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Friday, February 24, 2023
Bronx Chamber of Commerce - Bronx Business News You Can Use
Governor Hochul Requests Major Disaster Declaration from President Biden to Secure Federal Assistance for Communities Impacted by Historic December Storm
Declaration Would Provide Federal Disaster Assistance for Local Governments in Erie, Genesee, Niagara, St. Lawrence and Suffolk Counties; Also Would Provide Funeral Assistance and Crisis Counseling for Communities in Western New York
From a Historic Blizzard in Western New York to High Winds and Heavy Rain Causing Flooding on Long Island, Catastrophic Late December 2022 Winter Storm Caused Far-Reaching Impacts
Governor Hochul Previously Secured a Federal Emergency Declaration on December 26 to Provide Initial Support for Response and Rescue Operations
Governor Kathy Hochul today requested a Major Disaster Declaration from President Biden to support the ongoing recovery of communities impacted by the devastating late-December storm, which caused historic blizzard conditions in Western New York, as well as significant coastal flooding on Long Island. If granted, this declaration would allow for federal financial assistance for communities in Western New York, the Finger Lakes, the North Country, and on Long Island to cover damages and some response operations. The Governor is also requesting direct funding to cover funeral expenses and crisis counseling for residents of Erie and Niagara Counties. This effort builds upon federal assistance already secured by Governor Hochul through a December 26 federal Emergency Declaration which supported response and rescue operations throughout the six-day event.
“I have submitted a formal request to President Biden to secure a Major Disaster Declaration to support communities across New York impacted by the devastating winter storm that hit our state in December,” Governor Hochul said. “Federal assistance will support my administration's ongoing efforts to help New Yorkers continue to recover from this once in a generation storm.”
A Major Disaster Declaration secures financial assistance from the federal government, primarily through FEMA’s Public Assistance Program, to provide funding to local governments and eligible non-profits for debris removal, protective measures, and repairs to buildings and infrastructure, including roads, bridges, water and wastewater treatment facilities, critical infrastructure sites, schools, parks and other facilities.
Following a disaster, the Division of Homeland Security and Emergency Services’ (DHSES) Disaster Recovery Unit works directly with counterparts at the Federal Emergency Management Agency (FEMA) and impacted local governments to assess damages caused by, and costs related to, the disaster. Once these assessments are complete, FEMA validates whether the state and impacted counties have reached the required federal damage thresholds. Following that process, the Governor then requests a Major Disaster Declaration from the President.
With the damage assessment process now complete, Governor Hochul is specifically requesting:
- Public Assistance for Erie, Genesee, Niagara, St. Lawrence, and Suffolk Counties, including Snow Assistance for Erie, Genesee, Niagara and St. Lawrence Counties to reimburse localities for snow removal operations.
- Additional Funeral Assistance and Crisis Counseling for the residents of Erie and Niagara Counties.
Division of Homeland Security and Emergency Services Commissioner Jackie Bray said, “This historic storm began as a statewide event with a complex forecast of snow, ice, strong winds and extreme wind chill. These conditions created a nearly two-day blizzard in the Buffalo area that became hazardous for pre-positioned emergency responders, snow plows, and utility crews to navigate. Our team was proud to work alongside all of our emergency response partners involved in the event and I look forward to continuing to work with Governor Hochul to help our communities recover.”
In Western New York, there were 37 straight hours of blizzard-like conditions in Erie County, which is the longest recorded blizzard in the United States under 5,000 feet of elevation, and Niagara County experienced record-breaking snowfalls. A mix of heavy snow and high winds created zero-visibility conditions for nearly two days, conditions that were compounded by extreme cold and power outages. At the height of the storm, more than 80,000 households were without power. New York State agency personnel conducted more than 650 rescues in Western New York throughout the course of this storm and local officials rescued hundreds more. Despite the heroic efforts of New York’s emergency responders, 46 residents from Erie County and 1 resident from Niagara County tragically lost their lives.
On Long Island, high winds and heavy rains from the storm brought widespread coastal flooding in Suffolk County, leaving debris damage and thousands of power outages due to damaged infrastructure. Significant tidal surge also caused coastal erosion in the area.
Prior to the winter storm, Governor Hochul declared a statewide State of Emergency on December 23. DHSES and other State Agencies were in constant communication with the National Weather Service and local governments in the week leading up to the storm. DHSES’ Office of Emergency Management and Office of Fire Prevention and Control, the State Department of Transportation, Thruway Authority, State Police, Office of Parks, Recreation and Historic Preservation and the Department of Environmental Conservation pre-deployed resources to the Western New York, Finger Lakes, and North Country regions ahead of the storm. Additional State resources were surged to heavily impacted areas, including a total of over 800 National Guard soldiers.
About the Division of Homeland Security and Emergency Services
The New York State Division of Homeland Security and Emergency Services provides leadership, coordination and support to prevent, protect against, prepare for, respond to, recover from, and mitigate disasters and other emergencies. For more information, find us on Facebook, follow us on Twitter or Instagram, or visit our website.
Russian National Charged with Supplying U.S. Technology to the Russian and North Korean Governments
The Defendant Smuggled Electronic Devices Used for Counterintelligence Operations to the FSB and DPRK in Violation of U.S. Sanctions
A five-count indictment was unsealed today in federal court in Brooklyn, New York charging Ilya Balakaev with various charges related to smuggling devices commonly used in counterintelligence operations out of the U.S. to Russia for the benefit of the Federal Security Service of the Russian Federation (FSB) and Democratic People’s Republic of Korea (“DPRK” or “North Korea”).
As alleged, between 2017 and the present, the defendant Ilya Balakaev entered into multiple contracts through his company Radiotester LLC with the FSB—the principal intelligence and security agency of the Russian government—to repair spectrum analyzers and signal generators. The devices that the defendant was tasked to repair were frequently used as part of counterintelligence operations to sweep for surveillance bugs and to transmit covert communications. Because the devices were not readily available in Russia, the defendant created a network of individuals in the U.S. to assist him in purchasing the equipment in the U.S. which he used to repair the FSB devices, in violation of U.S. sanctions.
The defendant worked closely with Russian government officials from FSB Center 8’s Military Unit 43753, the agency responsible for Russia’s communication security and cryptology. In furtherance of his scheme, the defendant entered into at least 10 contracts with FSB Military Unit 43753, purchased approximately 43 devices in the U.S., and traveled to the U.S. approximately 14 times in the span of approximately four years.
In addition to his scheme to evade Russian sanctions, the defendant also provided U.S. technology to a North Korean government official, in violation of U.S. sanctions against North Korea. The defendant contracted with the First Secretary of the North Korean Embassy to the Russian Federation, based in Moscow, to obtain hazardous gas detectors and software from the U.S. for the benefit of the North Korean government.
Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Special Agent in Charge Jonathan Carson., US Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement, New York Field Office, Ivan Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), Francis J. Russo, Director of Field Operations, U.S. Customs and Border Protection, New York Field Office (CBP) and Andrew Adams, Director, Task Force KleptoCapture, announced the charges.
“As alleged, the defendant violated U.S. law by procuring, smuggling, and repairing counterintelligence operation devices for the benefit of Russia’s secret police and the North Korean government,” stated United States Attorney Peace. “Today’s indictment demonstrates our Office’s commitment to vigorously prosecute those who evade sanctions for a profit, both for their wallet and for Russia as they continue their aggression against Ukraine.”
“The defendant allegedly operated schemes to smuggle software and devices from the United States and provide them to hostile foreign government services in violation of U.S. sanctions. FBI New York and our partners will continue to protect the national security of the United States by disrupting the procurement of sanctioned equipment and technology,” stated Assistant Director-in-Charge Driscoll.
“To prevent the continuance of violations identified in the indictment, the defendant is now subject to a Commerce temporary denial order, which restricts his ability to access U.S. technologies,” said Jonathan Carson, Special Agent-in-Charge of the New York Field Office, Office of Export Enforcement. “These coordinated actions highlight our vigilance and ability to leverage our unique combination of criminal and administrative enforcement authorities to address evasions of U.S. export controls.”
“U.S. Customs and Border Protection is uniquely positioned to enhance the safety of our country. We will continue to work with our partners to be exceptionally focused on addressing the threats posed by counterintelligence activities, terrorism, transnational criminal organizations, and others who wish to do us harm,” said Francis J. Russo, Director New York Field Office. “CBP’s combined efforts with our law enforcement partners in this case serve as a reminder that we will continue to combat and prosecute modern transnational criminal organizations.”
“From the outset of the Task Force, the Department has prioritized the investigation and prosecution of case involving criminal violations of our export controls pertaining to Russia. As today’s case demonstrates, facilitators like this defendant provide smuggling services for all manner of dangerous actors and regimes – it is not possible to disentangle the FSB’s smuggling networks from those servicing other sanctioned state actors, and we must support and applaud comprehensive charges like those set forth in the Eastern District’s indictment,” stated Task Force KleptoCapture Director Adams.
If convicted, the defendant faces a maximum of 75 years’ imprisonment. The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.
Attorney General James Stops Home Care Company from Deceiving Patients and Caregivers
Affordable Senior Care of New York and Laszlo Friedman to Pay $400,000 in Penalties for Unlawful ‘No Poach’ Agreement
New York Attorney General Letitia James stopped a home care company, Affordable Senior Care of New York LLC (Affordable), from preventing patients and their caregivers from choosing the provider of their choice. An investigation by the Office of the Attorney General (OAG) found that Laszlo Friedman, acting on behalf of Affordable, entered into an unlawful no-poach agreement with a competitor, Marks Homecare Agency, to not take each other’s existing patients. The OAG found that on several occasions, vulnerable patients were unable to switch to a provider that could have paid their caregivers more. As a result of today’s agreement, Affordable and Mr. Friedman cannot enter into any anti-competitive agreements in the future, must pay the state $400,000, and will cooperate with OAG’s ongoing investigations in the home care industry. Attorney General James previously announced a $550,000 settlement with Marks Homecare and its executive for its illegal no-poach agreement with Affordable.
“Home care companies like Affordable Senior Care are entrusted to make it easier to take care of a loved one, but instead they broke that trust and broke state laws,” said Attorney General James. “Patients and their caregivers should be able to work with the provider of their choice. This agreement puts an end to harmful backroom deals in the home care industry that limit patients’ options and reduce caregiver wages. New Yorkers can rest assured that my office will continue to stand up to companies that violate the law.”
Affordable is a Brooklyn-based fiscal intermediary in the home care industry that administers caregiver payments for patients enrolled in the New York State Consumer Directed Personal Assistance Program (CDPAP). Fiscal intermediaries handle timesheet processing, payments to a patient’s caregivers, and other administrative jobs on behalf of patients. New York’s CDPAP allows patients who require long-term care to hire a family member or a friend as their caregiver. In a competitive market, a patient would choose the fiscal intermediary that pays their chosen caregiver a higher hourly wage and/or a company with better services.
The OAG investigation found that Affordable, and Mr. Friedman acting on behalf of Affordable, entered into an unlawful agreement with another fiscal intermediary, Marks Homecare, to not take each other’s existing patients. This agreement prevented patients and their chosen caregivers from moving to the company of their choice. On several occasions, patients tried to switch to Affordable but were rejected because they were patients of Marks Homecare. Affordable and Marks Homecare also exchanged information about the hourly rates they were paying caregivers to reduce competition.
As a result of today’s agreement, Affordable and Mr. Friedman cannot enter into any anti-competitive agreements that restrict options for patients. They must also administer an antitrust compliance program with a training for its management and executive personnel. Affordable must provide annual reports to OAG on its compliance with this agreement for the next five years. Affordable must pay a $350,000 penalty to the state and Mr. Friedman must pay a $50,000 penalty to the state.
Today’s agreement continues Attorney General James’ work to stop unlawful no poach agreements that harm workers and reduce competition. In December 2022, Attorney General James ended the use of no-poach agreements by Marks Homecare and Martin Ganz. Also in December, Attorney General James ended the use of no poach agreements by Stewart Title Guaranty Corporation, one of the largest underwriters of title insurance in the country. This was preceded by similar settlements in July 2022, ending the use of “no-poach” agreements by two other top title insurance companies, AmTrust and First Nationwide. In September 2021, Attorney General James ended the use of “no-poach” agreements by another top national title insurer, Old Republic National Title. In March 2019, Attorney General James and a coalition of attorneys general entered into an agreement with four national fast food franchisors — Dunkin’, Arby’s, Five Guys, and Little Caesars — that ended their use of “no-poach” agreements.
VCJC News & Notes 2/24/23
Van Cortlandt Jewish Center
News and Notes
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