Submission:

Cc: Party Delegates,

Dear Dr Sean Turner

We refer to your refusal to put material to the Senate Committee: Under Other matters you might
care to file this:

How money for whistleblowers is tied to the war on terror

By Richard L. Cassin | Thursday, September 18, 2014 at 11:18AM

Photo released September 17, 2014 by the

Australian Federal Police

U.S. Attorney General Eric Holder was at NYU law school Wednesday, urging Congress to raise
rewards for whistleblowers who report financial crimes.
Under the Financial Institutions Reform, Recovery, and Enforcement Act -- or FIRREA -- a law
passed after the savings and loan crisis of the 1980s, whistleblower awards are capped at $1.6
million.

That's not enough of an incentive for a Wall Streeter to give up a career, Holder said. He urged
Congress to raise the limit or take the cap off the law.
The FBI needs to find more civilians willing to blow the whistle on financial crimes. Pay the
whistleblowers big bucks, Holder said, because you're competing with Wall Street salaries,
where median executive pay last year hit $15 million.
The False Claims Act, by the way, doesn't cap awards for whistleblowers and has worked as
hoped. The DOJ has recovered more than $22 billion since 2009 under the FCA, Holder said.
But that law only targets companies and people who have defrauded the government and doesn't
apply to typical financial crimes against investors.
And the whistleblower provisions under Dodd-Frank that cover complaints about FCPA
violations, among other things, don't limit awards and are generating thousands of tips a year to
the SEC.
*

At about the time Holder was at NYU talking about how busy the FBI is fighting terrorism, 800
police in Australia were conducting anti-terrorism raids in Sydney and Brisbane.
They said Operation Appleby disrupted a gruesome plot by home grown Islamic radicals to
"commit violent acts" in Australia, including the beheading of a random member of the public.
Some of the 15 men detained by Australian police are accused of helping to recruit, facilitate,
and fund people to travel to Syria.
Documents seized during the raids "are expected to say that the plan involved snatching a
random member of the public in Sydney, draping them in an Islamic State group (IS) flag and
beheading them on camera," the Australia Broadcasting Corporation said.
Although Australia and New York City are half a world apart, nothing could have better
illustrated Holder's point. Terrorism is now the big fight.
So expect more federal whistleblower programs and higher rewards for those who help expose
fraud, securities violations, and financial crimes.
*

And don't expect any slowdown in global anti-corruption enforcement.

Events Wednesday in Australia and Holder's words at NYU reminded us that terrorists rely on
both violence and corruption to subvert regimes, gain support, and create safe havens.
In March, days before Mythili Raman left the DOJ, where she ran the criminal division, she
warned about the threat to the U.S. and the rest of the world from corrupt regimes. The hallmarks
of those regimes are illegal arms flows, money laundering, human smuggling, and a refusal to
cooperate with law enforcement agencies anywhere that are trying to fight criminal gangs and
terrorists.

"For all of these reasons," Raman said, "fighting foreign corruption is not just a choice we have
made; it is a necessity."

Senior Justice Department official Marshall Miller, in a speech to corporate lawyers in Manhattan,
warned that prosecutors increasingly are using tools like wiretaps, surveillance and border stops to
identify white-collar criminals.
He urged firms to cooperate with investigators or face stiff punishment. "A true cooperatorwhether
a mobster or a companymust forthrightly provide all the available facts and evidence so that the
most culpable individuals can be prosecuted,'' he said.
And in Washington, Leslie Caldwell, the head of the Department's criminal division, urged lawyers
who represent whistleblowers to also notify criminal investigators of wrongdoing, rather than just
seek monetary penalties through civil suits.
The trio of speeches amounted to the most extensive public statements from the Justice Department
on white-collar crime in more than a year.
"The buck needs to stop somewhere where corporate misconduct is concerned,'' Mr. Holder said.
"We ought to consider this further, and modify our laws where appropriate.''

We say that your Senators only recently woke up to the frauds, are on a steep learning curve, and
should look at very wide-ranging international initiatives.
And that means NOT allowing Fos to work for its CBA friends who spy on Senators and hunt
whistleblowers.
So do some research.

Yours,
Whistleblowers Support Group
Supportive Residents & Carers Action Group Inc