Department of Justice

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Feds: Laundered Cash Financed Wolf of Wall Street

DOJ accuses Malaysian officials of stealing $3.5B

(Newser) - The financing of The Wolf of Wall Street was "a case of life imitating art," prosecutors say—with shady Malaysian officials standing in for Leonardo DiCaprio's stock-swindling character. On Wednesday, the Justice Department accused Malaysian officials of plundering more than $3.5 billion from the country's... More »

Goldman Sachs Will Pay $5B Over Sketchy Mortgages

Time to pay the piper for the crash

(Newser) - The Justice Department announced a $5 billion settlement with Goldman Sachs over the sale of mortgage-backed securities leading up to the 2008 financial crisis, reports the AP . The deal announced Monday resolves state and federal probes into the sale of shoddy mortgages before the housing bubble and economic meltdown; Reuters... More »

Feds Indict 7 Iranians in Hacks on US Banks, Dam

First time DOJ has taken action against Tehran

(Newser) - Seven hackers tied to the Iranian government were charged Thursday in a series of punishing cyberattacks on a small dam outside New York City and on dozens of banks—intrusions that reached into American infrastructure and disrupted the financial system, federal law enforcement officials said. The hackers were charged in... More »

Whistleblower Wins $51M in Medical Device Kickback Case

Ex-compliance officer for Olympus says doctors, administrators got grants, trips

(Newser) - A whistleblower who worked for Olympus Corporation of the Americas for 20 years will receive $51 million from the company after it admitted to a scheme of bribery and kickbacks and agreed Tuesday to pay $646 million in fines, CNNMoney reports. John Slowik was named the company's compliance officer... More »

US Sues Volkswagen, but Is Move Too Light?

Justice Department civil case could cost company billions

(Newser) - The Justice Department is filing a civil suit against Volkswagen that could cost the automaker billions of dollars over its rigging of emissions tests , reports Reuters . The department is suing on behalf of the EPA, alleging that VW violated the Clean Air Act with its popular line of diesel vehicles,... More »

FBI Talking to Customers of Fantasy Sports Leagues

Feds looking into legality of sites such as DraftKings and FanDuel

(Newser) - The FBI and Justice Department are digging into the scandal that's erupted in the fantasy sports world, and they've begun talking to customers, reports New York Times . "It is entirely predictable that the government would follow up on the misleading reports about our industry," says a... More »

Feds: Homeless Have a Right to Sleep Outside

DOJ says laws forbidding it essentially criminalize homelessness

(Newser) - The US government believes it is unconstitutional for cities and towns to prohibit homeless people from sleeping outside, according to a statement of interest filed by the Department of Justice in a case out of Boise, Idaho. The Idaho Statesman reports the suit was brought against Boise by a number... More »

US Tracked Billions of Calls Long Before 9/11

USA Today: DEA, Justice Department collected data for 20 years

(Newser) - Edward Snowden's revelations about the NSA and its surveillance tactics may have riled people up, but the agency apparently took its cue from two other government departments: the DEA and the DoJ. For almost 10 years before 9/11 took place, the agencies secretly kept records of billions of international... More »

Ferguson City Manager Quits

But John Shaw says he never 'heaped abuse on the poor'

(Newser) - More Justice Department report fallout in Ferguson: City manager John Shaw has agreed to step down, and the city council voted 7-0 to approve a "mutual separation agreement" last night, reports the New York Times , which notes that Shaw was the most powerful official in Ferguson but had been... More »

Mayor: Ferguson Cop Fired Over Racist Emails

He says changes underway after DOJ report

(Newser) - The mayor of Ferguson, Mo., says big changes are already underway after the release of a scathing Department of Justice report on the city's police force. Mayor James Knowles says one police official involved in sending racist emails has been fired and two more have been suspended pending an... More »

Twitter Suit: Gov't Won't Let Us Talk About Data Requests

Tech giant's complaint says restrictions violate its First Amendment rights

(Newser) - First rule about government requests for information: Don't talk about government requests for information. That's one rule Twitter doesn't want to play by, leading to a lawsuit filed today that claims the US government is violating the company's First Amendment rights by forcing it to keep... More »

Feds, BofA Strike $17B Settlement

Justice announces largest deal it's ever reached

(Newser) - The Justice Department has announced a $16.65 billion settlement with Bank of America over its role in the sale of mortgage-backed securities in the run-up to the 2008 financial crisis. The deal announced today calls for the bank, the second-largest in the US, to pay a $5 billion cash... More »

DOJ Plan: Cut 20K Inmates' Jail Time by 23 Months

Holder-endorsed proposal would reduce nonviolent offenders' sentences

(Newser) - Some 9% of the federal prison population could see their sentences reduced by an average of 23 months thanks to a new Justice Department proposal endorsed by Eric Holder. The US Sentencing Commission voted in April to reduce drug sentences for nonviolent offenders in the future; this proposal, presented to... More »

Indiana: We Can't Afford to Reduce Prison Rape

State decides it's better off losing federal grants

(Newser) - Indiana's governor says the state will not be implementing federal guidelines for reducing prison rape because the cost is too high and it has other spending priorities. State officials say complying with the Prison Rape Elimination Act passed in 2003 and signed into law by George W. Bush would... More »

Thousands of Drug Offenders Get New Shot at Clemency

White House calls for 'justice, fairness, proportionality'

(Newser) - Thousands of nonviolent drug offenders now serving long sentences in federal prisons could receive clemency from President Obama under a major Department of Justice overhaul. Attorney General Eric Holder announced yesterday that "a larger field of eligible individuals" will be eligible for clemency under new guidelines and the administration... More »

Eric Holder Hospitalized for Shortness of Breath

AG resting comfortably after dizzy spell

(Newser) - The Justice Department says Attorney General Eric Holder has been taken to the hospital as a precaution after experiencing faintness and shortness of breath at work. A statement says Holder is "resting comfortably and in good condition" at a Washington hospital after feeling the symptoms during a morning meeting... More »

Lawyers to Obama: You Have 4 Options to Reform NSA

Scrapping phone-snooping program is one of them

(Newser) - President Obama asked White House lawyers last month to come up with ways to reform the National Security Administration's phone-surveillance program and they have delivered four options, insiders tell the Wall Street Journal . One option—and probably the least likely to be adopted—is scrapping the program altogether, while... More »

DOJ: Prosecutor Said 'Boys Will Be Boys' About Rape Case

Feds say it's part of a 'disturbing pattern' in Montana's Missoula County

(Newser) - The Justice Department thinks prosecutors in the Missoula County Attorney's Office in Montana take reports of sexual assaults so lightly that it "places the safety of all women in Missoula at risk," reports Mother Jones . It's not the first time DOJ has gotten involved , but the... More »

Deputy AG: NSA 'Probably' Has Congress' Call Data

Lawmakers lambaste deputy attorney general James Cole

(Newser) - Just how sweeping is the NSA's data collection? So sweeping that it likely includes members of Congress and President Obama himself, Deputy Attorney General James Cole conceded yesterday. In a contentious Judiciary Committee hearing, Darrell Issa asked Cole directly if the government collected data on numbers beginning with (202)... More »

Feds Set to Ban Profiling by Religion, Nationality

But national security loophole may stay open

(Newser) - The Justice Department is poised to ban federal agents from profiling suspects by religion, nationality, gender, and sexual orientation as well as race, reports the New York Times . Sources say Attorney General Eric Holder, who has condemned profiling in the past, revealed plans to expand the ban on racial profiling... More »

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