NWC Advocacy Director Appears on Fox Business

I had the pleasure of appearing on Fox Business last week to discuss the historic whistleblower provisions included in the recently passed financial reform bill. The qui tam provisions in the bill provide strong protections and financial rewards for reporting financial fraud. These provisions are designed to encourage private employees to report fraud. The FOIA exemption in the whistleblower provision of the bill is necessary to protect the identity of whistleblowers who step forward. 

 

However, for all the good provisions in the bill, Congress still left out an important piece of the puzzle. They failed to include protection for federal employees. So, the employees at the Securities and Exchange Commission (SEC) who are concerned that the agency is not properly investigating a case will still have no protection. We cannot have effective oversight and accountability without both pieces.  Federal employees deserve the same strong whistleblower protections that Congress has repeatedly granted to private employees. The amendments to the Whistleblower Protection Act have been pending in Congress for years and if Congress does not act soon another session will end without the passage of meaningful reform. Congress must immediately pass the House version of the bill, H.R. 1507. You can help by clicking here to send a letter to Congress asking then to pass strong federal employee whistleblower protection.

Judge Raises Red Flag on State Secrets Abuse

On Tuesday, a District Court judge in Washington criticized the federal government for invoking the state secrets privilege in a case in which a DEA agent claimed to have been illegally wiretapped by the CIA. The “state secrets” defense restricts the court from ruling on cases in which government secrets could be released.  

The judge, Royce Lamberth, reluctantly approved a $3 million settlement in this case because of the government’s “state secrets” defense.  Judge Lamberth expressed irritation that government officials would not be held responsible to the public.  In announcing the settlement, Judge Lamberth stated:

“Now this Court is called upon to approve a $3 million payment to an individual plaintiff by the United States, and again it does not appear any government officials have been held accountable for this loss to the taxpayer. This is troubling to the Court.”

Though the plaintiff will receive some retribution, government officials will never take public responsibility for invading his privacy. Judge Lamberth raised the red flag on government abuse of the state secrets defense, pointing to previous similar settlements.

National security whistleblowers also fall victim to the “state secrets” defense, as the government claims their cases are just too sensitive to be tried in court. This defense often leaves whistleblowers with the stigma of “tattle-tales” and “traitors,” and without sufficient recourse for exposing scandals that pose a threat to our national security.  

In what could be the final blow for national security whistleblowers, the Whistleblower Protection Enhancement Act (S.372) does not limit, but expands the use of the state secrets privilege.  With the expansion of this privilege, the government will become less and less transparent, and whistleblowers will be silenced with greater ease.  TAKE ACTION and ask the Senate to fix this provision, or we will all be left asking, “What will the government hide from us next?”
 


*NWC intern Philip Barrett contributed to this post

Poison Pills in Senate Whistleblower Bill May Become Law

The Senate version of the Whistleblower Protection Act (S.372) contains troublesome provisions that actually reduce whistleblower rights but may be passed soon due to a Senate tactic called “hotlining.” When a bill is “hotlined” in the Senate, there is no roll call vote, no debate, no amendment process, and the bill is passed after a certain amount of time as long as no Senator objects. Even more outrageous, in some instances, the “hotline” notification may not even reach some Senators! Although many provisions of S.372 enhance whistleblower protection, there are many “poison pills” that must be corrected, including these:

  • the strong FBI whistleblower protection law is repealed (page 46)
  • agency heads (covering over half the federal workforce) may unilaterally fire a whistleblower with no administrative or judicial review (page 73)
  • the agency that fires a whistleblower is given exclusive power to investigate on whether that agency broke the law (page 70)
  • gives the federal agency the ability to request the dismissal of a case without giving the employee a hearing or jury trial (page 57)

The House of Representatives version of the bill (HR.1507) enhances whistleblower protection and the National Whistleblowers Center fully supports the passage of the House version.

It only takes one Senator’s demand that these issues be fixed in order to stop this Trojan horse from destroying existing whistleblower protections. That Senator can be yours. Please TAKE ACTION and contact your Senator today!

 

*Philip Barrett (a NWC intern) contributed to this posting

Confirmation hearing tomorrow for MSPB nominees

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The Senate's Oversight of Government Management Subcommittee (part of the Homeland Security and Governmental Affairs Committee) will hold a confirmation hearing for two members of the Merit Systems Protection Board (MSPB) on Tuesday, October 20, 2009, starting at 2:30 pm Eastern time. The hearing will be in Room 342 of the Dirksen Senate Office Building and broadcast on the internet. The subcommittee will hear testimony from the nominees, Susan Grundmann (to be Chairman) and Anne Wagner (to be Member).

Alert observers may look for the nominees' responses to questions about the effectiveness of whistleblower remedies currently available through MSPB, how the nominees might use the power provided by 5 U.S.C. §1204(a)(3) to conduct studies on whether the protections are adequate, and how MSPB could apply 5 U.S.C. §1214(g) to provide remedies for federal employee whistleblowers. The nominees might also face questions about MSPB's standards for orders staying a reprisal in Individual Right of Action (IRA) cases under 5 U.S.C. §1221(c).  The current MSPB regulation at 5 CFR §1209.10(b)(3) requires a showing of "substantial likelihood" whereas the standard under 5 CFR §1201.134(a) only requires a "reasonable grounds to believe" for requests made by the Office of Special Counsel (OSC).  Finally, there might be some discussion of the pending Whistleblower Protection Enhancement Act (WPEA), and how MSPB might respond to proposals made in various versions of that bill.

FBI Whistleblower Issues Call To Action On September 11th Anniversary

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On the 8th anniversary of the terrorist attacks on the World Trade Center and the Pentagon, FBI whistleblower Coleen Rowley has issued a call to action for the White House and Congress to pass effective legislation protecting national security whistleblowers.  Ms. Rowley is urging all Americans to put pressure on their Senators and Congressmen to immediately enact whistleblower protections for national security employees, whose whistleblowing actions are often vital to the safety and security of our citizens.

Ms. Rowley, a former FBI agent, blew the whistle on the government’s failure to approve a search warrant for one of the al Qaeda operatives who was attending flight school shortly before the attacks. Although she was named a “Person of the Year” in 2002 by Time Magazine, Ms. Rowley knows very well the dangers national security employees face once they blow the whistle: “I know of so many other national security whistleblowers that lost their jobs and livelihood simply by doing the right thing. Hundreds of national security whistleblowers have been drummed out of their jobs or had their careers destroyed.”

Ms. Rowley knows there is hope, however, and has issued this action alert to help get national security whistleblowers the legal protection they desperately need.

“We must make sure that the President and every member of the House and Senate hear our voice and know we need strong whistleblower protections for national security employees that include the right of court access and trial by jury for national security whistleblowers”

Ms. Rowley's letter urges support for the Van Hollen-Platts Whistleblower Protection Enhancement Act (H.R. 1507), which provides protections for national security whistleblowers, including due process rights and access to the federal courts.  The Senate bill does not include these rights.  It is expected that Congress will take action on federal employee whistleblower rights this month.

 

*Erin Jensen (a NWC intern) contributed to this posting.

What's In The Senate Markup Bill (S.372)?

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This morning the Senate Committee on Homeland Security and Governmental Affairs marked up the Whistleblower Protection Enhancement Act of 2009 (S.372).   You can find my summary and analysis of some of the key provisions of the newly revised Senate bill by clicking here.  The Senate bill still lacks key provisions that are included in the House version of the bill (H.R. 1507).  The National Whistleblowers Center continues to urge the Senate to provide court access and jury trials to all federal employees, including national security employees.

Analysis of Senate Markup Coming Soon

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Today the Senate Committee on Homeland Security and Governmental Affairs held its markup of the Whistleblower Protection Enhancement Act of 2009 (S. 372). National Whistleblowers Center General Counsel David K. Colapinto has carefully analyzed this complex Senate bill.  His expert analysis and commentary on the Senate bill will be posted here shortly. Mr. Colapinto has represented federal employee whistleblowers for over 20 years and has been actively involved in the legislative development of both bills.  Please check back later today to read his commentary.
 
View the National Whistleblowers Center's Statement on the Senate Markup of the Whistleblower Enhancement Act on the NWC website.

 

Judge Says Army Must Answer For Retaliating Against Bunny Greenhouse

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Yesterday, U.S. District Judge Emmet G. Sullivan ordered that the Army Corps of Engineers must answer for its decision to withhold top-secret security clearance from whistleblower Bunnatine (Bunny) H. Greenhouse.

Bunny Greenhouse was the Corps’ top procurement officer when she objected to the Bush administration’s no-bid contracts for Halliburton subsidiary KBR. When Ms. Greenhouse was scheduled to testify before a Congressional Committee during the Bush Administration, the Army Corps’ then acting General Counsel personally advised Greenhouse it would not be in her bests interests to do so. She was swiftly removed as the Army Corps’ Procurement Executive when she ignored that warning.   The Corps also refused to renew her top-secret security clearance (TSSC) on grounds that her new job did not require any clearance.

Ms. Greenhouse filed a lawsuit to get her old job back.  In a ruling yesterday, Judge Sullivan overruled the government’s motion to dismiss Ms. Greenhouse’s claim for her TSSC.

Normally, “an adverse employment action based on denial or revocation of a security clearance is not actionable under Title VII,” Judge Sullivan said, quoting Ryan v. Reno,
168 F.3d 520, 524 (D.C. Cir. 1999).  “In other words,” Judge Sullivan continued, “the determination of whether the agency’s proffered reason for denying plaintiffs’ security clearances was legitimate or pretextual would necessarily require the court to assess the merits of the decision to deny the clearance – precisely the assessment prohibited by the Supreme Court’s holding” in Department of the Navy v. Egan, 484 U.S. 518 (1988).  Judge Sullivan established new precedent, holding that “the decision to strip Greenhouse of her security clearance was based on the Corp’s claim that Greenhouse didn’t need it any more based on the jobs they intended her to perform” thereby making it “entirely unrelated to any security-sensitive considerations.”  
 
Ms. Greenhouse's attorney Michael D. Kohn issued a statement explaining why this decision is so important: “A blanket refusal to permit a court to review the reasons for the denial of security clearances normally leaves national security whistleblowers completely vulnerable to retaliation.  This decision highlights how a decision to withhold security clearance can have nothing to do with national security and everything to do with unlawful retaliation,” Kohn added.

The decision for Ms. Greenhouse arrives just as the Senate Homeland Security and Government Affairs committee is prepares to markup the Whistleblower Protection Enhancement Act (WPEA), S. 372, to provide whistleblowers access to jury trials and expand coverage for employees of national security agencies.  You can watch the markup live tomorrow on the NWC homepage or follow the live updates by whistleblower expert David K. Colapinto on Twitter @ StopFraud.  You can also take action by clicking here.

Judge Sullivan’s Memorandum Opinion and Order in Greenhouse v. Geren, Case No. 07-182 (July 27, 2009)
 

*Morgan Arronson (a NWC intern) contributed to this posting.

Here is a decision of the Equal Employment Opportunity Commission (EEOC) holding that while it cannot restore a security clearance, it can require that a security investigation be reopened to redress a supervisor's retaliatory call for such an investigation.  The case is Marta Fonda-Wall v. v. Department of Justice, Appeal No. 0720060035 (July 29, 2009). The EEOC also increased the award of compensatory damages to Fonda-Wall to $200,000, and ordered other relief.  Here is an excerpt from the EEOC's decision on security clearances:

the Commission has consistently affirmed the dismissal of complainants' claims alleging that they were subjected to discrimination due to their security clearance being revoked or denied, finding that such claims fail to state a claim pursuant to 29 C.F.R. § 1614.107(a)(1), and are outside the purview of the Commission's jurisdiction. See, e.g., Rezaee v. Department of the Air Force, EEOC Appeal No. 01A60451 (April 25, 2006) (citing EEOC National Security Guidance); Carr v. Department of the Army, EEOC Appeal No. 01A44011 (November 4, 2004) (citing EEOC National Security Guidance).
However, the Commission retains authority to review whether the grant, denial, or revocation of a security clearance was carried out in a discriminatory manner. Id.; Schroeder v. Department of Defense (Defense Mapping Agency), EEOC Request No. 05930248 (April 14, 1994).

In Dodson v. Department of Defense, the Commission found discrimination where a manager sought to have an employee's clearance revoked in retaliation for filing EEO complaints. EEOC Appeal No. 01954101 (June13, 1997). The Commission did not address whether the agency actually decided to revoke the clearance, nor did it analyze the substance of any information that was part of the decision to grant or revoke the clearance. The decision addressed the manager's motivation for seeking to have the employee's clearance removed. Further, in Chatlin v. Navy, the Commission found that an agency's decision to initiate areview of a security clearance was not the result of any substantive decision making process, and was thus reviewable by the Commission. EEOC Request No. 05900188 (June 1, 1990).

Upon review, we find that this case presents a situation within the Commission's authority. *** Within thirty (30) calendar days of the date this decision becomes final, the agency shall reactivate the investigation into the suspension of complainant's security clearance, taking into account our finding of discrimination, and if it is determined that she is eligible for a security clearance, that she be reinstated to her former position or offered a substantially equivalent position.
 


 

Senate Committee markup on WPEA is tomorrow

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The Senate Homeland Security and Government Affairs Committee has scheduled its markup of the Whistleblower Protection Enhancement Act (S. 372) for tomorrow, 10:00 a.m. Now is the time to contact your Senators and President Obama and ask them to support adding jury trials for all federal employees, including national security employees. The House bill (HR 1507) is superior in both respects. Sen. McCaskill plans to introduce an amendment to S. 372 to improve it on these issues.  The National Whistleblowers Center has launched a Capwiz action page to support these improvements to S. 372, and a twitter page to follow developments at the markup. NWC General Counsel David K. Colapinto will provide his expert analysis and commentary on how the Senate markups affect the strength of the whistleblower protections in this legislation. You can also catch the live video feed from the Committee when it meets tomorrow. Please pass this message on to your friends and family.  We need the Senate and President Obama to know that the American public wants all federal employees to be protected when they report waste, fraud, and abuse of taxpayer dollars.

 

The committee members are:
Joseph I. Lieberman Chairman (ID) (CT)
Susan M. Collins Ranking Member (ME)
Carl Levin (MI)
Tom Coburn (OK)
Daniel K. Akaka (HI)
John McCain (AZ)
Thomas R. Carper (DE)
George V. Voinovich (OH)
Mark L. Pryor (AR)
John Ensign (NV)
Mary L. Landrieu (LA)
Lindsey Graham (SC)
Claire McCaskill (MO)
Jon Tester (MT)
Roland Burris (IL)
Michael Bennet (CO)

House Intelligence Committee Investigation Demonstrates Need to Protect National Security Whistleblowers

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On Friday, July 17th the House Intelligence Committee opened an investigation into whether the Bush administration broke the law by not informing Congress about several classified programs.  This once again demonstrates the need for Congress to pass strong whistleblower protections, including court access, for national security employees.   The recent national security scandals, including the failure to report programs to Congress and harsh interrogation programs, could have been avoided if employees felt free to speak up.  The C.I.A. never would have been able to hide programs from Congress if the employees were able to report their concerns to Congress without risking their careers.  Giving full whistleblower protections to intelligence employees is the best way to protect to protect national security.  In fact, national security will continue to be threatened until Congress passes H.R. 1507.

"House Looks Into Secrets Withheld From Congress" New York Times, July 18, 2009 (PDF Copy)