Oral Statement of Mr. Brett Mansfield to House Oversight and Government Reform Subcommittee on Government Operations.

The Department of Defense Office of Inspector General (DoD OIG) announced today that it released the “Evaluation of the DoD's Capabilities to Effectively Carry Out Joint Logistics Over-the-Shore Operations and Exercises.”

The Department of Defense Office of Inspector General (DoD OIG) announced today that it released the “Evaluation of Incurred Cost Audits Performed by Non-Federal Auditors for Compliance with Government Auditing Standards.” “Government Auditing Standards are crucial because they ensure the integrity, accountability, and transparency of Government operations,” said IG Storch.

The objective of this audit was to determine whether the Army effectively managed the storage, maintenance, and accountability of Army Prepositioned Stock–4 (APS-4) in accordance with Federal and DoD requirements.

The objective of this evaluation was to assess the effectiveness with which the DoD and Military Departments developed policies and procedures for identifying and reporting allegations of child abuse at military‑operated child development centers (CDCs). This is the first of two evaluations on CDCs. A subsequent evaluation will focus on the DoD’s and Military Departments’ implementation of policies to verify that child abuse allegations were appropriately addressed at select CDCs.

The objective of this evaluation was to assess the DoD’s capabilities to effectively carry out joint logistics over the shore (JLOTS) operations and exercises.

The Justice Department today announced that it has declined the prosecution of Universities Space Research Association (USRA) after it self-disclosed to the Department’s National Security Division (NSD) criminal violations of U.S. export control laws committed by its former employee, Jonathan Soong. Soong pleaded guilty to willfully violating the Export Administration Regulations (EAR) by exporting U.S. Army-developed aviation software to a university in the People’s Republic of China (PRC) that had been placed on the Commerce Department’s Entity List and was sentenced to 20 months in prison.

Gilead Admits to Paying Hundreds of Thousands of Dollars to High Prescribers of Gilead’s HIV Drugs to Serve as Speakers at Programs and to Holding Programs at Luxury Restaurants Jay Clayton, the United States Attorney for the Southern District of New York; Naomi Gruchacz, the Special Agent in Charge of the New York Regional Office of the U.S. Department of Health and Human Services, Office of Inspector General (“HHS-OIG”); Christopher M. Silvestro, the Acting Special Agent in Charge of the Northeast Field Office of the Defense Criminal Investigative Service (“DCIS”), the law enforcement arm of the Department of Defense’s Office of Inspector General (“DOD-OIG”); and Christopher G. Raia, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today that the U.S. has settled a civil fraud lawsuit against GILEAD SCIENCES, INC (“GILEAD”), a large pharmaceutical manufacturer, that, among other things, develops, manufactures, and sells drugs for the treatment of infectious diseases, including HIV/AIDS. The settlement resolves claims that GILEAD offered and paid kickbacks in the form of honoraria payments, meals, and travel expenses to healthcare practitioners who spoke at or attended Gilead speaker events to induce them to prescribe Stribild®, Genvoya®, Complera®, Odefsey®, Descovy®, and Biktarvy® (the “Gilead HIV Drugs”) in violation of the Anti-Kickback Statute (“AKS”) and thereby caused false claims for the Gilead HIV Drugs to be submitted to and paid by federal healthcare programs in violation of the False Claims Act.

Two former laboratory sales executives were sentenced to federal prison for conspiring to violate the Anti-Kickback Statute, announced Acting U.S. Attorney Abe McGlothin, Jr.