type: other

jurisdiction: US

text: b'Peace Corps\nOffice of Inspector General\n\n\n\n\nSemiannual Report to Congress\nOctober 1, 2007 - March 31, 2008\n\x0c\x0c PEACE CORPS\n\n Office of Inspector General\n\n Vision\n\nTo conduct audits, evaluations, and investigations that uphold the\neffectiveness, efficiency, and integrity of the agency in achieving the\ngoals set forth in the Peace Corps Act that Peace Corps Volunteers\nhelp the people of the countries in which they serve in meeting\ntheir needs for trained manpower, and in helping promote a better\nunderstanding of the American people on the part of the people\nserved, and a better understanding of other people on the part of the\nAmerican people.\n\n\n\n\n Semiannual Report to Congress\n October 1, 2007 \xe2\x80\x93 March 31, 2008\n\x0c\x0c TABLE OF CONTENTS\n\n\nt\tHighlights from this Report\t 1\n \tMessage from the Inspector General\t 1\n\n\t Management and Administration \t 3\n\t Agency Context\t 3\n\t OIG Staffing 3\n\n\t Advice and Assistance Provided to the Agency and Others 6\n Proposed Transfer of Violent Crimes Oversight 6\t\n Investigation of Missing Funds at Peace Corps/Guatemala \t 7\n Online Collaboration Tools 8\n\t Accountability of Medical Supplies 8\n\n\n\t Audits and Program Evaluations \t 10\n\t Overview\t 10\n Summary of Audits and Evaluations \t 11\n President\xe2\x80\x99s Council on Integrity and Efficiency: Peer Review 11\n Peace Corps Fiscal Year 2007 Financial Statement Audit 11\n\t Review of the Agency\xe2\x80\x99s Federal Information Security Program\t 13\n\t Peace Corps/Eastern Caribbean: Audit\t 14\n\t Peace Corps/Fiji: Audit\t 15\n\t Peace Corps/Georgia: Audit\t 15\n\t Peace Corps/Kazakhstan: Audit\t 16\n\t Peace Corps/Peru: Audit\t 17\n\t Peace Corps/Armenia: Follow-up Audit\t 18\n\t Peace Corps/China: Follow-up Audit \t 18\n\t Medical Clearance System: Program Evaluation\t 19\n\t\n Investigations \t 21\n\t Overview\t 21\n Investigation of the Death of a Volunteer 22\n Investigation of the Death of a Volunteer 22\n Missing Volunteer Investigation 23\n Investigations of an Assault and Alleged Volunteer Misconduct 23\n Investigations of Federal Employees\xe2\x80\x99 Compensation Act Recipients 23\n\x0cViolent Crimes Against Volunteers 24\nClosed Cases of Violent Crime Against Volunteers \t 25\nActive Investigations of Violent Crime Cases \t 27\nTitle 18 Criminal and Other Investigations Conducted\t 29\n\nTABLE 1: List of Reports: Audits, Evaluations, and Inspections\t 31\nTABLE 2: Reports Issued with Questioned Costs or Funds Put to Better Use \t 32\nTABLE 3: Status of Reports Issued by OIG with Costs Questioned \t 33\nTABLE 4: Status of Reports Issued by OIG with Funds Put to Better Use \t 34\nTABLE 5: Reports with Recommendations on which Corrective \t\n Action has not been completed \t 35\nTABLE 6: Summary of Investigative Activity \t 36\nTABLE 7: Summary of Hotline and Other Complaints\t 37\nTABLE 8: References to Reporting Requirements of the Inspector General Act\t 38\nthe Inspector General Act \t 36\n\x0cHighlights from this Report\n\n Message from the Inspector General\n\n I am pleased to present the Peace Corps Office of Inspector General\xe2\x80\x99s (OIG)\n Semiannual Report to Congress for the period of October 1, 2007 through\n March 31, 2008. This report is required by the Inspector General Act of 1978, as\n amended, and covers the work performed by the OIG during the period indicated.\n OIG activities during this reporting period demonstrate our continued commitment\n to promote and increase the effectiveness and efficiencies of Peace Corps programs\n and operations, as well as maintain standards established by the President\xe2\x80\x99s Council\n on Integrity and Efficiency (PCIE), the Executive Council on Integrity and\n Efficiency (ECIE), and other federal entities.\n\n This reporting period has introduced many challenges to all aspects of the OIG. In\n December, H. David Kotz, who served as the Peace Corps Inspector General since\n February 2006, accepted a position with another federal agency. The OIG also lost\n five other employees to transfers and retirements and has had difficulty attracting\n new staff with the requisite skills to fill key positions throughout the organization.\n\n Despite these challenges, the OIG has had numerous accomplishments during this\n reporting period. The Audit Unit, led by Assistant Inspector General for Audits\n Gerald Montoya, received a clean opinion on an external quality control review.\n This review encompasses the OIG\xe2\x80\x99s organizational structure, and policies and\n procedures that ensure conformity with generally accepted government auditing\n standards promulgated by the Comptroller General of the United States.\n\n Furthermore, the Audit Unit completed five post audits: the Eastern Caribbean, Fiji,\n Georgia, Kazakhstan, and Peru; and performed follow-up audits in Armenia and\n China. The Audit Unit also issued two preliminary post audits (Azerbaijan and the\n Philippines), as well as ensured Agency compliance with the Federal Information\n Security Management Act and Financial Statements, which are a required annually.\n\n Recent evaluations have focused on Agency-wide issues, such as the medical\n clearance process and safety and security of the Volunteer. The Evaluation Unit, led\n by Assistant Inspector General for Evaluations Shelley Elbert, issued the final report\n on the medical clearance process and a preliminary report on the evaluation of the\n Agency\xe2\x80\x99s overall safety and security procedures during this reporting period.\xc2\xa0 While\n these and other overarching functions of the Peace Corps deserve inspection, staff\n turnover limited our ability to perform evaluations at overseas posts.\n\n In the next reporting period, the Evaluation Unit will resume its traditional focus\n of evaluating management and program operations at overseas posts. In an effort\n\n Peace Corps Office of Inspector General \x18\n\x0cto improve the effectiveness of our own processes, we have updated our objectives\nand administrative processes for conducting post evaluations while maintaining the\nstandards established by the President\xe2\x80\x99s Council on Integrity and Efficiency.\xc2\xa0\n\nAdditionally, as the Agency is currently developing the strategic plan for 2009-2014,\nwe intend to gauge accountability in support of the Government Performance and\nResults Act.\xc2\xa0 We plan to pilot our updated objectives and evaluation processes in the\nupcoming reporting period.\n\nThe Investigations Unit had to respond and investigate two separate Volunteer\ndeath incidents. We coordinated our response to these tragic matters with other\nAgency offices, as well as Regional Security Officers, the Armed Forces Institute of\nPathology, and local police authorities. We also achieved success with our authority\nto coordinate the Agency\xe2\x80\x99s response to violent crimes against Volunteers through\nnumerous initiatives including, providing victim advocacy assistance to Volunteers,\ntransport of DNA evidence to the FBI, and preparing Volunteers for trial.\n\nThe Investigations Unit has also conducted Title 18 and other administrative and\nethics investigations. In addition to our ongoing efforts to provide oversight of our\nFederal Employees\xe2\x80\x99 Compensation Act (FECA) claimants, we have also requested\ninformation to monitor transit subsidy benefits provided to Agency employees. In\naddition, we also investigated an audit finding involving missing funds in a Central\nAmerican country and allegations of an assault in a West African Country.\n\nIn an effort to be more transparent and provide clarity about our operations, the\nInvestigations Unit developed a brochure on the OIG\xe2\x80\x99s investigative authority and\nprocesses. This brochure will be provided to Volunteers who are witnesses or subjects\nof investigations.\n\nTo better coordinate with the Inspector General community, I attended Executive\nCouncil on Integrity and Efficiency meetings and provided input on matters that are\nof particular concern and/or unique to our OIG operations.\n\nDuring my short tenure as the Acting Inspector General, I have reached out to\nvarious members of Peace Corps\xe2\x80\x99 senior staff and received valuable feedback about\nthe three central services performed by this office. In addition to taking the time to\nrevamp and update our evaluation processes and develop an instrument to explain\nthe investigative process, the OIG will continue to strive for professionalism and\ntransparency in all aspects of our dealings with the Agency, as well as the federal,\nprivate, and international community.\n\n\n\t\t\t\t\t Geoffrey A. Johnson\n\t\t\t\t\t Acting Inspector General\n\n\n\n\n \x18 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0cManagement\nManagement and\n and Administration\n Administration\n\n Agency Context\n\n At the end of FY 2007, 8,079 Peace Corps Volunteers and Trainees were serving in\n 74 countries at 68 posts. This total includes: 184 Volunteers and Trainees funded by\n the President\xe2\x80\x99s Emergency Plan for AIDS Relief (PEPFAR) working on HIV/AIDS\n projects in nine countries and 33 Peace Corps Response Volunteers serving in short-\n term assignments in 10 countries. Eleven Peace Corps Response Volunteers were\n funded by PEPFAR.\n\n The Volunteers and their programs are supported by 895 American direct hire\n staff: 194 overseas; 123 in the regional recruiting offices; and the remaining 578 in\n headquarters. Approximately 2,000 locally hired personnel complete post staffing.\n The Peace Corps also has corporate contracts domestically and overseas, principally\n for guard services and training, and expert consultants hires, largely for training and\n financial management.\n\n OIG Staffing\n During the reporting period, there were several staff changes and departures in the\n Office of Inspector General.\n\n On December 22, 2007, Inspector General H. David Kotz left the Peace Corps\n to join the Securities and Exchange Commission as Inspector General. Assistant\n Inspector General for Investigation Geoffrey A. Johnson is serving as Acting Inspector\n General. Senior Evaluator Shelley Elbert was promoted to Assistant Inspector\n General for Evaluations on November 11, 2007. In addition, Senior Special Agent\n Julie K. deMello has been Acting Assistant Inspector General for Investigations since\n December 22, 2007.\n\n The Investigation, Audit, and Evaluation Units have all been adversely affected by staff\n departures. Special Agent Henry Mulzac left the OIG on November 30, 2007 after\n five years of service. On December 31, 2007, Senior Auditor Letty J. Collins retired\n after more than eight years of service. Senior Evaluators Lynn Khadiagala and Crist\n Chensvold left the Peace Corps in February 2008 for positions at the Department of\n Interior.\n\n The OIG moved quickly to fill these vacant positions with the expectation of having\n all vacancies filled as soon as possible. Four new staff members joined the OIG\n during this reporting period.\n\n Susan Gasper joined the OIG in October 2007 as an Evaluator. From 2005-2007,\n she was a manager at a local management and IT consulting firm where she focused\n\n Peace Corps Office of Inspector General \x18\n\x0con analyzing, evaluating, and re-engineering business processes for government\nand private sector clients. Susan has also worked in the nonprofit sector as a\nProgram Manager for the Russia and Eurasia Program at the Center for Strategic\nand International Studies and as a Philanthropic Fellow at Grantmakers of Western\nPennsylvania. Susan was a Peace Corps Fellow at Carnegie Mellon University\xe2\x80\x99s Heinz\nSchool and graduated with a Master\xe2\x80\x99s in Public Policy and Management. She served\nin the last group of Peace Corps Volunteers in the Russia Far East and closed service\nin 2002.\n\nReuben Marshall joined the OIG in March 2008 as an Evaluator. Prior to the\nOIG, Reuben led the Africa Placement Unit in the Peace Corps Office of Volunteer\nRecruitment and Selection. Reuben served as a Volunteer in Cote d\xe2\x80\x99 Ivoire from\n1996 - 1998. After completing Peace Corps Volunteer service, Reuben worked\nas a newspaper reporter and editor in central Virginia. Reuben then joined the\nInternational Rescue Committee\xe2\x80\x99s Refugee Resettlement Office in Charlottesville,\nVirginia, where he developed and coordinated interpreter and immigration services.\nReuben earned his Bachelor\xe2\x80\x99s degree in Philosophy at St. John\xe2\x80\x99s College in Annapolis,\nMaryland.\n\nApril Thompson joined the OIG in March 2008 as an Evaluator. April comes from\nthe Government Accountability Office where for four years she prepared evaluative\nreports and testimonies related to the U.S. Coast Guard and other federal programs.\nPrior to this, April was a research analyst at California State University, Monterey\nBay, where she authored the first campus strategic plan progress report and helped\nimprove campus safety and academic advisement through survey and analytic\nresearch. She recently volunteered as a program evaluation consultant for the United\nStates Holocaust Memorial Museum. April earned a Master of Arts in International\nPolicy Studies and a Certificate in Public Administration from the Monterey Institute\nof International Studies.\n\nKevin Doherty joined the OIG in March 2008 as a Special Agent. He graduated\nfrom Bridgewater State College with a Bachelor\xe2\x80\x99s degree in psychology and is\npursuing his Master\xe2\x80\x99s degree in Criminal Justice online from the University of\nWisconsin. He is a former Marine and criminal investigator with the Department\nof Energy (DOE). He served as lead investigator for a number of criminal and\nadministrative cases with DOE and also served as lead protective agent for Secretary\xe2\x80\x99s\nof Energy Spencer Abraham and Dr. Samuel Bodman. Kevin has traveled extensively\nwith the government, including China, Cuba, Haiti, Brazil, the former Soviet Union,\nand the Middle East. He worked for the State Department and provided personal\nsecurity to U.S. Ambassadors Khalilizad and Crocker in Iraq.\n\nThe OIG also commandeered the services of Thomas O\xe2\x80\x99Connor in November 2007,\nas an expert consultant with the OIG Evaluation Unit. Tom brings over 30 years of\nexperience conducting performance audits for the Government Accountability Office\nand the U.S. Agency for International Development. He has provided expert advice\n\n \x18 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0cto the Evaluation Unit enhancing their evaluation procedures and ensured that the\nunit is in compliance with federal regulations for OIG program evaluations.\n\nAt the end of the reporting period, the positions of Inspector General, Deputy\nInspector General, and Inspector General Counsel are vacant. Additionally, the OIG\nhas had challenges acquiring staff with the knowledge, skills, and abilities necessary to\nconduct audits and investigations.\n\n\n\n\n Peace Corps Office of Inspector General \x18\n\x0cAdvice and\nAdvice and Assistance\n Assistance Provided\n Provided\n to the\n to the Agency\n Agency and\n and Others\n Others\n During this reporting period, we provided advice to management on a number\n of serious issues that were brought to our attention. This advice was conveyed in\n written form and through briefings and meetings with the Director of the Agency\n and other senior-level Peace Corps officials.\n\n Proposed Transfer of the Violent Crimes Oversight\n\n In February 2008, the Peace Corps Director met with the Acting Inspector General\n to discuss a proposed transfer of violent crimes oversight from the Office of Inspector\n General to the Office of Safety and Security. On March 4, 2008, the Associate\n Director for Safety and Security met with the Acting Inspector General to discuss the\n terms and timeframes for the potential transfer.\n\n The Agency provided a blue-print or concept paper to the Acting Inspector General\n outlining how it proposed to manage violent crimes against Volunteers. The\n proposed measures included: (1) increased reliance upon host country national\n police to conduct crimes and investigations of Volunteers; (2) little or no need for\n experienced and trained criminal investigators to accomplish oversight of violent\n crimes, rather, Peace Corps Safety and Security Officers (PCSSOs) would coordinate\n this function while maintaining their current work responsibilities; and (3) the\n rescission and revocation of the Violent Crimes Protocol, and memorandums and\n sections of the Peace Corps Manual pertaining to violent crimes. The Agency\xe2\x80\x99s\n proposal did not address the role of the OIG to investigate any assaults or suspicious\n deaths of Volunteers.\n\n The OIG provided written and verbal concerns to the Agency about the proposed\n transfer, which was initially to occur on June 1, 2008. In light of the OIG\xe2\x80\x99s ongoing\n gains in victim advocacy and achieving justice when Volunteers become victims\n of violent crimes, we questioned the feasibility of the Office of Safety and Security\n providing oversight of violent crimes against Volunteers, in particular, the Agency\xe2\x80\x99s\n reliance on PCSSOs. We advised the Agency that our major concerns over the\n proposed transfer of function were as follows:\n\n 1) \t Peace Corps Safety and Security Officers (PCSSOs) are not trained to conduct\n criminal investigations. We questioned how PCSSOs will be able to derive\n investigative authority to forward evidence to the FBI for analysis or present a\n case to the Justice System. They are not recognized law enforcement officials or\n criminal investigators.\n\n 2) \t PCSSOs may not be able to perform their current work responsibilities in\n addition to violent crimes, which can occur at anytime, during a 24 hour basis,\n\n \x18 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c 7 days a week. This mission and function currently consumes 70%-90% of the time of the\n OIG\xe2\x80\x99s four-person Investigations Unit.\n\n3) \t We also questioned how responding to violent crimes will be prioritized with existing\n PCSSO work. Protecting and processing crime scenes, collecting and admitting DNA\n evidence for analysis, interviewing victims and witnesses of violent crimes, coordinating with\n post, headquarters, local authorities, the RSO, and other investigative activities are time-\n consuming and must be conducted within prescribed time frames according to both U.S.\n legal standards and in the local legal systems.\n\n4)\t Additionally, we are concerned about notifying PCSSOs of a violent crime in a timely\n manner. There are currently no provisions for them to receive Blackberries or other devices\n whereby 24/7 notifications can be made so an immediate response can be rendered.\n\nFurthermore, we advised the Agency that its proposed reliance on host country law\nenforcement agencies where Peace Corps programs operate is problematic. These agencies\nare generally under-staffed, under-trained, under-paid, and are ill-equipped to provide an\nadequate and effective response to violent crimes. The police often lack transportation,\nfuel, radios, ballistic vests, latex gloves, evidence bags, cameras, among other tools needed\nto respond to incidents of sexual assault, and violent crimes, including death.\n\nCurrently, the Agency\xe2\x80\x99s \xe2\x80\x9cProtocol: Violent Crimes Against Volunteers,\xe2\x80\x9d gives the OIG the\nresponsibility to \xe2\x80\x9ccoordinate the interagency investigation of assaults, rapes, and other\nviolent crimes \xe2\x80\x93 as well as deaths \xe2\x80\x93 committed against Peace Corps Volunteers. This\nincludes, but is not limited to, primary coordination with the Department of Justice,\nFederal Bureau of Investigation, Diplomatic Security Service, and other domestic law\nenforcement and criminal investigative agencies\xe2\x80\xa6.The Office of Inspector General will\nserve as the principal office for guidance to Country Directors and other agency officials on\nall related matters including, but not limited to retaining local counsel, as appropriate.\xe2\x80\x9d\n\nThe Agency should proceed with extreme caution to ensure continuity of Peace Corps\ninvestigative support and effective response to violent crimes against Volunteers. Regardless\nof which Peace Corps office responds to violent crimes, any transfer of function must not\nlimit or prohibit the OIG\xe2\x80\x99s ability to investigate any and all crimes involving Peace Corps\nand its resources. Peace Corps management should refrain from policy decisions that can\nbe construed as interfering with the objectivity and independence of the OIG.\n\n Investigation of Missing Funds at Peace Corps/Guatemala\n\nIn January 2008, we investigated a potential loss of funds from Peace Corps/Guatemala.\nDuring a routine post audit, we identified a potential loss of Peace Corps funds due to the\nmismanagement and a lack of effective internal control over the billings and collections\nprocess. The OIG assigned an auditor and an investigator to respond to this incident.\n\nWe continue to research Peace Corps headquarters records in an effort to account for\nrefunds that may have been collected at headquarters level. The post has reported that they\n\n Peace Corps Office of Inspector General \x18\n\x0chave taken actions to improve internal controls and accountability of Peace Corps\nfunds.\n\n Online Collaboration Tools\n\nWe previously reported on our concerns over the Agency\xe2\x80\x99s use of on-line\ncollaboration tools. Specifically, the OIG called management\xe2\x80\x99s attention to\nsignificant vulnerabilities that existed with respect to the lack of internal controls in\nconnection with two online collaboration tools, Peace-Wiki and Peace-Guru, which\nPeace Corps intends to deploy.\n\nOur concerns include:\n\xe2\x80\xa2 Deployment of these collaboration tools before appropriate content controls are\n in place.\n\n\xe2\x80\xa2 Possible duplication of a similar collaboration tools in various stages of\n development.\n\xe2\x80\xa2 Inadequate cost analysis to determine the long-term financial impact of deploying\n such tools from initial investment and throughout the life of the program.\n\nDuring this reporting period, Peace Corps management met with us to identify a\nstrategy to address our concerns. As a result of our meeting, the Agency will conduct\na limited pilot of these online tools. An outcome of the limited pilot will be to\nclearly define and document content controls, reduce duplication of similar tools in\nvarious stages of development, and the capability of the Peace Corps to support the\ntools long-term.\n\nWe will continue to provide advice and assistance to the Agency as they move\nforward with their plans to implement online collaboration tools to improve\nVolunteer access to evolving technologies.\n\n Accountability of Medical Supplies\n\nOIG audits of overseas posts and audits by our external auditor during the last four\nfinancial statement audits at the agency have identified a deficiency related to the\naccountability of medical supplies at Peace Corps overseas posts.\n\nEach Peace Corps post maintains a medical supplies inventory consisting of\npharmaceuticals, controlled substances, and associated items. The supplies are used\nin providing medical care for over 8,000 Volunteers that are posted overseas in\ncountries served by the Peace Corps. During audit remediation meetings chaired\nby Peace Corps management, we have provided expert advice on establishing more\neffective internal control and improving accountability of medical supplies.\n\n\n\n \x18 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0cPeace Corps management is currently revising guidance, developing a standard\nsystem for maintaining inventory records, and establishing new procedures for\nconducting periodic inventories of medical supplies.\n\n\n\n\n Peace Corps Office of Inspector General \x18\n\x0cAudits and Program Evaluations\n\n Overview\n The Peace Corps\xe2\x80\x99 OIG focuses principally on the programs, financial and\n administrative operations, and staff support that sustain Peace Corps Volunteers\n serving around the world. We accomplish this through audits and evaluations of the\n Agency\xe2\x80\x99s posts overseas and its functions in headquarters and domestic recruiting\n offices.\n\n Both individual staff members and multi-disciplined teams carry out these reviews.\n For some highly technical audits, we also contract with independent auditing firms\n and individual experts.\n\n Audits examine operations and financial transactions to ensure that good\n management practices are being followed and that resources are adequately protected\n in accordance with laws and regulations. Our audits are conducted in accordance\n with generally accepted government auditing standards issued by the Comptroller\n General of the United States.\n\n Most of our audits focus on the operations and management of Peace Corps\xe2\x80\x99\n overseas posts, which include a review of financial and administrative practices and\n the safety and security of persons and property. We also conduct audits of specific\n headquarters and regional activities, as well as contract and follow-up audits, as\n needed. In addition, the Accountability of Tax Dollars Act provides the OIG\n with the responsibility for the annual audit of Peace Corps\xe2\x80\x99 financial statements.\n Furthermore, the Federal Information Security Management Act specifies that the\n OIG annually review the information security program of the Agency, which has\n become a component of our annual audit function.\n\n Program evaluations review the operation and administration of a specific unit of\n the Peace Corps or may involve a limited review of a particular problem, issue, or\n function.\n\n Most evaluations are of overseas posts and provide management with a\n comprehensive assessment of how overseas programs are functioning. This includes\n a review of the Volunteers\xe2\x80\x99 sites and assignments, their safety and security, the quality\n of their training, the quality of the support provided to them, and the adequacy\n of the post\xe2\x80\x99s administrative infrastructure to manage the program. Evaluations\n have traditionally focused on the effectiveness, satisfaction, and well-being of the\n Volunteers, including their housing, health care, and safety. Evaluators interview\n\n\n 10 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0ca representative sample of 20% or more of the Volunteers at their sites, and\ninterview appropriate Peace Corps staff and some of the Volunteers\xe2\x80\x99 co-workers and\nsupervisors. In compliance with the President\xe2\x80\x99s Council on Integrity and Efficiency\nand the Executive Council on Integrity and Efficiency Standards, our evaluation\nprocess and procedures standards were updated during this reporting period.\n\n Summary of Audits and Evaluations\n\n President\xe2\x80\x99s Council on Integrity and Efficiency: External Peer Review\n\nThe Audit Unit underwent an external peer review and received an unmodified\n(clean) opinion for the three-year period ending September 30, 2007. The peer\nreview, conducted by a fellow member of the President\xe2\x80\x99s Council on Integrity and\nEfficiency, determined that the design of the Office of Inspector General\xe2\x80\x99s quality\ncontrol system met the associated standards established by the Comptroller General\nof the United States.\n\nThe Inspector General Act of 1978 requires that each Office of Inspector General\norganization comply with generally accepted government auditing standards\n(GAGAS) and implement and maintain an internal quality control system for\nits audit work. The internal quality control system typically consists of the four\nfollowing characteristics:\n\n\xe2\x80\xa2 Policies and procedures that establish internal guidance and audit requirements,\n\xe2\x80\xa2 Supervisory review process,\n\xe2\x80\xa2 A quality control process for each audit (such as independent referencing), and\n\xe2\x80\xa2 A quality assurance program.\n\nThe 1988 amendment to the Inspector General Act of 1978 requires that each Office\nof Inspector General undergo and external peer review to verify compliance with\nGAGAS and applicable quality control standards. GAGAS requires external peer\nreviews at least once every three years.\n\nExternal peer reviews of Inspectors\xe2\x80\x99 General organizations are conducted by\nindependent federal auditors assigned by the President\xe2\x80\x99s Council on Integrity and\nEfficiency and Executive Council on Integrity and Efficiency.\n\n Peace Corps Fiscal Year 2007 Financial Statement Audit\n\nThe OIG contracted with Urbach Kahn and Werlin LLP (UKW), an independent\ncertified public accounting firm to audit the financial statements as of September 30,\n2007 and 2006, and for the years then ended. The contract required that the audit\nbe done in accordance with generally accepted government auditing standards; the\nOMB\xe2\x80\x99s Bulletin 07-04, Audit Requirements for Federal Financial Statements; and the\n\n\n Peace Corps Office of Inspector General 11\n\x0cGovernment Accountability Office/President\xe2\x80\x99s Council on Integrity and Efficiency\nFinancial Audit Manual. UKW\xe2\x80\x99s audit report for FY 2007 included: (1) an opinion\non the financial statements, (2) a report on internal controls, and (3) a report on\ncompliance with laws and regulations.\n\nIn the audit of the Peace Corps, UKW found that the financial statements were\nfairly presented, in all material respects, and in conformity with generally accepted\naccounting principles for the year-ended September 30, 2007. They reported that\nthere were no material weaknesses related to internal controls. OMB Bulletin\n07-04 defines a material weakness as a significant deficiency, or combination of\nsignificant deficiencies, that results in a more than remote likelihood that a material\nmisstatement of the financial statements will not be prevented or detected. However,\nUKW\xe2\x80\x99s report on internal controls did identify some significant deficiencies:\n\n\xe2\x80\xa2 Certain controls associated with property, plant, and equipment were inadequate\n and need to be improved.\n\xe2\x80\xa2 Internal controls over the business processes relating to undelivered orders and\n accounts payable need to be enhanced.\n\xe2\x80\xa2 The Office of Chief Financial Officer\xe2\x80\x99s policy on accounting for host country\n contributions is not consistent with generally accepted accounting principles\n related to preparation of financial statements, presentation, and disclosure.\n\xe2\x80\xa2 Certain weaknesses related to the Peace Corps\xe2\x80\x99 information technology control\n environment require corrective actions.\n\nOMB Bulletin 07-04 defines a significant deficiency as a deficiency in internal\ncontrol, or a combination of deficiencies, that adversely affects the entity\xe2\x80\x99s ability\nto initiate, authorize, record, process, or report financial data reliably in accordance\nwith generally accepted accounting principles such that there is more than a remote\nlikelihood that a misstatement of the entity\xe2\x80\x99s financial statements that is more than\ninconsequential will not be prevented or detected. The term \xe2\x80\x9csignificant deficiency\xe2\x80\x9d\nreplaces the term \xe2\x80\x9creportable condition.\xe2\x80\x9d UKW found no reportable noncompliance\nwith laws and regulations it tested.\n\nIn connection with the audit contract, the Office of Inspector General reviewed\nUKW\xe2\x80\x99s report and related documentation and made inquiries of its representatives\nregarding the audit. To fulfill our responsibilities under the Chief Financial Officers\nAct for ensuring the quality of the audit work performed, OIG monitored UKW\xe2\x80\x99s\naudit of the Peace Corps\xe2\x80\x99 Fiscal Year 2007 Financial Statements in accordance\nwith generally accepted auditing standards. Specifically, we reviewed UKW\xe2\x80\x99s audit\napproach and planning; evaluated the qualifications and independence of its auditors;\nmonitored the progress of the audit at key points; examined UKW\xe2\x80\x99s working papers\nrelated to audit planning, testing, and assessing internal control over the financial\nreporting process; reviewed the audit reports to ensure compliance with generally\naccepted government auditing standards; coordinated issuance of the audit reports;\nand performed other procedures we deemed necessary.\n\n\n 12 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0cAs required by OMB Circular A-136, Financial Reporting Requirements, this audit\nreport has been published within the Peace Corps Fiscal Year 2007 Performance\nand Accountability Report. In addition, a separate letter describing internal control\nweaknesses which do not meet the definition of a significant deficiency, was issued\ndirectly to Peace Corps management.\n\n Federal Information Security Management Act Review\n\nThe Federal Information Security Management Act (FISMA) mandates that federal\nagencies establish effective information security protections and a program to secure\nits information systems from unauthorized access, use, disclosure, modification,\nand other harmful impacts. These requirements must be met through adherence to\nspecific guidelines established by the National Institute of Standards and Technology\n(NIST). FISMA also requires OIGs to review their Agency\xe2\x80\x99s information security\nprograms annually. The Office of Management and Budget (OMB) is responsible for\nreporting to Congress on the overall progress of the federal government in meeting\nFISMA requirements. This is accomplished through a data collection tool that OMB\nrequires each agency to complete and provide to them annually. Both the agency and\ntheir respective OIG are required to submit responses designed to measure progress\nby October 1 of each year using the OMB data collection tool.\n\nThe OIG contracted with Urbach Kahn and Werlin LLP to perform the annual\nreview of the Peace Corps information security program and provide the OIG with\ndata associated with the OMB reporting requirements. The review concluded that\nPeace Corps has made significant progress toward becoming fully compliant with\nFISMA. Specifically, the Agency has developed a comprehensive system inventory\nincluding Federal Information Processing Standards 199 system classifications.\nPeace Corps Office of the Chief Information Officer also implemented Information\nTechnology Security Requirements based on NIST Special Publication 800-\n53, Recommended Security Controls for Federal Information Systems; published a\nCertification and Accreditation (C&A) process guide; implemented a C&A tool; and\nbegan the process of preparing several systems for accreditation. Additionally, Peace\nCorps issued one Authorization to Operate (ATO) and four Interim Authorizations\nto Operate (IATO) for Peace Corps\xe2\x80\x99 general support systems and major applications\nduring the year. Furthermore, Peace Corps has begun annual security awareness\ntraining for all employees and contractors through the use of WebStart, an automated\ntraining tool. However, Peace Corps still faces some important challenges to\nrefine its information security program. For example, although the Peace Corps\xe2\x80\x99\nfinancial reporting system, Odyssey, has received an ATO, and four other systems\nhave received an IATO, it is critical that all twelve systems become fully certified\nand accredited to meet FISMA requirements. Also, contingency plans have not\nbeen completed for five of the Peace Corps\xe2\x80\x99 systems and the Agency was not in full\ncompliance with related applicable NIST requirements for two of its twelve systems.\n\n\n\n\n Peace Corps Office of Inspector General 13\n\x0c PC/Eastern Caribbean: Audit\n\nWe conducted an audit of Peace Corps/Eastern Caribbean February 11 \xe2\x80\x93 March 2,\n2007. The Peace Corps began its program in the Eastern Caribbean in 1961. At the\ntime of our visit, there were 122 Volunteers serving in six island states: St. Lucia, St.\nVincent and the Grenadines, St. Kitts and Nevis, Grenada, Dominica, and Antigua.\nPeace Corps/Eastern Caribbean\xe2\x80\x99s project areas included small business development,\ninformation and communication technology, health education, community\ndevelopment, and special education.\n\nWe found that the post\xe2\x80\x99s financial and administrative operations were not functioning\neffectively. The post was not complying with certain federal guidance and several\nPeace Corps policies and procedures. Some of the more significant findings are\nsummarized below:\n\n\xe2\x80\xa2 Imprest fund administrative procedures related to physical security of cash,\n accountability, reconciliations, and reporting of fund shortages were not being\n followed.\n\xe2\x80\xa2 Maintenance of required records was inadequate and not in compliance with\n applicable Peace Corps guidance.\n\xe2\x80\xa2 Records related to billings and collections were not maintained in accordance\n with applicable policies, some billings were not being made, and there was an\n incidence of improper collections.\n\xe2\x80\xa2 Support for bills of collection related to host country contributions was\n insufficient, expenditures against the contributions did not meet Peace Corps\n requirements, and a tax exempt status associated with certain contributions may\n not comply with applicable local tax laws.\n\xe2\x80\xa2 Monitoring of grants related to Small Project Assistance was inadequate and as a\n result some funds were inappropriately used.\n\xe2\x80\xa2 Property inventory records were not accurate, complete, or current and\n segregation of duties surrounding maintaining inventory records and performing\n inventories was inadequate.\n\xe2\x80\xa2 Policies and procedures related to the maintenance and review of post vehicle\n management records were not being followed.\n\xe2\x80\xa2 Procurement policies and procedures were not being followed and associated files\n were incomplete and inadequate.\n\xe2\x80\xa2 Government credit card purchases were not always being approved by an\n authorizing official prior to making such purchases.\n\xe2\x80\xa2 Peace Corps requirements for maintaining time and attendance records on a daily\n basis was not being met.\n\xe2\x80\xa2 Policies and procedures for regularly scanning computers for viruses, daily back-\n ups, and access were not being followed.\n\xe2\x80\xa2 IT technical support at the post was inadequate and unreliable at outlying Peace\n Corps operations within the Eastern Caribbean.\n\n\n 14 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0cManagement concurred with 73 of 76 recommendations and did not concur with\nthree recommendations. At the end of the reporting period, 38 recommendations\nare closed and 38 remain open.\n\n PC/Fiji: Audit\n\nWe conducted an audit of Peace Corps/Fiji April 11 \xe2\x80\x93 May 4, 2007. The Peace\nCorps began its program in Fiji in 1968. The Peace Corps discontinued the Fiji\nprogram in 1998; however, it was re-established in 2003. At the time of our visit,\nthere were 49 Volunteers working in Fiji. Peace Corps/Fiji\xe2\x80\x99s current project areas\ninclude environmental resource management and community health.\n\nWe found that the post\xe2\x80\x99s financial and administrative operations were generally\nfunctioning effectively and complied with Peace Corps\xe2\x80\x99 policies and procedures.\nHowever, certain areas relating to operations at the post needed to be improved.\nSome of the more significant findings are summarized below:\n\n\xe2\x80\xa2 Confidential Volunteer medical information was inappropriately included on\n some non-medical administrative documents maintained by the post.\n\xe2\x80\xa2 Applicable guidance on use of appropriated funds was not followed regarding\n participation in certain training programs.\n\xe2\x80\xa2 Records related to billings and collections were not maintained in accordance\n with applicable policies and procedures.\n\xe2\x80\xa2 Host country contributions were not accurately or consistently recorded.\n\xe2\x80\xa2 Inventory of medical supplies was not complete, accurate, and performed on a\n regularly scheduled basis as required by Peace Corps policy.\n\nManagement concurred with 25 of 26 recommendations and did not concur with\none recommendation. At the end of the reporting period, 23 recommendations are\nclosed and three remain open.\n\n PC/Georgia: Audit\n\nWe conducted an audit of Peace Corps/Georgia September 14 \xe2\x80\x93 October 5,\n2007. This was the post\xe2\x80\x99s first audit since its opening in fiscal year 2001. Over\n250 Volunteers have served in Georgia. At the time of our audit, Volunteers were\nworking in the areas of English education and business and social entrepreneurship.\n\nThe post has had six administrative officers and four country directors since its start-\nup. At the time of the audit, the administrative officer had been at the post seven\nmonths; the country director, approximately one year. We noted that the country\ndirector and administrative officer had corrected a number of deficiencies which\noccured prior to their arrivals at the post.\n\n\n\n Peace Corps Office of Inspector General 15\n\x0cAs enumerated below, we found that the post\xe2\x80\x99s financial and administrative\noperations still required improvement in several areas:\n\n\xe2\x80\xa2 Billing and collection procedures and related internal controls were inappropriate\n and inadequate.\n\xe2\x80\xa2\t Volunteer settling-in surveys were not conducted in fiscal year 2006.\n\xe2\x80\xa2\t Host country contributions by the Georgian government were not reflected in\n the operating plan.\n\xe2\x80\xa2\t Travel vouchers were not always submitted timely and some contained errors in\n preparation.\n\xe2\x80\xa2\t The official time and attendance records contained discrepancies.\n\xe2\x80\xa2\t The procurement files did not contain five-year security investigation updates for\n the staff members requiring them.\n\xe2\x80\xa2\t The swearing-in cable contained the new Volunteers\xe2\x80\x99 full social security numbers.\n\nManagement concurred with 11 of 15 recommendations and did not concur with\nthree recommendations, and partially concurred with one recommendation. At the\nend of the reporting period, all 15 recommendations are closed.\n\n PC/Kazakhstan: Audit\n\nWe conducted an audit of Peace Corps/Kazakhstan July 18 \xe2\x80\x93 August 3, 2007. The\nPeace Corps arrived in Kazakhstan in 1993, soon after the country had declared its\nindependence from the Soviet Union. Over 800 Volunteers have since served in\nKazakhstan. At the time of our visit, Volunteers were working in two program areas:\nEnglish education and organizational and community assistance.\n\nFrom October 1, 2005 through the time of our audit, six different individuals,\npermanent and temporary duty, served as country director; three served as\nprogramming and training officer; and four served as administrative officer. At the\ntime of the audit, the country director and the programming and training officer had\nbeen at the post approximately five months; the administrative officer, approximately\none year.\n\nOur audit found that, in general, Peace Corps/Kazakhstan\xe2\x80\x99s financial and\nadministrative operations were functioning effectively and complied with Agency\npolicies and federal regulations. However, as summarized below, we noted a number\nof areas which required improvement:\n\n\xe2\x80\xa2\t Quarterly imprest fund verifications were not always performed by the country\n director.\n\xe2\x80\xa2\t Volunteer settling-in allowance surveys were not conducted for fiscal years 2007\n and 2006, and a living allowance survey was not conducted for fiscal year 2006.\n\xe2\x80\xa2\t The purchase card was, on several occasions, used inappropriately.\n\xe2\x80\xa2\t Daily vehicle usage logs were not reviewed on a weekly basis.\n\n\n 16 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c\xe2\x80\xa2\t Travel vouchers were not always submitted timely and some contained errors in\n preparation.\n\xe2\x80\xa2\t Complete certificates of acceptance were not obtained for several of the post\xe2\x80\x99s\n leases.\n\xe2\x80\xa2\t Procurement files were incomplete: the results of regional security officer\xe2\x80\x99s\n security clearance investigations were missing from some contractors\xe2\x80\x99 files, and\n intelligence background information certifications were not on file.\n\nManagement concurred with 21 of 22 recommendations and did not concur with\none recommendation. At the end of the reporting period, 15 recommendations are\nclosed and seven remain open.\n\n PC/Peru: Audit\n\nWe conducted an audit of Peace Corps/Peru April 30 \xe2\x80\x93 May 25, 2007. The Peace\nCorps began its program in Peru in 1962. The Peace Corps discontinued the\nPeru program in 1975; however, it was re-established in 2001. At the time of our\nvisit, there were 132 Volunteers working in Peru. Peace Corps/Peru\xe2\x80\x99s project areas\nincluded small business development, community health, youth development, and\nenvironmental education.\n\nWe found that the post\xe2\x80\x99s financial and administrative operations were generally\nfunctioning effectively and complied with Peace Corps\xe2\x80\x99 policies and procedures.\nHowever, certain areas relating to operations at the post needed to be improved.\nSome of the more significant findings are summarized below:\n\n\xe2\x80\xa2 The post\xe2\x80\x99s imprest fund was out of balance and certain administrative procedures\n related to the physical security over cash were not being followed.\n\xe2\x80\xa2 Required independent surveys to determine Volunteer allowance levels had not\n been performed.\n\xe2\x80\xa2 Records related to billings and collections were not maintained in accordance\n with applicable policies and procedures and separation of duties over this process\n were inadequate.\n\xe2\x80\xa2 Reconciliation of obligations and liquidations was not effective.\n\xe2\x80\xa2 Inventory records related to property did not indicate where the property was\n kept, rendering them incomplete and insufficient for purposes of confirming the\n existence of assets.\n\xe2\x80\xa2 Official procurement files were incomplete and not in accordance with Peace\n Corps policy.\n\xe2\x80\xa2 Policies and procedures related to the maintenance and review of post vehicle\n management records were not followed.\n\xe2\x80\xa2 Several staff members had not completed mandatory annual security awareness\n training and had not signed required user verification forms related to use of\n Peace Corps IT equipment.\n\n\n\n Peace Corps Office of Inspector General 17\n\x0c\xe2\x80\xa2 Peace Corps requirements for preparing and reviewing certain time and\n attendance records were not met. \t\n\nManagement concurred with 23 of 24 recommendations and did not concur with\none recommendation. At the end of the reporting period, 20 recommendations are\nclosed and four remain open.\n\n PC/Armenia: Follow-Up Audit\n\nDuring the period September 6 \xe2\x80\x93 12, 2007, we conducted a follow-up to our audit\ncarried out August 9 \xe2\x80\x93 27, 2004. Management had concurred with all 12 audit\nrecommendations in our report. As the result of our follow-up audit, we verified\nthat appropriate action was taken on nine of the 12 audit recommendations,\nand we determined that three recommendations required additional action.\nSubsequent to our visit, the post took required action on two of the three reopened\nrecommendations.\n\nThe remaining reopened recommendation related to Volunteer settling-in and living\nallowance surveys. We found that independent surveys were not used in conjunction\nwith Volunteer surveys to determine the adequacy of the settling-in allowance. We\nalso found that the independent living allowance surveys were performed only in the\ncapital, Yerevan, where no Volunteers were situated.\n\nAt the end of the reporting period, 11 recommendations are closed and one\nrecommendation remains open.\n\n PC/China: Follow-Up Audit\n\nDuring the period February 11 - 22, 2008, we conducted a follow-up to our audit\ncarried out March 7 \xe2\x80\x93 26, 2006. Management had concurred with 18 of the 19\naudit recommendations in our report. As the result of our follow-up audit, we\nverified that appropriate action was taken on 15 of the 19 audit recommendations,\nand we reopened four recommendations that required additional action. Subsequent\nto our visit, the post took needed action on one of the four recommendations.\n\nThe three reopened recommendations related to the following areas:\n\n\xe2\x80\xa2 Travel vouchers were not always submitted within five working days after\n completing travel, as required by Peace Corps policy.\n\xe2\x80\xa2 Vehicle usage logs were not being properly reviewed, signed, and dated.\n\xe2\x80\xa2 Authorization from the U.S. Disbursing Officer to allow a non-direct hire staff to\n function as the post\xe2\x80\x99s cashier was not on file; the matter was being followed up by\n headquarters.\n\n\n\n\n 18 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0cAt the end of the reporting period, 16 recommendations are closed and three\nrecommendations remain open.\n\n Medical Clearance System: Program Evaluation\n\nWe conducted an evaluation of Peace Corps\xe2\x80\x99 Medical Clearance System, which is\nresponsible for medically screening applicants to ensure that Peace Corps posts are\nprovided healthy Volunteers who can serve for 27 months without undue disruption.\nThe Medical Clearance System is one component of the Volunteer Delivery System, a\ncontinuous cycle of Volunteer recruitment, screening, and placement.\n\nThe Medical Clearance System evaluation systematically analyzed a host of complex\nissues from both the applicants\xe2\x80\x99 and the Peace Corps staffs\xe2\x80\x99 perspectives including\nthe screening review systems and procedures, the screening review timeframe,\nmedical screening guidelines, communicated guidance, transparency, interoffice\ncommunication, customer service, staff training, and the reimbursement fee schedule.\n\nThe Office of Medical Services Screening unit, responsible for operating the Medical\nClearance System, reviewed 7,517 medical files and cleared 5,323 applicants in FY\n2006. In fiscal year 2006, the average time from to process an application from\nthe date received until the applicant entered on duty was 335 days. On average,\napplicants over the age of 50 years took 122 more days to process compared to\napplicants under 50 years of age. The greatest time difference between applicants 50\nyears and older and those under 50 years of age occurred during the medical review;\nolder applicants took an average of two months longer to medically screen than\nunder 50 applicants.\n\nDespite some improvements to the Medical Clearance System, the following areas\nneed additional improvement:\n\n\xe2\x80\xa2 Staff in the Office of Medical Services and the Quality Improvement Unit\n have not been proactive in implementing quality and process improvements to\n the Medical Clearance System. Standard Operating Procedures for screening\n applicants do not exist and Standard Operating Procedures for the storage of\n confidential medical information were not enforced.\n\xe2\x80\xa2 Screening data was generally unreliable and analysis techniques were not\n supportive of performance measurement and process improvement efforts.\n\xe2\x80\xa2 Applicants were frustrated that Peace Corps did not provide them with an average\n timeframe or cost for completing the Medical Clearance System process. Poorly\n organized and unclear instructions confused some applicants and their health care\n providers. These conditions also increased the time to complete the clearance\n process for some applicants.\n\n\n\n\n Peace Corps Office of Inspector General 19\n\x0c\xe2\x80\xa2 The Peace Corps had identified but not implemented technological improvement\n to the Medical Clearance System that would improve transparency and\n accessibility.\n\xe2\x80\xa2 Many recommendations identified in previous reports to improve the Medical\n Clearance System have not been implemented.\n\nManagement concurred with 40 of 55 recommendations, partially concurred with\nnine recommendations, and did not concur with six recommendations. At the end\nof the reporting period, 32 recommendations are closed and 23 remain open.\n\n\n\n\n 20 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c Investigations\n\n Overview\n \xc2\xa0\nThe Investigations Unit responds to allegations of administrative and criminal\nwrongdoing, fraud, and violent crimes that are forwarded to the Office of Inspector\nGeneral through various means, including: OIG audits and evaluations, hotline\ncomplaints, Volunteers, Trainees, staff, other federal entities and the general public.\xc2\xa0\nWe also investigate ethics and conflicts of interest violations.\xc2\xa0 The Office of Inspector\nGeneral is charged by law with the conduct of criminal investigations.\xc2\xa0 Specifically,\nthe Inspector General is authorized by statute to develop policy for the conduct\nof investigations, and to coordinate and supervise both domestic and overseas\ninvestigations.\xc2\xa0 Investigators work with other offices within the Peace Corps and/\nor with other agencies, including Immigration and Customs Enforcement (ICE),\nthe State Department\xe2\x80\x99s Diplomatic Security Services (DSS), the Federal Bureau of\nInvestigation (FBI), and the Department of Justice public prosecutors, as appropriate.\xc2\xa0\n\nWith over 8,000 Volunteers in more than 70 countries, incidents of crime against\nthem have become increasingly more commonplace.\xc2\xa0 Part of the Agency\xe2\x80\x99s support to\nVolunteers who become victims is a protocol under which country directors report\nincidents of violent crimes to the OIG.\xc2\xa0 The OIG manages and coordinates the\nAgency\xe2\x80\x99s part of the investigative and prosecution process from the reported initial\nincident to the closing of the case.\xc2\xa0 We coordinate the investigation of the crimes\nwith the country director, various headquarters offices (e.g., the Office of Medical\nServices, Office of Safety and Security), DSS and the embassy\xe2\x80\x99s Regional Security\nOfficer (RSO), and host country law enforcement.\xc2\xa0 In particular, OIG special agents\nwork with the RSO to locate and apprehend suspects and collect the best evidence\nfor local trial.\xc2\xa0 This might include preparation of witness statements, developing\nphoto spreads, or obtaining DNA analysis.\xc2\xa0 As needed, we accompany witnesses\nback to the country where the crime occurred for lineups, depositions, and trial.\xc2\xa0 We\nconsult and coordinate with the Department of Justice\xe2\x80\x99s Office of Foreign Litigation\nand receive assistance from the FBI, including the forensic laboratory at Quantico\nand the overseas legal attach\xc3\xa9s, the Armed Forces Institute of Pathology at the Walter\nReed Army Medical Center, and the Secret Service Forensic Services Division.\xc2\xa0 Our\nrole in coordinating investigations and assisting in the prosecution of violent crimes\nagainst Peace Corps Volunteers requires a high volume of work but also gives us the\nopportunity to help curb violence against Peace Corps Volunteers.\xc2\xa0\n\nTo ensure our effectiveness in the area of violent crimes, the OIG operates a 24 hours\na day, seven days a week, duty officer system whereby country directors can make\ndirect and immediate contact with criminal investigators in this office to coordinate\nresponses to violent crimes against Volunteers and assist the victims of crime.\xc2\xa0\nEarly intervention and coordinated support has enhanced the quality of overseas\n\n Peace Corps Office of Inspector General 21\n\x0cinvestigations.\xc2\xa0 We may, in limited circumstances, also arrange for a local lawyer to be\nhired to help a prosecutor make a case against the perpetrator of the crime.\xc2\xa0 The 2004\n\xe2\x80\x9cEqual Access to Justice Act\xe2\x80\x9d and other Congressional enactments, as well as the\nAttorney General\xe2\x80\x99s guidance, provide a prescriptive framework for the OIG\xe2\x80\x99s victim\nadvocacy responsibilities and authority.\n\n \xc2\xa0Investigation of the Death of a Volunteer\nIn a Pacific island country, a Volunteer was killed in a sudden, unexpected, traumatic\nmanner. The community members stated that a tree had fallen on the Volunteer;\na host country national from a neighboring village also died in the same event. An\nOIG special agent was dispatched to investigate the circumstances surrounding the\ndeath. The OIG arranged for a charter helicopter to travel to the remote location,\nand photographed, videotaped, processed, and collected evidence at the death scene.\nThere were no local police authorities available to conduct an investigation, no\ntelecommunication capability, no medical facilities, and very limited transportation\nto the remote area where the Volunteer died.\n\nThe OIG learned that community members waited approximately three hours prior\nto notifying the Peace Corps post of the Volunteer\xe2\x80\x99s death. The body was removed\nfrom the scene prior to Peace Corps\xe2\x80\x99 staff arrival. The OIG recommended that an\nautopsy be performed to establish cause of death, based on unresolved issues related\nto the manner of death as described by community members. The OIG offered to\nfly an Armed Forces Institute of Pathology (AFIP) forensic team to the host country\nto perform the autopsy, or to have them travel to the Volunteer\xe2\x80\x99s home of record\nto perform the autopsy. Due to the Volunteer\xe2\x80\x99s family wishes, an autopsy was not\nperformed, so the actual cause of death could not be established.\n\n Investigation of the Death of a Volunteer\n\nIn a South American country, a Volunteer was killed by a booby-trap gun in a\nrural, wooden area. The OIG Investigations Unit responded by sending a team to\ncountry to investigate the circumstances. OIG special agents interviewed community\nmembers, other Volunteers, and worked with the local police to examine the death\nscene, collect evidence, and conduct follow-up interviews. OIG special agents\nphotographed and videotaped the scene, collected, reviewed, and analyzed cell\nphone records, cameras, laptops, and journals that belonged to the Volunteer. With\nhost country approval, OIG special agents conducted additional interviews with\nvillagers, and coordinated with the local police to collect further evidence. The OIG\ncoordinated with AFIP to have a forensic team respond to country to assist with an\nautopsy. The investigation is ongoing.\n\n\n\n\n 22 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c Missing Volunteer Investigation\n\nIn September 2007, the OIG organized a multi-agency team that included personnel\nfrom the State Department, FBI, Bolivian officials, Rhode Island State Police, to\nconduct a search for a missing Volunteer in a remote valley in Bolivia. The search\nwas conducted after a review of documents and follow-up interviews disclosed the\nlast known location of the missing Volunteer. In October 2007, several probable\nbone fragments found by the search team were examined by AFIP forensic personnel\nand were determined to be non-human. OIG special agents are still pursuing\nhistorical records documents from the multiple agencies that have been involved in\nthe investigation of the missing Volunteer to identify outstanding issues.\n\n Investigation of an Assault and Alleged Volunteer Misconduct\n\nIn a West African country, a Volunteer notified the OIG that she was assaulted by\ntwo intoxicated fellow Volunteers while all attended a Peace Corps Volunteer training\ngraduation ceremony. The complainant told the OIG that her teeth were fractured\nas a result of the assault and she was subsequently provided with substandard medical\ncare, which ultimately resulted in her medical separation from the Peace Corps.\n\nTwo Volunteers admitted they were intoxicated at the graduation ceremony after\nparty and had given each other piggy back rides for the purpose of bumping into\nfellow Volunteers. Their actions resulted in the complainant being knocked to the\nground and fracturing her teeth. Other Volunteers told the OIG they observed\nVolunteers throwing chairs into the swimming pool and over the walls of the hotel,\nand a Volunteer entering the pool without payment. The OIG brought these\nmatters to the attention of Peace Corps management and subsequently learned that\nthe Volunteers who committed these infractions resigned in lieu of administrative\nseparation.\n\nThe complainant also informed the OIG that two Peace Corps sub-offices were\nregularly abused by members of the Volunteer community and had a \xe2\x80\x9cfrat-like\natmosphere.\xe2\x80\x9d In addition, several Volunteers informed the OIG that a small group of\nVolunteers had engaged in illegal drug use and excessive alcohol abuse. Of particular\nconcern, the OIG learned that one Volunteer made cannabis-laced brownies and\nprovided them to an unsuspecting Volunteer at the Peace Corps sub-office. That\nVolunteer consequently fell ill and had to seek medical treatment. This particular\nmatter was referred to the U.S. Department of Justice, but declined for prosecution.\n\n Investigations of Federal Employees\xe2\x80\x99 Compensation Act Recipients\n\nThe OIG Investigations Unit continues to monitor Federal Employees\xe2\x80\x99\nCompensation Act (FECA) claims. At present, the Peace Corps has approximately\n1,300 open FECA claims and the agency spends roughly $11 million dollars for\nformer Volunteers and staff who were injured or became ill on the job or during their\n\n Peace Corps Office of Inspector General 23\n\x0cservice. Unlike other Federal entities, per section 10.730 Workers Compensation\nPrograms, \xe2\x80\x9c[a]ny injury sustained by a volunteer or volunteer leader while he or she is\nlocated abroad shall be presumed to have been sustained in the performance of duty,\nand any illness contracted during such time shall be presumed to be proximately\ncaused by the employment.\xe2\x80\x9d This also includes any pre-existing condition that may\nhave been aggravated by Peace Corps service. In addition, the Peace Corps\xe2\x80\x99 five-year\nrule and Volunteer special status under the FECA program limit the possibility that\nthese individuals will return to work.\n\nDuring this reporting period, the OIG obtained the names of potentially deceased\nFECA recipients; the Investigations Unit investigated 23 of these files. In addition,\nwe investigated liability suits filed by FECA claimants.\n\nOMS identified $51,301 in overpayments; $174,181.25 in annual disability and\nmedical costs; for an actuarial savings of $2,948,034.20. The Investigations Unit\nlooks forward to coordinating upcoming visits with OMS to review claims at U.S.\nDepartment of Labor\xe2\x80\x99s Workers Compensation Offices and conduct follow-up\ninvestigations during the next reporting period.\n\n Violent Crimes Against Volunteers\nOverseas posts are required to report immediately to the OIG and RSO any incident\nof a specified list of violent crimes against Volunteers. Early notification and response\nis critical to a successful investigation and prosecution, which may assist in a victim\xe2\x80\x99s\nrecovery, serve as a protective deterrent, and remove violent persons from society.\n\nViolent crimes that are to be reported to the OIG and RSO include:\n\xe2\x80\xa2 Volunteer Death (under any circumstances)\n\xe2\x80\xa2 Kidnapping\n\xe2\x80\xa2 Rape and Attempted Rape\n\xe2\x80\xa2 Major Sexual Assault\n\xe2\x80\xa2 Robbery\n\xe2\x80\xa2 Aggravated Assault\n\xe2\x80\xa2 Major Physical Assault\n\xe2\x80\xa2 Burglary with Volunteer/Trainee present (or attempted)\n\xe2\x80\xa2 Death Threat\n\xe2\x80\xa2 Intimidation/Stalking (also Domestic Violence)\nCrimes are reported to the OIG through the telephone number 202-692-2911 or\nthe crime hotline at violentcrimehotline@peacecorps.gov, from which the Inspector\nGeneral and investigative personnel receive notification on a 24/7 basis to assure\nprompt assistance and coordination in their investigation. For overseas crimes, the\nOIG partners with the Criminal Investigative Liaison Branch (CIL) of the Bureau of\n\n 24 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0cDiplomatic Security to facilitate communications and support to the victim and to\nthe Peace Corps post. During this reporting period, approximately 265 preliminary\ninquiries were opened, which resulted in the initiation of 15 investigations.\n\nWe have also established a dedicated law enforcement liaison line (911@peacecorps.\ngov) for other federal and foreign law enforcement agencies to access OIG\ninvestigative personnel on a 24/7 basis. This resource for coordination among law\nenforcement agencies may be the first of its kind.\nWe have three special agents whose primary responsibility is to oversee the cases\nin one of the Agency\xe2\x80\x99s three geographic overseas regions: Africa; Inter-America\nand Pacific; and Europe, Mediterranean, and Asia. This pairing allows them to\ndevelop closer coordination with overseas counterparts and better understand the\ncharacteristics of each country and its criminal justice system. A fourth special agent\nprinicipally oversees the Agency\xe2\x80\x99s FECA initiatives.\n\n Closed Cases Of Violent Crime Against Volunteers\n\n\xe2\x80\xa2 The OIG previously reported a brutal rape and assault in an Eastern European\n country against a Volunteer by three host county national males. All three\n defendants were convicted; however, the U.S. Embassy and OIG instructed the\n host country attorney retained by the OIG to appeal the sentences for being too\n lenient. The government reevaluated the sentencing and determined that the\n elements of the rape had not been properly evaluated by the lower court. The\n upper court subsequently sentenced two suspects to nine years imprisonment\n (originally six year sentences) and the third defendant to six years imprisonment\n (originally probation).\n\n\xe2\x80\xa2 An OIG special agent escorted a Volunteer back to a South American country\n for a legal proceeding and to revisit to the crime scene. The Volunteer related the\n events of the night she was raped in front of the judge and the defense team. The\n case was elevated to the supreme court to render a verdict and sentencing for the\n suspect. The suspect was found guilty and sentenced to eight years in prison.\n\n\xe2\x80\xa2 An OIG special agent coordinated with the post in a West African country to\n retain counsel to represent a Volunteer for a sexual assault trial. The OIG special\n agent traveled to the post and accompanied the Volunteer, attorney, and other\n staff to the trial site. The suspect was found guilty and sentenced to three years\n probation and a fine.\n\n\xe2\x80\xa2 Two OIG special agents accompanied a former Volunteer back to the Pacific\n region for a rape trial. This was the first DNA case tried in the local legal system.\n The OIG supported the investigation by: providing guidance and direction to\n the country director, the Peace Corps Medical Officer, and the local forensic\n doctor regarding the collection and preservation of biological evidence; through\n coordination with the U.S. Embassy regional security office; and through\n direct support and victim advocacy for the Volunteer. An OIG special agent\n\n Peace Corps Office of Inspector General 25\n\x0c met with the local police regarding the investigation. While in country, the\n OIG special agent collected additional evidence at the crime scene and received\n biological evidence from a suspect held in police custody. The OIG special agent\n transported the biological evidence collected from the crime scene to the U.S. for\n analysis by the FBI laboratory. The DNA evidence proved conclusively that the\n suspect in custody is the perpetrator of the crime. This confirmation provided\n the impetus for the host country to collect and transmit its own forensic evidence\n to a New Zealand laboratory. The OIG coordinated with the host country\n prosecutor, and assisted the former Volunteer with trial preparation, logistics, and\n security to promote a favorable outcome. The suspect was found guilty on five\n charges of rape and one charge of kidnapping. Sentencing in the case is set for\n May 2008.\n\n\xe2\x80\xa2 During this reporting period, a Volunteer was raped in a Caribbean country. The\n OIG coordinated with the Regional Security Officer and the post to provide\n victim advocacy resources and information to the Volunteer. The Volunteer was\n medically evacuated to Washington, DC where she met with OIG special agents\n on several occassions. The Volunteer decided not to prosecute and returned to\n the country to complete her service.\n\n\xe2\x80\xa2 In a prior reporting period, the OIG reported that a Volunteer was stabbed\n multiple times in an East Asian country. Through immediate intervention and\n emergency surgery the Volunteer survived. Host country police continue their\n investigation. One subject has been apprehended and remains in custody, while a\n second subject is still at large. During this reporting period, the OIG continued\n to coordinate with the U.S. Embassy and the post to promote justice in this\n crime and ensure that the jailed subject is tried for the attack.\n\n\xe2\x80\xa2 In an African country, a Volunteer was raped by an acquaintance at a hostel.\n The Volunteer filed a police report and made a formal statement with the public\n prosecutor. Witnesses were interviewed and some of their statements conflicted\n with the victim\xe2\x80\x99s statement. The public prosecutor\xe2\x80\x99s office did not believe that\n the case was viable for prosecution, but asked the victim to decide if she wanted\n to pursue charges. After careful consideration and consultations with the OIG\n regarding the evidence and conflicting witness statements, the Volunteer chose to\n withdraw formal charges against the subject.\n\n\xe2\x80\xa2 A West African post notified the OIG that a Volunteer received a death threat\n from his landlord for allegedly engaging in sexual contact with a 13-year-old host\n country national. An OIG agent was dispatched to the post to investigate the\n allegations. The OIG special agent collected sworn statements from witnesses,\n the host country minor, and the Volunteer. The Regional Security Officer and\n the OIG agent interviewed the Volunteer, who denied the charges. The OIG\n special agent retrieved evidence, including physical evidence from the Volunteer\xe2\x80\x99s\n home and DNA samples. The OIG also seized the Volunteer\xe2\x80\x99s external computer\n hard drive and imaged the Volunteer\xe2\x80\x99s laptop computer. The analysis of the\n\n 26 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c imaged and seized hard drives revealed no evidence of child pornography or other\n illegal activity.\n\n Active Investigations of Violent Crime Cases\n\n\xe2\x80\xa2 In a prior reporting period, the OIG reported on the murder of a Volunteer in\n a Southern Asian country. A suspect was apprehended and remains in custody.\n During this period, the OIG special agent worked with the local attorney\n to support trial efforts, which included sifting through collected evidence,\n photographs, reports, and witness statements. The OIG special agent aided in\n the search for local witnesses to appear in court, and organized the travel of a\n U.S. citizen witness who was with the Volunteer the day that she disappeared.\n The OIG special agent testified in court about the OIG\xe2\x80\x99s role in the consensus-\n based search model effort used to locate the victim, the body recovery, and the\n on-scene identification of the Volunteer. Per the family\xe2\x80\x99s request, the OIG has\n updated the family members on the case and trial, and responded to questions\n asked about recovery efforts, manner of death, and post-mortem findings. The\n trial is ongoing.\n\n\xe2\x80\xa2 A Volunteer serving in Asia was raped by a host country national male in\n the foyer of an apartment building. The police subsequently retrieved text\n messages sent by the subject immediately following the incident in which\n he apologized and asked for forgiveness. The suspect admitted to the attack\n during police questioning. Local authorities are not aggressively pursuing the\n rape investigation, in part because the victim only had minor injuries, and the\n suspect recanted his confession and claimed the encounter was consensual.\n The OIG retained an attorney experienced in sex crime issues to work with\n the local prosecutor\xe2\x80\x99s office to maximize chances of conviction. The attorney\n recently advised the OIG that the host country prosecutor wants to dismiss the\n charges. The OIG is coordinating with the U.S. Embassy to request that the host\n government make a fair and unbiased assessment of the facts before dismissing\n the case.\n\n\xe2\x80\xa2 A Volunteer serving in the Caribbean reported that she had been raped during\n an electrical blackout. The Volunteer was en route to her home on a motorcycle\n taxi when the driver pulled up to a house to allegedly talk to a friend. The\n driver invited the Volunteer to come inside the house, where she was accosted by\n another subject and raped. The OIG aided the Volunteer in obtaining financial\n assistance to help with medical repercussions associated with the rape. The\n OIG also collected evidence to aid in the identification of the perpetrator. The\n investigation is ongoing.\n\n\xe2\x80\xa2 An OIG special agent accompanied a former Volunteer back to a Caribbean\n country for the trial of an aggravated assault. The OIG also coordinated logistics\n for a U.S. Embassy FSNI in Barbados to assist in this matter. The Volunteer had\n been stabbed twice and was medically separated from Peace Corps as a result of\n\n\n Peace Corps Office of Inspector General 27\n\x0c his injuries. The trial was heard at the Magistrate\xe2\x80\x99s Court, and a police prosecutor\n was assigned to the case. However, the prosecutor was ill-prepared and\n conducted no trial preparation with the Volunteer. The defendant had a private\n attorney. Ultimately, the police prosecutor withdrew the charges against the\n defendant. In response, the OIG special agent and FSNI met with the Deputy\n Police Commissioner, and followed up with the post and the U.S. Embassy to\n draft a letter to the Police Commissioner. The Volunteer is prepared to return for\n future hearings in this matter.\n\n\xe2\x80\xa2 In a Caribbean country, a Volunteer was the victim of an attempted rape. The\n police identified and apprehended a suspect. An OIG special agent assisted the\n post in hiring a lawyer to represent the Volunteer. At the preliminary hearing,\n the judge presiding over the case decided there was enough evidence for the case\n to go to trial, which has been scheduled for April 2008.\n\n\xe2\x80\xa2 In a West African country, a Volunteer was raped. An OIG special agent\n contacted the Volunteer to explain prosecution options. The Volunteer chose\n to press charges and will return to the country for trial. The OIG special agent\n coordinated with the post to retain counsel to represent the Volunteer. The case\n is awaiting trial.\n\xe2\x80\xa2 As was previously reported, a Volunteer was raped at another Volunteer\xe2\x80\x99s home\n by an acquaintance in a South American country. The defendant stated that\n he had no physical contact with the Volunteer in his official statement to the\n local police. The OIG special agent had met with the Deputy Attorney General\n who commented that if the defendant\xe2\x80\x99s DNA was found on or in any of the\n evidence collected, a prosecution could be pursued. In July 2007, the OIG\n special agent returned to the post and subsequently transported a second set of\n biological samples to the FBI laboratory for DNA analysis. In March 2008, the\n FBI indicated that the defendant\xe2\x80\x99s DNA was found in the evidence. This case is\n ongoing.\n\n\xe2\x80\xa2 In a Central American country, a Volunteer was robbed and a U.S. citizen\n friend was gang raped. An OIG special agent coordinated with the local police,\n prosecutors, and forensic analysts. Three suspects were captured and their DNA\n was collected for comparison with evidence collected from the victim. Because\n the country does not yet have DNA analysis capabilities, the OIG special agent\n took custody of the DNA evidence and brought it to the FBI lab in Quantico,\n Virginia. Results of the analysis are pending.\n\n\xe2\x80\xa2 A female Volunteer serving in Central Asia reported she had had been raped and\n robbed by multiple host country males over the course of two nights. When the\n Volunteer notified the police of this matter, the investigating officials informed\n the local Peace Corps office and the embassy that the Volunteer could potentially\n be charged for criminal conduct, because she had allowed 15 to17 year old\n males into her home and allegedly provided them alcohol. The Volunteer was\n\n\n 28 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c subsequently allowed to return to the United States for medical treatment. The\n case has been forwarded to the local prosecutor\xe2\x80\x99s office where charges against the\n five host country nationals are under consideration.\n\n Title 18 Criminal and Other Investigations Conducted\n\xe2\x80\xa2 During this reporting period, the OIG investigated allegations that the agency\n had allowed visitors into the Peace Corps headquarters facility who lacked\n government-issued identification, which is a violation of Peace Corps\xe2\x80\x99 policy.\n The investigation determined that on several occasions, visitors arrived at the\n Peace Corps facility without valid government-issued identification. However,\n the visitors were verbally cleared by security management to pass through\n the checkpoint after security screenings and were deemed by same to pose no\n apparent risk. As a result of the OIG investigation, Peace Corps amended its\n policy to allow security management limited, case-by-case discretion to allow\n visitors without valid government-issued identification to enter the Peace Corps\n facility. However, the OIG notes that this policy change does not address\n the need that such discretion must be formally documented in writing for\n accountability of all visitors that enter the Peace Corps facility.\n\n\xe2\x80\xa2 The OIG was notified that a Peace Corps employee from an African country\n had been apprehended for smuggling two kilograms of heroin into the United\n States. An OIG special agent is assisting the Department of Homeland Security\n with the investigation into the circumstances surrounding the illegal possession,\n transportation, and importation of heroin by the employee. The employee was\n on official annual leave when she was stopped and arrested at JFK International\n Airport. The OIG investigation is ongoing and we will determine whether any of\n the criminal activity involved Peace Corps resources or official cover.\n\n\xe2\x80\xa2 In April 2007, the Government Accountability Office issued a report on the\n fraud and abuse of the federal transit benefits program by federal workers. This\n report prompted the Peace Corps OIG to examine its employees who receive\n metro benefits for fraud and abuse of the Agency\xe2\x80\x99s transit benefits program.\n The OIG has gathered information regarding the Agency\xe2\x80\x99s employees who are\n receiving benefits and our investigation is ongoing.\n\n\xe2\x80\xa2 The OIG was notified that several attempts to withdraw cash using a credit card\n belonging to a Volunteer serving in East Africa were made in a European country.\n An OIG special agent contacted the Volunteer\xe2\x80\x99s parents and local banking\n institution to provide the host country police with details of the attempted\n transactions. The Volunteer has since been issued a new credit card. The host\n country police concluded their investigation due to insufficient evidence.\n\n\xe2\x80\xa2 The OIG received a number of ethics allegations regarding a particular staff\n person in a Central American country. From August 2007 through January\n\n\n\n Peace Corps Office of Inspector General 29\n\x0c 2008, the OIG coordinated with the RSO to conduct an investigation and\n determined that the allegations were unfounded.\n\n\xe2\x80\xa2 Two OIG special agents traveled to a South American country to interview staff\n members and Volunteers regarding thefts from Volunteers\xe2\x80\x99 lockers that occurred\n at the Peace Corps office. The investigation was inconclusive due to the amount\n of people who had access to the area and the amount of time from when the\n thefts occurred to when it was reported to the OIG. It was recommended by the\n RSO that new, more secured lockers be ordered.\n\n\n\n\n 30 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0cTABLE 1: List of Reports : Audits, Evaluations, and Inspections\n\n\n\n\n Peace Corps/Eastern Caribbean Audit\n Peace Corps/Fiji Audit\n Peace Corps/Georgia Audit\n Peace Corps/Kazakhstan Audit\n Peace Corps/Peru Audit\n Peace Corps/Armenia Follow-up Audit\n Peace Corps/China Follow-up Audit\n Medical Clearance System Program Evaluation\n\n\n\n\n Peace Corps Office of Inspector General 31\n\x0c TABLE 2: Reports Issued with Questioned Costs or\n Funds Put to Better Use\n\n\n Value Note\n\nAudit of\nPeace Corps/Eastern Caribbean \t\t $\t 31,591.80 \t 1\n\nAudit of Peace Corps/Peru\t $\t 5,933.83\t\t 2\n\nTotal of Reports Issued with Costs \t\nQuestioned or Funds Put to Better Use\t\t\t$\t 37,525.63\n\n\nNote:\n1. Cashier advances.\n2. Imprest fund and unliquidated obligations.\n\n\n\n\n 32 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c TABLE 3: Status of Reports Issued by\n OIG with Costs Questioned\n\n\n\n\n Number of Value\n \t\tReports\n\nA. Reports issued prior to this period\n For which no management decision had been\t\n made on any issue\t 0\n For which some decisions had been made\n on some issues\t 0\n\nB. Reports issued during the period\t 1 \t $6,743.21\n\nTotal of Categories A and B\t 1 \t $6,743.21\n\nC.\tFor which final management decisions were made\t\n\t during this period\t 1 \t $6,743.21\n\nD.\tFor which no management decisions were made\n\t during the period\t 0\n\nE.\t For which management decisions were made\n on some issues during the period\t 0\t\n\nTOTAL OF CATEGORIES C, D, and E\t 1 \t $6,743.21\n\n\n\n\n Peace Corps Office of Inspector General 33\n\x0c TABLE 4: Status of Reports Issued by\n OIG with Funds Put to Better Use\n\n\n\n \t\n Number of Value\n Reports\n\nA. Reports issued prior to this period\t\n For which no management decision had been\n made on any issue\t 0\n For which some decisions had been made\n on some issues\t\t0 0\n\nB. Reports issued during the period\t 2 \t\t $30,782.42\n\nTotal of Categories A and B\t 2\t\t $30,782.42\n\nC. For which final management decisions were made\n \tduring this period \t 2\t $30,782.42\n\nD.\tFor which no management decisions were made\n \t during the period\t 0 0\n\nE. For which management decisions were made\n on some issues during the period\t 0 0\n\nTOTAL OF CATEGORIES C, D, and E\t 2\t $30,782.42\n\n\n\n\n34 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c TABLE 5: Reports with Recommendations on which Corrective\n Action has not been Completed\n\n\n Recommendations open 60 days or more\nReport \t\t\t\tDate Issued Number of Open\n \t\t\t\t\t\t\t\t\t\t\t Recommendations\n\nPC/Eastern Caribbean: Audit\t\t\t\t\t12/20/2007\t 38\nPC/Fiji: Audit\t 1/10/2008\t 3\nFederal Information Security Management Act \t1/15/2008 \t 5\n Recommendations open 120 days or more\nReport \t Date Issued \t Number of Open\n Recommendations\n\nPC/Armenia: Audit \t 10/24/2007\t 1\nPC/Kazakhstan: Audit\t 10/30/2007\t 7\nFY 07 Agency Financial Statements: Audit\t 11/13/2007 \t 11\n\n Recommendations open 180 days or more\nReport \t Date Issued \t Number of Open\n \t \tRecommendations\n\nFY 04 Agency Financial Statements: Audit \t 11/15/2004 \t 2\nAudit of the Safeguarding of Social Security Numbers \t 3/4/2004 \t 1\nFY 05 Agency Financial Statements: Audit \t 11/15/2005 \t 3\nTravel Policies and Procedures: Audit \t 6/27/2006 \t 5\nPC/Cameroon: Evaluation \t 10/23/2006 \t 15\nPC/China: Audit \t 3/30/2007 \t 1\nPC/Panama: Audit \t 6/22/2007 \t 4\nPC/Eastern Caribbean: Evaluation \t 6/25/2007 \t 9\nPC/Cameron: Audit\t 8/31/2007 \t 2\nPC/Senegal:Audit \t 9/25/2007 \t 6\n\n\n\n\n Peace Corps Office of Inspector General 35\n\x0c TABLE 6: Summary of Investigative Activity\n\n\n\nCases NUMBER\nCases opened as of 10/1/2007 \t74\nCases opened during 10/1/2007 - 3/31/2008 \t17\nCases closed that were previously opened \t 39\nCases opened and closed during 10/1/2007 - 3/31/2008 \t 0\nTotal open cases as of 3/31/2008 \t 60\nReferrals for Department of Justice Prosecution \t5\nReferrals for Agency Administration Action \t 1\n\nDomestic Court Actions NUMBER\nTrial(s) Pending \t 0\nConvictions \t 0\nAcquittals \t 0\nJudgments \t 0\nFines/Restitutions \t 0\n\nOverseas Court Actions NUMBER \t\n\nTrial(s) Pending \t\t 6\nConvictions \t 5\nAcquittals \t 0\nJudgments \t 0\nFines/Restitutions \t 0\n\nMonetary Results NUMBER\nAnnual Savings \t 0\nRecoveries/Restitution \t 0\nCost Avoidance \t 0\n\nADMINIstrative Actions NUMBER\n\nEmployees (Resignations and Terminations) \t 7\nOther Employee Actions \t 0\nOther Persons/Businesses \t 0\n\n\n\n\n 36 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c TABLE 7: Summary of Hotline and Other Complaints\n\n\n\n\nComplaints Received 13\nComplaints Closed 14\nAwaiting OIG Action 1\nResulted in Investigations 1\nResulted in Audits 0\nResulted in Evaluations 0\nReferred to Agency Management 0\nReferred to Other Agency 0\nNo Action Needed 11\n\n\n\n\n Peace Corps Office of Inspector General 37\n\x0c TABLE 8: References to Reporting Requirements of\n the Inspector General Act\n\n\nThe Inspector General Act of 1978, as amended, specifies reporting requirements for\nSemiannual Reports to Congress. The requirements are listed below and indexed to the\napplicable page.\n\nAct Reference Reporting Requirements Page\n\nSection 4(a)(2) Review of legislation and regulations None\nSection 5(a)(1) Significant problems, abuses, and deficiencies 6 \xe2\x80\x93 20\nSection 5(a)(2) Significant recommendations for corrective actions 6 \xe2\x80\x93 20\nSection 5(a)(3) Prior significant recommendations on which corrective action\n has not been completed 35\nSection 5(a)(4) Matters referred to prosecuting authorities 29 \xe2\x80\x93 30\nSection 5(a)(5) Summary of instances where information was refused None\nSection 5(a)(6) List of audit reports, including evaluations, inspections, and\n reviews 31\nSection 5(a)(7) Summary of significant reports 10 \xe2\x80\x93 20\nSection 5(a)(8) Statistical table - questioned costs 33\nSection 5(a)(9) Statistical table - funds put to better use 34\nSection 5(a)(10) Summary of previous audit reports without management\n decisions None\nSection 5(a)(11) Significant revised management decisions None\nSection 5(a)(12) Significant management decisions with which the Inspector\n General disagrees None\nSection 5(a)(13) Information under Federal Financial Management\n Improvement Act of 1996 None\n\n\n\n\n 38 Semiannual Report to Congress October 1, 2007 - March 31, 2008\n\x0c\x0c\x0cHelp promote the integrity, efficiency, and effectiveness of the Peace Corps.\nAnyone knowing of wasteful practices, abuse, mismanagement, fraud, or\nunlawful activity involving Peace Corps program or personnel should call or\nwrite the Office of Inspector General.\n\nCall:\nMain Office (202) 692-2900\nHotline (800) 233-5874\nViolent Crime Notifications (202) 692-2911\n\nWrite:\nPeace Corps\nAttn: Inspector General\n1111 - 20th St., N.W.\nWashington, DC 20526\n\nOr\n\nPeace Corps\nAttn: Inspector General\nP.O. Box 57129\nWashington, DC 20037-7129\n\nEmail:\nHotline: OIG@peacecorps.gov\nViolent Crime Notifications: violentcrimehotline@peacecorps.gov\n\n\n\n\n Information received is held in confidence to the maximum feasible extent.\n\x0cPeace Corps\nOffice of Inspector General\nPaul D. Coverdell Peace Corps Headquarters\n1111 - 20th St., NW\nWashington, DC 20526\n\x0c'