Category: Security

MIL-OSI USA: Senate Intelligence Committee Chairman Presses Domain Registrars Providing Support to Russian Influence Efforts

US Senate News:

Source: United States Senator for Commonwealth of Virginia Mark R Warner

WASHINGTON – U.S. Senator Mark R. Warner (D-VA), Chairman of the Senate Select Committee on Intelligence, today wrote to American domain registrars NameCheap, GoDaddy, Cloudflare, NewFold Digital, NameSilo, and Versign – which were identified in a Department of Justice affidavit as providing domain services to the “Doppelganger” Russian covert influence network – pressing them to take immediate steps to address the continued abuse of their services for foreign covert influence, particularly in the period preceding and following Election Day.

Through the maintenance of both inauthentic social media accounts and websites, the hallmark of the Russian government-directed foreign malign influence campaigns known as “Doppelganger” has been the impersonation of Western media institutions online, including outlets like the Washington Post, Fox News, and Forward. Russian influence operatives have been attributed impersonating dozens of legitimate organizations online as early as September 2022, when researchers at the nonprofit EU Disinfo Lab first identified the network’s campaigns, using misleading domains (such as www.washingtonpost.pm, www.washingtonpost.ltd, www.fox-news.in, www.fox-news.top and www.forward.pw) to covertly spread Russian government propaganda with the aim of reducing international support for Ukraine, bolstering pro-Russian policies and interests, and influencing voters in U.S. and foreign elections, including the 2024 presidential election.

Citing research conducted by Meta in 2023, Warner noted several ways in which the global domain name industry has enabled Russian malign influence activity, including withholding vital domain name registration information from good-faith researchers and digital forensic investigators, ignoring inaccurate registration information submitted by registrants, and failing to identify repeated instances of intentional and malicious domain name squatting used to impersonate legitimate organizations.

Wrote Warner today, “Information included in the affidavit supporting recent seizure of a number of these domains provides further indication of your industry’s apparent inattention to abuses by foreign actors engaged in covert influence. Specifically, Russian influence actors utilized a number of tactics, techniques, and procedures that – against the backdrop of extensive open source literature on Doppelganger’s practices – should have alerted your company to abuse of its services, including the use of cryptocurrency to purchase domains, heavy reliance on anonymizing infrastructure to access your registration services (including the use of IPs widely associated with cybercriminal obfuscation network activity), the use of credit cards issued to a U.S. company “that has significant ties to, and employees based in, Russia,” use of fictitious and poorly-backstopped identities for registrants, and in at least one instance the use of a Russian address.”

Noted Warner, “While foreign covert influence represents one of the most egregious abuses of the domain name system, the industry’s inattention to abuse has been well-documented for years, enabling malicious activity such as phishing campaigns, drive-by malware, and online scams – all possible because of malicious actors using your services… Given the continued lapses of your industry to address these abuses, I believe Congress may need to evaluate legislative remedies that promote greater diligence across the global domain name ecosystem.”

“In the interim, your company must take immediate steps to address the continued abuse of your services for foreign covert influence – particularly in the days preceding, and weeks immediately following, Election Day. With the prospect of a close election – and declassified intelligence demonstrating the past practice of foreign adversaries in spreading narratives that undermine confidence in election processes– Americans will be particularly reliant on media organizations and state and local government websites to provide authoritative and accurate election information. It is imperative that your company work to diminish the risk that foreign adversaries use impersonated domains to promote false narratives in this context,” Warner concluded.

As Chairman of the Senate Select Committee on Intelligence, Warner has been consistently warning about the threat posed by foreign covert influence networks ahead of the 2024 elections. Last month, he convened a public hearing with representatives from Alphabet, Meta and Microsoft examining the roles and responsibilities of U.S. platforms to prevent the spread of foreign propaganda and misinformation on their networks.

A copy of the letters are available here.

MIL OSI USA News –

January 25, 2025
MIL-OSI USA: Gallego Announces Over $31 Million in Water Funding Coming to Arizona

Source: United States House of Representatives – Representative Ruben Gallego (AZ-07)

October 23, 2024

PHOENIX – Today, Rep. Ruben Gallego (AZ-03) announced $31,623,000 in funding from the Bipartisan Infrastructure Law is coming to Arizona for clean water and drinking water projects.

“In Arizona, we know that securing our water future is vital to our continued success. That’s why I proudly voted for the Bipartisan Infrastructure Law,” said Rep. Gallego. “I’m glad to have secured the funding announced today, which will help ensure Arizonans have access to safe, clean water.”

Of the $31 million, $18,258,000 will go to the Clean Water State Revolving Fund for water quality and infrastructure projects and $13,365,000 will go to the Drinking Water State Revolving Fund to maintain healthy drinking water.

Today’s announcement builds on Rep. Gallego’s work to secure Arizona’s water future, including:

You can learn more about Rep. Gallego’s work in his report: Securing Arizona’s Water Future.

MIL OSI USA News –

January 25, 2025
MIL-OSI Economics: WTO hosts event on role of youth in promoting “Trade for Peace” in fragile states

Source: WTO

Headline: WTO hosts event on role of youth in promoting “Trade for Peace” in fragile states

In his opening remarks, Deputy Director-General Xiangchen Zhang said: “The youth are not just the leaders of tomorrow; they are the change-makers of today.” He stressed the importance of including young voices in decision-making, noting that the WTO’s Trade for Peace (T4P) Programme’s Future Leaders Initiative aims to empower youth as active agents of stability and prosperity.
An “Intergenerational Perspectives on Trade and Peace” panel brought together Ambassador Alan Wolff, Distinguished Visiting Fellow at the Peterson Institute for International Economics, Ms. Afomia Andualem, CEO and Co-Founder of Agelgil Eco- Packaging in Ethiopia, Mr. Eric Andrew, a WTO Young Trade Leader and Founder of AgrofixiNG in Nigeria, and Ms. Maria Guterres, Vice-Coordinator of the Timorese Youth Initiative for Development.
The panelists explored the historical connection between trade and peace, with each speaker sharing their perspectives on how youth can contribute to fostering peace through trade.
The event saw the launch of videos showcasing findings from students of the University of St. Gallen University in Switzerland and from experts in the area of trade and peace. These videos stemmed from a project with the University of St. Gallen undertaken from September to December 2023 aimed at delving into the intersection of trade and peace.
The videos sparked lively breakout discussions, where participants explored practical steps to enhance youth involvement in the link between trade and peace. The discussions also encompassed the research findings of students taking part in the autumn 2023 TradeLab International Economic Law Clinic at the Geneva Graduate Institute, who explored the interlinkages between trade and peace agreements and negotiations.
The event culminated in a collective call to action, delivered by Kérshia Cavele, Project Coordinator of the Trade for Peace Programme, urging policymakers to support youth-driven initiatives and create pathways for sustainable peace through trade. She noted that the event underscored the growing recognition of youth as essential players in addressing the challenges facing fragile and conflict affected states. By fostering academic insights with real-world experiences, the “Trade for Peace: Future Leaders Initiative” continues to pave the way for innovative solutions that leverage the multilateral trading system as a tool for peacebuilding.
The youth event was organized during the 2024 Geneva Peace Week, which brings together organizations in Geneva and their international partners to share knowledge and best practice. At the Opening Ceremony, Ms. Milzat Salime of the WTO’s Trade for Peace team emphasized the vital role of youth in peacebuilding. WTO Deputy Director General Xiangchen Zhang participated in a high-level panel titled Peace, Trade, Development and Innovations: Insights from International Leaders and Ms Maika Oshikawa, Director of the WTO’s Accessions Division, delivered opening remarks in the session titled Trade and SME-led Growth in Fragile and Conflict-Affected Settings: Key Principles for Inter-Agency Collaboration.
Background
The Trade for Peace (T4P) Programme emerged from the vision of the g7+ WTO Accessions Group, a group of fragile and conflict-affected states (FCS) associated with WTO accession. Launched at the 11th WTO Ministerial Conference in 2017, the Group’s aim is to integrate FCS into the multilateral trading system through WTO membership, strengthening economic and trade policy frameworks while promoting transparency and good governance. Initially organized under the “Trade for Peace through WTO Accession” initiative, it expanded into the T4P Programme in 2021.
The T4P Programme highlights trade and economic integration as key components in fostering durable peace and stability in fragile regions. Building on this foundation, the Trade for Peace: Future Leaders Initiative extends these efforts by engaging youth, focusing on raising awareness of their role in peacebuilding through trade, providing platforms for their voices, and fostering innovative solutions.

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MIL OSI Economics –

January 25, 2025
MIL-OSI USA: Baldwin Announces $86 Million for Clean and Safe Drinking Water in Wisconsin Through Bipartisan Infrastructure Law

US Senate News:

Source: United States Senator for Wisconsin Tammy Baldwin

WISCONSIN – Today, U.S. Senator Tammy Baldwin (D-WI) announced Wisconsin is receiving an additional $86 million through her Bipartisan Infrastructure Law to upgrade water infrastructure and ensure communities have access to clean and safe drinking water. The funding will help communities across Wisconsin protect local freshwater resources, replace dangerous lead pipes, address PFAS and other contaminants, and deliver safe drinking water to homes, schools, and businesses.

“No matter your zip code, every Wisconsin family should be confident when they turn on the tap, their drinking water is clean and safe. Our Bipartisan Infrastructure Law is replacing dangerous lead pipes, protecting families from dangerous chemicals like PFAS, and delivering clean water to homes, schools, and businesses in every corner of the Badger State. I’m proud to help deliver this investment for Wisconsin families’ health and future,” said Senator Baldwin.

“Wisconsinites deserve to be able to trust that the water coming from their tap is clean and safe to drink,” said Wisconsin Governor Tony Evers. “Thanks to the hard work of Senator Baldwin and the Biden-Harris Administration’s Investing in America Agenda, these investments will help us build upon our work to improve our state’s water infrastructure, get rid of harmful contaminants like PFAS and lead, and make a real difference for folks and families across our state.”

The Baldwin-backed Bipartisan Infrastructure Law funds will flow through Wisconsin’s Clean Water and Drinking Water State Revolving Funds (CWSRF and DWSRF), a long-standing federal-state water investment partnership. The investment will fund state-run, low-interest loan programs that address key challenges in financing water infrastructure. Today’s announcement includes allotments for Bipartisan Infrastructure Law Clean Water General Supplemental funds for Wisconsin ($67,272,000), Emerging Contaminant funds ($5,807,000), and ($13,082,000) under the Drinking Water Emerging Contaminant Fund.

Senator Baldwin secured key provisions of her Made in America Act in the Bipartisan Infrastructure Law, ensuring that American iron and steel are used in the construction of the water infrastructure under the CWSRF and DWSRF. In addition to today’s funding announcement, Wisconsin has so far received over $330 million for water infrastructure under the Bipartisan Infrastructure Law.

More information about this announcement is available here.

MIL OSI USA News –

January 25, 2025
MIL-OSI USA: Senator Baldwin Leads Senate Resolution Designating October 23 National Marine Sanctuary Day

US Senate News:

Source: United States Senator for Wisconsin Tammy Baldwin

WASHINGTON, D.C. – Today, U.S. Senator Tammy Baldwin (D-WI) introduced a Senate Resolution designating October 23, 2024 as “National Marine Sanctuary Day.” The resolution highlights the role of national marine sanctuaries in increasing access to nature, protecting biodiversity, and boosting economic activity for coastal communities.

“Wisconsin Shipwreck Coast National Marine Sanctuary is an engine for tourism and world-class research along Lake Michigan, stimulating our local economies and pioneering breakthroughs for our Great Lakes,” said Senator Baldwin. “I’m proud to have fought for and delivered a national marine sanctuary for Wisconsin, and will continue to fight to protect our nation’s natural resources and ensure generations to come can enjoy our coastlines.”

Senator Baldwin has fought to support national marine sanctuaries, successfully leading the charge to bring a National Marine Sanctuary to Wisconsin in 2021. In October 2013, Senator Baldwin urged the National Oceanic and Atmospheric Administration (NOAA) to re-open the public nomination process for marine sanctuaries for the first time in 20 years. After the Administration announced in June 2014 that Americans would be given the opportunity to nominate nationally significant marine and Great Lakes areas as national marine sanctuaries, Wisconsin’s Lake Michigan proposal was submitted and Senator Baldwin called on NOAA to support their efforts. The Wisconsin Shipwreck Coast National Marine Sanctuary was officially designated in 2021.

As a member of the Senate Appropriations Committee, Senator Baldwin has continued to advocate for Wisconsin’s Great Lakes by supporting robust funding for the National Marine Sanctuaries Program and by requesting federal funding for the Wisconsin Shipwreck Coast National Marine Sanctuary Foundation.

The resolution is co-sponsored by Senators Richard Blumenthal (D-CT), Maria Cantwell (D-WA), Ben Cardin (D-MD), Martin Heinrich (D-NM), Mazie Hirono (D-HI), Patty Murray (D-WA), Alex Padilla (D-CA), Brian Schatz (D-HI), Chris Van Hollen (D-MD), Raphael Warnock (D-GA), Peter Welch (D-VT), Cory Booker (D-NJ), and Gary Peters (D-MI).

The resolution is supported by Alabama Coastal Foundation, Azul, California Academy of Sciences, Carolina Ocean Alliance, Creation Justice Ministries, EarthEcho International, The Florida Aquarium, Friends of the Mariana Trench, Global Rewilding Alliance, Greater Farallones Association, GreenLatinos, Guy Harvey Foundation, Healthy Ocean Coalition, Inland Ocean Coalition, Minorities in Shark Sciences, Monterey Bay Aquarium, National Aquarium, National Ocean Protection Coalition, National Wildlife Federation, Next 100 Coalition, Ocean Defense Initiative, Point Defiance Zoo & Aquarium + Northwest Trek Wildlife Park, Shark Stewards, Shedd Aquarium, South Carolina Aquarium, Surfrider Foundation, Sustainable Ocean Alliance, The Ocean Project, WILDCOAST, Wildlife Conservation Society, and World Ocean Day.

“National marine sanctuaries are special places in America’s waters where people show up as part of the solution to steward our blue planet,” said Joel R. Johnson, President and CEO of the National Marine Sanctuary Foundation. “From the Great Lakes to the Gulf of Mexico, the Chesapeake Bay to Pacific Islands, national marine sanctuaries connect us with wildlife and our shared history making us feel like we are part of something much greater than ourselves. Our continued support for these treasured waters is more essential than ever and makes a positive impact for present and future generations.”

“The conservation of our special ocean and Great Lakes places is vital for the species that depend on them, the communities that rely on them, and the future generations that dream about them,” said Ayana Melvan, Director of Conservation Action of the Aquarium Conservation Partnership.

“The ACP and its members strive to celebrate the science and stories of our National Marine Sanctuary System at every opportunity. We’re proud to stand behind the Senator’s resolution to recognize the 600,000 sq. miles and growing of marine and Great Lake waters that truly make America beautiful,” said Kim McIntyre, Executive Director of the Aquarium Conservation Partnership.

A full version of this resolution is available here and below.

Designating October 23, 2024, as “National Marine Sanctuary Day”.

Whereas, on October 23, 1972, the Marine Protection, Research, and Sanctuaries Act of 1972 (33 U.S.C. 1401 et seq.) became law and ushered in a new era of ocean conservation;

Whereas the National Marine Sanctuary System is a nationwide network that conserves spectacular oceans, coasts, and Great Lakes;

Whereas communities across the United States can nominate their most treasured marine and Great Lakes waters for consideration as national marine sanctuaries;

Whereas national marine sanctuaries protect biodiversity, safeguard extraordinary seascapes, historic shipwrecks, and sacred cultural places, and provide abundant recreational opportunities;

Whereas national marine sanctuaries seek opportunities to partner with indigenous governments and communities to achieve shared conservation goals and to support the care-taking of ecological resources and cultural sites of indigenous peoples;

Whereas national marine sanctuaries protect vital habitats for countless species of fish and wildlife, including many species that are listed as threatened or endangered;

Whereas the conservation of marine ecosystems is vital for healthy oceans, coasts, and Great Lakes, for addressing climate change, and for sustaining productive coastal economies;

Whereas the National Marine Sanctuary Foundation and its partners work to protect and nurture the growth of the National Marine Sanctuary System;

Whereas national marine sanctuaries increase access to nature for all, support coastal communities, and generate billions of dollars annually in local communities by providing jobs in the United States, supporting commercial, Tribal, and recreational fisheries, bolstering tourism and recreation, engaging businesses in stewardship, and driving the growth of the blue economy;

Whereas national marine sanctuaries connect people and communities through science, education, United States history, recreation, and stewardship and inspire community-based solutions that help individuals understand and protect the spectacular underwater habitats, wildlife, archaeological resources, and cultural seascapes of the United States;

Whereas national marine sanctuaries are living laboratories that enable cooperative science and research that improves resource management and advances innovative public-private partnerships;

Whereas national marine sanctuaries can help make oceans, coasts, and Great Lakes more resilient by protecting ecosystems that sequester carbon, by safeguarding coastal communities from flooding and storms, and by protecting biodiversity;

Whereas the United States is a historic maritime Nation, and oceans, coasts, and Great Lakes are central to the way of life of the people of the United States;

Whereas engaging communities as stewards of these protected waters makes national marine sanctuaries unique and provides a comprehensive, ecosystem-based, highly participatory approach to managing and conserving marine and Great Lakes environments for current and future generations; and

Whereas October 23, 2024, is recognized as “National Marine Sanctuary Day” to increase awareness about the importance of the National Marine Sanctuary System and healthy oceans, coasts, and Great Lakes and to celebrate the many recreational opportunities available for the enjoyment of this network of protected waters: Now, therefore, be it

Resolved, That the Senate—

(1) designates October 23, 2024, as “National Marine Sanctuary Day”;

(2) encourages the people of the United States and the world to responsibly visit, experience, recreate in, and support the treasured national marine sanctuaries of the United States;

(3) acknowledges the importance of national marine sanctuaries in supporting community resilience, protecting biodiversity, and increasing access to nature;

(4) recognizes the importance of national marine sanctuaries for their recreational opportunities and contributions to local and national economies across the United States;

(5) celebrates the ability of the National Marine Sanctuary System to protect nationally significant places in oceans, coasts, and Great Lakes;

(6) calls on the National Oceanic and Atmospheric Administration to partner with communities and to complete designations of new national marine sanctuaries; and

(7) encourages Federal agencies to balance priorities and work together to support the priorities of the Marine Protection, Research, and Sanctuaries Act of 1972 (33 U.S.C. 1401 et seq.).

MIL OSI USA News –

January 25, 2025
MIL-OSI USA: QUIGLEY, SORENSEN, DURBIN, DUCKWORTH, ANNOUNCE $33.5 MILLION IN FEDERAL FUNDING FOR PEORIA AND CHICAGO AIRPORTS

Source: United States House of Representatives – Representative Mike Quigley (IL-05)

Today, U.S. Representatives Mike Quigley (D-IL-05), Eric Sorensen (D-IL-17) and U.S. Senators Dick Durbin (D-IL), and Tammy Duckworth (D-IL) announced $33,510,000 in federal funding from the Department of Transportation’s Airport Terminal Program.

With today’s announced funding, General Wayne A. Downing Peoria International Airport will receive $13,510,000 for the replacement of their air traffic control tower, and Chicago O’Hare International Airport will receive $20,000,000 for an expansion to Terminal 5.

“Throughout my career, I have worked tirelessly to ensure that travelers receive the best and most efficient service possible at O’Hare. Today’s funding announcement will build on the progress we have already made. This expansion will benefit not only our constituents but also travelers across the country, while boosting our economy. When I voted for the Bipartisan Infrastructure Law, I did so knowing it would bring vital investments like these and create lasting benefits across our state. Together, we are paving the way for a brighter future and a stronger transportation network for everyone,” said Quigley.

“By improving and modernizing airport infrastructure, we are laying the foundation for increased connectivity and reliability,” said Durbin. “Today’s announced federal funding for upgrading our airports across Illinois will enhance the travel experience for passengers and promote economic growth. I will continue working with Senator Duckworth and our Congressional colleagues to ensure Illinois airports have the necessary federal resources to keep passengers safe and connected.”

“Illinois’s airports are critical economic engines for our state,” Duckworth said. “This funding will help improve and modernize O’Hare and Downing International Airports and, after years of neglecting our nation’s infrastructure, I’m proud every day to see the Bipartisan Infrastructure Law at work rebuilding infrastructure all across our country. I will continue to work alongside Senator Durbin and the Illinois delegation to make traveling safer and more reliable for all passengers while ensuring that our communities are receiving the much-needed federal resources they deserve.”

“This important funding coming to Peoria International Airport is about connecting my neighbors in Central Illinois to the world. The new air traffic control tower will allow controllers to see the end points of both runways and all taxiways, making it safer for travelers and airport staff. I am grateful to Senators Durbin and Duckworth for their support of this project as we continue our work to keep air travel safe and open Peoria to new destinations,” said Sorensen.

Durbin and Duckworth previously worked to secure a provision in the Bipartisan Infrastructure Law (BIL) to make Peoria’s airport-owned air traffic control tower (ATCT) eligible for federal funding. Following the enactment of the Bipartisan Infrastructure Law, the ATCT has received $29 million in federal funding across two previous grants.

Durbin and Duckworth helped secure two previous BIL Airport Terminal Program grants for Chicago O’Hare International Airport for the Terminal 3 Project totaling $90 million, a 2023 grant of $50 million and a 2024 grant of $40 million.

MIL OSI USA News –

January 25, 2025
MIL-OSI Australia: Update – Pair charged after incident at Elizabeth Interchange

Source: South Australia Police

Two women have been charged following an incident at Elizabeth yesterday evening.

Just after 6.30 pm on Wednesday 23 October, police were called to the Elizabeth Interchange at Mountbatten Square following reports a security guard had been stabbed.

Patrols were quick to the scene and located two 27-year-old women who were swiftly arrested by patrols.

The 34-year-old security guard suffered a laceration to his forearm and was taken to hospital by paramedics for treatment of serious but non-life threatening injuries.

Whilst attempting to arrest one of the women, a police officer was assaulted and suffered minor injuries.

Further enquiries identified that the two females stole items from a store within the Elizabeth Shopping Centre before one female assaulted the security guard.

One female was charged with theft and granted police bail to appear in the Elizabeth Magistrates Court on 26 November.

The second female was charged with assault cause harm, resisting arrest and assaulting a prescribed emergency service worker. She was refused police bail and will appear in the Elizabeth Magistrates Court today (Thursday 24 October).

MIL OSI News –

January 25, 2025

MIL-OSI: First Bank Announces Third Quarter 2024 Net Income of $8.2 Million

Source: GlobeNewswire (MIL-OSI)

Results reflect strong loan and deposit growth, solid asset quality, and balance sheet optimization initiatives

HAMILTON, N.J., Oct. 23, 2024 (GLOBE NEWSWIRE) — First Bank (Nasdaq Global Market: FRBA) (the Bank) today announced results for the third quarter of 2024. Net income for the third quarter of 2024 was $8.2 million, or $0.32 per diluted share. Return on average assets, return on average equity and return on average tangible equity^[i] for the third quarter of 2024 were 0.88%, 8.15% and 9.42%, respectively. The Bank recorded a net loss of $1.3 million, or a loss of $0.05 per diluted share, and losses on average assets, equity, and tangible equityⁱ of 0.14%, 1.43%, and 1.66%, respectively, for the third quarter of 2023. Financial results for the third quarter of 2023 were negatively impacted by the Malvern Bancorp acquisition, completed in July 2023, primarily due to the merger-related expenses and the initial credit loss expense on acquired loans.

Third Quarter 2024 Performance Highlights:

Total loans of $3.09 billion at September 30, 2024 grew $89.5 million, or 11.9%, annualized, from the linked quarter ended June 30, 2024. Loan growth occurred late in the quarter, which is reflected in average loan balance increase of only $12.2 million during the quarter ended September 30, 2024. The growth was primarily driven by $56.9 million expansion within the Commercial and Industrial and Owner-occupied commercial real estate loan categories.
Total deposits of $3.05 billion at September 30, 2024 grew $82.4 million, or 11.1%, annualized, from the linked quarter. Growth occurred across all deposit categories, as non-interest bearing demand, interest bearing demand, money market and savings, and time deposits increased $19.3 million, $23.3 million, $36.3 million, and $3.6 million, respectively, from the second quarter of 2024.
Tangible book value per share^[ii] grew to $13.84 at September 30, 2024, increasing 11.2%, annualized, from $13.46 at June 30, 2024.
The Bank continued to prioritize balance sheet efficiency, selling approximately $11.7 million of investment securities during the quarter ended September 30, 2024 which resulted in a $555,000 net loss on the sale of investments during the quarter. The Bank also completed a restructuring of its bank-owned life insurance (BOLI) portfolio during the quarter which resulted in approximately $24 million in terminated policies and the acquisition of approximately $20 million in new policies. As a result of the restructure, the Bank recorded a $1.1 million enhancement to the cash surrender value and recognized additional income tax expense totaling $1.2 million.
Strong asset quality continued, with nonperforming assets decreasing by 9 basis points to 0.47% of total assets at September 30, 2024 from 0.56% at June 30, 2024.

Patrick L. Ryan, President and CEO of First Bank, reflected on the Bank’s performance, stating, “First Bank’s outstanding third quarter growth is an outcome of a well-executed long-term strategy. We have worked to build teams, products, and operating structures that promote quality growth over the long term, and the results are evident. Our teams added high-quality loans and deposits across all categories. We also continued to optimize the Bank’s efficiency as our efficiency ratio^[iii] remained below 60% for the 21st consecutive quarter. We continued to enact strategies to enhance future profitability and complement our organic growth efforts including ongoing balance sheet restructuring through the sale of certain lower-yielding investment securities, and we opportunistically restructured our BOLI policies during the quarter, an initiative that will be accretive to future earnings. The current quarter highlighted our efforts to build our core community banking customer base while we expand our specialty banking teams and continued investment in technology to improve the customer experience.”

Mr. Ryan added, “We are pleased with our ability to generate solid returns for our shareholders, including this quarter’s 11% annualized growth in tangible book value per share. We continue to explore a variety of opportunities to drive future earnings. Our recent receipt of regulatory approval to initiate stock repurchases also adds to our toolkit of options to support continued and growing returns for our shareholders.”

Income Statement

In the third quarter of 2024, the Bank’s net interest income increased to $30.1 million, growing $1.5 million, or 5.2%, compared to the same period in 2023. The increase was primarily due to net interest margin expansion in the third quarter of 2024 compared to the third quarter of 2023. Net interest income decreased $446,000, or 1.5%, from the linked second quarter of 2024. The modest decrease was primarily due to net interest margin compression and the timing of our loan growth, which occurred late in the third quarter, limiting interest income received during the quarter. During the third quarter, a $606,000 increase in interest income compared to the second quarter of 2024 was primarily related to higher earning asset balances, which was offset by a $1.1 million increase in interest expense, resulting from increased deposit costs and a higher level of average borrowings.

The Bank’s tax equivalent net interest margin of 3.49% for the third quarter of 2024 represented an increase of 13 basis points from the quarter ended September 30, 2023 and a decrease of 13 basis points from the linked quarter ended June 30, 2024. The Bank’s tax equivalent net interest margin includes the impact of amortization and accretion of premiums and discounts from fair value measurements of assets acquired and liabilities assumed in acquisitions. Amortization of premiums and accretion of discounts from fair value measurements of assets acquired and liabilities assumed in acquisitions totaled $3.4 million during the third quarter of 2024, compared to $2.7 million for the quarter ended September 30, 2023 and $3.6 million for the quarter ended June 30, 2024. The Bank’s net interest margin declined compared to the linked second quarter due to lower acquisition accounting accretion income, increased levels of average borrowings, lower average loan yields, and higher interest bearing deposit costs.

The Bank recorded a credit loss expense totaling $1.6 million during the third quarter of 2024, compared to $63,000 recorded during the second quarter of 2024 and $6.7 million recorded for the third quarter of 2023. The Bank’s credit loss expense for the third quarter of 2024 was commensurate with robust organic loan growth during the quarter and continued to reflect strong and stable asset quality. Credit loss expense for the third quarter of 2023 included a $5.5 million credit loss recorded to establish the allowance for credit losses on the acquired Malvern loan portfolio.

In the third quarter of 2024, the Bank recorded non-interest income of $2.5 million, compared to $193,000 during the same period in 2023 and $689,000 in the second quarter of 2024. The increase in non-interest income was primarily related to approximately $1.1 million in one-time enhancement to the cash surrender value of BOLI that resulted from the aforementioned BOLI restructuring transaction during the quarter, as well as higher yields earned on the new BOLI policies purchased during the quarter. Additionally, the Bank recorded $135,000 in net gains on the sale of loans during third quarter 2024, compared to net losses on the sale of loans totaling $900,000 and $704,000 in the linked and prior year quarters, respectively. This was partially offset by $555,000 in net losses on the sale of investment securities during third quarter 2024, while no investment securities sales were executed in the linked quarter, and $527,000 in net losses were recognized during the third quarter of 2023.

Non-interest expense for the third quarter of 2024 was $18.6 million, a decrease of $4.8 million, or 20.6%, compared to $23.4 million for the prior year quarter. Lower non-interest expense was largely due to $7.0 million in merger-related expenses recorded during the third quarter of 2023. Excluding merger-related expenses, non-interest expense grew $2.2 million, or 13.3%, including an increase of $849,000 in salaries and employee benefits due to merit increases and a larger employee base. Other real estate owned (OREO) expense totaled $662,000 during third quarter 2024, with no similar expense recorded in third quarter 2023. The increase reflects a $363,000 impairment of an OREO asset along with other legal and real estate tax expenses recorded during the quarter. Additionally, other professional fees increased $312,000 primarily related to increases in personnel placement costs, consulting fees, and tax services.

On a linked quarter basis, non-interest expense increased $691,000, or 3.8%, from $18.0 million for the second quarter of 2024. The largest impact on expenses compared to the linked quarter is the aforementioned $363,000 OREO impairment expense during third quarter 2024. Salaries and employee benefits expense increased by $207,000 primarily due to a larger employee base. These were partially offset by modest decreases in marketing and advertising costs, as well as travel and entertainment expenses.

Income tax expense for the three months ended September 30, 2024 was $4.2 million with an effective tax rate of 33.9%, compared to an income tax benefit of $78,000 for the third quarter of 2023 and an income tax expense of $2.1 million with an effective tax rate of 16.2% for the second quarter of 2024. The effective tax rate for the third quarter of 2024 included approximately $1.2 million of tax expense recorded related to the BOLI restructuring. Excluding this impact, the effective tax rate would have been approximately 24% for the third quarter of 2024. The effective tax rate for the second quarter of 2024 was lower compared to the first quarter due to the recently enacted New Jersey Corporate Transit Fee, which resulted in a change in tax rate and a revaluation of the Bank’s deferred tax assets. A tax benefit of $1.1 million was booked as a discrete item in the second quarter for this change in tax rate. With the expected negative ongoing impact of the New Jersey Corporate Transit Fee, we anticipate our future effective tax rate will range between 24% and 25%.

Balance Sheet

Total assets increased $148.3 million, or 4.1%, from December 31, 2023 to September 30, 2024. Total loans increased $66.0 million, or 2.2%, from December 31, 2023 to September 30, 2024. Growth totaling $116.3 million across the owner-occupied commercial real estate and commercial and industrial loan portfolios was partially offset by a decline of commercial investor real estate loans totaling $47.8 million, including multi-family and construction and development, during the first nine months of 2024. The Bank continues to prioritize relationship-based commercial and industrial lending while actively managing our exposure in investor real estate lending.

Total assets grew $141.9 million, or 15.6% annualized, during the quarter ended September 30, 2024. Growth included an increase of $71.5 million in cash and cash equivalents related to the opportunistic addition of FHLB advances when interest rates declined during the quarter. Total loans increased by $89.5 million, or 11.9%, annualized, during the quarter ended September 30, 2024. Growth across the owner-occupied commercial real estate and commercial and industrial loan portfolios totaled $56.9 million, while commercial investor real estate loans, including multi-family and construction and development, grew $27.5 million, and consumer and residential real estate loans grew $5.2 million.

Total deposits increased by $82.4 million, or 11.1% annualized, during the quarter ended September 30, 2024. Growth occurred across all categories, with non-interest bearing demand, interest bearing demand, money market and savings, and time deposits increasing $19.3 million, $23.3 million, $36.3 million, and $3.6 million, respectively, from the second quarter of 2024. Our team continued to focus on attracting new deposit relationships while maintaining existing core balances.

Nearly all of the Bank’s deposit growth for the first nine months of 2024 occurred during the quarter ended September 30, 2024. We also experienced a slight shift in the mix of customer balances over the nine-month period. The Bank grew non-interest bearing demand deposits by $17.3 million in a challenging interest rate environment, while total interest-bearing deposits experienced a shift toward higher-costing deposits. During the first nine months of 2024, increases in money market and savings deposits and time deposits totaled $64.2 million and $32.3 million, respectively, partially offset by a decline in interest bearing demand deposits totaling $31.3 million.

During the nine months ended September 30, 2024, stockholders’ equity increased by $31.2 million, primarily due to net income, partially offset by dividends.

As of September 30, 2024, the Bank continued to exceed all regulatory capital requirements to be considered well-capitalized, with a Tier 1 Leverage ratio of 9.53%, a Tier 1 Risk-Based capital ratio of 9.65%, a Common Equity Tier 1 Capital ratio of 9.65%, and a Total Risk-Based capital ratio of 11.55%. The tangible stockholders’ equity to tangible assets ratio^[IV] increased to 9.41% as of September 30, 2024 compared to 8.89% at December 31, 2023.

Asset Quality

First Bank’s asset quality metrics for the third quarter of 2024 remained favorable. Total nonperforming loans declined from $25.0 million at December 31, 2023 to $12.0 million at September 30, 2024, while total nonperforming assets declined from $25.0 million to $17.7 million during the same period.

The Bank recorded net charge-offs of $386,000 during the third quarter of 2024, compared to net charge-offs of $175,000 during the second quarter of 2024 and net charge-offs of $1.1 million in the third quarter of 2023. The allowance for credit losses on loans as a percentage of total loans measured 1.21% at September 30, 2024, compared to 1.21% at June 30, 2024 and 1.40% at December 31, 2023. The decline from December 31, 2023 to September 30, 2024 reflected the $5.5 million charge-off and elimination of the Bank’s reserves on a purchase credit deteriorated loan transferred to OREO during the first quarter of 2024.

Liquidity and Borrowings

The Bank increased its liquidity position in the third quarter of 2024. Total cash and cash equivalents increased by $71.5 million to $312.3 million at September 30, 2024. Borrowings increased by $49.9 million compared to June 30, 2024, as the Bank increased its FHLB borrowings.

Management believes the Bank’s current liquidity position, coupled with our various contingent funding sources, provides us with a strong liquidity base and a diverse source of funding options.

Cash Dividend Declared

On October 15, 2024, the Bank’s Board of Directors declared a quarterly cash dividend of $0.06 per share to common stockholders of record at the close of business on November 8, 2024, payable on November 22, 2024.

Share Repurchase Program

The Board of Directors has authorized and the Bank has received regulatory approvals for a new share repurchase program. The program provides for the repurchase of up to 1.0 million shares of First Bank common stock for an aggregate repurchase amount of up to $16.0 million. The timing, price and volume of repurchases will be based on market conditions, relevant securities laws and other factors. The stock repurchases may be made from time to time on the open market or in privately negotiated transactions. The stock repurchase program does not require First Bank to repurchase any specific number of shares, and First Bank may terminate the repurchase program at any time. The share repurchase program will expire on September 30, 2025.

Conference Call and Earnings Release Supplement

Additional details on the quarterly results and the Bank are included in the attached earnings release supplement. http://ml.globenewswire.com/Resource/Download/8c344bfa-6975-4f79-872b-2307433b1520

First Bank will host its earnings call on Thursday, October 24, 2024 at 9:00 AM Eastern Time. The direct dial toll free number for the live call is 1-800-715-9871 and the access code is 1578641. For those unable to participate in the call, a replay will be available by dialing 1-800-770-2030 (access code 8550862) from one hour after the end of the conference call until January 22, 2025. Replay information will also be available on First Bank’s website at www.firstbanknj.com under the “About Us” tab. Click on “Investor Relations” to access the replay of the conference call.

About First Bank

First Bank is a New Jersey state-chartered bank with 26 full-service branches in Cinnaminson, Delanco, Denville, Ewing, Fairfield, Flemington (2), Hamilton, Lawrence, Monroe, Morristown, Pennington, Randolph, Somerset and Williamstown, New Jersey; and Coventry, Devon, Doylestown, Glenn Mills, Lionville, Malvern, Paoli, Trevose, Warminster and West Chester, Pennsylvania; and Palm Beach, Florida. With $3.76 billion in assets as of September 30, 2024, First Bank offers a full range of deposit and loan products to individuals and businesses throughout the New York City to Philadelphia corridor. First Bank’s common stock is listed on the Nasdaq Global Market under the symbol “FRBA.”

Forward Looking Statements

This press release contains certain forward-looking statements, either express or implied, within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information regarding First Bank’s future financial performance, business and growth strategy, projected plans and objectives, and related transactions, integration of acquired businesses, ability to recognize anticipated operational efficiencies, and other projections based on macroeconomic and industry trends, which are inherently unreliable due to the multiple factors that impact economic trends, and any such variations may be material. Such forward-looking statements are based on various facts and derived utilizing important assumptions, current expectations, estimates and projections about First Bank, any of which may change over time and some of which may be beyond First Bank’s control. Statements preceded by, followed by or that otherwise include the words “believes,” “expects,” “anticipates,” “intends,” “projects,” “estimates,” “plans” and similar expressions or future or conditional verbs such as “will,” “should,” “would,” “may” and “could” are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing. Further, certain factors that could affect our future results and cause actual results to differ materially from those expressed in the forward-looking statements include, but are not limited to: changes in market interest rates on funding costs, yield on interest earning assets, credit quality and strength of underlying collateral and the effect of such changes on the market value of First Bank’s investment securities portfolio; whether First Bank can: successfully implement its growth strategy, including identifying acquisition targets and consummating suitable acquisitions, integrate acquired entities and realize anticipated efficiencies, sustain its internal growth rate, and provide competitive products and services that appeal to its customers and target markets; difficult market conditions and unfavorable economic trends in the United States generally, and particularly in the market areas in which First Bank operates and in which its loans are concentrated, including the effects of declines in housing market values; the effects of the recent turmoil in the banking industry (including the failures of two financial institutions in early 2023); the impact of public health emergencies, such as COVID-19, on First Bank, its operations and its customers and employees; an increase in unemployment levels and slowdowns in economic growth; First Bank’s level of nonperforming assets and the costs associated with resolving any problem loans including litigation and other costs; the extensive federal and state regulation, supervision and examination governing almost every aspect of First Bank’s operations, including changes in regulations affecting financial institutions and expenses associated with complying with such regulations; uncertainties in tax estimates and valuations, including due to changes in state and federal tax law; First Bank’s ability to comply with applicable capital and liquidity requirements, including First Bank’s ability to generate liquidity internally or raise capital on favorable terms, including continued access to the debt and equity capital markets; and possible changes in trade, monetary and fiscal policies, laws and regulations and other activities of governments, agencies, and similar organizations. For discussion of these and other risks that may cause actual results to differ from expectations, please refer to “Forward-Looking Statements” and “Risk Factors” in First Bank’s Annual Report on Form 10-K and any updates to those risk factors set forth in First Bank’s proxy statement, subsequent Quarterly Reports on Form 10-Q or Current Reports on Form 8-K. If one or more events related to these or other risks or uncertainties materialize, or if First Bank’s underlying assumptions prove to be incorrect, actual results may differ materially from what First Bank anticipates. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and First Bank does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. All forward-looking statements, expressed or implied, included in this communication are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that First Bank or persons acting on First Bank’s behalf may issue.

_____________

ⁱ Return on average tangible equity is a non-U.S. GAAP financial measure and is calculated by dividing net income by average tangible equity (average equity minus average goodwill and other intangible assets). For a reconciliation of this non-U.S. GAAP financial measure, along with the other non-U.S. GAAP financial measures in this press release, to their comparable U.S. GAAP measures, see the financial reconciliations at the end of this press release.

ⁱⁱ Tangible book value per share is a non-U.S. GAAP financial measure and is calculated by dividing common shares outstanding by tangible equity (equity minus goodwill and other intangible assets). For a reconciliation of this non-U.S. GAAP financial measure, along with the other non-U.S. GAAP financial measures in this press release, to their comparable U.S. GAAP measures, see the financial reconciliations at the end of this press release.

ⁱⁱⁱ The efficiency ratio is a non-U.S. GAAP financial measure and is calculated by dividing non-interest expense less merger-related expenses by adjusted total revenue (net interest income plus non-interest income). For a reconciliation of this non-U.S. GAAP financial measure, along with the other non-U.S. GAAP financial measures in this press release, to their comparable U.S. GAAP measures, see the financial reconciliations at the end of this press release.

^iv Tangible stockholders’ equity to tangible assets ratio is a non-U.S. GAAP financial measure and is calculated by dividing tangible equity (equity minus goodwill and other intangible assets) by tangible assets (total assets minus goodwill and other intangible assets). For a reconciliation of this non-U.S. GAAP financial measure, along with the other non-U.S. GAAP financial measures in this press release, to their comparable U.S. GAAP measures, see the financial reconciliations at the end of this press release.

FIRST BANK
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(in thousands, except for share data, unaudited)

	September 30, 2024			December 31, 2023
Assets
Cash and due from banks	$	35,456		$	25,652
Restricted cash		9,200			13,770
Interest bearing deposits with banks		267,643			188,529
Cash and cash equivalents		312,299			227,951
Interest bearing time deposits with banks		743			996
Investment securities available for sale, at fair value		74,549			94,142
Investment securities held to maturity, net of allowance for credit losses of $206 at September 30, 2024 and $200 at December 31, 2023 (fair value of $39,049 and $38,486 at September 30, 2024 and December 31, 2023, respectively)		43,659			44,059
Equity securities, at fair value		1,860			1,888
Restricted investment in bank stocks		13,845			10,469
Other investments		11,141			9,841
Loans, net of deferred fees and costs		3,087,488			3,021,501
Less: Allowance for credit losses		(37,434	)		(42,397	)
Net loans		3,050,054			2,979,104
Premises and equipment, net		20,331			21,627
Other real estate owned, net		5,637			–
Accrued interest receivable		13,502			14,763
Bank-owned life insurance		84,727			86,435
Goodwill		44,166			44,166
Other intangible assets, net		9,318			10,812
Deferred income taxes, net		31,448			30,875
Other assets		40,374			32,199
Total assets	$	3,757,653		$	3,609,327

Liabilities and Stockholders’ Equity
Liabilities:
Non-interest bearing deposits	$	519,079		$	501,763
Interest bearing deposits		2,530,991			2,465,806
Total deposits		3,050,070			2,967,569
Borrowings		236,999			179,140
Subordinated debentures		29,926			55,261
Accrued interest payable		5,078			2,813
Other liabilities		33,510			33,644
Total liabilities		3,355,583			3,238,427
Stockholders’ Equity:
Preferred stock, par value $2 per share; 10,000,000 shares authorized; no shares issued and outstanding		–			–
Common stock, par value $5 per share; 40,000,000 shares authorized; 27,367,984 shares issued and 25,186,920 shares outstanding at September 30, 2024 and 27,149,186 shares issued and 24,968,122 shares outstanding at December 31, 2023		135,415			134,552
Additional paid-in capital		124,014			122,881
Retained earnings		167,792			140,563
Accumulated other comprehensive loss		(3,773	)		(5,718	)
Treasury stock, 2,181,064 shares at September 30, 2024 and December 31, 2023		(21,378	)		(21,378	)
Total stockholders’ equity		402,070			370,900
Total liabilities and stockholders’ equity	$	3,757,653		$	3,609,327

FIRST BANK
CONSOLIDATED STATEMENTS OF INCOME (LOSS)
(in thousands, except for share data, unaudited)

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2024			2023			2024			2023
Interest and Dividend Income
Investment securities—taxable	$	1,201		$	1,151		$	3,661		$	3,128
Investment securities—tax-exempt		35			86			109			158
Interest bearing deposits with banks, Federal funds sold and other		3,972			2,593			10,479			6,029
Loans, including fees		50,957			46,088			151,039			111,536
Total interest and dividend income		56,165			49,918			165,288			120,851

Interest Expense
Deposits		23,081			18,470			66,253			40,574
Borrowings		2,550			1,914			6,859			4,939
Subordinated debentures		440			940			1,224			1,821
Total interest expense		26,071			21,324			74,336			47,334
Net interest income		30,094			28,594			90,952			73,517
Credit loss expense		1,579			6,650			944			8,237
Net interest income after credit loss expense		28,515			21,944			90,008			65,280

Non-Interest Income
Service fees on deposit accounts		362			280			1,056			741
Loan fees		218			152			437			259
Income from bank-owned life insurance		1,819			544			3,213			1,291
Losses on sale of investment securities, net		(555	)		(527	)		(555	)		(734	)
Gains (losses) on sale of loans, net		135			(704	)		(536	)		(393	)
Gains on recovery of acquired loans		35			24			209			95
Other non-interest income		465			424			1,308			1,026
Total non-interest income		2,479			193			5,132			2,285

Non-Interest Expense
Salaries and employee benefits		10,175			9,326			30,181			25,320
Occupancy and equipment		2,080			1,915			6,188			5,107
Legal fees		245			270			801			671
Other professional fees		943			631			2,628			1,880
Regulatory fees		728			595			1,970			1,345
Directors’ fees		272			224			784			631
Data processing		800			907			2,355			2,206
Marketing and advertising		310			220			983			693
Travel and entertainment		233			140			762			519
Insurance		245			272			740			624
Other real estate owned expense, net		662			–			879			38
Merger-related expenses		–			7,028			–			7,710
Other expense		1,951			1,958			6,136			4,020
Total non-interest expense		18,644			23,486			54,407			50,764
Income Before Income Taxes		12,350			(1,349	)		40,733			16,801
Income tax expense		4,188			(78	)		8,986			4,284
Net Income (loss)	$	8,162		$	(1,271	)	$	31,747		$	12,517

Basic earnings (loss) per common share	$	0.32		$	(0.05	)	$	1.26		$	0.60
Diluted earnings (loss) per common share	$	0.32		$	(0.05	)	$	1.26		$	0.59

Basic weighted average common shares outstanding		25,172,927			23,902,478			25,114,685			20,928,847
Diluted weighted average common shares outstanding		25,342,462			23,902,478			25,265,250			21,057,655

FIRST BANK
AVERAGE BALANCE SHEETS WITH INTEREST AND AVERAGE RATES
(dollars in thousands, unaudited)

	Three Months Ended September 30,
	2024								2023
	Average						Average		Average						Average
	Balance			Interest			Rate⁽⁵⁾		Balance			Interest			Rate⁽⁵⁾
Interest earning assets
Investment securities ^{(1) (2)}	$	137,216		$	1,244		3.61	%	$	169,244		$	1,255			2.94	%
Loans ⁽³⁾		3,010,116			50,957		6.73	%		3,003,703			46,088			6.09	%
Interest bearing deposits with banks,
Federal funds sold and other		265,474			3,593		5.38	%		182,128			2,395			5.22	%
Restricted investment in bank stocks		12,768			257		8.01	%		10,284			196			7.56	%
Other investments		12,776			122		3.80	%		9,162			2			0.09	%
Total interest earning assets ⁽²⁾		3,438,350			56,173		6.50	%		3,374,521			49,936			5.87	%
Allowance for credit losses		(36,612	)							(41,216	)
Non-interest earning assets		271,105								232,045
Total assets	$	3,672,843							$	3,565,350

Interest bearing liabilities
Interest bearing demand deposits	$	587,045		$	3,974		2.69	%	$	674,417		$	4,038			2.38	%
Money market deposits		1,064,045			10,573		3.95	%		952,042			8,386			3.49	%
Savings deposits		149,057			563		1.50	%		174,412			490			1.11	%
Time deposits		690,723			7,902		4.55	%		655,288			5,556			3.36	%
Total interest bearing deposits		2,490,870			23,012		3.68	%		2,456,159			18,470			2.98	%
Borrowings		206,588			2,550		4.91	%		163,746			1,914			4.64	%
Subordinated debentures		29,908			440		5.88	%		51,101			940			7.36	%
Total interest bearing liabilities		2,727,366			26,002		3.79	%		2,671,006			21,324			3.17	%
Non-interest bearing deposits		506,084								507,866
Other liabilities		40,858								33,106
Stockholders’ equity		398,535								353,372
Total liabilities and stockholders’ equity	$	3,672,843							$	3,565,350
Net interest income/interest rate spread ⁽²⁾					30,171		2.71	%					28,612			2.70	%
Net interest margin ^{(2) (4)}							3.49	%								3.36	%
Tax equivalent adjustment ⁽²⁾					(8	)							(18	)
Net interest income				$	30,163							$	28,594

(1) Average balance of investment securities available for sale is based on amortized cost.
(2) Interest and average rates are presented on a tax equivalent basis using a federal income tax rate of 21%.
(3) Average balances of loans include loans on nonaccrual status.
(4) Net interest income divided by average total interest earning assets.
(5) Annualized.

FIRST BANK
AVERAGE BALANCE SHEETS WITH INTEREST AND AVERAGE RATES
(dollars in thousands, unaudited)

	Nine Months Ended September 30,
	2024								2023
	Average						Average		Average						Average
	Balance			Interest			Rate⁽⁵⁾		Balance			Interest			Rate⁽⁵⁾
Interest earning assets
Investment securities ^{(1) (2)}	$	143,528		$	3,793		3.53	%	$	155,128		$	3,319		2.86	%
Loans ⁽³⁾		2,995,895			151,039		6.73	%		2,590,409			111,536		5.76	%
Interest bearing deposits with banks,
Federal funds sold and other		231,171			9,404		5.43	%		143,922			5,403		5.02	%
Restricted investment in bank stocks		11,461			699		8.15	%		9,327			454		6.51	%
Other investments		12,262			376		4.10	%		8,902			172		2.58	%
Total interest earning assets ⁽²⁾		3,394,317			165,311		6.51	%		2,907,688			120,884		5.56	%
Allowance for credit losses		(37,000	)							(33,664	)
Non-interest earning assets		265,368								174,246
Total assets	$	3,622,685							$	3,048,270

Interest bearing liabilities
Interest bearing demand deposits	$	599,025		$	11,453		2.55	%	$	445,318		$	6,492		1.95	%
Money market deposits		1,046,911			30,921		3.95	%		840,688			20,177		3.21	%
Savings deposits		156,416			1,756		1.50	%		155,370			1,202		1.03	%
Time deposits		680,194			22,054		4.33	%		586,827			12,703		2.89	%
Total interest bearing deposits		2,482,546			66,184		3.56	%		2,028,203			40,574		2.67	%
Borrowings		181,844			6,859		5.04	%		149,042			4,939		4.43	%
Subordinated debentures		34,071			1,224		4.79	%		36,949			1,821		6.57	%
Total interest bearing liabilities		2,698,461			74,267		3.68	%		2,214,194			47,334		2.86	%
Non-interest bearing deposits		494,971								490,211
Other liabilities		41,971								29,939
Stockholders’ equity		387,282								313,926
Total liabilities and stockholders’ equity	$	3,622,685							$	3,048,270
Net interest income/interest rate spread ⁽²⁾					91,044		2.83	%					73,550		2.70	%
Net interest margin ^{(2) (4)}							3.58	%							3.38	%
Tax equivalent adjustment ⁽²⁾					(23	)							(33	)
Net interest income				$	91,021							$	73,517

FIRST BANK
QUARTERLY FINANCIAL HIGHLIGHTS
(in thousands, except for share and employee data, unaudited)

	As of or For the Quarter Ended
	9/30/2024			6/30/2024			3/31/2024			12/31/2023			9/30/2023
EARNINGS
Net interest income	$	30,094		$	30,540		$	30,318		$	30,999		$	28,594
Credit loss (benefit) expense		1,579			63			(698	)		(294	)		6,650
Non-interest income		2,479			689			1,964			(3,000	)		193
Non-interest expense		18,644			17,953			17,810			17,936			23,486
Income tax expense		4,188			2,140			2,658			1,977			(78	)
Net income		8,162			11,073			12,512			8,380			(1,271	)

PERFORMANCE RATIOS
Return on average assets ⁽¹⁾		0.88	%		1.23	%		1.41	%		0.93	%		(0.14	%)
Adjusted return on average assets ^{(1) (2)}		0.93	%		1.31	%		1.39	%		1.38	%		1.07	%
Return on average equity ⁽¹⁾		8.15	%		11.52	%		13.36	%		9.06	%		(1.43	%)
Adjusted return on average equity ^{(1) (2)}		8.56	%		12.26	%		13.17	%		13.38	%		10.75	%
Return on average tangible equity ^{(1) (2)}		9.42	%		13.40	%		15.64	%		10.67	%		(1.66	%)
Adjusted return on average tangible equity ^{(1) (2)}		9.89	%		14.26	%		15.41	%		15.75	%		12.50	%
Net interest margin ^{(1) (3)}		3.49	%		3.62	%		3.64	%		3.68	%		3.36	%
Yield on loans ⁽¹⁾		6.73	%		6.81	%		6.66	%		6.49	%		6.09	%
Total cost of deposits ⁽¹⁾		3.05	%		3.01	%		2.83	%		2.63	%		2.47	%
Efficiency ratio ⁽²⁾		58.49	%		55.88	%		55.56	%		53.79	%		54.83	%

SHARE DATA
Common shares outstanding		25,186,920			25,144,983			25,096,449			24,968,122			24,926,919
Basic earnings per share	$	0.32		$	0.44		$	0.50		$	0.34		$	(0.05	)
Diluted earnings per share		0.32			0.44			0.50			0.33			(0.05	)
Adjusted diluted earnings per share ⁽²⁾		0.34			0.47			0.49			0.49			0.40
Book value per share		15.96			15.61			15.23			14.85			14.48
Tangible book value per share ⁽²⁾		13.84			13.46			13.06			12.65			12.26

MARKET DATA
Market value per share	$	15.20		$	12.74		$	13.74		$	14.70		$	10.78
Market value / Tangible book value		109.83	%		94.65	%		105.20	%		116.18	%		87.96	%
Market capitalization	$	382,841		$	320,347		$	344,825		$	367,031		$	268,712

CAPITAL & LIQUIDITY
Stockholders’ equity / assets		10.70	%		10.86	%		10.64	%		10.28	%		10.15	%
Tangible stockholders’ equity / tangible assets ⁽²⁾		9.41	%		9.50	%		9.27	%		8.89	%		8.72	%
Loans / deposits		101.23	%		101.02	%		100.75	%		101.82	%		101.80	%

ASSET QUALITY
Net charge-offs	$	386		$	175		$	5,293		$	209		$	1,122
Net charge-offs (recoveries), excluding PCD loan charge-off ⁽⁴⁾		386			175			(201	)		209			1,122
Nonperforming loans		12,014			14,227			17,054			24,989			24,158
Nonperforming assets		17,651			20,226			23,053			24,989			24,158
Net charge offs / average loans ⁽¹⁾		0.05	%		0.02	%		0.72	%		0.03	%		0.15	%
Net charge offs (recoveries), excluding PCD loan charge-off / average loans ^{(1) (4)}		0.05	%		0.02	%		(0.03	%)		0.03	%		0.15	%
Nonperforming loans / total loans		0.39	%		0.47	%		0.57	%		0.83	%		0.80	%
Nonperforming assets / total assets		0.47	%		0.56	%		0.64	%		0.69	%		0.68	%
Allowance for credit losses on loans / total loans		1.21	%		1.21	%		1.22	%		1.40	%		1.42	%
Allowance for credit losses on loans / nonperforming loans		311.59	%		254.81	%		213.42	%		169.66	%		177.50	%

OTHER DATA
Total assets	$	3,757,653		$	3,615,731		$	3,591,398		$	3,609,327		$	3,558,426
Total loans		3,087,488			2,998,029			2,992,423			3,021,501			3,020,778
Total deposits		3,050,070			2,967,634			2,970,262			2,967,569			2,967,455
Total stockholders’ equity		402,070			392,489			382,254			370,900			361,037
Number of full-time equivalent employees		313			294			288			286			286

(1) Annualized.
(2) Non-U.S. GAAP financial measure that we believe provides management and investors with information that is useful in understanding our financial performance and condition. See accompanying table, “Non-U.S. GAAP Financial Measures,” for calculation and reconciliation.
(3) Tax equivalent using a federal income tax rate of 21%.
(4) Excludes $5.5 million in a PCD loan charge-off in first quarter of 2024, which was reserved for through purchase accounting marks at the time of the Malvern acquisition.

FIRST BANK
QUARTERLY FINANCIAL HIGHLIGHTS
(dollars in thousands, unaudited)

	As of the Quarter Ended
	9/30/2024			6/30/2024			3/31/2024			12/31/2023			9/30/2023
LOAN COMPOSITION
Commercial and industrial	$	546,541		$	530,996		$	508,911		$	506,849		$	478,120
Commercial real estate:
Owner-occupied		688,988			647,625			625,643			612,352			607,888
Investor		1,170,508			1,143,954			1,172,311			1,221,702			1,269,134
Construction and development		193,460			190,108			184,816			186,829			168,192
Multi-family		267,861			270,238			279,668			271,058			275,825
Total commercial real estate		2,320,817			2,251,925			2,262,438			2,291,941			2,321,039
Residential real estate:
Residential mortgage and first lien home equity loans		143,953			144,978			154,704			156,024			158,487
Home equity–second lien loans and revolving lines of credit		49,891			46,882			45,869			44,698			46,239
Total residential real estate		193,844			191,860			200,573			200,722			204,726
Consumer and other		29,518			26,321			23,702			25,343			20,208
Total loans prior to deferred loan fees and costs		3,090,720			3,001,102			2,995,624			3,024,855			3,024,093
Net deferred loan fees and costs		(3,232	)		(3,073	)		(3,201	)		(3,354	)		(3,315	)
Total loans	$	3,087,488		$	2,998,029		$	2,992,423		$	3,021,501		$	3,020,778

LOAN MIX
Commercial and industrial		17.7	%		17.7	%		17.0	%		16.8	%		15.8	%
Commercial real estate:
Owner-occupied		22.3	%		21.6	%		20.9	%		20.3	%		20.1	%
Investor		37.9	%		38.2	%		39.2	%		40.4	%		42.0	%
Construction and development		6.3	%		6.3	%		6.2	%		6.2	%		5.6	%
Multi-family		8.7	%		9.0	%		9.3	%		9.0	%		9.1	%
Total commercial real estate		75.2	%		75.1	%		75.6	%		75.9	%		76.8	%
Residential real estate:
Residential mortgage and first lien home equity loans		4.7	%		4.8	%		5.2	%		5.1	%		5.3	%
Home equity–second lien loans and revolving lines of credit		1.6	%		1.6	%		1.5	%		1.5	%		1.5	%
Total residential real estate		6.3	%		6.4	%		6.7	%		6.6	%		6.8	%
Consumer and other		0.9	%		0.9	%		0.8	%		0.8	%		0.7	%
Net deferred loan fees and costs		(0.1	%)		(0.1	%)		(0.1	%)		(0.1	%)		(0.1	%)
Total loans		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

FIRST BANK
QUARTERLY FINANCIAL HIGHLIGHTS
(dollars in thousands, unaudited)

	As of the Quarter Ended
	9/30/2024			6/30/2024			3/31/2024			12/31/2023			9/30/2023
DEPOSIT COMPOSITION
Non-interest bearing demand deposits	$	519,079		$	499,765		$	470,749		$	501,763		$	493,703
Interest bearing demand deposits		597,802			574,515			580,864			629,110			623,338
Money market and savings deposits		1,235,637			1,199,382			1,219,634			1,171,440			1,228,832
Time deposits		697,552			693,972			699,015			665,256			621,582
Total Deposits	$	3,050,070		$	2,967,634		$	2,970,262		$	2,967,569		$	2,967,455

DEPOSIT MIX
Non-interest bearing demand deposits		17.0	%		16.8	%		15.8	%		16.9	%		16.6	%
Interest bearing demand deposits		19.6	%		19.4	%		19.6	%		21.2	%		21.0	%
Money market and savings deposits		40.5	%		40.4	%		41.1	%		39.5	%		41.4	%
Time deposits		22.9	%		23.4	%		23.5	%		22.4	%		21.0	%
Total Deposits		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

FIRST BANK
NON-U.S. GAAP FINANCIAL MEASURES
(in thousands, except for share data, unaudited)

	As of or For the Quarter Ended
	9/30/2024			6/30/2024			3/31/2024			12/31/2023			9/30/2023
Return on Average Tangible Equity
Net income (numerator)	$	8,162		$	11,073		$	12,512		$	8,380		$	(1,271	)

Average stockholders’ equity	$	398,535		$	386,644		$	376,542		$	366,950		$	353,372
Less: Average Goodwill and other intangible assets, net		53,823			54,347			54,790			55,324			49,491
Average Tangible stockholders’ equity (denominator)	$	344,712		$	332,297		$	321,752		$	311,626		$	303,881

Return on Average Tangible equity (1)		9.42	%		13.40	%		15.64	%		10.67	%		-1.66	%

Tangible Book Value Per Share
Stockholders’ equity	$	402,070		$	392,489		$	382,254		$	370,900		$	361,037
Less: Goodwill and other intangible assets, net		53,484			54,026			54,483			54,978			55,554
Tangible stockholders’ equity (numerator)	$	348,586		$	338,463		$	327,771		$	315,922		$	305,483

Common shares outstanding (denominator)		25,186,920			25,144,983			25,096,449			24,968,122			24,926,919

Tangible book value per share	$	13.84		$	13.46		$	13.06		$	12.65		$	12.26

Tangible Equity / Tangible Assets
Stockholders’ equity	$	402,070		$	392,489		$	382,254		$	370,900		$	361,037
Less: Goodwill and other intangible assets, net		53,484			54,026			54,483			54,978			55,554
Tangible stockholders’ equity (numerator)	$	348,586		$	338,463		$	327,771		$	315,922		$	305,483

Total assets	$	3,757,653		$	3,615,731		$	3,591,398		$	3,609,327		$	3,558,426
Less: Goodwill and other intangible assets, net		53,484			54,026			54,483			54,978			55,554
Tangible total assets (denominator)	$	3,704,169		$	3,561,705		$	3,536,915		$	3,554,349		$	3,502,872

Tangible stockholders’ equity / tangible assets		9.41	%		9.50	%		9.27	%		8.89	%		8.72	%

Efficiency Ratio
Non-interest expense	$	18,644		$	17,953		$	17,810		$	17,936		$	23,486
Less: Merger-related expenses		–			–			–			338			7,028
Adjusted non-interest expense (numerator)	$	18,644		$	17,953		$	17,810		$	17,598		$	16,458

Net interest income	$	30,094		$	30,540		$	30,318		$	30,999		$	28,594
Non-interest income		2,479			689			1,964			(3,000	)		193
Total revenue		32,573			31,229			32,282			27,999			28,787
Add: Losses on sale of investment securities, net		555			–			–			916			527
(Subtract) Add: (Gains) losses on sale of loans, net		(135	)		900			(229	)		3,799			704
Less: Bank Owned Life Insurance Enhancement		(1,116	)		–			–			–			–
Adjusted total revenue (denominator)	$	31,877		$	32,129		$	32,053		$	32,714		$	30,018

Efficiency ratio		58.49	%		55.88	%		55.56	%		53.79	%		54.83	%

(1) Annualized.

FIRST BANK
NON-U.S. GAAP FINANCIAL MEASURES
(dollars in thousands, except for share data, unaudited)

	For the Quarter Ended
	9/30/2024			6/30/2024			3/31/2024			12/31/2023			9/30/2023

Adjusted diluted earnings per share,
Adjusted return on average assets, and
Adjusted return on average equity

Net income	$	8,162		$	11,073		$	12,512		$	8,380		$	(1,271	)
Add: Merger-related expenses⁽¹⁾		–			–			–			267			5,552
Add: Credit loss expense on acquired loan portfolio⁽¹⁾		–			–			–			–			4,323
Add (subtract): Losses (gains) on sale of loans, net⁽¹⁾		(107	)		711			(181	)		3,001			556
Add: Losses on sale of investment securities, net⁽¹⁾		438			–			–			724			416
Add: Net Impact of Bank Owned Life Insurance Restructuring⁽²⁾		79			–			–			–			–
Adjusted net income	$	8,572		$	11,784		$	12,331		$	12,372		$	9,576

Diluted weighted average common shares outstanding		25,342,462			25,258,785			25,199,381			25,089,495			24,029,910
Average assets	$	3,672,843		$	3,618,912		$	3,575,748		$	3,561,261		$	3,565,350
Average equity	$	398,535		$	386,644		$	376,542		$	366,950		$	353,372
Average Tangible Equity	$	344,712		$	332,297		$	321,752		$	311,626		$	303,881

Adjusted diluted earnings per share	$	0.34		$	0.47		$	0.49		$	0.49		$	0.40
Adjusted return on average assets⁽³⁾		0.93	%		1.31	%		1.39	%		1.38	%		1.07	%
Adjusted return on average equity⁽³⁾		8.56	%		12.26	%		13.17	%		13.38	%		10.75	%
Adjusted return on average tangible equity⁽³⁾		9.89	%		14.26	%		15.41	%		15.75	%		12.50	%

(1) Items are tax-effected using a federal income tax rate of 21%.
(2) Includes the net impact of the new Bank Owned Life Insurance enhancement and the increased tax expense on the terminated policies.
(3) Annualized.

The MIL Network –

January 25, 2025

MIL-OSI USA: Hold DOJ Accountable for Failure to Prosecute Noncitizen Voter Registration

US Senate News:

Source: United States Senator for Wisconsin Ron Johnson

It should be obvious to everyone — even Democrats — that we should prevent illegal immigrants from voting. Unfortunately, most Democrats in Congress do not agree. I was happy to cosponsor the SAVE Act in the Senate. This legislation aimed to secure our elections by requiring proof of citizenship to vote. It passed in the House, but not the Senate.

On October 2, I joined Republican colleagues in a letter to U.S. Attorney General Merrick Garland exposing the Department of Justice’s (DOJ) failure to prevent noncitizens from registering to vote in America’s federal elections and its refusal to prosecute those who have done so.

We need more information about the incidence of noncitizens registering to vote, and steps that the DOJ is taking to deal with the issue and secure U.S. elections.

In recent weeks, I have written two op-eds highlighting my concerns with election integrity. I urge you to read both.

The Daily Caller: FBI Ignoring Real Threats To Election Integrity

The Federalist: Democrat-Controlled States Refuse To Clean Voter Rolls And Fix Election Problems

Under the Biden-Harris administration, more than 500,000 unaccompanied migrant children have crossed the southwest border without a parent or guardian to provide care.

Last month, I joined a letter to President Biden and Vice President Harris calling out abuses in their Unaccompanied Migrant Children Program, namely the Department of Health and Human Services (HHS)’s cover-up of the crisis. HHS has failed to comply with two out of three Department of Homeland Security subpoenas and other information requests issued amid its investigation into more than 100 suspicious sponsors.

The Biden-Harris administration limited background checks for sponsors of unaccompanied children, cut back on familial DNA testing at the border, and decreased information sharing with law enforcement.

Cartel trafficking activity surged an estimated 2,500% from the Trump administration to the middle of the Biden-Harris term in 2022.

I joined another letter demanding Biden and Harris collect DNA samples from every immigrant the Department of Homeland Security (DHS) encounters, per the DNA Fingerprint Act of 2005. DHS missed three separate opportunities to gather DNA from the illegal immigrant who murdered Rachel Morin, a Maryland mother of five.

MILTON: The Milton Area Chamber of Commerce hosted a town hall at the Milton House Museum. Before the event, I took a fascinating tour of Wisconsin’s only certified Underground Railroad site which is designated a National Historic Landmark.

REESEVILLE: Caine Warehousing hosted a town hall at their Dodge County campus. It was an honor to meet the three generations of Caines who run this successful family business.

WATERTOWN: American Disposal and Lueck Recycling, another family run business, hosted a town hall at their facility. People are very concerned about open borders, the economy, and parental rights.

WATERTOWN: I always look forward to my visits to Maranatha Baptist University. I held a meeting with campus leadership and then answered questions from students, staff, and community members.

WHITEWATER: I enjoyed meeting with students at the University of Wisconsin Whitewater. When asked by a campus reporter about my main message for young people, I responded “jealously guard your freedom.”

MIL OSI USA News –

January 25, 2025
MIL-OSI USA: Boyle Statement on Vandalism of Congregation Mikveh Israel

Source: United States House of Representatives – Congressman Brendan Boyle (13th District of Pennsylvania)

WASHINGTON, D.C. — Today, Congressman Brendan F. Boyle (PA-02) released the following statement on the recent vandalism and arson of the historic Congregation Mikveh Israel synagogue in his district:

“I am appalled by the disgraceful vandalism and arson of the historic Congregation Mikveh Israel synagogue. I hope the perpetrator is quickly brought to justice and urge anyone with information to submit a tip to the Philadelphia Police Department. Philadelphia stands united against hatred and antisemitism, and we all have a responsibility to combat the unacceptable rise in antisemitism that our Jewish community has faced over the past year.”

A surveillance photo and information on how to submit a tip to the Philadelphia Police Department can be found here.

###

MIL OSI USA News –

January 25, 2025
MIL-OSI USA: Attorney General Bonta Announces Awardees of 2024-2025 Tobacco Grant Program, Seizure of $1 Million of Illegal Flavored Tobacco Products
Source: US State of California Department of Justice

OAKLAND – California Attorney General Rob Bonta today announced the recipients of the California Department of Justice (DOJ)’s Fiscal Year 2024-2025 Proposition 56 Tobacco Grant Program. The grant recipients are 76 local government agencies located throughout the state, including law enforcement agencies, prosecuting agencies, public health departments, cities and counties that will receive more than $28.5 million to support their efforts to reduce illegal tobacco sales to underage youth. This year’s funding prioritized retail enforcement and education as part of Attorney General Bonta’s commitment to fighting the illegal sales and marketing of tobacco products to minors. Funded activities include “flavor ban” enforcement efforts, shoulder tap and minor decoy operations, retailer education programs, tobacco retail license inspections, task force coordination, training for officers on tobacco laws and ordinances, monitoring retailer compliance, and more.

The Attorney General also announced the results of Operation Up in Smoke, the DOJ’s first-ever statewide retail tobacco enforcement operation. The operation targeted and seized illegal flavored tobacco products at retail locations and cited retailers who sell these products to minors. Fourteen local agencies, who were current and past recipients of the DOJ Tobacco Grant program, and two other state agencies were part of this year’s operation.

“The alarming rise in youth exposure to nicotine, particularly though vaping and e-cigarette demands urgent and decisive action. At the California Department of Justice, we are doing just that and reaffirming our commitment to safeguarding youth from the harmful effects of nicotine products through strict enforcement,” said Attorney General Rob Bonta. “Our enforcement operation shows firsthand how we crack down on the sale and distribution of illegal tobacco products. Funds from today’s grants to partners across the state will allow us to continue holding accountable those who break the law, and ensure a healthier, safer future for the next generation.”

“We look forward to our continued partnership with California Attorney General Rob Bonta and the Department of Justice to keep our community healthy and safe,” said Fresno City Attorney Andrew Janz. “In the City of Fresno, 85% of our schools have a smoke shop within a 1000-foot radius who routinely sell products that are designed by appearance and taste to appeal to minors. This funding allows the City of Fresno to continue safeguarding our youth, preventing them from becoming the next generation of lifelong tobacco users.”

“Everyone knows that tobacco products are marketed to teenagers to try to get them addicted at a young age,” said Long Beach City Prosecutor Doug Haubert. “In Long Beach, we are working with our law enforcement and health department partners to stop the sale of tobacco products to youth. We are going to increase enforcement, especially targeting retailers who have a history of violations. We appreciate the opportunity to partner with California DOJ and Attorney General Rob Bonta as part of this statewide effort.”

“The City of Vallejo is looking forward to utilizing this incredible $932,000 Tobacco Grant from the Department of Justice to help us with issues surrounding tobacco use by minors,” said Assistant City Manager of Vallejo Gillian Haen. “This generous grant will help our City with enforcement actions from retail inspections through enforcement as well as retailer and code enforcement education.”

“The Modesto Police Department is thrilled to have received funding through the DOJ for Tobacco Enforcement,” said Modesto Police Department. “This support highlights our urgent need to combat the rising rates of tobacco use among youth in our community, particularly the alarming appeal of flavored tobacco products. We have already seen the overwhelming amount of these products in our city, and this grant will significantly enhance our enforcement efforts and educational initiatives and hold those accountable for targeting these harmful products that pose a significant risk to our children’s health. Additionally, we will address the criminal element that often surrounds tobacco retail stores, working to reduce illegal activities that compromise the safety of our neighborhoods. In collaboration with the Stanislaus County District Attorney’s Office, the City Attorney’s Office, and our community, we are committed to a comprehensive approach through enforcement, education, and prosecution. Together, we will create a safer environment for our youth and foster a healthier community.”

“This grant gives us the tools to crackdown on those who sell tobacco and nicotine, including banned flavored tobacco products, to minors,” said Chula Vista Police Department. “This grant also gives CVPD the opportunity to conduct operations to gather information on persons selling narcotics to the public in licensed tobacco retail stores. By joining forces with the DOJ, we will be able to target and hold responsible anyone who harms our community and our youth under the guise of legitimate businesses.”

“This grant will enable the City of Rancho Cordova to make significant progress in reducing the use of flavored tobacco products among the youth in the community,” said City of Rancho Cordova. “The city’s Code Enforcement team will carry out a comprehensive operation, engaging with every tobacco retailer in the city to provide education and resources aimed at ensuring compliance.”

Tobacco use is the number one preventable killer in the United States. Smoking-related illness accounts for approximately 40,000 deaths annually in California. Nicotine, a key component of cigarettes and most e-cigarettes, is highly addictive and harmful to the developing brains of children and young adults.

DOJ’s Tobacco Grant Program aims to reduce childhood addiction to tobacco products by supporting local partners who:
- Enforce the statewide retail flavor ban and similar local retail flavor ordinances.
- Prosecute and penalize retailers who sell or market tobacco products to youth under the age of 21, including over the internet.
- Educate and inform tobacco retailers on state and local tobacco laws.
- Investigate and inspect for retailer licensing compliance.
The program is funded by Proposition 56, the California Healthcare, Research and Prevention Tobacco Tax Act of 2016. With this year’s awards, the Tobacco Grant Program has distributed approximately $212 million in grant funding to over 470 grantees through a competitive process.

Operation Up in Smoke resulted in the seizure of at least 50,000 illegal flavored tobacco products amounting to over $1,000,000 in value. Unstamped cigarettes, counterfeit stamps, non-MSA cigarettes, cannabis, and illegal gambling machines, were also items seized in this operation. The following state and local agencies were involved in this year’s operation: California Department of Justice: Tobacco Unit and Tax Recovery in the Underground Economy (TRUE); California Department of Public Health – Office of Youth Tobacco Enforcement (OYTE); California Department of Tax and Fee Administration – Tax Investigations and Inspections Bureau (CDTFA); Alameda County Sheriff’s Office; Calistoga Police Department; Chula Vista Police Department; Clovis Police Department; Inglewood Police Department; Irvine Police Department; Los Angeles City Attorney’s Office; Long Beach City Prosecutor; Riverside Sheriff’s Department; Sacramento County Sheriff’s Office; Santa Cruz Police Department; County of San Diego Health and Human Services Agency; Shasta County Health and Human Services Agency; Sonoma County Department of Health Service.

To see the full list of 2024-2025 Tobacco Grant Program recipients and learn more about the grant application process and qualifications, please click here.

To see further details about this year’s Operation Up in Smoke, please click here.

MIL OSI USA News –
January 25, 2025
MIL-OSI Security: Los Angeles County Man Sentenced to 12 Years and 9 Months in Prison for Child Exploitation Conspiracy with Yuba County Man

Source: Office of United States Attorneys

SACRAMENTO, Calif. — Pedro Luis Millan, aka Peter Millan, 38, of Montebello, was sentenced today by U.S. District Judge Daniel J. Calabretta to 12 years and nine months in prison for conspiracy to sexually exploit a child, U.S. Attorney Phillip A. Talbert announced.

According to court documents, in May 2021, Millan conspired with Brent Hooton, 51, of Marysville, to produce an image of a severely autistic child who was under the age of 12 engaged in sexually explicit conduct. Hooton produced the image and then sent it to Millan and other users over the Kik messaging app. Millan received that image, as well as additional sexual abuse images of the same child victim, from Hooton over the Kik app.

This case was the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Denise N. Yasinow prosecuted the case.

On Aug. 27, 2024, Hooton was sentenced to 27 years in prison for sexual exploitation of a child and distribution of child pornography.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.

MIL Security OSI –

January 25, 2025
MIL-OSI Security: Long Island Child Therapist Charged with Distribution of Child Pornography

Source: Office of United States Attorneys

Earlier today, Renee Hoberman, a licensed social worker, was arrested on charges of distribution of child pornography. The defendant was arraigned this afternoon at the federal courthouse in Central Islip before United States Magistrate Judge Arlene R. Lindsay on a complaint and ordered detained.

Breon Peace, United States Attorney for the Eastern District of New York, and William S. Walker, Special Agent in Charge, Homeland Security Investigations, New York (HSI) and Patrick Ryder, Commissioner, Nassau County Police Department announced the charges.

“As alleged, Hoberman distributed heinous and disturbing child pornography, including videos showing infants being restrained and raped. Additionally, while posing as a man, Hoberman, who is a therapist serving children, claimed to have produced child pornography and offered others the opportunity to sexually abuse children,” stated United States Attorney Peace. “Our investigation into Hoberman is ongoing, and we urge anyone with information to contact HSI’s tip line. Together with our law enforcement partners, we will relentlessly pursue predators who victimize children and prosecute them to the fullest extent of the law.”

“This case is an example of the vital work our investigators do every day in cooperation with our dedicated partners in federal law enforcement,” said Nassau County Police Commissioner Patrick Ryder. “The hard working and diligent detectives of the Nassau County Police Department will continue to work tirelessly to protect the innocent, and we will never stop fighting to bring those who victimize children to justice.”

As set forth in the complaint, between June 2024 and October 2024, Hoberman allegedly used social media messaging apps to upload digital videos depicting one or more minors engaging in sexually explicit conduct, including several videos of infants six months to one year of age being physically restrained and raped by an adult male, as the infants cried and frantically screamed for the duration of the videos. As recently as on or about October 16, 2024, the defendant uploaded child pornography and engaged in multiple chats concerning child sexual molestation. In these chats, the defendant, purporting to be a man, claimed to have multiple minor children and stated that “he” would have anal sex with the children and would punish them by getting naked, stripping the children naked, and spanking them while the other children watched. The defendant invited another user to visit “his” family in New York to spank the children. In addition, the defendant described sexually abusing “his” children and their friends, and then sent two videos containing child sexual abuse material, claiming that these videos depicted the user’s own children.

According to public records and as alleged in the complaint, Hoberman works as a therapist with an organization based in Melville, New York and serves children aged 0-17.

Anyone with information about sexual exploitation by the defendant is asked to contact HSI at HSI’s tip line: (866) 347-2423 or via HSI’s website: https://www.ice.gov/webform/ice-tip-form.

The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, Hoberman faces a mandatory minimum sentence of five years in prison.

This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys James R. Simmons and Russell Noble are in charge of the prosecution.

The Defendant:

Renee Hoberman, also known as “Rina Hoberman”
Age: 36
Plainview, New York

E.D.N.Y. Docket No. 24-MJ-588

MIL Security OSI –

January 25, 2025
MIL-OSI Security: Sixteenth Defendant Sentenced for Prison Drug Conspiracy

Source: Office of United States Attorneys

Gulfport, Miss. – A Long Beach, Mississippi man was sentenced to 99 months in federal prison for conspiracy to possess with intent to distribute a controlled substance.

Johnson Tran, 47, was sentenced on October 17, 2024, in U.S. District Court in Gulfport.

According to court documents and information presented to the Court, in 2018, agents with the DEA received information from the Bureau of Prisons (BOP) that drug laced letters and greeting cards were being sent to inmates in the Bureau of Prisons from the Southern District of Mississippi. The drug laced letters and cards were intercepted at prisons in Illinois, South Carolina, Florida, Indiana, Pennsylvania, and New Jersey.

DEA and BOP officials were able to determine that inmates were ordering the drug laced letters and cards from Johnson Tran via prison email accounts and jail calls. The inmates would typically order the drugs using coded language. The letters or greeting cards were laced with FUB-AMB and 5F-MDMB-PICA, which are Schedule I controlled substances and synthetic cannabinoids. Many of them were sent through the postal service in Gulfport, Mississippi, and Tran’s base of operation was Harrison County, Mississippi.

Agents were also able to determine through the review of financial records that Tran would ultimately receive payment for the drugs that he sent into prison via U.S. Department of Treasury checks drawn from the inmate’s prison accounts and/or peer-to-peer money transfers from associates or family members of the inmates. When Tran’s associates would receive funds on Tran’s behalf, Tran would give them a portion of the funds they received as payment for their services.

In addition to Johnson Tran, fifteen other defendants have been sentenced in the case:

Chaze Lowery and William Hernandez previously pled guilty to conspiracy to commit money laundering. Lowery was sentenced to 48 months in prison and Hernandez was sentenced to 87 months in prison.

Jermaine Jones pled guilty to conspiracy to possess with intent to distribute a controlled substance and was sentenced to 62 months imprisonment.

Jorge Pena, Trae Short, Bobby Huneycutt, Clarence Plato, Ryan Douglas, Salomon Ayala, Stanley Spriggs, Corderius Trammell, Jonathan Estrada, Marcus Thames, and Allen Butler all pled guilty to conspiring to commit an offense against the United States by conspiring to introduce contraband to a federal correctional facility. Their sentences ranged from time served to 52 months in prison.

Ryan Schmittaur pled guilty to conspiracy to possess with intent to distribute a controlled substance and was sentenced to 4 years of probation and a $3,000.00.

A seventeenth defendant, Ashley Magee, pled guilty to engaging in an unlicensed money transmission business by accepting and transferring money on behalf of Johnson Tran and the inmates. She will be sentenced on January 7, 2025, and faces a maximum of 5 years in prison.

U.S. Attorney Todd Gee of the Southern District of Mississippi and Assistant Special Agent in Charge Anessa Daniels-McCaw of the Drug Enforcement Administration made the announcement.

The case is being prosecuted by Assistant United States Attorney Jonathan Buckner.

The case was investigated by the Drug Enforcement Administration and the Bureau of Prisons.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor- led, intelligence driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

MIL Security OSI –

January 25, 2025
MIL-OSI Security: Former Teacher Sentenced to 20 Years in Prison for Producing Child Pornography with Hidden Cameras

Source: Office of United States Attorneys

ST. LOUIS – U.S. District Judge Henry E. Autrey on Wednesday sentenced a former St. Louis County, Missouri teacher to 20 years in prison for producing child pornography with hidden cameras.

Judge Autrey also ordered Joseph R. Gutowski to pay $86,500 in restitution to his victims, including those who appeared in the child sexual abuse material he collected.

Gutowski hid cameras in his office at Lafayette High School in Wildwood and in his home. He secretly filmed a minor and traded some of the images with others online. He was a member of an underground child pornography group on the cloud storage service Mega. He also traded videos he’d secretly recorded of an adult in the “Club Creep” group on Mega.

Gutowski, 42, pleaded guilty in U.S. District Court in St. Louis in July to one count of producing of child pornography and one count of receiving child pornography.

The FBI and the St. Louis County Police Department Special Investigations Unit investigated the case. Assistant U.S. Attorney Jillian Anderson prosecuted the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

MIL Security OSI –

January 25, 2025
MIL-OSI Security: Little Rock Man Sentenced to Over 17 Years In Federal Prison for Drug Trafficking Methamphetamine and Fentanyl, Felon in Possession of a Firearm, and Possession of a Firearm in Furtherance of a Drug-Trafficking Crime

Source: Office of United States Attorneys

LITTLE ROCK—Christopher Monroe, a multi-convicted felon, will spend the next 215 months in federal prison for possession with intent to distribute fentanyl, methamphetamine, felon in possession of a firearm, and possession of a firearm in furtherance of a drug-trafficking crime. Jonathan D. Ross, United States Attorney for the Eastern District of Arkansas, announced the sentence, which was handed down today by United States District Judge Brian S. Miller.

      Monroe, 44, of Little Rock, was indicted on June 6, 2023, in a six-count indictment charging possession with intent to distribute 50 grams or more of methamphetamine, possession with intent to distribute cocaine, possession with intent to distribute heroin, possession with intent to distribute fentanyl, being a felon in possession of a firearm, and possession of a firearm in furtherance of a drug-trafficking crime.

      On April 12, 2024, Monroe pleaded guilty to the fentanyl and methamphetamine crimes, as well as to being a felon in possession of a firearm and possession of a firearm in furtherance of a drug-trafficking crime. Today Judge Miller sentenced Monroe to 155 months in federal prison for the methamphetamine and fentanyl crimes, as well as for being a felon in possession of a firearm, with those offenses to run concurrently. Judge Miller also sentenced Monroe to 60 months in federal prison for possessing the firearm in furtherance of a drug-trafficking crime, to be served consecutively after the 155-month sentence. In addition to the 215 months’ total imprisonment, which is more than 17.5 years, Judge Miller sentenced Monroe to five years supervised release. There is no parole in the federal system.

      An investigation revealed that on May 20, 2023, Arkansas State Troopers observed a GMC Sierra Denali that had previously fled from Sherwood Police and Arkansas State Police in recent weeks and evaded arrest. Troopers pulled up next to the truck and identified the driver as Monroe, the sole occupant of the vehicle. Monroe had confirmed warrants out of Sherwood. Troopers attempted to block the Denali and initiate a traffic stop State Highway 167, but Monroe refused to stop. He collided with patrol cars and fled from troopers, exceeding speeds of 100 m.p.h. and endangering others. Troopers continued to chase Monroe from Sherwood through Little Rock before the pursuit was terminated by immobilizing Monroe’s vehicle at Roosevelt Road.

      During a search of Monroe’s vehicle, law enforcement officers located 309 grams of methamphetamine; 109 grams of fentanyl; cocaine; marijuana; and oxycodone. Officers also located in a safe a loaded Taurus Judge .45/.410 caliber firearm. Also located in the safe were multiple controlled substances, baggies, scales, and cash.

      Judge Miller based Monroe’s sentence on the offense as well as his documented criminal history. At the time of the Monroe’s possession of the firearm and drugs, he had been previously convicted of 3^rd degree domestic battery, possession of marijuana, possession with intent to distribute methamphetamine and cocaine, theft of property, and theft by receiving, as well as illegal possession of a firearm.

        The investigation was conducted by the Drug Enforcement Administration with assistance from the Arkansas State Police and Sherwood Police Department. The case was prosecuted by Assistant United States Attorney Bart Dickinson.

# # #

Additional information about the office of the

United States Attorney for the Eastern District of Arkansas, is available online at

https://www.justice.gov/edar

X (formerly known as Twitter):

@USAO_EDAR

MIL Security OSI –

January 25, 2025
MIL-OSI Security: Former Federal Employee Pleads Guilty to Mishandling Classified Materials

Source: Office of United States Attorneys

Margaret Anne Ashby, 26, of Henderson, Nevada, pleaded guilty today for mishandling sensitive documents as a former employee of a Department of Defense component agency.

As described in the plea agreement, starting in March 2020, Ashby was a civilian employee of a Department of Defense component agency located in the Southern District of Georgia, and during this time held a top secret security clearance as required for her employment.

From February 2022 to May 2022, Ashby, without authority, knowingly removed documents and materials containing classified information “concerning the national defense or foreign relations of the United States . . . with the intent to retain them at unauthorized locations, including her residence in the Southern District of Georgia and in digital files saved via a personal computing device located in the Southern District of Georgia.”

A sentencing date has not yet been set. Ashby faces a maximum penalty of five years in prison and three years of supervised release for mishandling sensitive documents, along with substantial financial penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Jill E. Steinberg for the Southern District of Georgia, and Robert Wells of the FBI National Security Branch announced the case.

The FBI investigated the case.

Assistant U.S. Attorneys L. Alexander Hamner and Darron J. Hubbard for the Southern District of Georgia and Trial Attorney David J. Ryan of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.

MIL Security OSI –

January 25, 2025
MIL-OSI Security: Santa Maria Man Charged with Weapon of Mass Destruction Offense in Connection with Bomb Attack in Lobby of County Courthouse

Source: Office of United States Attorneys

LOS ANGELES – A three-count federal grand jury indictment returned today charges a Santa Barbara County man with committing a bomb attack at a courthouse in Santa Maria in which several people were injured.

Nathaniel James McGuire, 20, of Santa Maria, was charged with one count of using a weapon of mass destruction, one count of maliciously damaging a building by means of explosive, and one count of possessing unregistered destructive devices. McGuire has been in custody since his arrest in September, shortly after the attack.

McGuire’s arraignment is scheduled for October 25 in United States District Court in downtown Los Angeles.

“The facts alleged in the indictment are disturbing,” said United States Attorney Martin Estrada. “The new charge of using a weapon of mass destruction underscores how seriously we are treating this misconduct and my office’s determination to hold accountable those who seek to bring violence upon our courts, law enforcement personnel, and the public.”

“Any time an individual commits such an act of terror, victims are traumatized and there is a potential for tragic consequences” said Akil Davis, Assistant Director in Charge of the FBI Los Angeles Field Office. “If convicted, Mr. McGuire faces significant prison time thanks to the combined efforts of our local and federal law enforcement partners.”

“We are grateful that the FBI and the U.S. Attorney’s Office have taken this serious case to the grand jury, and that they have returned an indictment,” said Santa Barbara County Sheriff Bill Brown. “This crime shocked our entire community and we are pleased to see that the suspect in this case is being held accountable.”

According to the indictment and criminal complaint, on September 25, McGuire entered a courthouse of Santa Barbara County Superior Court and threw a bag into the lobby. The bag exploded and McGuire left the courthouse on foot. The explosion injured at least five people who were near the bomb when it exploded.

Shortly thereafter, McGuire was apprehended and detained by law enforcement officials as he was trying to access a red Ford Mustang car parked outside the building. McGuire allegedly yelled that the government had taken his guns and that everyone needed to fight, rise up, and rebel.

Inside the car, a deputy saw ammunition, a flare gun, and a box of fireworks. A search of the car revealed a shotgun, a rifle, more ammunition, a suspected bomb, and 10 Molotov cocktails. Law enforcement later rendered the bomb safe. McGuire told law enforcement he intended to re-enter the courthouse with the firearms in order to kill a judge.

A search of McGuire’s residence revealed an empty can with nails glued to the outside, a duffel bag containing matches, black powder, used and unused fireworks, and papers that appeared to be recipes for explosive material.

An indictment is merely an allegation that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.

If convicted of all charges, McGuire would face a mandatory minimum sentence of seven years in federal prison and a statutory maximum sentence of life in federal prison.

The FBI’s Joint Terrorism Task Force, the Santa Barbara County Sheriff’s Office, and Santa Maria Police Department are investigating this matter.

Assistant United States Attorneys Mark Takla and Kathrynne N. Seiden of the Terrorism and Export Crimes Section are prosecuting this case with substantial assistance from Trial Attorney Patrick Cashman of the Counterterrorism Section in the Department of Justice’s National Security Division.

MIL Security OSI –

January 25, 2025
MIL-OSI Security: Jury Convicts New Jersey Man of Alien Smuggling

Source: Office of United States Attorneys

Albany, NEW YORK – Kenneth Moore, age 41, of New Jersey, was convicted today of two counts of alien smuggling for private financial gain, following a 3-day jury trial.

United States Attorney Carla B. Freedman and Chief Patrol Agent Robert N. Garcia, United States Border Patrol, Swanton Sector, made the announcement.

The evidence at trial established that on June 20, 2023, Moore traveled from New Jersey to an area just south of the Canadian Border in Clinton County, New York, to pick up several people who had illegally crossed into the United States at a place other than a Port of Entry. Moore anticipated being paid $3,000 for his services but was quickly apprehended by agents from the United States Border Patrol.

Jurors could not reach a verdict on one count of conspiracy to commit alien smuggling.

Sentencing is scheduled for February 25, 2025, before United States District Judge Mae A. D’Agostino, at which time Moore faces a mandatory term of 3 years in prison and up to 10 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.

United States Border Patrol investigated this case with assistance from the Royal Canadian Mounted Police. Assistant U.S. Attorney Allen J. Vickey and Joseph S. Hartunian are prosecuting this case.

MIL Security OSI –

January 25, 2025
MIL-OSI Security: Florida Man Sentenced to Federal Prison for Aggravated Identity Theft and Wire Fraud

Source: Office of United States Attorneys

Montgomery, Ala. – Today, Acting United States Attorney Kevin Davidson announced the sentencing of a Palm Bay, Florida man to 70 months in prison for using a fake identity to purchase a vehicle. On October 21, 2024, a federal judge sentenced 39-year-old Anthony Vila to 70 months in prison. In addition to the prison sentence, the judge also ordered that Vila serve three years of supervised release following his prison term. There is no parole in the federal system.

According to his plea agreement and other court records, in early August of 2022, Vila contacted a salesman at a Prattville, Alabama car dealership via electronic communications regarding the purchase of a vehicle valued at $45,000. After being denied financing, Vila sent the personal identifying information of someone he claimed to be his aunt to be used by the dealership as a co-signor on the loan. The information included a copy of the co-signor’s driver’s license and a pay stub. However, both documents were counterfeit. Vila also provided a date of birth and social security number for his alleged co-signor and had an unknown female claiming to be his aunt speak to the dealership over the phone. The $45,000 loan was eventually approved. The individual that Vila falsely claimed to be his aunt had no knowledge of the transaction and had not given permission for her personal information to be used.

On August 4, 2022, Vila picked up the vehicle from the dealership. Vila was apprehended with the vehicle a few days later in Montgomery. During a search of the vehicle, investigators found a laptop, printer, holograms, phone, firearm, and other items commonly used to commit identity theft. The phone contained over 100 stolen identities. The laptop contained evidence of the vehicle purchase described above. Vila pleaded guilty to wire fraud and aggravated identity theft on June 7, 2024.

The Federal Bureau of Investigation and Montgomery Police Department investigated this case. Assistant United States Attorney J. Patrick Lamb prosecuted the case.

MIL Security OSI –

January 25, 2025
MIL-OSI Security: New Orleans Man Sentenced For Possession of a Machinegun

Source: Office of United States Attorneys

NEW ORLEANS, LOUISIANA – TOBURREN LINDSEY (“LINDSEY”), age 23, of New Orleans, was sentenced on October 22, 2024 by U.S. District Judge Greg G. Guidry to 18 months incarceration after previously pleading guilty to possession of a machinegun, in violation of Title 18, United States Code, Section 922(o). Judge Guidryalso ordered that LINDSEY be placed on supervised release for three (3) years and pay a mandatory $100 special assessment fee.

According to court records, on February 21, 2023 (Mardi Gras Day), the New Orleans Police Department (“NOPD”) patrolled the 300 Block of Bourbon Street and saw LINDSEY and O’Marion Armstrong walking down Bourbon Street together. NOPD approached LINDSEY and asked him for identification and when doing so, saw a firearm protruding from LINDSEY’s waistband. LINDSEY attempted to flee but was detained and, a Glock Model 19, nine-millimeter semi-automatic handgun was recovered from his person. The loaded firearm contained 30 rounds of ammunition in an attached magazine, as well as one live round in the chamber.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun track violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the New Orleans Police Department. This case was prosecuted by Assistant United States Attorney Mike Trummel of the Violent Crimes Unit.

MIL Security OSI –

January 25, 2025
MIL-OSI Banking: Charting the course: prudential regulation and supervision for smooth sailing
Source: Bank for International Settlements

Introduction

Good afternoon, and thank you for inviting me to speak at this conference today.

It is a privilege to be speaking today as the Chair of the Basel Committee, following my appointment by the Group of Governors and Heads of Supervision (GHOS) in May of this year.¹ This is a position that has been previously enjoyed by only 11 people during the Committee’s 50 years. As a Reserve Officer in the Royal Swedish Navy, I would liken this honour as akin to taking the helm of a well steered vessel by seasoned captains.

As you know, the work of the Basel Committee since the Great Financial Crisis (GFC) – under the leadership of Nout Wellink, Stefan Ingves and, more recently, Pablo Hernández de Cos – has fundamentally reshaped the regulatory landscape for internationally active banks. The Basel Framework is the cornerstone of the international community’s response to the GFC. Since 2011, banks’ Common Equity Tier 1 (CET1) risk-based capital ratio has increased by over 70% and now stands at around 13.8%.² Global banking system leverage has almost halved during this period, with an average Tier 1 leverage ratio of just over 6%.³ And banks’ holdings of high-quality liquid assets have more than doubled to over €12.5 trillion, with a corresponding Liquidity Coverage Ratio of over 135%.⁴

The Basel III reforms have brought tangible benefits. In sailing, no matter how skilled you are, you can’t control the weather. However, you can prepare your boat with safety protocols and solid equipment. The Committee helps ensure that the global banking system is prepared for the unexpected. There is now an extensive empirical literature that suggests that the Basel III reforms have had an unambiguously positive net macroeconomic effect.⁵ The reforms have clearly strengthened bank resilience at both the bank and system-wide level, which in turn will help reduce the likelihood and impact of future banking crises. At the same time, banks, particularly strongly capitalised ones, have continued to meet the demand for lending from households and businesses.⁶

Just as important as the effects of Basel III is the process by which the reforms were finalised. The Committee consulted extensively when developing Basel III – we do not operate in a vacuum or opaquely. It published no fewer than 10 consultation papers, which collectively spanned a consultation period of almost three years. It engaged extensively with a wide range of external stakeholders. Each consultation was accompanied by a rigorous quantitative impact study, which was supplemented by a half-yearly public Basel III monitoring exercise. So it is reassuring and appropriate to find that a recent academic study concluded that the Committee’s consultation approach is “one of the most procedurally sophisticated” processes among policymaking bodies.⁷ Moreover, member jurisdictions have undertaken their own rigorous domestic rule-making processes to transpose these standards.

But the work to fix the banking system fault lines exposed by the GFC is not done. We need to lock in the financial stability benefits of implementing the outstanding Basel III standards in full and consistently, and as soon as possible. I take comfort in the recent unanimous reaffirmation by the GHOS to achieve such an outcome.⁸ The Committee has been actively monitoring and assessing the full and consistent implementation of Basel III and will continue to do so.

As this is my maiden speech as Committee Chair, I will outline some high-level principles that I will be relying upon to help guide how I view the work of the Committee. I will also offer a few personal reflections on some topical issues. As a keen sailor, I should apologise in advance for my continued use of maritime language!

Principle 1: Sail forward but always glance back

My starting point is that we cannot afford to ignore, or forget, the lessons of history. This time is not different. There have been no fewer than 150 systemic banking crises since 1970.⁹ Just last year, we saw the most significant system-wide banking stress since the GFC, including the distress of five banks with total assets exceeding one trillion US dollars. While each banking crisis may have had its unique characteristics, the common thread throughout history is that we simply cannot predict when or from where the next crisis will emerge. We therefore need to ensure robust and durable resilience for the global banking system to withstand a range of potential shocks.

Banking crises have a profound impact on our economies and social welfare. In my home country of Sweden, the 1990s banking crisis and the GFC resulted in output losses of over 30% and 25%, respectively.¹⁰ These are not just numbers, but reflect economic hardships endured by citizens, including job losses and foregone growth potential. We must always remember this stark reality when regulating and supervising banks.

And yet, despite the painful effects of banking crises, history suggests that the lessons from such events are often forgotten as part of a “regulatory cycle”.¹¹ Memories fade over time, and a view takes hold that this time really is different. As the cycle turns, policymakers, supervisors and risk managers at banks sometimes become complacent and give in to pressures to dilute regulatory safeguards. Such a journey never ends well: it is only a matter of time until stormy waters reveal banks’ stress points and fractures.

This is not a course that I intend to chart. The reality is that a banking system built upon leverage and maturity transformation will inevitably face episodes of distress. Misconduct, governance failures and imprudent risk management practices further increase the likelihood and impact of crises.

To be clear, the first and most important source of resilience comes from banks’ own risk management practices and governance arrangements. The boards and management of banks should be the first port of call in managing and overseeing risks; they cannot outsource these functions to supervisors. Yet history suggests that some banks’ boards and senior management occasionally fail in their most elementary responsibilities. So it is critical that bankers, policymakers and supervisors do not forget the lessons from the past and take a medium-term perspective. Consider, for example, the recent growth in the use of so-called synthetic risk transfers (SRTs) by banks across several regions.¹² Such transactions are intended to reduce banks’ capital requirements by “transferring” the risks associated with some exposures to a third party – often a non-bank financial intermediary (NBFI) – which provides credit protection or insurance. The Basel Framework allows for such transactions to take place subject to meeting certain criteria, and they may in instances be an effective risk management technique. However, I personally believe that we should not lose sight of the bigger picture and lessons from the GFC. In particular, we should ask ourselves: are there system-wide risks that warrant closer attention? For example, what are the risks if NBFI investors of SRTs are in turn borrowing from other banks? Is there sufficient transparency about the interconnections and potential spillover of risks between banks and NBFIs in these – and other – markets? A natural starting point to help answer these questions is to remind ourselves of the lessons from the GFC.

Just like a sailor needs steady winds, strong sails and safety gear for times of stress to ensure a smooth voyage, a bank requires strong prudential regulation and supervision to ensure stability. And its board and senior management should display the leadership and competency of a veteran captain. In addition, it is critical that the Committee remains vigilant and pursues a forward-looking approach to assessing risks and vulnerabilities to help reduce the risk of the global banking system being blown off course into financial storms.

The Committee’s work should also continue to be anchored by rigorous empirical analysis and not succumb to short-term or specific interests of some external stakeholders. And the GHOS agreed to mark a clear end to the Basel III policy agenda in 2020 when it noted that any further potential adjustments to Basel III “will be limited in nature and consistent with the Committee’s evaluation work”.¹³ This is why the Committee is pursuing analytical work based on empirical evidence to assess whether specific features of the Basel Framework performed as intended during the 2023 banking turmoil, such as liquidity risk and interest rate risk in the banking book.¹⁴ On this note, we recently provided a progress report to the G20 which outlines the progress we have made in the area of liquidity risk.¹⁵ This is a good start, but there is still more work to be done. Structural changes affecting the financial system, such as the ongoing digitalisation of finance and role of social media, require policymakers and supervisors to remain alert and be open-minded as to whether any additional regulatory and supervisory measures are needed.

Principle 2: All hands on deck

My second guiding principle is the need for global and transparent engagement with a wide range of stakeholders.

Financial stability is a global public good that requires cross-border cooperation. An open global financial system requires global prudential standards. Failure on this count could result in regulatory fragmentation, regulatory arbitrage and a potential “race to the bottom” leading to a dilution of banks’ resilience.¹⁶

So I will strive to build on the strong track record of Committee members to cooperate and collaborate in tackling cross-border financial stability challenges and shoring up the resilience of the global banking system. We have witnessed the benefits of global cooperation throughout the Committee’s history, including with the Concordat, Basel I, II and III, and the Basel Core Principles, and of course more recently during the Covid-19 period and last year’s banking turmoil. And in a world facing major geopolitical uncertainty, and where the merits of multilateralism are sometimes questioned, it is even more critical for the Committee to remind all stakeholders of the necessity of cross-border cooperation.

The need for cooperation is not just among Committee members themselves. Given the increasingly cross-sectoral and cross-cutting nature of developments affecting the global financial system – such as the ongoing digitalisation of finance, the growing role of NBFIs, the increasing nodes of interconnections among banks, central counterparties and NBFIs, or climate-related financial risks – the Committee will need to increasingly liaise with a wide range of authorities. This includes ongoing cooperation with central banks and supervisory authorities outside the Basel Committee’s membership, but also financial sector authorities in charge of overseeing conduct, resolution, deposit insurance, payment systems, securities and other NBFIs. In fact, for certain topics there may also be a need to go beyond the financial sector sphere and liaise with authorities with responsibility for accounting, competition, data privacy and security, just to mention a few.

To this end, it is critical that the Committee continues to seek the views of a wide range of stakeholders, including academics, civil society, legislators, market participants and the general public. Even if we may have different views on specific elements of the Committee’s work, these engagements unquestionably enhance the Committee’s outputs by bringing in different perspectives.

Principle 3: Keep your heading steady

My third principle is the importance for the Committee to act as a lighthouse, cutting through the fog and stormy conditions.

Bank regulation and financial supervision are an anchor to help prevent banks from drifting into risky waters that could endanger the entire economy. A resilient and healthy banking system is one that can best support households and businesses through the robust provision of key financial services across the financial cycle.¹⁷

Let me give you an example from my home country. Before the pandemic, the initial set of Basel III standards were fully implemented in Sweden. These reforms significantly increased Swedish banks’ resilience to shocks. In addition, the Swedish authorities activated the Basel III countercyclical buffer and set it at 2.5%, with the aim to further enhance Swedish banks’ resilience. Doing so allowed us to release this buffer in response to the Covid-19 crisis, which in turn helped Swedish banks to absorb shocks and to lend to creditworthy households and companies throughout the pandemic. The releasability of this buffer facilitated its drawdown by banks in a way that made it genuinely usable.

It may be tempting for some to argue that regulations should be watered down and that supervision should be less intrusive, in order to promote lending to specific sectors or to “unlock” economic growth. But, as with other areas of economic policymaking, any perceived short-term gains are usually more than offset by longer-term pain. Shaving off a few basis points of capital will not unlock a wave of new lending, but it will weaken your resilience. More generally, being well capitalised is a competitive advantage for banks and their shareholders, as it ensures that they can continue to grow and invest in profitable projects across the financial cycle. The Committee’s work should therefore continue to be centred around its mandate.

To be clear, this is entirely compatible with stable and healthy earnings that are fundamental to banking and financial stability. So it is reassuring that the sample of banks for which we regularly collect data – many of which are represented here today – have over time been able to both meet new regulatory requirements, make healthy profits and pay out significant dividends. For example, in 2011 banks faced a CET1 capital shortfall from Basel III of about €485 billion. Since then, their profits have exceeded €4 trillion and banks have paid out over €1.3 trillion of common share dividends, while at the same time building capital and liquidity buffers to meet the new requirements.¹⁸

More generally, the Committee will continue to focus its work on those prudential areas that require a global and coordinated response. Its outputs will continue to take the form of global minimum standards to provide a common financial stability baseline across jurisdictions. Jurisdictions are, of course, free to go beyond this baseline if the size and structure of their banking system and the associated risks warrant additional measures. Such measures only reinforce global financial stability. Just as importantly, we will continue to promote strong supervision, including by sharing supervisory experiences and, when needed, developing additional guidance to assist supervisors worldwide.

In that regard, I am sure all of us can agree that it is in our collective best interest to have global standards. We may have different opinions about Basel III, but I think we can all agree that having a globally consistent level playing field is preferable to a patchwork of disparate regulations. A global compromise – however imperfect it may appear to some – is preferable to a free-for-all framework. Internationally active banks then have a common minimum regulatory baseline which they can manage their business around. Supervisors are able to better assess the relative resilience of their banks across jurisdictions. The scope for regulatory arbitrage is reduced. Level playing fields are enhanced. Now compare this with a fragmented bank regulatory world, where banks would have to comply with completely different rules across borders with no common minimum baseline. Such a scenario could also trigger a race to the bottom across jurisdictions, resulting in a frail regulatory framework that would threaten global financial stability and banks’ own viability. We would all be worse off in such a situation. It is therefore in your own interest to avoid such a scenario and to promote a common and consistent implementation of Basel III.

Finally, we should keep the fundamentals of bank regulation and supervision in mind. While it may be tempting to focus on the “newest” trends affecting the banking system, we should not lose sight of the more traditional risks, such as credit risk and liquidity risk. Regarding the former, despite repeated headwinds over the past few years, the feared wave of financial problems for households and corporate defaults has yet to appear. Yet I am personally concerned about some stakeholders’ seeming complacency in assuming that the worst is over and that the seas are calm. It is a universal truth that a calm sea does not make a clever sailor.

With continued uncertainty about interest rate trajectories and the economic outlook, hidden currents and unseen reefs could still pose a challenge. Banks and supervisors must remain vigilant to such risks.

Principle 4: Sailing to simplicity

My last principle is to ensure that the Committee continues to adequately balance risk sensitivity with simplicity and comparability. Finance and banking are complex activities, so there is perhaps an understandable temptation to match that complexity in the regulatory framework.

Yet one does not always fight fire with fire. Undue complexity in prudential regulation can undermine the ability for a bank’s board and senior management to fully understand the risk profile of their bank. It can also impede supervisors’ ability to effectively assess the resilience of banks and create opaque opportunities for arbitrage. And while complex rules may sound conceptually appealing, they may also prove to be challenging to operationalise in practice.

Banking is as much about risk as it is about uncertainty.¹⁹ In such a world, simpler approaches can sometimes be more robust and outperform more complex ones.²⁰ So I personally think that policymaking initiatives should ensure that sufficient attention is placed at striking the right balance between risk sensitivity, simplicity and comparability.

Conclusion

In conclusion, the Committee will continue to be guided by its mandate of strengthening the regulation, supervision and practices of banks worldwide. In the near term, when it comes to Basel III, all GHOS members have unanimously reaffirmed their expectation of implementing all aspects of the framework in full, consistently and as soon as possible.²¹

More generally, fulfilling our mandate requires us all to remember that:
- Banks’ boards and senior management are the captains of their ships. You have both the primary and ultimate responsibility for overseeing and managing risks. Regulation and supervision can provide safeguards, but cannot and should not be a substitute for your role in managing your risks prudently.
- Global bank prudential standards are a public good. We are collectively all better off in a world with global standards than in an autarkic one. Lobbying for deviations at a national level can perhaps provide short-term (private) gains but will ultimately threaten global financial stability. As internationally active banks, it is not in your interest to sail in such an environment.
- We cannot forget the lessons from past banking crises to prepare effectively for the future. In a financial system undergoing profound structural transformations, such as the digitalisation of finance, the Committee should keep an open mind as to whether additional adjustments to the Basel Framework are warranted over the medium term. And we will focus on global financial stability issues that require a global response.
As Chair, I am fully committed to leading the Committee in that direction.

References

Aikman, D, M Glaesic, G Gigerenzer, S Kapadia, K Kastikopoulos, A Kothiyal, E Murphy and T Neumann (2021): “Taking uncertainty seriously: simplicity versus complexity in financial regulation”, Industrial and Corporate Change, vol 30, no 2, April.

Basel Committee on Banking Supervision (BCBS) (2020): “Governors and Heads of Supervision commit to ongoing coordinated approach to mitigate Covid-19 risks to the global banking system and endorse future direction of Basel Committee work”, press release, 30 November.

— (2022a): Evaluation of the impact and efficacy of the Basel III reforms, December.

— (2022b): Evaluation of the impact and efficacy of the Basel III reforms – Annex, December.

— (2023): Report on the 2023 banking turmoil, October.

— (2024a): “Erik Thedéen appointed as Chair of the Basel Committee on Banking Supervision”, press release, 13 May.

— (2024b): “Governors and Heads of Supervision reiterate commitment to Basel III implementation and provide update on cryptoasset standard”, press release, 13 May.

— (2024c): “BCBS dashboards”, September.

— (2024d): The 2023 banking turmoil and liquidity risk: a progress report, October.

Carstens, A (2019): “The role of regulation, implementation and research in promoting financial stability”, keynote address at the Bank of Spain and CEMFI Second Conference on Financial Stability, Madrid, 3 June.

Hernández de Cos, P (2019): “The future path of the Basel Committee: some guiding principles”, keynote speech at the Institute for International Finance Annual Membership Meeting, Washington DC, 17 October.

— (2022): “A resilient transition to net zero”, remarks at the International Economic Forum of the Americas, 28th edition of the Conference of Montreal, 11 July.

— (2024): “Building on 50 years of global cooperation”, keynote speech at the 23rd International Conference of Banking Supervisors, Basel, 24 April.

Knight, F (1921): Risk, uncertainty and profit, Houghton Mifflin.

Laeven, L and F Valencia (2018): “Systemic banking crises revisited”, IMF Working Paper, no 18/206.

S&P Global (2024): “Banks ramp up credit risk transfers to optimise regulatory capital”, 22 February.

Viterbo, A (2019): “The European Union in the transnational financial regulatory arena: the case of the Basel Committee on Banking Supervision”, Journal of International Economic Law, vol 1, no 24, June.

This speech and the views expressed are those of the individual and do not necessarily reflect the views and/or position of the BIS or CPMI.
MIL OSI Global Banks –
January 25, 2025
MIL-OSI Russia: Government meeting (2024, No. 31)

Translation. Region: Russian Federation –

Source: Government of the Russian Federation – An important disclaimer is at the bottom of this article.

1. On the draft federal law “On Amendments to Article 121 of the Federal Law “On State Social Assistance”” The draft law is aimed at implementing the possibility of transferring powers to establish and pay regional social supplements to pensions to the Pension and Social Insurance Fund of the Russian Federation.

2. On the allocation of budgetary appropriations from the reserve fund of the Government of the Russian Federation to the Ministry of Labor of Russia for the purpose of sending in 2024 an interbudgetary transfer to the budget of the Pension and Social Insurance Fund of the Russian Federation for the provision of subsidies to legal entities and individual entrepreneurs in the Belgorod Region, Bryansk Region and Kursk Region for partial compensation of expenses for payment of downtime of employees for reasons beyond the control of the employer and the employee. The draft act was prepared in pursuance of the instruction of the President of the Russian Federation.

3. On the draft federal law “On Amendments to Certain Legislative Acts of the Russian Federation” (in terms of permanently securing the results of the experiment on optimization and automation of permitting processes, including licensing) The draft law is aimed at reducing the time frame for the provision of public services and the list of documents submitted by the applicant, optimization and automation of the processes of filing, receiving, and reviewing applications for permits and licenses, and the transition to a registry model for recording the results of the provision of public services.

4. On the draft federal law “On Amending Article 2 of the Federal Law “On Basic Guarantees of Electoral Rights and the Right to Participate in a Referendum of Citizens of the Russian Federation” The adoption of the draft law will bring the legislative regulation of electoral relations in the part concerning the indication of the occupation of a candidate into line with the legal position of the Constitutional Court.

5. On the draft federal law “On Amendments to the Federal Law “On Production and Consumption Waste” and Certain Legislative Acts of the Russian Federation” The draft federal law is aimed at reducing the number of territories contaminated with solid municipal waste, clarifying the powers of the subjects of the Russian Federation and municipalities in terms of identifying and eliminating such territories, as well as providing the necessary funding for elimination measures.

6. On amendments to certain acts of the Government of the Russian Federation (in terms of amendments to the Regulation on the Federal Agency for Youth Affairs) The draft resolution grants Rosmolodezh the authority to prepare a report on the situation of youth in the Russian Federation.

Moscow, October 23, 2024

The content of the press releases of the Department of Press Service and References is a presentation of materials submitted by federal executive bodies for discussion at a meeting of the Government of the Russian Federation.

Please note: This information is raw content directly from the source of the information. It is exactly what the source states and does not reflect the position of MIL-OSI or its clients.

MIL OSI Russia News –

January 25, 2025
MIL-OSI New Zealand: Police response to IPCA findings

Source: New Zealand Police (District News)

Police acknowledge the IPCA’s findings into a fleeing driver incident in Christchurch last year, where a passenger died after the vehicle crashed.

Shortly after 2am on 17 September 2023, officers stopped a vehicle in Christchurch and discovered the driver was breaching his licence conditions and the vehicle was not roadworthy.

The vehicle was issued a pink sticker, ordering it off the road, and the driver was instructed to drive it directly to a specific address.

The vehicle was instead located a short time later at a meet of antisocial road users.

Police signalled for the vehicle to stop and, when it didn’t, initiated a pursuit, however the vehicle was lost sight of.

The vehicle was located crashed into a tree in Rangiora a short time later. A back-seat passenger was found deceased.

The IPCA has ruled that while certain aspects of Police’s pursuit policy were not followed, the officers’ actions were not responsible for the crash.

Canterbury District Commander Superintendent Tony Hill says Police staff make quick decisions in high-pressure, dynamic situations every day.

“Our staff have been reminded of our policies around fleeing vehicles and pursuits.

“While some elements of our procedure were not followed in this case, the overall decision-making was sound, and we are pleased the IPCA has agreed with us that our staff did not cause this crash.

“We implore people who are being signalled to stop – please just stop. It’s not worth risking the lives of yourselves or others, and you are putting everyone in harm’s way when you choose to flee.”

ENDS

Issued by the Police Media Centre

MIL OSI New Zealand News –

January 25, 2025
MIL-OSI Security: Coast Guard Cutter Resolute crew returns home, offloads approximately $115 million worth of drugs in St. Petersburg

Source: United States Coast Guard

U.S. Coast Guard sent this bulletin at 10/23/2024 05:15 PM EDT

10/23/2024 04:54 PM EDT

ST. PETERSBURG, Fla. – The crew of U.S. Coast Guard Cutter Resolute offloaded approximately 9,690 pounds of cocaine and 5,490 pounds of marijuana, worth an estimated $115 million, in their homeport of St. Petersburg, Wednesday.

MIL Security OSI –

January 25, 2025
MIL-OSI USA: Duckworth, Durbin, Quigley, Sorensen Announce $33.5 Million in Federal Funding for Peoria and Chicago Airports

US Senate News:

Source: United States Senator for Illinois Tammy Duckworth
October 23, 2024
[CHICAGO, IL] – U.S. Senator Tammy Duckworth (D-IL), U.S. Senate Majority Whip Dick Durbin (D-IL), U.S. Representatives Mike Quigley (D-IL-05) and Eric Sorensen (D-IL-17) today announced $33,510,000 in federal funding from the Department of Transportation’s Airport Terminal Program.
With today’s announced funding, General Wayne A. Downing Peoria International Airport will receive $13,510,000 for the replacement of their air traffic control tower, and Chicago O’Hare International Airport will receive $20,000,000 for an expansion to Terminal 5.
“Illinois’s airports are critical economic engines for our state,” Duckworth said. “This funding will help improve and modernize O’Hare and Downing International Airports and, after years of neglecting our nation’s infrastructure, I’m proud every day to see the Bipartisan Infrastructure Law at work rebuilding infrastructure all across our country. I will continue to work alongside Senator Durbin and the Illinois delegation to make traveling safer and more reliable for all passengers while ensuring that our communities are receiving the much-needed federal resources they deserve.”
“By improving and modernizing airport infrastructure, we are laying the foundation for increased connectivity and reliability,” said Durbin. “Today’s announced federal funding for upgrading our airports across Illinois will enhance the travel experience for passengers and promote economic growth. I will continue working with Senator Duckworth and our Congressional colleagues to ensure Illinois airports have the necessary federal resources to keep passengers safe and connected.”
“This important funding coming to Peoria International Airport is about connecting my neighbors in Central Illinois to the world. The new air traffic control tower will allow controllers to see the end points of both runways and all taxiways, making it safer for travelers and airport staff. I am grateful to Senators Durbin and Duckworth for their support of this project as we continue our work to keep air travel safe and open Peoria to new destinations,” said Sorensen.
“Throughout my career, I have worked tirelessly to ensure that travelers receive the best and most efficient service possible at O’Hare. Today’s funding announcement will build on the progress we have already made. This expansion will benefit not only our constituents but also travelers across the country, while boosting our economy. When I voted for the Bipartisan Infrastructure Law, I did so knowing it would bring vital investments like these and create lasting benefits across our state. Together, we are paving the way for a brighter future and a stronger transportation network for everyone,” said Quigley.
Duckworth and Durbin previously worked to secure a provision in the Bipartisan Infrastructure Law (BIL) to make Peoria’s airport-owned air traffic control tower (ATCT) eligible for federal funding. Following the enactment of the Bipartisan Infrastructure Law, the ATCT has received $29 million in federal funding across two previous grants.
Duckworth and Durbin helped secure two previous BIL Airport Terminal Program grants for Chicago O’Hare International Airport for the Terminal 3 Project totaling $90 million, a 2023 grant of $50 million and a 2024 grant of $40 million.
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MIL OSI USA News –

January 25, 2025
MIL-OSI USA: Duckworth, Durbin Join Congressional Democrats in Filing Amicus Brief Urging Ninth Circuit Court to Affirm that EMTALA Requires Hospitals to Provide Emergency Stabilizing Care, Including Abortion Care, Preempting Idaho’s Dacronian Abortion Ban

US Senate News:

Source: United States Senator for Illinois Tammy Duckworth
October 22, 2024
After the Supreme Court dismissed the case, returning it to the Ninth Circuit Court, 259 Members of Congress ask the Ninth Circuit to affirm district court decision that under EMTALA, hospitals participating in Medicare must provide emergency stabilizing treatment to patients, including abortion care when necessary
[WASHINGTON, D.C.] – Today, U.S. Senator Tammy Duckworth (D-IL) and U.S. Senate Majority Whip Dick Durbin (D-IL), Chair of the Senate Judiciary Committee, joined more than 250 Members of Congress in submitting an amicus brief to the U.S. Court of Appeals for the Ninth Circuit in Moyle v. United States and Idaho v. United States, two consolidated cases concerning the Emergency Medical Treatment and Labor Act (EMTALA) under consideration by the en banc Ninth Circuit. EMTALA is a federal law that requires hospitals that receive Medicare funding to provide necessary “stabilizing treatment” to patients experiencing medical emergencies, which can include abortion care.
After the Dobbs decision in 2022, a draconian anti-abortion law in Idaho went into effect that makes it a felony for a doctor to terminate a patient’s pregnancy unless it is “necessary” to prevent the patient’s death. The United States sued the State of Idaho, arguing that the state’s law is preempted by EMTALA in those circumstances in which abortion may not be necessary to prevent imminent death, but still constitutes the necessary stabilizing treatment for a patient’s emergency medical condition. The district court agreed; it held that in those limited, but critically important situations, EMTALA requires Medicare-participating hospitals to provide abortion as an emergency medical treatment. Idaho Republicans appealed that ruling to the Supreme Court, which lifted the injunction and took the case in January. In March, 258 Members filed an amicus brief, asking the Supreme Court to affirm the district court decision. In June, the Supreme Court dismissed the case but without a ruling on the merits, sending the case back to the Ninth Circuit Court and reinstating the district court’s injunction.
In their brief in support of the Justice Department, the lawmakers ask the Ninth Circuit to uphold the district court’s ruling. They argue that the congressional intent, text and history of EMTALA make clear that covered hospitals must provide abortion care when it is the necessary stabilizing treatment for a patient’s emergency medical condition and that EMTALA preempts Idaho’s abortion ban in emergency situations that present a serious threat to a patient’s health.
“[T]he 99th Congress passed EMTALA to ensure that every person who visits a Medicare-funded hospital with an ‘emergency medical condition’ is offered stabilizing treatment,” the Members write in their amicus brief. “Congress chose broad language for that mandate, requiring hospitals that participate in the Medicare program to provide ‘such treatment as may be required to stabilize the medical condition.’… That text—untouched by Congress for the past three decades—makes clear that in situations in which a doctor determines that abortion constitutes the ‘[n]ecessary stabilizing treatment’ for a pregnant patient, federal law requires the hospital to offer it. Yet Idaho has made providing that care a felony, in direct contravention of EMTALA’s mandate.”
Importantly, the Members note that in this case, “respecting the supremacy of federal law is about more than just protecting our system of government; it is about protecting people’s lives. If this Court allows Idaho’s near-total abortion ban to supersede federal law, pregnant patients in Idaho will continue to be denied appropriate medical treatment, placing them at heightened risk for medical complications and severe adverse health outcomes… And health care providers, unwilling to let Idaho’s law override their medical judgment regarding their patients’ best interests, will continue their exile from Idaho, creating maternity-care ‘deserts’ all over the state.” The Members point to numerous reports of OB/GYNs leaving Idaho en masse since the state’s abortion ban went into effect. Idaho has since lost 55 percent of its maternal-fetal medicine specialists and three rural hospitals have shut down maternity services altogether.
“These are not hypothetical scenarios. Because Idaho’s abortion ban contains no clear exceptions for the ‘emergency medical conditions’ covered by EMTALA, it forces physicians to wait until their patients are on the verge of death before providing abortion care. The result in other states with similar laws has been ‘significant maternal morbidity,’” write the Members, pointing to harrowing reports of pregnant women with severe health complications being denied necessary abortion care, including an Idaho woman who was flown to Utah for an abortion while hemorrhaging, leaking amniotic fluid and terrified that she would not survive to care for her two other children. “Federal law does not allow Idaho to endanger the lives of its residents in this way.”
In their brief, the Members also clarify that the references to “unborn child” in EMTALA were intended to expand hospitals’ obligations with respect to providing stabilizing treatment—not contract them or take away the obligation to provide abortion care in certain circumstances.
The Members’ brief also counters an argument from Idaho and its amici that the Supremacy Clause does not apply in this case because EMTALA was passed using Spending Clause authority, and therefore acts only as a condition on Medicare funding. The Members make clear that all laws passed by Congress are entitled to preemption—regardless of their source of constitutional authority and states cannot pass laws that make it impossible for private parties to accept federal funding, inhibiting the purpose of the federal law.
“EMTALA requires abortion when necessary to stabilize a patient with an emergency medical condition, Idaho’s near-total abortion ban is preempted to the extent that it prevents doctors from providing that care,” the Members write. “This Court should reject Appellants’ novel theory that EMTALA is not entitled to preemptive effect because it was enacted pursuant to Congress’s spending power. Under the Supremacy Clause, all ‘the constitutional laws enacted by congress,’ constitute ‘the supreme Law of the Land,’. As the Supreme Court has repeatedly held, the principle of federal supremacy applies to laws passed pursuant to Congress’s spending authority no less than it does to laws effectuating other enumerated powers.”
“In sum, EMTALA plainly requires hospitals that participate in the Medicare program to provide abortion care when, in a doctor’s medical judgment, it constitutes the ‘[n]ecessary stabilizing treatment’ for a patient’s ‘emergency medical condition.’”
The lawmakers conclude by asking the Ninth Circuit to affirm the district court’s decision that EMTALA requires Medicare-participating hospitals to provide abortion care when it is necessary as emergency medical treatment.
In the Senate, the amicus brief was signed by 48 U.S. Senators, including Duckworth and Durbin. Also signing the amicus brief were U.S. Senators Chuck Schumer (D-NY), Patty Murray (D-WA), Ron Wyden (D-OR), Tammy Baldwin (D-WI), Michael Bennet (D-CO), Richard Blumenthal (D-CT), Cory Booker (D-NJ), Sherrod Brown (D-OH), Laphonza Butler (D-CA), Maria Cantwell (D-WA), Ben Cardin (D-MD), Tom Carper (D-DE), Bob Casey Jr. (D-NJ), Chris Coons (D-DE), Catherine Cortez Masto (D-NV), Kirsten Gillibrand (D-NY), Maggie Hassan (D-NH), Martin Heinrich (D-NM), George Helmy (D-NJ), John Hickenlooper (D-CO), Mazie Hirono (D-HI), Tim Kaine (D-VA), Mark Kelly (D-AZ), Angus King Jr. (D-ME), Amy Klobuchar (D-MN), Ben Ray Luján (D-NM), Ed Markey (D-MA), Jeff Merkley (D-OR), Chris Murphy (D-CT), Alex Padilla (D-CA), Gary Peters (D-MI), Jack Reed (D-RI), Jacky Rosen (D-NV), Bernie Sanders (I-VT), Brian Schatz (D-HI), Jeanne Shaheen (D-NH), Kyrsten Sinema (I-AZ), Tina Smith (D-MN), Debbie Stabenow (D-MI), Jon Tester (D-MT), Chris Van Hollen (D-MD), Mark Warner (D-VA), Raphael Warnock (D-GA), Elizabeth Warren (D-MA), Peter Welch (D-VT), Sheldon Whitehouse (D-RI).
In the House, the brief was signed by 211 U.S. Representatives.
The lawmakers’ amicus brief to the Supreme Court can be read in full HERE.
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MIL OSI USA News –

January 25, 2025
MIL-OSI USA: Pallone Leads Northeast Corridor Tour with Amtrak, NJ Transit, and Federal Officials to Address Ongoing Service Issues

Source: United States House of Representatives – Congressman Frank Pallone (6th District of New Jersey)

New Brunswick, NJ – Today, Congressman Frank Pallone (NJ-06) led a tour of the Northeast Corridor (NEC) with key leaders from Amtrak, NJ Transit, and the U.S. Department of Transportation’s Federal Railroad Administration (FRA). Pallone organized the tour to directly address the significant disruptions and delays that have plagued New Jersey commuters throughout the summer. Amtrak CEO Stephen Gardner, NJ Transit President Kevin Corbett, FRA officials, and members of New Jersey’s congressional delegation joined Pallone to assess the status of long-overdue infrastructure improvements, many of them funded through the historic Bipartisan Infrastructure Law.

“For months, New Jersey commuters have been dealing with unbearable delays and service disruptions on the Northeast Corridor. I’ve been pushing for better service because our residents deserve reliable and efficient transportation. Today’s tour gave us a firsthand look at the status of critical projects that will reduce disruptions and modernize our rail system. I will continue to hold Amtrak and NJ Transit accountable until these long-overdue improvements are fully realized. New Jersey commuters deserve nothing less,” said Pallone.

The tour began at Moynihan Train Hall in New York City and included stops in Newark and New Brunswick. Key projects showcased during the tour included the Hudson Tunnel Project, Portal North Bridge, Penn Station Capacity Expansion, the Sawtooth Bridges Replacement, and the Harrison Fourth Track.

Since the summer of 2024, Pallone has been seeking answers and improvements following numerous disruptions on the Northeast Corridor. After a major electrical malfunction in May, Pallone sent a letter demanding that Amtrak prioritize federal funds for modernization and ensure reliable service. In response, Amtrak outlined steps to address the service failures, but Pallone continued to press for immediate solutions as issues persisted. He has since engaged in regular calls with Amtrak CEO Stephen Gardner, emphasizing transparency, accountability, and the need for regular updates on progress. Pallone has also condemned proposed Republican budget cuts to Amtrak, warning they would undermine critical infrastructure improvements.

Pallone’s months-long efforts culminated in today’s tour of key NEC projects, showcasing the urgent need for continued upgrades. He urged Amtrak and NJ Transit to expedite efforts to fix century-old overhead wires and complete major infrastructure projects.

The tour concluded with a press gaggle at New Brunswick Station, where Pallone and other members of New Jersey’s congressional delegation reiterated their commitment to improving rail service for the state’s commuters. Pallone emphasized the importance of federal support to ensure these projects are completed and provide long-lasting benefits for the region.

“We appreciate the New Jersey Congressional Delegation’s keen interest in the century-old infrastructure along Amtrak’s Northeast Corridor that has suffered from decades of disinvestment,” said NJ TRANSIT President & CEO Kevin S. Corbett. “NJ TRANSIT, with support from Governor Murphy and our delegation, will continue to work collaboratively with Amtrak to support accelerating all the necessary infrastructure improvements that will deliver the best possible customer experience for generations to come.”

“Amtrak and NJ TRANSIT are working hard to fix the range of issues that plagued us in May and June, and while major disruptions have been greatly reduced, our collaboration is not stopping as we continue to inspect, maintain and improve service for all customers and seek to identify and fix root causes,” said Amtrak CEO Stephen Gardner. “We are thankful to have the opportunity to host Congressman Pallone and the rest of the New Jersey Congressional delegation so they can see the infrastructure and our collaborative efforts first-hand. We greatly appreciate the Delegation’s leadership in seeking to secure the federal investments necessary to modernize our infrastructure for improved reliability.”

“Today’s tour was an important step in our efforts to improve service, efficiency, and safety for NJ Transit and Amtrak customers,” said Congressman Rob Menendez (NJ-08). “Since coming to Congress, I’ve made this a top priority — directly addressing the challenges with Secretary Buttigieg, encouraging continued collaboration with our partners across federal and state government, and working to deliver funding to improve rail service in New Jersey. I’m looking forward to continuing to work with my colleagues in the delegation to bring relief to our constituents.”

“Fixing and strengthening public transit in New Jersey must be a top priority to help families struggling with affordability and reliability,” said Congressman Kim. “Today’s tour showed that there’s been progress to prevent disruptions and improve service, but there’s more to be done. I’ll continue working with my colleagues to keep investing in public transit so New Jerseyans can get to work and get home safely and on time.”

“I was pleased to get Amtrak and NJ TRANSIT leadership in the same room with members of the New Jersey Congressional Delegation to discuss how we can work together going forward to address the most pressing concerns for New Jersey commuters while fighting for additional federal funding to make both short and long-term upgrades to infrastructure along the Northeast Corridor. It’s essential for our state: New Jersey families must be able to rely on high quality, affordable, and accessible transportation. That’s why I have been leading efforts with Reps. Pallone, Menendez, and the Jersey delegation to hold Amtrak and NJ TRANSIT accountable for the ongoing delays, maintenance failures, and lack of communication with riders that have created another “Summer of Hell” for New Jersey commuters. Today’s conversations were a step in the right direction,” said Rep. Sherrill.

“When our trains aren’t functioning properly, it’s not just a headache for commuters, it takes money right out of their pocketbooks. It’s critical that we all sit at the table together to discuss these problems. I’m glad that today, we’re taking steps to do just that and get our trains, our commuters, and our economy back on track as quickly as possible,” said Congressman Josh Gottheimer (NJ-5). “I will always fight to make life more affordable for commuters and ensure they can show up to work, see loved ones, and provide for their families.“

MIL OSI USA News –

January 25, 2025
MIL-OSI New Zealand: Attorney-General to deliver law lecture in Sydney

Source: New Zealand Government

Attorney-General Judith Collins is travelling to Sydney to speak at Western Sydney University on the constitutional and rule of law challenges in the current uncertain global environment.

“It is timely to take the opportunity to discuss constitutional and rule of law challenges,” Ms Collins says.

“We find ourselves in increasingly complex times due to such things as an increase in conflict throughout the world, climate change, the ongoing impact of the COVID-19 pandemic, and new technologies. This presents new challenges to the rule of law and demonstrates its importance.”

Ms Collins will also speak to the ways New Zealand’s constitution has developed, and the differences in Australia and New Zealand’s constitutional structures.

“There is significant value in New Zealand and Australia being aware of and learning from each other’s constitutional experience,” Ms Collins says.

She will be joined by Western Sydney University Vice Chancellor Professor George Williams and Justice Michael Kirby, a former Justice of the High Court of Australia.

Ms Collins leaves New Zealand today and returns tomorrow.

MIL OSI New Zealand News –

January 25, 2025
MIL-OSI USA: Four Disaster Recovery Centers Close This Week, But Help Is Still Available

Source: US Federal Emergency Management Agency

Headline: Four Disaster Recovery Centers Close This Week, But Help Is Still Available

Four Disaster Recovery Centers Close This Week, But Help Is Still Available

SPRINGFIELD – Four FEMA/State Disaster Recovery Centers will close this week, but help will still be available. FEMA teams will work closely with county emergency managers to ensure Illinoisans who live in one of the seven designated counties will still be able to apply for assistance, update their application information, and speak to a FEMA specialist.The best way to get help from FEMA is by calling the helpline at 800-621-3362 or by contacting the county emergency management office for guidance. Applications will also continue to be accepted online at DisasterAssistance.gov or on the FEMA mobile app.The following location closes Thursday, October 24 at 7:30 p.m.:Kaskaskia College Extension Center17869 Exchange Ave.Nashville, IL 62263Hours: Tues. – Thurs. 10:30 a.m. – 7:30 p.m.The following locations close Friday, October 25 at 7 p.m.:Cuba Community Center616 E Polk St.Cuba, IL 61427Hours: Tues. – Fri. 8 a.m. – 7 p.m.Henry County Office of Emergency Management4424 Walter Payton Memorial Highway (Hwy 34)Kewanee, IL 61443Hours: Tues. – Fri. 8 a.m. – 7 p.m.Will County Center for Community Concerns2455 Glenwood Ave.Joliet, IL 60435Hours: Tues. – Fri. 8 a.m. – 7 p.m.Other Disaster Recovery Centers Remain OpenSeveral Disaster Recovery Centers will remain open throughout the state. No appointments are necessary; walk-ins are welcome. Survivors can visit any recovery center to speak with specialists from FEMA, the State of Illinois and the U.S. Small Business Administration. Starting Saturday, October 26, the hours of operation for the remaining recovery centers will be:Southwestern Illinois Justice & Workforce Development Campus2300 W. Main St.Suite M117 (City of Belleville Office Bldg.)Belleville, IL 62226Hours: Mon. – Fri. 8 a.m. – 6 p.m., Sat. 9 a.m. – 5 p.m., Closed SundaysCahokia Heights Fitness and Community Center509 Camp Jackson RoadCahokia Heights, IL 62207Hours: Mon. – Fri. 8 a.m. – 6 p.m., Sat. 9 a.m. – 5 p.m., Closed SundaysForest City Church1280 S. Alpine RoadRockford, IL 61108Hours: Mon. – Fri. 8 a.m. – 6 p.m., Sat. 9 a.m. – 2 p.m., Closed SundaysChicago Lawn Branch Library6120 S. Kedzie Ave.Chicago, IL 60629Hours: Mon. and Wed. 10 a.m. – 6 p.m., Tues. and Thurs. 12 p.m. – 6 p.m., Fri. and Sat. 9 a.m. – 5 p.m., Closed SundaysVillage of Homewood Auditorium2010 Chestnut RoadHomewood, IL 60430Hours: Mon. – Fri. 8 a.m. – 6 p.m., Sat. 9 a.m. – 5 p.m., Closed SundaysBeverly Center3031 South 25th Ave.Broadview, IL 60155Hours: Mon. – Fri. 8 a.m. – 6 p.m., Sat. 9 a.m. – 5 p.m., Closed SundaysFor the latest information on recovery center locations and hours, visit FEMA.gov/DRC.For even more information about the disaster recovery operation in Illinois, visit www.fema.gov/disaster/4819.
kimberly.keblish
Wed, 10/23/2024 – 21:00

MIL OSI USA News –

January 25, 2025

Category: Security

Introduction

Principle 1: Sail forward but always glance back

Principle 2: All hands on deck

Principle 3: Keep your heading steady

Principle 4: Sailing to simplicity

Conclusion

References