(DES MOINES) - Gov. Terry E. Branstad today submitted a letter to Health and Human Services Secretary Kathleen Sebelius to inform the Federal government that Iowa will avoid a costly state-based model and will instead pursue a state-federal partnership to retain autonomy over Iowa's healthcare system and minimize costs. The State will pursue a practical path that prevents Federal intrusion into the State's health insurance and Medicaid operations. The governor's decision comes in response to the December 14 deadline Sec. Sebelius gave states to make a decision. If Iowa did not submit its letter today, the State would have defaulted into a Federal exchange.

Gov. Branstad first stated his guiding principles on health care reform, saying, "Iowans deserve health care reform that improves care, lowers cost and most of all makes people healthier."

The letter is found here and the text is pasted below the release.

In the letter, Branstad outlined the reasons for his decision stating, "...I continue to have concerns that an intrusive Federal exchange would raise costs on individuals and businesses, making it harder for them to create jobs and raise family incomes in Iowa. The State of Iowa intends to minimize the Federal government's intrusion into the regulation of insurance. We will continue to regulate insurance plans in Iowa and retain control over our Medicaid and Children's Health Insurance Plan eligibility.

"If our State loses control of the costs of these programs, other funding priorities like education, public safety and workforce development may be threatened. Maintaining responsibility and operational control will also enable our efforts to modernize health care and to change our payment methods to reward quality and improve Iowans' health instead of procedure volume."

Branstad could choose one of three options: A state-built, state-funded exchange; a state-Federal partnership model; or a full Federal takeover of Iowa's health insurance system.

• A full State-built, State-financed exchange would cost $16 million annually. Additionally, the Federal government has yet to put forth clear parameters on what would be expected of a state-built, state-financed exchange. For example, Utah already has a state exchange, but it is doubtful regulators will approve it under the Affordable Care Act. Even Massachusetts, whose system was modeled when crafting the Affordable Care Act, is unlikely to meet the requirements put forth by the Federal government without changes to its design. Gov. Branstad believes it would be irresponsible to put the state in this kind of financial and regulatory limbo.
• A State-Federal partnership will allow the Federal government to pay for initial exchange set-up costs and administer the cumbersome web portal, a federal call center and expensive web interfaces. However, the State would still be able to administer its own health care programs, oversee and regulate the insurance industry in Iowa, and put in place measures that will expand Iowans' ownership of their own health through the Healthiest State Initiative. Gov. Branstad assures Iowans that Iowa will not be forced or bullied into significant costs that sink our budget, and we will continue to maintain the high quality of health care access in Iowa that covers more than 90 percent of our residents.
• Gov. Branstad believes a full Federal takeover of our insurance, regulatory and health care systems doesn't meet our needs. A quick look at the dysfunction in Washington, DC, underscores concerns of opening the door to the Federal government. Gov. Branstad does not believe it is in Iowans' best interests to have the Federal government interfering in their lives from thousands of miles away.

"Iowa is well positioned to meet the standards outlined by HHS thus far and maintain control of our insurance regulation and Medicaid eligibility responsibilities as allowed under PPACA. Iowa will partner with the Federal government in these areas of a Federal exchange," Branstad concluded.

The text of the letter sent to Sec. Sebelius is as follows:

December 14, 2012

 

The Honorable Kathleen Sebelius

US Department of Health & Human Services (HHS)

200 Independence Avenue Southwest

Washington, DC 20201

 

Dear Secretary Sebelius,

Iowans deserve health care reform that improves care, lowers cost and most of all makes people healthier. These principles guide my actions on health care. Unfortunately, the Patient Protection and Affordable Care Act (PPACA) has not advanced these important principles, which align with the goal I announced last year for Iowa to become the healthiest state in the nation. Our initiative is being led by the private sector, has been endorsed by the public sector and is working to improve the health of our population person by person, community by community.

I have come to realize that a health benefits exchange will not improve the quality of health care, lower the cost of health care or make Iowans healthier. There also remain many questions about intended flexibilities for states and the final regulatory and policy framework in which a state financed exchange would operate. I am not convinced that my State would have the freedom and flexibility needed to design an exchange to meet the health care needs of our people. Additionally, the cost of building and maintaining a state-financed and based exchange, estimated at $15.9 million annually, would not advance the health of Iowans and would not be a prudent option for my State.  Therefore, Iowa will not finance, build and maintain a costly state-based health benefits exchange.

That said, I continue to have concerns that an intrusive Federal exchange would raise costs on individuals and businesses, making it harder for them to create jobs and raise family incomes in Iowa. The State of Iowa intends to minimize the Federal government's intrusion into the regulation of insurance. We will continue to regulate insurance plans in Iowa and retain control over our Medicaid and Children's Health Insurance Plan eligibility. Iowa control of these programs is critical to health care for Iowans, stability for job creators and the fiscal bottom line for our State. If our state loses control of the costs of these programs, other funding priorities like education, public safety and workforce development may be threatened. Maintaining responsibility and operational control will also enable our efforts to modernize health care and to change our payment methods to reward quality and improve Iowans' health instead of procedure volume.

Since the HHS has extended deadlines and continues to issue draft rules and provide further information and guidance to states, Iowa reserves our right to amend our intentions. We also have the clear expectation that our State's rights will be respected and our operational and regulatory control will not be superseded by the Federal government.  Iowa is well positioned to meet the standards outlined by HHS thus far and maintain control of our insurance regulation and Medicaid eligibility responsibilities as allowed under PPACA. Iowa will partner with the Federal government in these areas of a Federal exchange. I hope that you will continue to work with States building all types of exchanges to provide the maximum amount of information needed to fulfill our responsibilities in improving the health of our citizens and implementing health benefits exchanges.

 

Sincerely,

 

 

 

Terry E. Branstad

Governor

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PORT BYRON, IL - The Nick Teddy Foundation is thrilled to announce it has been chosen as a recipient of a grant from TransCanada in the amount of $1,000.00.

"We are proud to be part of the energy and enthusiasm surrounding this community initiative," said Doug Larson of TransCanada.

Regional Safety Specialist Dustin Enright with Executive Director of Nick Teddy Foundation

"I continue to be overwhelmed by the support and generosity of others," said Executive Director of the Nick Teddy Foundation Holly Larson. "It's great for TransCanada to get on board to help us make a difference in the lives of those affected by Ewing's Sarcoma."

The grant will assist the Nick Teddy Foundation in providing funds for the Liddy Shriver Sarcoma Initiative. The Liddy Shriver Sarcoma Initiative works to award sarcoma research grants to expert investigators around the world.

The Nick Teddy Foundation was established in 2012 in memory of Nicholas Theodore Strub, 29, who fought a courageous battle against the rare cancer, Ewing's Sarcoma.

Additional photos and interviews are available upon request You can find us online at: http://www.NickTeddy.org, on Facebook (http://www.facebook.com/NickTeddyOrg) and on Twitter (http://www.twitter.com/NickTeddyOrg).

Contact: Holly Larson, Nick Teddy Foundation
309-798-3081 / foundation@nickteddy.org
Doug Larson, TransCanada
605-226-2259
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by Jerome R. Corsi, a Harvard Ph.D., is a WND senior staff reporter. He has authored many books, including No. 1 N.Y. Times best-sellers "The Obama Nation" and "Unfit for Command." Corsi's latest book is "Where's the REAL Birth Certificate?"

NEW YORK - In the wake of the $1.92 billion settlement HSBC reached with the Justice Department, banking experts and customers in India and London have joined U.S. whistleblower John Cruz in demanding criminal prosecution of top HSBC officers and directors globally.

Evidence suggests HSBC has pursued a policy of exploiting and defrauding customers in the developing world to supplement illegal profits obtained in the developed world by working money launderers, terrorists, organized criminals, corrupt public officials and others, as charged by the Senate Permanent Subcommittee on Investigations in a staff report issued at a public hearing July 17.

As WND reported Tuesday, Cruz, who exposed HSBC's money laundering in February in a series of WND stories, called the $1.92 billion fine the U.S. government imposed on HSBC "a joke" and filed a $10 million lawsuit for "retaliation and wrongful termination."

Significantly, the HSBC settlement with the Justice Department announced Tuesday allows all bank officers and directors who may have been aware of or participated in the alleged criminal banking activities to be free of criminal investigation and prosecution in exchange for HSBC agreeing to pay the $1.92 billion fine.

Whistleblowers in India and London are joining Cruz in charging the HSBC settlement amounts to a massive "cover up." Avoiding criminal investigation and prosecution, they say, allows not only HSBC bank officers and directors to avoid further public scrutiny but also any government officials who may have turned a blind eye to HSBC improprieties.

Cruz has insisted to WND that it is impossible to believe HSBC laundered billions of dollars in Mexican drug cartel money, worked with terrorists through affiliate banking operations in Saudi Arabia and circumvented Obama administration banking sanctions against Iran - all activities specifically charged by the Senate Permanent Subcommittee on Investigations - without the knowledge and perhaps complicity of U.S. government officials in the U.S. Treasury, the Federal Reserve, the CIA and the NSA in an era in which government officials are capable of reading the emails of ordinary citizens.

With the HSBC settlement announced this week, any criminal investigations under way are officially brought to a halt.

In response to WND's reporting earlier this year of Cruz's evidence, HSBC lodged a complaint that blocked Internet access to one of the WND stories, and senior reporter Jerome Corsi was fired by the New York City investment firm he had worked with for two years as a senior managing director, Gilford Securities.

In June, WND reported evidence Eric Holder's Justice Department has not investigated money-laundering charges in deference to bank clients of his Washington-based law firm, where Holder was a partner prior to joining the Obama administration.

WND reported in October HSBC was engaged in a systematic scheme to defraud citizens of India who live abroad out of billion of dollars in investment accounts, according to an Indian source who provided evidence.

'Demon bank'

In emails to WND, Indian journalist Ajit Ujjainkar has charged HSBC with operating as "an illegal and corrupt" bank that he characterizes as "a demon bank."

Writing in the December 2012 issue of gfiles Magazine, published in India, Ujjainkar charged "the reported money-laundering and terror financing operations run by HSBC bank pose a threat to the safety and integrity of not only the banking industry (in India) but to the security of the country itself."

Ujjainkar further alleges that operating in developing countries like India, HSBC has found profits from laundering money can further be supplemented through various banking schemes aimed at defrauding bank retail customers.

Ujjainkar gave as an example the case of a customer named Ravi Shankhar (not the legendary sitar player who died Tuesday).

"HSBC issued Ravi Shankhar a credit card he neither applied for nor received," he explained to WND. "This did not stop HSBC from asking Shankhar to pay fees for the card and, when Shankhar refused to pay, from selling his name to debt collectors who destroyed Shankhar's credit and blocked him from getting a home loan, even though Shankhar objected he knew nothing about the HSBC credit card."

Shankhar, along with hundreds of other HSBC customers, posted on a website in India set up for complaints against HSBC. The customers found that HSBC banking policies in India are made by management in London. But when Indian customers present formal complaints to London, the London management refuses to solve the problem, choosing instead to respond with form letters.

"Someone has applied (for a) credit card in 2007 on behalf of my pan card copy," Shankhar wrote in a May 16 posting on the site. "And HSBC has issued that card. All mandatory personal detail/information (mother's name, address, etc.) are not matched, except my date of birth. This is a really big blunder fault of HSBC Bank LTD. I have never applied this credit card as well as never seen this card and used this card."

Shankhar continued to explain he applied for a home loan and got a call from his banker, who said that a huge sum had been charged against the credit card and a default statement had been published regarding his account on CIBIL, the Credit Information Bureau Limited, based in India.

Shankhar threatened to sue the bank and make his case public with the media if HSBC did not remove the adverse information from the CIBIL website within two days.

Ujjainkar told WND this particular form of credit card fraud is particularly detrimental to customers in India, a country where a blemish on a person's credit history might block him from ever obtaining credit in the future.

"There is a deep malice in the way the bank operates in India," Ujjainkar claimed.

Ujjainkar said the Department of Justice decision not to prosecute HSBC officers and directors sends an unfortunate message to international bankers around the world.

"Shareholders and customers around the world should demand justice instead of being blinded by the dollar sign," he insisted. "All the U.S. settlement with HSBC accomplished is to send a signal to bankers around the world that crime does pay."

WND previously reported on a scheme in which HSBC allegedly defrauded non-resident Indian customers who were asked to sign open-ended powers of attorney giving HSBC officers in India complete discretionary authority to invest the customers' funds in the Indian stock market.

'Where is the justice?'

London-based HSBC shareholder activist Michael Mason-Mahon shares Ujjainkar's frustration after being stymied by HSBC bank officers in London in hundreds of cases, including that of Ravi Shankar. Since early 2010 he has tried to address grievances and banking irregularities claimed by HSBC customers in India.

"I have found that The Hong Kong and Shanghai Banking Corporation Limited in London has been abusing customers by the illegal use of CIBIL, refusing to register complaints, threatening customers and demanding money illegally," Mason-Mahon wrote WND in an email.

He said HSBC "has breached all the rules and regulations of the Reserve Bank of India, the Standard Board of India, as well as the Code of Commitment to Customers."

Mason-Mahon, who has charged that Chairman Douglas Flint and the board of directors of HSBC Holdings PLC in London are "fully aware of the criminal behavior of HSBC in India," is also extremely upset that no criminal prosecutions were pursued by the U.S. Justice Department.

The settlement came after an extensive investigation of HSBC by the Senate Permanent Subcommittee on Investigations.

"Where is the justice in the $1.92 billion fine the U.S. government charged HSBC?" he asked WND. "This is just shareholders' money to a man like Douglas Flint, the chairman of HSBC Holdings in London. Why not suspend the bank's license to operate in the United States for a year or two?"

Mason-Mahon told WND he had supplied attorneys with Democratic Sen. Carl Levin's committee with information about alleged criminal behavior by HSBC in India, although no reference to his allegations can be found in the 334-page staff report issued by the committee at its public hearing July 17.

"Sen. Levin's subcommittee seems completely unaware that HSBC merely factored in to its international business plan the $2 billion fine the U.S. government imposed on the bank," he said. "To HSBC internationally, even a fine of this magnitude was simply considered the cost of doing business when the bank had no intention of complying with rules and regulations."

Negligible fine

Cruz and WND handed over to Department of Homeland Security bank-fraud experts 1,000 pages of customer accounts documenting alleged money laundering activity. Along with the records copied from HSBC computers before he was fired, Cruz made audio recordings of more than a dozen HSBC bank officers admitting their knowledge and participation in the money laundering scheme.

In emails and interviews with WND, Cruz disputes the statement Tuesday made by Sen. Levin that the HSBC settlement "sends a powerful wake-up call to multinational banks about the consequences of disregarding their anti-money laundering obligations."

Cruz told WND that HSBC "reserved $2 billion to pay these fines years ago."

He argued that a fine even of that magnitude was negligible, compared to the profits HSBC made laundering money for drug cartels and terrorist groups and violating U.S. sanctions against doing business with Iran.

Levin's subcommittee has evidence supporting Cruz's claim.

On page 2 of the July 17 report, the Senate Permanent Investigating Subcommittee's staff noted HSBC is "one of the largest financial institutions in the world, with over $2.5 trillion in assets, 89 million customers, 300,000 employees, and 2011 profits of nearly $22 billion."

Washington, D.C. - Congressman Dave Loebsack announced today that he has again been named to serve on the conference committee that will negotiate the final details of the FY2013 National Defense Authorization Act (NDAA).  The committee will assemble the final legislation from the bills that were previously passed by the House and Senate.  The final product will then be voted on by Congress, before going to the President.

"I am pleased to once again be named to the conference committee.  I look forward to producing a bill that will provide the support necessary for our National Guard troops, military families, and the Rock Island Arsenal," said Loebsack.  "I will continue to work with my colleagues on both sides of the aisle to produce a strong bill that will ensure our nation is secure and our troops have the resources and support they need and deserve."

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