::-~r:c\.~:.. Gr T:-.r.: !NVF.s·.:-IGJ'.TIO~..:s -r::.i.a G:£:'-'C.E COMM.C:'·- -.- DI V:SI::>N MEMORANDt:M FOR RECORD SUBJECT: Correction to INV-2013-0079, INV-2014-0003-0004 Case-Closing Memorandum (U) The me for case numbers INV-2013-0079, INV-2014-0003, and INV2014-0004 contains an incorrectly dated case-closing memorandum. This Memorandum For The Record corrects the issue date of that document from 01 August 2)14 to Februazy 24, 2015. (b)(3) (b)(6) (b)(7)(C) Assistant Inspector General, lnvestigatbns 000175 Approved for release by ODNI on 7- 19-2016. FOIA Case DF-2015-00229. UNClASSiFiED I / POft OPFICIAL USE OP\~Y Dissemination is prohibited unless a uthorized pursuant to 50 USC 3033 Onto: ~r ·~ m: I;~:;p~c:c ~ G:-:~ •P .-.: vr- :··:t: .1:,;: HLIG::::.;~, f CG~'i\. L , ·. r:· I Y'F.S riGA'l lC~S G JVlSi O?\ "':•. ·ASEiKGTON. DC :ZOSlj (b)(3) (b)(6) (b)(7)(C) (U I / l'OUe) MEMO FOR: 1 AUG 14 (U I IFOUO} FROM: (U I f FOU et S UBJECf: 2013-0079 DClS Support (DIAArmored Car Case) 2014-0003 DCIS Support (NGA Ethics Case) 2014-0004 DCIS Support (NGA Ethics PI) (U/ ;roue) From 12 DEC 13 to 1 APR 14. the IC IG Opened the subject INV numbers to document support to the Defense Criminal Investigative Service activities at the Defense Intelligence Agency (DIA) and National Geospatial Intelligence Agency (NGA) . (U/ /FOUO) As of 1 AUG 14. DCIS has declined further assistance on the subject Issues. Recommend the INV numbers be closed out Without further action by this office. (b)(3) (b}(6) (b)(7)(C) Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNClASSIFIEDI /FOR OFFICIAL USE ONLY 000176 Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. ·-·-- I NvF:S'!lG/\'110!\:S DIV:SION MEMORANDUM FOR RECORD SUBJECT: Correction to INV-2013-0079, INV-2014-0003-0004 Case-Closing Memorandum (U) The flle for case numbers INV-2013-0079, INV-2014-0003, and INV2014-0004 contains an incorrectly dated case-closing memorandum. This Memorandu.- n For The Record corrects the issue date of that document from 01 August 2014 to February 24, 2015. (U) l\ o further action is req uired. (b)(3) (b)(6) (b )(7)(C) ''L ~...s \\.p Date Investigations 000177 Approved for release by ODNI on 7-19-2016, FOIA Case OF-2015-00229. UNClASSIFIED I /fOR OFFICIAL USE ONtY Dissemination is prohibited unless authorized pursuant to 50 USC 3033 Orr J C~ , ; r ·: Jl t: I: ·::?.:.( 7 ·· -:. S .:: :-. r: ~ .~. : u r -:··:c. ;;-..·: H : .. 'FS I'IGA'l !0:-.:S Lil; :::IICr Cc.:vn,L v-r: £: f VlSI O . . (b)(3) (UI tfi"()Ue} MEMO FOR: (b )(6) (b)(7)(C) AlGI 1 AUG 14 (U I /FOUO) FROM: (U I I FOUO) SUBJECf: 2013-0079 DCIS Support (DlAAnnored Car Case) 2014-0003 DCIS Support (NGA Ethics Case} 201 4-0004 DCIS Support (NGA Ethics PO (UI I YOU()t From 12 DEC 13 to 1 APR 14. the IC IG Opened the subject INV numbers to docum ent su pport to the Defense Criminal Inves tiga tive Sen1ce activities at the Defense Intelligence Agency (DIA) and National Geospatial Intelligence Agency (NGA). (UI /FOUO) As of 1 AUG 14, DCIS has declined further assistance on the subject Issues. Recommend the !NV numbers be closed out without further action by thJs office. (b}(3) (b)(6) (b}(7)(C) Dtssemlnatlon Is prohibited unless authoriZed pursuant to 50 USC 403-3h UNCLASSIFIED / /FOR eFFIClAL USE ONLY 000178 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. MEMORANDUM FOR RECORD SUBJECT: Correction to INV-2014-0005 Case-Closing Memorandum (U) ·n:e file for case number INV-2014-0005 contains an incorrectly dated case-closing memorandum . This Memorandum For The Record corrects the issue date of that document from 22 April 2014 to February 24. 2015. (b )(3) (b)(6) (b)(7)(C) Assistant In.;.pector Investigations 000179 Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNCLASSIFIEDI / FOR OFFICIAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 3033 S :· iJ Co ;:;.i THF: ::\;;p;:.c:·::J~. -:i l·;( t. F. ', ~ C I- 1 :1~.1:.:-EL:..iGF:~~~r: CO :v1~,;t:i..: i l' Y f :. ~~~ -rl<",;. t ::"J'l~. :) • ,•J~IC.•;\ ';":..; ·,.,;c;·:c..: (U I fFOUOl MEMO FOR: AlGI (U/ /FOUO} FROM: INV- (Uj / FOUOt S UBJECT: 2014-0005 ::c 205 : 1 {b)(3) (b)(6) (b)(7)(C) 22APR 14 b3 b6 b7C- IG Subj ect {U I fFOUOl "On 22 APR 14. the IC IG opened a preliminary inquiry into alleged labor mischarging by '· After further review of the data associated with this investigation. I recommend that this case be closed without further action by this office . (b)(3) (b)(6) Cb)(7)(C) Dissemina tion ts prohibited unless authoriZed pursuant to 50 USC 403-3h UNCLASSIFIED I / FOR OFFICIAL USE ONLY 000180 b3 b6 b7C - JG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. MEMORANDUM FOR RECORD SUBJECf: Correction to INV-201 4-0006 Case-Closing Memorandum (U) Tne file for case n umber INV-2014-0006 contains an incorrectly dated case-closing memorand um. This Memorandum For The Rrcord corrects the issue date of that document from 22 Aprll2014 to February 24. 2015. (U) No further action is required. (b)(3) (b)(6) (b)(7)(C) t ~J4 ._) Date Assistant Inspector General, Investigaticns 000181 '" Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNClASSIFIED / / FOR OFF ICtAL USE ONLY Dissemination is prohibited unless authorized pursuant to 50 USC 3033 0FT: C E O i IHF l."SPECTO.~ G::~'E~A : I:-· o; THf I :-.:TELLI.:F.:\U : C0:-.1VIL'='f7'' !O:"S .Dlv ·s;n=' : ,' A5H ' .\"",, C;:', . ~)C 2051 1 (U I /FOU01 MEMO FOR: (UI /FOUe} I'~ROM : (U I /FOUO) SUBJEi '.' F.~'i iG A'! !O.':S C : \ ' IS:Ol\' '0.. ;,s r-:. ;)IG~OJ\, D:.. 205: : (U I /FOUe t MEMO FOR: (U I I ~OUe} FROM: (U I I FOUe} SUBJECT: (b)(3) (b)(6) (b)(7)(C) AIGI INV- 22 APR 14 b3 b6 b7C - IG Subject 20 14-0007 (UI / FOUO) On 31 MAR 14, the IC IG opened a preliminary inquiry into alleged labor mischarging by . After further review of the data associa ted with this investigation , I recommend that this case be closed without further action by this office. (b)(3) (b )(6) (b )(7)(C } Dissemination is prohibited unless authorized pursuant to 50 USC 403-3h UNClASSIFIED/ / FOR OFFICI:AL USE ONhY 000183 b3 b6 b7C- IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. 1' .. . - .. r· .1.\ •' ,.., ..;, j " t>oJ.·-. • " .~...., ••• • . ~· .- - - ~ . .. ,: V .1. W.t ··-·:..;coo::, !.j( 205 L MEMORANDUM FOR RECORD SUBJEcr: Correction to INV-2014-0007 Case-Closing Memorandum The ftle for case number INV-2014-0007 contains an inco-ectiy dated case-closing memorandum. Tilis Memorandum For The Record corrects the issue date of that document from 22 April2014 to February 24. 2015. (U) (U) Nc furth er action is required. (b)(3) (b )(6) (b)(7)(C) Assistant Inspector General. Investigations 000184 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ ~ I j I. ... J;'oo,., 10 September 20 14 (U/ ~MEMO FOR: (U I /FOUE» FROM: Investigator- (U I /-FGHeT SUBJECT: 2014-00 10 (b)(3) (b)(6) (b)(7)(C) b3 b6 b7C -IG Subject (U/ /-F-GHet-Background. On 19 June 2014, the IC IG opened an investigation of based on a referral from the ODNT Ethics Official & Deputy General Counsel {Acquisition. m ay have Technology & Management). This memo alleged that violated 18 USC§ 208. According to the referral. m other-inlaw passed away in 2011. As a result of his mother-in-law's death, his wife inherited a s tock portfolio worth several million dollars, to include 500 shares of stock in Honeywell, valued at approximately $23,500. The referral stated the current value of these Honeywell holdings is approximately $45,500. (U/ /~ serves as the Program Manager for IARPA's Strengthening Human Adaptive Reasoning and Problem-Solving (SHARP) program. participated in the selection of Honeywell as one of three prime contractors for the SHARP program in September 2013. did not recuse himself from this selection process. nor did he seek a wajver under 18 U.S.C § 208 (b)(l). allegedly reported his wife's portfolio. including the Honeywell stocks, in his 2012 and 2013 Executive Branch Personnel Public Financial Disclosure Report (OGE- This document is intended only for authorized recipients. Recipients may not further disseminate this information without the express p<'rmission of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain Inspector General sensitive infonnation that is confidential. sensitive. work product or attorney-client privileged. or protected by Federal law. including protection from public disclosure under the Freedom of InfonnaUon Act (FOIA). 5 USC § 552. Accordtn~y. the use. dissemination. distrtbution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFIED/ /¥060 000185 All marked b3 b6 b7C- IG Subject All marked b3 b6 b7C - IG Subject Approved for release by ODNI on 7-19-2016, FOIA Cas~ DF-2015-00229. UNCLASSIFIED/ /FOUG- 278). It was during the completion of his 2013 form that discovered the potential conflict of interest. At that time, he reportedly informed his supervisor, and ODNI OGC regarding this issue. This matter was subsequently referred to the IC 10 as a potential violation of 18 U.S.C § 208. (U//FOUO) Violation. 18 U.S.C. § 208- Acts Affecting a Personal Financial Interest, states, "(a) whoever, being an officer or employee of the executive branch of the United States Government...partlcipates personally and substantially as a Government officer· or employee. through decision. approval, disapproval, recommendation... in a contract ... in which, to his knowledge ...his spouse... has a financial interest- shall be subject to the penalties set forth in section 216 of this title." (UI /FOU~ Investigation. The investiga tion included a review of, but was not limited to: interviews confirming his participation in the selection of Honeywell as one of three primary contractors for the SHARP contract; OGE-278 forms for 2012 and 2013 in which reported his wife's ownership of Honeywell stock; signed Financial Interest Statement (FIS) in which failed to report a conflict of interest regarding Honeywell; emails to and from OGC which explained his wife's inheritance of Honeywell stock and his subsequent participation in the selection of Honeywell; as well as emails to and from OGC regarding realization after the fact that his wife still owned Honeywell stock. Interviews included: (Legal Counsel for IARPA and SHARP source selection). and ( supervisor and Source Selection Authority for SHARP). (U/ fF()UO)- On 2 July 2014 and 29 July 2014, the IC IG interviewed and . respectively. During their interviews. and confmned that they were aware that participated as Chair of the Source Selection Evaluation Board (SSEB) for the SHARP contract; read Honeywells' proposal; and evaluated Honeywell along with the other members of the SSEB. Both and advised that briefed Honeywells' selection as one of the prime contractors to the Source Selection Authority (SSA), 1), and the Contracts Officer (~ !ARPA Acquisition Chief ( and comrrmed that they personally spoke to after he allegedly realized his "''ife's ownership of Honeywell stock in May 2014. and both confinned in their respective interviews that they reviewed FIS, and were aware he had n ot reported the conflict of interest With Honeywell. and acknowledged had Additionally, both realized it, the proper place to list the conflict of interest would have been 2 UNCLASSIFIED// ~ 000186 b3 b6 b7C -IG Subject b3 b6 b7C -IG Subject & Witnesses b3 b6 b7C- IG Subject & Witnesses - Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. .. UNCLASSIFIED//FOOCr the FIS. They added he would then have been required to recuse himself from any participation in the evaluation and selection of Honeywell. (UI iFOU~ They further noted that according to he does not maintain -and had never maintained-access to his wife's holdings per a prenuptial agreement. According to and s tated he was provided a list of his wife's holdings at the time he filled out his 2012 and 2013 OGE 278 forms and used that list to fill out the forms. However, according to the interviewees, contended he did not realize prior to his participation in the evaluation of Honeywells' proposal that a conflict of interest existed. Both Witnesses vertfied that upon discovering the potential violation. selfreported this financial conflict of interest on the same day his 2013 OGE278 form was completed (9 May 2014}. (U I /FOUO) IC IG reviewed a message to , ODNI OGC, in which indicated he was filling out this fonn on 9 May 2014, and another in which he verified the time in which his meeting would occur with and that same day. In addition, our review of the completed 2013 OGE 278 form verified that submitted it on 9 May 2014. b3 b6 b7C - IG Subject & Witnesses b3 b6 b7C - IG Subject & Witnesses b3 (U I / FOUOJ Both and offered that reported a conflict of interest with University of Maryland (UM}, where his wife attended as a graduate student, and had subsequently listed it on his FIS. (U/ /FOUOJ On 27 June 2014, the IC IG interviewed stated during her interview that she talked to about this matter on the phone and received a follow up email in which he explained what had occurred. confirmed during her interview the accuracy of the events detailed by and She also noted that and immediately reported this incident to her. forwarded an email from which was sent to her on 12 May 2014, which described this incident. stated she advised to recuse himself from any further participation as Program Manager for Honeywell on the SHARP contract; requested a reView of the source selection process by and suggested that have his Wife divest the Honeywell stock. advised that complied With all of her suggestions on this matte r and forwarded an email he sent her from Merrill Lynch on 2 June 2014, confirming his wife's divesture of the Honeywell stock. b6 blC - tG Subject & Witnesses b3 b6 b7C - IG Subject & Witnesses b3 b6 (UitffiUQ). IC IG investigations reviewed the email sent to In this email. stated his wife inherited the 3 UNCLASSIFIED/ fFOUO 000187 by b7C - IG Subject & Witnesses Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. -. - Honeywell stock in August 2011 after her mother passed away, and that the stocks in question transferred to his wife's portfolio. stated :~ that he has no access to the portfolio as required by his and his wife's b 7c _16 subject prenuptial agreement. In the email, explained that he knew to & Witnesses report the Honeywell stock on his 2012 OGE 278 form in May 2013, because his wife provided him with a written list of her holdings. His email further stated that he realized the financial conflict of interest while inputting his wife's additions on 9 May 2014 and immediately brought it to and attention. (UI fF-E*:JG} On 21 August 2014, the IC IG interviewed During his interview, confinned the above information and verified the OGE 278s as well as FTS fonns obtained by the IC IG. He also provided the following information: o He admitted that he should have paid more attention to his wife's holdings and that the FIS was the proper place to report the potential conflict of interest with Honeywell. • He explained that while he is intimately aware of his financial holdings, that he is not aware of his wife's due to the existing prenuptial agreement. o On several occasions, he described this incident as an honest mistake and oversight on his part and adamantly denied that he knew his wife had Honeywell s tock prior to participating in the source selection process involving Honeywell. (U I !FeY~ Findings: participated personally and substantially in the evaluation and selection of Honeywell as a primary contractor for SHARP. reported Honeywell on his 2012 OGE278 prtor to participating in the SSEB for SHARP which indicates his wife had a financial interest at the time. However. an evaluation of the available evidence indicates that he self-reported the conflict of interes t immediately when filling out his 2013 OGE-278, which supports his claim that he frrst realized the financial conflict of interest at that time . No additional evidence was discovered to r efu te contention that he did not realize at the time of his participation in the SHARP S SEB that his wife had Honeywell stock. due to the large size of the p ortfolio and the existing prenuptial a greement. (UI /F'OUe) The available evidence does not substantiate that participated as a government officer in a matter which he knew his spouse had a fmancial interest. I recommend this matter be closed with no further action by this office. The U.S. Attomey's Office for the Eastern 4 UNCLASSIFI ED//1'000 000188 b3 b6 b7C- IG Subject b3 b6 b7C • IG Subject b3 b6 b7C • IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. - . UNCLASS IFIED / / FOUO District of Virginia declined to prosecute this matter on September 9, 14. (b)(3) (b )(6) (b)(?)(C) 5 UNCLASSIFIED/{FOUO 000189 Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED ~~h H(. o~· lT!.: Il'SPEC:HIK Cl.l'IFR,'. IY\;\ 1=: 01' Tift: lNTT·:I.I. c;j-:NU, Cl JM,\H NIT\ ;,q 10~1\ DlvlSlO"l \'; \S •1:\il.Hl!", DC 205 •• MEMORANDUM FOR RECORD SUBJECf: Correction t.o INV-2013-0064 Case-Referral Memorandum The me for case number INV-2013-0064 contains an incorrectly dated casereferral memorandum. This Memorandum For The Record corrects the issue date of that document from 9 February 20 14 to 9 February 2015. (b)(3} (b)(6) (b){7)(C) zA~'-4 1.0\\J Assistant Inspector General. Investigations This document is intended only for authorized recipients. Recipients may not further disseminate this information without lhe express permission of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain In spector General sensitive information that is confidential, sensitive, work product or attorney-client privileged, or protected by l"ederal law. including protection from public disclosure under the Freedom of Information Act (FOJA). 5 USC§ 552. Accordingly. the use. dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawfuL UNCLASSIFIED 000190 _... .. 9 February 2014 (b)(3) (b)(6) (b)(7)(C) FROM: - A l G I , IC IG SUBJECT: Referral-IC IG Inquiry 2013-0064 (U I ~e IC IG conducted an inquiry that determined there were time and attendance (T&A) discrepancies associated with ( an ODNI/DDNI-H/NIC/S&T employee. l1e IC IG is referring this matter to you for management consideration. (U /1FOUot The lC IG conducted this inquiry due to an anonymous complaint that did not work her scheduled hours. An analysis of time and attendance practices for the period 1 August 2011 through 9 August 2013 revealed that possibly claimed 412 hours of unearned compensation. (b)(3) (b)(6) (b)(7)(C) (UffFOUO) ~further information, please contact lC IG Investigato r _ . . . . . . . a t - (secure). (b)(3) (b)(6) (b)(7){C) Assistant Inspector General for Investigations This document is intended only for authorized recipients. Recipients may nol further disseminate this lnfonnation without the express pennission of the signatory or other Office of lnspe<-tor General of the Intelligence Community personnel. This document may contain Inspector General s enc;itive information that is confidential. sensitive. work product or attorney-clit>nt privileged. or protected by Federal law. including protection f:-o m public d isclosure under the Freed om of Information Act (FOIAJ. 5 USC§ 552. AccorI9Uak rrs;lt 9Dfkv 000192 b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject b3 bG b7C - IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIFI ED/ ;'Pen;e 0 "'-"Wf: o.-· TEE Js_ -,;-:;l'TO.K GE.\!ERAL ')r THE biTELLlG£1\iC£ COM~JL;:\J!1Y o"1sro!' I'\\=:snGATJn'IL¥ 000197 b3 b6 b7C IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/I rei\ et I ICftii'L !IJ:3f!! ONCI Dissemination is prohibited unless authorized pursuant to 50 USC 3033 ( H'' • • ·" -f.. • l'l51JEC''I)tt G l:'\ R 1.1 <.'f THE !"<~r· I (E"lt"r· 1'\t\ ::.:. Tl Y\ . 5 ·, T .)'\5 I • ; ' - r '\ C•: \1)-LI. ~I q D!' .,. '(•'\ 1)(. .:!051i 26 January 2015 (U I /'FOUO} MEMO FOR: (UI /FOU()J FROM: (U I fFOUO) SUBJECT: INVAlGI r.-:-( b-:-:' )( 3-=-:-)- . . , (b)(6) (b)(7)(C) 2014-0016 All marked b3 (UI / FOUO) On 3 December 2014. the IC IG opened an investigation on b6 due to potential false reporting of timekeeping and misuse of government IT Systems over the course of 10 months. b7C - IG subject (UI /FOUO) After b3 b6 this office detennined that no further investigation was necessary. b7E - IG Tech (b)(3) (b)(6) (b)(7)(C) INVESTIGATOR Dissemination is prohibited unless authorized pursuant to 50 USC 3033 UNCLASSIFIED/;'EOP OEEW'H PSG Otdom of Information Act (FOIA). 5 U.S.C. § 552. Accordingly. the usc, dissemination. dis tribution or reproduction of this information to or by unautr orized or unintended recipients m ay be unlawful. UNCLASSIFIED/;'EAP OFSrcpr USE mg lC 000199 b3 b6 b7C • IG Subject b7E Approved for release by ODNI on 7-19-2016, FOIA Case OF-2015-00229. UNCLASSIFIED/ /P'QR Q1?I?I9Ihil W8B 8U&Y Investigations, dated 15 November 2011 , set forth by the Council of the Inspectors General on Int egrity and Efficiency. (U I /FOUO) APPLICABLE lAW; (VI fFOUO) 18 U.S.C. §1001. False Statements. {UI IFOUO) 31 U.S.C. § 3729, False Claims. ISSUE PRESENTED: Whether engaged in labor mischarging in b3 b6 violation of law. b7C- IG Subject (V I I FOUO) ANALYSIS: (VI IFOUO} .---~-~--- b3 b6 b7E- IGTech of all contract employees in ODNI facilities. led to a These steps led to a preliminary fmding of approximately 191 discrepant claimed hours and :~ formal investigation into time and attendance. A b7E-IG Tech reduced the preliminary discrepancy to 123 hours. (U/ /FOUO} IC IG INV interviewed on 23 March 2015, during which his discrepant hours were discussed. During the interview stated that he took smoke breaks and worked from home with the authorization of his BAH team lead. further stated that if he finished his work for the day he would leave early but bill an additional 15-30 minutes of time to round out his hours for the day. would occasionally work from a BAH facility. time for which he was credited in the analysis. (UI /FOUO) In the course of a related investigation. IC IG INV interviewed several ODNI and BAH employees who all stated that the RIM task on which was assigned had to be completed at MS2 or at BAH. and all were unaware of any arrangement or directive to work from home, unless the govemment was closed. (U I /FOUO} Based on the information ga thered during this investigation. allegations that mischarged labor costs for 123.5 hours are substantiated. 2 UNCLASSI FIED/ / i'iR i s e I liMY 8 81!1 l Uis• 000200 b3 b6 b7C - IG Subject b3 b6 b7C • IG Subject b3 b6 b7C - IG Subj ect Approved for release by OONI on 7-19-2016, FOIA Case OF-2015-00229. UNCLASSIFIED//P8ft 8Pi?!@IM 8@!il 8U!!il CONCLUSION: (U I / ffiUO) falsely charged approximately 123.5 hours from 31 October 2013 to 30 September 2014. He had a billing rate of$87.04 per hour. The total amount of mischarging is approximately $10,706. Prepared By: Approved By: Assistant Inspector General ~~~[!~ or Investigations (b)(3) (b)(6) (b)(7)(C) 3 UNCLASSIFIED/ ;'POi Oi'i'IGP k Pii ®JlkZT 000201 b3 b6 b7C • IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. SBCRB'f/ /NOFOR:N 01""'1CE OF - IE lN<:;PCf'TOR G sl\-ERAL OF THE ll.\'T""LL1GENCE CUMMU~n·y IN ' 'ESTJGAno;-:s DIV1SlON \V.i.Sl II \JGTO:'\, DC 20511 19 March 2015 Revised 23 July 2015 REPORT OF INVESTIGATION CASE NUMBER: (U I /FOUO} 2014-0018 SUBJECT: {U I /F'OUO) b3 b6 b7C - IG Subject {AIN: ALLEGATION: {U //FOUO) Contractor Employee Time and Attendance Fraud BACKGROUND: {U I / FeUO}-The lntelligence Community Ins pector General (IC IG) Investigations Division (INV) identified time-keeping discrepancies for i) during During the period examined by IC IG INV, KPMG working on ODNI contract b3 b6 b7C- IG Subject b7E - IG TECH was an employee of ~ (U1 / FeB€>} The data analyzed indicated that was not likely present b3 at his assigned worksite for the full period billed to the contract. ~;c 16 subject showed that from 31 October 2013 to b7E-JGTECH 6 February 2015, billed the government 516.25 labor hours for which h e was not present. TI1is document is intended only for author1zed recipients. Recipients may not further disseminate this information without the express permission of the signatory or other Office of Inspector General of the lnteUigencc Community personnel. This document may contain Inspector General sensitive information that is confidential. sensitive, work product or attorney-client privileged, or proteded by Federal law. including protection from public disclosure under the Freedom of Information Act (FOIA). 5 U.S.C. § 552. Accordingly. the use, dissemination, distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. S:iC:Ri:T//NOFOR.N 000202 _ Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. SECRET//NOFORN b3 (U I / FOUOl From 31 October 2013 to 31 March 20 14 had a billing ~~c . 16 subject rate of $1 73.88 per hour and 166.25 discrepant hours for a sub-total of $28,907.55: from 1 April 2014 to 6 February 2015 he had a billing rate of $173. 19 per hour and 350 discrepant hours for a sub-total of$60,616.50. The total amount m.ischarged is estimated at $89,524.05. AUTHORITY: (UI / FOUO) IC IG INV conducted this investigation pursuant to 50 U.S.C. § 3033, Inspector General of the Intelligence Corroru.mity, effective 7 October 2010: ODNI Instruction 10.34. Offtce of the Inspector General of the Intelligence Community, dated 22 September 2013; and, Quality Standards for Investigations, dated 15 November 2011. set forth by the Council of the Inspectors General on lntegrity and Efficiency. APPLICABLE LAW: (UI /FOUO) 18 U.S.C. §1001. False Statements. (UI /FOUO) 31 U.S.C. § 3729, False Claims. ISSUE PRESENTED: (U I /FOUO) ~.vhether mischarged his labor costs from 31 October 20 13 to 6 February 2015 in violation of law. b3 b6 b 7 c- 16 Subject ANALYSIS: {S//NF) tC IG identified time and attendance discrepancy through ~! his time and attendance led to a formal investigation of his activities during the discrepant hours. These steps confirmed the preliminary finding of approximately 516.25 discrepant claimed hours. b7C • IG Subject b7E · IG TECH b3 (S//Nf?) Direct evidence from verified his absences as not work related and confirmed lhat he mischarged his labor costs from 31 October 2013 to 6 February 2015 in violation of law. b6 b 7C - IG Subject b7E- IG TECH b3 (S//NPJ Testimonial evidence from an interview on 4 March 2015 also confumed thai he mischarged his labor costs from 31 October 2013 ~~C - IGSubject to 6 February 2015 in violation of law. was shown a daily accounting of his discrepant hours, as well as the total figure of 516.25 hours. 2 000203 Approved for release by ODNI on 7-19-2016, FOIA Case DF-201~00229. SECRE'f//NO!i"ORN The time and attendance analysis process was thoroughly explained and he acknowledg~d that he understood. In response, he stated that he did not realize his mischarging was that bad; "I gu ess I didn't do a good job tracking my hours''. He was presented data that supported a discrepancy of 516.25 hours and was provided an explanation which identified a pattern of arriving late, taking long lunches. and leaving. He responded, ..Obviously, it's true. Yeah. That's what's written down and that's what's .. .it's hard to argue against." He also acknowledged that he was responsible for the input of his hours worked which were determined to b e falsely billed. He apologized and asked how he can rectify the situation. (U I /FOUO) attempted to mitigate the discrepant hours by advising IC IG INV that he was used to only working on Fixed Price Contracts and that he had the habit of recording eight hours a day. IC IG INV then informed that the review covered 259 days, and out of those 259 days he overbilled the government on all but six days. He did not provide a rebuttal to this evidence. (U I / FOUe} Outing the interview it appeared that was very forthcoming in answering the questions and did not try to deceive the government with his responses. He agreed with the summary of discrepant hours and the reasoning and the pattern that was presented to him . b3 b6 b7C - IG Subject b3 b6 b7C - IG Subject CONCLUSION: (Uf-/FOUOr falsely charged 516.25 hours from 31 October 2013 to 6 February 2015. The evidence gathered during this investigation substantiated the preliminary finding of 516.25 discrepant hours and allegation that mischarged labor costs in violation of Jaw . PREPARED BY: APPROVED BY: Investigator Assistant Inspector General for Investigations (b){3 l (b)(6 ) (b ){7 )(C ) 3 SECRBT//NOFOR.N 000204 b3 b6 b7C . IG subj ect Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNCLt\.SSIFIEDI /FOR OfflQhftfs 1!!7&19 ONbz' Or; • '•'"'~! - :rE l~'P .-: :::o~ Gc.;p ,,1 O.F THJ:: 1:- -' .llG£:-;CF (0\1. IL";\ (b)(3) (b)(6) (b)(7)(C) (UI IFffl:te) MEMO FOR: AlGI (UI /FOUO) FROM: (U I / FOUO) SUBJECf: INV- 20 MAR 15 b3 b6 2014-0019 b7C - IG Subject (UI / FOUO) On 15 DEC 14. the IC IG opened an investigation regarding Boeing Company employee following a preliminary inquiry which found 364.25 possible discrepant hours from 7 ocr 13 through 30 SEP 14. The Boeing Company provided a document to the IC IG purporting to be Mr. direct billing to the NCTC RLSI contract. Detailed reView of revealed that Mr. direct billing to the RLSI program were well below the full-tim e hours originally presented by Boeing. (U I /FOUO) After further review of the data associated with this investigation. I recommend that this case be closed without further action. (b)(3) (b)(6) (b)(7)(C) This document is Intended only for authorized recipients. Recipients may not further disseminate this infonnation Without the express permission of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain Inspector General sensitive infonnation that is confidential. sensitive. work product or attomey-cUent privileged. or protected by Federal law. including protection from public disclosure under the Freertom of information Act (FOlA). 5 USC§ 552. Accordingly. the use. dissemination. distribution or reproduction of this infomtation to or by unauthorized or uruntcnded recipients may be unlawful. UNCIASS1FIED/;'fi'8ft 8Ffi'Ieb'tb H!3E 8f#t!Y 000205 b3 b6 b7C - IG Subject b3 b6 b7E - IG Tech Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED /fJileR ePfh!ftlft: tJee eum C:-::ct..:• - :-:. :v , ·r ,:-_1t~,G:·; r~.'.l~)E T ~.\. .E. I'" i:.L':.lGi:.\...:~C .... ·II\H'' , .... . :-.;:-:-~..;"'I - ,,'")\:;; D :' !SIC' \\" -\.5'-. :"i~:-: •':,...:)C 2Q3: ' ., 26 February 2015 (U I /FOUO) MEMO FOR: (q:>ress pennission of the sijlnatory or other Office of Inspector General of the Intelligence Comm unity personnel. This document may contain Inspector General sensitive information that is confidential, sensitive, work product or attorney-client privileged, or protected by Federal law, 1nclud1ng protection from public disclosure under the Freedom of Information Act (FOIA). 5 USC § 552. Accordingly. the use. dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFIEDf./i'QA Qi'i'lQIH !TCIL: QlliolC 000208 b6 b7C -IG Subject b3 b6 b7C -IG Subject b7E -IG Tech Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UN~LASSIFIED h' 1?8R i."' "' 'l~.~ ~)I 8i'PT @[;'t£s 88!1 8lfl!sf "-fc l'\S?E.CTC'Rl;F::-:F~l 1 '\; OF THF }'JTJ- I.Li(;F.;-.iC;: (.(, , J' . ' : . \ ·-:-5 · •• 1 .0'<$ D , ! ~;~~. , \' . \:i'-1 ' •r: '):---.. DC 205) ....~, , t')9' 18 March 15 (b)(3) (b}(6) (b)(7}(C) (U I IFOUe} MEMO FOR: (U I /FOUG) FROM: b3 b6 (U I IFOUO} SUBJECf: 2014-0022 l --------' (U//FOUO) On 4 December 2014, the IC IG opened a preliminary inquiry into alleged labor mischarging by . A review of the Statement ofWork (SOW) and contract documents determined that work performed under this contract supporting ILN courses wa s pcrr'litted at ODNI facilities. other Govemment agencies, and other contractor facilities. It was noted that her absences aligned with ILN course schedules, and (U/FOUO) I recommend that this case be closed without further action by this office. (b)(3) (b)(6) (b)(7)(C) Investigator This document is intended only for authorized recipients. Recipients may not further disseminate this information Without the express pennission of the signatory or other Office of Inspector General of the IntelHg~ncc Community personnel. This document may contain Inspector General sensitive information that is confidential. sensitive. work product or attorney-client privileged. or protected by Federal law. including protection from public disclosure under the Freedom of Information Act (FOIA). 5 USC § 552. Accordingly. the use. dissemination . distribution or reproduction of this ·rf0:--'"lation to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFIED;';'Pifii IPPI Ill& 000209 II IIH V b7C • IG Subject b3 b6 b7C • IG Subject b7E - IG Tech Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSI FI ED ) :" ih 0 r'> :; ' 1.:C'I O R I "'\'F'i\ ~ I>; __,. . (,, ')~' ' I (cV, ,,. Ill lY J " 51 ) :·c - · I l(,f '\: Cc I.. CJ;>.!~ I I .., '1. 20s1 1 MEMOHANDUM FOR RECORD SUBJECf: Correction to INV-2014-0023 Report of Investigation The file for ca se number INV-2014-0023 contains an incorrectly dated Report of Investigation. This Memorandum For The Record corrects the issue date of that document from 31 March 2015 to 6 Apri12015. No further action is required. Date Assistant Inspector General. Investigations (b)(3) (b)(6) (b)(7)(C) Titts document is intended only for authorized re-cipients. Recipients may not further disseminatethis lnfn 'illsttlon without the exprt>ss pcrmlsston of the si~n atory or other Office of Ins pector Gcnt!ralof the Inldligence Comm u nity personnel. This docu ment may contain Inspector General sensitive information that is confidential. sensitive. work product or attorney-client privileged. or p rotected by Federal law. including protection from public disclosure under the Freedom of Information Act (FOlA). 5 USC§ 552. Accordingly. the usc. dissemination. distribution or rc-produC'tlon of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASS IFIED 000210 Approved ror release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/;'POR 8PPI8Ifuls 888 8tn!IW OFFICE. or 1Y-:- I. ·sp.: ~..-nR GE:'."ERAL OF ·n1£ I:-r.-ELLIGE!'neral sensitive infonnation that ls confidential. sensitive. work product or attC'fTley-client prtvtlcged. or protected by Federal law. including protection from public disclosure under the Freedom of Information Act (FOIA). 5 U.S.C. § 552. Accordingly. the use. dissemination. distribution or reproduction of this information to or by unauthorized or unintended recipients may be unlawful. UNCLASSIFIED/;'P8R 8PPI8!t'Jiis lft!IB 8JflsY 000211 Approved for release by CONI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED//£ OIL 61 I ICIM! MSE ONE£ Investigations. dated 15 November 2011. set forth by the Council of the Inspectors General on Integrity and Efficiency. (U I / FOUetAPPLICABLE LAW: (UI /FOUG) 18 U.S .C. §1001. False Statements. (UI /FOUO) 31 U.S.C. § 3729. False Claims. ISSUE PRESENTED: Whether of law. engaged in labor mischarging in violation ~~ b7C - IG Subject (U //FOUO}-ANALYSIS: (U I /FOUO) The initial analysis identifying of all contract em ployees in ODNI facilities. led to a specific analysis of her location during the discrepant hours. These step s led to a preliminary finding of approximately 219 discrepant claimed hou rs and formal investip;ation into time and attendance. Additional information provided by Boeing resulted in a reduction of the discrepancy to 60 hours. (UI/FOUO) IC IG INV interviewed on 19 March 2015. during which her discrepant hours were discussed. did not dispute the analysis of discrepant hours and offered to make restitution for any discrepant hours. provided a written statement acknowledging that she did not dispute the data and offering to do whatever is necessary to resolve the discrepancy in her billing. (U I /FOUO) Based on the information gathered during this investigation. allegations that mischarged labor costs for 60 hours are substantiated. 2 UNCLASSIFIED/;'P81t 8PPII!Ifi!! 8!H!I @!UH! 000212 b3 b6 b7C - IG Subject b7E-IGTech b3 b6 b7C - IG Subject b3 b6 b7C - tG Subject b3 b6 b7C- IG Subject Approved for release by ODNI on 7-19-2016. FOIA Case DF-2015-00229. UNCLASSIFIED/;'F8R 8FFI8Ihl5 8813 8Ul5Y CONCLUSION: (U I / FOUO) falsely charged approximately 60 hours from 4 November 2013 to 30 September 2014. She had a billing rate of$134.00 per hour. The total amount of mischarging is approximately $8,040. PREPARED BY: APPROVED BY: Investigator Assistant Inspector General for Investigations (b)(3) (b)(6) (b )(?)(C) 3 UNCLASSIFIED/;'P'eR 8P'P'T@I:P!f5 ~@!I etf!s'f 000213 b3 b6 b7C- IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015..00229. UNCLASSIFIED Or'L'=l :•} !E:. bS?t:l IDe'. G '::.:"\lR.\.L ()( H1.=: L ., r. 11\:f :\.0 (~t\ 1\l .''1 }'\\ · ~ .:.-!(_; ~ \·; - :·:1;-.;' Dl' ~-;:··-:: !Sll..'"' ·.:.:.:, fK 203:1 MEMOHANDUM FOR RECORD SUBJECT: Correction to I.NV-2014-0024 Report oflnvestigation The file for case number I.NV-2014-0024 contains an undated Report of Investi!!ation. This Memorandum For The Record establishes the Report of Investigation date as 11 February 2015. (b)(3) (b}(6) {b)(7)(C) r\o further action is required. Date Assistant Inspector General. Invesl igations This document Is lntcnrlcrl only for authori7..cd recipients. Recipients may not further dissemL11ate this information without the express pennission of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain Inspector General sensitive information that Is confidential. sensitive. work product or attorney-client privileged. or protected by Federal law. including protSI FIEDh'i?iK 81?::'H!I::&."M!s W88 8UfsY Investigations. dated 15 November 20 11, set forth by the Council of the Inspectors General on Integrity and Efficiency. (U/ /FOUO} APPLICABLE LAW: (U/ /FOUO} 18 U.S.C. §1001. False Statements. (U/ /Fe4:let 31 U.S .C. § 3 729, False Claims. b3 b6 engaged in labor miscbargin,g h> ISSUE PRESENTED: Whether violation of law. (U //FOUO} ANALYSI S: b7C - JG subject b3 b6 b7C • IG Subj ect (UI lFOUOt The initial analysis identifying data of all contract employees in ODNI facilities. led to a specific analysis of her location during the discrepant hours. These steps led to a preliminary fmding of approximately 228 discrepant claimed hours and formal investigation into time and attendance. Additional information provided by Boeing resulted in a reduction of the discrepancy to 208.25 hours. b7C- IGTech b3 b6 b7C • IG Subject (U/ /FOOG} IC IG INV interviewed on 13 March 2015. durtng All marked b3 which h er 208.25 discrepant hours were discussed. did not b6 dispute the analysis of discrepant hours. provided that she b7C • IG Subject sometimes visits the Boeing facility in Herndon but that she uses a badge to gain access each time she visits.'" stated that her visits to Boeing were to service her Boeing laptop. which was used for unclassified work unrelated to the contract. acknowledged that her typical work hours are from about 10.00 a.m. to 5.00 pm. and that she has to usually leave by 5. 15 p.m. to pick up her children. She stated that she puts 8 hours on her timesheet every day out of routine. provided a sworn written statement wherein she admitted that she submitted inaccurate timekeeping records. All marked (U/ /FOUO} IC IG INV interviewed ~. Contracting Officer's :: Technical Representative. who is responsible for the Boeing contract with NCTC b7C -IG Witness Mission Systems. provided that all contractor employees in Mission • Boeing badge records were collected in this investigation and used in this analysis. 2 UNCLASSIFIED/ / onnrgp 000216 I usn 0!5 y Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. ONCLASSIFIED//liiiii ill?II8ii'\fi Wfil8 8Uis¥ Systems were notified as of October 2013 lhat their billable hours would only be performed at t h e - facility. l{b)(3) I (U I tFOUO) Based on the information gathered during this investigation, allegations that mischarged labor costs for 208.25 hours are substantiated. b3 b6 b7C - IG Subject CONCLUSION: (U I /FOUO) falsely charged approximately 208.75 hours from 2 October 2013 to 30 September 2014. She had a billing rate of$114.85 per hour from 2 October 2013 to 31 December 2014 and 45.5 discrepant hours ($5,225.67}, and a billing rate of $115.15 per hour from 1 January 2014 to 30 September 2014 and 163.25 discrepant hours ($18.798.23}. The total amount of mischarging is approximately $24.023.90. PREPARED BY: APPROVED BY: Assistant Inspector General for Investigations (b)(3) (b)(6) (b)(7)(C) 3 UNCLASSIFIED/;'F8R 8FFI@I:ild5 l:!Jee 6Uf5? 000217 b3 b6 b7C • IG Subject Approved for release by ODNI on 7-19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED/ ;'i?eR ePFI@IW!S !9!!1!! ens£ :,--· cE •)F ..,...!tC l\;SPECTOR Gs~ER~L or TLIE ~-..-su.J) IC IG INV interviewed BAH Program Manager on 19 March 2015. provided that the work on the RIM task couldn't be done from horne and that the bulk of the task had to be completed at MS2. stated that she never levied a requirement for to be available outside of normal business hours at either the IARPA or BAH facility. b3 b6 b7C - IG Subject b3 b6 b7C • IG Witness b3 b6 b7C - IG Subject b3 b6 (U I~ IC IG INV inteiViewed ~. BAH Deputy Program b7C - IG W itness Manager on 24 March 2015. stated that she only authorized b3 to work at home during the government shut down or when the b6 government was closed for inclement weather. According the RIM b7C - tG Subject task was required to be completed at MS or occasionally at the BAH facility in b3 College Park, MD. stated that she did not require to work bG after hours and would not authorize her to bill for time spent answering emails b7C -IG W itness from a phone or BAH laptop at home. (U I /F9UQ) IC IG INV inteiViewed scverallARPA officers, including the Chief Acquisition Offic~r. the Contracting Officer's Technical Representative , and the the Government POC for the RIM task. No government manager was aware of an authorization to work offsite or recalled providing any authoriZation for telework, and all agreed that IARPA support contractors on the RIM task should be performing billable work at MS2. (U I /FOUOl Based on the information gathered during this investigation, allegations that mischarged labor costs for 304.5 hours are substantiated. 3 UNCLASSIFI ED/ /FeR eFPICIMJ tfSB OHLY 000220 b3 b6 b7C • IG Subject Approved for release by ODNI on 7- 19-2016. FOIA Case DF-2015-00229. UNCLrlSSIFIED//P8R 8PPH!bl& 881! 8tc!S"i CONCLUSION: (U I /FOUO} falsely charged approximately 304.5 hours from 31 October 2013 to 31 July 20 14. She had a billing rate of$116.61 per hour. The total amount of mischarging is approximately $35,508. PREPARED BY: APPROVED BY: Investigator Assistant Inspector General for Inves tigations (b)(3) (b)(6) (b)(?)(C) 4 UNCLASSIFIED//POR OPPICihlS USE OU'£5¥ 000221 b3 b6 b7C -IG Subject Approved for release by ODNI on 7- 19-2016, FOIA Case DF-2015-00229. UNCLASSIFIED//POtlO .~ . o~·;.:t: r:· rut: nr TH• hSP'::CIOR G~ .\.~· R..'. !Y-~S' J;-..; ·-~ l.l ]'::_,1 "'-' CO\l.\!l :\I ) . ,._, . -;(•:--i'i D."·JSl""l·,. ,-.,.-_. ,, .,- DC~0511 MEMOHANDUM FOR RECORD SUBJECT: Correction to INV-2014-0026 Case-Closing Memorandum (U/ IFOUQ) The me for case number INV-2014-0026 contains an incorrectly identified case number on the Case-Closing Memorandum. This Memorandum For The Rec-ord corrects the case number identified as INV-2014-0027 to INV-20140026. Additionally. this document corrects the subject name incorrectly nam ed within the text as to . as it appears otherwise in the CaseClosing Memorandum subject line. (U) No further action is required. (b)(3} (b)(6) (b)(7}(C) 'LU 1\t.i\~ 110\ ~ Date Assistant Inspector General. Investigations ·Ibis document Is lntcnd~d only for authorized recipients. Recipients may not further disseminate this information without the express permission of the signatory or other Office of Inspector General of the Intelligence Community personnel. This document may contain Inspector General sensitive information that is confidential. sensitive, work product or attomey-clienl privileged. or protecte