Our Opinions, Thoughts, & Ideas


ARE CANADIAN PROVINCIAL GOVERNMENTS
HANDING OVER YOUR PERSONAL/MEDICAL
INFORMATION
TO CORPORATIONS?

"Only terrorists need to fear the USA Patriot Act..."
- John Ashcroft, US Attorney General, Sept. 19, 2003


INTRO

From my own reading, research and listening to alternative talk radio, I am, like so many others, fed up of being referred to by family and friends as a conspiracy "theorist", when the facts to back up the reality, that we are rapidly descending into a global fascist tyranny, are everywhere, for anyone who cares to open their eyes.

As a senior, I was appalled to learn recently of the BC Government's decision to award a ten year contract to outsource the administration of the BC Medical Plan and Pharmacare to a private, for profit, American corporation, and the implications of such to sovereign Canadians.

Wanting to understand fully the implications of this outsourcing, I began in late December by calling my local BC member of the legislature's office. I asked the assistant who answered my call, was it true that my private medical information was to be handled by a private American corporation, to which she answered "yes". My second question was to the effect, has my medical information already been transferred to the US, to which she answered "I don't know if its already been done yet - when the transfer is to take place, you'll have to go to the Ministry's web site for that information." Thus, the following information is a result of my search to find those answers. From the information provided here, you'll come to understand why as a senior I am so disturbed at what I found, and why I believe ALL Canadians should be concerned.

Since so much information seems to be disappearing from the Internet following 9-11, I have not only provided the links to the information herein so that you may check the information yourself, but have also included either the complete news item/article, or individual paragraphs of an article. Consequently, this file is large, and I urge you to copy it to your hard drive (right click and "save as") to read at your leisure. Feel free to copy and send this information to everyone you care about on an URGENT basis.

This information is compiled from searches of 3,000 of 21,200 links listed on Google, and 2,000 of 13,100 links on Yahoo for the term "Maximus Inc". I urge you to do further research on this company, and perhaps all of the companies mentioned herein. Here goes.

ARE CANADIAN PROVINCIAL GOVERNMENTS HANDING OVER YOUR PERSONAL/MEDICAL INFORMATION TO PRIVATE, FOR PROFIT, CORPORATIONS OF THE MILITARY/INDUSTRIAL COMPLEX?

Beginning at the B.C. Medical Plan Services web site: http://www.healthservices.gov.bc.ca/msp/ which states:

"The Province is moving to modernize and improve the administration of MSP and PharmaCare, and to enhance the timeliness and quality of service to the public and health professionals. After a year-long procurement process, MAXIMUS BC has been selected to provide program management and information technology services to government. This will help to improve B.C.'s health benefits operations services, which include responding to public inquiries, registering clients, and processing medical and pharmaceutical claims from health professionals. Direct health care services to patients are not involved. Under the 10-year, $324 million contract, the operations will remain in Victoria. The valuable knowledge and experience of MSP and PharmaCare staff will now be combined through this arrangement with the best available technology and business processes. Privacy and security have been top priorities of this initiative."

(Editor's note: From the first pdf doc you'll assume that Maximus BC is a Canadian company. Sounds cute doesn't it, Maximus BC however is a subsidiary of an American Company out of Reston, Virginia - more on Maximus Inc. later).

..."Government Moves To Improve MSP And Pharmacare Services","MAXIMUS BC has been selected to provide program management and information technology services to government. B.C.’s health benefits operations services include responding to public inquiries, registering clients, and processing medical and pharmaceutical claims from health professionals" and "Under the terms of the 10-year, $324 million contract, the operations will remain in Victoria."

...“We thank the Information and Privacy Commissioner for his extensive report on the potential impacts of the USA PATRIOT Act. We have assessed the MAXIMUS BC agreement against the commissioner’s recommendations and have determined that the contract meets or exceeds those recommendations. In addition, the agreement fully complies with the recently amended Freedom of Information and Protection of Privacy Act, and the government’s revised privacy guidelines. The requirements for the protection of privacy are stringent and onerous, and provide an unprecedented level of protection in the country in this area of service.” Privacy and security have been top priorities of this initiative since its inception. And "Strict privacy measures, records management and retention policies will be implemented, including:

• DATA STORAGE AND ACCESS WILL BE BASED SOLELY IN CANADA (my emphasis), and can only be changed with the Province’s express consent.
• All directors on the board of MAXIMUS BC are resident Canadians.
•NO REMOTE ACCESS TO DATA FROM OUTSIDE CANADA. (my emphasis)
• Special restrictions on data access and supervision requirements of U.S. EMPLOYEES WORKING IN CANADA ON TRANSITION AND TRANSFORMATION ACTIVITIES. (my emphasis)
• All employees and sub-contractors who have access to data will sign non-disclosure agreements with the Province."

In the pdf document titled: "Backgrounder: IMPROVING MSP AND PHARMACARE SERVICES" one can read:

..."Enable government to continue to have ownership and control of all information, set all policy, be accountable for all services and ensure personal privacy is protected. This is alternative service delivery, not privatisation."

..."• The B.C. Information and Privacy Commissioner subsequently undertook a review of the implications for British Columbia of the USA PATRIOT Act."

"• Upon undertaking the review, the commissioner felt unable to advise the health benefit operation project as he needed to remain independent of any ‘alternative delivery service’ project." And
"• Government made its submission to the Information and Privacy Commissioner, which highlighted a plan for tough new privacy legislation and contractual solutions.
• The commissioner concluded that the USA PATRIOT Act poses some risk to privacy, however, the commissioner made it very clear, that “a ban on outsourcing would not be a practical or effective response to this risk, but that other mitigating measures should be implemented at legislative, contractual and practical levels.”
• Government compared the draft MAXIMUS agreement to the commissioner’s recommendations and found that the contract meets or exceeds the commissioner’s recommendations." And
"• The contract with MAXIMUS was only signed after the ministry was assured the personal information of British Columbians is and will continue to be protected."

"Privacy and Security Provisions"
In the contract with MAXIMUS.

"• Technical protection measures:
o Strong technology security measures will be implemented, including firewalls, encryption and physical security.
o Special restrictions on data access and oversight/ supervision requirements apply to any U.S. employees working on transition and transformation activities.
o Data storage and access, including remote access, will be only in Canada, and can only be changed with the Province’s express consent.
o Data access will be segregated so that only the B.C. service provider (and not the Canadian or U.S. companies) has access.
o Outbound web and e-mail access for staff will be prohibited or restricted, except as required to deliver specific services.
o Hardware that would enable data to be copied and taken offsite, such as removable floppy drives, CD burners and USB smart drives will be restricted to designated personnel." and

"• Contractual protection measures:"
"o Service provider policies and procedures outline all privacy and security objectives, methodologies, and disclosure requirements.
o Within the B.C. service provider, access will be further segregated to align with specific job requirements.
o Strict records management and retention policies will be implemented.
o Privacy Impact Assessments will be required prior to any systems change.
o The contract includes termination rights in the event of disclosure or privacy breach.
o All employees who have access to MSP or PharmaCare data sign non-disclosure agreements directly with the Province.
o Non-disclosure agreements and contract language include the requirement for the signer to notify the Province in the event that he/she becomes aware of any potential disclosure.
o Whistleblower protection and hotline for employees to call.

"• Corporate protection measures:
o The Province has contractual rights that allow the Province to take over the operations of the B.C.company in the event of a potential disclosure of personal information.
o All Canadian resident directors on the board of the B.C. company.
o Creation and reference to a detailed privacy plan in the contract.
o Service provider must have dedicated privacy and security officer who monitors compliance.
o Contract includes liquidated damages in the event of disclosure or privacy breach in response to a requirement of a foreign country or agency.
• The agreement is fully compliant with the recent Freedom of Information and Protection of Privacy Act (FOIPPA) Amendment Act and the recommendations made by the Information and Privacy Commissioner."

In the pdf document titled:
"Backgrounder: MAXIMUS BC/ALTERNATIVE SERVICE DELIVERY MAXIMUS BC/Alternative Service Delivery"

"In July 2003, the ministry issued a business proposal to engage the private sector and identify a suitable partner with capacity to develop innovative solutions, tailored to B.C.’s unique requirements.
• The business proposal was open to Canadian and international bidders.
• MAXIMUS was selected as the successful proponent in March 2004." and
"• A contract was signed on Nov. 4, 2004 with MAXIMUS after more than one year of searching for a suitable partner and negotiating a contract.
• MAXIMUS IS A U.S.-BASED COMPANY BASED IN RESTON, VIRGINIA, (my emphasis) that provides business and information technology services to governments worldwide.
• MAXIMUS has a Canadian subsidiary, MAXIMUS Canada, which owns two separate B.C. companies located in Victoria." and
"• Companies’ Boards of Directors will be Canadian citizens who are B.C. residents. They are Brian Pollick, Leah Hollins and David Flaherty.
• MAXIMUS Canada was incorporated in 2002 when it bought THEMIS Program Management & Consulting Limited, the Victoria-based company that has delivered the Family Maintenance Enforcement Program (FMEP) on behalf of the Ministry of Attorney General since 1988."

RELATED NEWS ARTICLES/REPORTS

http://republic-news.org/archive/95-repub/95_potvin_maximus.htm
August 19 to September 1, 2004 • No 95

Health records may fall under Patriot Act

"The government plans to sign a contract August 31 with US-based Maximus to take over management of BC citizens' health and pharmaceutical records. Maximus is subject to the USA Patriot Act"

by Kevin Potvin

"The government plans to sign a contract August 31 with US-based Maximus to take over management of BC citizens’ health and pharmaceutical records. But the USA Patriot Act that would guide that company’s handling of our records directly contradicts our own Privacy Act that our government has committed any contractor to respecting."

...."Maximus is an interesting choice if patient privacy is the government’s top priority. Because Maximus is a US-based firm, it falls under the provisions of the USA Patriot Act. This extraordinary piece of legislation allows federal intelligence agencies virtually unfettered access to all documents in the possession of US companies, without any search warrants."

"Not that Maximus is run by the kind of people who would likely judge US intelligence intrusions into personal medical records to be terribly onerous. The President and CEO of Maximus, and founder of the company, is David V Mastran, who graduated with a B Sc in 1965 from United States Military Academy at West Point."

"John F Boyer is president and general manager of the health sciences unit at Maximus. Immediately prior to this post, he worked inside the Pentagon doing an unidentified job, but before that, he was a neurological instructor at the US Navy’s medical center. His educational credits include a degree from the Naval Postgraduate School."

"James R Thomson, Jr is a director on the board of Maximus. He is a former chairman of the President’s Intelligence Oversight Board, but currently serves as a member of the National Commission on Terrorist Attacks Upon the United States. He also sits on the board of Hollinger International."

"Clay Kline is vice president of the Asset Solutions division at Maximus. Previously, he worked for Brown and Root, the huge private US military contractor, and before that, the US Air Force. He received his B Sc at the US Air Force Academy."

"One of the top individual investors in Maximus is Thomas Grissen, who previous to his turn at the company directed the implementation of the national fingerprint system in the United Kingdom."

"On and on it goes in ties between Maximus and the US military industrial complex. Very little of their military background seems especially suited to the task of managing storage and dissemination of health and pharmaceutical records of BC residents. They are instead more suited to services like surveillance, monitoring, and tracking of individuals-exactly the sort of thing the government says is its priority to avoid."

"It is the Patriot Act that turns all information management companies working in the US into de facto arms of the sprawling US intelligence gathering monolith."

"The Patriot Act was enacted into law by Congress at the end of the week during which the Congressional building, and much else in the capital, had been closed due to the emergency presented by at least five separate biological weapons attacks on specific leading political figures in Washington. Five workers who handle mail died when they were exposed to weaponized-grade anthrax lurking in what appeared to be posted letters to Tom Daschle, among others, the leader of the Democratic opposition in the Congress. While many offices in the Congressional building remained closed while being scrutinized for biological weapons contamination by investigators wearing full-body contamination suits, the governing side of the Congress introduced The USA Patriot Act. It was passed that same day without debate-and without most voting members of Congress having seen the document, much less read it, since few copies were prepared or delivered, the Congress mail system being that week a crime scene."

"Among the provisions of the Patriot Act is to empower all US intelligence gathering agencies to snoop into records managed by private companies without warrants. Also, the act makes it illegal for any company whose records have been examined to reveal that information."

"Should Maximus win the contract to manage British Columbian’s health and pharmaceutical records, those records would not only become available to all US intelligence agencies as they please, but Maximus would also be legally obligated to refrain from informing the BC government or British Columbians that a request for records had been made, or that such a request had been served."

"The government says in its press release about the search for a private contractor that “patient privacy will be the critical focus of any solution considered and compliance with all privacy requirements will be mandatory.” Those privacy requirements include the provision that the managing company at least inform MSP that patient records had been handed over to some third party. But the Patriot Act denies any American company the legal ability to do that."

“Proposed solutions will meet or exceed the requirements of the Freedom of Information and Protection of Privacy Act,” the government’s press release continues, “and the successful vendor will manage health-care information in accordance with the act,” it asserts. Yet, if the government pursues a deal with Maximus, as it has strongly indicated it would on August 31, that vendor will be required to act in accordance with the Patriot Act in priority over the BC Protection of Privacy Act. For one thing, the BC Protection of Privacy Act strongly implies that investigators can only win access to information on patients with properly acquired search warrants. The Patriot Act specifically contradicts this key provision in our Privacy Act."

"It would be a good idea for affected ministries to study exactly how US companies that manage information are affected by the Patriot Act, and to find where their legal obligations contradict our own privacy legislation. Then it would be smart to formally include in bidding processes a review of this information whenever US-based companies bid for any contracts that have to do with information management."

"It would be an especially good idea for the government to announce on August 31 that there will be a delay in the decision about the future management of health records of BC citizens. Blame the delay on incompetent public servants if you want, but delay the signature on that contract. The lay of the land south of the border has been radically changed, and those changes need to be fully understood before we begin exposing our citizens to the risks of privacy invasions, particularly of health and pharmaceutical records."

http://www.bcgeu.bc.ca/2381, June 21, 2004
Broad-based Right to Privacy Campaign launched to protect individuals privacy by stopping Maximus deal

"VANCOUVER - A diverse and growing group of rights, health, union and other organizations has launched a province-wide Campaign to convince the BC provincial government to drop the Maximus deal because of the privacy implications of the USA PATRIOT Act."

"The Right to Privacy Campaign (RPC) believes contracting out of the administrative functions of BCMSP and Pharmacare to the American corporation Maximus Inc. will place British Columbians confidential health and related information within easy reach of the FBI and, through the FBI, the entire array of American government agencies."

"As an initial step, the RPC is urging all British Columbians to send submissions to the Province's Privacy Commissioner expressing their concerns about the Maximus deal."

"Beyond the Maximus deal, the RPC's central Goal Statement commits its member groups and individuals to achieving no contracting out by the Government of BC of information or information management, such as MSP or PharmaCare, to any company subject to foreign laws that violate the privacy rights of Canadians, like the USA PATRIOT Act.

"We are on the edge of a new and frightening era in which surveillance of citizens by governments and their private-sector partners could become the dominant reality of our society in other words, an era in which Orwell's "Big Brother" vision could actually be realized. Whether or not we go over that edge and create what has been called a "surveillance society" will depend on how willing citizens are to draw a line and say "no further" to government attempts to probe into and record the facts of our private lives, said Darrell Evans, Executive Director of the B.C. Freedom of Information and Privacy Association."

"In a world in which we expect U.S. security agents to use every surveillance tool they have under their legislation, the provincial government has a duty not to imperil the privacy of British Columbians by disclosing information that could be accessed, said B.C. Civil Liberties Association Policy Director Micheal Vonn."

"BC Persons With AIDS Society Chairperson Glen Bradford said the Maximus deal was of special concern to HIV-positive British Columbians. American law bans HIV-positive people. We can t legally visit our families. We can t legally go there for work or business purposes. If the BC government turns our health records over to Maximus, it would be a simple matter for the FBI to identify HIV-positive British Columbians and, under the provisions of the Homeland Security Act, turn that information over to US Customs and Immigration authorities. That HIV ban could suddenly become horribly effective."

http://www.bcpolitics.ca/left_patriotact.htm
B.C. ignores privacy to outsource medical data to U.S.- 10-year contract worth $324 million awarded to Maximus Inc.

"Victoria - The British Columbia government has privatized the processing of medical claims to U.S.-based Maximus Inc. for 10 years at a cost of $324 million - despite concerns raised just last week in a damning report by the province's privacy commissioner."

"The contract, announced Thursday by the Liberal administration of Premier Gordon Campbell, comes with six months to go in the government's mandate and could be renewed for a further five years when the decade-long deal expires."

"Last week, Privacy Commissioner David Loukidelis released an extensive report concluding that the sweeping powers of the U.S. Patriot Act will allow American authorities to access personal information on Canadians if it ends up in the United States or if it is held by U.S. companies in Canada."

"Despite this, Health Minister Colin Hansen claimed in announcing the contract Thursday that privacy of B.C. residents is the government's prime concern."

"No evidence to believe government"

"He gave no evidence to support his statement and he was immediately challenged by George Heyman, president of the B.C. Government and Service Employees Union (BCGBEU/NUPGE). The BCGEU has led the fight against the outsourcing of private information on B.C. residents."

“British Columbians have been double-crossed,” says Heyman. “The health services minister promised that a contract negotiated with Maximus corporation would ensure the privacy of British Columbians would not be compromised."

“Less than a week after the privacy commissioner confirmed in his report that the USA Patriot Act is a real threat to the privacy of British Columbians, the Campbell Liberals are rushing in to sign, seal and deliver a deal!"

“Minister Hansen said back in April that his government would be seeking advice from the privacy commissioner. Well, last week Commissioner Loukidelis provided his advice by way of 16 extensive recommendations. Either that wasn’t the advice the minister was looking for or he never wanted it in the first place."

"FBI could have access"

“Either way, British Columbians need to know that their government is cutting a deal that could potentially put their personal medical records in the hands of the FBI and other U.S. federal authorities," Heyman said."

"All we know for sure is that they are proceeding with a contract signed, sealed and delivered without meeting the privacy commissioner's recommendations to protect British Columbians," Heyman said."

http://www.itbusiness.ca/index.asp?theaction=61&lid=1&sid=57275&adBanner=eGovernment
B.C. moves ahead to outsource medical services IT

"11/9/2004 5:00:00 PM - A U.S. firm gets $324 million to manage the province's MSP and Pharmacare programs. The privacy commissioner explains how blocking provisions could keep data safe"

"by Jeff Jedras"

..."Concerns were first raised in the spring that outsourcing the program to a U.S. company could lead to the authorized disclosure of private information to U.S. authorities under the Patriot Act, introduced to fight terrorism."

"The government says through recent amendments to provincial privacy legislation and specific measures in the contract, it has ensured medical information is safe from unauthorized disclosure."

"The government had made a commitment that we would not enter into any arrangement that would put the privacy of personal health information at risk," said Lisa Brewster, a spokesperson for the BC Ministry of Health Services. "The government feels it has reasonable and appropriate provisions in the contract to make sure privacy is protected."

"The amendments to privacy legislation include a $500,000 fine for the unauthorized disclosure of personal information and the contract with Maximus contains a number of specific provisions, including a requirement that data storage and access be based solely in Canada with no remote access from outside the country, restrictions on employee use of outbound Web and e-mail access, and limited use of data transfer hardware."

"We also have an agreement that if there ever was a threat of unauthorized disclosure we would be able to take control of the company," said Brewster."

"The Maximus outsourcing deal was announced just six days after the release of a detailed report by B.C.’s Information and Privacy Commissioner, David Loukidelis, examining issues around the Patriot Act and the outsourcing of IT services."

"Loukidelis’ report concluded there is a definite risk of the Patriot Act reaching across the border, but it can be minimized. A blocking provision, for example, is a common way to stop foreign laws from attempting to apply in another jurisdiction without going through appropriate channels. When a U.S. court is considering granting an order under the Patriot Act to reach across the border, Loukidelis said it will look at the foreign law to see how clear it is, the severity of penalties under the foreign law, and if there is another way of obtaining the information."

"The court will then undertake a balancing test in deciding whether or not to even issue the order," said Loukidelis. "But it does place U.S. companies that want to do business here through subsidiaries in a bit of a dilemma."

"That’s why Loukidelis said he would like to see the penalties for unauthorized disclosure stiffened, from the current $500,000 to $1 million and/or a two-year jail term. Despite the measures put in place, Loukidelis said there is still a measured risk a company may be caught between conflicting U.S. and Canadian laws."

"If they want to bid on these outsourcing contracts they will still have to make a choice," said Loukidelis. "We need to make sure the choice is a clear one."

"That risk was downplayed though by the Information Technology Association of Canada, whose policy director Bill Munson said there are easier ways for U.S. authorities to gain access to Canadian data then via the Patriot Act."

"The additional risk to privacy allegedly posed by the Patriot Act has been overstated," said Munson."

"In its submission the B.C. privacy commissioner’s report, ITAC said existing agreements between Canadian and U.S. law enforcement authorities make it easier for U.S. authorities to use existing channels rather then the Patriot Act."

"The records can still be accessed by U.S. authorities but via Canadian authorities, and under Canadian laws consistent with our Charter of Rights and Freedoms," said Munson."

"Still, Munson said companies that rely on outsourcing want to comply with all relevant laws, and will welcome new measures that allow outsourcing to continue."

"No company in the outsourcing business wants to see its markets dry up because governments don’t want to outsource anymore," said Munson. "We see the measures as enough (to protect privacy), what the public may feel is a different thing. Time will tell whether they are workable from a business point of view."

"The Maximus contract may not be a done deal yet however. Public attention was first drawn to the planned outsourcing when the British Columbia Government Employees’ Union filed a lawsuit seeking to block it, saying it violated B.C. privacy legislation and the Canadian Health Act. After the outsourcing announcement, the union vowed to go ahead with its court fight."

"If the Campbell Liberals think they’re above Canadian privacy laws and the Canada Health Act, they’re wrong," said BCGEU president George Heyman. "We’ll see them in court."

"Maximus Inc. did not return repeated calls for comment on this article."

http://mediresource.sympatico.ca/health_news_detail.asp?channel_id=0&menu_item_id=&news_id=5187
"VICTORIA (CP) - British Columbians' claims under the province's medical services plan have been contracted out to the private sector, despite concerns raised last week by the provincial privacy commissioner."

Maximus, Inc., a U.S.-based firm, has been given a 10-year contract worth $324 million, the government announced Thursday. The company also has a five-year renewal option.

Last week, Privacy Commissioner David Loukidelis released an extensive report that found the long arm of the U.S. Patriot Act allows U.S. authorities to access the personal information of Canadians if it ends up in the United States or if it is held by U.S. companies in Canada.

Health Minister Colin Hansen said privacy of B.C. residents was the government's No. 1 concern.

"We have looked at all of the (Loukidelis) recommendations and we have made sure that the direction we are going on this particular file not only meets all the recommendations but in many cases we are exceeding what he is recommending."

..."But Hansen's take on the privacy concerns was in complete contrast to comments from George Heyman, president of the B.C. Government and Service Employees Union."

..."Heyman said the government has not done what Loukidelis wanted, noting a number of the commissioner's recommendations involve discussions with the federal government."

"Heyman's union has already launched a lawsuit challenging the contracting-out of MSP administration."

"The government said the new arrangement with the private sector was necessary because the delivery of the medical services plan is complex."

"The government said it had incorporated a subsidiary - Maximus BC - to deliver the services."

"The B.C. government passed a law last month aimed at preventing U.S. authorities from examining information about British Columbians held by private U.S. companies. It included fines ranging from $2,000 for individuals to $500,000 for corporations."

"..."We've gone overboard to make sure the interests of our employees are protected in this arrangement," said Hansen."

"Other provinces have privatized similar procedures."

"Hansen implied in a teleconference that B.C. was in the technological dark ages and the move was long overdue."

"Since being elected, I have not received more complaints in any one area. . . than I have around the whole area of processing of information with medical services plan."

"He said the new technology offered by Maximus to register and process claims is "the same kind of technologies that most other industries in North America have put in place many, many years ago."

"We are very much behind in using the technology available to us."

http://www.clauderichmondmla.bc.ca/334/21046/?PHPSESSID=02278b38d472d68e0906a8ca1396128e
"Clearing Things Up?
(Editor: This is REALLY reassurring coming from a politician!!)

November 22, 2004

"I would like to assure everyone that there is absolutely no need to fear any loss of privacy regarding medical information with the contract that the Ministry of Health has signed with Maximus BC. The safeguards built into the contract exceed the conditions of BC’s Privacy Commissioner."

"First of all there are no jobs being lost and none are going across the border to the US. Zero, absolutely NONE. Also and this is almost unbelievable; if the US even requests information, they cease to own Maximus BC at that moment."

"All staff have been offered jobs at Maximus BC and their contract goes with them, complete with all benefits. If they choose not to go they will be kept within the Ministry at another job. Contrary to the claims of some letter writers, there are no jobs leaving the country."

"Why the need for such a contract? Ask anyone who has tried to contact MSP recently. It is almost impossible to get through and when you do it takes forever to process every application. This is because the current “paper” system is years out of date. Adding more staff would not have solved the problem, so requests for proposals went out and there were no Canadian companies that had the technology to fill the need. This contract will bring our health care records system into the 21st century and greatly reduce response times."

"I am pleased to be able to set the record straight regarding this contract because there has been so much misinformation about it from people who should know better or who don’t want to look at the facts. Letters to your paper from J.F. Stadnichuck and others, condemning this contract and the Accenture contract with BC Hydro are not factual and simply spread fear and doubt. I suggest the Mr. Stadnichuk should heed his own quote, whom is he trying to fool?"

www.bcpwa.org/pdf/news_maximus.pdf
"News Release - AIDS group calls MAXIMUS deal “a betrayal”

"VANCOUVER -- Calling it “a betrayal of thousands of HIV-positive British Columbians and a dangerous rejection of the considered advice of its own Privacy Commissioner,” British Columbia Persons With AIDS Society (BCPWA) Chairperson Paul Lewand today called on the government to cancel the contract it has signed with MAXIMUS Inc."

“The Health Minister’s contention that the contract announced today meets or exceeds the recent recommendations of the Privacy Commissioner is simply wrong,” said Lewand."

“The Privacy Commissioner himself, in his third recommendation, agreed with BCPWA’s April 23 suggestion to the Premier that no deal should go forward until written guarantees had been obtained from the appropriate US authorities to the effect that no attempt by any agent of the US government would be made to secure confidential BC citizens’ information otherwise placed within their grasp by the USA PATRIOT Act. This has not been done,” said Lewand.

“Bill 73 notwithstanding - for reasons that many have made clear and which we fully expect the Privacy Commissioner to echo in his upcoming comment on the Bill - British Columbians’ confidential health, income and other information is now at risk because of the MAXIMUS deal."

...“Regardless of all the plausible but ultimately empty safeguards trotted out by the Minister this afternoon in defense of the deal, the simple and inescapable fact of the matter remains that MAXIMUS BC is a wholly owned subsidiary of MAXIMUS Inc. Especially in the face of the decisive re-election of the George W. Bush Republicans and the consequent likely extension of the most offensive provisions of the USA PATRIOT Act, this deal places the personal medical records of every British Columbian within easy reach of the American FBI and, under the terms of the US Homeland Security Act, the entire array of US federal government agencies,” said Lewand. He said the overwhelming majority of British Columbians with whom he had had contact - not just HIV-positive ones - were opposed to the deal because there simply weren’t sufficient safeguards in place."

The deal is an abdication of the Government’s responsibility to the citizens it was elected to serve, and quite possibly constitutes a violation of the BC Freedom of Information and Protection of Privacy Act,” said Lewand."

http://www.burnabynow.com/issues04/112104/news/112104nn8.html
"Province contracts out MSP information to Maximus BC"

By Dan Hilborn , staff reporter

..."Critics of the provincial government are livid after Health Services Minister Colin Hansen signed a 10-year, $324-million deal Thursday afternoon to contract out the information services program for the B.C. Medical Services Plan and Pharmacare."

..."I am angry," said George Heyman, president of the B.C. Government and Service Employees Union. "I believe this government has doublecrossed us."

Heyman and Darrell Evans of the B.C. Freedom of Information and Privacy Association, believe the contract could put British Columbian's private medical records at risk to being obtained by the American government under the terms of the USA Patriot Act."

"The two critics disagree vehemently with B.C. Management Services Minister Joyce Murray's belief that recent changes to the Freedom of Information and Protection of Privacy Act are enough to safeguard the personal information off British Columbians."

"Evans said that prior to signing the contract, the government should have enacted the 16 recommendations made by B.C. Privacy Commissioner David Loukidelis in his Oct. 29 report into the possible impacts of the USA Patriot Act."

"...called for a moratorium on all contracting out until all 16 recommendations are implemented," Evans said. "There are already a couple hundred contracts that exist, and all that information is totally up for grabs. And American laws take precedence."

"Heyman said the decision to sign the contract shows that the provincial government is putting corporate interests ahead of the public interest."

"This government requested commentary from the privacy commissioner that they clearly had no intention of paying attention to," he said. "I think British Columbian's personal medical records, such as their drug history or whether they've been treated for a mental illness, is at risk."

"Heyman said the BCGEU believes the contract violates both the B.C. Medicare Protection Act and the Freedom of Information and Protection of Privacy Act. "We'll be pursuing this issue in court on behalf of all British Columbians," he said."

Heyman also denied allegations that the union is only speaking up because it wants to protect its members' jobs. "Our members have all been offered work by Maximus. This is a public policy issue pure and simple," he said."

The B.C. Persons with AIDS Society also came out against the contract."

"Regardless of all the plausible but ultimately empty safeguards trotted out by the minister this afternoon in defence of the deal, the simple and inescapable fact remains that Maximus BC is a wholly owned subsidiary of Maximus Inc.," said BCPWA chairperson Paul Lewand."

"Especially in the face of the decisive re-election of the George W. Bush Republicans and the consequent likely extension of the most offensive provisions of the USA Patriot Act, this deal places the personal medical records of every British Columbian within easy reach of the American FBI and, under the terms of the U.S. Homeland Security Act, the entire array of U.S. federal government agencies."

http://biz.yahoo.com/bw/041105/55105_1.html
....."Project operations are planned to commence in the second half of fiscal 2005, contributing revenue of $12 - $13 million during this period. MAXIMUS expects that expenses during this initial operating phase in fiscal 2005 will exceed revenue due to certain start-up expenses which will be recovered over the life of the contract. As a result, the Company expects a pre-tax project loss of approximately $3.5 - 4.0 million (an after-tax impact of $0.09 - $0.11 per share) for fiscal 2005. Thereafter, the contract is expected to be a solid contributor with profitability typical for similar health contracts. The Company will provide its outlook for fiscal 2005 on November 18, 2004, when it reports its fourth quarter and year-end fiscal 2004 results."

WHO IS MAXIMUS BC, AND WHAT YOU SHOULD KNOW ABOUT MAXIMUS INC?

MAXIMUS is a U.S.-based company based in Reston, Virginia, that provides business and information technology services to governments worldwide.
* MAXIMUS has a Canadian subsidiary, MAXIMUS Canada, which owns two separate B.C. companies located in Victoria.
Companies’ Boards of Directors will be Canadian citizens who are B.C. residents. They are Brian Pollick, Leah Hollins and David Flaherty.
* MAXIMUS Canada was incorporated in 2002 when it bought THEMIS Program Management & Consulting Limited, the Victoria-based company that has delivered the Family Maintenance Enforcement Program (FMEP) on behalf of the Ministry of Attorney General since 1988.

http://www.business.com/directory/government_and_trade/consulting_services/maximus_inc/profile/
Maximus Inc Profile
http://www.maximus.com/
11419 Sunset Hills Road, Reston, VIRGINIA 20190, +1 703 251-8500, +1 703 251-8240

"Maximus Inc. The Group's principal activities are to provide program management, consulting services and systems solutions to state and local government agencies throughout the United States. The Group's operations are conducted through three groups: Government operations, Consulting and Systems. Government operations group administers and manages state and local government programs on a fully out-soured basis. Consulting group provides program planning, quality assurance services and other specialized services to state and local government agencies. Systems group provides state and local agencies with systems design and implementation services to improve efficiency and cost-effectiveness of their program administration. The Group acquired Collins Consulting Group, Inc and Leonie Green & Associates in fiscal 2002. Health services accounted for 30% of fiscal 2002 revenues; Human services, 28%; Consulting, 27% and Systems, 15%."

"MAXIMUS INC PEOPLE:

* Chairman - Peter B. Pond
* President & Chief Executive - Dr. David V. Mastran replaced by Lynn Davenport
* Chief Operating Officer - David M. Johnson
* Chief Financial Officer & Treasurer - Richard A. Montoni
* Secretary - David R. Francis "

http://swz.salary.com/execcomp/layouthtmls/excl_companyreport_C1000151_summary.html
....."For its 2003 fiscal year, MAXIMUS INC declared itself as an organization in the Business Services industry headquarted in RESTON, VA with $558.3 million in revenue The first tab below shows a summary of the total annual pay for the executives. The other tabs show a more detailed breakdown of each of the compensation components shown in the summary. Total Cash Compensation is the sum of Base Pay and Bonuses. Long Term Incentives deals with stock awards and LTI payouts. Executive MAXIMUS INC stock options are granted at some MAXIMUS INC stock price. One can look up MAXIMUS INC stock quotes as well as pursue other MAXIMUS INC stock research using the MAXIMUS INC stock symbol, also referred to as MAXIMUS INC stock ticker. MAXIMUS INC stock shares per executive are available in the companies proxy statement. Other Compensation covers all compensation-like awards that don't fit in any of these other standard categories" (Editor: See web page: http://swz.salary.com/execcomp/layouthtmls/excl_companyreport_C1000151_summary.html for the complete list of compensations.)

http://www.globalinfotek.com/partners.htm
Global Info Tek Inc. Partners
Global InfoTek Inc., 1920 Association Drive, Suite 200, Reston, VA 20191

Advanced Concepts, Inc.
Booz Allen Hamilton Inc.
CMSO
International Business Machines Corporation
ISX Corporation
Kathpal Technologies, Inc.
Lockheed Martin Corporation
MAXIMUS, Inc.
Northrop Grumman Corporation
Science Applications International Corporation
Software AG
SRA International, Inc.

THE NOT SO GOOD STUFF ABOUT MAXIMUS

http://www.guidelineeconomics.com/links/industry.html

Players in the Child Support Industry Maximus, Inc.

"Acts as child support enforcement / collection agent for numerous states. Will also act as a jurisdiction's child support administration, setting awards."

http://washingtontimes.com/business/20041214-121129-6959r.htm

U.S. investigating Reston's Maximus

By Marguerite Higgins, THE WASHINGTON TIMES

"The government is investigating Maximus Inc. for its work with Medicaid, the federal health care program for the poor, an examination the Reston government contractor says could involve fraud."

"The management consulting firm for state and local governments said last week that it was subpoenaed in October for its records involving Medicaid reimbursement claims the company prepared for the District."

"The U.S. Attorney's Office appears to be investigating the Medicaid claims for fraud, the company said in a Securities and Exchange Commission filing Friday."

"Maximus spokeswoman Rachael Rowland said the company is cooperating fully with federal authorities."

"The federal government routinely investigates Medicaid claims to make sure they are not fraudulent," Ms. Rowland said, and the company has undergone multiple government investigations in the past."

"Channing Phillips, spokesman for the U.S. Attorney's Office for the District of Columbia, would not comment on the case."

"The announcement comes as Maximus is reorganizing into three operating units to cut costs and strengthen management."

Maximus shares on the New York Stock Exchange closed yesterday at $30.91, up 5 cents from Friday's price at $30.86. The stock closed at $31.81 a week ago."

"The company, with 5,200 employees in 220 offices, does most of its work in health and human services for the government. Its larger contracts come from operating government health services, like a $268 million, 10-year contract Maximus won last month to manage the health insurance system in British Columbia."

"William Loomis, a managing director at Legg Mason Wood Walker Inc., said the investigation would not change his "buy" rating for Maximus."

"The company's low performance expectations combined with an overall improvement in state and local government budgets outweighed Maximus's risks, Mr. Loomis said."

"Mr. Loomis does not own Maximus stock but Legg Mason is seeking a banking relationship with the company."

"Matthew McKay, an analyst with New York investment bank Jefferies & Co. Inc., called the investigation "one more red flag."

"Maximus has experienced sluggish business in the past fiscal year ending in September, Mr. McKay said."

"The company also has several contracts that it will have to compete for again in the next two years, increasing the risk that Maximus will lose business, he said."

"Mr. McKay, who advised investors to hold their stock, last month lowered his earnings-per-share estimates for fiscal 2005 to $1.78 per diluted share from $2."

"The company's income for fiscal 2004 ended Sept. 30 increased 8 percent to $38.3 million ($1.76 per diluted share) from $35.3 million ($1.66) last year. Sales for the year also rose 8 percent to $603.8 million from $558.2 million in fiscal 2003."

"Mr. McKay does not own any shares of Maximus and Jefferies has no business with the company."

http://www.myflorida.com/st_contracts/252033021/

"Certification my florida", jeb bush's state
(Editor: Especially comforting for those aware of who the new world order players are!)

http://www.zwire.com/site/news.cfm?newsid=12567051&BRD=1697&PAG=461&dept_id=44551&rfi=6

Ex-Maximus employee slams company

PAUL MICKLE, Staff Writer, 08/01/2004"

"TRENTON -- A former insider has charged that the insurance carrier that manages New Jersey’s health plan for families in need of coverage, Maximus Inc. of East Windsor, has unnecessarily made it harder for prospective clients to get that coverage."

"In a letter to The Trentonian, now in the hands of state regulators, Hank Lincoln said Maximus has created a bureaucratic "gauntlet" clients must run to get healthcare and payment of their bills."

"I want to apologize to all the parents I deceived, (misled) and lied to for the past year and a half," wrote Lincoln, 39, a former teacher who worked in claims processing at Maximus."

"Based at the former Lockheed plant in East Windsor, Maximus runs New Jersey Family Care, the health plan established by the state in 2001 to help families caught without coverage. Maximus won the first contract to screen children for coverage eligibility."

"The contract, which expires in January, was a four-year, performance-based deal that so far has been worth $74.6 million out of a potential $109 million, according to Ed Rogan of Jersey’s Division of Youth and Family Services. These days, New Jersey Family Care has more than 100,000 children enrolled, as well as 97,000 adults."

"Lincoln said the Maximus system has built-in delays that create frustration for people trying to get signed up as well as enrollees seeking approvals for care and payment of their bills."

"He called it "The Maximus Gauntlet."

"Maximus defended itself with vigor. John F. Boyer, the president for health services, said Maximus has "every incentive to make the process as simple and efficient as possible." He said Maximus routinely gets 99 percent grades from state monitors."

"In his 1,200-word report, Lincoln put much of the blame on an "archaic computer program called Maxstar, which is significantly outdated and difficult to navigate. Different screens give completely different information about a case..."

"In short, this company uses a computer system that cannot be trusted to deliver the proper documentation to the customer, and they allow this to continue as a normal part of everyday operations."

"Lincoln said clients calling for help often are put on hold for "quite some time." Some of those clients end up getting told to call back because "my computer system is down." Lincoln said claims processors were under instructions to handle cases that way."

"Lincoln told The Trentonian that clients are never permitted to talk to HBCs -- health benefits coordinators. He called these workers "the ones who keep sending back letters saying they need the application or some other kind of documentation you’ve already sent three or four times."

"Lincoln also said the application for insurance is so complex he had never seen one filled completely correctly. He also said that when Maximus scrapped an old form, the new one they created was more complex."

"Lincoln said workers are under orders these days to keep adults off the rolls, in keeping with state policy. He said many adults get irate when they find out their coverage has been dropped."

"And just try to get health coverage for your 19-year-old college student," Lincoln told The Trentonian. "The forms will keep getting lost. Of all the hundreds of people I heard trying to get coverage for a college student, only two or three of them have been approved."

"Lincoln said cases that come to the attention of the governor, his aides or other government officials often are fast-tracked to approval."

"Before seeing Lincoln’s letter, Maximus spokeswoman Rachael Rowland suggested the author was a "disgruntled" former employee."

"Lincoln said he arrived home from work June 22 and heard the voicemail from the Maximus supervisor telling him he had been dismissed from the job. He said feelings of guilt about his handling of clients, not anger about the firing, prompted him to go public."

"Boyer, the Maximus president, questioned the timing of the letter, saying it’s "highly suspect given that Maximus is in the midst of competitive reprocurement for this program. It is difficult not to view the letter as a calculated attempt to adversely influence" state insurance selection committees."

"He said Maximus "did face some well-publicized challenges in processing applications about a year and a half ago when the scope of the program was greatly expanded. However, we dedicated additional resources and personnel to the program and those delays have been corrected for nearly a year. Currently, all applications are processed within five days. Again, Maximus gets paid for enrolling participants into the program. We have absolutely no incentive or desire to delay application processing."

"The Maximus operation in East Windsor has had its problems, including a bomb scare thought to have been called in by an angry client in January 2002, and the criminal conviction last year of an employee caught putting ineligible relatives on the NJFC rolls."

"But Maximus is a successful national company that has 5,300 employees in 250 offices in all but a dozen U.S. states, according to the corporate website. Founder and CEO David V. Mastran said he envisioned a company expert at helping government deliver services when he started out in 1977. "And today, Maximus is that company -- and much more."

"DYFS spokesman Rogan confirmed that the Maximus contract is up in months and said the state has "had problems with Maximus in the past. In fact, we had to file six complaints with Treasury for poor performance, inaccurate information to customers and extended delays. We’re taking a hard look at all this right now."

http://phx.corporate-ir.net/phoenix.zhtml?c=88279&p=irol-newsArch
MAXIMUS Awarded $8.7 Million Diversion Program for the State of California

"RESTON, Va.--(BUSINESS WIRE)--April 26, 2004--The State of California, Department of Consumer Affairs has awarded MAXIMUS (NYSE:MMS) a five-year, $8.7 million contract to manage a chemical dependency and mental illness monitoring and referral program for more than 700 health care professionals regulated by the State Boards and Committees. The Department of Consumer Affairs' Diversion Program is a statewide, and confidential monitoring and referral program. Participation in the Diversion Program may either be on a voluntary or mandatory basis. That is, participation may be compelled if an individual is involved in the applicable State Boards and/or Committee disciplinary process."

"MAXIMUS will provide case management and education and outreach for Diversion Program participants during their recovery, as well as liaison with the Board or Committee to which they are affiliated. To provide these services, MAXIMUS will employ a Diversion-dedicated team, supported by a sophisticated case management system."

"This new project builds upon MAXIMUS prior experience as the prime contractor for the Social Security Administration's Referral and Monitoring Agency (RMA) Program, one of the largest and most successful drug referral and monitoring programs in the country. Through the RMA, MAXIMUS gained a thorough appreciation for working with individuals with alcohol and drug addiction issues and a reputation as a management contractor skilled in successful implementation of programs serving disabled beneficiaries."

"Based upon our expertise gained through the operation of a similar program for the Federal government, MAXIMUS expects to provide a more streamlined, cost efficient Diversion program to the Department of Consumer Affairs. Our goal is to effectively assist healthcare professionals to return quickly to a safe and successful practice," said David V. Mastran, CEO of MAXIMUS."

"MAXIMUS is one of America's leading government services companies devoted to providing program management, consulting and information technology services. The Company has more than 5,500 employees located in more than 280 offices in the United States, Canada and Australia. In 1999, 2001, 2002, and 2003 MAXIMUS was selected by Forbes Magazine as one of the Best 200 Small Companies in America for that year. MAXIMUS was selected by Business Week Magazine as one of the 100 Best Hot Growth Small Companies in 1999, 2000, 2001, and 2002. Additionally, MAXIMUS is included in the Russell 2000 Index and the S&P SmallCap 600 Index."

"Statements that are not historical facts, including statements about the Company's confidence and strategies and the Company's expectations about revenues, results of operations, profitability, future contracts, market opportunities, market demand or acceptance of the Company's products are forward-looking statements that involve risks and uncertainties. These uncertainties could cause the Company's actual results to differ materially from those indicated by such forward-looking statements and include reliance on government clients; risks associated with government contracting; risks involved in managing government projects; legislative changes and political developments; opposition from government unions; challenges resulting from growth; adverse publicity; and legal, economic, and other risks detailed in Exhibit 99.1 to the Company's most recent Annual Report filed with the Securities and Exchange Commission (file number 001-12997)"

http://www.rlls.com/newsletter/2004Sp-3.shtml
"In March 2003, the Maryland Department of Human Resources, Child Support Enforcement Administration (“DHR”) issued a request for proposals (“RFP”) for the privatization of child support services in Baltimore City and Queen Anne’s County. This RFP extended the pilot program for privatization that began in November 1996. In the original pilot program, a contract was awarded to Lockheed IMS, which experienced difficulties in the performance of the contract. Maximus, Inc. (“Maximus”) began providing services and was the incumbent contractor. Three addenda to the RFP were issued."

"In May 2003, DHR informed Maximus that it was not recommended for contract award. Maximus protested the decision. Among other things, Maximus alleged that the recommendation for contract award to PSI should be overturned because the technical evaluation of the proposals was arbitrary, capricious, and unreasonable, the financial evaluation of proposals was arbitrary, capricious, and unreasonable, PSI was not a responsible offeror, PSI did not submit a responsive proposal, and DHR’s procurement process violated several aspects of Maryland procurement law. The procurement officer denied the bid protest of Maximus. Maximus filed an appeal with the Maryland State Board of Contract Appeals (“MSBCA”)."

"The MSBCA agreed with the procurement officer. The MSBCA determined that DHR’s ranking of Maximus’ technical proposal was not arbitrary, capricious, or unreasonable. The MSBCA found that the evaluation was based only on criteria set forth in the RFP and that the members of the evaluation committee were not unduly influenced by beliefs they may have held concerning the merits of privatization or allegations of criminal or civil misconduct by Maximus in its prior performance of services. The MSBCA noted that the evaluation committee’s determination of the relative merits of the offerors’ technical proposals is given “great weight” and the MSBCA does not “second guess Agency decisions on technical issues.”

"Maximus alleged that DHR failed to assess the credibility of the offerors’ proposals and verifying the accuracy of factual representations contained therein. The MSBCA held that an agency is entitled to rely on the accuracy of the data provided to them and the truthfulness of the affiant providing that data."

"Maximus asserted that certain members of DHR were biased against Maximus and engaged in deliberate misconduct in reviewing its proposal. Maximus asserted that the members of the evaluation committee were against privatization and were attempting to end it by recommending contract award to PSI, an offeror that they knew would fail. Maximus asserted it had endured many false allegations regarding its performance and the composition of the evaluation committee had been altered to reduce Maximus’ chance of being selected. The MSBCA found that Maximus did not present any evidence that any members of the evaluation committee opposed the concept of privatization or that any member deliberately selected an offeror that would fail. Three members of the evaluation committee testified at the hearing on the matter and that all denied any such animus toward Maximus."

"Maximus alleged that the financial rankings were arbitrary and capricious because the option years (and not just the three-year base contract period) were included in the evaluation. The MSBCA found that that the RFP provided for the evaluation of the total price and the forms included in the RFP included the base years and the option years in the “total price.” As a result, the MSBCA determined that the financial evaluation was reasonable."

"Maximus also asserted that the technical and financial proposals were not evaluated independently of each other. The MSBCA found that the initial evaluation of the technical and financial proposals was conducted independently. The MSBCA determined that the requirement of independent evaluation was not violated when the DHR evaluation committee received BAFOs from the offerors."

"The MSBCA also upheld the procurement officer’s discretionary determinations regarding the responsibility of PSI and the responsiveness of its proposals."

"Note: Maximus filed a petition for judicial review of the MSBCA’s decision in the Circuit Court for Baltimore City. The Circuit Court affirmed the MSBCA’s decision in March 2004."

www.optimalsolutionsgroup.com/docs/Sun05232003.pdf http://www.sunspot.net/news/local/bal-md.maximus23may23.story
"Maximus may lose its state contract - New firm recommended to manage city collection of child support payments"

"By Michael Dresser, Sun Staff. May 23, 2003"

"Maximus Inc., the Virginia company that has run Baltimore's child support enforcement program for four years, appears to have lost its bid for a new state contract to a rival firm."

"The Department of Human Resources has recommended that the Board of Public Works award the lucrative contract to Denver-based Policy Studies Inc. The contract, which runs at least 4 1/4 years and perhaps as long as 6 1/4 years, is worth an estimated $10 million to $15 million a year to the contractor."

"The decision prompted House Appropriations Committee Chairman Howard P. Rawlings to write a letter to Gov. Robert L. Ehrlich Jr. urging him to reject the procurement."

"The Baltimore Democrat said he told the governor he is concerned that PSI lacks the experience and financial strength to carry out the job of collecting child support payments for the custodial parents of Baltimore children. "I don't think PSI, given the track record, is the best vendor," he said."

"Rawlings said he is basing that assertion on information given to him by Melissa Pappas, a Maximus vice president. He said he has not talked with representatives of PSI. Paul E. Schurick, a spokesman for Ehrlich, confirmed that the governor has received Rawlings'letter. "He makes a very compelling defense of the incumbent," Schurick said. He added that Ehrlich has asked his staff to look into the matter."

"The selection was made by a departmental procurement committee and approved by Human Resources Secretary Christopher J. McCabe, according to department spokeswoman Elyn Garrett-Jones."

"That is the normal process for awarding government contracts in Maryland. An intervention by the governor to overturn the award would be highly unusual."

"Several Annapolis lobbyists, who asked not to be identified, said they expect Maximus to challenge the contract award at the Public Works Board meeting June 18. Neither Maximus officials nor the company's leading lobbyist, Bruce C. Bereano, returned calls seeking comment. Rawlings, who declined to release a copy of his letter, said he asked Ehrlich to intervene because the award to PSI could "destroy privatization" of child support. He said the company has no experience in running a child support collection service in a city the size of Baltimore.

http://www.sunspot.net/templates/misc/printstory.jsp?slug=bal%2Dmd%2Emaximus23may23§ion=/...
Maximus may lose its state contract

5/24/2003

"Maximus, I think, has done a creditable job," Rawlings said. "I think the evaluation committee made a very poor choice."

Maximus is a Reston, Va.-based public company that specializes in providing privatized government services. The company and its political action committee have donated more than $24,000 to state candidates since 1998, though some of that was returned when Maximus exceeded ontribution limits."

"Rawlings is the single largest beneficiary of the company's generosity, with $4,000 in contributions for the last election and $1,000 for the next one. He also received a $4,000 contribution from David V. Mastran, chief executive of Maximus. The company's PAC donated $875 to the Ehrlich campaign."

"Bob Williams, president of PSI, said his company has more experience in privatized child support than any other contractor in the country and denied that the company lacks the financial strength to handle the contract."

"Williams said the company had not handled a child support contract as large as the one in Baltimore because it is the largest privatization program in the country. He said the company recently won a contract to run the child support office in Nashville, Tenn., and has similar contracts in Knoxville, Tenn., and Colorado Springs, Colo."

www.optimalsolutionsgroup.com/docs/Sun11042003.pdf http://www.sunspot.net/news/local/bal-md.maximus04nov04,0,4010445.story
"Maximus loses appeal in fight to keep child support contract"

By Michael Dresser, Sun Staff, November 4, 2003

"Maximus Inc., the Virginia company that has run Baltimore's child support enforcement system for the past four years, has lost its appeal of the state's decision to award a new contract to provide those services to a rival firm."

"In a decision released yesterday, the Maryland State Board of Contract Appeals ruled that the Department of Human Resources acted properly in awarding the contract to Policy Studies Inc. of Denver."

"Losing the contract is a severe blow to Maximus because it locks the company out of what may be the nation's largest contract for privatized child support enforcement services for at least 4 1/4 years and possibly as long as 6 1/4 years."

"The contract, which covers Queen Anne's County and Baltimore, is worth an estimated $10 million to $15 million a year."

"The department's decision was a tough blow for Maximus because the company had waged a long, bitterly fought battle to gain the General Assembly's approval this year of an extension of privatization of the two child support systems."

"A call to a Maximus spokeswoman was not returned. The company can appeal to the courts or ask the Board of Public Works not to award the contract."

"Bob Williams, president of PSI, said the company was "gratified" by the decision."

"We said all along that it was a very thorough and objective process on the part of the state," he said. Williams added that the company expects to be ready to take over after the current contract expires Dec. 31."

"Maximus appealed to the board in May after DHR procurement officials recommended to the Board of Public Works that PSI be awarded the new contract. To allow time for the appeal, the public works board extended Maximus' contract six months."

"After a nine-day hearing last month, the appeals board rejected Maximus' claim that the department's procurement process had been "arbitrary, capricious or unreasonable." The board also rejected Maximus' claims that the department's evaluation team was biased against the company because of allegations of misconduct made by Teresa Kaiser, the state's former chief of child support enforcement."

http://www.teenvoices.com/images/gt1.htm
"Welfare programs are supposed to help families that need economic help get some support, right? Take a look at the expenses for one of Wisconsin’s welfare-to-work companies and you’d think they were in the entertainment business."

"Just this past fall, Maximus, Inc., a company that runs welfare programs in many states, wrongfully charged the Wisconsin government $485,208. The company spent $72,358 on meals and entertainment for its staff (including a concert by a Broadway singer), and $184,000 to print its new logo on freebies like keychains and backpacks. Not only that, but some of the events they charged to Wisconsin were really expenses that helped them win business in other states, like New York!"

"Since 1996, each state has been able to choose where it spends national tax money-they can put the money into state programs or hire a company to manage welfare for them. For the past four years Wisconsin chose Maximus as one of the companies it trusted to help single mothers and others get out of poverty."

“The guy who’s responsible for this mess is now a Cabinet member under President George W. Bush.”

"The people of Wisconsin and the United States deserve better! Wisconsin welfare money is Wisconsin people’s money. It should not be misspent in other states or on fancy parties!"

"Maximus was barely punished for its actions. It agreed to pay the state back for the mistake and to give another $500,000 worth of services. Hardly a big deal to a company that earned $319.5 million last year."

"Wisconsin’s keeping its contract with Maximus. It’s for $58 million this year. How much of it will really help families? How much will go to entertain Maximus’ staff? If no one holds them accountable for their actions, this company, which claims to be helping people, will continue hurting people."

"Not only that, but the guy who’s responsible for this mess, former Wisconsin Governor Tommy Thompson, is now a Cabinet member under President George W. Bush. As Secretary of Health and Human Services, he’s in charge of welfare decisions on a national level."

http://www.tennessean.com/local/archives/01/04/05899347.shtml
"Child support collection system sparks complaints"

"By KIRK LOGGINS, Staff Writer, Tuesday, 06/19/01"

"Some people embroiled in Tennessee's child-support enforcement system say it represents the worst of two worlds - a patchwork of government agencies and private companies cloaked with the authority of the state but little accountability."

"In Davidson County, many of those complaints are directed at Maximus Inc., the Virginia-based company that Tennessee's Department of Human Services pays to enforce child support laws in the local courts. Maximus also staffs DHS' statewide child support customer service unit, or 'hot line.'"

"The complaints get louder each spring as Maximus employees, following DHS guidelines, 'intercept' Internal Revenue Service refund checks intended for noncustodial parents who are apparently behind on their court-ordered child-support payments."

"But lawyers and court officials say IRS refunds are often seized, and held for months, for no good reason."

"And, they say, that's just one of the problems with the centralized child support collection system that DHS established in 1999, as required by federal welfare reform legislation adopted in 1996."

"When DHS took the task of collecting and disbursing most child support payments out of the hands of court clerks across the state in October 1999, it parceled out parts of its new system to various contractors. Those pieces - all relying on a central computer system - don't always fit together well, people familiar with the system say."

"We get hundreds of calls every year around tax season, where the fathers were expecting to get an income tax refund and they find out that Maximus has attached their check,'' said Kenny Norman, Davidson County Juvenile Court clerk."

"They call us because they've been able to get answers from us before. We give them documentation of their payments to take to Maximus, and it still takes them four or five months to get the money back."

"Norman said hundreds of noncustodial parents, most of them male, still make cash payments to his office, which forwards the money to the state, 'because they know it will be accounted for'."

"It looks like Maximus is attaching IRS refunds without checking to be sure that an individual is behind."

"Attorney Philip Smith, who specializes in domestic relations law, said he has had ''several problems with IRS intercept notices from Maximus regarding arrearages that don't exist."

"The problem seems to be with payments that are made direct from one party (in a divorce) to the other, pursuant to court order, but they aren't being entered into the computer."

"Bill Dinneen, regional vice president of Maximus Inc., acknowledged Tennessee's child support collection system mistakenly targets a small number of IRS refund checks, but he blamed those problems on incomplete information in DHS' central computer."

"You get situations where sometimes the information in the computer system is not accurate for a number of reasons. People get intercepted sometimes who may not owe the money."

"Dinneen said Maximus is simply enforcing the rules set down by DHS: to go after IRS refunds or other assets of a noncustodial parent who is more than $500 in arrears on his or her child support payments."

"We don't come in here and make our own rules on how we are going to enforce child-support laws."

"The number of errors in IRS intercept decisions ''is not a huge problem when you consider the success of the federal tax intercept program,'' Dinneen said. "Many times the only payment a family gets for child support in a year is from the tax intercept program, because some guys just won't pay their child support."

"He said Maximus tries to alert DHS quickly once it determines that funds should be released to a noncustodial parent. That turnaround can be as short as a week."

"Maximus, based in Reston, Va., is just one of several players in the system."

"Maximus provides legal aid in Davidson and five other Tennessee counties to custodial parents who need help in establishing and collecting child support payments. It helps parents who receive or formerly received state child welfare payments, and parents who can't or don't want to hire private attorneys to help them get child support from their former spouses or lovers."

"Maximus, which oversees about 50,000 child-support cases in Davidson County alone, is paid a percentage of the money it helps custodial parents collect."

"DHS has a patchwork of child support enforcement contracts across the state, relying on district attorneys' offices or other government agencies in some counties and private companies like Maximus in others."

"DHS pays Tier Technologies, a company based in Walnut Creek, Calif., to collect all child-support payments that come into the state system; it contracts with a Chicago-based company called Accenture to help maintain its child-support computer system; and it pays Maximus to run its statewide customer service unit, which is based in Nashville."

"The customer-service hot line has prompted a number of complaints about long waits and few results."

"You're supposed to be able to call the hot line and they'll straighten a problem out for you,'' said attorney Clark Shaw, who has challenged local child-support enforcement practices several times in recent years. 'They don't'."

"Shaw said the child support collection system is so complicated that most people can't deal with it themselves."

"The result, he said, is that 'a lot of these people have to hire an attorney that they can't afford to fix a problem that they shouldn't have had in the first place'."

"The problem is finding the right person to talk to',said Joe Rohling, a Nashville father who wrangled with Maximus and DHS after the state seized his $589 refund from the Internal Revenue Service in April."

"It's like one hand doesn't know what the other is doing. Nobody seems to know what the heck is going on."

"Rohling said his income tax refund was delayed about a month even though Maximus employees ''just looked at their computer and said it should not have been intercepted."

"Dinneen said the customer service unit staffed by Maximus employees is not intended to be 'a complaint line.'"

"We are not caseworkers in the customer service center. We are there to provide information to people and to disseminate information that they provide to us to the appropriate local offices."

"Davidson County Circuit Court Clerk Richard Rooker said he often hears complaints that ''the service is not there'' in the statewide child support collection system."

"People with complaints say they ''can't get hold of anybody'' who can help them, Rooker said, whose office's child support collections fell from $20 million a year in 1998 to $6 million last year."

"He said his office continues to receive a number of cash payments from noncustodial payments, which are transferred to the state overnight."

"Rooker's office still handles child support payments resulting from divorce cases. Court orders in some Davidson County divorce cases, in which Maximus is not involved, provide that the payments still go through the Circuit Court clerk. Norman, the Juvenile Court clerk, handles child support payments resulting from paternity cases in which the parents were never married."

"Shaw said the establishment of a statewide automated child-support collection system had 'a noble purpose, but the plan is not working out too well.'"

"The real villain, if there is one, is poor management at DHS and the failure of the state to properly fund DHS so the job can be done" Shaw said."

"DHS spokesman Paul Ladd said the state agency is 'always looking for ways to improve the system.'"

"But, he said, 'We are confident that we are doing our best to enforce the child-support policies that have been mandated by the state and federal governments.'"

"'The uproar over child-support collections a couple of years ago happened because we were switching over to a new system, which was mandated by Congress. There were problems in all the states.'"

"Ladd said Friday that 99.4% of the child support payments DHS has received since Oct. 1, 2000, 'have been processed.' He said he does not know how many IRS refund checks DHS intercepted this year."

"We are happy to review any case in which any customer complains, be it enforcement or collection of child support."

"Ladd would not comment on how well the private companies under contract to DHS are performing their various functions."

"The companies are under contract to us, and we expect that they will fulfill the obligations of the contract."

http://www.gothamgazette.com/thisweek/04.10.00.html
GG's quick takes on recent NYC news - Hevesi's Day in Court

"The Comptroller has established that the...safeguards designed to insure the integrity and fairness of the contract procurement process were corrupted." So found Manhattan Supreme Court Justice William Davis yesterday, ruling that he would not order Alan Hevesi to register a $104 million welfare-to-work contract awarded by the Giuliani Administration to Maximus, Inc. Justice Davis said that ordering Hevesi would be inappropriate because the Comptroller had demonstrated that the City had given Maximus a four-month head start over its competitors; that Maximus had hidden its partnership with former mayoral aide Richard Schwartz; and that the reasons cited by the City for avoiding a full competitive-bidding process were "meritless." Corporation Counsel Michael Hess sharply criticized the ruling, and promised a prompt appeal.

p://www.bizjournals.com/milwaukee/stories/2000/06/26/story7.html
"Los Angeles protesters target Maximus"

Steven Jagler

"Maximus Inc. is now feeling the heat on both coasts."

"The company is trying to win a $23 million welfare-to-work contract with Los Angeles County, but the county's Board of Supervisors postponed a vote on the contract June 20 when more than 200 people turned out to protest."

"The protesters included clergy members, union members representing county workers, people on welfare and advocates for the poor, said Tanya Akel, analyst with the Service Employees International Union Local 660 in Los Angeles."

"The California protests come on the heels of a criminal investigation being launched against Maximus in New York City and reviews of the company in Wisconsin."

"In Los Angeles, protesters objected to the county awarding a welfare-to-work contract to a private company."

"This is the kind of work that should never be contracted out," Akel said. "This money is meant to make people self-sufficient and should not be going to stockholders (of Maximus)."

"The protesters also pointed to the problems Wisconsin and New York have had with Maximus in their welfare-to-work programs, Akel said."

"There was testimony that looked at all the different news articles about Maximus, and there were quite a bit of allegations of scandal from all over the country," Akel said. "Why does the county want to do business with this company? Maximus has been lobbying heavily to get the welfare-to-work contract for two years now. We think that would be a huge mistake."

"In Wisconsin, Maximus has been the target of various reviews and audits performed by the state Department of Administration, the state Department of Workforce Development, the state Legislative Audit Bureau, the U.S. Department of Labor and the U.S. Equal Employment Opportunity Commission."

"Since winning two Wisconsin welfare-to-work contracts worth $86 million since 1997, the company has faced allegations of discrimination against its employees and improper billing procedures. The company acknowledged that it incorrectly billed Wisconsin taxpayers for some activities in New York."

"The Wisconsin investigations spilled over into New York, where the Manhattan District Attorney's Office is investigating how the company procured $104 million in welfare-to-work contracts in New York City. That investigation was launched after New York City Comptroller Alan Hevesi refused to approve the contracts. Hevesi said New York Mayor Rudolph Giuliani's administration had engaged in a "corrupt" bidding process to award the contracts to Maximus."

"While trying to secure the New York City contracts, Maximus hired the father-in-law of the city's welfare commissioner."

"A New York Supreme Court judge agreed with the comptroller that the process was corrupt, and the investigation is continuing."

"Spokesmen for Maximus and Giuliani have denied any wrongdoing in the New York bidding process."

"In 1989, Los Angeles County became the first in the state to privatize part of its welfare program. The county awarded that contract to McLean, Va.-based Maximus in a transaction that was arranged by a network of former members of then Gov. Ronald Reagan's staff in Sacramento, according to a report by the Los Angeles Times."

"In California, Maximus is following a familiar pattern of hiring local power brokers to help it secure contracts. Maximus has hired Lena Settergren, a former manager in the Los Angeles County welfare office, to serve as the company's local contract manager."

http://milwaukee.bizjournals.com/milwaukee/stories/2000/03/20/story2.html
Maximus at center of New York complaints Pete Millard"

"Maximus Inc., the welfare-to-work contractor facing investigations on several fronts in Wisconsin, also is enmeshed in a $104 million contract controversy in New York City."

"New York City comptroller Alan Hevesi said this week that the awarding of $469 million in 17 welfare-to-work contracts by Mayor Rudolph Giuliani's administration raised the appearance of "corruption, favoritism and cronyism."

"The largest share of the city's contracts, valued at $104 million, went to Maximus. George Leutermann, the Maximus executive in charge of winning the New York City contracts, also oversees the Maximus office in West Allis, which has handled former Aid to Families with Dependent Children cases and other welfare recipients in Wisconsin since August 1997."

"We object to the registration of the 17 contracts on the grounds that we have sufficient reason to believe that there was corruption in the letting of the contracts," Hevesi wrote in a March 13 letter to Giuliani's office."

"The charges were first reported in The New York Times."

"Hevesi pointed out in his letter that Maximus was "repeatedly granted access to, and information from, (New York City's) Human Resource Administration (HRA) that was not afforded to other vendors."

"Maximus gained an unfair advantage over other companies competing for the contracts because it had a five-month head start in preparing its bid, according to documents cited by Hevesi."

"Maximus officials denied any allegations that the New York City contract process was improperly handled."

"We believe we participated in an open and fair competitive process in New York City, similar to processes we have encountered in other cities and states," said Tom Grissen, president of the company's government operations group, based in McLean, Va. "There is no basis for, and we categorically deny, any of the allegations of inappropriate behavior by the firm in New York City."

"The New York City welfare-to-work contracts were awarded by the mayor's office according to negotiation acquisition rules instead of through a competitive sealed proposal process for the purpose of saving time, said a Giuliani spokesman in the HRA office."

"Even though Hevesi objected to the letting of the contracts, the mayor's office put the contracts in motion March 14."

"If the city had used a competitive sealed proposal process, Hevesi said, not only would the process have ensured fairness and openness, but the vendors selected for the welfare-to-work contracts would have been different."

"Hevesi plans to forward his findings to other authorities for investigation. A spokesman in his office said the information could be forwarded to the U.S. Attorney's Office in New York City, the city's Department of Investigations and the Manhattan District Attorney's office."

"This will lead to independent investigations outside this office," Hevesi said. "Others will have to pursue what happened, and when and where and who benefited and who didn't benefit in this process."

"Hevesi's office is viewing one of the Maximus subcontractors particularly close. The comptroller's office said that 30 percent of the $104 million contract has been shifted to a welfare-to-work company called Opportunity America, which is run by Richard Schwartz, a former Giuliani campaign manager and aide."

"The New York Times reported that internal Maximus correspondence it had obtained indicate Leutermann and Tony Kearney, a Milwaukee consultant, were meeting with New York City's HRA in January 1999. The Times cites records that show pages of welfare caseload analysis charts and tables were faxed to the West Allis Maximus office in February 1999."

"Information related to the contracts was not supposed to be released until May 5, 1999, according to rules in the city's competitive bidding process."

"Kearney, who was involved in the creation of a welfare reform program in Milwaukee County called Wisconsin Works (W-2), was simultaneously acting as a consultant for Maximus and the New York City HRA office, according to The New York Times. Leutermann had previously told the Times that Kearney had nothing to do with the New York City project."

"Kearney and Leutermann both have had a long relationship with the HRA commissioner, Jason Turner, a former state of Wisconsin employee who is credited with helping create Wisconsin's W-2 program, the newspaper reported."

"In Wisconsin, Maximus is facing reviews or audits by the Wisconsin Department of Administration, the state Department of Workforce Development, the state Legislative Audit Bureau, the U.S. Department of Labor and the U.S. Equal Employment Opportunity Commission. The Wisconsin reviews stem from allegations of employee discrimination, nepotism and payroll irregularities."

http://www.businessweek.com/1999/99_22/b3631029.htm
"Maximus Inc.: Welfare Privatizer"

The nation was deep into the debate over welfare reform a few years ago when one of David V. Mastran's employees made an observation. ''You're both a Democrat and a Republican,' she told him. 'You're a Democrat because you like to help people, but you're a Republican because you make money at it.' Mastran laughs when he recounts the story, but the remark clearly hits home. 'People on welfare want to get off welfare,' he says. 'My goal is to give them the training, the motivation to do it.'"

"As head of fast-growing Maximus Inc. MMS, Mastran also has plenty of incentive of his own to succeed. Created in 1975 by Mastran, a former official in the Nixon Administration, Maximus runs welfare-to-work programs for nearly a dozen states, and manages child-care and Medicare programs for dozens of local governments. If Maximus were a state, it would have the 29th-largest social-services caseload of all the states in the U.S. But the privatizer is also wildly profitable: The No. 22 Hot Growth company, Maximus churned out a sterling 24.9% average annual return on capital over the past three years, while sales grew an average 60.4% each of those years, to $233.5 million. Earnings grew at an average rate of 21.3% per year, to $14.5 million. In the two years since Maximus went public, its stock price has soared 60%, to 28 3/4."

"Impressive credentials for any entrepreneur. But Mastran, 56, started out as a bureaucrat. A graduate of West Point, he did a stint at the Pentagon before joining the old U.S. Health, Education & Welfare Dept. There he was charged with imposing discipline on social-welfare programs. ''I introduced them to graph paper,'' Mastran says."

"When he went looking for a company that understood welfare programs and could help the agency instill efficiency, however, Mastran found none that fit the bill. So he left government and founded his own company. Maximus soon turned a profit, but didn't really take off until Congress passed the Welfare Reform Act of 1996. The law gave states plenty of flexibility in how they spend federal welfare money, but also demanded they keep precise data on job placements and new hires. States turned to Maximus and other companies that had the technology in hand. Says analyst Brian W. Ruttenbur of SunTrust Equitable Securities: 'They were in this segment before there was a segment.'"

"FRAUD-BUSTER. Today, Maximus holds a leading 30% share of the booming privatization market in health and human services, ahead of huge conglomerates such as Lockheed Martin Corp. and Electronic Systems Data Corp. Governments are attracted by the promise of lower-cost welfare programs. However, Maximus also says it can use database software to spot fraud: With child-support collection, for instance, it can track hiring across states and chip away at the problem of deadbeat dads who move from job to job to duck payments. And Maximus has more flexibility than governments to weed out unproductive employees and give incentives to those who get results. Caseworkers who exceed their quota for placing welfare recipients in jobs might find an extra $200 in their paychecks."

"To be sure, privatization has its critics. Unionized government workers complain that companies work their employees harder and pay them less--a charge that Maximus denies. And there has been controversy as states put programs out for bid: In 1997, Maximus won a $12.4 million contract to manage Connecticut's child-care services. Less than a year later, it was back asking the state for another $6 million. A state audit found fault with the bidding process, saying the request for proposals lacked sufficient detail."

"There's plenty of room for expansion. Medicaid recipients are growing in number and federal spending on other entitlement programs is rising inexorably. And Maximus now is looking into managing government car fleets--it recently purchased a provider of fleet-management software. Having helped stimulate the move to privatization, Mastran is finding that government programs are a gold mine of opportunity."

http://www.cnn.com/ALLPOLITICS/1998/03/16/time/welfare.html
"When Wall Street Runs Welfare"

"Reform has brought more private companies into the welfare business, but so far their record is mixed."

By Adam Cohen, TIME magazine March 23, 1998

"(TIME, March 23) -- Here's a cautionary tale about entrusting the free market with the task of caring for the very poor. Connecticut's welfare administrators, swept up in the national tide of reform, decided last year to inject a little private enterprise into their tired bureaucracy. They awarded a $12.8 million contract to Maximus Inc., based in McLean, Va., to put a shine on a state program that pays for child care for working welfare recipients. But within months Maximus found its operations in the kind of disarray it usually takes government years to achieve. More than 10,000 of the 17,000 bills submitted by child-care providers were over 30 days late in being paid. Day-care centers whose bills were past due worried about having to turn away children or let staff go. Parents who tried to contact Maximus encountered what a state administrator called "telephone-system collapse." With its contract in jeopardy, Maximus CEO David Mastran went into crisis mode, nearly tripling the project's staff and showing up in Connecticut himself. The blame lies partly with the state for not anticipating how quickly welfare recipients would find work and need child care, says company spokesman Kevin Geddings. "But we should have taken a much closer look," he says. "We've learned a lot from this."

"As states struggle to reinvent welfare, privatization has become one of the hottest trends. To beleaguered welfare officials, hiring private contractors to run state welfare programs holds the promise of unleashing the efficiency and flexibility of the market on dysfunctional state bureaucracies. And to the private companies that are moving aggressively into the field, it dangles the possibility of big profits and high-flying stock prices. Privatization has had some notable successes. In some states it has increased the number of welfare recipients going to work by operating well-managed training and job-placement programs. In others it has raised child-support collections by upgrading computer systems and improving procedures for garnisheeing the wages of absent fathers. But in many other jurisdictions, private welfare providers have been failing on the job or having their contracts canceled, or are facing such charges as abusing program clients and using improper influence with government bodies that hand out work."

"Governments have been turning to private industry for help with welfare programs as far back as the 1960s, when Ross Perot founded Electronic Data Systems Corp. Much of its early business was crunching financial data for agencies like the Social Security Administration. But with welfare reform, more work is opening up for private companies than ever before, setting off a welfare-management gold rush. "It's a huge revenue target for the private sector to go after," says Bernard Picchi, an analyst of growth stocks for Lehman Brothers, who estimates the potential market at more than $20 billion a year. Private firms have also been assigned the kind of front-line, person-to-person tasks they have not had in the past. In Milwaukee, Wis., Maximus has been given traditional caseworker duties for part of the city, taking welfare applications and supervising recipients in state-mandated work assignments."

"Maximus stands out because its $127 million in annual revenue makes it the nation's largest company specializing in welfare work. Mastran, an Air Force veteran and former Pentagon "whiz kid," got his start managing contracts and grants for the Department of Health and Human Services. He began working alone out of his home and in 22 years managed to build a company that has 1,600 employees in 34 offices nationwide. When Maximus went public this summer, analysts rushed to rate the company a "buy," and the stock is already up almost 50%. But the outlook for private welfare is so bullish that Maximus has to compete with corporate giants like the $14.5 billion EDS and the $27 billion Lockheed Martin of the defense-and-aerospace industry. Lockheed Martin moved into the welfare field about 10 years ago, and with the cold war's end, its government-services division has become the fastest-growing part of the company. Today it collects fully 11% of all child-support payments taken in nationwide."

"Maximus, as well as the other private welfare companies, can point to a number of successes across the country. Its "Fairfax Works" program in Fairfax, Va., has moved thousands off welfare into real-world employment, free from government subsidies. A Lockheed Martin welfare program in Dallas has placed 76% of its clients in new jobs paying an average of $431 a week, exceeding federal goals. But the growing number of cases in which things have been going wrong have begun to capture more of the headlines. A Maximus child-support-collection program in Colorado has come under fire by the very district attorney, John Suthers, who originally urged that the company be hired. Although Maximus has so far increased collections about 11% a year, Suthers says, that record is no better than what government workers were doing and is half the improvement he expected. In Virginia, EDS agreed last year to pay $2.3 million in reimbursements and damages after it failed to deliver on a $45 million contract to computerize the state's Medicaid system. And last month Lockheed Martin admitted that the first year of its Baltimore child-support-collection program fell more than 22% short of its promised performance. A demonstration project run by Maryland state workers in a nontraditional manner has so far managed to collect child-support payments at a much higher rate than has Lockheed Martin."

"Even more troubling are charges that private welfare workers have acted abusively toward human-services clients. In New Jersey, families with mentally disabled relatives in state institutions were contacted by Maximus and given as few as 10 days to hand over complicated financial data, with the threat that loved ones would be kicked out. "They scared me," says Louise Bilicki, the widowed mother of a 49-year-old who is mentally and physically handicapped. "Their demands were outrageous--if I didn't give the information to them immediately, they would cut off services to my son." State welfare officials met with Maximus, instructing them to be more sensitive. "We do not like to lead with that as a stick," says developmental-disabilities director Robert Nicholas. Maximus says all its case managers go through courtesy training, and that it is not company policy to harass aid recipients."

"Critics of welfare privatization say providing human services, which tends to involve small budgets and protracted problems, is not suited to a private system not directly accountable to voters. "They are just not as responsive as public employees," says Geraldine Jensen, president of the Association for Children for Enforcement of Support. "When I go into one of these companies, I'm not talking to a district attorney I can vote out of office." Some critics are troubled by all the money being made. Since taking Maximus public through an IPO this summer, Mastran has made $18.8 million in cash, and he holds stock worth an additional $110 million, though he is barred from selling it for years. Maximus contends that its profits come not from the poor themselves but from improvements it makes in the delivery system. "We only make money off the efficiencies we devise," says Maximus' Geddings."

"So is there any role for private companies in welfare reform? The best case for it is the poor job government has historically done on welfare. For all Maximus' problems in the Connecticut child-care program, the state operation it took over had major flaws of its own. Three of its four child-care systems were not even computerized, which meant workers had to calculate benefits by hand and store data in folders. With all this in mind, Connecticut decided after a review last month to continue Maximus' contract and triple the amount it pays per child-care case. Welfare may be one of the few fields in which a system temporarily plagued by unpaid bills, unanswered phones and system breakdown can still constitute an improvement."

Private Problems

Handling welfare programs to for-profit companies has produced some glitches during the past year:

--A Lockheed child-support program in Baltimore underperformed by 22%

--EDS lost a $45 million Medicaid computer contract with Virginia

--A Maximus child-care contract in Connecticut ran into big trouble

--Maximus was faulted for its harsh treatment of New Jersey families

http:www.arc.org/downloads/prospecting.pdf
specting Among the Poor - Welfare Privatization

http://www.courts.state.va.us/opinion/1990500.doc
Court action involving Maximus and Lockheed

WHAT ARE THE FIVE CONTRACTS INCLUDING MSP/PHARMACARE THAT THE BC GOVERNMENT HAS OUTSOURCED TO PRIVATE, FOR PROFIT, CORPORATIONS OF THE MILITARY/INDUSTRIAL COMPLEX, AND WHAT PERSONAL INFORMATION ARE THEY COLLECTING ON YOU?

1. Provincial Revenue

The B.C. government is contracting with EAS Advanced Solutions Inc., a subsidiary of EDS Canada which is a subsidiary of EDS International, an American corporation, to provide access to all its records. Services include account management, billing, payment processing, and collections.

Gives access to confidential financial and personal information of many British Columbians:
* driver’s licence records, vehicle registration information, insurance information
* income assistance and student loan applications
* medical information (all MSP billing history)
* ambulance (where you were picked up and driven to)
* SIN
* birthdate
* address (current and historical list of address from opening of any account to present)
* personal property and asset information
* credit information
* liabilities (who you owe money to currently and in the past, how much, monthly payments, credit card numbers)
* bank account #s
* if you are an owner (or otherwise) of a company
* place of employment (current and historical)
* your income and sources of income (EI, etc.)
* income of your spouse or common law partner
* amount of child support payment you receive or pay
* amount of child tax benefit and/or GST you receive
* your monthly expenses (rent, mortgage, how much you spend on food, telephone, cable, utilities, bus passes, car loan, child care, clothing)
* stocks, bonds, RRSPs
* BC Online:
o Personal Property Reg.
o Site Registry
o Corporate Registry
o BC Assessment
o Land Titles
o Rural Property Tax
* Home Owner Grant (current and history of houses or property owned)
* Skip Trace Unit (BC Hydro uses to search out of province driver’s licence in Canada or U.S.)
* Equifax (all credit information; an inquiry by Provincial Revenue does not show up in Equifax history sent to individual)

EDS record:

EDS ran the Medicaid rolls in Florida. It was widely reported in the media that in its first two years, EDS racked up $260 million in errors, failed to remove 235,000 ineligible people from the rolls, was blamed for $232 million worth of mistakes in the Aid for Dependent Children and Food Stamp programs. In Indiana, media reported an EDS computer system created a major backlog processing Medicaid claims. Reportedly, after one year, Indiana’s hospitals were on average 136 days behind in receiving Medicaid payments and nursing homes were owed $86 million in back claims. (source: Eye on Privateers, Sept. 1999 AFSCME).

In Texas, a state audit revealed the contractor that had administered the Medicaid program for 25 years overcharged the state by $31.3 million in 2002, and $20 million the previous year. The contractor, National Heritage Insurance Co., is a subsidiary of EDS Corp. - the parent company that the B.C. government is contracting to administer Provincial Revenue. The company lost the contract following a year-long probe by the Texas Attorney-General’s Office into alleged contract violations including overbilling, improperly hiding expenses, charging taxpayers for an executive’s luxury apartment, and questionable employee bonuses. (Knight-Ridder/Tribune, June 12, 2003). EDS reportedly racked up $260 million in errors when it failed to remove 235,000 ineligible people from the Medicaid rolls in Florida, and was blamed for $232 million worth of mistakes in the Aid for Dependent Children and Food Stamp programs (Eye on Privateers, September 1999, AFSCME).

EDS is also responsible for a flawed computer system to track international students as part of the tighter security measures in the U.S. that routinely loses sensitive information about foreign students and faculty. Schools have also been unable to print documents of international students and visiting scholars in order to obtain visas, impeding their entry into the country. A student from Thailand visiting a university in Washington, D.C. was arrested because the computer database incorrectly listed her as having dropped out. (Knight-Ridder/Tribune, March 17, 2003).

2. MSP and PharmaCare

B.C. government is contracting administration of MSP and PharmaCare to a Canadian subsidiary of Maximus, an American corporation.

Gives access to British Columbians’ private medical information:
* medical reports
* psychological reports
* mental health reports
* x-rays
* photographs
* operations reports
* which doctors a person visits
* 15 months of drug history, drug expenditures, and any methadone use
* patient restrictions
* doctor restrictions (disallowing doctor from writing certain prescriptions)
* residency in long term care facilities
* if you’re a diabetic
* special authorities you may have for drugs not normally covered

also:
* date of birth
* family status and history
* address
* phone number
* criminal record (in order to determine whether a beneficiary is in jail)
* employment history
* income
* financial information including bankruptcy (to determine eligibility for premium assistance)
* immigration and refugee status
* disabilities

Maximus record:

Maximus cost the people of Arizona $1 million more to run a welfare-to-work pilot program than had it been publicly administered by the state. A Wisconsin State 2001 Legislative Audit Report found Maximus spent more than $400,000 on unauthorized expenses and $1.6 million the company couldn’t properly document. In Connecticut, half of the 17,000 bills Maximus was supposed to pay to child care providers were over 30 days late. (Dollar & Sense, January 2001)

3. Government payroll

B.C. government is contracting with TELUS (a multi-national corporation)to deliver all payroll and information management services for the B.C. government. The contract was initially going to be awarded to a consortium of TELUS, Accenture and Sierra Systems Group. Accenture has been dropped. Sierra Systems will continue to be a member of Team TELUS, responsible for "long-term systems development".

Gives access to personal information of over 30,000 public service employees:

* contact information
* SIN
* birth dates
* income
* benefits
* all leaves taken (sick, parental, medical, dental, adoption, appointments, union, disciplinary, maternity)
* pension (start date, how much you pay into pension, how much government pays)
* charitable donations made
* garnishment
* Canada Savings Bonds (amount of contribution)
* personal income that is reduced at source because of special circumstances

4. Disaster Recovery

B.C. government is contracting with Sungard, an American corporation, to provide recovery of government data in the event of a disaster. The contract includes running annual tests to ensure the recovery system is in place. Beginning March 8, 2004, the Ministry of Management Services has been shipping tapes of enormous amounts of government data to Sungard in Philadelphia. Data is sent as is with no encryption or coding.

Gives access to all government data on the mainframe which is then stored offsite in Philadelphia in the event of a disaster for later recovery.

5. Workstation Support Services

B.C. government is contracting with ISM Canada, a subsidiary of IBM, to provide all information technology services for all government departments.

Gives access to everything on the government’s computer system:

* every email in government
* access codes
* all legislature workstations (including premier’s office); everything on individual hard drives
* highly sensitive files (cabinet documents, intergovernmental documents, etc.)

Why contractual, technological and legal risk mitigation strategies won’t work.

To date, no contract with such safeguards has been negotiated with any contractor.

The proposed mitigation strategies are untested.

U.S. courts have already dismissed corporate non-disclosure agreements.

There’s no firewall or other technical means that can’t be by-passed.

U.S. government places its own security before other concerns and U.S. courts will assert their jurisdiction to the fullest extent when there is a real or perceived threat to U.S. security.

U.S. courts have power to order disclosure of records beyond their borders.

U.S. believes Canada is a haven for terrorists and is interested in access to databases.

U.S. has demonstrated little concern for sensitivities of allies, or rights of its own citizens; it has a history of abusive search and surveillance, and invasion of privacy rights.

Having international treaties like MLAT does not guarantee the U.S. government will refrain from using Patriot Act.

Even if mitigation strategies were agreed to and included in the contract, the proposal that a violation would mean the termination of the contract would leave British Columbians without critical services.

http://www.andcorporation.com/press/press_1_24_01.html
"AcSys U.S. and MAXIMUS Sign Teaming Agreement"

"BURLINGTON, ON, Jan. 24 /CNW/ - Heritage Concepts International Inc. (HCI) (TSE:HCI - news) announces that its US affiliate, AcSys Biometrics USA Inc., has entered into a teaming agreement with MAXIMUS, Inc., a Reston, Virginia- based company and one of the US' leading providers of program management, information technology, and consulting services to state and local governments."

"We are anxious to work with AcSys," said Al Miller, vice president of MAXIMUS Intelligent Technologies Division. "This is an important initiative for MAXIMUS that adds another dimension to our Smart Card capabilities. Facial recognition biometrics, through AcSys' technology, is now a real-time solution and has entered the realm of being a practical choice -- not just a theoretical one. This arrangement will allow MAXIMUS an even greater opportunity to provide the excellent service our clients have come to expect."

"AcSys and MAXIMUS, will, as a team, enter into joint proposals for the purposes of developing, servicing, and supplying biometric solutions for various fields, such as government, security, military, financial, education and health care systems."

"The agreement allows both MAXIMUS and AcSys to pursue opportunities that provide products and services related to each other's field of expertise. AcSys and MAXIMUS will determine which will act as the prime and which as the subcontractor based upon each project. Compensation will also be determined on a project-by-project basis."This is indeed great news for AcSys," said Jerry Janik, AcSys' president. "The groundbreaking teaming agreement we have put in place with MAXIMUS provides AcSys great momentum and underscores my commitment of bringing our biometrics technology to market as the most powerful facial recognition biometric available."

...."AcSys Biometrics USA Inc. is a wholly owned subsidiary of AcSys Biometrics Inc., a subsidiary of HCI. AcSys Biometrics is the leading-edge provider of facial recognition through its exclusive worldwide license for Quantum Holographic Neural Technology (HNeT) in the area of facial and speech recognition with applications for the financial, manufacturing, security and medical sectors. HCI is a diversified, Burlington, Ontario-based, Canadian-controlled company operating in this new economy through autonomous subsidiaries and partnerships. HCI trades on the Toronto Stock Exchange."

http://www.fathers.bc.ca/fmep.htm
"MIS Program Management & Consulting Limited

".C. is the only jurisdiction in Canada which contracts out its FMEP tasks. B.C. has renewed its contract to 2008 for about $10M US a year (~100 employees) to a company called Themis:

Themis Program Management & Consulting Ltd., P.O. Box 8851, Victoria, B.C., V8W 3Z1, 250-382-5170, fax 250-382-5177 , www.themis.bc.ca"

"Themis has 3 Regional Client Offices in Victoria, Burnaby, and Kamloops. The Burnaby office services about 20,000 cases in the Lower Mainland, Sunshine Coast, and Fraser Valley. There are 3 Enforcement Managers with about 45 staff in total, and 6 legal counsel with 3 legal secretaries at the location. The Burnaby location is at:" Themis Program Management / FMEP, 5000 Kingsway Plaza, Suite 408-4980 Kingsway, Burnaby, B.C., V5H 4K7

"Themis is owned by a U.S. company called "Maximus Canada Inc." out of Reston Virginia, which seems to do similar FMEP business in the U.S.. Maximus also owns an unknown company called "Gaea Management Ltd." which recently donated $1,000 to Canada's Paul Martin as a political donation."

"According to Maximus, "B.C.'s FMEP has a reputation for being technologically advanced and being a leader in providing customer-focused service."

http://about.telus.com/cgi-bin/media_news_viewer.cgi?news_id=542&mode=2
"New health service contact centre, help line benefits British Columbians December 23, 2004"

"TELUS (a multinational, editor) signs 10-year, $20 million agreement to provide services to MAXIMUS"

"Vancouver, B.C. - TELUS has signed a 10-year, $20 million agreement to sub-contract services including contact centre technology and a speech recognition system to MAXIMUS BC HEALTH BENEFITS OPERATIONS INC., a MAXIMUS Canada company, to support that firm's delivery of program management and information technology services to B.C.'s health benefits operations."

ARE OTHER CANADIAN PROVINCES HANDING SOVEREIGN CANADIAN CITIZENS' PERSONAL INFORMATION OVER TO PRIVATE, FOR PROFIT CORPORATIONS OF THE MILITARY/INDUSTRIAL COMPLEX?

(Editor's Note: There are probably more provinces than Nova Scotia involved; further searching of the thousands of links available using the term "maximus inc." on Google or Yahoo likely would be fruitful.)

http://www.nupge.ca/news_2004/n08no04b.htm
"A Nova Scotian's privacy may be victim to US Patriot Act"

"Four agencies in the province contract with US companies to keep records."

"Halifax - Concerns being raised over the security of the personal records of British Columbia's residents has also sparked a controversy on Canada's east coast."

"Responding to growing public pressure the Nova Scotia Conservative government has announced that they are considering revamping the province's freedom of information laws."

"Recently British Columbia's privacy commissioner released a report saying that American authorities could use the US Patriot Act to get access to private information on Canadians if personal records are outsourced to U.S. companies."

"The Nova Scotia NDP is pushing the province's Conservative government to introduce legislation that would protect privacy rights. Party leader Darrell Dexter has told the media that there are four Nova Scotia agencies that use US companies to maintain their records."

"

The Patriot Act provides the FBI with the authority, for intelligence gathering or for anti-terrorism, to access “any tangible thing” under the control of a U.S. company or Canadian subsidiary."

"Private data outsourced to four US companies."

"Four U.S. companies have contracts to handle electronic databases for the Nova Scotia government. This includes:

• Texas-based information technology giant EDS, which manages the province’s mainframe processing system;

• Virginia-based Unysis keeps the database for the Registry of Motor Vehicles; and

• ACS State and Local Solutions Inc. of Dallas maintains part of the community services integrated case management system."

"...implications of the Patriot Act on the privacy of Nova Scotians but continue to offer vague assurances that people's private records are not at risk."

WHY IS AUSTRALIA COMPLAINING ABOUT MAXIMUS INC?

http://www.albanesemp.org/img/020920 - Brough Impersonates Pontius Pilate.pdf
MEDIA RELEASE
Anthony Albanese MP Shadow Minister for Employment Services & Training, Federal Member for Grayndler

"BROUGH IMPERSONATES PONTIUS PILATE"

Today in Question Time the Minister for Employment Services, Mr Mal Brough, refused to investigate a US based corporation, Maximus Inc., who despite having a dubious track record overseas has successfully secured a foothold in Australia following its purchase of the Job Network’s biggest private provider, Leonie Green and Associates."

"At the same time Maximus Inc has been achieving record revenues and profits, allegations of poor service delivery, cronyism, financial irregularities and discriminatory internal employment practices have been levelled at the company."

"Allegations concerning Maximus include:

•In 1994, “Mississippi froze a child support collection contract with Maximus when costs nearly doubled what the state had spent previously”.
•In 1998 Maximus won a contract in Connecticut to manage the payment of child care for working welfare recipients but within months it “found its operations in the kind of disarray it usually takes governments years to achieve”.
•In 2000, a coalition of 50 Milwaukee-area church groups called for the termination of a $US46 million Maximus contract that provides job training and other services to welfare recipients.
•In March 2000, a contract awarded by Mayor Rudolph Giuliani’s administration in New York City to Maximus raised the appearance of “corruption, favouritism and cronyism”. A New York State Supreme Court concluded that there was “compelling evidence that the contracting process has been corrupted”.
•In December 2000, Maximus lost the contract to manage child support services in Colorado Springs after only 5 years and following numerous complaints from its clients about the quality and level of service they were receiving.(Source: www.arc.org/welfare/prospecting _nr.html)"

"This is the track record of a company who now wants to play a major role in the delivery of welfare and employment services here in Australia."

"Like Pontius Pilate, the Minister is now seeking to wash his hands of responsibility."

"However, Australian jobseekers deserve better than the Minister’s reassurances. To allay community concerns about Maximus’s overseas performance and its plans for employment services in this country, the Minister should ask his Department to immediately investigate the company and its purchase of Leonie Green and Associates."

WHO GAVE CANADIAN PROVINCIAL GOVERNMENTS OR ANY GOVERNMENT THE RIGHT TO DO SO, WITH LITTLE IF ANY INPUT FROM SOVEREIGN CITIZENS?

Unfortunately, we do not live in a democracy, and most of our politicians are liars; merely actors, puppets and front men for the ruling elite behind the scenes who take their orders from The Hague and London, UK. Politicians are there to tell us (the sheep) what we want to hear. If those who are genuine have dared in the past to tell us the way things really were they have either been 'suicided' and/or set up so that their character was assassinated and their careers ruined. How Canada Was Secretly Given Away" outlines the outright criminality of how NAFTA was forced on Canadians by crooked politicians. Reading this will help you understand that putting your faith in politicians, no matter the party, is foolish (and quite honestly, dangerous at this very serious time in human history). They are NOT representing you and your family, and have sold themselves lock, stock and barrel for money and power.

Since 9-11 the long-held plan for this New World Order has been expedited on such a massive scale, that there really are virtually only months remaining in which we can do something to stop it. We CAN stop it if enough people WAKE UP, become informed and take action.

http://globalresearch.ca/articles/CHO401D.html
Canada's New "Homeland Department of Public Safety and Emergency Preparedness (PSEP)"

by Michel Chossudovsky, www.globalresearch.ca 23 January 2004

"Since the accession of the new Canadian government led by Prime Minister Paul Martin, a « copy and past » version of Tom Ridge's Homeland Security Department has been installed in Canada under the new Ministry of Public Safety and Emergency Preparedness (PSEP), headed by Ann McLelland."

This Ministry, now collaborates actively with the US Department of Homeland Security. Immigration and tax data are being shared. Canada also participated in May 2003 in the Homeland Security Department's operation TOPOFF- 2, described as "the largest and most comprehensive terrorism response and homeland security exercise ever conducted in the United States." (for details, see http://www.globalresearch.ca/articles/CHO312D.html

Canada's Patriot Act3

The Senate Transport Committee is holding hearings into Bill C-7 the latest piece of the Canadian Police State Agenda. This bill is the third version of it that they have tried to pass over the last 2 years: it was C-42 then C-55 then C-17, now called C-7. This bill is horrific: it gives unlimited power without parliamentary review to 8 different ministers in the form of interim orders, with an explicit exemption from the orders being examined for their legality or constitutionality. It gives these orders under the Quarantine Act, and provides National Defense with a reserve pool of military judges to prepare for the event of martial law, so it's truly frightening; all of us who have examined the bill feel it must be stopped by any means, although we recognize that stopping legislation in the Senate is rare and very difficult."

"The bureaucrats have been testifying all week before the committee, and the questions from the Senators clearly showed that there are a number who are strongly and weakly opposed to it, as well as 2 strongly pushing it (Day and the Chair: Fraser). So that means that there is the possibility, albeit very slim, of stopping the legislation. The government stacked the deck by sending it to the Transport committee instead of Legal and Constitutional Affairs where it belongs, as this is watershed legislation that is manifestly Fraudulent Legislation."

"Canadians, please take urgent action to let the Senators know of your concerns: the committee meet Monday to hear the Ministers involved make their sales pitch. Some of the questions about the C17PublicSafetyAct you should be looking for answers to include:"

"Why is the Senate considering giving 8 different Ministers the Executive power on their sole authority to issue Interim Orders in lieu of laws without first consulting Parliament, and exempts the Orders from being even examined in advance for their legality or constitutionality?"

"Why does the government want to establish a reserve pool of military judges in the event of martial law?"

"Why is the Senate considering reintroducing searches without warrant?"

"Can the Interim Orders under the Quarantine Act be used to order forced vaccinations and/or internment as in the US Homeland Security Act?"

"Why does the government want to remove the protections of the Privacy Act of their personal data collected by the government within Canada? "

"Why does the government want to give the personal data of Canadian travelers without any control on how the information will be used? If you are black-listed in the United States, will you be black-listed from flying in Canada? What can you do about it if you are? "

"What is the demonstrable need for Big Brother databases in a free and democratic society? Why does the USA get all the personal data of Canadians even when they are not flying to the US?"

A BRIEF OUTLINE OF SOME OF THE POWERS OF THE USA PATRIOT ACT

The Act dramatically expands the authority of U.S. federal agencies by giving them unchecked search powers and secret processes.

Act permits:

* greater access to business records
* increased use of secret searches
* increased ability to do surveillance, wiretapping

FBI can obtain an order to search any type of record and does not have to go through any judicial assessment.

FBI can investigate an individual with no obligation to show probable cause.

No procedure to challenge an order for disclosure.

Failure to comply with an order constitutes contempt.

Anyone served with an order for disclosure is forbidden from telling anyone that the order exists.

Individuals will not even know that their personal information has been handed over to authorities.

WHAT YOU CAN DO ABOUT IT?

I. For B.C. residents, because the Maximus project is scheduled to begin in the second half of fiscal 2005, the contract may not be a done deal yet. Contact the BCGEU to find out how you can help them with their court action, and inform others about it as fast as you can. A number of questions come to mind that you might want to demand answers in writing to. You'll probably have many additional questions of your own to add to these:

a. Why has the BC Government outsourced so many services without either informing fully and/or totally disregarding any (minimum) citizen input there has been, under whose authority?

b. Why does the BC Government (politicians) believe it has the right to outsource so much personal information on sovereign citizens to private, for profit, military/industrial corporations?

c. Regarding the BC Government's assurance that "No remote access to data from outside Canada", we need to demand the release of the source code. How can they lie like this, when "beginning March 8, 2004, the Ministry of Management Services has been shipping tapes of enormous amounts of government data to Sungard in Philadelphia. Data is sent as is with no encryption or coding. That data is our personal information? Did you as a B.C. resident and sovereign citizen in a supposed democracy have a chance to input into that decision that was obviously made behind closed doors?

d. In order to award an outsourcing contract, in "July 2003, the ministry issued a business proposal to engage the private sector and identify a suitable partner with capacity to develop innovative solutions, tailored to B.C.’s unique requirements." In that time frame, before awarding a contract of such importance, why didn't the BC Government investigate or make even the most rudimentary enquiries as to the veracity of the claims made by Maximus in their literature and in the many news reports/articles readily available on the Internet? Had they done so, they would have been fully aware of the many complaints of possible fraudulent activities going back to at least 1998 (and perhaps far longer if one had the time to research the other 10,000 links for the term 'maximus' on the main search engines) or had access to court documents?

It is pretty clear that the awarding this contact was done with the BC politician/puppets being fully aware of what they were doing: selling Canadians out to the global military/industrial complex. Did the politicians pushing for this contract to go through take a back hander (ie: were paid for their services) by Maximus or any other private military/industrial corporation? There must be a way to check this out.

e. Demand the answer to their "Should Maximus win the contract to manage British Columbian’s health and pharmaceutical records, those records would not only become available to all US intelligence agencies as they please, but Maximus would also be legally obligated to refrain from informing the BC government or British Columbians that a request for records had been made, or that such a request had been served" statement.

f. (Editor: These few paragraphs excerpted from news/articles already mentioned).... "It would be a good idea for affected ministries to study exactly how US companies that manage information are affected by the Patriot Act, and to find where their legal obligations contradict our own privacy legislation. Then it would be smart to formally include in bidding processes a review of this information whenever US-based companies bid for any contracts that have to do with information management." It would be an especially good idea for the government to announce on August 31 that there will be a delay in the decision about the future management of health records of BC citizens. Blame the delay on incompetent public servants if you want, but delay the signature on that contract. The lay of the land south of the border has been radically changed, and those changes need to be fully understood before we begin exposing our citizens to the risks of privacy invasions, particularly of health and pharmaceutical records." None of this happened before the contract was signed.

g. Demand an explanation of: "The Maximus outsourcing deal was announced just six days after the release of a detailed report by B.C.’s Information and Privacy Commissioner, David Loukidelis, examining issues around the Patriot Act and the outsourcing of IT services.

"In its submission the B.C. privacy commissioner’s report, ITAC said existing agreements between Canadian and U.S. law enforcement authorities make it easier for U.S. authorities to use existing channels rather then the Patriot Act."

"The records can still be accessed by U.S. authorities but via Canadian authorities, and under Canadian laws consistent with our Charter of Rights and Freedoms," said Munson."

h. How dare they claim "The requirements for the protection of privacy are stringent and onerous, and provide an unprecedented level of protection in the country in this area of service.” Privacy and security have been top priorities of this initiative since its inception" when the real truth is, "U.S. courts have power to order disclosure of records beyond their borders."

"U.S. has demonstrated little concern for sensitivities of allies, or rights of its own citizens; it has a history of abusive search and surveillance, and invasion of privacy rights."

II. Are there zionist doctors in our medical system knowingly working with the globalists? From my own recent personal experiences with two GP's and a specialist,listening to friends, reading articles on www.rense.com over the last two years, and listening to callers in to alternative talk radio, I am of the belief there is.

Ensure that you inform your doctor (and any doctor you've ever been a patient of) in writing that he/she will face being sued by you (perhaps a class action along with your family/friends) if the doctor allows your personal information to go to private, for profit corporations of the military/industrial complex, as the contract between the BC Government and Maximus allows.

III. Write, phone, fax your government both Provincial and Federal, informing them you'll be taking the matter to court ASAP and publicizing it, if they continue to hand over your personal information to private, for-profit corporations of the military/industrial complex.

IV. Get involved with non-infiltrated groups/organizations that are trying to wake up others, htp://www.canadianliberty.bc.ca/ is one, or get together with people in your community who understand what is really going on.

V. Request in writing from your local MLA/politicians their guarantee that they are NOT working to further a global fascist state. If they can't or won't give you this, expose them for what they are in any way that you can. Don't allow them to continue lying to people and getting away with it.

VI. The private, for profit military/industrial corporations that are gathering your personal information from governments obtain their funding for doing so from your tax dollars. Write, phone, fax Canada Customs and Revenue Agency (as they're now called) informing them you're going to quit paying taxes (the Canada Tax Act has NEVER been ratified anyway, therefore is totally illegal), because while they're sending your personal information to private corporations of the military/industrial complex, their complicit in your enslavement.

VII. If you work for a military/industrial complex corporation, quit and tell them why you're quitting, inform others not to work for such companies (since you're only helping them enslave you and your family now, and for generations to come).

VIII. DO NOT do business with any multinational military/industrial complex corporation, do not buy their goods, DO NOT work for them, because by doing so, they are using your money or using you to enslave you and your family.

IX. If you invest in such companies, be aware that they are using your money to help enslave you and those you love.

X. Inform in writing, your bank, or ANY OTHER INSTITUTION/ORGANIZATION THAT YOU DO PERSONAL BUSINESS WITH (even down to your Avon lady) that you will sue them (and publicize it) if they are sending your personal information to private, for profit military/industrial complex corporations. Be aware they may deny such is taking place, and whomever you are speaking to may genuinely believe that their company is not doing such a thing. However be very aware that the globalists modus operandi is to set up what are called "front" companies, which may not be directly linked on the surface to anything nefarious, however on checking you'll likely find out that the trail leads to one or more of the military/industrial private corporations who ARE collecting your personal information. (In my research, reading, or listening to alternative radio, I did read or hear that the Royal Bank of Canada customer account information was being done in the U.S.), though I can't cite the source for this. You'd have to check on this yourself. Ask the bank to provide their guarantee in writing that this is not taking place - they won't be able to provide it without perjuring themselves.

XI. Do some research in the library or on the Internet on how you can stop relying on the toxic pharmaceuticals your doctor may have prescribed for years - another way they're enslaving you. There are many natural herbs and products out there, however be aware that the global pharma cartels are rapidly having laws passed that put all natural substances under the jurisdiction of the medical/pharma cartels. In the near future, you might be able to obtain some of the substances available to you today, however these will only be available on prescription in subtherapeutic doses, meaning you'll still be spending your hard earned dollars, however will not achieve optimum health as before on a less than adequate dose - sort of like rats on a wheel, forever and ever stepping on the treads, but never reaching the end. That's how the globalists want it, making money off of you for as long as they possibly can. Try to find a local source for organic herbs, and make your own potions, so you don't have to rely on the global pharma cartel poisons. Again, there's tons of info on the Internet or in the library informing you how to do this.

XII. Stop killing your brain cells and causing other detrimental effects on your body by using Aspartame laced diet drinks, fluoride laced toothpaste, and fluoridated municipal water. Search Google or Yahoo for 'aspartame' and 'fluoride' and learn why these poisons are SO dangerous to you and your kids. Take your health into your own hands and stop relying on doctors, who have neglible training in nutrition, and NONE in natural supplements or the mind-body connection.

If this material is new to you, you need to become educated in what is really going on ASAP. From the following web sites and radio shows you'll quickly realize that the world as you perceived it is simply an illusion. That behind your government and politicians is a very dark force which is hell bent on bringing in their global fascist New World Order, no matter the cost in money, lives or resources.

THE best web site for information on what's really going on is the U.K's David Icke. There's massive (well over 5,000 items) of well researched material on this site, you can access the headlines that you won't find in ANY mainstream media, and most importantly, you can purchase and read the wonderful books available - I urge you to pass them on to family and friends (on an URGENT basis).

Further excellent web sites: www.whatreallyhappened.com
www.rense.com
www.karlschwarz.com
www.skolnicksreport.com
www.globalresearch.ca
www.educateyourself.org
www.savethemales.ca
www.propagandamatrix.com
www.nomorefakenews.com
www.wingtv.net
www.pilger.com
www.gregpalast.com
www.worldaffairsbrief.com
www.cuttingedge.org (sign up for their free newsletter).

THE best patriot radio broadcast which provides absolutely FREE archived shows you can download and send to your family and friends is www.rbnlive.com. These guys are just like you and I, and are desperately trying to save their country (and the planet). Consider how you can help them spread the word, and perhaps find out how to set up your own mini broadcast of their information in your area for minimum dollars (a terrific way around the elite owned and controlled mainstream radio broadcasting propaganda machine). When you hear the material covered on their broadcasts, you'll be compelled to support them - do so on an URGENT basis.

For real and dynamite INSIDE intel you'll not find ANYWHERE ELSE, tune in to the ONLY show of its kind on the 'net at cloakanddagger.ca. You can listen for free, however I recommend you subscribe to their archives (for a very small fee)so that you can pass their programming on to family and friends (do so on an URGENT basis).

More broadcasters of REAL news and useful information you'll not get on any elite owned and controlled mainstream radio include:
www.meria.net
www.theedgeam.com
http://www.thebyteshow.com/Library.html
www.takingaim.info
www.newsforthesoul.com

CONCLUSION

It is apparent from the information presented here (and I'm sure there's more to uncover), that these private military/industrial corporations not only know everything about you (even down to when you ordered a pizza, or when and what you ordered from the Sears catalogue for instance), but as private, for profit corporations, they are always going to be working for the "bottom line". This means, they'll determine what and how much YOU will qualify for in any of the programs they administer, while always protecting their "bottom line"? And, as administrators of the BC Medical Services Plan and Pharmacare, working for their "bottom line" profits, it means cutting/denying benefits to certain elements of society (the details of which are contained within a secret internal agreement)the public does not have access to, in order to accomplish this. Reading the complaints about Maximus, it would certainly seem this is likely to be the truth rather than just a "theory".

As if that isn't bad enough, by far THE most appalling and frightening implications of this outsourcing of personal/medical information on sovereign citizens to the military/industry complex, means that in the future, when these corporations deem its time to get rid of us "useless eaters" including seniors/elderly, disabled and sick, welfare recipients, and those diagnosed with mental health "problems", or anyone else who doesn't fit into George W. Bush's fascist world order, they have all the information they require at their fingertips, just as IBM did in the holocaust..

"PRESIDENT BUSH WANTS TO SCREEN WHOLE U.S. POPULATION FOR MENTAL ILLNESS!" - Amidst the most flowery rhetoric, President Bush is intent upon gaining the authority to force anyone in the population to submit to a mental illness screening. Power over people and huge profits for the drug companies will rapidly ensue.

"PRESIDENT BUSH'S MENTAL HEALTH SCREENING INITIATIVE: EDUCATION AND SOCIAL CONTROL" -- Part 2 -- Bush's New Freedom Initiative defines "Traditionalists, Social Conservatives" as mentally disturbed! Employing the old tactic used by Stalin's Communists to seize and control dissidents by declaring them to be mentally deranged, and placing them in mental institutions where they would be controlled by drugs. Under a false innocuous label, President Bush's program is a threat to all genuine Christians, Patriots, and their children! -- http://www.cuttingedge.org/news/n1931.cfm - require a small subscription to access the full articles.

http://mparent7777.blog-city.com/read/995088.htm
Opposing bush a form of mental illness"

"It’s not the stolen election or the war crimes committed in my name. It’s not the fact Bush is a liar and a criminal. It’s not the Strausscons in the White House and the Pentagon, plotting multiple wars in the Middle East and elsewhere.

"It’s not Congress, sold out to neolibs, multinational corporations, and Wall Street loan sharks.

"It’s me.

"I’m suffering from “political paranoia” and need Paxil, a prescription drug for the treatment of anxiety and depression. It’s not the 100,000 dead killed by my government in Iraq. It’s not torture or loose talk of nuking enemies. It is a serotonin imbalance in my brain. I suffer from any number of possible maladies-depression, Generalized Anxiety Disorder, Obsessive Compulsive Disorder (thus writing this blog every day), and Posttraumatic Stress Disorder. I suffer from mental illness and need help."

Congress may come to the rescue-and soon

“When the 109th Congress convenes in Washington in January, Senator Bill Frist,the first practicing physician elected to the Senate since 1928, plans to file a bill that would define ‘political paranoia’ as a mental disorder, paving the way for individuals who suffer from paranoid delusions regarding voter fraud, political persecution and FBI surveillance to receive Medicare reimbursement for any psychiatric treatment they receive,” writes Hermione Slatkin, Medical Correspondent for the Swift Report. “Rick Smith, a spokesman for Senator Frist, says that the measure has a good chance of passing-something that can only help a portion of the population that is suffering significant distress.”

“If you’re still convinced that President Bush won the election because Republicans figured out a way to hack into electronic voting machines, you’ve obviously got a problem,” says Smith. “If we can figure out a way to ease your suffering by getting you into therapy and onto medication, that’s something that we hope the entire 109th Congress will support.”

"Characterizing political dissent as a form of mental illness is the hallmark of authoritarian government. In China, for instance, forensic psychiatrists label dissent “political lunacy” (see Jacob Sullum, Head Games: What are the rules for defining mental illness?) and in Soviet Russia political dissenters were routinely cosigned to mental hospitals. Nowadays, with modern pharmacology, mental hospitals are no longer required-the mental hospital is internalized through chemical intervention."

"No need for FEMA camps or “preventive detention” when we have a “medical armamentarium” of serotonin uptake inhibitors. All that is needed now is for Frist and the Republicans to devise a law defining “political paranoia” and determining that “political paranoiacs” are a threat to society."

"You will take your Paxil-or something far more debilitating-and by court order."

"Recall Bush’s effort to screen the entire population for mental illness, i.e., the New Freedom Initiative. Bush’s commission found that “despite their prevalence, mental disorders often go undiagnosed” and recommended comprehensive mental health screening for “consumers of all ages.” Naturally, Frist and the Republicans are mostly concerned about the “political paranoia” form of mental illness, as the above news item indicates."

"As a “consumer,” is it possible I am suffering from “political paranoia.” or is the whole thing a product of my feverish imagination and the result of reading too many news items on the web?"

"Finally, note that I could not find mention of Frist and the classification of “political paranoia” after a lengthy Google news search. Mention of it only appeared on the Swift Report website. Rick Smith’s above quote returned no results. Of course, this does not mean that Bill Frist and the Republicans do not consider the opposition-including more than a few Democrats-as mental cases and tinfoil hatters. Rush Limbaugh calls us nutters every day and millions of gullible Americans take what he says as gospel."

http://www.rense.com/general61/emen.htm
Incredible - Frist's Bill Defines 'Political Paranoia' As 'Mental Illness'

http://www.rense.com/general61/hhwe.htm
Paranoid/Paranoia - Media Buzzwords To Silence The Politically-IncorrectBy Alan Cantwell, MD

http://news.independent.co.uk/uk/politics/story.jsp?story=599640
Sabled peer condemns 'euthanasia' Bill By Marie Woolf, Chief Political Correspondent

http://www.kerndemocrats.com/2003/05/17
White House may put less value on seniors, disabled

By Dana Wilkie, COPLEY NEWS SERVICE, May 17, 2003

WASHINGTON - After senior citizens raised a ruckus, Environmental Protection Agency Administrator Christie Whitman said last week that her agency's rule makers would stop calculating the lives of the elderly as less valuable than those of younger people.

But if the White House has its way, future regulations could be based on similar calculations that not only place less value on the lives of seniors, but also on the lives of the disabled and the sick.

A document prepared by John Graham, President Bush's "regulatory czar," urges all federal agencies to weigh the cost of new regulations against how many years they might add to people's lives - a calculation that tends to give less weight to older people with fewer years ahead of them.

Critics insist that Graham also wants agencies to give less weight to people with a questionable "quality of life," presumably those who are disabled or ill.

"Once government puts itself in the position of saying, 'We're going to give more support to policies that care for young people,' you're basically saying old people and the sick and disabled - it's not cost-effective to save them anymore," said Wesley Warren, an environmental economist for the Natural Resources Defense Council and a former associate director of the Office of Management and Budget where Graham works.

Graham acknowledged that the document - a proposed "how-to" manual on cost-benefit analysis - encourages two approaches for reviewing new rules that protect the environment and public health, among other things.

One, the traditional approach, assigns the same value to all lives that might benefit from a regulation; the other assigns different values depending on age.

"OMB believes each method has advantages and limitations, and thus the results of both methods should be presented to policy-makers," Graham said in an interview.

Graham's attempt to put a price tag on what some consider priceless has a political purpose, critics said: By placing less value on whole categories of Americans, it is easier for the Republican White House - which often views regulations as an expensive burden on business - to argue that the cost of a new rule outweighs the public benefit.

As director of OMB's Office of Information and Regulatory Affairs, the 46-year-old Graham rules on all major health, safety and environmental standards.

While a Harvard professor, he became a celebrated cost-benefit expert who often questioned the way government regulated pollutants.

Since joining the Bush White House in 2001, Graham has urged the EPA to use what critics call the "senior death discount" when considering new rules to reduce pollution from power plants, snowmobiles and off-road vehicles.

The discount considered the lives of those 70 and older as 37 percent less valuable than those of younger people.

After seniors and environmentalists protested, Whitman said on May 7 that the practice would stop.

Another approach

Graham said the calculation would not be used for now, leaving the impression that age would no longer be a regulatory consideration.

But according to the manual the White House is now reviewing, Graham wants federal agencies to use another approach that considers age: This one weighs the cost of a new rule against how many years it might add to a person's life.

"It is precisely because seniors have relatively few life years remaining that (we) have an obligation to make sure that their preferences are weighed carefully in regulatory analysis," said Graham. He noted that the approach values each year of life for someone over 65 at $273,000, and for someone younger at $172,000.

Even so, the older person's overall value is still less, because he or she has fewer years to live: A 65-year-old with 10 years left is worth $2.7 million, while the 40-year-old with 35 years left is worth $6 million.

Harvard public health economist Milton Weinstein said this calculation is widely used in the medical field.

"Whereas the 20-year-old might benefit . . . when they get to be 70 or 80, they will be in the same boat as people who are now 70 or 80," Weinstein said. "If you think of it as resource-allocation over a life cycle, that takes some of the anti-elderly edge off of it."

But the 35-million-member AARP considers it "flat-out discriminatory," said Jo Reed, an expert on federal consumer matters for AARP, an organization that looks after the interests of people over 50.

"This has very significant implications for public policy, but the public doesn't fully understand what (Graham)is" doing, Reed said.

Rules vs. benefits

More onerous, critics said, is that Graham wants agencies to place less value on people whose lives may be diminished because of disability or sickness.

Graham said in an interview that he wants agencies to use this approach in some calculations, but not when weighing the cost of new rules against the benefits.

But just 18 months ago, Graham pushed for precisely that in a report to the National Academy of Sciences.

In his report, Graham acknowledged that the approach "raises concerns about fairness to the disabled and the elderly."

But he gave several reasons for supporting it.

"If person 'A' lives 10 additional life years in good health, while person 'B' lives 10 additional life years with 30 percent impaired health, it may not be appropriate to assign the same (value) to both individuals," Graham wrote.

He said his plan to place different values on American lives is similar to suggestions made under former Democratic President Clinton. He said his office would not force agencies to use the calculations.

But Graham puts a much stronger emphasis on the approach than did Clinton officials, who allowed agencies to use age factors, but were openly skeptical of them.

In the proposed guidelines, Graham tells agencies they should use age adjustments, as well as a traditional approach, "in all instances, whether or not you are able to develop ideal estimates."

Warren, who worked at the Office of Management and Budget under Clinton, said most agencies would consider this a requirement. "The OMB has the final word," Warren said. "Any agency that doesn't do this, when they come over and argue for their regulation, they'll be challenged for an incomplete assessment."

http://www.truthout.org/docs_02/03.29I.IBM.Nazi.htm
How IBM Helped Automate the Nazi Death Machine in Poland Final Solutions

by Edwin Black, March 27 - April 2, 2002

(Editor: "B.C. government is contracting with ISM Canada, a subsidiary of IBM".)

When Adolf Hitler came to power in 1933, most of the world saw a menace to humanity. But IBM saw Nazi Germany as a lucrative trading partner. Its president, Thomas J. Watson, engineered a strategic business alliance between IBM and the Reich, beginning in the first days of the Hitler regime and continuing right through World War II. This alliance catapulted Nazi Germany to become IBM's most important customer outside the U.S. IBM and the Nazis jointly designed, and IBM exclusively produced, technological solutions that enabled Hitler to accelerate and in many ways automate key aspects of his persecution of Jews, homosexuals, Jehovah's Witnesses, and others the Nazis considered enemies. Custom-designed, IBM-produced punch cards, sorted by IBM machines leased to the Nazis, helped organize and manage the initial identification and social expulsion of Jews and others, the confiscation of their property, their ghettoization, their deportation, and, ultimately, even their extermination.

Recently discovered Nazi documents and Polish eyewitness testimony make clear that IBM's alliance with the Third Reich went far beyond its German subsidiary. A key factor in the Holocaust in Poland was IBM technology provided directly through a special wartime Polish subsidiary reporting to IBM New York, mainly to its headquarters at 590 Madison Avenue.

And that's how the trains to Auschwitz ran on time.

Thousands of IBM documents reviewed for the first edition of my book 'IBM and the Holocaust,' published early last year and focused mainly on IBM's German subsidiary, revealed vigorous efforts to preserve IBM's monopoly in the Nazi market and increase contracts to meet wartime sales quotas.

Since then, continued research and interviews have uncovered details, described here for the first time, of IBM's work for the Nazis in Poland through the separate subsidiary and of the Polish subsidiary's direct contact with IBM officials on Madison Avenue.

Documents were obtained from IBM files shipped to NYU for processing and from scores of other archival sources here and abroad. Not a single sentence written by IBM personnel has been discovered in any of the documents questioning the morality of automating the Third Reich, even when headlines proclaimed the mass murder of Jews.

IBM's German subsidiary was Deutsche Hollerith Maschinen Gesellschaft, known by the acronym Dehomag. (Herman Hollerith was the German American who first automated U.S. census information in the late 19th century and founded the company which became IBM. Hollerith's name became synonymous with the machines and the Nazi "departments" that operated them.)

Watson tightly managed the lucrative German operation, traveling to Berlin at least twice annually from 1933 until 1939 to personally supervise Dehomag. Major German correspondence was translated for review by the New York office and often for Watson's personal comment. Before big new accounts were accepted, Watson had to assent. For deniability, he insisted on making direct verbal instructions to his German managers the rule rather than exception-even in place of major contracts. Once, when German managers wanted to paint a corridor, they awaited his specific permission. Watson's auditors continuously tracked the source and status of every reichsmark and pfennig-in one typical case, exchanging numerous transatlantic letters over the disposition of just a few dollars. Not infrequently, Dehomag managers objected to his "domination." Understandably, IBM's lawyers and managers in Berlin personally updated Watson constantly, and generally signed their reports, "Awaiting your further instructions."

No machines were sold to the Nazis-only leased. IBM was the sole source of all punch cards and spare parts, and it serviced the machines on-site-whether at Dachau or in the heart of Berlin-either directly or through its authorized dealer network or field trainees. There were no universal punch cards. Each series was custom-designed by IBM engineers not only to capture the information going in, but also to tabulate the information the Nazis wanted to come out.

IBM constantly updated its machinery and applications for the Nazis. For example, one series of punch cards was designed to record religion, national origin, and mother tongue, but by creating special columns and rows for Jew, Polish language, Polish nationality, the fur trade as an occupation, and then Berlin, Nazis could quickly cross-tabulate, at the rate of 25,000 cards per hour, exactly how many Berlin furriers were Jews of Polish extraction. Railroad cars, which could take two weeks to locate and route, could be swiftly dispatched in just 48 hours by means of a vast network of punch-card machines. Indeed, IBM services coursed through the entire German infrastructure in Europe.

The war broke out on September 1, 1939, when Germany invaded Poland. Germany annexed northwestern Poland; the remaining Polish territory in Nazi hands was treated as "occupied" and called the "General Government." That annexed northwestern quadrant was serviced by IBM's German subsidiary, Dehomag, mainly to handle the payrolls of Silesian coal mines and heavy industry. At about that time, IBM New York established a special subsidiary, Watson Business Machines, to deal with the General Government. It remained completely legal for IBM to service the Third Reich until just before America entered the war in December 1941.

The savaging of Poland was no secret to IBM executives. From the outset, worldwide headlines reported barbarous massacres, rapes, purposeful starvation, systematic deportations, and the resulting unchecked epidemics. As early as September 13, 1939, The New York Times reported the Reich's determination to make Polish Jewry disappear, a headline declaring, "Nazis Hint Purge of Jews in Poland." A subhead added, "3,000,000 Population Involved." The article quoted the German government's plan for the "removal of the Polish Jewish population from the European domain." The Times added, "How . . . the 'removal' of Jews from Poland [can be achieved] without their extermination . . . is not explained."

Germany had plans. Polish Jews, during a sequence of sudden relocations, were to be catalogued for further action in a massive cascade of repetitive censuses and registrations with up-to-date information being instantly available to various Nazi planning agencies and occupation offices. How much usable forced labor for armament factories could they generate? How many thousands would die of starvation each month? A spectrum of Nazi census, registration, and statistical tabulation was performed on custom-designed IBM punch-card programs and machinery.

On September 9, 1939, Dehomag general manager Hermann Rottke wrote directly to Watson in New York, asking for advanced equipment. Rottke reminded Watson, "During your last visit in Berlin at the beginning of July, you made the kind offer to me that you might be willing to furnish the German company machines from Endicott [an IBM factory near Binghamton] in order to shorten our long delivery terms. . . . You have complied with this request, for which I thank you very much, and have added that in cases of urgent need, I may make use of other American machines. . . . You will understand that under today's conditions, a certain need has arisen for such machines, which we do not build as yet in Germany. Therefore, I should like to make use of your kind offer and ask you to leave with the German company . . . the alphabetic tabulating machines. . . . "

Eighteen days later, a vanquished Warsaw formally capitulated. The next day, September 28, IBM's general manager in Geneva, J.W. Schotte, telephoned Berlin to confirm Watson's permission for the new equipment.

Meanwhile, Reinhard Heydrich, chief of Heinrich Himmler's Security Service, the SD, had already circulated a top-secret letter to the chiefs of his Einsatzgruppen, which evolved into mobile killing units. Heydrich's September 21 memo, titled "The Jewish Question in the Occupied Territory," laid out a plan of population control through a sequence of strategic censuses and registrations. It began, "I would like to point out once more that the total measures planned (i.e., the final aim) are to be kept strictly secret." First, Jews were to be relocated to so-called concentration towns at "either railroad junctions or at least on a railway." Addressing the zone from east of Kraków to the former Czechoslovakian-Polish border, Heydrich directed, "Within this territory, only a temporary census of Jews need be taken." Heydrich demanded that "the chiefs of the Einsatzgruppen report to me continually regarding . . . the census of Jews in their districts. . . . "

Shortly thereafter, Heydrich sent a follow-up cable to his occupying forces in Poland, Upper Silesia, and Czechoslovakia, outlining how a new December 17 census would escalate the process from mere identification and cataloguing to deportation and execution. Heydrich's memo entitled "Evacuation of the New Eastern Provinces" decreed, "The evacuation of Poles and Jews in the new Eastern Provinces will be conducted by the Security Police. . . . The census documents provide the basis for the evacuation. All persons in the new provinces possess a copy. The census form is the temporary identification card giving permission to stay. Therefore, all persons have to hand over the card before deportation. . . . Anyone caught without this card is subject to possible execution. . . . "

Quantifying and organizing the deportation of millions of people from various regions across Eastern Europe could take years using pencils and paper. Relying upon the lightning speed of Hollerith machines, it took just days. Heydrich assured, "That means the large-scale evacuation can begin no sooner than around January 1, 1940." Nazi Germany employed only one method for conducting a census: IBM punch-card processes, each one designed for the specific census.

In Nazi Poland, railroads constituted about 95 percent of the IBM subsidiary's business, using as many as 21 million punch cards annually. Watson Business Machines was headquartered at Kreuz 23 in Warsaw. And one of its important customer sites, newly discovered since the first edition of my book was published a year ago, was the Hollerith department of Polish Railways, at 22 Pawia Street in Kraków. This office kept tabs on all trains in the General Government, including those that sent Jews to their death in Auschwitz.

Leon Krzemieniecki is probably the only man still living who worked in that Hollerith department. It must be emphasized that Krzemieniecki did not understand any of the details of the genocidal train destinations. His duties required tabulating information on all trains, from ordinary passenger to freight trains, but only after their arrival.

The high-security five-room office, guarded by armed railway police, was equipped with 15 punchers, two sorters, and a tabulator "bigger than a sofa." Fifteen Polish women punched the cards and loaded the sorters. Three German nationals supervised the office, overseeing the final tabulations and summary statistics in great secrecy. Handfuls of printouts were reduced to a small envelope of summary data, which was then delivered to a secret destination. Truckloads of the preliminary printouts were then regularly burned, along with the spent cards, Krzemieniecki told me in an interview.

As a forced laborer, Krzemieniecki was compelled to work as a "sorter and tabulator" 10 hours per day for two years. He never realized that his work involved the transportation of Jews to gas chambers.

"I only know that this very modern equipment made possible the control of all the railway traffic in the General Government," he said.

Krzemieniecki recalled that an "outside technician," who spoke German and Polish and "did not work for the railroad," was almost constantly on-site to keep the machines running, performing major maintenance monthly.

IBM's tailored railroad-management programs, several million custom-designed punch cards printed at IBM's print shop at 6 Rymarska Street, across from the Warsaw Ghetto, and the railway's leased machines were under the New York-controlled subsidiary in Warsaw, not the German subsidiary, Dehomag. The distinction is important. Since the disclosures about IBM's involvement in the Holocaust first surfaced in February 2001, the company has continually pointed to supposed lack of control of its German subsidiary. But Watson Business Machines was established in Poland by IBM New York itself, at the time of Germany's invasion.

"I knew they were not German machines," recalled Krzemieniecki. "The labels were in English. . . . The person maintaining and repairing the machines spread the diagrams out sometimes. The language of the diagrams of those machines was only in English."

I asked Krzemieniecki if the machine logo plates were in German, Polish, or English. He answered, "English. It said, 'Business Machines.' " I asked, "Do you mean 'International Business Machines'?" Krzemieniecki replied, "No, 'Watson Business Machines.' "

Dwarfing the railroad operation in Poland described by Krzemieniecki was a massive Hollerith statistical center at 24 Murner Street in Kraków, staffed by more than 500 punching and tabulating employees and equipped with dozens of machines. New research has uncovered the existence of a previously unknown Berlin agency, the Central Office for Foreign Statistics and Foreign Country Research, which continuously received detailed data from the Kraków statistical center.

By late 1939, the Reich's Jewish-population statistics wizard, Fritz Arlt, had been appointed head of the Population and Welfare Administration of the General Government. A Hollerith expert and colleague of Adolf Eichmann, Arlt edited his own statistical publication, Political Information Service of the General Government, which featured such data as Jews per square meter, with projections of decrease from forced labor and starvation.

"We can count on the mortality of some subjugated groups," one Arlt article asserted. "These include babies and those over the age of 65, as well as those who are basically weak and ill in all other age groups."

The data-hungry Nazis created an expanded Statistics Office in Kraków in 1940. The expansion was dependent on more leased machines, spare parts, company technicians, and a guaranteed continued supply of millions of additional IBM cards. IBM's European general manager, Werner Lier, visited Berlin in early October 1941 to oversee IBM New York's deployment of machines in Poland and other countries. In two detailed reports, written from Berlin and sent to Watson, as well as to other senior staff in New York, Lier reported moving a small group of Polish machines into Romania for the Jewish census there. The Polish machines would soon be replaced by others.

The expanded Statistics Office assured Berlin in a November 30, 1941, report that its Hollerith operation would employ equipment more modern than the old IBM machinery found in most pre-war Polish data agencies, thus allowing the Nazis to launch a plethora of "large-scale censuses." Also planned was a long list of "continuous statistical surveys," including those for population, domestic migration, and causes of death. Moreover, regular surveys of food and agriculture were "coupled with summary surveys of the population and ethnic groups." Tabulating food supplies against ethnic numbers allowed the Nazis to ration caloric intake as they subjected the Jewish community to starvation.

The Statistics Office's report concluded, "Our work is just beginning to bear fruit."

Once the U.S. Entered the war in December 1941, Germany appointed a Nazi devoted to IBM, Hermann Fellinger, as enemy-property custodian. He maintained the original staff and managers of Watson Business Machines, keeping it productive for the Reich and profitable for IBM. The subsidiary now reported to IBM's Geneva office, and from there to New York. The company was not looted, its leased machines were not seized. "Royalties" were remitted to IBM through Geneva. Lease payments and profits were preserved in special accounts. After the war, IBM recovered all its Polish profits and machines.

Since the war, IBM, having left Madison Avenue for new headquarters in suburban Armonk, has obstructed, or refused to cooperate with, virtually every major independent author writing about its history, according to numerous published introductions, prefaces, and acknowledgments.

But silence cannot alter the historical documentation. A tangle of subsidiaries throughout Europe helped IBM reap the benefits of its partnership with Nazi Germany. After all, "business" was IBM's middle name.

=== Edwin Black is the author of IBM and the Holocaust: The Strategic Alliance Between Nazi Germany and America's Most Powerful Corporation (Crown Books, 2001, and Three Rivers Press, 2002), just released in paperback with new information. He can be reached at www.edwinblack.com.

CONCLUSION

Wake up and take responsibility for what is happening. While you're partying, (or watching fake news, reality shows or other 'feel good' stuff, so-called "documentaries" which NEVER seem to tell the REAL story, and the actors on some of the political CPSAN programs)on the mind control box in the corner (TV), deeply sick individuals are rapidly building a global fascist police state around you. Gathering information into giant global databases about literally EVERY aspect of your life is being done right under your nose, and your lying, puppet politicians are party to it.

Understand clearly, that the dark forces who are enslaving us, if they can't do it by the front door - ie through legislation (which they seem to be doing right under your noses), they'll simply find another way to do it. STOP BELIEVING ANYTHING POLITICIANS SAY, and, if you value your own and the lives of those you love, it is IMPERATIVE that you challenge everything that comes out of a politician's mouth. The globalists have been so successful at building their fascist prison for humanity so far because we've abandoned our duties as citizens by believing what they've told us, rather than educating ourselves on how government is supposed to work, and what is really going on behind the political rhetoric.

From my life experiences, I've come to believe that we have not been given our lives on this planet simply to party, fornicate, shop for the endless junk the military/industrial corporations convince us we need, or continue to dull our brains with the propaganda and lies of elite controlled mainstream media. That we, as sovereign citizens, with the inalienable rights we were born with (though only for a short time unless there is a rapid mass awakening across the globe), are responsible for everything that is happening on this planet, and it is ONLY US, through TRUTH, DIVINE LOVE and COURAGE who can change it. When the hell are you going to start - when you've got a gun in your back?!!

Louise T. Nelson