1994 Annual Report of the Attorney General
           of the United States






TABLE OF CONTENTS

Foreword

Introduction
     The Department of Justice
     Highlights of 1994 Accomplishments
     DOJ Organization Chart

Chapter I - Making America Safe
Combatting Violence
     Controlling Street Gangs
Fighting Drugs
Organized Crime
Political Corruption
White Collar Crime
Health Care Fraud
Financial Institution Fraud
National Security
     Major Espionage Cases
     Anti-Terrorism
     International Cooperation
Key Crime-Fighting Resources
     Asset Forfeiture
     Drug Intelligence
     Using Technology and Information Sharing
     Witness Protection and the Use of Wiretaps
Incarcerating Violent Criminals

Chapter II - Supporting Law Enforcement in the Community
Putting More Police on the Beat
Encouraging the Use of Locality-Based Strategies
     Community Policing
     Project PACT
     Operation Weed and Seed
Controlling the Proliferation of Dangerous Weapons
Assisting State and Local Law Enforcement
Protecting America's Children
     Anti-Violence Initiatives
     Ongoing Prevention and Drug Demand Reduction Efforts
     Children as Victims
     Special Training and Programs

Chapter III - Securing America's Borders
Border Enforcement
Employer Sanctions and Document Fraud
Anti-Smuggling Initiatives
Inspections
Detention and Criminal Aliens
Reform of Asylum Policy and Procedure
Improving the Hearings Process
Coordination  with  Other  Federal  Agencies  in  Responding   to
Immigration Emergencies

Chapter IV - Making the Legal System Work for All Americans
Guaranteeing the Civil Rights of Americans
     Criminal and Civil Rights Violations
     Freedom of Access to Clinic Entrances Act
     Attacking Hate Crime
     Public Accommodations Enforcement
     Voting Rights
     Employment and Fair Housing Rights
     Americans with Disabilities Act (ADA)
Safeguarding America's Environment
     Natural Resources Protection
     Developing Partnerships with Native Americans
     Defending EPA's Regulatory Actions
     Criminal and Civil Enforcement Actions
     International Issues
     Environmental Justice
     Using Alternative Dispute Resolution
Enforcing Antitrust Laws
Civil Justice Reform

Chapter V - Making the Department Work Better
Integrating DOJ Law Enforcement Activities
Returning Resources to the Front Line
Collecting Debts Due the United States
Ensuring Integrity
Reaching Out to Our Customers
Promoting Organizational Effectiveness
     The Justice Performance Review
     Progress on Department of Justice Laboratories
     Worklife
     Recruiting the Best
     Streamlining Processes


Glossary of Organizational Acronyms

FOREWORD



         To the Senate and the House of Representatives
     of the United States of America in Congress Assembled:


This   Annual  Report  highlights  the  accomplishments  of   the
Department  of  Justice in 1994. It reflects the  hard  work  and
dedication  of the men and women who work for the Department  and
their collective commitment to the principles of justice and fair
treatment for all Americans.

In  1994,  we  made  significant progress  in  strengthening  and
improving Federal law enforcement. As a result of the reforms  we
instituted,  today  our  Federal  law  enforcement  agencies  are
working   with  each  other  and  with  their  State  and   local
counterparts  more  closely  than  ever  before,  and  more   law
enforcement officers are out from behind desks in Washington  and
back on the streets where they belong.

We  also began to take back control over our Nation's borders. We
started  a  new, aggressive strategy of deterrence and  increased
the number of Border Patrol Agents.

Perhaps  most  important, we worked with the Congress  to  secure
passage  of  landmark anti-crime legislation--the  Violent  Crime
Control  and  Law Enforcement Act of 1994. This new law  provides
powerful  new  tools  to  help in the  fight  against  crime  and
provides  funding  to  help  local communities  put  more  police
officers on the beat.

In  1995  we  will  continue to build on  this  solid  record  of
accomplishment.  Our  commitment remains  nothing  less  than  to
provide  the  highest possible level of service to  the  American
people  so  that all of us may enjoy the benefits of a  free  and
just society.

                              Respectfully submitted,



                              Janet Reno
Introduction


The Department of Justice

As  the  Nation's  chief  law enforcement officer,  the  Attorney
General  enforces Federal laws and ensures the fair and efficient
administration  of the Federal justice system.  In  carrying  out
this  mission the Attorney General directs the activities of  the
more  than  96,000 attorneys, law enforcement professionals,  and
other employees of the United States Department of Justice.  This
Annual  Report  summarizes  the  major  accomplishments  of   the
Department during 1994.1

The  responsibilities  of the Department  of  Justice  are  wide-
ranging.  They include: detecting, apprehending, prosecuting, and
incarcerating criminal offenders; upholding the civil  rights  of
all   Americans;  enforcing  laws  to  protect  the  environment;
ensuring  healthy competition of business in our free  enterprise
system;  safeguarding  the  consumer  from  fraudulent  activity;
carrying  out  the  immigration laws of the  United  States;  and
representing  the American people in all legal matters  involving
the United States Government.  As shown on the organization chart
on   page  3,  these  responsibilities  are  discharged  by   the
components  of  the Department.  Among these components  are  the
major   law   enforcement  agencies  (the   Federal   Bureau   of
Investigation,  the Drug Enforcement Administration,  the  United
States  Marshals  Service,  the  Immigration  and  Naturalization
Service,  and  the  Bureau of the Prisons),  and  the  litigating
components (the legal divisions and the United States Attorneys).

Although  the  Department is headquartered in  Washington,  D.C.,
most of its work takes place outside of Washington.  As a result,
most  of  its  employees  are located in  one  of  roughly  2,000
installations of the Department around the country (ranging  from
a  one or two person border station to a large Division Office in
a major city) or in one of its nearly 100 overseas offices.

Overall,  the Department of Justice had a budget of $6.7  billion
in  1989.   It  rose  to  $11.2 billion  in  1993,  a  68-percent
increase; however, in 1994, it was reduced to $10.9 billion.  The
Department, along with all other Federal Government agencies, was
required to reduce personnel and administrative expenses to  meet
targeted  personnel levels and assist in controlling the  Federal
deficit  as  mandated  by the Administration.   There  were  also
decreases  in the Civil Liberties Public Education Fund  and  the
Radiation Exposure Compensation Trust Fund.

However,  the  Department  did  receive  increases  for  selected
purposes,   such   as:    additional  jail   days,   inspections,
investigations, detention and deportation, and legal  proceedings
related  to  illegal  immigration; and  continued  expansion  and
operation of the Federal Prison System.  The Department was  also
authorized  to use prior year unobligated balances to  meet  some
current requirements.


Highlights of 1994 Accomplishments

-     Attacked major drug trafficking organizations both here and
abroad   and  seized  and  forfeited  their  ill-gotten  profits.
Improved   the  coordination  of  these  and  other  efforts   by
establishing the Office of Investigative Agency Policies.

-     Supported the passage of the Violent Crime Control and  Law
Enforcement  Act  of  1994,  which strengthens  the  Department's
ability  to address violence and provides funding to put  100,000
new police officers on the street.

-     Provided  financial and technical assistance  to  encourage
localities  to implement community policing strategies  in  which
law enforcement officers and community residents work together to
combat violent and drug-related crime.

-     Continued efforts to protect America's children  as  a  top
priority  for  the  Department by focusing resources  on  helping
children  most at risk of becoming involved in gangs, drugs,  and
crime and fostering efforts to help children grow up healthy,  in
a safe, drug-free environment.

-     Fully  implemented a comprehensive drug treatment  strategy
for  offenders in the custody of the Bureau of Prisons,  ensuring
all  inmates  eligible  for drug abuse program  services  receive
those services.

-      Continued  to  target  violent  and  repeat  offenders  by
supporting  joint  Federal,  State  and  local  task  forces  and
providing specialized assistance in priority cases.

-     Vigorously  investigated  and prosecuted  crimes  involving
health care and financial institution fraud.

-     Continued strong enforcement of the antitrust laws  with  a
particular focus on identifying international cartels  that  were
raising prices for American consumers and on restraints of  trade
that  were  impeding the access of American companies to  foreign
markets.

-     Activated over 3,000 new prison beds, 1,280 of which are at
high  security  penitentiaries.  Opened  a  privately  owned  and
operated   1,000-bed  contract  facility  in  Eloy,  Arizona,   a
cooperative   effort  involving  the  Bureau  of   Prisons,   the
Immigration  and  Naturalization Service and  the  U.S.  Marshals
Service.

-     Investigated and prosecuted white collar crimes that  erode
confidence  in  our institutions and impose heavy costs  to  both
taxpayers and victims alike.

-     Provided support for activities consistent with  the  Brady
Handgun Violence Prevention Act of 1994 to help keep handguns out
of  the  hands  of  criminals  and improve  the  ability  of  law
enforcement agencies to share information on criminal histories.

-    Reaffirmed the Department's commitment to vigorously enforce
Federal civil rights laws, as evidenced by the settlement of  the
Denny's case.

-      Obtained   a  record-breaking  $1.09  billion   in   civil
settlements  and judgments from corporations and individuals  who
committed  fraud on government programs such as Defense contracts
and Medicaid.

-    Implemented new and additional preventive measures along the
Southwest  border,  prosecuted  individuals  involved  in   alien
smuggling, improved the political asylum process through a series
of  reforms,  increased the deportation of criminal  aliens,  and
continued   to   propose   and   implement   immigration   reform
legislation.

-     Placed  renewed emphasis on enforcement of laws to  protect
the environment and preserve economic competition.

-    Enhanced the accessibility of government information for the
American people by adopting a new policy that makes it easier for
citizens  to  obtain documents under the Freedom  of  Information
Act.

-     Improved  the  management  of the  Department  through  the
continuing  efforts  of the "Justice Performance  Review,"  which
parallels  efforts of the Vice President's "National  Performance
Review," and by involving all Department employees in helping the
Department work better and more efficiently.

-      Developed   the  Partnerships  Against  Violence   Network
(PAVNET),  an online service through the Internet that  draws  on
the   resources  of  more  than  30  Federal  clearinghouses  and
information  centers to provide information  about  programs  and
practices that States and localities can use to combat violence.

-     Made a commitment to serve the public more effectively  and
in  a  more timely manner through the development and publication
of   customer  service  standards  and  guidelines  for  selected
programs and services.
CHAPTER I
MAKING AMERICA SAFE

o     Goal:   Guarantee the incarceration of violent  and  repeat
offenders  and concentrate law enforcement resources  where  they
can be most effective.

A  fundamental  responsibility of government is  to  protect  its
citizens  from violent and other criminal behavior.  This  is  at
the  forefront  of the Department's mission and it fulfills  this
obligation  through  its prosecutorial and enforcement  entities.
The  Department continued in 1994 to rigorously investigate crime
and enforce the law, as well as provide consistent assistance  to
State and local government anti-crime efforts.

The  newly-enacted "Violent Crime Control and Law Enforcement Act
of  1994"  contains  a number of provisions that  strengthen  the
Department's   ability  to  address  violence.    This   landmark
legislation   provides  a  balanced  array  of  enforcement   and
prevention  programs  and  tough new  sanctions  in  the  Federal
criminal law, including "three strikes, you're out."  Because  of
this  law, prosecutors will be armed with the tools they need  to
combat  firearms  violations and other violent crime  activities;
resources  will  be  available to put  thousands  of  new  police
officers  on  the beat in America's communities;  there  will  be
increased prison capacity and incentives for alternative forms of
incarceration;  and adequate funding for an array of  immigration
control   activities   will  be  made  available.    Once   fully
implemented, this broad range of efforts will help give Americans
what  they  want most -- to be secure in their own homes  and  in
their streets.


COMBATTING VIOLENCE

Addressing  violent crime is a major priority for the Department.
In  1994, the Department's investigative agencies and prosecutors
achieved notable success in apprehending and convicting the  most
serious  offenders.  Over one-fifth of all criminal cases brought
by  U.S.  Attorneys involved violent and repeat  offenders.   The
vast  majority  of those charged (86 percent) were found  guilty,
and  sentenced to lengthy prison terms, including 72 persons  who
received life sentences.

On  March  1, 1994 Vice President Gore and Attorney General  Reno
announced an unprecedented partnership among Federal, State,  and
local  law enforcement agencies to address violent crime  --  the
Administration's "Anti-Violent Crime Initiative."   The  goal  of
the  initiative  is  to fight violent crime  with  all  available
resources, complementing traditional State and local efforts with
Federal  tools that include investigative grand juries, mandatory
minimum   sentences,  witness  protection,   and   the   use   of
racketeering enterprise statutes.

As   part   of   its  fight  against  violence,  the   Department
successfully  coordinates and participates in various  joint  and
multi-agency  task  force programs.  For example,  numerous  Drug
Enforcement   Administration  (DEA)  groups  are   dedicated   to
combatting  violent  crime including:  the Atlanta/Crack  Violent
Crime  Task  Force;  Metro  Gang Task  Force  (Denver);  Homicide
Investigative  Team  (Miami); and the New York  Drug  Enforcement
Task  Force.   Through these and other groups, DEA  continues  to
expand  its Violent Trafficker Program (VTP) and directs numerous
task force efforts at the most violent gang trafficking groups.

The  U.S.  Marshals  Service  (USMS)  targets  violent  offenders
through  the  execution of fugitive felon warrants.  During  1994
the   USMS  signed  a  formal  agreement  designed  to  eliminate
investigative duplication in fugitive matters. In response to the
Attorney General's emphasis on decreasing violent crime  and  the
use of drugs, the Department initiated or participated in several
multi-agency task forces throughout the country.  One  effort  is
the Washington, D.C. Joint Fugitive Task Force formed in November
1993,  which  comprises  nine Federal and local  law  enforcement
agencies.  The USMS and the Federal Bureau of Investigation (FBI)
are  co-supervising  this effort which in  the  first  10  months
resulted in the arrest of 1,720 violent offenders.

As of October 1994, the FBI had established 118 Safe Streets Task
Forces  involving  over  340  State  and  local  law  enforcement
organizations,  and including 851 State and local  officers,  676
FBI  agents,  and  128  other Federal law enforcement  personnel.
This  effort has resulted in more than 57,000 arrests and  21,088
convictions.


     Controlling Street Gangs

Violent  crime  is all too often the result of the  proliferation
and  influence of gangs engaged in illegal activity.  Significant
initiatives undertaken by Department law enforcement officers and
prosecutors  to  control and bring down major gang  organizations
are described below:

-     Operation REDRUM (murder spelled backwards) was created  in
1990   to  identify,  disrupt  and  immobilize  drug  trafficking
suspects,  organizations or gangs in various  cities  around  the
country.  In the Washington, D.C. area, the unit consists of  DEA
Agents  and  senior  Washington  Metropolitan  Police  Department
Homicide  Detectives;  and a series of  initiatives  in  1994  at
public  housing complexes has resulted in a dramatic decrease  in
the number of homicides and assaults.

-     Also,  in  Washington, D.C., after three years  of  intense
investigation, DEA, along with local homicide detectives, brought
five  leaders  of one of the city's most notorious crack  cocaine
organizations -- the First Street Crew -- to justice.  After four
months  of  testimony, the jury found four members of  the  First
Street  Crew, including Antone White (leader of the gang), guilty
on  narcotics  and  racketeering charges.   That  the  number  of
killings  in  the area in which the gang operated has  diminished
since  the  convictions is stark evidence of the success  of  the
investigation and trial.

-    In June 1994, 20 members of the Latin Kings, a major violent
drug  trafficking  gang, were arrested by a cooperative  Federal-
State task force on charges of distributing cocaine and heroin in
the  Bridgeport and New Haven areas of Connecticut.  The  Federal
task force, which became known as the Bridgeport Gang Task Force,
coordinated all Statewide and local operations and became a model
for  cooperation among Federal agencies working  with  State  and
local law enforcement.

-     DEA joined forces with the Massachusetts State Police,  the
Boston   Police   Department,  and  the  Boston  Housing   Police
Department,   to  immobilize  the  major  criminal   organization
operating  in Charlestown, Massachusetts.  After three  years  of
extensive  investigation and intelligence gathering by  the  task
force, nine defendants were charged with a series of violent  and
drug related crimes.

In  related  Federal investigative work during 1994,  INS  agents
apprehended nearly 80,000 criminal aliens.  This number  includes
1,890  gang members identified by Violent Gang Task Forces (VGTF)
and  2,073  identified by Organized Crime Drug  Enforcement  Task
Force (OCDETF) investigations.

In  addition, the Bureau of Justice Assistance (BJA) developed  a
Comprehensive Gang Initiative to prevent and control violence  by
emerging or chronic street gangs, particularly gangs involved  in
drug   trafficking.   This  comprehensive  approach  incorporates
prevention,   intervention,  and  suppression  strategies.    The
project  is  being  demonstrated in four sites --  Boston,  Metro
Denver, San Diego, and Seven Hills, Ohio.


FIGHTING DRUGS

Much  of  the incidence of violent crime is the direct result  of
trafficking in illegal drugs.  In 1994, the Department  continued
to  attack  the  Nation's drug problem by stepped-up  enforcement
targeted  on drug "kingpins."  To curb the influence  of  illegal
drugs  in  our society requires both unrelenting law  enforcement
and  serious demand reduction efforts.  The Department  continued
this dual approach in 1994.

To  successfully infiltrate and eventually bring down major  drug
trafficking  organizations  requires cooperation  at  the  local,
national  and international levels.  During 1994, the  Department
achieved  some  significant successes  against  drug  traffickers
through its enforcement programs both domestically and globally:

-    The downfall of Pablo Escobar on December 2, 1993, notorious
leader of the Medellin Cartel, ranks as one of the most important
events in law enforcement history.  The Colombian National Police
(CNP) Medellin Task Force, with DEA cooperation, ended a reign of
terror by one of the most brutal cocaine traffickers in the world
and  seized over 4.75 tons of dynamite, 333 weapons, 73 vehicles,
and more than $8 million in Escobar-related cash and properties.

-     Under  Operation Fox Hunt, while investigating the domestic
operations  of  the  Helmer  Herrera-Buitrago  organization,  DEA
developed   a   "cluster"  of  investigations   nationwide   from
cooperating-individual information, intelligence leads, and  wire
intercepts.   The organizations being targeted  were  part  of  a
national     and     international,     multi-faceted     cocaine
transportation/distribution  organization.   This   investigation
touched  on several concurrent investigative efforts in  numerous
U.S. cities and resulted in a 31-case cluster investigation which
produced  the arrest of 198 defendants, the seizure of more  than
6.5 tons of cocaine and in excess of $13.5 million of assets.

-     Operation Oceano represented the first time DEA had  worked
with the Nicaraguan National Police (NNP) on a joint interdiction
operation in Nicaraguan territory.  The seizure of 990 pounds  of
cocaine  from  an  airdrop  off the Pacific  coast  of  Nicaragua
provided  the  evidence  DEA  needed to  confirm  that  Colombian
cartels had been using this smuggling route.

-     In June 1994, DEA Field Divisions arrested cell members  of
the  SEJO organizations in Miami, Houston, and Los Angeles.   The
results  in these investigations include: 57 arrests, seizure  of
more  than $16 million, 1.61 tons of cocaine and over 2 kilograms
of  Colombian  heroin.   The investigation  also  identified  and
resulted   in   the  dismantling  of  a  Mexican   transportation
organization based in El Paso.

-     The  Horsecollar initiative in the Harlem area of New  York
City has resulted in 222 arrests, 167 convictions, over $8 millon
in   assets  seized,  dismantlement  of  15  heroin  distribution
organizations,  and  the identification of 30  additional  heroin
trafficking  organizations.   In addition,  this  initiative  was
credited  with the resolution of 40 New York area homicides,  the
most  significant being the assassinations of  a  New  York  City
Police Department officer and a New York State parole officer.

-     An  OCDETF Task Force consisting of members of the  Oakland
Police Department, DEA, FBI, INS, and the USMS executed more than
50  Federal  search warrants and 35 arrest warrants  against  the
Lacy  and  Flowers drug organizations which were responsible  for
much  of  the  cocaine distribution in the  Oakland  area.   This
takedown included 24 Federal and four State arrests.


ORGANIZED CRIME

In  1994, the Department broadened its efforts to fight organized
crime.   Activities focused on the many criminal  enterprises  of
the  La  Cosa  Nostra (LCN) families, as well as on  other  crime
syndicates.  Some significant successes are described below:

-     An  investigation conducted by the FBI in New York resulted
in  convictions  of five Gambino LCN leaders and  four  soldiers,
largely  as the result of testimony furnished by a former Gambino
Underboss.

-     An  FBI  investigation  in Boston resulted  in  a  31-count
racketeering  indictment  against  the  New  England  LCN  Family
consigliere, 2 capos, and 1 soldier for loansharking, obstruction
of justice, extortion, operating an illegal gambling business and
conspiracy.

-     A 48-count indictment against 19 members and associates  of
the Wo Hop To, a Hong Kong-based Triad, and the Hop Sing Tong,  a
criminally-influenced Tong, was returned in San  Francisco.   The
indictment  marked  the first time that the Racketeer  Influenced
and Corrupt Organization (RICO) statute had been used on the West
Coast against Asian Organized Crime figures.

-     In  New  York, 29 Italian Organized Crime (IOC)  associates
were arrested in the "Project Onig" case.  These arrests resulted
from  a  multi-national  investigation  that  identified  a  drug
trafficking  conspiracy involving the three major  IOC  families,
collaborating with Colombian cocaine cartels to distribute heroin
and cocaine in the United States and Europe.

The Organized Crime Strike Force Units of U.S. Attorneys' offices
continued to investigate and prosecute organized crime cases.  In
addition,  since  their inception in 1986,  the  Organized  Crime
Narcotics  (OCN)  Trafficking  Enforcement  projects,  funded  by
Department grants, have made more than 15,530 arrests and  seized
drugs, cash, and property worth an estimated $1.1 billion.   This
includes 943 arrests and $34.6 million in seized drugs, cash, and
property for 1994.

The  Tax  Division, the FBI, the Internal Revenue Service  (IRS),
and  various State law enforcement agencies continued their joint
investigations and prosecutions of the approximately one  billion
dollar  annual  evasion of Federal motor  fuel  excise  taxes  by
organized crime groups.  The Department prosecuted several  major
cases including seven individuals who evaded over $85 million  in
Federal  taxes on almost one billion gallons of gasoline.   As  a
result  of  successful law enforcement efforts, the  IRS  reports
that motor fuels excise tax receipts have begun to increase.

Six Regional Information Sharing System (RISS) projects funded by
the   Office  of  Justice  Programs  (OJP)  continued  to   share
intelligence  and  coordinate efforts against  criminal  networks
that  operate across jurisdictional lines.  RISS projects  target
drug   traffickers,   white-collar  criminal  conspiracies,   and
organized crime.  In 1994, RISS projects served 4,279 member  law
enforcement agencies and resulted in 8,558 arrests, and  seizures
of  narcotics  worth  $70  million and  assets  valued  at  $14.8
million.


POLITICAL CORRUPTION

During  1994, the Department aggressively pursued cases involving
public  corruption  at  all levels of  government.   These  cases
resulted  in 512 informations and/or indictments; 513 convictions
or  pre-trial  diversions;  more than  $24.7  million  in  fines,
recoveries,  and  restitutions; and  seizure  of  more  than  $22
million   in  assets.   FBI  undercover  operations   in   public
corruption  matters  continued  to produce  significant  results,
especially  in the area of law enforcement corruption,  including
the  indictments  of  12  police officers from  the  Metropolitan
Police  Department in Washington, D.C., nine of  whom  have  pled
guilty.

The  U.S.  Attorneys maintained their same high success rate  for
securing  convictions  in  these  difficult  and  often   complex
corruption  cases.   Some of those convicted  included  a  former
Atlanta Airport Commissioner and City Councilman for mail  fraud,
bribery  and  tax evasion; and a former California State  Senator
for mail fraud, money laundering and obstruction of justice.

Other significant cases included:

-     Catalina Vasquez Villalpando, the former Treasurer  of  the
United States, pled guilty to attempted evasion of her individual
income  taxes for 1989 and 1990.  While Treasurer, she failed  to
report  $370,000 in bonuses, severance pay and expenses  paid  by
her former employer.

-      John   P.   McGonigle,   Sheriff  of   Middlesex   County,
Massachusetts,  was  convicted  of  multiple  tax   charges   for
conspiring  to  disguise bribes and extortion payments  from  his
deputies to himself and to illegally shift the tax liability  for
the same payments.



WHITE COLLAR CRIME

"We  will catch you and we will make you pay."  Although this  is
the  Department's message to those who would defraud the  Federal
government,  it could easily apply to all our efforts  to  combat
White  Collar  Crime (WCC).  Approximately 2,400 FBI  agents  are
dedicated  to investigations of various types of WCC.   In  1994,
WCC   investigations   resulted   in   6,286   informations   and
indictments;   4,995   convictions;  almost   $3.5   billion   in
restitutions,  recoveries,  and  fines;  and  $10.5  billion   in
potential  economic loss prevented.  In all, the  U.S.  Attorneys
filed criminal charges against 9,228 individuals relating to such
white  collar  crime as financial institution,  Federal  program,
economic and tax fraud.

In 1994, the Civil Division, working in conjunction with the U.S.
Attorneys,  won judgments and settlements of over $1  billion  in
civil fraud cases.  Division attorneys secured record settlements
in  cases  filed under the whistleblower provisions of the  False
Claims Act.

Operation  Disconnect, a national initiative, is  considered  the
most  significant  investigative effort directed  toward  illegal
telemarketing  ever undertaken by Federal law enforcement.   More
than  300  individuals  have been charged,  over  220  have  been
convicted,  and  over  $6.5 million in property  was  seized  for
potential forfeiture.

The  dramatic  rise  over  the  past  decade  in  the  number  of
bankruptcy  filings has been accompanied by an  increase  in  the
number  of fraudulent schemes that utilize the Federal bankruptcy
process.   Moreover, the rise in bankruptcy cases has highlighted
the   need  for  aggressive  supervision  of  case  trustees  who
administer tens of billions of dollars in estate funds.  The U.S.
Trustee  Program  has supervisory responsibility over  bankruptcy
cases  and  trustees,  and  it works towards  assuring  that  all
violations  of applicable criminal law are detected, investigated
and  referred  to  appropriate  law  enforcement  and  regulatory
agencies.   Two  cases  illustrating the  program's  efforts  are
described below:

-     United  States v. Thomas M. Germain.  Germain was a  former
Chapter   7   trustee  who  administered  bankruptcy   cases   in
Connecticut.  After discovering that Germain had been  improperly
removing  estate  funds from a bankruptcy estate,  an  order  was
issued  removing him as trustee from all of his  cases.   Germain
plead  guilty  to one count of embezzlement and was sentenced  to
serve  27  months in a Federal prison, followed by two  years  of
supervised probation and is required to make restitution  in  the
amount of $823,000.

-    United States v. John Maiona.  Maiona was a former Chapter 7
trustee  who  administered bankruptcy cases in Massachusetts.   A
reconstruction  of the financial records for  all  of  his  cases
showed  that approximately $1.7 million in estate funds had  been
either   withdrawn  without  authorization  or  diverted   before
entering  the estate accounts.  A criminal referral to the  local
U.S. Attorney's office  resulted in an indictment on 26 counts of
embezzlement and bankruptcy fraud.

The  Tax  Division  continued  its aggressive  investigation  and
prosecution   of   computer-related  fraud  against   the   IRS's
electronic  filing  system.  Since 1991, the  Division  and  U.S.
Attorneys  have  conducted approximately 250  investigations  and
prosecuted   over  800  individuals.   Due  to  the   large-scale
potential  of  this fraud and the importance of  maintaining  the
public's confidence in the tax system, the Department has devoted
significant resources to this evolving computer-related crime.

In defense procurement fraud litigation, a record $576 million in
judgments and settlements was recovered in 1994.  In the  largest
defense  contractor qui tam case in history, United  Technologies
Corporation  paid  $150  million  to  settle  charges   that   it
overstated  progress payments submitted by its Sikorsky  Aircraft
Division.  In other litigation, Teledyne agreed to pay more  than
$112  million  to  settle  two qui tam cases  which  claimed  the
company  committed  fraud in its testing of military  components;
Litton Systems, Inc. paid $82 million to settle a qui tam lawsuit
alleging it had overcharged the government for computer services;
and  Boeing  paid  $75  million to resolve  allegations  that  it
mischarged  the government for costs associated with  independent
research  and  development, foreign direct selling and  hazardous
waste disposal.


HEALTH CARE FRAUD

While  most health care providers are honest and care  first  and
foremost  about their patients' welfare, fraud is perpetrated  by
every  kind of provider:  individual physicians as well as multi-
state  publicly  traded  companies;  medical  equipment  dealers,
ambulance  companies, and laboratories as well as the  hospitals,
nursing homes, and home health care agencies they service; and by
those  who  provide no health care and prey upon the system  with
fraudulent scams.

In  recognition  of the scope and severity of  this  crisis,  the
Attorney  General  named  health care  fraud  the  Department  of
Justice's  number two new initiative, behind violent crime.   The
Department's new health care fraud initiative consists of several
steps  to  strengthen  these efforts at the  national  and  local
levels.   First,  the  Department has improved  dramatically  its
coordination of health care fraud efforts by the various  Federal
investigative  and  prosecutorial  agencies  with  the   Attorney
General's appointment of a Special Counsel for Health Care Fraud.
Second,  the  Department  has  increased  the  investigative  and
prosecutive   resources   available   for   health   care   fraud
enforcement.  Third, the Department has strengthened health  care
fraud  enforcement within each of the 94 United States  Attorneys
Offices across the country.

The results of these efforts can already be seen.  The Department
is  investigating and prosecuting significantly more criminal and
civil health care fraud cases.  The Department investigated 1,066
criminal  health  care fraud matters during 1994,  a  211-percent
increase  since 1992.  Civil health care fraud matters also  grew
to  819,  an increase of 203 percent since 1992.  The  number  of
defendants  charged  increased 108 percent,  and  the  number  of
convictions  grew  56  percent over  the  previous  year.   Civil
recoveries  also  increased.  In 1993, the  Department  recovered
nearly  $200 million.  By contrast, in 1994, this number exceeded
$500 million.

Three health care fraud enforcement accomplishments for 1994  are
especially noteworthy:

-     The Department's largest success to date concerned National
Medical Enterprises, Inc. ("NME").  On July 12, 1994, NME entered
a  global  settlement  consisting of a  record  $379  million  in
criminal  fines,  civil damages and penalties for  kickbacks  and
fraud  at  NME  psychiatric and substance abuse hospitals  in  30
States.   Under the settlement, NME agreed to pay more  than  two
dozen  States  a  total  of $16.3 million for  harm-caused  State
health  programs  and  to  a corporate  integrity  program.   The
government had alleged that NME's psychiatric and substance abuse
facilities   engaged  in  widespread  billing  fraud,   including
admitting  and treating patients unnecessarily, keeping  patients
longer than necessary to use up the available insurance coverage,
billing  government insurance programs for services not rendered,
and  billing  Medicare  for nonreimbursable  expenses,  including
payments to physicians for referrals.

-     Another  major prosecutive success involved a  Los  Angeles
chain  of mobile diagnostic testing services and clinics, Rolling
Laboratories,   which  perpetrated  a  billion   dollar   medical
insurance  scheme,  defrauding  1,400  insurance  plans.    After
promising   free  and  low-cost  examinations  and   preventative
diagnostic tests, patients were required to sign forms  assigning
the  right  to receive insurance benefits to the clinics.   Bills
were  then  fabricated  to  make it appear  these  services  were
performed  by a doctor and were "medically necessary."   The  175
count indictment named 13 defendants.  Ten pleaded guilty to  one
or  more felony counts of mail and wire fraud, conspiracy,  money
laundering, and racketeering; the defendants stipulated  to  full
restitution  and  asset forfeiture.  The jury  convicted  another
defendant  on  all counts, including conspiracy to  launder  more
than  $50 million, and ordered him to forfeit that amount as well
as  other property.  In September 1994, the chief perpetrators of
the one billion dollar health care fraud scheme were sentenced to
more  than  twenty years each, ordered to forfeit $50 million  in
assets and pay more than $41 million in restitution and fines.

-     On April 5, 1994, C.R. Bard, Inc. was sentenced to the then
largest criminal fine in a health care prosecution.  Bard pleaded
guilty  in  Boston to charges including conspiracy,  mail  fraud,
false  statements, and 363 violations of FDA laws  based  on  its
submission  of  false  and  fraudulent  statements  for   several
different  angioplasty catheter product lines.  Bard was  ordered
to  pay  $30.5  million  in  fines and criminal  forfeitures,  an
additional  $30.5  million  to  resolve  the  government's  civil
claims, and to adopt remedial corporate integrity measures.   The
corporate officials await trial.


FINANCIAL INSTITUTION FRAUD

Combatting  financial institution fraud continues  to  be  a  top
priority  within  the  Department.   The  Financial  Institutions
Reform,  Recovery  and Enforcement Act of 1989 (FIRREA)  empowers
the  Department with resources and statutory authority  to  fight
financial  institution  fraud  with criminal  prosecution,  civil
money penalties, forfeiture of property traceable to a fraud  and
the ability to seek restitution for victims of the fraud.  FIRREA
also  provides  for  the Presidential appointment  of  a  Special
Counsel  for  Financial  Institution  Fraud  to  coordinate   law
enforcement efforts in this area.

In  the  past  year,  the  Department  aggressively  pursued  the
prosecution of individuals responsible for victimizing  Federally
insured  financial  institutions.  During  1994,  the  Department
through  the efforts of the United States Attorneys' Offices  and
the  Criminal Division, charged 728 defendants in cases involving
financial  institution officers or directors or where there  were
losses  of  over  $100,000.   A  total  of  757  defendants  were
convicted in major financial institution fraud cases during 1994,
representing a 97.8 percent conviction rate for the year.

One of the Department's most significant achievements in the area
of  financial  institution  fraud during  1994  involved  a  BCCI
related  settlement in Geneva, Switzerland.  The Special  Counsel
for  Financial Institution Fraud, Gerald M. Stern,  took  a  lead
role in the negotiation of a global settlement between the Ruling
Family  of Abu Dhabi and other Abu Dhabi parties on the one  hand
and the Department of Justice and other agencies and institutions
of  the  United  States  on the other.  The  settlement  resolved
claims  of  over $400 million in favor of the United  States  and
provided for the extradition of Swaleh Naqvi, BCCI's "number  two
man,"  to face criminal charges.  Naqvi, who is now a cooperating
witness  for the Federal Government, pled guilty to all  criminal
charges contained in the Federal indictment in Washington,  D.C.,
received an 11 year sentence (less credit for time served in  Abu
Dhabi)  and  was ordered to pay restitution of $255 million.   In
other  BCCI  related efforts, $552 million had been forfeited  to
the  Government  by the end of 1994 through the  efforts  of  the
Department's  Asset  Forfeiture  Office  allowing   the   Federal
District   Court  to  make  the  first  disbursement   of   funds
(approximately  $33  million) in accordance with  the  BCCI  plea
agreement.

Another  significant victory for the Department during  1994  was
the conviction of David Paul, one of the most prominent names  in
the   savings   and  loan  debacle.   After  a  six-week   trial,
prosecutors  from  the United States Attorney's  office  for  the
Southern  District of Florida convicted Paul, Chief Executive  of
CenTrust  Bank,  of 66 counts of fraud.  In all,  Paul  faced  69
felony  counts, most alleging that he siphoned $3.2 million  from
CenTrust  and spent it on a 95-foot yacht and homes in Miami  and
elsewhere.   Paul was also charged with filing false  income  tax
returns  and  obstructing  an administrative  proceeding  of  the
Office  of  Thrift  Supervision.  Paul later pled  guilty  to  29
additional  counts of financial fraud, bringing his total  guilty
counts  to  95.   Since  his conviction in 1994,  Paul  has  been
sentenced  to  11 years incarceration, a fine of $5  million  and
restitution in the amount of $65 million.

In  the  civil  area,  the Department won a major  Supreme  Court
victory in 1994 that will enable bank regulatory agencies to  act
swiftly  when financial institutions fail and without  subjecting
the  Government  to the threat of large monetary  judgments.   In
Federal Deposit Insurance Corp.(FDIC) v. Meyer, the Supreme Court
held  that  while  Government agencies accused of  violating  the
constitutional  rights of an individual can be  ordered  to  take
corrective  action,  they  cannot be sued  for  monetary  damages
except   where   Congress  has  so  provided  by   statute.    In
representing   the   FDIC,  Civil  Division  attorneys   obtained
judgments  and  settlements  totaling  over  $39  million,  while
successfully defending FDIC receiverships against $6.2 million in
claims asserted against them.


NATIONAL SECURITY

     Major Espionage Cases

On  February  21, 1994, Aldrich and Maria Ames were arrested  and
charged  with conspiracy to commit espionage.  Aldrich  Ames  had
been  a  Central Intelligence Agency (CIA) employee for  over  31
years   and   served   as   the  Chief  of   the   CIA's   Soviet
Counterintelligence Branch in 1985-86.  His wife Maria was a part-
time  Georgetown  University student and was  previously  a  paid
source  for the CIA in Mexico City.  The FBI recovered  important
computer  evidence from Aldrich Ames which led to his  conviction
on  the espionage charges.  Also among the enforcement tools that
were instrumental in securing the guilty pleas and cooperation of
Mr.  and Mrs. Ames were tax charges based on complex analysis and
sophisticated methods of proof.  The Department obtained a guilty
plea  from  Ames, who admitted to conspiring for nine years  with
Soviet  and  Russian intelligence services.  On April  28,  1994,
Aldrich  Ames was sentenced to life in prison without parole  for
conspiracy to commit espionage.   Mrs. Ames admitted to assisting
her husband and was sentenced to 63 months of imprisonment.

The  Department also obtained guilty pleas from two  former  U.S.
Army  enlisted  men,  Jeffrey Rondeau  and  Jeffrey  Gregory,  to
espionage charges for assisting convicted spies Clyde Conrad  and
Roderick  Ramsay  in  copying  and removing  from  U.S.  military
headquarters in Germany highly classified documents on behalf  of
Hungary  and Czechoslovakia.  Each was sentenced to 18  years  of
imprisonment.

     Anti-Terrorism

In  the  wake  of  the  bombing of the World  Trade  Center,  the
Department  moved quickly to apprehend and bring the perpetrators
to  justice.   On March 4, 1994, four individuals were  convicted
for  their involvement in the bombing of the World Trade  Center.
On  April 25, 1994, each of the four defendants received  a  240-
year  prison  sentence and a $500,000 fine, and the investigation
continues.  Other individuals charged are awaiting trial.

     International Cooperation

In  the  Summer  of 1994, the FBI led a multi-agency  mission  to
Eastern  and Central Europe in order to create new joint programs
to  fight a range of crime problems.  These problems include  the
theft  of, and illicit trafficking in, nuclear materials and  the
spread of Russian and Eurasian organized crime.  The FBI explored
opportunities  for opening a training academy in  Central  Europe
that  might give in-depth training to police officers  from  many
countries and expand cooperation against global crime problems.

The  INTERPOL-U.S. National Central Bureau (USNCB) continued  its
liaison work with police agencies around the world.  During 1994,
approximately 70 percent of the more than 11,000 cases handled by
the  USNCB  involved  State  and local  authorities,  working  in
conjunction with their Federal counterparts.  A recent example of
this   cooperation  occurred  when  the  New  York  City   Police
Department  requested USNCB assistance in locating an  individual
wanted  for the rape of two 13-year olds.  The subject  had  been
arrested,  but later was released on $100,000 bail  and  promptly
fled  the  United  States  with his five-year-old  son.   He  was
believed  to  have  gone  to Hong Kong  or  to  the  Philippines.
Messages  were  sent to both foreign countries via  the  INTERPOL
network.   The  subject was subsequently arrested  by  Philippine
authorities  and  expelled.   He  was  taken  into   custody   by
authorities upon his arrival in the U.S.



KEY CRIME-FIGHTING RESOURCES

     Asset Forfeiture

Federal law authorizes government seizure of property used in  or
derived  from  a  range  of  criminal enterprises,  notably  drug
trafficking and organized crime, and it has been a useful tool in
attacking  drug  trafficking and drug-related  money  laundering.
Since  1985,  total forfeiture deposits to the Assets  Forfeiture
Fund  have exceeded $3.5 billion, with over $486 million of  this
deposited  in  1994.  The great majority of these  deposits  were
from  drug-related forfeitures and have served  to  dissolve  the
economic base of drug trafficking syndicates.

The Department shares the proceeds of forfeited assets with State
and  local  law enforcement agencies that participate in  Federal
investigations   resulting  in  forfeiture.   Since   1986,   the
Department  has  shared over $1.5 billion in Federally  forfeited
cash  and  property  with more than 3,000  State  and  local  law
enforcement  agencies.   Sharing in 1994  exceeded  $220  million
nationally.

The  Department  also  continued  its  success  in  securing  the
cooperation of foreign governments to deprive criminals of  their
illicitly  obtained wealth.  The United States  shared  forfeited
assets  for  the  first time with two former East  Bloc  Nations,
Romania  and  Hungary.  In addition, the Department continued  to
cooperate  with Switzerland on major forfeiture cases,  including
sharing  of  millions  of  dollars in assets  forfeited  in  each
country with the other.

     Drug Intelligence

One  of  the initiatives undertaken by the Director of the newly-
established Office of Investigative Agency Policies (see  Chapter
Five)  was  aimed  at  improving the  use  and  sharing  of  drug
intelligence within and outside of the Department by  creating  a
uniform  drug  intelligence database.  The  database,  named  the
Counterdrug  Information Indices System, and known informally  as
DRUGX,  serves  as  a pointer system to enable  investigators  to
obtain and share information on drug-related cases.

To  expand  coordination  of drug investigations  beyond  Federal
agencies,  to  State  and local agencies as  well,  DEA  is  also
developing  a  National Drug Pointer Index System  (NDPIX).   The
NDPIX will allow participating Federal, State, and local agencies
to  determine if other jurisdictions have information related  to
their   ongoing  drug  investigations.   NDPIX  will   facilitate
coordination among participating agencies and reduce  duplicative
investigative efforts.

The  El  Paso  Intelligence Center (EPIC) provides  tactical  and
operational  support to Federal, State, and local law enforcement
agencies.  For over 20 years, EPIC has been the U.S. Government's
focal  point  for  drug law information and  intelligence  as  it
pertains  to  drug movement.  EPIC has agreements concerning  the
exchange  and analysis of information with other Federal agencies
involved in drug supply reduction, all 50 States, the District of
Columbia,  Guam,  Puerto Rico, and the U.S. Virgin  Islands.   It
also  has  signed information sharing agreements with 20  foreign
countries.

     Using Technology and Information Sharing

The  Department has been in the forefront of efforts  to  develop
and  apply sophisticated crime-fighting techniques. For  example,
to  support violent crime initiatives, the FBI is developing  the
National  Crime  Information  Center  (NCIC)  Violent  Gang   and
Terrorist  Organizations File (VGTOF).  The VGTOF  will  provide:
(1)  on-line,  real-time information to law enforcement  officers
and  criminal  justice agencies on members of violent  gangs  and
terrorist organizations, and (2) point-of-contact information  to
promote  the  further exchange of more detailed information.   In
addition,  the FBI Laboratory continues to provide a broad  range
of  forensic  services to State and local  police  agencies.   In
1994,  the  FBI Laboratory performed over 2,500 DNA examinations,
over 90 percent of which were for rape and murder cases.

DRUGFIRE  is  another  example of an FBI  innovation  benefitting
local  communities.   DRUGFIRE is a  system  for  matching  spent
ammunition  typically  recovered from  crime  scenes.   It  helps
firearms   examiners   solve  serial,  gang,   and   drug-related
shootings.   In the Baltimore/Washington area, for example,  more
than  200 pairs of shooting incidents have been linked that  were
not otherwise known to police.

The  INTERPOL-USNCB,  in support of the USMS  and  the  DEA,  has
developed a system whereby known felons who have been indicted in
U.S.  District  Courts  for distribution of  narcotics  or  money
laundering, but who have left the country in an effort  to  avoid
prosecution, are entered into the INTERPOL network to  assist  in
their  location and return.  Nearly 200 such fugitives have  been
placed  in the lookout system since the inception of the  program
in 1993.

     Witness Protection and the Use of Wiretaps

In  1994, the admission of over 200 new principal witnesses  into
the  Federal Witness Protection Program was authorized,  bringing
the total number of people in the program to more than 14,500.

In  addition,  in response to the U.S. Attorney's needs  for  the
prosecution of street criminals in the District of Columbia,  the
USMS,  in coordination with the Criminal Division, continued  the
Short  Term Protection Program, which provided for the  testimony
of 29 witnesses in court.

The  Department's Criminal Division provides valuable support  to
the  U.S. Attorneys in their effort to curb violent crime.   Last
year,  the  Criminal  Division  reviewed  1,061  Federal  wiretap
applications and provided practical and legal advice  to  Federal
enforcement    agencies   regarding   the   use    of    emerging
telecommunications technologies.

Another  significant  event occurred on October  25,  1994,  when
President Clinton signed into law "The Digital Communications and
Privacy  Improvement Act of 1994."  This represents a  successful
step  in  the important and highly visible effort to  ensure  law
enforcement's  continued  capability to conduct  court-authorized
electronic surveillance.

INCARCERATING VIOLENT CRIMINALS

In  1994,  the USMS had nearly 20,000 pretrial prisoners  in  its
custody  everyday, housed either in State or  local  jails  or  a
Federal  Bureau of Prisons (BOP) institution.  The USMS continued
to  work  closely with State and localities, as well as  BOP,  to
ensure  that  sufficient  jail space was  available  for  Federal
detainees,  and  to contain the costs of incarceration.  It  also
transported  these detainees in order to assure their  appearance
for court proceedings.

In  order  to  ensure that violent criminals are locked  up,  BOP
continued its ambitious facility expansion program.  In 1994, BOP
activated a total of 3,115 new bedspaces, 1,280 of which  are  at
high  security penitentiaries.  At the end of the year BOP had  a
total  inmate population of 95,034 (85,722 in its own  facilities
and  9,312 in contract confinement); in a system with a  capacity
of  64,751,  that  population level  represents  132  percent  of
capacity.

A  new BOP facility opened in July 1994.  This 1,000-bed contract
facility  which is privately owned and operated,  was  opened  in
Eloy,  Arizona and represents a cooperative effort involving  the
BOP, INS, and EOIR.

About  30  percent of all offenders in BOP custody have histories
of   substance  abuse.   In  response,  BOP  has  implemented   a
comprehensive drug treatment strategy, ensuring that all  inmates
eligible  for drug abuse program services receive those services.
A  residential drug abuse program expansion is underway  to  meet
the requirements of the Violent Crime Control and Law Enforcement
Act  of  1994  and ensure placement of all "eligible inmates"  in
residential  drug  abuse  treatment. In addition,  a  Drug  Abuse
Treatment  Handbook has been developed by the BOP  to  provide  a
treatment regimen focused on the criminal justice population.

The  BOP  continues to receive a growing number  of  violent  and
repeat  offenders  in  its  institutions.   To  address  problems
presented  by these offenders, the BOP offers "anger  management"
programs in which inmate groups discuss the nature of anger,  its
causes,  and  proven methods to reduce it, as well as participate
in  seminars  that impart the principles of non-violent  conflict
resolution.

Inmate  employment  is  vital in reducing  idleness  that  breeds
unrest  and violence, and prison industries represents  the  most
important means of employment in Federal prisons.  At the end  of
1994,  Federal  Prison  Industries employed approximately  16,000
inmates -- about 20 percent of its population.

CHAPTER II
SUPPORTING LAW ENFORCEMENT IN THE COMMUNITY

o    Goal:  Provide the maximum amount of support and cooperation
for  America's  police departments and for the  communities  they
serve.

State  and  local police organizations represent  the  front-line
force  of  our  Nation's  battle against crime.   The  Department
renewed its commitment to assist communities by helping put  more
police  officers  on  the streets and by  ensuring  that  Federal
investigative training and assistance is available  when  needed.
The   Department  also  engaged  in  a  series  of  programs  and
cooperative  efforts aimed at reducing crime  and  improving  the
quality of life in our Nation's neighborhoods.


PUTTING MORE POLICE ON THE BEAT

Early in the year the Police Hiring Supplement Program served  as
the  initial "down payment" on President Clinton's pledge to  add
100,000  police  officers  to  America's  streets.   Under   this
program, the Department awarded 249 grants, totalling almost $150
million,  to  help  hire  2,020 sworn  law  enforcement  officers
nationwide.  The Department received more than 2,700 applications
requesting grants to hire additional officers.  Jurisdictions  in
all  50  States  received  awards,  including  226  local  police
departments,  19 county sheriff organizations, two  State  police
departments,  two Native American police units, and  one  transit
police department.

Later  in  the  year,  the Community Oriented  Policing  Services
program  (COPS) was established by the Violent Crime Control  and
Law  Enforcement  Act of 1994.  COPS is a major  initiative  that
awards  competitive grants to State and localities to  assist  in
placing 100,000 new community police officers on the street  over
the  course  of  the  next  several years.   This  program  helps
solidify  the Administration's commitment to providing State  and
local  communities with the human resources they need  to  ensure
their  neighborhoods are safe.  In 1995, the  COPS  program  will
award grants to communities across the country -- both large  and
small  --  to  hire  20,000 new police officers.   By  2000,  all
100,000 will be hired and serving on the streets of America.


ENCOURAGING THE USE OF LOCALITY-BASED STRATEGIES

     Community Policing

One of the most promising and exciting law enforcement strategies
is  community policing.  Community policing serves  as  a  bridge
between  law enforcement and the neighborhoods and streets  where
crime   occurs.   Close  relationships  are  formed   among   law
enforcement   officials  and  community  residents   to   develop
solutions  to criminal activities.  In support of this  strategy,
the   Department   provides  various  types  of   assistance   to
localities.

The  Department, through the Bureau of Justice Assistance  (BJA),
completed  a  framework  to help local law  enforcement  agencies
plan,   develop,  implement,  monitor,  and  evaluate   community
policing initiatives.  The framework was developed in conjunction
with  the  International Association of  Chiefs  of  Police,  the
National  Sheriffs'  Association, the Police  Executive  Research
Forum,  the  Police Foundation, and the National Organization  of
Black  Law Enforcement Executives.  Fourteen sites are using  the
framework to develop department-wide community policing programs.
BJA also produced a manual, Understanding Community Policing:   A
Framework  for  Action,  which discusses  the  core  elements  of
community policing--community partnership and problem solving.

During  1994, the Community Relations Service (CRS) enhanced  its
focus on reducing racial tensions between law enforcement and the
community through a community-oriented policing philosophy.  Each
of  CRS'  10  Regional  Offices planned and conducted  activities
designed  to build working partnerships, based on trust,  between
community  residents  and  local law  enforcement.   CRS  offered
technical  assistance  to  bring  community  leaders  and  police
officials  together, providing information on  community-oriented
policing and how the police can involve the community in policing
efforts.   In  addition,  CRS  offered  training  in  communities
throughout   the  country,  utilizing  interactive  presentations
between  police  officials  and minority  community  leaders,  to
discuss  barriers  that limit the development of police-community
partnerships and how those limitations can be reduced.

     Project PACT

Project PACT (Pulling America's Communities Together) is a  broad
Federal initiative commenced in late 1993 under the leadership of
the  U.S.  Attorneys to empower communities to reduce  crime  and
violence through comprehensive multi-agency approaches.   Through
Project PACT, the Federal Government will foster and support  the
development of broad-based, fully-coordinated local and Statewide
initiatives  that  work  to  secure community  safety.   Two  key
principles  animate this Project.  First, local communities,  not
the  Federal  Government, will play the  lead  role  in  crafting
solutions;  and  second, government actors  at  all  levels  must
establish  truly  coordinated and multi-disciplinary  approaches.
Four jurisdictions -- Atlanta, Georgia; Washington, D.C.; Denver,
Colorado;  and  the  State of Nebraska --   are  currently  being
assisted in identifying and developing effective solutions.

Relatedly,  in  1994, BJA provided small planning  grants  to  16
jurisdictions  with high rates of crime and violence  to  develop
comprehensive  strategies  for preventing  and  reducing  violent
crime.   The  Comprehensive Communities  Program  requires  local
jurisdictions  to  work  in partnership  with  the  community  to
address  crime and drug-related problems.  Implementation  grants
were  awarded to six sites in 1994, with the remaining  10  sites
scheduled to receive implementation funding in 1995.

     Operation Weed and Seed

Another  community-oriented effort is the Department's  Weed  and
Seed  program.   Thirty-six communities have  now  been  provided
pilot-demonstration  funding  to  help  develop   and   implement
comprehensive  strategies  to  "weed  out"  violent  crime,  drug
dealers,  and  gang activity and "seed" the neighborhood  through
social  and  economic revitalization activities.  In addition  to
providing  continuation  funding  to  21  sites,  the  Department
initiated 15 additional demonstration sites.

Weed  and Seed sites receive preference in selected training  and
technical assistance and demonstration activities funded  by  the
OJP  and  other Federal agencies such as the Department of  Labor
and   the  Department  of  Housing  and  Urban  Development   Key
interagency efforts include:

      Safe Haven:  This program was initiated in 1992 through  an
interagency   agreement   among  the  Departments   of   Justice,
Education,  and  Housing  and  Urban  Development.   These  funds
supported   the  development  of  implementation  materials   and
provision of training, as well as site support for a coordinator,
and  youth  drug and alcohol prevention services.  The Department
of  Education  also  provided funds which supported  Safe  Summer
alcohol and drug prevention activities at the Safe Havens in  the
Weed and Seed pilot demonstration neighborhoods.

     Step-Up:  This training and technical assistance program was
initiated  in  1993  through an interagency agreement  among  the
Departments of Housing and Urban Development, Labor, and Justice.
The program provides training and technical assistance on how  to
develop   and   implement  a  Step-Up  program   which   provides
employment,   job   training,   support   services   and   career
opportunities to residents of public housing and other low-income
persons.   A  portion of the funds are supporting the development
of training focused on the use of Step-Up as an education and job
development opportunity for probationers and parolees.

      Leadership Employment For Armed Services Personnel  (LEAP):
This  new  training and technical assistance effort  is  a  joint
venture  among  the  Departments of  Labor,  Justice,  Education,
Housing  and  Urban Development, and Health and  Human  Services.
Through  this venture, the National Center for Housing Management
is  preparing  a  training  curriculum  and  providing  technical
assistance  to  the  Weed  and  Seed  sites,  as  well  as  other
communities.    Department   of   Justice   funds   support   the
recruitment,  screening,  training,  and  placement  and  limited
technical  support of ex-military personnel as resident  managers
and  assistant managers in public housing facilities  located  in
Weed and Seed sites and other troubled neighborhoods.

To  encourage communities to implement the Weed and Seed strategy
even  when  funding  is  not available,  the  Department  is  re-
initiating  its  Official  Recognition  process.   This   process
enables  sites  adopting  a  Weed and Seed  strategy  to  receive
limited   technical  assistance,  training,  and  preference   in
applying for certain Federal funding programs.


CONTROLLING THE PROLIFERATION OF DANGEROUS WEAPONS

The  Brady  Handgun  Violence Prevention Act (Brady  Act)  became
effective on February 28, 1994, and it is landmark legislation in
the  Federal Government's anti-crime efforts.  This Act  requires
the establishment of a National Instant Criminal Background Check
System  (NICS)  by  November 30, 1998, provides  for  a  five-day
waiting period for the sale of a handgun, and requires background
checks  of  purchasers.  The FBI is responsible for  establishing
and managing the operation of the NICS.

In  1994, the Civil Division successfully defended the Brady  Act
against   several  constitutional  challenges  that  would   have
invalidated it entirely.  And, in cases in which district  courts
have   invalidated  the  provisions  mandating  that  local   law
enforcement  officials  do background  checks,  the  courts  have
accepted  the Civil Division's arguments to sever the  provision,
upholding the validity of the remainder of the Act.

The  U.S.  Attorneys  continued to prosecute  those  who  violate
Federal  firearms statutes.  Firearms prosecutions now  focus  on
individuals  with long criminal histories or excessively  violent
criminal  behavior, and those who sell firearms as  gun  runners.
During  1994, 4,695 defendants were charged with Federal firearms
violations.   Ninety-five percent of those sentenced  during  the
year  were sent to prison.  The average sentence of incarceration
was 95 months, with 205 defendants sentenced to life or more than
15 years.  The U.S. Attorneys rely on stiff Federal penalties and
the joint efforts of Federal, State, and local law enforcement to
prosecute firearms offenders successfully.

Another effort is modeled on a joint project conducted by the New
York  Police  Department and the Bureau of Alcohol, Tobacco,  and
Firearms  (ATF),  with  BJA funding.   The  project  advises  all
applicants  for  new  or  renewed Federal  firearms  licenses  of
Federal, State, and local licensing and other firearms laws,  the
local gun dealer permit application process, and efforts to track
firearms  deliveries.  During 1994, 135 of the  146  new  license
applications  submitted were withdrawn.  Of the 207  applications
submitted for renewal between August 1993 and July 1994, 140 were
either   abandoned   or  surrendered,  32   were   approved,   22
disapproved, and 13 cases were under investigation.

A  special  Firearms Investigative Task Force works to  identify,
target,  investigate,  and  prosecute individuals  and  dismantle
organizations involved in the unlawful use, sale, or  acquisition
of   firearms.   The  project  is  based  on  a  model   firearms
demonstration  program  developed by the Virginia  Department  of
Criminal  Justice Services, the Virginia State  Police,  and  ATF
with  BJA funding.  During 1994, the Task Force made 211 firearms
arrests and seized 248 firearms.

Finally,  in 1994, Bureau of Justice Statistics (BJS) prepared  a
special   report  entitled,  Firearms  and  Violence:    Selected
Findings  from National Statistical Series.  This report presents
key  findings  relating to crime and the role of  firearms.   For
example, it states that victims of violent crime report  that  in
almost  13  percent of the crimes the offender was armed  with  a
firearm,  and  that  approximately  858,000  armed  attacks  with
firearms occur each year.


ASSISTING STATE AND LOCAL LAW ENFORCEMENT

An effective attack on crime requires the concentrated efforts of
all  law enforcement agencies -- Federal, State, and local.   The
Department  seeks  to  provide  leadership  and  support  to  the
intergovernmental law enforcement community in a number of  ways.
Several of these are described below:

-    The DEA Mobile Enforcement Team (MET) Initiative was created
as  a  support service to help State and local police departments
attack  violent crime and drug trafficking in their  communities.
The   MET's  mission  is  to  cultivate  drug  intelligence   and
investigations  against violent offenders, and  then  share  that
information  with  State and local authorities to  further  their
homicide cases and prosecutions.

-     In addition to the State and local training program at  the
Federal  Law Enforcement Training Center in Glynco, Georgia,  the
Department   provided  direct,  on-site  training  with   various
agencies such as the Pennsylvania Sheriff's Association, the Iowa
State   Jail  School,  the  Conference  of  National  Black   Law
Enforcement  Executives,  and the Ohio Bailiffs  Conference.   In
1994  there  were 39 specific training programs focused  in  such
areas  as  conducting  physical security  surveys,  security  and
safety precautions, and planning for high threat trials.

-     In July, INS established its Law Enforcement Support Center
in South Burlington, Vermont, and began a 6-month pilot test with
police  in  Phoenix  and Maricopa County,  Arizona,  which  gives
automated  access to INS and other data bases to  provide  timely
information on aliens arrested as aggravated felons.  Since 1991,
INS  has  been  entering warrants of deportation into  the  FBI's
National  Crime  Information Center (NCIC)  to  alert  other  law
enforcement agencies to wanted criminal aliens.  During 1994, INS
took custody of 298 criminal aliens through NCIC contacts.

-    On April 20, 1994, the Attorney General and the Secretary of
the Treasury signed a Memorandum of Understanding establishing  a
Federal Law Enforcement Wireless Users Group that is charged with
developing  a  wireless telecommunications  network  for  use  by
Federal,  State,  and  local  law  enforcement  officials.    The
agreement  implements one of the recommendations of the  National
Performance  Review  and  will give law enforcement  officials  a
powerful  new  weapon  in  the war against  crime,  while  saving
taxpayer dollars.

-     A  new  FBI special emergency response team was  formed  to
address   hostage   taking,  barricaded   situations,   terrorist
activities,  and  other  incidents of  a  critical  nature  which
require a diverse group of law enforcement resources.  This  unit
may  deploy in support of the U.S. Department of State when  U.S.
citizens are kidnapped in overseas locations, as well as  provide
assistance and support to domestic police agencies upon request.

-     In 1994, approximately 19,075 students received training at
the   FBI  Academy.   This  included  1,027  local,  State,   and
international law enforcement officers who graduated from the FBI
National Academy Program.  Of these, 89 were international police
officials representing 46 countries.  More than 5,900 other local
officers  received  training  at  the  Academy  in  a  number  of
executive, forensic, and other specialized courses.

-     The  Criminal Justice Information Services Division  (CJIS)
processed  8,656,373  fingerprint cards and 4,431,039  pieces  of
correspondence  from  the  70,418 users  of  its  services.   The
processing   of   fingerprint   cards   resulted   in   3,317,566
identifications being made against existing records.

-    The FBI continued to provide training on hate crimes for law
enforcement   personnel.   A  total  of  3,234  law   enforcement
personnel   representing  1,048  agencies  have   attended   this
training.

-     The  U.S.  Attorneys promoted coordination and  cooperation
among  Federal, State, and local law enforcement through the  Law
Enforcement Coordinating Committees (LECCs) they have established
in  each  judicial  district.  The  LECC  program  has  become  a
permanent  cornerstone of joint Federal,  State,  and  local  law
enforcement  efforts.  The essence of the LECCs is  teamwork--law
enforcement   from   all   levels  training   together,   sharing
information,   and   working  together   on   task   forces   and
subcommittees.  The LECCs provide an organizational mechanism  by
which  Federal law enforcement can reach out to State  and  local
law  enforcement to establish a vital link in the  fight  against
crime.  Several model programs have been created by United States
Attorneys'  offices  to address current community  concerns.   In
addition,  LECCs have sponsored training seminars on such  topics
as  homicide, firearms, armed career criminals, street and prison
gangs,  bomb threats, hate crimes, serial crimes, sexual assault,
and terrorism.


PROTECTING AMERICA'S CHILDREN

A  major  goal  of  the Department is to attack  crime  and  drug
addiction at their roots by giving every child a strong start  in
life.   In  1994, the Department continued to support efforts  to
develop  and test effective intervention strategies and community
support programs that address the issues confronting our youth.

     Anti-Violence Initiatives

The  Department  continues  to support  efforts  to  learn  which
prevention  and  intervention  programs  are  most  effective  at
solving  the  problems of violence confronting  America's  youth.
Several  major  Departmental initiatives in  1994  are  described
below:

-     The  Office of Juvenile Justice and Delinquency  Prevention
(OJJDP)   developed  a  comprehensive  strategy   that   is   the
centerpiece of the Department's response to youth violence and is
designed  for  implementation at the State or  local  level.   It
consists  of  prevention and intervention measures,  including  a
range  of graduated sanctions for juvenile offenders.  Four sites
currently are implementing demonstrations of the strategy.

-     In  1994, OJJDP worked to implement a new grant program  to
reduce the risk factors for delinquency, such as child abuse  and
family  disintegration, while strengthening  protective  factors,
such as clear standards for law-abiding behavior and the presence
of positive adult role models.

-     Another  OJJDP program brought together the Yale University
Child  Study  Center  and the New Haven Police  Department  in  a
unique collaboration to prevent young people who witness violence
or  who  have  been  victims of violence  from  identifying  with
violent role models and viewing violence as an appropriate way to
solve  problems.  The program trains all police recruits  in  the
principles of child and adolescent development, provides clinical
fellowships  for  veteran  officers who  have  field  supervisory
roles,  and  offers a 24-hour consultation service  for  officers
responding  to calls in which children are either the victims  or
witnesses  of violence.  The program also is developing  training
and   technical  assistance  materials  to  assist  jurisdictions
interested in adopting and implementing this model approach.

-     During  1994,  CRS implemented a nationwide  initiative  to
assist  communities  to prevent racial and  ethnic  violence  and
conflict  in  schools.   One  of the  main  techniques  that  CRS
promoted  was  the  incorporation of a  conflict  management  and
resolution skills curriculum in school districts.  Through  these
training   programs,  students  learned  how  to  resolve   their
disagreements  without violence.  CRS conciliators  provided  the
training  to  State  agency staff, local  school  administrators,
teachers, and counselors, who then train the students.

-     CRS  spearheaded the renewal of an effort  to  improve  the
relationship  between police and urban youth.   Two  Police-Youth
Task  Forces  were  convened  in Massachusetts  and  Connecticut.
Chiefs  of  police, educators, youth advocates and youth  leaders
were  brought together to discuss police and urban youth  issues.
The  participants examined policies, procedures, and programs  to
develop  cooperation and partnerships built on trust and respect.
As  a  result of the New England task forces, a national  police-
youth initiative based on the New England models has been set  in
motion through the cooperative efforts with BJA, OJJDP, and CRS.

     Ongoing Prevention and Drug Demand Reduction Efforts

The  Department recognizes that strong prevention  and  awareness
education  efforts are key factors in deterring  America's  youth
from  relying  on  crime  as  a way  of  life.   Several  of  the
Departments efforts in this area are described below:

-     BJA  and OJJDP supported a nationwide effort by the Boys  &
Girls  Clubs of America to establish or expand Boys & Girls Clubs
for   children  from  high  crime  neighborhoods.    Also   being
implemented is the Cities in Schools model of dropout prevention,
which  is  jointly supported by OJJDP, the Departments of  Labor,
Health and Human Services, Commerce, and the Army.  Both programs
are  geared  to assist high-risk youth to make healthy  lifestyle
choices.    A   further   effort  is  a  BJA/NIJ/private   sector
partnership that funds Children At Risk, a demonstration  program
designed to reduce and control drug use and drug-related crime in
target  neighborhoods by providing alternative opportunities  for
young people.

-     The  prevention of delinquency by Native American youth  is
targeted  by  OJJDP's support of the Native American  Alternative
Community-Based  Program.   The program develops  community-based
alternative  programs  for  Native  American  youths  adjudicated
delinquent,  as  well  as re-entry programs for  Native  American
youth  returning to the community from institutional  placements.
The   National  Indian  Justice  Center  provides  training   and
technical  assistance  to the four tribes  participating  in  the
project  --  the  Red Lake Band of Chippewa Indians,  the  Navajo
Nation, the Gila River Indian Community, and the Pueblo of Jemez.

The  harm  caused by the use of and trafficking in illegal  drugs
continues  to be the target of many of the Department's programs.
While law enforcement acts as a deterrent to drug abuse and  drug
trafficking, the long-term answer to the drug problem goes beyond
traditional  law enforcement actions.  To reduce the  demand  for
illegal  drugs,  strong  education  and  prevention  efforts  are
needed.  For example:

-     DEA  has  a  Demand Reduction Program with six  priorities.
These include:

     -    Anti-Legalization Education
     -    Law Enforcement Training
      -     National  Youth  Programs such as  DARE  (Drug  Abuse
Resistance Education) and Mentorships
     -    Drugs in the Workplace Training Programs
     -    Sports Drug Awareness Training and Prevention
     -    Coalitions with Communities Across America.

-     U.S.  Attorneys  throughout the country  are  in  a  unique
position  to  initiate  demand  reduction  activities.   Examples
include  "Successful Partnerships-The Team Approach" in  Southern
California which helps students stay in school, attain goals  and
stay  away from drugs and crime, and "Syracuse-Onondaga  Business
Against Drugs (SO BAD)," a workplace/community coalition-building
program  in Northern New York which aims to send a clear  message
on the benefits of a drug-free lifestyle.

-     A  National  Institute of Justice (NIJ) evaluation  of  the
Maricopa County (Arizona) Demand Reduction Program found that the
"Do  Drugs,  Do Time" approach achieved its principal  objectives
during  its  first 24 months of operation.  It created community-
wide  awareness of the severity of the drug problem  and  of  the
need  to  hold drug users accountable.  The program  resulted  in
increased   prosecution  and  participation  in  drug   treatment
programs.

-     The  National Citizens' Crime Prevention Campaign continued
to  develop  and  produce a full range of  crime  prevention  and
public  service announcements and materials.  The National  Crime
Prevention  Council,  which administers  the  campaign,  provided
technical assistance and training on topics ranging from planning
and   managing  prevention  programs  to  national  drug   demand
reduction workshops for police chiefs and sheriffs.

-     The  FBI Drug Demand Reduction Program continued to support
such  programs  as the Boys and Girls Clubs of America,  the  Boy
Scouts  and  Explorers  Program,  Adopt-A-School  Programs,   the
National  Family Partnership, the Martin Luther King,  Jr.  Youth
Against  Violence, and National Night Out.  During the  month  of
October,  each FBI field office recognized a citizen/program  for
outstanding  drug  prevention work with the Director's  Community
Leadership Award.

     Children as Victims

Unfortunately,  our efforts to shield children from  exposure  to
the  law enforcement process are not always successful.  In cases
where  children  must  be  involved, the Department  attempts  to
develop  programs  that will deal with them in  a  sensitive  and
effective manner.

The sexual abuse of children continues to be a horrifying reality
of  our  Nation and the Department's law enforcement  efforts  to
target  those responsible continue unabated.  In 1994, the Office
of  Victims  of  Crime (OVC) provided funding authorized  by  the
Children's  Justice  Act  to  11 Indian  tribes  to  improve  the
investigation  and  prosecution of child sexual  abuse  cases  in
Native American communities.  Grant funds supported training  for
advocates  to  represent  children in tribal  court,  efforts  to
revise  tribal codes to address crimes against children, and  the
development  of  procedures and training  for  multi-disciplinary
teams.

The  dramatic  increase  in the number  of  computers  and  their
ability  to  transmit pictures throughout the world have  led  to
their   increased  use  in  child  pornography.   In  1994,   the
Department tried the first Federal case involving the importation
of  child pornography by computer and obtained a sentence  of  72
months  of imprisonment for the defendant.  This case is expected
to  establish new case law in the areas of computer crime, search
and seizure, and application of the sentencing guidelines.

In a further effort to eliminate the use of computers to transmit
child  pornography,  FBI  technicians  and  Department  attorneys
joined forces to develop a training course for investigators  who
pursue cases where child pornography is transmitted by Electronic
Bulletin  Board Systems.  The FBI is conducting further  research
to  develop  better  tools  to  analyze  this  type  of  computer
evidence.

     Special Training and Programs

Once a child has been the victim of sexual abuse it is imperative
that  the law enforcement community develop mechanisms that  will
ensure  that  the  child  is not further  victimized  during  the
investigation  and prosecution of the case.   The  OVC  works  to
assist  States, U.S. Attorneys, Federal law enforcement agencies,
and Native American tribes in training personnel who handle cases
involving  child  victims.   For example,  OVC  helped  the  U.S.
Attorneys  for  the  Northern and Eastern Districts  of  Oklahoma
convene  a  conference  of  Federal and tribal  prosecutors,  law
enforcement  officers,  and  victim  advocates.   The  conference
resulted   in   17  tribal  leaders  signing  a   Memorandum   of
Understanding with the U.S. Attorneys for handling  child  victim
cases  that will result in a faster response and better  services
for children.

The  OVC  and  OJJDP  jointly provided  funding  to  develop  and
implement a protocol that will add a victim service component  to
multi-jurisdictional task forces working with child  exploitation
and   child  pornography  cases.   The  OVC  also  supported  the
attendance of 50 Federal criminal justice personnel at the Dallas
Crimes  Against  Children Conference.  Child abuse  investigators
from the FBI, the Bureau of Indian Affairs, and the National Park
Service  were  trained in improved techniques for handling  child
abuse investigations.

The  NIJ  also  is evaluating a BJA-funded program that  provided
grants  to States to promote the use of closed-circuit television
and videotaped testimony in child sexual abuse trials.  The study
will  assess  the  usefulness of these technologies  in  reducing
trauma to child victims when testifying.

The  OJJDP  supports the National Network of Children's  Advocacy
Centers through the development and implementation of coordinated
training, technical assistance, and information sharing programs.
The  Network  links  local Children's Advocacy  Center  programs,
which    provide   multi-disciplinary   coordination    in    the
investigation and prosecution of child abuse cases, limited  seed
money, training, and technical assistance.  Participants in  this
effort  include  the  National  Children's  Advocacy  Center   in
Huntsville, Alabama, the University of Oklahoma's Justice  Center
in   Tulsa,  and  the  National  Children's  Advocacy  Center  in
Honolulu, Hawaii.

Finally,  the Department's effort to protect children extends  to
the  investigation and prosecution of parents who willfully  fail
to  pay  support obligations for a child living in another State.
The  U.S.  Attorneys,  through their  enforcement  of  the  Child
Support  Recovery Act of 1992, have undertaken a  massive  effort
that   includes  developing  effective  referral  and   screening
procedures  in  coordination with State and local  child  support
agencies.   Currently there are hundreds of  cases  under  active
investigation.
CHAPTER III
SECURING AMERICA'S BORDERS

o      Goal:   Provide  the  maximum  possible  protection  along
America's borders.

In  1994,  immigration  again was a major issue  confronting  the
country, as a series of emergency situations arose.  Events  such
as  the heavy migration of Cubans and Haitians brought into clear
focus  the desperate nature of many foreign nationals who seek  a
new  start  in this country.  Moreover, the continuing influx  of
individuals from Latin American countries through land  ports-of-
entry  and  of  Asians smuggled in via sea vessels provided  more
evidence of the strain on our existing enforcement capacities.

Recognizing that the country must develop a long-term solution to
immigration  problems, the Attorney General and the  Commissioner
of  the Immigration and Naturalization Service (INS) announced  a
comprehensive  Administration plan in February  1994.   The  plan
addressed five major initiatives:  strengthening border  control,
removing criminal aliens, reforming the asylum process, improving
employer   sanctions,   and  promoting   naturalization.    These
initiatives  called for increases in staffing and equipment,  new
technologies, streamlined procedures, and upgraded infrastructure
to rebuild and revitalize the INS.


BORDER ENFORCEMENT

In  1994, the INS expanded its new and aggressive border  control
strategy  of  "prevention through deterrence."  This approach  is
based  on  a high visibility deployment of agents in areas  where
most  illegal crossings are known to occur.  The strategy  showed
success throughout the year in El Paso, Texas, where it is  known
as  Operation  Hold  the Line.  Apprehensions of  illegal  aliens
there fell by 72 percent compared to 1993 totals.  In fact, there
were  fewer  apprehensions in El Paso in 1994 than  in  any  year
since 1971.
Building  on  this  success,  the INS  prepared  to  implement  a
modified  version  of  the strategy along  the  vastly  different
California   border.   This  involved  completing   the   14-mile
reinforced border fence, installation of high intensity lighting,
and other security improvements.  In September 1994, the Attorney
General   announced  a  border  control  plan  called   Operation
Gatekeeper,  in  the  border's  busiest  sector  in  San   Diego,
California.

In  direct  support  of  both  the San  Diego  and  the  El  Paso
initiatives,  the INS used a significant budget enhancement  last
year to hire 350 new Border Patrol personnel.  Consequently, year-
end  agent  strength increased by nearly 30 percent in San  Diego
(from  997 to 1,290);  in El Paso, the number of agents increased
from  608  to  643.  In addition, the Border Patrol received  new
vehicles,  advanced radio equipment, and more  automated  support
systems.   All of these upgrades are critical components  of  the
heightened focus on deterring entry.

The  new  strategy  of preventing people from entering  illegally
rather than of just apprehending them after they have crossed the
border has shown promising results.  For example, although  total
apprehensions by the Border Patrol exceeded 1,030,000 nationwide,
they  fell  by  almost 20 percent (to less than 980,000)  on  the
southern  border.  Because there are many reasons why the  number
of apprehensions may fluctuate, INS is evaluating data from other
indicators  to  identify  its most effective  border  enforcement
tactics.

Important new technologies were introduced or expanded during the
past  year  to  identify patterns and help control  the  flow  of
illegal  immigration.  These technologies included INS' Automated
Fingerprint Identification System, which is designed  to  counter
the  threat  from  criminal aliens.  Other  evolving  operational
support systems include the following:

      -     The  ENFORCE  case tracking system, being  tested  in
McAllen,   Texas,  and  San  Diego,  California,  automates   the
processing of apprehended aliens.  Preliminary results show  time
savings  of  33  to 80 percent, depending on the  type  of  case,
allowing agents to spend more time on the border and less time on
paperwork.

      -    The Computer-Aided Detection and Reporting Enhancement
(CADRE)  system, developed in Swanton and Houlton,  Vermont,  and
installed  in  Marfa, Texas, and San Diego, California,  improves
the  effectiveness of remote sensors and electronic  surveillance
along the border.


EMPLOYER SANCTIONS AND DOCUMENT FRAUD

Both  the Executive Office for Immigration Review (EOIR) and  the
INS played important roles last year in maintaining an aggressive
Department   stance   against   illegal   employment   practices.
Identifying and penalizing fraudulent activity of this nature  is
an  important  enforcement  activity that  also  protects  normal
marketplace  dynamics.  As an indication of its efforts  in  this
area,  INS'  investigations  of  workplace  violations  in   1994
resulted in more than $4.3 million in employer fines.  Similarly,
EOIR received 218 complaint filings in related matters and issued
over 800 administrative orders.

At  the  same  time,  INS continued to make improvements  in  the
employment  verification process, for example, by reducing  (from
29  to  16)  the  number  of acceptable  documents  showing  work
eligibility.   In  preparation for the planned expansion  of  the
Telephone   Verification  System  pilot  program  in  1995,   INS
identified an additional 200 employers willing to participate.

Sanctions  enforcement also benefited from  the  installation  of
additional computer equipment in INS' District Offices  and  from
the  continued  emphasis  on dismantling  large-scale  fraudulent
document  manufacturers  and vendors.  Agents  issued  more  than
2,000  fine notices for civil document fraud in 1994.   One  case
resulted  in  a record fine of $970,000 against an  employer  who
falsified  more  than  400  Employment  Eligibility  Verification
forms.


ANTI-SMUGGLING INITIATIVES

Unscrupulous  exploitation of would-be  immigrants  by  smugglers
continued to be a major enforcement problem in 1994.  Agents from
INS,  working  as  a task force with personnel  from  the  Secret
Service,  the Customs Service, and the Internal Revenue  Service,
successfully concluded the undercover investigation  of  a  large
international alien smuggling ring.  Eleven criminal conspirators
from  the  United States and Panama, as well as 180 aliens,  were
arrested.   It was estimated that more than 900 aliens  had  paid
over  $10,000  each  to be smuggled out of Asia  through  Central
America  and Europe to the United States.  In addition  to  alien
smuggling,  the  conspirators were  subject  to  prosecution  for
bribery, document fraud, and money laundering.

In an attempt to undercut smugglers' recruitment efforts in their
homeland, INS repatriated to the People's Republic of China (PRC)
282  persons whom smugglers had transported to the United  States
in  the  past.  These repatriations resulted in part from  formal
talks  in  Beijing  between United States and  PRC  officials  in
January and April of last year.

There  were  other  examples in 1994 of  how  different  agencies
collaborated  in  curbing the smuggling  problem.   One  involved
"Operation  Card  Party" --  a multi-year joint investigation  by
the Department's Office of Inspector General (OIG) and Treasury's
Customs Service.  This enforcement action identified Turkish  and
Chinese  alien  smuggling rings and a Chinese  textile  smuggling
operation.   A  sting operation resulted in  30  arrests  and  19
guilty  pleas, and also prevented the importation of contaminated
food  into  the  U.S.  from  China.   In  another  example,   the
Department's  Civil Division successfully defended  a  number  of
decisions by the Board of Immigration Appeals that denied  asylum
to    smuggled   Chinese   aliens,   directly   supporting    the
Administration's response to this rapidly growing problem.


INSPECTIONS

Working closely with other Federal agencies, INS pursued a number
of  initiatives during 1994 to expedite the flow of legal traffic
through  U.S. ports-of-entry, and to deny admission to those  not
qualified  to enter.  Expanded use of advanced technology  was  a
key  factor  in  helping INS address these obligations  and  move
towards a more efficient inspections process in the future.

One of INS's most promising initiatives in this area continues to
be   its   Passenger   Accelerated  Service   System   (INSPASS).
Introduced  in  May  1993, INSPASS uses biometric  technology  to
speed  the  inspection of frequent travelers who  enroll  in  the
system  and  receive a special card.  With a rapid  rise  in  the
number  of participating individuals, there were more than 53,000
INSPASS-related inspections in 1994.  The system was cited by the
Attorney  General  as  a model program during  National  Customer
Service Day commemorations last year.

Another  initiative  that is helping set  a  higher  standard  of
service  to  the traveling public is the Dedicated Commuter  Lane
(DCL) project at Blaine, Washington.  Issuance of a special decal
allows  expedited  entry by frequent border crossers.   With  the
experimental  project continuing to receive good  results  during
1994, INS officials completed negotiations with U.S. Customs  and
the  Canadian  Government to open DCLs at additional  sites  next
year.

The  second  major  facet  of  INS's  inspections  responsibility
requires a sharpened focus on excluding those ineligible to enter
the  country.  In support of this mission, the Interagency Border
Inspection  System  (IBIS) is critical.  This  automated  lookout
system  links  the  data  bases of several  different  inspection
agencies  and  was  expanded last year to include  15  additional
airports,  16  land  border ports, and two  seaports.   This  has
further  strengthened the country's security against  terrorists,
drug  traffickers,  and criminals.  The IBIS  also  supports  the
Advance   Passenger   Information  System  (APIS)   that   allows
inspectors  to conduct computer queries on U.S.-bound  passengers
while  their flight is still en route.  Approximately 40  percent
of all air arrivals participated in the APIS program in 1994.


DETENTION AND CRIMINAL ALIENS

Maintaining an adequate detention capability is important to INS'
broader  enforcement  responsibility to  confine  and  eventually
remove  certain  deportable  aliens.   Considerations  of  public
safety  and  security  are  paramount  in  this  area,  and   INS
continually  seeks the fastest resolution of a  detainee's  legal
status.   The capacity problem was relieved somewhat during  1994
with  completion  of  the  new contract facility  for  excludable
aliens in New Jersey, and the joint INS/BOP facility for criminal
aliens  in  Arizona.  In addition, INS completed construction  of
additional dormitory space at several Service Processing  Centers
(SPC).    Moreover,  the  SPC  in  San  Pedro,  California,   was
accredited  by  the  American  Correctional  Association   (ACA),
increasing  to  six  the number of ACA-accredited  INS  detention
centers.

The  Department gave special attention in 1994 to maintaining the
centralized  detention  of  criminal  aliens  whenever  possible,
thereby  facilitating  the conduct of expulsion  hearings.   This
approach seemed to pay off handsomely for INS as it registered  a
24-percent increase in criminal alien expulsions from  the  three
facilities   where   most  of  these  individuals   are   housed.
Altogether  for  1994,  the INS deported almost  22,600  criminal
aliens, approximately 12 percent more than the previous year.

Contributing   to  this  success  has  been  the  close   working
relationship  between INS, EOIR, and BOP.  Such  cooperation  was
instrumental  in  improving  the Institutional  Hearing  Program,
which  directly supports expeditious deportation proceedings  for
sentenced  prisoners.   In addition, BOP continued to shoulder  a
large proportion of the detainee burden.  For example, at the end
of  last year, the BOP had in confinement 1,700 INS detainees, of
whom 960 were Cuban detainees.

The Department also took steps last year to relieve the financial
burden  on  States  that  have  a high  criminal  alien  detainee
population.   Specifically, the Office of Justice Programs  moved
to implement the State Criminal Alien Assistance Program (SCAAP),
under  which  nearly $43 million is being provided to  the  seven
States  most  affected (California, New York, Illinois,  Arizona,
Florida, New Jersey, and Texas).  According to an Urban Institute
study, these States were found to have the highest populations of
illegal  criminal aliens in their prison systems, comprising,  in
total,  over  80  percent  of all such detainees  in  the  entire
country.   Other States will be eligible to apply for funding  in
1995.


REFORM OF ASYLUM POLICY AND PROCEDURE

Department  organizations took a number of steps during  1994  to
fulfill  the President's pledge to "reform this country's  asylum
processes."   Following  an  intensive  internal  review  of  the
program,  INS integrated and greatly streamlined procedures  that
are built around the following key features:

-     granting  of  meritorious claims within 60  days,  and  the
referral of non-granted claims directly to immigration judges;

-     withholding work authorizations until asylum is granted  or
until a claim remains pending for 180 days.  (This is intended as
a deterrent to frivolous or fraudulent claims.)

To  help  ensure  that these new procedures and timeframes  work,
both  INS  and  EOIR  completed recruiting, training,  and  other
reforms.   For  example,  INS' Asylum  Officer  Corps  more  than
doubled;  EOIR added 63 new Immigration Judges; and the Board  of
Immigration  Appeals  was expanded from five  to  nine  permanent
members.   In  addition,  EOIR adapted its  automated  system  to
allow  for the more efficient and coordinated scheduling of cases
and for the monitoring of timeframes.  All of these steps support
the  overall  goal  of  expediting case processing,  while  still
ensuring due process protection.

Aside  from these procedural reforms and the associated  workload
increases, asylum officers made significant productivity gains in
1994, completing more than 54,000 cases, or about 46 percent more
than in 1993.


IMPROVING THE HEARINGS PROCESS

Coordination  between  EOIR  and INS led  to  continued  progress
during  1994 in the design and application of mutually-beneficial
automated  systems.   For  example,  the  Interactive  Scheduling
System  (ISS), previously known as the Order to Show Cause  Pilot
Project,  was  created  in response to a legislative  requirement
that aliens receive personal service of their hearing notices, if
possible.   This  system  gives the  INS  access  to  EOIR's  own
automated scheduling information, thereby enabling the  alien  to
be given the location, date, and time of hearing at the time they
are charged.

The  ISS  system  is  currently operating in six  cities  and  is
scheduled  to  be  fully implemented in 1995.   Streamlining  the
notification  process  in  this manner has  increased  appearance
rates,  decreased the average time from issuance of the  charging
document  until the first hearing, and eliminated duplication  of
effort.  For example, for aliens processed through JFK Airport in
New York for exclusion proceedings, the appearance rate increased
from approximately 25 percent to 75 percent.  For the aliens  who
failed to appear, the judges were able to issue decisions  in  95
percent of the cases as opposed to 45 percent prior to the  pilot
project.

The  EOIR  has also been participating with the INS  on  a  Video
Teleconferencing (VTC) Pilot Project.  The purpose of  the  pilot
is  to  assess the feasibility of current VTC technology and  its
application to the court.  If proven viable, VTC could be used in
EOIR's  Institutional Hearing Program, for people seeking asylum,
to  respond to sudden shifts in caseload and, possibly, for  oral
arguments before the Board of Immigration Appeals.


COORDINATION  WITH  OTHER  FEDERAL  AGENCIES  IN  RESPONDING   TO
IMMIGRATION EMERGENCIES

Due  to  the  volatility and overlap of many immigration  issues,
there   is   a   special  need  to  maintain  strong  interagency
cooperation  while complex problems are addressed.  As  discussed
above,  the  INS works closely with both Justice and  non-Justice
agencies  as it carries out its enforcement obligations regarding
drug  interdictions,  port inspections, employer  sanctions,  and
criminal alien detention.

On  occasion,  situations  of  historic  proportions  arise  that
severely strain the capabilities of all involved parties.  During
1994,  two such situations developed in the Caribbean area:   the
implementation of a new policy toward Haiti in May and the sudden
mass   migration   of   Cuban  rafters   in   August.    Although
extraordinarily  difficult,  these  emergencies  exemplified  the
Department's  commitment to working with other  Federal  agencies
and local governments.

When  the  Administration's modified Haitian  policy  opened  new
opportunities  for  its  interdicted boat  people  to  apply  for
refugee status, the INS worked closely with the National Security
Council,  the  Departments of State and Defense, the  U.S.  Coast
Guard, and CRS to implement the new migrant procedures.  Over 170
INS  asylum  officers  were recruited  and  trained  to  staff  a
processing Center located aboard a U.S. Navy hospital ship,  and,
subsequently,  at  a  safe haven camp at  Guantanamo  Bay,  Cuba.
These   actions,  along  with  CRS'  on-site  presence  at   both
locations,  facilitated  the pursuit  of  complex  and  sensitive
diplomatic   solutions  to  Haiti's  problems   while   providing
necessary safeguards and humane assistance to genuine refugees.

Interagency  coordination flourished again later  in  the  Summer
when  Cuban  rafters set off for Florida.  The CRS, by increasing
its on-site staff to more than 65 persons, was again instrumental
in  helping  reduce tension at the Guantanamo base facility.   In
addition to their conciliation work and their efforts to  reunify
families,   these   personnel  also  organized  educational   and
recreational programs for children, and provided special care for
unaccompanied Cuban and Haitian children.  The CRS also  provided
air transportation for donated goods to Guantanamo as well as for
refugees   approved  for  resettlement  to  the  United   States.
Resettlement   services   included  sponsorship   placement   and
community follow-up for individuals paroled into this country for
medical or other humanitarian reasons.

In  response  to  heightened community tension in  South  Florida
exacerbated by the Cuban and Haitian migrant influx, CRS was  on-
site for various demonstrations and marches in the Miami area  to
provide  conflict prevention and conciliation services.  The  CRS
also   served  as  a  liaison  between  the  Cuban  and   Haitian
communities  and  the Department to assist in the  resolution  of
tension-causing problems.
CHAPTER IV
MAKING THE LEGAL SYSTEM WORK FOR ALL AMERICANS

Goal:  Work to insure that Americans receive equal access to  the
legal and law enforcement system.

In  addition  to  helping  combat  serious  violent  crimes,  the
Department has an obligation to investigate criminal activity  in
other  areas  which,  if  allowed to  prosper,  would  erode  the
public's  trust in the fairness of its justice system.  Enforcing
with   vigor  the  civil  rights  laws  of  the  United   States,
safeguarding the public lands and natural resources  of  America,
and  protecting  free and open competition through  the  Nation's
antitrust  laws, are significant endeavors of the  Department  of
Justice.


GUARANTEEING THE CIVIL RIGHTS OF AMERICANS

During  this  past  year, the Department witnessed  a  number  of
emotionally   charged,  highly-publicized  civil   rights   cases
focusing  on  such  diverse issues as the  right  to  provide  or
receive  reproductive health services; the  right  of  reasonable
access to public accommodations, including the right to be served
in a restaurant; and the prosecution of hate crimes.  These cases
illustrate  the need for strong and vigilant enforcement  of  the
Nation's  Federal  civil rights laws.  A range  of  prosecutorial
successes  in 1994 evidences the commitment of the Department  to
this goal.

     Criminal and Civil Rights Violations

In a year of unprecedented accomplishment, the Department filed a
record  number of criminal civil rights cases (76) and charged  a
record  number  of  defendants  (139).   This  total  included  a
precedent  setting number of defendants being charged  in  racial
violence  cases, and a 100-percent success rate was  achieved  on
all   racial  violence  prosecutions.   Guilty  pleas   from   79
defendants,  coupled with 23 trial convictions,  resulted  in  an
overall success rate of 90.2 percent.

     Freedom of Access to Clinic Entrances Act

In  an  effort  to stem the tide of verbal and physical  violence
inflicted upon persons exercising their reproductive rights,  the
Civil  Rights  Division vigorously pursued violations  under  the
recently  enacted  Freedom of Access to Clinic Entrances  Act  of
1994  (FACE).   The Act, which was signed into law  by  President
Clinton  on May 26, 1994, makes it a crime to use force,  threats
of  force  or  physical  obstruction  to  injure,  intimidate  or
interfere   with   individuals  because  they  use   or   provide
reproductive health services.  The Civil Rights Division, sharing
joint  enforcement  authority with  the  Criminal  Division,  has
already  charged 13 defendants in three cases.  In addition,  the
Civil   Division   has   successfully  defended   a   number   of
constitutional  challenges  in  district  courts  by  anti-choice
organizations and activists to the FACE Act.

In   a  well-publicized  case,  the  Civil  Rights  Division,  in
conjunction with the local U.S. Attorney, obtained an  indictment
against  defendant  Paul  Hill for  the  brutal  execution  of  a
physician  and  his escort, and the attempted  execution  of  the
escort's wife, in front of a reproductive health services  clinic
in  Pensacola, Florida.  Examination of computer evidence by  the
FBI Laboratory was instrumental in the successful prosecution and
conviction of Hill, one of the first under the FACE Act.

In  response  to the shooting, the USMS Deputies began  providing
round-the-clock  security  at  24  abortion  clinics.    Personal
protection  details were also provided for a number of physicians
who  practice  at abortion clinics around the nation.   The  Task
Force  on  Violence Against Abortion Providers,  which  comprises
Department of Justice attorneys, representatives from  the  USMS,
the  FBI, and the Bureau of Alcohol, Tobacco, and Firearms (ATF),
is continuing to monitor the situation.

In addition, the Department filed its first FACE action for civil
damages  and injunction against a man who was harassing a  doctor
who worked at an Ohio clinic.

     Attacking Hate Crime

The Department redoubled its efforts to prosecute hate crimes, an
insidious  violation of civil rights.  For example, a cooperative
investigation  between  the  FBI,  the  ATF,  the  Tacoma  Police
Department,  and  Salinas,  California  authorities  led  to  the
arrests and convictions of multiple subjects involved in the pipe
bombing  of  the  NAACP  headquarters in Tacoma,  Washington.   A
similar  joint  investigative matter with ATF and the  Sacramento
Police  Department  resulted  in the  conviction  of  a  juvenile
responsible  for  several racially and ethnically-motivated  fire
bombings  in  the Sacramento, California, area.  Another  success
included the convictions and lengthy sentences of several Ku Klux
Klan members in South Bend, Indiana, for their racially-motivated
assaults on an African-American couple inside their residence.

     Public Accommodations Enforcement

A  major  success in guaranteeing the rights of every citizen  to
public  accommodations  involved a comprehensive  consent  decree
with the Denny's Restaurant chain in which two classes of private
plaintiffs  were  awarded  a  monetary  settlement  totaling  $46
million.   Injunctive relief included: the retention of  a  civil
rights monitor to assure compliance with the decree; an education
and   training   program   for   current   and   new   employees;
implementation of a testing program to monitor the  practices  of
the  company and franchised-owned restaurants during the term  of
the  decree;  and implementation of an advertising program  which
will  feature  African-Americans  and  members  of  other  racial
minority  groups  as customers and employees  to  convey  to  the
public that all potential customers, regardless of their race  or
color, are welcome at Denny's.

     Voting Rights

After  working  closely with Congress to secure  passage  of  the
National Voter Registration Act of 1993, known popularly  as  the
"Motor Voter Act," the Department used investigative and outreach
techniques  to  prepare States for their responsibilities  as  of
January  1,  1995  for registering voters by  mail,  and  through
driver licensing and other State agency offices.

In  other  voting rights activity, the Department initiated  more
than  twice  as  many voting rights lawsuits as in the  preceding
year,   including  litigative  efforts  to  defend  Congressional
redistricting plans, drawn to comply with the Voting Rights  Act,
in  Florida, Georgia, Louisiana, North Carolina, and  Texas  from
challenges inspired by the Supreme Court's 1993 decision in  Shaw
v.   Reno,   that   they   constitute  unconstitutional   "racial
gerrymanders."   Nineteen of the total of 27  new  lawsuits,  and
most  of  the  55  objections interposed during  the  year  under
Section  5  of the Voting Rights Act, attacked electoral  systems
and  redistricting plans that deny to minorities  an  opportunity
fairly to elect candidates of their choice.

The  Department  took  additional  steps  to  ensure  fair  voter
participation  by  obtaining consent decrees in  two  New  Mexico
counties imposing detailed minority language election-information
programs  to  enable  Native Americans to become  full  electoral
participants.

     Employment and Fair Housing Rights

Monetary  sanctions  can help to deter employers  from  violating
U.S.  employment  laws,  and  the Department  used  this  vehicle
successfully in 1994.  In excess of $12 million in back  pay  and
pension   relief   was   obtained  for  victims   of   employment
discrimination in New Jersey under Title VII of the Civil  Rights
Act  of 1964, $7.1 million of which will be divided among a group
of  black  and female candidates who were denied law  enforcement
positions  because of discriminatory written and physical-ability
examinations that were administered by the New Jersey  Department
of Civil Service.  In other cases:

-     $2.2 million in back pay and other relief was obtained  for
approximately  300  Filipino teachers who had been  discriminated
against  by the Northern Mariana Island Public School  System  on
the basis of national origin;

-     The  Delaware  Department of Corrections  agreed  to  a  $3
million settlement that will provide relief to approximately  130
women  who  were  denied  hire  and  promotion  opportunities  as
corrections officers by the State.

In  the  area of immigration-related unfair employment practices,
the  Civil  Rights  Division's Office of  Special  Counsel  (OSC)
obtained   an   important   ruling  that   "all   work-authorized
individuals"  are  protected  under the  Immigration  Reform  and
Control  Act  (IRCA) "document abuse" provisions  as  well  as  a
ruling  from  the  11th  Circuit  upholding  the  power   of   an
Administrative  Law  Judge  to  issue  subpoenas  (on   its   own
initiative  or at the request of OSC) prior to the  filing  of  a
complaint.   These  rulings  strengthen  the  anti-discrimination
enforcement mechanism provided by IRCA.

The  Department also launched a national media campaign  entitled
"Look at the Facts; Not at the Faces" as a means of dealing  with
immigration-related employment discrimination,  and  an  employer
hotline  was  inaugurated  to ensure that  employers  have  ready
access  to  information  on how to comply  with  the  IRCA  anti-
discrimination provisions.

The  Department  takes  great pride in its Fair  Housing  Testing
Program,  the  first  of  its kind among  Federal  agencies.   It
provides a powerful investigative tool for determining whether  a
housing  provider  or lending institution is discriminating.   In
1994, settlements in four broad pattern-or-practice cases created
a  pool  of  about  $750,000 for persons who  are  identified  as
victims of the illegal discrimination.

     Americans with Disabilities Act (ADA)

One  of  the  guiding forces in ensuring that the rights  of  all
Americans  are guaranteed is the Americans with Disabilities  Act
(ADA).   Through  a  comprehensive technical assistance  program,
lawsuits, and both formal and informal settlement agreements, the
Department   has  achieved  greater  access  for   persons   with
disabilities  and  discrete  relief  in  nearly  200   situations
involving  State  and local government entities and  the  private
sector.   For  example:  broadened access  to  emergency  medical
services  and  dental  care for persons with  HIV/AIDS  has  been
obtained; educational and testing opportunities for persons  with
communication and cognitive disabilities have been increased; and
basic  services  of  local  government  (such  as  911  emergency
services, town halls, and police departments), and a wide variety
of  existing  facilities (such as parking lots, restaurants,  and
movie theaters), have become more accessible.  Through its amicus
participation,  the  Department has argued for  ADA  coverage  of
zoning  practices and arrest procedures, challenged overly  broad
inquiries  into the mental health history of candidates  for  the
bar,   and  supported  dispersed  accessible  seating  in   movie
theaters.

In  order  to  increase awareness of this important  legislation,
more  than  7.5 million publications and information pieces  have
been  disseminated.   In  addition, radio and  television  public
service  announcements  have been aired  featuring  the  Attorney
General  in order to promote understanding of the Americans  with
Disabilities Act and encourage the use of a toll-free  number  to
obtain information about it.


SAFEGUARDING AMERICA'S NATURAL ENVIRONMENT

In  1994, the Department continued to play an important  role  in
protection of the Nation's environment through pollution control,
protection of natural resources, and protection of the rights  of
Native    Americans.    The   Department   also   advanced    the
Administration's goals of ensuring that the environment  is  safe
and  healthy  for  all  Americans through  the  enactment  of  an
Executive Order on Environmental Justice, representing the United
States   on   international   environmental   issues,   promoting
Alternative  Dispute Resolution for solving environmental  cases,
and   taking  an  "ecosystem"  approach  to  land  and   resource
management.

     Natural Resources Protection

The Department has devoted significant resources to assisting the
Federal land management agencies in efforts to resolve litigation
over   the   effects  of  Federal  activities  on  the   Nation's
ecosystems, and to provide legal advice to these agencies as they
move  toward  an  ecosystem  approach  to  land  management.   In
particular, the Department and its client agencies have worked to
implement  an  ecosystems  approach  to  restoring  the  degraded
Everglades ecosystem in South Florida; taken a comprehensive view
of  resolving issues related to the protection of salmon  in  the
Pacific  Northwest; and are successfully defending challenges  to
the  President's  Forest Plan, which is an  ecosystem  management
strategy for all Federal forests within the range of the northern
spotted owl.

     Developing Partnerships with Native Americans

In  the past year, the Department, with other agencies, has  made
the  development  of  a  new partnership  with  Indian  tribes  a
priority.   In  May  1994, the Departments  of  Justice  and  the
Interior   sponsored  the  National  American  Indian   Listening
Conference  in Albuquerque, New Mexico.  The Conference  provided
tribal  leaders an opportunity to participate in the  process  of
rethinking  the  Federal-tribal relationship  and  serves  as  an
excellent  example of how we can enhance performance dramatically
by  focusing  on  the  special needs  of  certain  customers  and
clients.   The Conference successfully brought together over  300
tribal  leaders  from  around the country and  over  100  Federal
officials  from  Interior,  Justice  and  HUD  for  two  days  of
listening  and  learning about Native American concerns.   Future
dialogue among these communities are planned on subjects  ranging
from  natural  resources to the status of tribal governments  and
courts.

In addition, the Department has had an active and successful year
litigating  cases  on  behalf of Tribes,  including  defending  a
Minnesota   tribe's  treaty  rights  to  hunting,   fishing   and
gathering, protecting water rights of several Arizona tribes, and
successfully  arguing against State and county  taxation  of  the
Tribe's  reservation income from oil and gas  activities  on  its
fee-owned lands.

Another  indication of the Department's commitment to  protecting
the  rights of Native Americans is the creation in 1994,  of  the
Office of Tribal Justice.

     Defending EPA's Regulatory Actions

The  Department continued its efforts to defend the Environmental
Protection  Agency's (EPA) regulatory programs.  The Department's
primary goal in handling such defensive litigation is to preserve
EPA's  range  of  lawful discretion so that it is  able  to  make
important  policy determinations and implement complex regulatory
programs  without  being unduly hindered  by  overly  restrictive
interpretations of the law.

In  1994,  the Department had particular success in  defending  a
number  of  EPA  actions to regulate hazardous wastes  under  the
Resource Conservation and Recovery Act (RCRA).  For example,  the
Department  obtained  a  favorable  decision  rejecting  industry
challenges to EPA's "mixture and derived-from rules," which  form
part  of  the  definition of what constitutes  "hazardous  waste"
subject  to  regulatory controls under RCRA, and  another  ruling
upholding EPA's determination that used oil should not be  listed
as   a  hazardous  waste  because  existing  regulations  provide
adequate protection against plausible mismanagement scenarios.

     Criminal and Civil Enforcement Actions

The  Department  continued its efforts to  hold  individuals  and
corporations accountable for environmental crimes, and in several
recent cases, company officials were sentenced to record terms of
imprisonment.    For  example,  in  United   States   v.   Craven
Laboratories,  et  al.,  Don Allen Craven,  president  of  Craven
Laboratories, was sentenced to a five-year prison term and  fined
$50,000  for  concealing and falsifying pesticide  residue  tests
required by EPA for the protection of public health.  The company
was fined $15.4 million, and both Craven and his company must pay
$3.7 in restitution to defrauded pesticide manufacturers and EPA.

The  first criminal prosecution and conviction under the 1990 Oil
Pollution  Act  (OPA) resulted from a multi-agency  investigation
called "Operation Overboard," whose goal was to detect, document,
and  prosecute  deliberate discharges of waste oil by  commercial
vessels  into waters of the United States.  In United  States  v.
Palm  Beach  Cruises,  S.A.(PBCSA), a cruise  line  company  pled
guilty  to two counts of violating the OPA for discharging  waste
oil  from  its  bilges causing a 2.5 mile-long oil  slick.   They
received a $500,000 fine and agreed to establish and maintain  an
effective environmental compliance program.

The  Department also had a successful year in the arena of  civil
environmental enforcement.  The Environment and Natural Resources
Division  secured  the assessment of over $65  million  in  civil
penalties in 1994.  The Department also had continuing success in
Superfund  enforcement.  Despite the pendency of  reauthorization
and,  hence, possible revision of liability rules, the Department
recovered  $300 million in costs for the Superfund, secured  more
than  $330 million in commitments for cleanup work, and  obtained
more than $15 million in natural resource damages.

The  Department obtained record penalties under several  statutes
in 1994:

-     The  largest  penalty  for  violations  of  RCRA  financial
responsibility regulation, a $4.6 million judgment  against  Ekco
Housewares, the current owner and operator of a RCRA storage  and
disposal facility in Ohio.

-     The highest penalty ever assessed for violating the mercury
National  Emissions  Standards for  Hazardous  Pollutants,  a  $1
million  fine, levied against the Olin Corporation for violations
of   the  Clean  Air  Act  and  the  Comprehensive  Environmental
Response, Compensation and Liability Act (CERCLA).

-     The largest court-awarded civil environmental penalty  ever
obtained,  an  $8 million award against Marine Shale  Processors,
Inc., for Clean Air, Clean Water, and RCRA violations in a multi-
media action against a sham recycling operation.

The  Department also settled a major case brought against Eastman
Kodak  Company for RCRA violations at its industrial facility  in
Rochester,  New York.  Under the settlement, an aging  industrial
facility will be brought into compliance with environmental  laws
without  forcing  the  plant to close or jobs  to  be  lost.   In
addition,  Kodak  agreed  to an $8 million  civil  penalty.   The
decree also provides for comprehensive injunctive relief that  is
estimated to exceed $50 million.

In addition, the Department has worked on several significant new
initiatives.   Along with the EPA, the Department has  sought  to
improve   and  streamline  the  Superfund  process  by   entering
settlements  that  expedite resolution of certain  categories  of
cases, including cases against small volume contributors, thereby
avoiding lengthy and expensive litigation.

Additionally,  the  Department  negotiated  and  approved   EPA's
execution of seventeen "prospective purchaser agreements",  which
are  designed to induce entities to buy and put to productive use
contaminated property that is the subject of a Superfund cleanup.
In  return for the government's promise that it will not seek  to
impose Superfund liability upon them, purchasers agree either  to
reimburse  the  government for past cleanup costs or  to  perform
some portion of the cleanup.

The Department has also facilitated an ecosystem approach to land
management  through land acquisition.  For example,  in  December
1993,  the Department filed suit to acquire 11,950 acres of  land
by  eminent  domain for inclusion in the Lower Rio Grande  Valley
National Wildlife Refuge in Texas.  The addition of this land  to
the  Refuge is necessary to protect against irreparable  harm  to
the  unique natural resources located on this unit of the Refuge,
including  an  endangered species habitat, coastal wetlands,  and
barrier  islands, as well as the Refuge corridor connection  with
the Gulf of Mexico.

     International Issues

The  Department continued active participation in developing  and
advocating   Administration  positions  on  a   wide   range   of
international environmental matters.  These include  representing
the  U.S.  at the Preparatory Meeting for the Ninth U.N. Congress
on  the Prevention of Crimes and the Treatment of Offenders,  and
heading  the U.S. delegation to the U.N. Economic Commission  for
Europe's Task Force on Environmental Rights and Obligations.

In  addition,  the  Department successfully defended  a  district
court  challenge to the Uruguay Round of GATT brought by  several
environmental  organizations  under  the  National  Environmental
Policy Act.


     Environmental Justice

On  February  11, 1994, President Clinton signed Executive  Order
12898  on  Environmental Justice.  The Executive Order creates  a
Federal work group on environmental justice to coordinate Federal
policies  and projects; requires Federal agencies to  develop  an
environmental  justice  strategy, including  specific  short-term
projects   with   deadlines;  prohibits  Federal  agencies   from
conducting  Federal activities that affect human  health  or  the
environment in a manner that has the effect of discriminating  on
the basis of race, color, or national origin; and requires better
data   collection  by  Federal  agencies  on   the   effects   of
environmental burdens on minority and low-income communities.

The  Environment and Natural Resources Division has been  working
with  the  Attorney General's Office to ensure the implementation
of  Executive  Order 12898 at the Department and  governmentwide,
including  drafting guidelines, identifying cases, and developing
training.   In  the  past  year,  the  Department  brought  cases
resulting in redress of Safe Drinking Water Act violations  at  a
low-income  trailer park, and in a multi-million dollar  judgment
against  two  large  Southern  California  water  districts   for
wrongfully dumping their agricultural drainage waters  over  half
of the Torres Martinez Indian Reservation.

     Using Alternative Dispute Resolution

Because  environmental cases are often complex and  involve  many
parties,  and  because the sooner a resolution  is  reached,  the
sooner  the  environmental contamination  may  be  remedied,  the
Department  began  to explore seriously the  use  of  Alternative
Dispute  Resolution  (ADR)  for  more  efficient  settlement   of
environmental litigation.  Over the past year, seventy-four cases
in  the Environment and Natural Resources Division have gone into
ADR, and as a part of a pilot program to study the suitability of
using  ADR  in environmental cases, the Department has identified
twenty-three cases that may be good candidates for ADR.


ENFORCING ANTITRUST LAWS

The  Department continued vigorous enforcement of  the  antitrust
laws  last  year.   It particularly focused on the  international
aspects of enforcement, by identifying international cartels that
were  raising  prices for American consumers  and  restraints  of
trade  that  were  impeding the access of American  companies  to
foreign markets.

The  Antitrust Division maintained energetic prosecution  against
illegal  and anti-competitive business practices in 1994,  filing
57  criminal  cases  against 105 defendants.  These  prosecutions
resulted  in  fines  of  over  $40  million.   In  addition,   11
individuals  were  sentenced to substantial  prison  terms  --  a
powerful  deterrent to business executives who may be considering
illegal conduct.

These  prosecutions included cases against international  cartels
that  were  hurting American consumers through price-fixing.   In
coordination with Canadian antitrust officials, the Department in
July   1994   brought   criminal  charges  against   a   Japanese
corporation,  two  U.S.  subsidiaries of Japanese  firms  and  an
executive  of  one of the firms for conspiring to  charge  higher
prices  to  thermal fax paper customers.  The defendants  pleaded
guilty and agreed to pay almost $8 million dollars in fines.  The
Department also received assistance from Canadian authorities  in
breaking  up a conspiracy by three companies and seven executives
to  drive  up  the price of plastic dinnerware,  a  $100  million
consumer market.  To date, two of the corporations have agreed to
pay over $8 million in fines.

The  Department  also enforces the antitrust laws  through  civil
litigation   against  unreasonable  restraints   of   trade   and
monopolistic  conduct.   As part of its effort  to  remove  anti-
competitive restraints imposed on American exports,  a  suit  was
brought  against  a  British company with  a  monopoly  over  the
technology used to make flat glass.  The settlement of  the  suit
will  result in an estimated increase in U.S. export revenues  of
between $150 million and $1.25 billion during the next six years.

The   Department  complemented  these  international  enforcement
efforts  by  participating  in the Deregulation  and  Competition
Policy portion of the U.S.-Japanese Framework talks, in which the
United  States  has urged the Japanese government  to  strengthen
enforcement  of its anti-monopoly law, to make its administrative
procedures  fair and open and to accelerate an effective  program
of deregulation to open markets to competition.

A  second major feature of the Department's antitrust program was
a   stepped-up   effort   to  provide  guidance   regarding   the
Department's  enforcement  intentions.   The  predictability  and
certainty  resulting from increased guidance make it  easier  for
companies  to  conduct  their  businesses  consistent  with   the
antitrust  laws.  Many enforcement actions therefore are  avoided
altogether.   Much  of this guidance was provided  through  three
major  products: Intellectual Property Guidelines;  International
Guidelines; and Statements of Policy in the Health Care Area.

In   addition  to  the  release  of  the  guidelines  and  policy
statements, the Department continued to provide statements of its
enforcement  intentions  regarding  specific  proposed   business
conduct under the Antitrust Division's Business Review Procedure.
This procedure was centralized and streamlined in 1993 to provide
a   swifter  response  to  inquiries.   As  a  consequence,   the
Department responded to more requests for business review letters
in  1994 than in the preceding four combined.  Twelve of  the  27
reviews related to the health care industry.


CIVIL JUSTICE REFORM

The   Department   continued   its   efforts   to   improve   the
administration of civil justice in both Federal and State  courts
and  to  increase access to our justice system for all Americans.
Together  with representatives from diverse perspectives  of  the
Nation's  civil  justice  system,  Department  officials  drafted
measures,  including proposed legislation, model  procedures  for
State  civil  justice  systems, and  instituted  new  alternative
dispute  resolution  policies, that will  decrease  the  cost  of
litigation  and open courts to millions of low- and middle-income
families.
CHAPTER V
MAKING THE DEPARTMENT WORK BETTER

o     Goal:  To provide law enforcement and related services  and
programs  in  which  the  American people  have  full  faith  and
confidence  --  and  to  use  the  taxpayers'  money  wisely  and
efficiently.

The  Administration,  through  its  National  Performance  Review
(NPR),  has established ambitious goals for transforming the  way
government operates.  Examining the way we do business, fostering
creativity  and innovation among employees, and streamlining  our
programs  and  operations  in order to  improve  service  to  our
customers  and clients constitute the core elements  of  the  NPR
strategy for change.

In 1994 the Department made considerable progress in carrying out
this strategy by finding ways to make our programs and operations
work  better  and  cost  less.  We took  important  steps  toward
overcoming organizational impediments that, in the past, hindered
law enforcement efforts.  We integrated overlapping functions and
fostered cooperation among our component organizations.   And  we
also improved integration of our enforcement activities by making
significant  structural and other changes across the  Department.
These efforts have produced dramatic evidence that the Department
is  well  on  its  way  toward reaching its  goal  of  using  the
taxpayer's money wisely and efficiently.


INTEGRATING DOJ LAW ENFORCEMENT ACTIVITIES

Of  particular  significance was the creation of  the  Office  of
Investigative  Agency Policies (OIAP), which was  established  by
the  Attorney  General in November 1993 to begin  a  new  era  of
cooperation among DOJ's law enforcement components.  The  mission
of  OIAP  is  to  "coordinate . . . activities of DOJ's  criminal
investigative agencies," including the FBI, DEA, USMS,  and  INS,
to  focus  on  criminal investigative policies,  procedures,  and
activities   that  warrant  uniform  treatment   or   interagency
coordination.   The  Director of the FBI serves  as  the  current
Director of OIAP.

OIAP has implemented a number of dramatic improvements in the way
the   Department  does  business.   It  has  addressed  practical
problems of everyday coordination among law enforcement personnel
--  problems  that,  for  decades, have hindered  aggressive  and
complete  investigative work.  OIAP actions  are  providing  both
short-term  benefits for each agent's everyday work  and  longer-
term guarantees of improved Federal enforcement efforts.


RETURNING RESOURCES TO THE FRONT LINE

Getting  our  Federal  house in order is  but  one  side  of  the
equation  in  effective law enforcement.   Given  that  most  law
enforcement is performed by State and local governments, rational
policy  making requires that available resources be  targeted  at
that  level.   The Department has moved steadfastly  to  redeploy
agent  personnel  where  they  are  most  needed  --  away   from
headquarters and back on the street.  With this in mind,

-     The FBI reassigned 600 special agents from supervisory  and
administrative  jobs  to  field investigations.   Half  of  these
reassignments came from headquarters.

-     INS  redeployed more than 500 Border Patrol Agents to  help
strengthen critical border points in San Diego and El Paso.

-     The USMS and DEA also eliminated headquarters layering  and
empowered field managers with the authorities they need to do the
job.  Sixty agents from DEA were reassigned to field offices  and
the USMS will transfer out a number of its headquarters personnel
upon completion of a pending reorganization initiative.


COLLECTING DEBTS DUE THE UNITED STATES

The  Administration and the Attorney General have placed  a  high
priority  on  the collection of debts due the Federal Government.
The  Department  is  proud  to  report  that  $3.11  billion  was
collected  from criminal and civil defendants during 1994.   This
amount,  nearly double the previous high, included $1.83 billion,
in  cash,  for  the Federal Treasury.  This represents  an  86.6-
percent  increase  over total cash collections  received  in  the
prior  fiscal year, and it is the first time that the  Department
has  ever recovered over a billion dollars, in cash, in a  single
fiscal year.  The balance consisted of $1.283 billion in non-cash
collections such as property transfers, payments made directly to
agencies  other  than the Department of Justice, and  offsets  in
which the government withheld money it would otherwise have paid.

These   record-breaking  collections  are   a   result   of   the
Department's  vigorous  efforts to  collect  civil  debts,  civil
penalties,  criminal  fines and special assessments,  restitution
orders,  and  affirmative  civil  enforcement.   In  addition  to
returning substantial sums of money to the Federal Treasury,  the
Department's  efforts  help  protect  the  integrity  of  Federal
programs that offer assistance to our citizens, enforce the  laws
that  protect  our  citizens  and the  environment,  and  provide
assistance  to  victims of crime.  As a result of  criminal  fine
collections,  over  $178 million, the largest  amount  ever,  was
deposited into the Crime Victims's Fund.  This money is  returned
to  the  States  to  be paid for compensation and  assistance  to
victims of crime and to be used to fund programs to benefit crime
victims.

These achievements are due to vigilant efforts by U.S. Attorneys'
offices  and  Department of Justice litigating  components.   The
1994 Appropriations Act, which authorized the Attorney General to
retain up to three percent of civil debt collections to be placed
in  the  Department's  Working Capital Fund, provided  additional
resources  to  enhance  the Department's  civil  debt  collection
efforts.   The  availability of resources from  the  Fund  should
enable  the Department to collect even higher amounts  in  fiscal
years to come.


ENSURING INTEGRITY

Department employees are expected to meet the highest standard of
ethical   behavior.   Insuring  the  integrity  and  honesty   of
Department  personnel  is the task of the Department's  Inspector
General.

During  1994, a joint Office of Inspector General (OIG)  and  DEA
investigation led to the indictment and arrest of an  INS  Border
Patrol  agent, an INS detention enforcement officer and  six  co-
conspirators  on charges of bribery, conspiracy, possession  with
intent  to  distribute a controlled substance and engaging  in  a
continuing   criminal  enterprise.   Another  OIG   investigation
resulted  in  the  arrest and conviction of  an  INS  immigration
inspector  and  his  wife  for bribery  and  for  possession  and
facilitating  the importation of marijuana from Canada  into  the
United States.

Enforcement  efforts also focused on individuals who  attempt  to
corrupt  Department  officials.  A drug  smuggling  investigation
conducted  by the OIG and "Operation Alliance," a Federal  multi-
agency  interdiction effort along the U.S.-Mexico border, led  to
three arrests and convictions for bribery and the importation and
possession  of  cocaine  and the seizure of  309.5  kilograms  of
cocaine  valued  at  more than $5 million.   The  defendants  had
attempted  to  bribe  an  INS automation clerk  in  exchange  for
helping to smuggle drugs across the U.S. and Mexican border.  The
clerk reported the bribe offer to the OIG.

Through  the  OIG, Department enforcement efforts  also  targeted
corruption   in  the  Federal  prisons.   Examples  include   the
conviction of a BOP correctional officer for smuggling drugs into
the   U.S.  Penitentiary  in  Atlanta,  Georgia,  and   a   joint
investigation  between  the OIG and the Westchester  County,  New
York,  Department of Corrections, which led to the arrest of  ten
correctional  officers  at  the Westchester  County  Jail.   Five
officers pleaded guilty to smuggling contraband, including drugs,
into the jail.

Investigations  of  INS document fraud by  the  Department's  OIG
resulted in the arrest of 17 civilians, including five Department
employees in 1994.  One investigation culminated in the arrest of
an  INS  deputy  assistant district director  with  22  years  of
government  service.   Since the early 1980s,  the  official  had
accepted  thousands  of dollars from a middleman  in  return  for
illegally obtained "green cards" and for entering fraudulent data
into  INS'  alien  data  base.  The official  pleaded  guilty  to
conspiracy to commit bribery and obstruction of justice, resigned
from INS, was sentenced to 30 months in prison and ordered to pay
a $10,000 fine.


REACHING OUT TO OUR CUSTOMERS

The  Attorney General has renewed the Department's focus on those
we serve, insisting that we give people what they want, when they
need  it.   From  the  delivery of law  enforcement  services  to
responding to information inquiries, the Department is determined
to  render  its services in accordance with the highest  possible
standards  of  performance as determined  by  our  customers  and
clients.  To accomplish this, the Department has concentrated  on
those  programs  and  services  whose  activities  encompass  the
overwhelming majority of the Department's direct contact with the
public.  In 1994, the Department developed seven separate sets of
customer  service standards.  For these services, the  Department
polled   its  customers  and  developed  specific  standards   of
performance to satisfy their needs.  For example:

-    At most land border ports of entry, travelers can expect the
INS to complete its entry inspection within 20 minutes.

-     When  its  new automated fingerprint system is operational,
the  FBI will reduce the time it takes for processing fingerprint
identification  of arrestees from the 21 days it currently  takes
to an average of two hours.

-     Victims and witnesses of Federal crimes will receive timely
notification  from  U.S. Attorneys' offices on  matters  such  as
changes  in  detention status, charges filed  or  dismissed,  and
offender sentencing dates.

These  efforts represent the first major step in the Department's
commitment to a long-term strategy of surveying its customers  --
including  its  litigation  clients  --  and  developing  service
standards against which the Department can measure its success in
providing  exemplary service at the least possible  cost  to  the
taxpayers.

To  bring  the Department's resources closer to the  public,  the
Department  has  also  taken advantage of emerging  technologies.
Some example of this customer outreach are illustrated below:

-    The Department established an Internet computer site to make
a  variety of legal and law enforcement information available  to
anyone   with  access  to  Internet.   In  addition  to   general
information  about  the  Department's  organizational  structure,
responsibilities,  and  accomplishments,  the   Internet   system
includes  press  releases,  newsletters,  crime  statistics   and
monographs, technical assistance guidelines on the Americans with
Disabilities Act, antitrust material, and court decisions.

-     The  Office of Justice Programs supported Partners  Against
Violence  Network (PAVNET), which is an online resource  designed
to  meet  the  need  for rapid, easy access to information  about
programs established to prevent and curb youth violence.   PAVNET
Online combines the information resources of six cabinet agencies
(Agriculture, Education, Health and Human Services,  Housing  and
Urban Development, Labor, and Justice) in a centralized data base
of  literally hundreds of programs and services operating at  the
local,  County, State, and Federal level.  Universally accessible
via  Internet, the data base also includes up-to-date information
about  technical  assistance, funding, and information  resources
(clearinghouses) in the area of youth violence.

-      The  INS's  Information  Services  Program  improved   its
procedures for disseminating information to the public,  starting
with a complete overhaul of automated telephone answering systems
which  handle  some  10  million  telephone  inquiries  annually.
Information  Services  also became a  participant  in  three  NPR
customer  service initiatives, including the Federal  Information
Kiosk pilot project.

-     INS streamlined the naturalization application process  and
actively  solicited  help from community groups  to  educate  and
encourage  eligible permanent residents to become citizens.   INS
also  worked  with community groups and district courts  to  hold
special  swearing-in ceremonies.  These efforts helped  to  boost
the number of applications for naturalization in many offices.


PROMOTING ORGANIZATIONAL EFFECTIVENESS

     The Justice Performance Review

In  1994, the Justice Performance Review (JPR) team continued  to
be   instrumental  in  assisting  the  Department's   reinvention
efforts.   The major emphasis of the JPR team was on  the  review
and  analysis  of more than 3,000 letters and calls submitted  in
response to the Attorney General's employee suggestion initiative
-- "AG ONLINE" -- to improve programs and services.  Because some
submissions contained several ideas, more than 4,000 suggestions,
comments   and   recommendations  actually  were   reviewed   and
evaluated.

The   most  frequently  received  suggestions  related  to  human
resources,  with  employees submitting ideas on varied  personnel
and worklife/work environment issues.  Administrative issues were
second in terms of volume.  Suggestions addressed a wide range of
topics  including financial management, procurement, travel,  and
the  structure  of  the Department.  Other suggestions  concerned
cost   savings  in  administrative  areas,  reducing   paperwork,
changing   programs   to  define  and  clarify  responsibilities,
improving customer service, streamlining departmental regulations
and procedures, and empowering employees to make decisions.

The   JPR   team  identified  approximately  one-fifth   of   the
suggestions  for  possible implementation across the  Department.
Because  of  duplication  and  fragmentation,  these  ideas  were
consolidated  into 33 broad issues that are being  considered  as
targets  of  opportunity  for possible  reinvention  efforts.   A
number  of  these initiatives have been proposed  as  topics  for
employee innovation teams in 1995.

     Progress on Department of Justice Laboratories

Three  reinvention  laboratories initiated in 1993  continued  in
operation  in 1994.  These labs, described below, are efforts  to
develop new and innovative solutions to specific problems and  to
test and evaluate how well these solutions work.

Freedom  of Information and Privacy Acts (FOIPA):  In  1994,  the
FBI  received or reopened 18,018 FOIPA requests and responded  to
16,883.   Over  586,633 pages of documents were reviewed,  and  a
total  of  780 administrative appeals and 65 FOIPA lawsuits  were
resolved.

The  Department established a reinvention laboratory  to  enhance
its  ability  to  provide quicker responses to FOIPA  requesters.
Four  working  subgroups were formed as part of this  reinvention
lab.   One initiative currently underway in connection with  this
project  is  an FBI interagency agreement with the Department  of
Energy's  Pacific  Northwest  Laboratory  to  develop  functional
requirements for a proposal to build a FOIPA Document  Processing
System  which  will provide citizens a faster response  to  FOIPA
inquiries.

Joint  Automated  Booking Stations (JABS):   Prisoner  processing
procedures  in  our  Nation's law enforcement agencies  have  not
changed significantly in over half a century.  Each arrestee   is
"booked"  by  most  agencies he or she encounters,  resulting  in
numerous  bookings per arrest.  New computer technologies  enable
automation  of  the  booking  process by  electronic  collection,
storage,  and  transmittal  of  photographic,  fingerprint,   and
biographical information.

The  JABS project is a Department-wide initiative to automate and
redesign  the booking process for the law enforcement  community.
The  lab, established in Miami, Florida, is decreasing processing
time   for   booking  a  criminal,  eliminating  redundant   data
collection  efforts,  and enhancing cooperation  and  sharing  of
information  between law enforcement entities.  JABS  provides  a
forum  for  all  law enforcement components and other  interested
parties  jointly  to explore potential cost-effective  technology
transfer   techniques,   information   sharing,   and   standards
development.   The  lab  has  performed  a  technical  review  of
commercial,  off-the-shelf  booking  alternatives;  developed  an
operational  concept; performed a requirements analysis;  created
common JABS data elements; approved the JABS system architecture;
determined   the  integration  approach;  secured  funding;   and
completed  an FY 1996 Crime Bill Funding Request to  support  the
laboratory.    By   combining  and  sharing   capabilities   with
identification technologies, the public can expect a quantum leap
in law enforcement's ability to deal with crime.

NPR Weed and Seed Laboratory:  Operation Weed and Seed is a multi-
agency  strategy that "weeds" out violent crime,  gang  activity,
illicit   drug   use  and  trafficking  in  targeted   high-crime
neighborhoods,  and  then  "seeds"  the  deteriorating  areas  by
restoring   the   neighborhoods  through  social   and   economic
revitalization.  This NPR Lab demonstrates how multiple  agencies
can  jointly deploy resources to a limited area, for  a  specific
purpose  within a limited timeframe.  Dubbed the "NPR Lab Related
to  Comprehensive Anti-Crime and Social Delivery  Systems,"  this
effort is helping neighborhoods to design, fund, and evaluate the
programs they select to implement.  A Federal Resource Assistance
Center,  composed  of  experts  from  the  participating  Federal
agencies, is being established to provide continuing guidance  on
the  use  of  Federal funds to assist communities  in  developing
integrated  strategies and support component programs.   Flexible
funding approaches are being designed and implemented.

     Worklife

A  top  priority of the Department's Worklife Program during  the
past  year  was  the  promotion  of  workplace  flexibility.   In
recognition of the Department's commitment to creating  a  family
friendly  workplace, the Office of Personnel Management  selected
the  Department as one of three recipients of the 1994 Director's
Award  for  Outstanding Work and Family Programs.   The  Worklife
Program   continued  to  expand  during  1994,  with  plans   for
participation  in  the Telecommuting Centers established  by  the
General  Services  Administration.  The  Department  has  had  an
active work-at-home program since January 1991.

The  USMS implemented a number of worklife initiatives, including
establishing   a   Worklife  Committee   at   Headquarters   with
coordinators appointed in the districts, headquarters  divisions,
and  staff  offices.   The  Service  co-sponsored  the  following
activities  with  the DEA:  Bring Your Kids  to  Work  Day,  Open
Season  Health  Fair,  and a Red Cross  Blood  Drive.   A  career
planning  program  was  developed for law enforcement  employees,
which   included  distribution  of  the  Law  Enforcement  Career
Planning Handbook.

The  FBI conducted four training seminars on worklife issues  for
new  supervisors.  In addition, the FBI sponsored two educational
fairs,  providing information concerning dependent care resources
and  legal issues involving power-of-attorney, wills, trusts, and
guardianship;  and parenting concerns, ranging  from  child  care
resources  to  available  scholarships.   The  FBI  continued  to
emphasize  the contributions of its bilingual staff  by  honoring
345 employees with Foreign Language Awards.

The BOP created a mentoring program to promote the development of
employee  skills and abilities.  Training sessions were conducted
for  key program staff, and a training manual was distributed for
use  in  conducting local training for mentors.  Strategies  were
developed to evaluate the program's effectiveness.

The  Criminal  Division  implemented a  formal  worklife  program
policy to assist its employees in balancing the demands of  their
careers  with  the  demands  of  raising  and  caring  for  their
families.  Under the new policy, the Division conducted  a  pilot
program  of two worklife options:  Compressed Work Schedules  and
Flexitours.  Based upon the positive results of the pilot program
in 1994, the Division is considering expanding the program to all
components.

     Recruiting the Best

As  part  of its commitment to ensure that the Department  has  a
legal work force among the best and brightest in the Nation,  the
Office  of  Attorney Personnel Management continued its  outreach
efforts   to   recruit  highly  qualified   and   diverse   legal
specialists.   The results of these efforts was a record-breaking
number  of  applicants  for  the  Department's  legal  recruiting
programs, and the hiring of an extremely high-caliber and diverse
group of attorneys.

     Streamlining Processes

Procurement  Reform.   The  Justice  Management  Division   (JMD)
procurement staff streamlined and expanded its nationwide program
for  purchasing  small  dollar items, using  VISA  type  purchase
cards,  a  procurement reform recommended by the NPR.  Authorized
card  holders  increased from 133 to 237, and over 118  employees
were  trained  on  card use.  The Office of  Federal  Procurement
Policy estimates that Federal agencies can save about $50.00  per
transaction  by  using  purchase cards, in  lieu  of  a  purchase
orders.    In  1994,  JMD  made  more  than  5,000  purchase-card
transactions, which equates to an administrative savings of about
$257,000.  Also, JMD increased significantly the dollar limit  on
procurement authority delegations to U.S. Attorneys' offices  and
several   Department   components.   This   decentralization   of
authority allows more acquisition decisions to be made  at  local
levels,  which helps ensure timely receipt of high quality  goods
and services at reasonable prices -- a key NPR objective.

Performance Appraisals.  The FBI created a 30-member  task  force
to  review  the  FBI performance appraisal system  and  recommend
enhancements.   Some  of the perceived problems  with  the  FBI's
system  include:   delays  in  resolving  appeals;  inflation  of
employee  ratings; and the use of appraisals for other  purposes,
such  as career development decisions and awards.  The task force
gathered information on a number of appraisal systems in both the
public  and private sectors, developed criteria for a new  system
and made several other recommendations.


Glossary of Organizational Acronyms

ATF       Bureau of Alcohol, Tobacco and Firearms
BJA       Bureau of Justice Assistance
BJS       Bureau of Justice Statistics
BOP       Bureau of Prisons
CRS       Community Relations Service
DEA       Drug Enforcement Administration
DOJ       Department of Justice
EOIR      Executive Office for Immigration Review
EOUSA     Executive Office for United States Attorneys
EPA       Environmental Protection Agency
FBI       Federal Bureau of Investigation
INS       Immigration and Naturalization Service
INTERPOL  International Criminal Police Organization
IRS       Internal Revenue Service
JMD       Justice Management Division
JPR       Justice Performance Review
LECC      Law Enforcement Coordinating Committee
NIJ       National Institute of Justice
OAPM      Office of Attorney Personnel Management
OCDETF    Organized Crime Drug Enforcement Task Force
OIAP      Office of Investigative Agency Policies
OIG       Office of the Inspector General
OJJDP     Office of Juvenile Justice and Delinquency Prevention
OJP       Office of Justice Programs
OVC       Office of Victims of Crime
USMS      United States Marshals Service
USNCB     United States National Central Bureau
_______________________________
     1 This report covers Fiscal Year (FY) 1994, which began on October 1, 1993 and
ended on September 30, 1994.  All references to years indicate Fiscal  Year
unless otherwise noted.