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My history hero: Andrew Marr chooses Charles Darwin (1809–82)
Andrew Marr, broadcaster and author, chooses Charles Darwin, a naturalist and geologist who made history with his On the Origins of Species
Charles Darwin: in profile
Charles Darwin was a British naturalist and geologist. His five-year round-the-world voyage on HMS Beagle and subsequent publication of his diary-journal, Journal and Remarks, 1832–1836, established him as a leading geologist and author. But he is best-known for his groundbreaking book, On the Origin of Species (1859), in which he advanced his scientific theory that different species evolved over the course of time through a process of natural selection. The father-of-10 was buried in Westminster Abbey.
When did you first hear about Charles Darwin?
I read The Voyage of the Beagle as a boy, but I was really only turned on to science, and biology in particular, later in life. It wasn't something I was much interested in at school, to the despair of my teachers. I then went on to champion Darwin in the BBC's Greatest Britons television series in 2002. I'm proud of the fact that he came fourth in the competition [behind Winston Churchill, Isambard Kingdom Brunel and Diana, Princess of Wales] though I naturally think he should have won!
What kind of man was he?
He was extremely kind and empathetic, lacking pomposity in his demeanour and private life, and a loving father and husband. Yet in his intellect he was utterly ferocious and incredibly brave. To think the way that he thought, and push it to its logical conclusion, in a heavily Christianised period of our history was an extraordinary thing to do. Absolutely extraordinary.
What made Darwin a hero?
To me a hero can't be a cruel or unpleasant person by definition. By the same token, a hero has to be an open, tolerant individual who treats people from all backgrounds, as well as animals, with kindness – and Darwin was all those things. He was endlessly curious and advanced a new way of thinking which transformed the way the whole world thought. Name me another person in British history on the same scale? There's nobody.
Charles Darwin was endlessly curious and advanced a new way of thinking, which transformed the way the whole world thought
Is there anything you don't hugely admire about him?
I don't think there was a darker side to Darwin, other than the fact that he engaged in feuds with rivals – especially with those who didn't agree with him.
Could you have ended up as a naturalist, too, if you had been born a century earlier?
We are all the prisoners, in later life, of our early education. I wish I had been more focused on the sciences in general, and biology in particular, in my schooldays, and then indeed I would love to have been a naturalist back in the heroic days…
What would you ask Darwin if you could meet him?
I'd ask him whether he thought that his view of the world meant that humans should and could be bred to make them better – in other words, did he believe in eugenics? I'm pretty sure Darwin's answer would have been: "Certainly not, what a horrible idea!" If he'd said that, he would have saved the world quite a lot of misery.
Andrew Marr was talking to York Membery. Marr is best-known for presenting The Andrew Marr Show on BBC One. His latest book, Elizabethans: How Modern Britain Was Forged (William Collins), is out now, and his BBC Two series, New Elizabethans, is available on BBC iPlayer now.
This article was first published in the Christmas 2020 edition of BBC History Magazine
History hero
More on: Charles Darwin
Charles Darwin vs God: did the 'Origin of Species' cause a clash between church and science?
My history hero Konnie Huq chooses Ada Lovelace (1815–52)
A brief guide to the transatlantic slave trade
The Brontës at war: how Charlotte and Branwell brought Waterloo into their drawing room


bybmg: High Five For Friday 11.4 - Halloween!
High Five For Friday 11.4 - Halloween!
TGIF! This week felt pretty long, but I'm excited about the upcoming weekend! What are you up to this weekend? Here are highlights from our week!
We had the BEST Halloween. I mean seriously the best. The boys just had a blast trunk-or-treating at our church and trick-or-treating after that!
Last Friday, Henry went to an all day soccer camp. School was closed because of a teacher work day. The kid played soccer on and off from 8:30-4:30 and left saying it was awesome, so we thought it was ok to purchase some shin guards and a ball for the next time he goes to camp in January. I really never intended to be a soccer mom, but if he loves it, we'll go with it!
Saturday I took Wesley on a little solo date. We hit up the Dollar Tree and purchased the little Minnie Mouse and Chick Fil A. Poor middle child hardly gets any time to himself, so it was fun to just chat with him without any interruptions.
I did my first little vendor event for LipSense. I found out about it on Monday from a friend when another vendor they'd lined up dropped out and it was on Wednesday! I kind of had a little mini panic attack, but I pulled myself together.
As I was packing up for the night, I looked at the bottom of the card table. Robert is my Great Uncle Bob who passed away right before Russ and I got married. He was a HUGE Cubs fan and it just made me tear up knowing it was the last night of the World Series! Any Cubs fans out there? I'm sure YOU had a great week!
November always brings a focus on Thankfulness, and Cents of Style has a beautiful shirt to help you remember that focus today. I am so thankful for so many things in my life. Russ has just been such a huge support and cheerleader to me lately. My boys are healthy and growing. My dad is in remission. I have amazing coworkers. My side hobbies keep me busy.
Cents of Style is offering this awesome shirt for FREE and get free shipping when you spend $25 on their site. Just use the code THANKFUL1 at checkout!


1- Cut cabbage in half, remove core, and slice very thinly.
2- Peel the apple, cut in half, and slice very thinly.
3- Remove the seed from dates, and chop nicely.
4- Chop into small chunks the dried apricots as well as the nuts.
5- In a large bowl, mix the cabbage, apple, dried fruit and nuts together.
6- Add a bit of oil, a pinch of sugar and mix well. Stir in the lemon juice (or vinegar) and the orange juice.


Monday, April 10th Greely Guidance will be hosting Jessica Whittier from the Finance Authority of Maine at Greely High School to meet with Senior families to talk about college costs. If you would like help understanding your seniors college award letters, next steps in the financial aid process and how to pay the balance, please contact Anne Cornish in the Greely guidance office @ 829.4810 to set up your individual 1/2 hour appointment between the hours of 8:00AM - 2:00PM. Appointments are on a first come first served basis. This event is for parents and students. If there are families that are not able to attend a scheduled 1/2 hour appointment on Monday, April 10th Jessica would be happy to arrange something with families during school vacation week.
Also on Monday, April 10th the Greely Guidance office will be hosting their annual Financial Aid Information Evening at Greely High School with the Finance Authority of Maine as the guest speaker. The event will be held in the GHS Commons and will begin at 6:00PM. Parents and students welcomed!


My first memory is of a poem for which I won a prize when I was about seven or eight. My father had helped me with it, so I felt guilty about the award, and I resolved then that I would always write my own material! Maybe that was a good thing, because it propelled me to prove myself as a writer and I became a very good student in my English classes. I started keeping a journal at about twelve and the writing hasn't stopped.
How old were you when you first published?
I was the editor of my school magazine at age 17, and I introduced photographs to the publication for the first time. My editorial in that publication would have been the first time, I guess.
Where did the urge to write come from?
Perhaps I came into the world with a past life as a writer, because writing has always been as natural as breathing to me. Writing has never been work for me, but more like mental play. It's how I relax, how I have fun. I approach my writing every day with a bit of guilt. No one should start their workday with so much anticipation and excitement!
Which do you enjoy writing most - fiction or non-fiction?
My non-fiction work was just that -- work. The first book, Business is Good, was commissioned, and I learned a lot about writing a historical book, doing the research, interviewing people, examining old photographs. The second book, Sexcess: The New Gender Rules at Work, was meant to enhance my partner's and my communications consulting business. Although there were times when I enjoyed working with it, the fact was it was a work book. Fiction is by far my favorite genre. It expands me, teaches me, challenges me, and takes me to places I've never been.
Years ago I had a dream, and at the end of the dream I was told that the dream I just had was the plot of my novel. I had been thinking that I would like to write a novel next, but I didn't have any ideas for a plot. I got up, wrote down the dream in my journal, and went back to sleep. Two years later I started the novel, using the same plot, sitting in a bookstore, while I was on vacation and trying to survive the hottest summer in New York in 50 years. One thing led to another, and the writing led me to creative writing classes, then to completing the first novel.
How did you get that first novel published?
Interesting question. I attended a workshop in New York three summers later, where I got an opportunity to pitch my novel to several editors. None of them was interested in the novel I then had, but one of the editors made some very helpful suggestions that I took to heart. I rewrote my novel with a new hero and concept, and turned the idea into a series of amateur detective novels. As a firm believer in creative visualization, I also kept visualizing getting published effortlessly, despite the fact that I was hearing from other authors how difficult it was to get published. I refused to get despondent, even though it was now four years and counting since I'd started my book. Five months later, I pitched the new format and series concept to another editor, this time at Simon and Schuster, and they signed me.
How do you come up with the characters in your books?
Everything that a writer writes, it's been said, is autobiographical. These are all people I've met at different points in my life. Some I met in Jamaica, some in Trinidad, some in the Virgin Islands, others in the United States or in Europe. My work as a journalist, my stint with a charity in the ghettoes of Jamaica, my life among the middle class, my travels to other countries serve as grist for the mill. When I meet people, whether I'm working or socializing or just going about life, I'm doing research, even when I don't realize it! I base my characters on real-life people. The character of Shad, for example, is drawn from a young man in the rural parts of Jamaica who looks just like Shad and is a wonderful wood carver. Eric, on the other hand, is based on many people, especially a friend of mine who died violently while his restaurant/bar was being robbed.
You write about many negative aspects about Jamaica, what are your feelings towards the island?
I love Jamaica passionately. It's hard not to do so. All of my childhood, all of the people I loved, all of my early memories are of the island that I still think is one of the most naturally beautiful places in the world. The people, the scenery, the music, the buoyant energy, make it unique. But it is an enigmatic, complex culture, and there are some things that motivate me to write about the duality of my native country.


You might be surprised to find how easy it really can be to build your own barbecue, you just need to be prepared.
Are you thinking about adding a permanent braai spot to your garden? It's easier than you think to create a place where your family and friends can socialise, and enjoy the fresh air and simple surroundings of sunshine and laughter. In this Ideabook, we consider 5 awesome ways to build a braai that you'll love. It's important to make your braai space more than just a place to cook a meal, a great braai area takes all the extras into account. From the simple things such as the type of grill for the home, to the seating, lighting and decor.
If you're lucky enough to have a large garden or outdoor area, then a full braai and entertainment zone such as, would be amazing. If you include simple seating, an outdoor kitchen and even a fridge, you will never have to go back inside the main house to get anything, keeping your home clean and tidy too. This patio idea is the perfect addition to your poolside.
If you like the idea of an indoor braai spot, simply because it allows you to make use of the space throughout the year and regardless of the weather, then consider a rustic inspired design. However, if you are pressed for space in your backyard, then you should perhaps consider the simplicity of just adding a grill to the backyard.
3. To cover or not to cover?
A rooftop over your braai area is another great way to keep it usable regardless of the weather. If you however still want that sunkissed effect for your garden, then consider a pergola, with a laminated cover that provides shade during the hottest days, while also shielding the grill zone from the rain. You may want to contact a professional contractor to get your pergola perfect.
What's a braai area without exceptionally stylish seating? You have to look at making your braai area functional in every way, and by including a seating area, you'll never be too far from the conversation and laughter of your guests, and also being able to enjoy the outdoor space while dining.
The decor of your braai area should be simple yet elegant, and a rustic design can create a gorgeous effect, consider some lighting that will make your outdoor area comfortable and beautiful, while bearing in mind the ambiance and atmosphere too. These suspended lamps above the dining area could be add an amazing country charm that you've only been dreaming about. How about these: 14 clever ideas to make your garden special?
Which additions would you make to your garden?


We all appreciate and ask for the recognition and respect of our employers. Believe it or not this can be very motivating and very encouraging for us workers to work at our discretion for the well being of our own and of our employers.
The purpose or use of the appraisal for both sides (employers and employees) is a very significant one as this can offer prosperity at a very low cost to both sides. I am saying this because an appraisal can reveal many issues that can be rectified in the working environment. Appraisal is the tool that can discover if the employees are working in the right position and if not, they can be rotated, Appraisal can also discover if the employees are really working and not just exist to get paid at the back of the hard working employees. For most of these kinds of employees, appraisal is scary and they are reacting by stating that appraisal is insulting and that the management should do it because it shows that the management does not trust them.
Contrary to the above, appraisal has a significant role to play to the increase of performance and to the better quality of the work in the Company. A proper performance appraisal has to be done by people who are not acquainted to staff except know their work and their progress in the Company. Employers can turn to outsource providers of HR Services to conduct appraisal needs to the employees but this will need some orientation first as to the job description, the tasks that everyone is doing and after that to initially talk with every employee. Thereon, monitor each department and then, conduct the appraisal. According to this appraisal, in my opinion, lots of problems will be solved as they are going to be obvious.
I believe, that the Companies in Cyprus have to start using this best practice of appraisal in order to be able to increase their performance and use their human capital as best as possible, keeping the best, and giving the chance to the others to find what they can do best.


Wooden gates are beautiful. With countless design options, a wooden gate can be custom built to the exact wishes of any customer. The only downside is that larger wooden gates tend to sag over time.
A solution to this problem is to have your wooden gate built inside of a welded steel frame. Doing this allows the customer to have both the strength of a steel gate and the beauty of a wooden gate.
These gates can be built in almost any style, and the steel frames can be powder coated almost any colour.


Jenny & Andrew Become the Lowds | Kodiak, Alaska — The Adams Co.
Visit Beauty Board Media for the incredible film by Lauren Roberts. Trust me, you don't want to miss it.
There is something profoundly special about being welcomed into a family's life the day before a wedding. It was humbling, and an honor, to be part of this family's celebration. In everything from the tears of joy they cried for each other, to the thoughtful gifts that were given, to the places they set for us at dinner. I cannot describe how thankful I am to have been there documenting these days.


December 9, 2014 By Joe | Heads up: Buying via our links may result in us getting a commission. Here's why.
What are you going to wear? Sometimes it's good to look at a few suggestions then add your own tweaks and ideas. That's what these are for. This one is for the dressed down affairs that might be out, or, might be at someone's house. These are the parties where most guys are in bulky uncomfortable sweaters. Jeans are acceptable, but dressing them up with a holiday appropriate blazer will absolutely take the look to another level, while not getting snooty. Top Photo: Elliot P.
The Blazer: Alfani RED Slim-Fit Velvet Sport Coat in Burgundy – $79.99. Jeans and a sweater might look too casual. Jeans and a deep burgundy velvet blazer? Sure thing. From the younger leaning Macy's house brand Alfani RED.
The Shirt: J. Crew Factory Slim Button Down in Navy/Grey Plaid – $27.65 w/ HELP. Shades of Blackwatch here. Plus, a button down collar means you can skip a tie/collar stays for the evening. Some might be tempted to layer up with a sweater here. Don't. The blazer is plenty. Plus, these parties are usually on the warm side with all the body heat and enclosed space, so, "don't seal in all the juices" with too many layers. Code is good for 30% off and free shipping no min.
The Jeans: GAP 1969 Standard Taper Fit Jeans (Dark Resin Wash) – $41.97 w/ FESTIVE. Jeans are often excluded from GAP promos, but the 40% off code FESTIVE is working on them. Decent for guys with bigger thighs who still want some taper down at the ankle. Full review here. Sizes are getting limited.
The Watch: Daniel Wellington Classic St Andrews – $130.37 . Minimalism while still looking super-classic. Quartz movement. Mineral glass. Not the most impressive specs, but plenty of looks.
The Boots: J75 by JUMP Clancy Chealsea – $54.94. Sold by DSW and real friendly on the wallet. Has a glowing review too. Probably a safer play, in terms of quality, than the H&M alternatives at $99. Want to get spendy? Go for Jack Erwin.
The Belt: GAP Basic Leather Belt – $17.97 w/ FESTIVE. And still the grand champion of versatile, inexpensive, well made casual belts. Always on sale.
The Socks: Wigwam Men's Merino Airlite Pro Socks – $11.18 . Thinner than a standard hiking sock, but still merino & nylon based. Should do better on the floors than a pair of dress socks if the host is a "take your shoes off at the door, please" type.
The Coat: J. Crew Dock Peacoat w/ Thinsulate – $194.60 w/ MERRYMERRY ($298) As always, check your local Army/Navy surplus store first, but the J. Crew Dock Peacoat stands out in particular, in two ways: 1. The cut is a bit trimmer than most peacoats, and 2. the extra length will easily cover a blazer/suit jacket tail. That's a must. Code MERRYMERRY expires today, 12/9.
The Scarf: Faribault for Target Made in the USA Wool Scarf – $39.99. A really smart holiday collaberation between Target and a heritage U.S. mill. Ships free.
The Gloves: Orvis Bison Leather Gloves – $98. Texture, durability, and warmth. Expensive, yes, but you'll have these for a long time.
The Host/Hostess Gift (if applicable): Josh Cellars Cab – $12.99. Someone has invited you over to share in their walls & roof, their food, and probably their booze. Say thanks with a bottle of wine that outperforms its price. A rich one that's still plenty drinkable. Part of the Joseph Carr family.


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app.filter('trustAsHtml', ['$sce', require('./trustashtml-filter.js')]);

redpajama_set_name: RedPajamaGithub


(d) Convenor of conferences, seminars and workshops pertaining to science and mathematics education.
Over the years, SEAMEO RECSAM has grown from strength to strength, and we are constantly improving our physical facilities as well as the quality of our training programmes. Physically, significant changes began when the Centre was conferred autonomous status in October 1994. These include upgrading of facilities like the Residence Halls; Administration Block; Science, Mathematics and Computer Laboratories; Library Block; Dining Block and resource materials which are IT-based.
However, autonomy also comes with responsibility, especially in revenue-generation to help maintain the functions of the Centre. Thus, business development becomes an increasingly important area in the designing of activities of the Centre. We are now in a position to reflect on the necessity of maintaining a healthy balance between revenue-generating activities and our core business as mandated in SEAMEO RECSAMs charter. With effective and efficient management of our resources, we endeavour to improve our financial standing in order to continue providing the kind of quality programmes and facilities, as expected of is by regional and international clients.
In this respect, we are deeply indebted to the Government of Malaysia, through the Ministry of Education, for the unwavering support we have enjoyed all these years, in the earnest endeavor to achieve our multifarious objectives.


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How to remove Dailyjornal.xyz ads
Dailyjornal.xyz is a questionable news website that aims to expose visitors to as much advertisement content as possible. In addition to triggering ads when you click on anything, it also misuses a legitimate browser feature that allows websites to show users notifications on the desktop. When you visit the website, a browser alert will pop up saying "Dailyjornal.xyz wants to show notifications", only instead of notifications, intrusive advertisements would start appearing on the desktop.
Sites like Dailyjornal.xyz are made to appear like they're useful websites but are actually just pushing a social-engineering scam that tricks users into allowing ads on the desktop. It does so by misusing a legitimate browser feature that allows sites to show users notifications that would appear on the desktop. Dailyjornal.xyz is supposed to be a news website but clicking on anything would show a pop-up ad. Immediately when you get redirected to it, a browser alert will pop up and say that "Dailyjornal.xyz wants to show notifications". If you click "Allow", you will start seeing questionable notifications and ads on your desktop's right side. We don't recommend interacting with any of those notifications because you could be exposed to dangerous content.
The "show notifications" feature does have its legitimate uses, and as long as a site is safe, you can allow it to show notifications. The content of those notifications depends on what a site usually posts. As an example, if you give a news website permission, it will show news alerts on your desktop. This can be convenient if you want to keep track of what's happening without needing to visit news websites all the time. When you no longer want to see the notifications, revoking the permission is not difficult via your browser's settings. If you don't know how to do that, use the directions provided at the very end of the report.
If you don't already have anti-virus software on your computer, we suggest you install it. Random redirects can be a sign of an adware infection, and the easiest way to determine whether adware is present is to use anti-virus software like WiperSoft. If adware is the issue, removing it would stop the redirects. However, it's also possible that you're redirected by the sites you visit. Installing an adblocker would help with that as redirects and intrusive pop-ups would be blocked.
Possible triggers for redirects to Dailyjornal.xyz
In most cases, users end up on sites like Dailyjornal.xyz when browsing high-risk websites. For example, if you were visiting a site that has pirated content and clicked on an ad or the video player, a redirect to Dailyjornal.xyz may have been triggered. There are plenty of websites like this, and they're mostly considered to be high-risk due to the questionable ads they host. You should avoid visiting such websites and/or install an adblocker program to block the ads and redirects.
However, if you are redirected regularly, even when browsing safe sites, it's possible that your computer has adware installed. It's not a serious infection so there is no reason to worry but it will annoy you by constantly spamming you with ads and triggering redirects. Because adware installs via software bundling, many users aren't even aware that such an infection is present on their computer. Adware, browser hijackers, and potentially unwanted programs (PUPs) often come attached to free software as extra offers. And those offers are set to install alongside automatically without requiring additional permission, which is why software bundling is such a frowned-upon installation method. The offers that come with freeware are optional but they are set to install alongside automatically and users need to manually prevent them from installing. This is made difficult by the fact that the offers are initially hidden and many users do not pay enough attention when installing programs to notice them.
If you want to avoid filling your computer with junk, pay attention when installing free programs. Follow the process carefully and opt for Advanced (Custom) settings when given the option. The latter is very important because added offers will only become visible in those settings. If Advanced settings show that something has been added, you will have the option to deselect them. You may notice that some of those offers seem useful at first sight but installing any of them is not recommended. Software bundling is a very sneaky installation method for obvious reasons and programs that use it should not be permitted to install. Otherwise, you would fill up your computer with junk programs that can be difficult to get rid of later on.
Dailyjornal.xyz removal
As is obvious by now, not all websites should have permission to display notifications. If this site does have permission, we strongly recommend you delete Dailyjornal.xyz from the list. Fortunately, you can easily control which sites have permission in your browser's settings. If you don't know where to look, use the below-provided directions to assist you.
For Mozilla Firefox: Open menu (the three bars top-right corner) -> Options -> Privacy & Security. Scroll down to Permissions, press on Settings next to Notifications, and remove Dailyjornal.xyz and any other questionable website. You can permanently turn off these notification requests by checking the "Block new requests asking to allow notifications" box in the same Notifications settings.
For Google Chrome: Open menu (the three dots top-right corner) -> Settings -> Privacy and security -> Site Settings. Click on Notifications under Permissions, and remove Dailyjornal.xyz and any other questionable website. You can stop these notification requests permanently by toggling off "Sites can ask to send notifications".
For Microsoft Edge: Open menu (the three dots top-right corner) -> Settings -> Cookies and site permissions -> Notifications. Review which sites have permission and remove Dailyjornal.xyz and any other questionable website. You can permanently turn off these notification requests by toggling off "Ask before sending".
Because it's possible that your computer is infected with adware, it's a good idea to run a scan with anti-virus software like WiperSoft. It will detect and remove Dailyjornal.xyz adware, thus stopping the redirects. However, if there is no adware, you may need to change your browsing habits. In particular, you should avoid visiting high-risk websites, or at least install an adblocker program. The adblocker would either prevent the redirects altogether or at the very least close the windows as soon as they appear.
Download WiperSoft

redpajama_set_name: RedPajamaCommonCrawl


Autumn can be very beautiful, full of colorful leaves and fruit. This photo shoot was made with my first calendar in mind that was made for 2015. Corset was designed by me and made by Corsetry & Romance from a map fabric that was imported fromm the USA especially for this corset.


This darling girl is ready to be shown off to your friends! Jenna is a gorgeous female puppy that wants to light up your life. Jenna will have a nose to tail vet check and arrive with a current health certificate. She will love running around town with you doing errands or snuggling at home to relax. Jenna is eager to find her forever home. Don't miss out on this spectacular companion.


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Incubus Opening Act
Tom Taus opens for Incubus at one of the biggest indoor Arenas in Asia...
Incubus, one of the most iconic bands from the 90's has returned to Manila for another sold out concert at the Araneta Coliseum. Tom Taus was selected to play a 30 minute set to open up the show as a special guest performer, pumping up the crowd and setting the right mood to start the night. With Tom kicking the night off, the Philippines was more than fulfilled as Incubus performed some of their new and classic hits including the songs "Drive", "Pardon Me" and much more, taking people on a journey that they would once again never forget.
Tom Taus opens for Incubus at one of the biggest indoor Arenas in Asia
© 2018. TOM TAUS. ALL RIGHTS RESERVED
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Naija American Girl: Don't sit with her. She's from Africa.
Kudos to Ms. Olamide and thanks for featuring her, Chidinma! I really admire that she's such a great example of where self confidence and hard work can take you.


A fourteen drawer collector's file cabinet from the 1920's has many uses - sheet music, drawings or jewelry.
American made antique furniture, the birch hardwood case has an excellent restored finish.
Brass pulls are original on the drawers, interior dimensions are 10 3/4" wide, 15" front to back and 1" deep. Sides are paneled.
Overall size is 15 1/2" wide, 18 1/2" deep and 35" tall.


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FCPA Professor A Forum Devoted to the Foreign Corrupt Practices Act
FCPA 101
FCPA Institute
FCPA Connect
First Corporate Enforcement Action Of 2018 Is Against Israel-Based Elbit Imaging Ltd.
By Mike Koehler on March 12, 2018 in 2018 Enforcement Actions, Elbit Imaging, Permits / Licenses / Customs / Tax, Real Estate Industry, Romania, SEC Enforcement Action, Third Parties
Last Friday, the SEC released this administrative order finding that Israel-based Elbit Imaging Ltd. (a real estate company with shares traded on NASDAQ) violated the books and records and internal controls provisions of the Foreign Corrupt Practices Act based on payments made to certain third parties "when some or all of the funds may have been used to make corrupt payments to Romanian government officials or were embezzled."
The enforcement action concerned conduct between 2006 and 2012 (beyond any conceivable statute of limitations) and without admitting or denying the SEC's findings Elbit agreed to pay $500,000 (an amount reflective of the fact that Elbit is currently winding down its operations).
The Elbit Imaging enforcement action is the first corporate FCPA enforcement action of 2018 and breaks a nearly six month dry spell in SEC corporate FCPA enforcement actions.
Microsoft Business In Romania The Subject Of Romanian Prosecution
By Mike Koehler on September 29, 2014 in Distributor Issues, Microsoft, Romania
Microsoft has been under Foreign Corrupt Practices Act scrutiny since spring 2013. (See here and here for prior posts). The conduct at issue concerns the company's relationships with resellers and consultants in China, Romania, Italy, Pakistan and Russia.
Regarding the Romania prong of Microsoft's scrutiny, last week Romania's National Anti-Corruption Directorate announced the start of a prosecution against nine former ministers related to an investigation of Microsoft IT licenses for schools. According to the announcement and this article, it appears that the prosecution concerns a "47% discount granted by Microsoft to the government, which allowed the payment of commissions" to the former ministers.
According to this article and quoting the former director of Romania's Foreign Intelligence Service, the origins of the Romanian prosecution is an investigation conducted by the FBI.
Discounts to distributors have served as a basis for FCPA enforcement actions in the past (see here, here, and here for examples among others).
Microsoft's FCPA scrutiny has been highlighted on these pages before because it debunks the fallacy of "good companies don't bribe period." (See here for the prior post).
"Good companies don't bribe – period" was the title of a Minneapolis StarTribune business column which assailed those who have criticized various aspects of the FCPA or FCPA enforcement. In support of the position that "good companies don't bribe – period," the article stated:
"The [FCPA] has established America's reputation as a strong proponent of ethical business practices abroad. As Microsoft recognizes in its anti-corruption policy: 'corruption promotes poverty, hunger, disease and crime, and keeps societies and individuals from reaching their full potential. Corruption is one of the leading obstacles to economic and social development. Microsoft is committed to observing the standards of conduct set forth in the [FCPA] and the anti-corruption and anti-money-laundering laws of the countries in which it operates.'"
The absolutist position that "good companies don't bribe – period" was undermined a few months after the article was written and after Microsoft was put on a pedestal by the authors when it was reported that the DOJ and SEC both open FCPA inquiries concerning various aspects of Microsoft's business. A Microsoft executive acknowledged the investigation at the time and stated:
"Like other large companies with operations around the world, we sometimes receive allegations about potential misconduct by employees or business partners, and we investigate them fully regardless of the source. We also invest heavily in proactive training, monitoring and audits to ensure our business operations around the world meet the highest legal and ethical standards. […] We are a global company with operations in 112 countries, nearly 98,000 employees and 640,000 business partners. […] We have more than 50 people whose primary role is investigating potential breaches of company policy, and an additional 120 people whose primary role is compliance. In addition, we sometimes retain outside law firms to conduct or assist with investigations. This is a reflection of the size and complexity of our business and the seriousness with which we take meeting our obligations. We also invest in proactive measures including annual training programs for every employee, regular internal audits and multiple levels of approval for contracting and expenditure. In a company of our size, allegations of this nature will be made from time to time. It is also possible there will sometimes be individual employees or business partners who violate our policies and break the law. In a community of 98,000 people and 640,000 partners, it isn't possible to say there will never be wrongdoing."
How is it that Microsoft, a company championed as a leader in ethical and compliant business conduct, became the subject of FCPA scrutiny? For the same reasons that many ethically sound business organizations have resolved FCPA enforcement actions and for the same reasons that over one-hundred companies are currently the subject of active FCPA scrutiny. These reasons are broad concepts of corporate criminal liability and the inherent realities of doing business in the global marketplace.
Next Up – Stryker
By Mike Koehler on October 25, 2013 in 2013 Enforcement Actions, Argentina, Charitable Contributions, Foreign Legal Counsel, Greece, Healthcare Providers As Foreign Officials, Medical Device Industry, Mexico, Poland, Romania, SEC Enforcement Action, Stryker Corp., Travel and Entertainment
First it was Johnson & Johnson (see here – $70 million in combined fines and penalties in April 2011). Then it was Smith & Nephew (see here – $22 million in combined fines and penalties in February 2012). Then it was Biomet (see here – $22.8 million in combined fines and penalties in March 2012). Then it was Pfizer / Wyeth (see here – $60 million in combined fines and penalties in August 2012). Then it was Eli Lilly (see here – $29 million in combined fines and penalties in December 2012).
Next up, in the recent sweep of pharmaceutical / healthcare and medical device companies is Stryker Corporation.
Yesterday, the SEC announced that Stryker agreed to pay $13.2 million to resolve an SEC Foreign Corrupt Practices Act enforcement action via an administrative cease and desist order in which the company neither admitted or denied the SEC's allegations.
The conduct at issue focused on various Stryker subsidiaries. There is no allegation in the SEC's order concerning Stryker Corp. itself other than the following.
"The financial results of all of the Stryker subsidiaries discussed herein were consolidated into Stryker's financial statements. Stryker's foreign subsidiaries were organized in a decentralized, country-based structure, wherein a manager of a particular country's operations had primary responsibility for all business within a given country. During the relevant period, each of Stryker's foreign subsidiaries operated pursuant to individual policies and directives implemented by country or regional management. Stryker had corporate policies addressing anti-corruption, but these policies were inadequate and insufficiently implemented on the regional and country level. Accordingly, Stryker failed to devise and maintain an adequate system of internal accounting controls sufficient to provide reasonable assurance that the company maintained accountability for its assets and that transactions were executed in accordance with management's authorization."
In summary fashion, the SEC order states:
"From approximately August 2003 to February 2008 (the "relevant period"), Stryker made approximately $2.2 million in unlawful payments to various government employees including public health care professionals (collectively, the "foreign officials") in Mexico, Poland, Romania, Argentina, and Greece. Stryker incorrectly described these expenses in the company's books and records as legitimate consulting and service contracts, travel expenses, charitable donations, or commissions, when in fact the payments were improperly made by Stryker to obtain or retain business. Stryker earned approximately $7.5 million in illicit profits as a result of these payments. During the relevant period, Stryker incorrectly described unlawful payments to foreign officials in its accounting books and records in violation of [the FCPA's books and records provisions] and failed to devise and maintain an adequate system of internal accounting controls in violation [of the FCPA's internal controls provisions.]"
Under the heading "Unlawful Payments In Mexico," the order states:
Between March 2004 and January 2007, Stryker's wholly-owned subsidiary in Mexico ("Stryker Mexico) made three payments totaling more than $76,000 to foreign officials employed by a Mexican governmental agency (the "Mexican Agency") responsible for providing social security for government employees. Stryker made these payments to win bids to sell its medical products to certain public hospitals in Mexico. Stryker Mexico earned more than $2.1 million in profits as a result of these illicit payments. These payments were made at the direction of Stryker Mexico employees, including country level management, and paid to the foreign officials through third party agents. For example, in January 2006, Stryker Mexico learned that the Mexican Agency was threatening to revoke a contract that Stryker Mexico had won to provide knee and hip products to certain public hospitals unless Stryker Mexico paid an employee of the Mexican Agency. As a result of the demand by the employee of the Mexican Agency, Stryker Mexico directed its outside counsel in Mexico (the "Mexican Law Firm") to make payment to the employee, on Stryker Mexico's behalf, in order for Stryker to keep the winning bid. At Stryker Mexico's direction, the Mexican Law Firm paid the foreign official approximately $46,000 on behalf of Stryker Mexico and, as a result of this payment, the Mexican Agency did not revoke Stryker Mexico's status as the winning bidder. The Mexican Law Firm then invoiced Stryker Mexico for $46,000 for purported legal services rendered, even though no such services were provided. Stryker Mexico recorded these improper payments as legitimate legal expenses in its books and records. Stryker Mexico earned over $1.1 million in illicit profits on this contract alone. Stryker Mexico made two additional payments through intermediaries during the relevant period in much the same fashion, with the purpose of retaining or obtaining business from public hospitals. The additional payments were in excess of $34,000 and earned Stryker illicit profits of nearly $1 million."
Under the heading "Improper Payments in Poland," the order states:
"Between August 2003 and November 2006, Stryker's wholly-owned subsidiary in Poland ("Stryker Poland") made 32 improper payments to foreign officials in Poland for the purpose of obtaining or retaining business at public hospitals. In total, Stryker Poland made approximately $460,000 in unlawful payments resulting in more than $2.4 million of illicit profits. These improper payments were recorded in Stryker's books and records as legitimate expenses, including reimbursement for business travel, consulting and service contract payments, and charitable donations. For example, in May 2004, Stryker Poland paid for a foreign official then employed as the director of a public hospital in Poland, and her husband, to travel to New York City and Aruba. Although the official purpose of the trip was for the foreign official to attend a single-day tour of Stryker's manufacturing and research facility in Mahwah, New Jersey, Stryker paid for the couple's six-night stay at a hotel in New York City, attendance at two Broadway shows, and a five-day trip to Aruba before their return flight to Poland. According to Stryker Poland's records, expenses for the trip, including airfare, accommodations, and entertainment, totaled approximately $7,000, all of which Stryker Poland recorded as legitimate travel expenses. Stryker Poland's internal documents confirm a quid pro quo arrangement between Stryker Poland and the foreign official. For example, the form containing the schedule for the foreign official's facility tour states that the purpose of the visit was to "strengthen [the public doctor's] conviction that Stryker products are the best solution for her hospital," and notes that "we won a big tender for [one product] (about $350,000) and in this year they are going to buy our products for $500,000." Stryker Poland also made additional improper travel payments, payments under purported consulting agreements totaling approximately $47,000, and gifts and donations of nearly $400,000, each of which was made to a state-employed healthcare professional for the purpose of Stryker Poland's obtaining or retaining the business of public hospitals."
Under the heading "Improper Payments in Romania," the order states:
"From at least 2003 through July 2007, Stryker's wholly-owned subsidiary in Romania ("Stryker Romania") made 192 improper payments to foreign officials totaling approximately $500,000 in order to obtain or retain business with affiliated public hospitals. Stryker Romania recorded these payments as legitimate sponsorships of foreign officials' attendance, travel and lodging at conferences, and medical events, when in reality they were illicit payments made to obtain or retain business. As a result of these payments, Stryker Romania earned more than $1.7 million in illicit profits. For example, in April 2004, a Stryker Romania salesperson submitted a form to sponsor a foreign official's lodging abroad to attend a conference. The form stated that a "business benefit[]" from the sponsorship was that, in return, Stryker Romania would receive a contract for the sale of a particular medical device. In addition, Stryker Romania internally discussed that the foreign official in question was "waiting to be confirmed as chief physician" at a public hospital, "thus becoming important" for an upcoming bid for a contract. Stryker Romania recorded the payment as a legitimate business travel expense even though its own internal documents demonstrated that the payment was made with the purpose of obtaining future business."
Under the heading "Unlawful Payments in Argentina," the order states:
"Between 2005 and 2008, Stryker's wholly-owned subsidiary in Argentina ("Stryker Argentina") made 392 commission payments, or "honoraria," to physicians employed in the public healthcare system in order to obtain or retain business with affiliated public hospitals. Unlike traditional honorarium payments that are made in exchange for the provision of a service (such as making a speech), these honoraria were commissions that were calculated as a percentage of a total sale to a particular hospital and then paid to the public doctor associated with the sale. Stryker Argentina routinely made these payments by check to doctors at rates between 20% and 25% of the related sale. In total, Stryker Argentina made more than $966,500 in improper honoraria payments during the relevant period, causing Stryker Argentina to earn more than $1.04 million in profits from the public hospitals with which the doctors were associated. Stryker Argentina booked these payments as commission expenses in an account entitled "Honorarios Medicos," when in fact they were unlawful payments made to compensate doctors for purchasing Stryker products."
Under the heading "Unlawful Payments in Greece," the order states:
"In 2007, Stryker's wholly-owned subsidiary in Greece ("Stryker Greece") made a sizeable and atypical donation of $197,055 to a public university (the "Greek University") to fund a laboratory that was then being established by a foreign official who served as a prominent professor at the Greek University, and was the director of medical clinics at two public hospitals affiliated with the Greek University. As a result of this donation, Stryker Greece earned a total of $183,000 in illicit profits. The donation was made pursuant to a quid pro quo arrangement with the foreign official, pursuant to which Stryker Greece understood it would obtain and retain business from the public hospitals with which the foreign official was affiliated, in exchange for making the donation to the foreign official's pet project. In an email from the country manager of Stryker Greece to the regional manager, the country manager emphasized that she believed the donation to the Greek University was necessary to secure future sales for Stryker Greece. The country manager wrote: "I think that anything below 30K will leave [the foreign official] disappointed. He did promise that he would direct his young assistants into using our trauma and sports medicine products. [The foreign official] is . . . difficult to get as a 'friend' and really tough to have as a disappointed customer." The regional manager asked, "What do we get for the sponsorship – or is it just a gift?" The country manager confirmed the quid pro quo, stating, "For the sponsorship we get the Spine business and a promise for more products in his Department. . ." At a later date, another country manager stated, "I am willing to support what [the foreign official] is asking for in order to secure the sales he is bringing in." The regional manager then approved the request. Soon thereafter, the country manager said of his meeting with the foreign official: "Things went well (how couldn't they—I offered him the amount he is asking for . . .). . . . My impression is that we will sta rt business again." Stryker Greece made the donation to the Greek University in three installments, each of which was improperly booked as a legitimate marketing expense in an account entitled "Donations and Grants."
Based on the above allegations, the SEC found that Stryker violated the FCPA's books and records and internal controls provisions.
In the SEC release, Andrew Calamari (Director of the SEC's New York Regional Office) stated:
"Stryker's misconduct involved hundreds of improper payments over a number of years during which the company's internal controls were fatally flawed. Companies that allow corruption to occur by failing to implement robust compliance programs will not be allowed to profit from their misconduct."
As noted in the SEC's release, the administrative order "requires Stryker to pay disgorgement of $7,502,635, prejudgment interest of $2,280,888, and a penalty of $3.5 million. Without admitting or denying the allegations, Stryker agreed to cease and desist from committing or causing any violations and any future violations of the FCPA's books and records and internal controls provisions.
The Stryker action is yet another example of the SEC obtaining a disgorgement remedy without finding or charging violations of the FCPA's anti-bribery provisions. (See here for a prior post on no-charged bribery disgorgement).
The SEC order also contains a separate section titled "Stryker's Remedial Efforts" and states:
"In response to the Commission's investigation, Stryker retained outside counsel to assist Stryker in conducting an internal investigation into Stryker's compliance with the FCPA in the jurisdictions that were the subject of the staff's inquiry, as well as in jurisdictions where issues arose through Stryker's audit and hotline processes. Stryker voluntarily produced reports and other materials to the Commission staff summarizing the findings of its internal investigation. In total, Stryker produced over 800,000 pages of documents at Stryker's expense, including courtesy translations of numerous key documents. Since the time of the conduct detailed above, Stryker implemented a company wide anti-corruption compliance program, which includes: (a) enhanced corporate policies and standard operating procedures setting forth specific due diligence and documentation requirements for relationships with foreign officials, health care professionals, consultants, and distributors; (b) compliance monitoring and corporate auditing specifically tailored to anticorruption, including the hiring of a chief compliance officer and a sizeable full-time dedicated staff in both its internal audit and compliance functions to ensure FCPA compliance and the implementation of periodic self-assessments; (c) enhanced financial controls and governance; (d) expanded anti-corruption training to all Stryker employees; and (e) the maintenance of an Ethics Hotline which serves as a mechanism for employees to report any actual or suspected illegal or unethical behavior. In addition to its internal anti-corruption enhancements, from 2007 through the present, Stryker engaged a third-party consultant to perform FCPA compliance assessments and compile written reports for Stryker's operations in dozens of foreign jurisdictions across the world at least annually. Stryker voluntarily produced documents that permitted the Commission staff to assess how Stryker's internal audit and compliance functions used the results of each of the assessments to implement additional enhancements to its infrastructure, to target jurisdictions for future assessments, and to create management action plans in collaboration with local management. Based on the improvements described above, Stryker has demonstrated a commitment to designing and funding a meaningful compliance program in order to prevent and detect violations of the FCPA and other applicable anti-bribery laws."
In this Wall Street Journal Risk and Compliance post, a Stryker spokesperson stated that the company "was advised that the Justice Department closed its investigation."
Matthew Kipp (Skadden) represented Stryker.
Stryker's November 2007 quarterly filing stated:
"In October 2007, the Company disclosed that the United States Securities and Exchange Commission has made an informal inquiry of the Company regarding possible violations of the Foreign Corrupt Practices Act in connection with the sale of medical devices in certain foreign countries."
Thus, the time period from first instance of public disclosure of FCPA scrutiny to actual settlement was 6 years.
Yesterday Stryker's stock was up approximately .07%.
A few upcoming events that may be of interest to East Coast readers.
On Wednesday, October 30th, Brooklyn Law School will host a panel discussion of practitioners, in-house counsel, and professors titled "New Developments in FCPA Enforcement" (see here for more information).
On Saturday, Nov. 10th, I will be participating in a panel titled "Anti-Corruption Initiatives in the Arab World" as part of Harvard's Arab Weekend. (To learn more about the event and the other panelists, see here).
Johnson & Johnson Enforcement Action Focuses on Health Care Providers As "Foreign Officials"
By Mike Koehler on April 11, 2011 in 2011 Enforcement Actions, Deferred Prosecution Agreements, DePuy, DOJ Enforcement Action, Foreign Official, Greece, Iraq, Johnson and Johnson, Medical Device Industry, Merger Issues, Oil for Food Enforcement Action, Pharmaceutical Industry, Poland, Related Foreign Investigations, Romania, SEC Enforcement Action, Serious Fraud Office, Travel and Entertainment, Voluntary Disclosure
That was quite the 72-hour period for FCPA enforcement last week. On Wednesday, it was JGC Corporation of Japan ($218.8 million in criminal fines). On Thursday, it was Comverse Technologies ($2.8 million in combined DOJ and SEC fines, penalties, and disgorgement). On Friday, it was Johnson & Johnson ($70 million in combined DOJ and SEC fines, penalties and disgorgement – plus approximately $7.9 million in a related U.K. Serious Fraud Office civil recovery).
This post analyzes the Johnson & Johnson enforcement action. Separate posts regarding the Comverse and JGC Corp. enforcement actions will follow later this week.
Johnson & Johnson ("J&J), a global pharmaceutical, consumer product, and medical device company, resolved enforcement actions focused on business conduct in Greece, Poland, Romania. The enforcement actions also resolved an investigation of Johnson & Johnson subsidiary companies in the United Nations Oil for Food Program in Iraq.
The J&J enforcement action involved both a DOJ and SEC component. Total settlement amount was $70 million ($21.4 million criminal fine via a DOJ deferred prosecution agreement; $48.6 million in disgorgement and prejudgment interest via a SEC settled complaint).
This post summarizes the DOJ, SEC and SFO enforcement actions.
The DOJ enforcement action involved a criminal information (here) against DePuy Inc. (a wholly-owned subsidiary of J&J and a global manufacturer and supplier of orthopedic medical devices) resolved through a deferred prosecution agreement (here).
The background section of the information begins as follows. "Greece has a national healthcare system wherein most Greek hospitals are publicly owned and operated. Health care providers who work at publicly-owned hospitals ("HCPs") are government employees, providing health care services in their official capacities. Therefore, such HCPs in Greece are "foreign officials" as that term is defined in the FCPA."
The conduct at issue focuses on Depuy International. In 1998, J&J acquired DePuy, including its subsidiary Deputy International (a U.K. company).
According to the information, between 1998 through 2006, DePuy and others conspired to "secure lucrative business with hospitals in the Greek public health care system by making and promising to make corrupt payments of money and things of value to publicly-employed Greek HCPs."
The information alleges that "DePuy, its executives, employees, and subsidiaries agreed to sell products to Company X [an agent and distributor for DePuy and its subsidiaries in Greece until 2001 when it was acquired by DePuy and named DePuy Medec and later renamed DePuy Hellas] at a 35% discount, then paid 35% of sales by Company X to an off-shore account of Company Y [based in the Isle of Man and a consultant for DePuy International in Greece until 1999] in order to provide off-the-books funds to Agent A [a Greek national who was the beneficial owners of both Company X and Y] for the payment of cash incentives and other things of value to publicly-employed Greek HCPs to induce the purchase of DePuy products, while concealing the payments."
The information further alleges that "DePuy, its executives, employees, and subsidiaries agreed to pay Agent A and Agent B [a Greek national who acted as a consultant to DePuy International and DePuy Hellas] a percentage of the value of sales of DePuy products in Greece in order to provide funds to Agent A and Agent B for the payment of cash incentives and other things of value to publicly-employed Greek HCPs to induce the purchase of DePuy products, while concealing the payments."
The information further alleges that between 2002 and 2006 "approximately £500,000 was withdrawn by DePuy Hellas MD [a Greek National who was an employee of Company X until it was acquired by J&J when she became the Managing Director of DePuy Hellas] and others and used to cover payments owed to HCPs by the agents but not yet paid."
The information charges as follows. "In total, from 1998 to 2006, defendant DePuy, DePuy International, and their related subsidiaries and employees, authorized the payment, directly or indirectly, of approximately $16.4 million in cash incentives to publicly-employed Greek HCPs to induce the purchase of DePuy products. In order to conceal the payments, DePuy Hellas and DePuy International falsely recorded the payments in their books and records as "commissions.""
As to a U.S. nexus, the information describes the following: certain phone calls made to Executive B (a U.S. citizen and officer and senior executive of DePuy) in Indiana to discuss the Company X acquisition and due diligence on Greek Agent A; e-mails sent to Executive B in Indiana regarding Agent A or Greek business in general; e-mails Executive A (a British citizen who was an officer and senior executive in charge of DePuy at the time it was purchased by J&J and who retained that position until 1999 when he became a senior executive at J&J retaining control of DePuy and its related operating companies) sent or received in New Jersey regarding Agent A.
Based on the above allegations, the information charges: (i) a conspiracy to violate the FCPA's anti-bribery and books and records provisions; and (ii) a substantive FCPA anti-bribery violation.
The DOJ's charges against DePuy were resolved via a deferred prosecution agreement (dated January 14, 2011) between the DOJ and J&J, its subsidiaries, and its operating companies "relating to illegal conduct committed by certain J&J operating companies and subsidiaries." In addition to DePuy Inc., other operating companies named are Cilag AG International and Janssen Pharmaceutica N.V.
Pursuant to the DPA, J&J admitted, accepted and acknowledged "that it is responsible for the acts of its officers, employees, and agents, and wholly-owned subsidiaries and operating companies" as set forth in a Statement of Facts attached to the DPA.
The term of the DPA is three years and it states that the DOJ entered into the agreement based on the following factors.
(a) J&J voluntarily and timely disclosed the majority of the misconduct described in the Information and Statement of Facts [Note – the Iraq Oil for Food conduct was not voluntarily disclosed];
(b) J&J conducted a thorough internal investigation of that misconduct;
(c) J&J reported all of its findings to the Department;
(d) J&J cooperated fully with the Department's investigation of this matter;
(e) J&J has undertaken substantial remedial measures as contemplated by [the DPA];
(f) J&J has agreed to continue to cooperate with the Department in any investigation of the conduct of J&J and its directors, officers, employees, agents, consultants, subsidiaries, contractors, and subcontractors relating to violations of the FCPA and related statutes;
(g) J&J has cooperated and agreed to continue to cooperate with the SEC and, at the direction of the Department, foreign authorities investigating the conduct of J&J and its directors, officers, employees, agents, consultants, subsidiaries, contractors, and subcontractors relating to corrupt payments;
(h) J&J has cooperated and agreed to continue to cooperate with the
Department in the Department's investigations of other companies and individuals in connection with business practices overseas in various markets;
"(i) J&J has also agreed to resolve related cases being investigated by the SEC and the United Kingdom Serious Fraud Office (the "SFO"); and
(j) Were the Department to initiate a prosecution of J&J or one of its operating companies and obtain a conviction, instead of entering into this Agreement to defer prosecution, J&J could be subject to exclusion from participation in federal health care programs pursuant to 42 U.S.C. § 1320a-7(a).
With respect to the corporate compliance reporting obligations imposed on J&J by the DPA, the agreement states as follows.
(i) J&J has already engaged in significant remediation of the misconduct described in the Statement of Facts and reviewed and improved its compliance program and implementation thereof;
(ii) J&J conducted an extensive, global review of all of its operations to determine if there were problems elsewhere and has reported on any areas of concerns to the Department and the SEC;
(iii) J&J has and will undertake enhanced compliance obligations
described in [the DPA];
(iv) J&J's cooperation during this investigation and its substantial assistance in investigations of others has been extraordinary; and
(v) J&J had a pre-existing compliance and ethics program that was effective and the majority of problematic operations globally resulted from insufficient implementation of the J&J compliance and ethics program in acquired companies."
As stated in the DPA, the fine range for the above described conduct under the U.S. Sentencing Guidelines was $28.5 million to $57 million. Pursuant to the DPA, J&J agreed to pay a monetary penalty of $21.4 million (25% below the minimum amount suggested by the guidelines). The DPA states as follows. "J&J and the Department agree that this fine is appropriate given J&J's voluntary and thorough disclosure of the misconduct at issue, the nature and extent of J&J's cooperation in this matter, penalties related to the same conduct in the United Kingdom and Greece, J&J's cooperation in the Department's investigation of other companies, and J&J's extraordinary remediation."
Pursuant to the DPA, J&J agreed to self-report to the DOJ "periodically, at no less than six-month intervals" during the term of the DPA "regarding remediation and implementation of the compliance measures" described in the DPA.
As is standard in FCPA DPAs, J&J agreed not to make any public statement "contradicting the acceptance of responsibility" by J&J as set forth in the DPA.
The Statement of Facts attached to the DPA include, in addition to the Greece conduct described above, conduct relating to Poland, Romania and in connection with the U.N. Oil for Food Program in Iraq.
As to Poland, the DPA states, in summary fashion as follows.
"Poland has a national healthcare system. Most Polish hospitals are owned and operated by the government and most Polish HCPs [health care providers] are government employees providing health care services in their official capacities. Therefore, most HCPs in Poland are "foreign officials" as defined by the FCPA."
"Polish hospitals purchase their medical products through a tender process, whereby suppliers of medical products compete for business by submitting bids to tender committees. Each tender committee may be associated with one or more hospitals."
"In general, the tender committees evaluate the competitive bids and select the winning supplier for each purchase. Because most Polish hospitals are government owned, the tender committees effectively determine, on behalf of the government, from whom the government will purchase medical products."
"J&J Poland [a wholly owned subsidiary of J&J] made payments and provided things of value to publicly-employed Polish HCPs, in the form of "civil contracts," travel sponsorships, and donations of cash and equipment, to corruptly influence the decisions of HCPs on tender committees to purchase medical products from J&J Poland."
As to civil contracts, the DPA states as follows.
"J&J Poland engaged in professional services contracts with publicly-employed Polish HCPs, known as "civil contracts." The contracts were purportedly for professional services including lecturing, leading workshops, and conducting clinical trials."
"J&J Poland did not require that its sales representatives provide proof that the work, for which payment had been made, was actually ever performed."
"From January 2000 until June 2006, J&J Poland awarded civil contracts to publicly-employed Polish HCPs to corruptly influence them, in their official capacities as members of tender committees, in order to induce those HCPs to select, or favorably influence the selection of, J&J Poland as the winning supplier in tender processes."
As to travel, the DPA states as follows.
"J&J Poland sponsored some publicly-employed Polish HCPs to attend conferences in order to corruptly influence them, in their official capacities as members of tender committees, in order to induce the HCPs to select, or favorably influence the selection of, J&J Poland as the winning supplier in tender processes."
As to "Total Improper Payments in Poland," the DPA states as follows.
"In total, from in or around 2000 to in or around 2007, J&J Poland and its employees authorized the payment, directly or indirectly, of approximately $775,000 in improper payments, including direct payments and travel, to publicly-employed Polish HCPs to induce the purchase of J&J products."
As to Romania, the DPA states as follows.
"The national healthcare system in Romania is almost entirely state-run. The healthcare system is funded by the National Health Care Insurance Fund ("CNAS"), to which employers and employees make mandatory contributions. Most Romanian hospitals are owned and operated by the government and most HCPs in Romania are government employees. Therefore, most HCPs in Romania are "foreign officials" as defined by the FCPA."
"From in or around 2005 through in or around 2008, J&J Romania [a wholly owned subsidary] employees made arrangements with J&J Romania distributors for the distributors, on behalf of J&J Romania, to provide cash payments and gifts to publicly-employed Romanian HCPs in exchange for prescribing certain pharmaceuticals manufactured by J&J subsidiaries and operating companies."
As to "Total Improper Payments in Romania," the DPA states as follows.
"In total, from in or around July 2005 to in or around mid-2008, J&J Romania and its employees authorized the payment, directly or indirectly, of approximately $140,000 in incentives to publicly-employed Romanian HCPs to induce the purchase of pharmaceuticals manufactured by J&J subsidiaries and operating companies."
Oil for Food Program
As to the U.N. Oil for Food Program, the DPA states as follows.
"Between in or around December 2000 and in or around March 2003, Janssen [a wholly-owned subsidiary of J&J headquarted in Belgium] and Cilag [a wholly-owned subsidiary of J&J headquartered in Switzerland] were awarded 18 contracts for the sale of pharmaceuticals to the Iraqi Ministry of Health State Company for Marketing Drugs and Medical Appliances ("Kimadia") under the [Oil for Food Program], with a total contract value of approximately $9.9 million, which generated approximately $6.1 million in profits. Janssen and Cilag secured these contracts through the payment of approximately $857,387 in kickbacks to the government of Iraq."
"The kickbacks were paid to the government of Iraq through JC-Lebanon Agent [a Lebanese citizen who was an agent for both Janssen and Cilag in Iraq]. The kickbacks were concealed from the United Nations by inflating Janssen and Cilag's contract prices by 10%."
The DPA concludes with a section titled "Books and Records" that states as follows.
"In order to conceal the payments to the Greek, Polish, and Romanian HCPs on the books and records of J&J and its subsidiaries, the payments were misrepresented as, among other things, "commissions," "civil contracts," "travel," "donations," and "discounts.""
"In order to conceal the kickback payments made to the Iraqi government through JC-Lebanon Agent for contracts under the OFFP on the books and records of Janssen and Cilag, the payments were misrepresented as "commissions.""
"At the end of J&J's fiscal year from in or around 1998 to in or around 2007, the books and records of DePuy International, DePuy Hellas, J&J Poland, J&J Romania, Janssen, and Cilag, including those containing false characterizations of kickback and bribe payments given to the Iraqi government and Greek, Polish, and Romanian officials, were incorporated into the books and records of J&J for purposes of preparing J&J's year-end financial statements, which were filed with the Securities and Exchange Commission."
The DOJ's release (here) states as follows.
"Johnson & Johnson has admitted that its subsidiaries, employees and agents paid bribes to publicly-employed health care providers in Greece, Poland and Romania, and that kickbacks were paid on behalf of Johnson & Johnson subsidiary companies to the former government of Iraq under the United Nations Oil for Food program. Johnson & Johnson, however, has also cooperated extensively with the government and, as a result, has played an important role in identifying improper practices in the life sciences industry. As [the DPA] reflects, we are committed to holding corporations accountable for bribing foreign officials while, at the same time, giving meaningful credit to companies that self-report and cooperate with our investigations." "The agreement recognizes J&J's timely voluntary disclosure, and thorough and wide-reaching self-investigation of the underlying conduct; the extraordinary cooperation provided by the company to the department, the SEC and multiple foreign enforcement authorities, including significant assistance in the industry-wide investigation; and the extensive remedial efforts and compliance improvements undertaken by the company. In addition, J&J received a reduction in its criminal fine as a result of its cooperation in the ongoing investigation of other companies and individuals, as outlined in the U.S. Sentencing Guidelines. J&J's fine was also reduced in light of its anticipated resolution in the United Kingdom. Due to J&J's pre-existing compliance and ethics programs, extensive remediation, and improvement of its compliance systems and internal controls, as well as the enhanced compliance undertakings included in the agreement, J&J was not required to retain a corporate monitor, but it must report to the department on implementation of its remediation and enhanced compliance efforts every six months for the duration of the agreement."
The SEC's civil complaint (here) is based on the same core set of facts contained in the above DPA and alleges, in summary, as follows.
"This matter concerns violations of the Foreign Conupt Practices Act by J&J as a result of the acts of its subsidiaries to obtain business for J&J's medical device and pharmaceutical segments."
"Since at least 1998 and continuing to early 2006, J&J's subsidiaries, employees and agents paid bribes to public doctors in Greece who selected J&J surgical implants for their patients. Further, J&J's subsidiaries and agents paid bribes to doctors
and public hospital administrators in Poland who awarded tenders to J&J from 2000 to 2006. J&J's subsidiaries and agents also paid bribes to public doctors in Romania to prescribe J&J pharmaceutical products from 2002 to 2007. Finally, J&J's subsidiaries and agent paid kickbacks to Iraq in order to obtain contracts under the United Nations Oil for Food Program ("Program") from 2000 to 2003."
As to Greece, the SEC complaint alleges as follows.
"One of J&J's product lines is surgical implants such as artificial knees, hips and other products that surgeons implant into patients. Surgical implants are a lucrative, but competitive business. In many countries, orthopedic surgeons control which implants they use."
"In 1998, J&J acquired another medical device company, DePuy Inc., a NYSE company. A top DePuy executive then went on to become a top J&J executive in the United States in J&J's medical device and diagnostics business ("Executive A"). At the time of the acquisition, DePuy was engaged in a widespread bribery scheme in Greece to sell its implants. Executive A and DPI executives knowingly continued that scheme. From 1998 to 2006, J&J earned $24,258,072 in profits on sales obtained through bribery."
The SEC complaint alleges that "J&J's internal audit group discovered the payments to Greek doctors in early 2006 after receiving a whistleblower complaint." According to the complaint, "the issue of payments to surgeons had been previously raised in an anonymous 2003 letter to a different internal audit team concerning a related J&J subsidiary in Greece … however, that team concentrated their investigation on allegations about a possible conflict ofinterest by local management and J&J did not fully investigate the alleged payments to doctors."
As to Poland, the SEC complaint alleges as follows.
"Employees of … a J&J subsidiary, bribed publicly-employed doctors and hospital administrators to obtain business. [Subsidiary] executives running three business lines oversaw the creation of sham contracts and travel documents and also the creation of slush funds as a means to funnel bribe payments to doctors and
administrators. From 2000 to 2006, J&J earned $4,348,000 in profit from its sales through the bribery."
"The bribery appears to have stopped when Polish prosecutors began to investigate payments to doctors."
As to travel issues, the SEC complaint alleges as follows.
"[Subsidiary] also paid for public doctors and hospital administrators to travel to medical conventions in Poland and abroad in order to influence tender committee decisions in their favor. Sponsored doctors were taken on trips in exchange for influencing the doctors' decisions to purchase J&J's medical products or to award hospital tenders to J&J. Some of the trips were to the United States for conferences. Some of the trips were to tourists areas in Europe, and some included spouses and family members to what amounted to vacations."
As to Romania, the SEC complaint alleges as follows.
"Employees of … a J&J subsidiary, bribed publicly-employed doctors and pharmacists to prescribe J&J products that the company was actively promoting. The employees worked with [the subsidiary's] local distributors to deliver cash to publicly-employed doctors who ordered J&J drugs for their patients. [The subsidiary] also provided travel to certain doctors who agreed to prescribe J&J products. From 2000 to 2007, J&J earned $3,515,500 in profit from its sales through the bribery."
As to Iraq Oil for Food conduct, the SEC complaint alleges as follows.
"J&J participated in the Program through two of its subsidiaries, Cilag AG International and Janssen Pharmaceutica N.V. (collectively "Janssen-Cilag"). During the program, Janssen-Cilag sold pharmaceuticals to an arm of the Iraqi Ministry of Health known as Kimadia. Janssen-Cilag conducted business with Kimadia in Iraq through a Lebanese agent (the "Agent"). The Agent's primary contact with the J&J companies was an area director at Janssen-Cilag's office in Lebanon."
"In total, secret kickback payments of approximately $857,387 were made in connection with nineteen Oil for Food contracts. The payments were made through the Agent to Iraqi controlled accounts in order to avoid detection by the U.N. The fee was effectively a bribe paid to the Iraqi regime, which were disguised on J&J's books and records by mischaracterizing the bribes as legitimate commissions."
"In order to generate funds to pay the bribes and to conceal those payments, Janssen-Cilag and its agent inflated the price of the contracts by at least ten percent before submitting them to the U.N. for approval. J&J's total profits on the contracts were $6,106,255."
Under the heading "Anti-Bribery Violations" the complaint alleges as follows.
"J&J, through its subsidiaries and agents, knowingly allowed its employees and third parties to pay Greek and Polish public doctors and public hospital administrators for the purpose of obtaining or retaining business."
"Executive A, a U.S. resident and a senior executive at J&J, approved the arrangements with the Greek Agent in Greece. Executive A and DPI executives knew that the Greek Agent was bribing Greek doctors. In addition, Polish doctors were bribed to use J&J products in return for trips. Use of the mails and interstate commerce was also used to facilitate the bribery schemes in both Greece and Poland."
Under the hearing "Failure to Maintain Its Books and Records" the complaint alleges as follows.
"J&J's subsidiaries made numerous illicit payments for the purpose of obtaining contracts in Iraq, Romania, Greece, and Poland. J&J's books and records did not reflect the true nature of those payments. For example, they did not record that a portion of its payments to the Greek and Iraqi agents constituted reimbursements for bribes, and they did not record the true terms of the civil contract payments to Polish doctors. Efforts were made to obscure the purpose of trips to the United States and abroad. Certain J&J subsidiaries created false contracts, invoices, and other documents to conceal the true business arrangement it had with its consultants and distributors to pay bribes. False travel documents were created, and petty cash was used to pay bribes. United Nations contracts were also falsified."
Under the heading "Failure to Maintain Adequate Internal Controls," the complaint alleges as follows.
"J&J failed to implement internal controls to detect or prevent bribery. The conduct was widespread in various markets, Greece, Poland, Romania, and Iraq. The conduct involved employees and managers of all levels. False documents were routinely created to conceal the bribery in each country."
"Rather than cease the bribery that was happening at DePuy prior to J&J's acquisition, J&J through its subsidiaries, employees and agents allowed the bribery to continue. They created sham businesses and entered into contracts that were merely
conduits to allow the bribery to flourish. They failed to conduct due diligence on the Greek Distributor. The Company also paid its consultant outside of Greece to avoid detection of bribery. The Company had two different J&J corporate entities make
payments to the Greek Agent to conceal the amount of money that was being funneled to
doctors as bribes."
"[Polish subsidiary] entered into fake civil contracts with Polish doctors and J&J also created false travel arrangements in Poland and Romania to create slush funds."
"Cilag and Janssen paid bribes to Iraq despite the fact that trade sanctions were in place against doing business in Iraq. Cilag and Janssen falsified their contracts with the United Nations to conceal the kickbacks being paid to Iraq."
Based on the above allegations, the SEC charged J&J with FCPA anti-bribery violations and FCPA books and records and internal control violations.
Without admitting or denying the SEC's allegations, J&J agreed to an injunction prohibiting future FCPA violations and agreed to pay $38,227,826 in disgorgement and $10,438,490 in prejudgment interest.
The SEC's release (here) contains the following statement from Robert Kuzami (Director of the SEC's Division of Enforcement): "The message in this and the SEC's other FCPA cases is plain – any competitive advantage gained through corruption is a mirage. J&J chose profit margins over compliance with the law by acquiring a private company for the purpose of paying bribes, and using sham contracts, off-shore companies, and slush funds to cover its tracks." In the release, Cheryl Scarboro (Chief of the SEC Enforcement Divisions FCPA Unit) stated as follows. "Bribes to public doctors can have a detrimental effect on the public health care systems that potentially pay more for products procured through greed and corruption."
The SEC release states as follows.
"J&J voluntarily disclosed some of the violations by its employees and conducted a thorough internal investigation to determine the scope of the bribery and other violations, including proactive investigations in more than a dozen countries by both its internal auditors and outside counsel. J&J's internal investigation and its ongoing compliance programs were essential in gathering facts regarding the full extent of J&J's FCPA violations."
On the same day as the above U.S. enforcement actions, the U.K. SFO announced (here) a Civil Recovery Order against DePuy International Limited "in which DePuy International Limited will pay £4.829 million [approximately $7.9 million], plus prosecution costs, in recognition of unlawful conduct relating to the sale of orthopaedic products in Greece between 1998 and 2006."
According to the SFO release, the SFO "launched an investigation into the activities of DePuy International Limited in October 2007 following a referral from the DOJ." Richard Alderman, Director of the SFO, stated as follows. "When Johnson & Johnson reported the DePuy corruption, the DOJ informed the SFO of issues within our jurisdiction. We worked with the DOJ to find a solution that served both the interests of justice and the company's desire to put illegal activity behind it and move on. I believe the order approved […] will illustrate to other companies how the SFO works closely with organisations across the world in enforcing the highest ethical standards, but is willing to engage and listen to companies that come to us with problems and help them find solutions."
The SFO release further states as follows. "On the facts of this case, criminal sanction of the Greek conduct has been achieved by the conclusion of a Deferred Prosecution Agreement with DePuy International Limited's parent company and the DOJ. The Director of the Serious Fraud Office has concluded that a prosecution was therefore prevented in this jurisdiction by the principles of double jeopardy. The underlying purpose of the rule against double jeopardy is to stop a defendant from being prosecuted twice for the same offence in different jurisdictions. The DOJ Deferred Prosecution Agreement has the legal character of a formally concluded prosecution and punishes the same conduct in Greece that had formed the basis of the Serious Fraud Office investigation. […] Consequently the Serious Fraud office is satisfied that the most appropriate sanction is a Civil Recovery Order, under the Proceeds of Crime Act 2002."
As highlighted in this prior post, in April 2010, former DePuy executive Robert Dougall pleaded guilty to conspiring with others "to make corrupt payments and/or give other inducements" to "medical professionals within the Greek state health care system" contrary to Section 1 of the UK Prevention of Corruption Act of 1906.
Eric Dubelier (Reed Smith – see here – a former DOJ enforcement attorney) represented J&J.
J&J's press release (here) notes as follows. "In 2007, Johnson & Johnson voluntarily disclosed to the DOJ and the SEC that subsidiaries outside the United States were believed to have made improper payments in connection with the sale of medical devices. In the course of comprehensive compliance efforts and reports into the Company, similar issues in additional markets and businesses were identified and brought to the attention of the agencies." William Weldon, Chairman and Chief Executive Officer of J&J stated as follows. "More than four years ago, we went to the government to report improper payments and have taken full responsibility for these actions. We are deeply disappointed by the unacceptable conduct that led to these violations. We have undertaken significant changes since then to improve our compliance efforts, and we are committed to doing everything we can to ensure this does not occur again. I know that these actions are not representative of Johnson & Johnson employees around the world who do what is honest and right every day, in the conduct of our business and in service to patients and customers worldwide. We will continue to demonstrate that Johnson & Johnson is a company that embraces responsible corporate behavior."
© 2016 FCPA Professor LLC. All Rights Reserved.


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Whether you're taking off on a weekend trip or a marathon adventure, you should know a thing or two about Porto Santo before setting off.
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There is something bewitching about the undulating swell at the seaside. Unfold a picnic chair, sit back, relax and enjoy watching the ocean's ever-changing moods at Porto Santo Beach. Need some more options? Take your escape to dizzying new heights by walking up Pico Castelo. As you trudge to the top, stop for a moment and take in the gorgeous views. But that's not all. Would you like to look at the world from up high but don't want to attempt hang gliding or parachuting? Then why not trek up Pico Ana Ferreira instead? You'll be able to take in splendid views while standing safely on terra firma!
If you're staying in Porto Santo, you don't have to be limited to this location. Santa Cruz is only 40 miles (64 kilometers) away and features a great range of nearby things to see and do, including the Botanical Garden. Need more convincing? The Palheiro Gardens is also close at hand.
Situated near the airport, this hotel is 1.1 mi (1.8 km) from Pico Castelo and within 3 mi (5 km) of Porto Santo Beach and Quinta das Palmeiras. Pico Ana Ferreira is 4.5 mi (7.3 km) away.
This family-friendly Porto Santo hotel is located near the airport, within 2 mi (3 km) of Porto Santo Beach and Pico Ana Ferreira. Quinta das Palmeiras and Pico Castelo are also within 6 mi (10 km).
Located in Porto Santo, this beachfront hotel is in the city center, 0.1 mi (0.1 km) from Porto Santo Beach, and 2.6 mi (4.2 km) from Quinta das Palmeiras. Pico Ana Ferreira and Pico Castelo are also within 6 mi (10 km).
Nestled on the beach, this Porto Santo hotel is within 3 mi (5 km) of Porto Santo Beach, Pico Ana Ferreira, and Quinta das Palmeiras. Pico Castelo is 5.5 mi (8.8 km) away.
Situated near the beach, this eco-friendly hotel is 0.2 mi (0.3 km) from Porto Santo Beach and 3 mi (4.8 km) from Quinta das Palmeiras. Pico Castelo and Pico Ana Ferreira are also within 6 mi (10 km).
Nestled on the beach, this Porto Santo hotel is within 3 mi (5 km) of Porto Santo Beach, Pico Ana Ferreira, and Quinta das Palmeiras. Pico Castelo is 5.1 mi (8.2 km) away.
Situated in Porto Santo, this eco-friendly hotel is within 1 mi (2 km) of Porto Santo Beach and Pico Ana Ferreira. Quinta das Palmeiras and Pico Castelo are also within 9 mi (15 km).
Situated near the airport, this hotel is 0.3 mi (0.4 km) from Porto Santo Beach and within 3 mi (5 km) of Quinta das Palmeiras and Pico Ana Ferreira. Pico Castelo is 5.1 mi (8.2 km) away.


text:
Q: Integration of $\frac{\sin x}{\sin 4x}$ Question:

Solve the following integral: $$\int \frac{\sin x}{\sin4x}dx$$

Attempt:
Using trigonometric identities to expand $\sin4x$, I obtained the integral:
$$\int \frac{1}{4\cos x \cos2x}dx$$
Now I'm not sure how to proceed. I tried writing $\cos2x$ in terms of $\sin x$ and $\cos x$ however that wasn't helpful. Is there a certain substitution to make? Also, is it possible to use partial fractions when dealing with trigonometric functions?

A: Substitute $\cos 2x=1-2\sin^2(x)$ and multiply by $\cos(x)$ on top and bottom, and then let $u=\sin(x)$ and $du=\cos(x)dx$:
$$\frac{1}{4}\int \frac{1}{\cos x \cos 2x} dx\\
=\frac{1}{4}\int \frac{\cos x}{\cos^2 x (1-2\sin^2(x))} dx\\
=\frac{1}{4}\int \frac{\cos x}{(1-\sin^2 x) (1-2\sin^2(x))} dx\\
=\frac{1}{4}\int \frac{1}{(1-u^2) (1-2u^2)} du\\
$$
Then use partial fractions.

A: $$\begin{eqnarray*}\int\frac{\sin(x)\,dx}{\sin(4x)}&=&\frac{1}{4}\int\frac{dx}{2\cos^3 x-\cos x}=\frac{1}{4}\int\frac{\cos x\,dx}{2\cos^4 x-\cos^2 x}\\&=&\frac{1}{4}\int\frac{\cos(x)\,dx}{(1-\sin(x))(1+\sin(x))(1-2\sin^2 x)}\end{eqnarray*}$$
so it is enough to integrate:
$$\begin{eqnarray*}\int\frac{dt}{(1-t)(1+t)(1-2t^2)}&=&\int\frac{2\,dt}{1-2t^2}-\int\frac{dt}{1-t^2}\\&=&\sqrt{2}\,\text{arctanh}(\sqrt{2} t)-\text{arctanh}(t)+C.\end{eqnarray*}$$

A: $$\eqalign{\frac{1}{4}\int\frac{dx}{\cos x\cos2x} &= \frac{1}{4}\int\frac{dx}{\cos x(2(\cos x)^2 - 1))}\cr
  & =
\frac{1}{4}\int\frac{1}{\cos x} - \frac{2\cos x}{(2(\cos x)^2 - 1)}dx\cr
  & = \frac{1}{4}\int\frac{1}{\cos x} - \frac{2\cos x}{1 - 2(\sin x)^2}dx\ .\cr}$$

A: You can split the integrand into partial fractions as $$\frac 14\left(\frac{-1}{\cos x}+\frac{1}{2\cos x-\sqrt2}+\frac{1}{2\cos x+\sqrt2}\right)$$
Then use the usual substitution $t=\tan(\frac x2)$

redpajama_set_name: RedPajamaStackExchange


text:
Bloomingdale fire district seeks funds to provide better service
Fire Chief Jeffrey Janus says the Bloomingdale Fire Protection District needs to replace vehicles such as this engine, but has delayed replacement purchases in recent years because of budget constraints. The district is asking for a $4.5 million tax increase over 10 years to pay for new equipment, vehicle replacement and facility repairs. Bev Horne | Staff Photographer
Fire Chief Jeffrey Janus and Battalion Chief Richard Kurka, right, look over ambulance equipment at the district's headquarters at Station 21. Included in a proposal for a $4.5 million tax increase that's on the March 20 ballot is $513,000 for new equipment hospitals are requiring to be on ambulances. Bev Horne | Staff Photographer
Marie Wilson
Follow @mariewilson9
Updated 3/6/2018 10:23 AM
Facing equipment demands from hospitals, repair needs at three buildings and high-mileage issues with ambulances and fire trucks, the Bloomingdale Fire Protection District is asking voters for a tax increase on the March 20 ballot.
But before the proposed increase of $4.5 million potentially could go into effect, property owners will see at least a one-year decrease in the amount they owe the district, totaling roughly $40 for the owner of a $300,000 home, fire Chief Jeffrey Janus said.
A tax increase approved in the late 1990s, to build the headquarters at 179 S. Bloomingdale Road, expired in 2016. So 2017 property taxes, due this year, will reflect the decrease.
That's part of the reason the district is choosing this month's primary election to seek new money to buy hospital-required equipment for ambulances, make improvements to three stations and replace aging ambulances and engines, officials said.
The district, which covers 19.5 square miles and handles a yearly average of 4,500 calls, wants to spend $513,000 on equipment, $827,000 on facilities and $3.1 million on vehicles during the next 10 years.
The proposed tax increase would give the district roughly $518,000 a year to spend on those needs, accountant James Howard said. To borrow the $4.5 million at an estimated rate of 2.85 percent would cost an additional $750,000 in interest over the life of the loan, he said.
If voters approve the spending, the tax increase would go into effect on the 2018 bill, paid in 2019. It would add back this year's $40 decrease, so the owner of a $300,000 house again would owe the district roughly $661.
"The taxpayer won't see a difference between what they're paying now and what they'll pay if the referendum is approved," Battalion Chief Richard Kurka said. "We really didn't want to create a burden on the taxpayers. This is what they're used to paying."
Buying new equipment for ambulances will be the first priority.
"We'd like to provide that sooner because it gives us better service," Kurka said.
Equipment needs include new electrocardiogram monitors, which have more sensors to provide a better picture of how the heart is functioning; new video laryngoscope devices, which give paramedics a view while inserting an airway tube down a patient's throat; as well as new CPR devices and extrication tools.
Replacing vehicles is the next priority, especially a 2010 ambulance known as medic 21, which has 119,480 miles. The other two ambulances, from 2009 and 2013, aren't far behind at 88,130 and 74,665 miles, respectively.
Kurka said the district likes to replace ambulances every five to seven years, but has delayed some purchases because of budget constraints. Buying two new ambulances during the 10-year loan would cost $500,000. The district also wants to replace three fire engines at $600,000 each.
Upgrading equipment and buying new vehicles will help the district live up to the standards of its 40,000 residents, in Bloomingdale as well as parts of Addison, Glendale Heights, Hanover Park, Itasca, Medinah, Roselle and unincorporated DuPage County.
"Residents expect fire trucks and trained people to show up," Janus said.
Those "trained people" show up from two fire stations staffed 24 hours a day by 46 full-time employees, 10 paid on-call firefighters, one part-time administrative assistant and one contract accountant. Both of the stations are in need of repairs, as is the district's third facility, which is used for training but not staffed at all times, Janus said.
Station 22, built in 1969 at 6N480 Keeney Road, is the oldest and the location used only for training. It needs $350,000 in structural repairs.
Station 23, built in 1993, needs fixes to the garage floor where fire trucks and ambulances are parked, as well as bathroom and office upgrades worth a total of $215,000.
Station 21, the headquarters built in 2001, is mainly in good shape. But appearances hide issues with the heating, ventilation and air conditioning system that cause excess humidity, leading the district to add fans to prevent mold.
"The last thing I want," Janus said, "is for our firefighters to be getting sick."
The ballot question that authorizes the tax increase allows the money only to be spent on equipment, vehicles and facilities -- not salaries, pensions, benefits or hiring new personnel.
The question asks: "Shall the Bloomingdale Fire Protection District #1, DuPage County, Illinois, for fire station repairs and improvements and the purchase of emergency response fleet and equipment, issue its bonds to the amount of $4,500,000 for the purpose of paying the costs thereof?"
DuPage County voters to decide several ballot questions in March
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