Chertoff Firm Can Stay in Business Backed by the Real ID Program

REAL ID Returns for Show by Immigration Lobby, CIS

January 13, 2011

Sheila Dean (Before It's News) - The Center for Immigration Studies (CIS) is forging ahead on a legislative agenda which presumes a budget for federal license regulations. State governments, cutting it close, are making tough decisions towards compliance with federal programs. CIS proposes that expenses for Real ID are “affordable” and “doable” [see story below] for States to stay on track with federal compliance. Much of the expenses are being driven to the bargain basement so investors, lobbyists and contractors like the Chertoff Firm [see story below] can stay in business backed by the Real ID program.

CIS leads a charge to reinforce federal license credentials as "secure" and a worthy investment by State governments to shield us from identity fraud, terrorist attempts and being mistaken for an undocumented immigrant. This lobby can't assure us of identity security, due to ongoing evidence of internal fraud at motor vehicle divisions. The cost is far above an additional $2 as Chertoff stated. There are costs in both time and effort incurred by licenseholders to find and produce identity documents.

This doesn't exclude the costs of identity theft losses due to agency mishandling. The estimated average cost to an identity theft victim is approximately five thousand dollars. Privacy Right's Clearinghouse reports over 500 million data breaches since 2005. Other unintended consequences may include mistaken identity, possibly resulting in costs of arrest and the successive damage to reputation.

Claims in the CIS report that costs of implementing the Real ID program as less than expected are laughable for these reasons. Identity experts openly challenged the future legislative prospects of the Real ID program after it was defunded in December 2010.

Technology has became much more sophisticated in the three years since Chertoff spoke about the Real ID not “being a complete solution”. Hackers seem to be outpacing any protective measures being implemented. States suffering from budgetary lack, like California, are becoming quickly frustrated with the repeated and wasteful attempts over federal benchmark compliance. Drivers are now waiting weeks to get an id or drivers license compliant with TSA flight regulations.

One has to wonder how much Michael Chertoff will profit from legislation that he promoted while he was head of the Department of Homeland Security. Who wants to pay CIS and Chertoff’s contractor cronies for a system that continues to put our privacy and our identity at risk?

Not your State, if they are budget smart.

Implementing REAL ID Less Expensive, Doable, and Helpful in Reducing Fraud

January 12, 2011

PRNewswire-USNewswire - By May 2011, all states must be in compliance with the first 18 security benchmarks of the federal secure driver's license law known as the REAL ID Act. REAL ID was prompted by the fact that the 9/11 hijackers acquired a total of 30 state-issued IDs and driver's licenses in order to embed themselves here (and board airplanes).

The Center for Immigration Studies has published a review of the current state of REAL ID: "REAL ID Implementation: Less Expensive, Doable, and Helpful in Reducing Fraud" was prepared by Janice Kephart, a former 9/11 Commission counsel and currently the Center's National Security Policy Director. The paper is online at http://cis.org/real-id. Among the findings:

• REAL ID has proven easier and less expensive to implement than previously believed. Using actual state budget numbers, total one-time costs to implement REAL ID's 18 security benchmarks, for all states combined, could be as low as $350 million and not likely to exceed $750 million.


• These numbers are significantly less than the one-time costs of at least $1 billion that the National Governors Association (NGA), National Conference of State Legislatures (NCSL), and the American Association of Motor Vehicle Administrators (AAMVA) claimed in 2006.


• Eleven states are already fully compliant with REAL ID's 18 security benchmarks, ahead of the May 2011 deadline. Another eight states are close behind.


• The legal presence of applicants is being checked in all but two states, up 28 states from 2006. Every state is now checking Social Security numbers.


• Some states were able to achieve full compliance in less than a year, and other state costs came in significantly below the projections which have been used for years to denigrate REAL ID's feasibility.


• Compliant states are finding REAL ID to be helpful in reducing fraud by criminals and illegal aliens shopping for the easiest driver's license issuance rules. Motor vehicle departments using REAL ID standards are also increasing criminal investigations of those who have traditionally used driver's license systems to commit identity theft and operate illegally under multiple identities.


• Regulatory proposals from the NGA, NCSL, and AAMVA, slated for an upcoming lobbying campaign, incorporate language from Homeland Security Secretary Janet Napolitano's failed 2009 PASS ID Act, which sought to repeal much of REAL ID.


• Secretary Napolitano in November 2010 ordered an internal review with the goal of using the regulatory process to change REAL ID requirements after the failure of PASS ID.

The paper also includes a chart listing for every state the current status of implementation, federal grant monies issued to date, and costs of compliance, where available.

Contact: Janice Kephart, 202-466-8185, jlk@cis.org

Janice Kephart, who prepared the report, serves as the Director of National Security Policy for CIS and also served as counsel to the 9/11 Commission that made the REAL ID recommendations. Kephart's report, REAL ID Implementation: Less Expensive, Doable, and Helpful in Reducing Fraud, examines current state compliance, the benchmarks that need to still be met, and the estimated costs of implementing the security benchmarks.

You can read Kephart's full report, including charts detailing progress made by each state, at the Center for Immigration Studies website.

SOURCE Center for Immigration Studies

http://cis.org/real-id

REAL ID: A Major Victory is Near

December 20, 2010

Live Free Radio - "Repeal the Real ID Act" is DownsizeDC.org's oldest active campaign.

That's because REAL ID -- which is a de facto national ID card -- lays the foundation for a future police state.

That's why so many people have fought against it so hard for so long. And thanks to that resistence, REAL ID still hasn't been implemented, six years after it became law! A big part of this is because of your pressure.

And now there's more good news . . .

There's a silver lining in the monstrous, 1,926-page appropriations bill (H.R. 3082). This bill rescinds funding for a REAL ID "hub." The House already passed the bill, and the Senate will consider it as soon as TODAY.

This hub would have created a centralized ID verification system, where states share driver information with each other. Without this hub, REAL ID suffers a fatal blow.

That's why we're asking you to tell Congress to support this cut in REAL ID's budget, and to repeal REAL ID altogether. You may borrow from or copy this letter . . .

I'm glad that the House is rescinding funding for a REAL ID hub in the H.R. 3082 budget bill. My Senators should ensure that this rescission remains in the bill. But you should do more. Repeal REAL ID entirely.

• REAL ID assumes I am a foreign terrorist or illegal immigrant, and that I must "prove" my innocence.
• I am punished with higher fees, more red tape, and longer DMV lines.
• And my private information will be centralized, making me more susceptible to identity theft and other dangers.

Furthermore . . .

• The REAL ID law still exists as an unconstitutional, unfunded mandate on the cash-strapped states.
• 21 states will still be out of compliance when it is scheduled to take effect in May, 2011.
  
• By de-funding the verification hub, there's no longer any point in forcing the states to implement REAL ID

This is America, land of the free. It's not the land of "Your papers, please." Help restore liberty to America and repeal REAL ID.

GOD's WORD FOR TODAY

The fear of man bringeth a snare: but whoso putteth his trust in the LORD shall be safe. Proverbs 29:25 (KJV)

The Chertoff Group Marks First Full Year as Strategic Advisors on Multiple Security-Related Aquisitions in 2010

During its first full year of operation, The Chertoff Group provided strategic advisory services on multiple homeland security transactions totaling more than $2.1 billion

The Chertoff Group - Leveraging its unique subject matter knowledge of the homeland security, defense and intelligence sectors, The Chertoff Group provided strategic advice to its clients, including strategic and financial acquirers, on several key transactions in 2010. These transactions, totaling more than $2.1 billion in enterprise value, involved companies that provide technologies and solutions across a spectrum of security subsectors including biometrics, satellite systems engineering, personnel protection, security training, cyber security and data analytics. In 2010, The Chertoff Group acted as a strategic advisor for the following transactions:

Safran Group Enters Definitive Agreement to Acquire L-1 Identity Solutions

On September 20, 2010, the Safran Group announced a definitive agreement with L-1 Identity Solutions to purchase L-1’s Biometric, Secure Credentialing and Enrollment Services for $1.09 billion in cash on hand. Once the transaction is complete, Safran intends to incorporate these L-1 divisions as part of the Safran Group’s existing security business, Morpho, and solidify Safran’s presence as an industry leader for biometrics and identity management solutions. The transaction is expected to close during 2011, subject to regulatory approvals.

During this transaction, The Chertoff Group served as strategic advisors to Safran. The Chertoff Group members of the advisory team included: Michael Chertoff, Co-founder and Managing Principal at The Chertoff Group; Chad Sweet, Co-founder and Managing Principal at The Chertoff Group; and J. Bennet Waters PhD., Managing Director and Chief Operating Officer at The Chertoff Group.

Veritas Capital Acquires Enterprise Integration Group (EIG)

On October 13, 2010, Veritas Capital Fund IV announced its agreement to acquire the Enterprise Integration Group (EIG), a division of Lockheed Martin, for $815 million. EIG has been renamed as “The SI” and is a leading systems provider for architecture, engineering and integration services and support to the U.S. intelligence community. Veritas Capital and management intend to significantly grow opportunities for The SI as one of their portfolio companies dedicated to providing critical products and services to governments worldwide. This transaction officially closed on November 23, 2010.

During this transaction, The Chertoff Group served as a strategic advisor to Veritas Capital. The Chertoff Group members that advised on this transaction included the following professionals: General Michael Hayden, Principal at The Chertoff Group and former Director of the CIA and NSA; Chad Sweet, Co-founder and Managing Principal at The Chertoff Group; Charles Allen, Principal at The Chertoff Group with more than 40 years of service at the CIA; Paul Schneider, Principal at The Chertoff Group and former U.S. Department of Homeland Security Deputy Secretary; and Brian White, Managing Director at The Chertoff Group.

UTSC Holdings Acquires Xe Services

On December 17, 2010, UTSC Holdings, LLC, an investment company formed by a consortium of private equity firms led by Forté Capital Advisors and Manhattan Growth Partners, announced its decision to acquire Xe Services. Xe Services is a leading provider of training and technical services focused on worldwide diplomatic security operations. The acquisition specifically includes Xe companies that provide security services as well as domestic and international training, including Xe’s state-of-the-art training facility in Moyock, N.C. which has provided training to more than 50,000 U.S. government personnel.

As part of this transaction, The Chertoff Group served as strategic advisors to USTC Holdings. The Chertoff Group members of the advisory team included: Michael Chertoff, Co-founder and Managing Principal at The Chertoff Group; General Michael Hayden, Principal at The Chertoff Group and former Director of the CIA and NSA; Charles Allen, Principal at The Chertoff Group with more than 40 years of service at the CIA; Nat Fogg, Managing Director at The Chertoff Group; Gary Shiffman, Managing Director at the Chertoff Group; and Joseph Bernabucci, Senior Associate at The Chertoff Group, among others.

Arlington Capital Partners Invests in White Oak Technologies

On November 22, 2010, Arlington Capital Partners announced its investment in White Oak Technologies, Inc., a leading provider of identity resolution, cyber security and data analytics to federal government customers. Through its newly established portfolio company Data Technologies and Analytics, Arlington Capital Partners will help White Oak Technologies and Analytics grow and expand its critical national security services and IT solutions among clients, including the U.S. federal government and elements of the U.S. Intelligence Community.

The Chertoff Group served as strategic advisors to Arlington Capital in its acquisition of White Oak Technologies, Inc. Members of the advisory team included: Chad Sweet, Co-founder and Managing Principal of The Chertoff Group; General Michael Hayden, Principal at The Chertoff Group and former Director of the CIA and NSA; Charles Allen, Principal at The Chertoff Group with more than 40 years of service at the CIA; Paul Schneider, Principal at The Chertoff Group and former U.S. Department of Homeland Security Deputy Secretary; and Graham Love, Principal at The Chertoff Group and former CEO of QinetiQ.

About The Chertoff Group

The Chertoff Group is a global security and risk management advisory firm. Led by former U.S. Secretary of Homeland Security Michael Chertoff, the firm provides advisory services for mergers and acquisitions in the homeland security, defense and intelligence sectors. The Chertoff Group also advises clients on how to address threats related to terrorism, fraud, cyber security, border protection and supply chain security. The firm is headquartered in Washington, D.C., with offices in New York, San Francisco and London.

The Chertoff Group's Investment in Airport Scanners