[House Hearing, 113 Congress] [From the U.S. Government Publishing Office] UNITED STATES DEPARTMENT OF JUSTICE ======================================================================= HEARING BEFORE THE COMMITTEE ON THE JUDICIARY HOUSE OF REPRESENTATIVES ONE HUNDRED THIRTEENTH CONGRESS FIRST SESSION __________ MAY 15, 2013 __________ Serial No. 113-43 __________ Printed for the use of the Committee on the Judiciary Available via the World Wide Web: http://judiciary.house.gov ---------- U.S. GOVERNMENT PRINTING OFFICE 80-973 PDF WASHINGTON : 2013 ----------------------------------------------------------------------- For sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (800) 512-1800; DC area (202) 512-1800 Fax: (202) 512-214 Mail: Stop IDCC, Washington, DC 20402-0001 COMMITTEE ON THE JUDICIARY BOB GOODLATTE, Virginia, Chairman F. JAMES SENSENBRENNER, Jr., JOHN CONYERS, Jr., Michigan Wisconsin JERROLD NADLER, New York HOWARD COBLE, North Carolina ROBERT C. ``BOBBY'' SCOTT, LAMAR SMITH, Texas Virginia STEVE CHABOT, Ohio MELVIN L. WATT, North Carolina SPENCER BACHUS, Alabama ZOE LOFGREN, California DARRELL E. ISSA, California SHEILA JACKSON LEE, Texas J. RANDY FORBES, Virginia STEVE COHEN, Tennessee STEVE KING, Iowa HENRY C. ``HANK'' JOHNSON, Jr., TRENT FRANKS, Arizona Georgia LOUIE GOHMERT, Texas PEDRO R. PIERLUISI, Puerto Rico JIM JORDAN, Ohio JUDY CHU, California TED POE, Texas TED DEUTCH, Florida JASON CHAFFETZ, Utah LUIS V. GUTIERREZ, Illinois TOM MARINO, Pennsylvania KAREN BASS, California TREY GOWDY, South Carolina CEDRIC RICHMOND, Louisiana MARK AMODEI, Nevada SUZAN DelBENE, Washington RAUL LABRADOR, Idaho JOE GARCIA, Florida BLAKE FARENTHOLD, Texas HAKEEM JEFFRIES, New York GEORGE HOLDING, North Carolina DOUG COLLINS, Georgia RON DeSANTIS, Florida [Vacant] Shelley Husband, Chief of Staff & General Counsel Perry Apelbaum, Minority Staff Director & Chief Counsel C O N T E N T S ---------- MAY 15, 2013 Page OPENING STATEMENTS The Honorable Bob Goodlatte, a Representative in Congress from the State of Virginia, and Chairman, Committee on the Judiciary 1 The Honorable John Conyers, Jr., a Representative in Congress from the State of Michigan, and Ranking Member, Committee on the Judiciary.................................................. 3 WITNESS The Honorable Eric J. Holder, Jr., Attorney General, United States Department of Justice Oral Testimony................................................. 5 Prepared Statement............................................. 8 LETTERS, STATEMENTS, ETC., SUBMITTED FOR THE HEARING Material submitted by the Honorable Sheila Jackson Lee, a Representative in Congress from the State of Texas, and Member, Committee on the Judiciary..................................... 33 Material submitted by the Honorable Judy Chu, a Representative in Congress from the State of California, and Member, Committee on the Judiciary.................................................. 48 Material submitted by the Honorable John Conyers, Jr., a Representative in Congress from the State of Michigan, and Ranking Member, Committee on the Judiciary..................... 99 Material submitted by the Honorable Bob Goodlatte, a Representative in Congress from the State of Virginia, and Chairman, Committee on the Judiciary........................... 103 Material submitted by the Honorable Sheila Jackson Lee, a Representative in Congress from the State of Texas, and Member, Committee on the Judiciary Submission One............................................... 116 Submission Two............................................... 118 Submission Three............................................. 119 Submission Four.............................................. 188 Material submitted by the Honorable Darrell E. Issa, a Representative in Congress from the State of California, and Member, Committee on the Judiciary............................. 121 APPENDIX Material Submitted for the Hearing Record Questions for the Record submitted to the Honorable Eric J. Holder, Jr., Attorney General, United States Department of Justice........................................................ 216 UNITED STATES DEPARTMENT OF JUSTICE ---------- WEDNESDAY, MAY 15, 2013 House of Representatives Committee on the Judiciary Washington, DC. The Committee met, pursuant to call, at 1:08 p.m., in room 2141, Rayburn House Office Building, the Honorable Bob Goodlatte (Chairman of the Committee) presiding. Present: Representatives Goodlatte, Sensenbrenner, Coble, Smith, Chabot, Bachus, Issa, Forbes, King, Franks, Gohmert, Jordan, Poe, Chaffetz, Marino, Gowdy, Amodei, Labrador, Farenthold, Holding, Collins, DeSantis, Conyers, Nadler, Scott, Watt, Lofgren, Jackson Lee, Cohen, Johnson, Chu, Deutch, Bass, Richmond, DelBene, Garcia, and Jeffries. Staff Present: (Majority) Shelley Husband, Chief of Staff & General Counsel; Branden Ritchie, Deputy Chief of Staff & Chief Counsel; Allison Halataei, Parliamentarian & General Counsel; Sarah Allen, Counsel; Caroline Lynch, Counsel; Kelsey Deterding, Clerk; (Minority) Perry Apelbaum, Staff Director & Chief Counsel; Danielle Brown, Parliamentarian; and Aaron Hiller, Counsel. Mr. Goodlatte. The Committee will come to order. Without objection, the Chair is authorized to declare recesses of the Committee at any time. We welcome everyone to today's hearing on the oversight of the United States Department of Justice. Welcome, Attorney General Holder, to your sixth appearance before the House Judiciary Committee since your confirmation in 2009. We are happy to have you here with us today. Last month, the City of Boston and the Nation as a whole was gripped with fear as the historic Boston Marathon, traditionally a day of celebration, was attacked by twin explosions that killed 3 people and injured more than 250. Dzhokhar Tsarnaev and his older brother Tamerlan Tsarnaev set off the explosions, then shot and killed MIT police officer Sean Collier and seriously wounded Boston transit police officer Richard Donohue while attempting to elude capture. Tamerlan died after a fierce gun battle with police. Dzhokhar eventually surrendered after sustaining serious injuries himself. I would like to commend the FBI and all of the Federal, State, and local law enforcement agents who worked tirelessly to identify the bombers and apprehend Dzhokhar. The Patriots Day attack in Boston shows us that domestic terror threats are real, ongoing, and can have deadly consequences. In 2010, FBI Director Mueller and other intelligence officials warned us that domestic and lone wolf extremists are now just as serious a threat to our safety as al-Qaeda. We have been fortunate that until April 15th of this year previous domestic terror plots have been foiled. The bombings in Boston remind us that the terror threat has not diminished, but that it is ever present and evolving. It is critical that Congress and this Committee in particular ensure that our ability to detect, deter, and prosecute these threats keeps pace with this evolution. To that end, I look forward to hearing from you today about ways that Congress can amend the Federal rules for criminal cases to make sure that we are able to prosecute terrorism cases while still allowing law enforcement to learn critical information to stop future attacks. I am also concerned about reports that in the years leading up to the Boston attack, several different Federal agencies or departments received intelligence about the bombers. These agencies did not connect the dots, and this is not the first time that this has happened in recent years. The question that the Administration and we in Congress need to address is whether there are any improvements that can be made going forward to facilitate interagency information sharing so that we can better thwart future domestic terrorists. I am also interested today to hear about how the Department intends to tighten its belt in a responsible way during this time of fiscal uncertainty. I was pleased to hear that the Department was ultimately able to prioritize its spending to avoid furloughing Federal agents and prison guards in response to the sequester, which reduced the Department's more than $27 billion budget by approximately 5 percent. However, after learning of elaborate conferences with $12 cups of coffee, $10,000 pizza parties, and a vast array of duplicative grant programs and the purchase of a $170 million prison from the State of Illinois, I am confident there are many ways the Department can root out waste and duplication without harming critical missions. With our national debt at more than $16 trillion, the American people deserve no less. I am also deeply concerned about a pattern I see emerging at the Department under your leadership in which conclusions reached by career attorneys after thorough investigation are overruled by Administration appointees for political reasons. For instance, investigators from this Committee and the Oversight and Government Reform Committee have uncovered conclusive evidence that Assistant Attorney General Tom Perez, against the strong recommendations of career attorneys, struck a secret deal with the City of St. Paul in order to block the Supreme Court---- Mr. Nadler. Point of order, Mr. Chairman. That is not correct information. That is not what the Subcommittee found. Mr. Goodlatte. The gentleman will have his opportunity to speak at a later time. This secret deal undermined the rule of law and robbed the American taxpayers of the opportunity to recover over $200 million in fraudulently obtained funds. What is more, the New York Times recently reported that political appointees at the Department, over the vehement objections of career attorneys, decided to commit as much as $4.4 billion in taxpayer money to compensate thousands of farmers who had never claimed bias in court. A small group of female and Hispanic farmers, based on claims similar to those in Pigford, had made allegations that the Department of Agriculture had discriminated against them in administering its loan programs. However, according to the Times, career attorneys within the Department determined that there was no credible evidence of widespread discrimination and that the legal risks did not justify the costs and that it was legally questionable to sidestep Congress and compensate the farmers out of the judgment fund. Just last week, we learned that IRS employees have admittedly targeted conservative groups for additional and unwanted scrutiny just because they chose to exercise their First Amendment rights. This is outrageous, and Congress and the American people expect answers and accountability. Finally, just 2 days ago, it was revealed that the Justice Department obtained telephone records for more than 20 Associated Press reporters and editors over a 2-month period. These requests appear to be very broad and intersect important First Amendment protections. Any abridgment of the First Amendment right to the freedom of the press is very concerning, and Members of the Committee want to hear an explanation today. I look forward to hearing your answers on all of these important topics today, as well as on other issues of significance to the Justice Department and the country. And it is now my pleasure to recognize for his opening statement the Ranking Member of the Committee, the gentleman from Michigan, Mr. Conyers. Mr. Conyers. Thank you, Chairman Goodlatte. Today is Peace Officers Memorial Day, and I would like to begin by honoring those who gave the ultimate sacrifice in serving our Nation, the fallen officers who selflessly defend our streets and keep our communities safe. As flags across the country fly at half staff, our thoughts turn toward these brave law enforcement officers and officials, and I thank each and every officer for their dedicated public service. Members of the Committee, first, with respect to the Government's subpoena of phone records at the Associated Press, I am troubled by the notion that our Government would pursue such a broad array of media phone records over such a long period of time. At the same time, I know also that the Attorney General himself has recused himself from the investigation, and we will hear more about that. Policy questions on this topic are fair, and I want you to know that I intend to reintroduce the Free Flow of Information, which passed the House floor with overwhelming support bipartisan in both the 110th and 111th Congress, and we hope to do so with the continued support of Members of this Committee on the other side of the aisle. This Federal press shield bill would require the Government to show cause before they may compel disclosure of this sort of information from or about a news media organization. It is a common sense measure. It has comparable provisions in 49 other States and the District of Columbia. I would also note that the Free Flow of Information Act that protects the media against overbroad Government investigation, that has been commented publicly by many Members of the Congress, as well as the Administration. We have also learned that some employees at IRS appear to have improperly targeted Tea Party groups as they applied for tax exempt status. No one takes allegations of discriminatory enforcement of the law more seriously than myself, and I thank the Attorney General for opening an investigation to uncover any criminal activity. And then there is no issue more important than the continuing mission to ensure the safety and security of the American public. The Department and local law enforcement are to be commended for their coordinated response in identifying and apprehending the apparent perpetrators in the Boston bombings. I have no doubt, Mr. Attorney General, that your own investigation into this matter will carefully review and consider gaps in our counterterrorism efforts that need to be addressed. I also want to commend the Department of Justice and the FBI for their commitment to the most powerful counterterrorism tools in our arsenal, the Federal criminal process and the Federal court system. Since September 11, 2001, Federal courts have convicted nearly 500 individuals on terrorism-related charges. Military commissions have at best a troubled track record and have convicted only seven individuals and have never successfully prosecuted a U.S. citizen. Mr. Attorney General, your commitment to the rule of law in this matter is to be commended not just because it is the right thing to do, but also because it keeps us safer in the long run. And finally, I would like to recognize the dedication to the enforcement of civil rights and voting under the law. Under your leadership and under the leadership of the Assistant Attorney General Tom Perez, the Department has obtained $660 million in lending settlements, including the three largest discrimination settlements in the Department's history. Has obtained a $128 million award recovery in an employment discrimination case in history, secured $16 million as a part of a settlement to enforce the Americans with Disabilities Act at more than 10,000 banks and other financial retail offices across the country. And last year alone, the Civil Rights Division of the Department of Justice opened 43 new voting rights cases, more than twice the number than in any previous year, filed 13 additional objections to the discriminatory voting practices under Section 5 of the Voting Rights Act. And of course, all this has been done with devastating reductions in the Department's budget that I will put in the record and, of course, sequester, which further aggravates this problem. That means that the cuts will affect our first responders, will mean fewer cases brought to court, fewer police officers on the street, fewer resources dedicated to keeping our citizens safe. And so, I look forward to you elaborating on those issues raised by the Chairman of the Committee and myself, and I suspect that you will need more than 5 minutes to do so. I thank you, Mr. Chairman, and I return my time. Mr. Goodlatte. I thank the gentleman for his opening statement. Without objection, other Members' opening statements will be made a part of the record. And without objection, the Chair will be authorized to declare recesses during votes on the House floor. We again thank our only witness, the Attorney General of the United States, for joining us today. And Attorney General Holder, if you would please rise, I will begin by swearing you in. [Witness sworn.] Mr. Goodlatte. Thank you. And let the record reflect that Attorney General Holder responded in the affirmative. Our only witness today is United States Attorney General Eric H. Holder Jr. On February 3, 2009, General Holder was sworn in as the 82nd Attorney General of the United States. General Holder has enjoyed a long career in both the public and private sectors. First joining the Department of Justice through the Attorney General's Honors Program in 1976, he became one of the Department's first attorneys to serve in the newly formed Public Integrity Section. He went on to serve as a judge of the Superior Court of the District of Columbia and the United States attorney for the District of Columbia. In 1997, General Holder was named by President Clinton to be the Deputy Attorney General. Prior to becoming Attorney General, he was a litigation partner at the Covington and Burling law firm in Washington, D.C. General Holder, a native of New York City, is a graduate of Columbia University and Columbia School of Law. General Holder, we appreciate your presence today and look forward to your testimony. Your entire written statement will be entered into the record, and we ask that you summarize your testimony in 5 minutes. The gentleman noted that may be difficult, but we will appreciate as close to that mark as you can keep. And the time is yours, General Holder. TESTIMONY OF THE HONORABLE ERIC J. HOLDER, JR., ATTORNEY GENERAL, UNITED STATES DEPARTMENT OF JUSTICE Attorney General Holder. I bet I can get it under 5 minutes. But anyway, good afternoon, Chairman Goodlatte, Ranking Member Conyers. I appreciate this opportunity to appear before all of you today to discuss the Justice Department's recent achievements and to provide an overview of our top priorities. Particularly in recent years, the Department has taken critical steps to prevent and to combat violence, to confront national security threats, and to ensure the civil rights of everyone in this country, and to safeguard the most vulnerable members of our society. Thanks to the extraordinary efforts of my colleagues, the nearly 116,000 dedicated men and women who serve in the Justice Department offices around the world, I'm pleased to report that we have established a remarkable record of progress in expanding our Nation's founding promise of equal justice under law and ensuring the safety and the security of all of our citizens. Now the need to continue these efforts and to remain vigilant against a range of evolving threats was really brought into sharp focus last month in the most shocking of ways when a horrific terrorist attack in Boston left three innocent people dead and hundreds injured. In the days that followed, thanks to the valor of State and local police, the dedication of Federal law enforcement and intelligence officials, and the cooperation of members of the public, those suspected of carrying out this terrorist act were identified. One suspect died following a shootout with police, and the other has been brought into custody and charged in Federal court with using a weapon of mass destruction. Three others have been charged in connection with the investigation of this case, which is active and ongoing. As we continue working to achieve justice on behalf of our fellow citizens and brave law enforcement officers who were injured and killed in connection with these tragic events, and to hold accountable to the fullest extent of the law all who were responsible for this heinous attack, I want to assure you that my colleagues and I are also committed to strengthening our broader national security efforts. For the past 4 years, we have identified, investigated, and disrupted multiple potential plots involving foreign terrorist organizations as well as homegrown extremists. We've secured convictions as well as tough sentences against numerous individuals for terrorism-related offenses. We've utilized essential intelligence gathering and surveillance capability in a manner that is consistent with the rule of law and consistent with our most treasured values. Beyond this work, my colleagues and I are enhancing our focus on a variety of emerging threats and persistent challenges from drug trafficking and transnational organized crime to cyber threats and human trafficking. We're moving to ensure robust enforcement of our antitrust laws, to combat tax fraud schemes, and to safeguard the environment. We're building on the significant progress that's been made in identifying and thwarting financial and healthcare-related fraud crimes. And for example, in fiscal year 2012, our fraud detection and enforcement efforts resulted in the record- breaking recovery and return of roughly $4.2 billion. Over the last 3 fiscal years alone, thanks to the President's Financial Fraud Enforcement Task Force and its Federal, State, and local partners, we have filed nearly 10,000 financial fraud cases against nearly 14,500 defendants, including more than 2,000 mortgage fraud defendants. As these actions prove, our resolve to protect consumers and to seek justice against anyone who would seek to take advantage of their fellow citizens has never been stronger. And the same can be said of the Department's vigorous commitment to the enforcement of key civil rights protections. Since 2009, this commitment has led our Civil Rights Division to file more criminal civil rights cases than ever before, including record numbers of human trafficking cases. Under new tools and authorities, including the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act, we have improved our ability to safeguard our civil rights and pursue justice for those who are victimized because of their gender, their sexual orientation, their gender identity, or their disability. We will continue to work to guarantee that in our workplaces and in our military bases, in our housing and lending markets, in our schools and our places of worship, in our immigrant communities, and also in our voting booths that the rights of all Americans are protected. But all of this is really only the beginning. As we look toward the future, my colleagues and I are also determined to work closely with Members of Congress to secure essential legislative changes, including common sense steps to prevent and to reduce gun violence and comprehensive legislation to fix our Nation's broken immigration system. It is long past the time to allow the estimated 11 million individuals who are here in an undocumented status to step out of the shadows, to guarantee that all are playing by the same rules, and to require responsibility from everyone, both undocumented workers and those who would hire them. Like many of you, I am encouraged to see that these basic principles are reflected in the bipartisan reform proposal that is currently being considered by the Senate. The Department will do all that it can to help strengthen that proposal and to advance a constructive, responsible dialogue on this issue. I understand that this Committee and other Members are working on immigration reform proposals as well, and I look forward to working with you as those efforts move forward to enact comprehensive reforms. However, I must note that our capacity to continue building upon the Department's recent progress is threatened by the long-term consequences of budget sequestration and joint committee reductions, which will worsen in fiscal year 2014 unless Congress adopts a balanced deficit reduction plan. Should Congress fail to do so, I fear that these reductions will undermine our ability to deliver justice for millions of Americans and to keep essential public safety professionals on the job. We simply cannot allow this to happen. This afternoon, I ask for your support in preventing these cuts and ensuring that the Department has the resources it needs to fulfill its critical missions. I thank you once again for the chance to discuss our current efforts with you today, and I would be happy to answer any questions that you might have. I see I didn't make my 5 minutes. [The prepared statement of Attorney General Holder follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Goodlatte. Your consideration was very good, and you were close. And we thank you for your opening statement. We will now proceed with questions under the 5-minute rule, and I will begin by recognizing myself for 5 minutes. You, in fact, addressed in your remarks my first question, which deals with the troubling information that was received by the FBI and other agencies of the Government prior to the Boston Marathon bombing, but it does not appear that all of the information was received by all of the pertinent parties, particularly the FBI, which had conducted an investigation prior to Tamerlan Tsarnaev's trip to Russia, but not after. And we would like to continue to work with you and know what the Department is doing to adopt procedures for handling hits in relevant databases and making sure that the information between agencies is improved. Attorney General Holder. Well, we certainly want to work with you in that regard. There is an ongoing Inspector General investigation, as you know, as to how information was or was not shared in the context that you have described. I think that, generally, FBI did a very good job in acquiring information to the extent that it could. I'm not at all certain that all of the responses--or all of the requests that were made to a foreign country by the FBI were replied to in an adequate manner, and I think that is at least one of the problems that we have. But this matter is ongoing by the IGs. Mr. Goodlatte. In 2010--this relates to the aftermath of the arrest of Dzhokhar Tsarnaev. In 2010, you indicated strong support for modifying the criminal rules to ensure that investigators could obtain critical intelligence from terrorism suspects. Specifically, you said in 2010, ``We are now dealing with international terrorists, and I think that we have to think about perhaps modifying the rules that interrogators have in somehow coming up with something that is flexible and is more consistent with the threat that we now face.'' Can you articulate how the Department would propose fixing the relevant rules, and would you be willing to work with Members of the Committee to ensure that our criminal rules are up to the task of handling terrorism questions, particularly this issue of how long the FBI or other law enforcement can question somebody about imminent threats? There is a Supreme Court case recognizing that, but it collides with another Supreme Court case saying you have to be presented within 48 hours. And obviously, that caused some consternation about the completion of the questioning by the FBI about future events, other conspirators, and the location of bombs and other equipment related to this terrorist attack. Attorney General Holder. Yes, I think you're right, Mr. Chairman. There is a tension between the public safety exception, as defined in the Quarles case and Rule 5 of the Rules of Criminal Procedure. There was a proposal that we floated out there that I talked about. What I would prefer to do would be to work with Members of Congress who are interested perhaps in looking at the world as we see it now. The Quarles case dealt with somebody who was asked, ``Where is the gun?'' The reality is, as we deal with terrorist suspects, there are much more broad questions that we need to ask, much more detailed information that we need to know. Who else was involved in this matter? Are there other explosive devices that we need to know about? Are there other threats that are going to happen not only today, but perhaps in the next 2 or 3 days? And so, it seems to me that the need for an extensive Quarles public safety exception question period would be appropriate. I think that this would require interaction between the executive and legislative branches to come up with something that would pass constitutional muster. Mr. Goodlatte. It was recently reported by the Justice Department or reported that the Justice Department obtained 2 months of telephone records of more than 20 reporters and editors with the Associated Press, including both work and personal phone lines. There has been a lot of criticism raised about the scope of this investigation, including why the Department needed to subpoena records for 20 people over a lengthy 2-month period. Why was such a broad scope approved? Attorney General Holder. Yes, there's been a lot of the criticism. In fact, the head of the RNC called for my resignation in spite of the fact that I was not the person who was involved in that decision. But be that as it may, I was recused in that matter, as I described, in a press conference that I held yesterday. The decision to issue this subpoena was made by the people who are presently involved in the case. The matter is being supervised by the Deputy Attorney General. I am not familiar with the reasons why the case--why the subpoena was constructed in the way that it was because I'm simply not a part of the case. Mr. Goodlatte. It is my understanding that one of the requirements before compelling process from a media outlet is to give the outlet notice. Do you know why that was not done? Attorney General Holder. There are exceptions to that rule. I do not know, however, with regard to this particular case why that was or was not done. I simply don't have a factual basis to answer that question. Mr. Goodlatte. And it has also been reported that the Associated Press refrained from releasing this story for a week until the Department confirmed that doing so would not jeopardize national security interests. That indicates that the AP was amenable to working with you on this matter. If that is the case, why was it necessary to subpoena the telephone records? Did you seek the AP's assistance in the first place? And if not, why not? Attorney General Holder. Again, Mr. Chairman, I don't know what happened there with the interaction between the AP and the Justice Department. I was recused from the case. Mr. Goodlatte. I take it that you or others in the Justice Department will be forthcoming with those answers to those questions as you explore why this was handled what appears to be contrary to the law and standard procedure. Attorney General Holder. Well, again, there are exceptions to some of the rules that you pointed out, and I have faith in the people who actually were responsible for this case that they were aware of the rules and that they followed them. But I don't have a factful basis to answer the questions that you have asked because I was recused. I don't know what has happened in this matter. Mr. Goodlatte. Thank you very much. My time has expired. And I now recognize the gentleman from Michigan, Mr. Conyers, for 5 minutes. Mr. Conyers. Thank you, Mr. Chairman. I note that some of our Members have been outspoken in opposition to the Free Flow of Information Act in the past and have commented publicly about their outrage over the Associated Press subpoenas. But now I am very delighted to learn that many have changed their attitude on this, and I am particularly glad to welcome the support of Chairman Darrell Issa as we move forward with this legislation. Mr. Attorney General, there has been criticism about Tom Perez as Assistant Attorney General, and that he may have mismanaged employees at the Civil Rights Division in the Department of Justice. Are you able to comment on Mr. Perez's track record as manager of the division and allegations that he politicized enforcement of civil rights laws? Attorney General Holder. Yes, I think that Tom Perez has been an outstanding Assistant Attorney General for the Civil Rights Division. I think he will be a great Secretary of Labor. There have been reports done that looked at the condition of the Civil Rights Division. The Inspector General has spent 2 years looking at the Voting Section. There have been--there's a joint report by OPR, the Office of Professional Responsibility, as well as the Inspector General. I guess that was issued in 2008. And I think those findings are really important. They found that the enforcement of voting rights law during this Administration was not based on improper racial or political considerations. They found that the hiring practices were not politically motivated. They found that there was no basis to believe that the Voting Section politicizes its FOIA responses. Now there have been some indications that people in the Voting Section in particular have not gotten along with each other too well. There were a number of incidents, the majority of which were in the prior Administration, that I think are not really good examples of how DOJ employees are supposed to work with one another. But I think if you look at Tom Perez's record--record numbers of cases brought against police departments that have acted inappropriately, record amounts of money recovered in discrimination suits, record numbers of voting rights cases filed--he has done what we expect of a person who would head the Civil Rights Division, which I think is the conscience of the Justice Department. He's done an outstanding job and deserves to be confirmed as Secretary of Labor. Mr. Conyers. Thank you. Now there has been a lot of discussion about banks being too big to prosecute. And I would like to--I think this is very critical because much of the sagging economy that we are climbing out of is a direct result of Wall Street intransigence and perhaps improper conduct and activity. Now can you distinguish between cases that we might bring against those on Wall Street who caused the financial crisis or were responsible in large part? Have we an economic system in which we have banks that are too big to prosecute? I mean, the Department of Justice has got to look at this very carefully. Attorney General Holder. Let me make something real clear right away. I made a statement in a Senate hearing that I think has been misconstrued. I said it was difficult at times to bring cases against large financial institutions because of the potential consequences that they would have on the financial system. But let me make it very clear that there is no bank, there is no institution, there is no individual who cannot be investigated and prosecuted by the United States Department of Justice. As I indicated in my opening statement, we have brought thousands of financially based cases over the course of the last 4\1/2\ years. Now there are a number of factors that we have to take into consideration as we decide who we're going to prosecute. Innocent people can be impacted by a prosecution brought of a financial institution or any corporation. But let me be very, very, very clear. Banks are not too big to jail. If we find a bank or a financial institution that has done something wrong, if we can prove it beyond a reasonable doubt, those cases will be brought. Mr. Conyers. Thank you very much. Thank you, Mr. Chairman. Mr. Goodlatte. I thank the gentleman. The Chair now recognizes the gentleman from Wisconsin, Mr. Sensenbrenner, the Chairman of the Subcommittee on Crime, Terrorism, Homeland Security, and Investigations, for 5 minutes. Mr. Sensenbrenner. Mr. Attorney General, thank you for coming. I would like to try to pin down who authorized the subpoenas for the AP. And the Code of Federal Regulations is pretty specific on subpoenas for media. Did Deputy Attorney General Cole do that? Attorney General Holder. Yes, I have to assume he did. I only say assume because you have to understand that recusals are such that I don't have any interaction with the people who are involved in the case. Under the regulations, the Attorney General has to authorize the subpoena. In my absence, the Deputy Attorney General would, in essence, act as the acting Attorney General. Mr. Sensenbrenner. Do you know if Deputy Attorney General Cole was also interviewed in the investigation that caused your recusal? Attorney General Holder. I don't know. I don't know. I assume he was, but I don't know. Mr. Sensenbrenner. Why were you interviewed? Were you a witness, or was this a part of your official duties as Attorney General? Attorney General Holder. No, I was interviewed as one of the people who had access to the information that was a subject of the investigation. I, along with other members of the National Security Division, recused myself. The head of the National Security Division was left. The present head of the National Security Division, we all recused ourselves. I recused myself because I thought it would be inappropriate and have a bad appearance to be a person who was a fact witness in the case to actually lead the investigation, given the fact, unlike Mr. Cole, that I have a greater interaction with members of the press than he does. Mr. Sensenbrenner. How does that make you a fact witness? If you are getting the work product, the assistant U.S. attorneys and the FBI that are looking into a matter. You would be a policy person in deciding whether or not to proceed with subpoenas or, ultimately, signing off on an indictment. Attorney General Holder. Well, I'm a fact witness in the fact that I am a possessor--I was a possessor, I am a possessor--of the information that was ultimately leaked, and the question then is who of those people who possessed that information, which was a relatively limited number of people within the Justice Department, who of those people, who of those possessors actually spoke in an inappropriate way to members of the Associated Press? Mr. Sensenbrenner. Who else had access to that information? Attorney General Holder. Well, this is an ongoing investigation. I would not want to reveal what I know, and I don't know if there are other people who've been developed as possible recipients or possessors of that information during the course of the investigation. I don't know. Mr. Sensenbrenner. I am trying to find out who authorized the subpoena. You can't tell me if Deputy Attorney General Cole authorized the subpoena. Somebody had to authorize the subpoena because the Code of Federal Regulations is pretty specific that this is supposed to go as close to the top as possible. Attorney General Holder. Well, no, what I'm saying is that I can't say as a matter of fact. But I have to assume, and I would say I would probably be 95, 99 percent certain, that the Deputy Attorney General, acting in my stead, was the one who authorized the subpoena. Mr. Sensenbrenner. Well, okay. The Code of Federal Regulations also is very specific that there should be negotiations prior to the issuance of the subpoena with the news media organization involved, and the AP has said there was no negotiations at all. Now there are two different parts of the regulation that may be in conflict with each other One is more generic than the other. But there were no negotiations whatsoever. And why weren't there negotiations? Attorney General Holder. That I don't know. There are exceptions to that rule that say that if the integrity of the investigation might be impacted, the negotiations don't have to occur. I don't know why that didn't happen. Mr. Sensenbrenner. But hasn't somebody in the Justice Department said that the integrity of the investigation would not be impacted with negotiations either under Subsection C, which is generic, or Subsection D, which is more specific? Attorney General Holder. I don't know. But let me say this, I've just been given a note that we have, in fact, confirmed that the Deputy was the one who authorized the subpoena. Mr. Sensenbrenner. Okay. Well, I think we are going to have to talk to him about this. But, Mr. Attorney General, I think that this Committee has been frustrated for at least the last 2\1/2\ years, if not the last 4\1/2\ years, that there doesn't seem to be any acceptance of responsibility in the Justice Department for things that have gone wrong. Now may I suggest that you and maybe Mr. Cole and a few other people go to the Truman Library and take a picture of this thing that he had on his desk that said ``The buck stops here,'' because we don't know where the buck stops. And I think to do adequate oversight, we better find out and we better find out how this mess happened. I yield back the balance of my time. Mr. Goodlatte. I thank the gentleman. The Chair now recognizes the gentleman from New York, the Ranking Member on the Subcommittee on Constitution and Civil Justice, Mr. Nadler, for 5 minutes. Mr. Nadler. I thank the Chairman. I thank the Chairman. And I want to talk about a dozen subjects, but I think I will stick to three in the time I have. I have no doubt, and we have already been hearing much hue and cry about the Department of Justice probe of AP records. But I think we should put this in context and remember that less than a year ago, this Committee's Republican leadership demanded aggressive investigation of press leaks, accusing the Administration itself of orchestrating those leaks. Then Members of this Committee wanted reporters subpoenaed, put in front of grand juries, and potentially jailed for contempt. Now, of course, it is convenient to attack the Attorney General for being too aggressive, or the Justice Department for being too aggressive. But this inconsistency on the part of my Republican colleagues should not distract us from legitimate questions worthy of congressional oversight, including whether the Espionage Act has been inappropriately used in looking at leakers, whether there is a need for a greater press shield, which I believe there is, such as measures my colleagues have worked--some of my colleagues have worked to defeat in the past, and Congress' broad grants of surveillance authority and immunity that some of my Republican colleagues supported and before today have been unwilling to reexamine. Those are questions we need to pursue, and I hope that today's rhetoric translates into meaningful bipartisan support for looking into those questions. Now to switch topics, this was brought up already. But the Committee has engaged--this Committee has engaged in a relentless, unfounded, grossly unfair attack on the leadership and integrity of Assistant Attorney General Tom Perez. They have questioned his management of the Civil Rights Division and his efforts to get the City of St. Paul to withdraw its appeal in a case challenging the use of disparate impact theory to enforce civil rights law. I would like to give you, sir, an opportunity to address two questions. First, can you comment on Assistant Attorney General Perez's track record briefly, because I have other, as manager of the Civil Rights Division? Attorney General Holder. I think he's been an outstanding head of the Civil Rights Division. I think you look at the giants of the Department in that regard, you think of John Doar. I think he served 50 years or so ago. I think 50 years from now, people will look back on Tom Perez's time as Assistant Attorney General of the Civil Rights Division and compare him to somebody like John Doar. Mr. Nadler. Thank you. Second, my colleagues allege that Assistant Attorney General Perez brokered a ``dubious bargain,'' an inappropriate quid pro quo with the City of St. Paul, whereby he convinced the city to withdraw its appeal in Magner v. Gallagher, and the Department of Justice Civil Division agreed not to intervene in a False Claims Act case against the city. The minority's conclusion after more than 18 months investigating it is that Assistant Attorney General Perez did nothing wrong and, in fact, appropriately carried out his duties as a steward of the Civil Rights Division. That, in fact, the facts showed that it was senior career officials in the Civil Division who overruled junior career officials in the Civil Division and ruled that--believed that that particular False Claims Act case was a very bad case, a weak case, and that the Department should not join it, although they did not prevent the complainant from continuing. And that it was--there was nothing inappropriate in making a decision not to take the Magner case to the Supreme Court because bad cases--hard facts--what is it? Bad facts make hard law, or the other way around. I forget. In your view, was there anything inappropriate done with regard to this matter? Attorney General Holder. I don't think so. I mean, I think the city reached out. Consideration was given to the action that was taken. Before Mr. Perez moved forward with what he did, he consulted with the ethics people, legal and ethics people and professional responsibility people within the Civil Rights Division to make sure that the course of action he was proposing was ethically sound. It seems to me that what was done was in the best interests of the people of the United States. Mr. Nadler. Thank you. Let me ask with respect to Guantanamo. Congress has placed several restrictions on the Administration with regard to the transfer or potential trial of detainees still being held in Guantanamo. What steps, if any, can the President take on his own, assuming that Congress remains obdurate, to ensure that we either bring these individuals to justice through trial or find a way to release, transfer, or repatriate them? I just take it as axiomatic that it is wrong and unworthy of the United States to simply grab individuals whom we may believe to be terrorists, never try them, and never release them. It is wrong to hold people indefinitely for life without any charges and, in fact, especially since 66 of them have been declared by our own Government to pose no risk. So what can we do avoid--it is 86 of them. I am sorry. What can we do to avoid the situation where, without any claim of right at all, the United States indefinitely holds 166 people in jail with no due process, no trial, military or otherwise, and no release? Attorney General Holder. Well, I think the Congress has unwisely put in place impediments to what the President wants to do and what I have said I think is the wise thing to do, which is to close Guantanamo. There are steps that the Administration can do and that we will do in an attempt to close that facility. There are a substantial number of people who can, for instance, be moved back to Yemen. The President put a hold on that, given the situation that we had in Yemen at the time. But I think that is something that we have to review. I think we have to revitalize our efforts at getting a representative to go to different countries in the way that Mr. Dan Fried, who was an employee of the State Department, I think did a very effective job finding alternative placements for people where their home countries will not accept them. I had the responsibility when I came into office of looking at the population at Guantanamo and making determinations as to who could be released, who needs to be tried, and then who needs to be held under the laws of war. The task force that I set up I think did a great job in that regard. There have been subsequent actions by Congress that I think have made it difficult, but not impossible, for us to move people out of Guantanamo, and I think the President has indicated that we will be taking renewed action in that regard. Mr. Goodlatte. The time of the gentleman has expired. Mr. Nadler. Thank you. Mr. Goodlatte. The Chair would note that the Committee has requested the appearance of the Assistant Attorney General and head of the Civil Rights Division, Mr. Perez, to testify and answer the numerous questions that have been posed about his activities, and he has refused the Committee's request. The Chair now recognizes the gentleman from North Carolina, Mr. Coble, for 5 minutes. Mr. Coble. I thank the Chairman. Attorney General, good to have you on the Hill today. I want to visit Benghazi for a moment. Some recent days ago, former Secretary of State Hillary Clinton appeared before a Senate hearing, and she was asked about her comment concerning misstatements or inconsistencies surrounding the Libyan tragedy. She responded, ``What difference does it make?" I took umbrage with that response when I heard it. And I went to the House floor in early February to take further umbrage. I can assure Mrs. Clinton that it makes a whole lot of difference to the survivors of the four Americans who were killed that fateful day in Benghazi. Now having said that, Mr. Attorney General, can you give us an update on where the FBI's investigation of Benghazi stands today? Attorney General Holder. I can't be definitive other than to say that the investigation is ongoing, that we are at a point where we have taken steps that I would say are definitive, concrete, and we will be prepared shortly, I think, to reveal all that we have done. Mr. Coble. I thank you, sir. I just find Mrs. Clinton's response to have been condescending and just laced with insincerity. I am very impartial, but that will be for another day. Last month, Mr. Attorney General, in the wake of the Boston bombing, you warned in a lengthy statement against acts of violence or retaliation against Muslims and other groups. Can you share with us a specific reason that supported your giving this warning, A? And B, have there been actual instances of retaliation linked to Boston that the--with which the Department was aware? Attorney General Holder. That was more a preventive statement, I think, than anything. We have seen in the past where people who were perceived as Muslims--might not have been--and who were attacked as a result of incidents that might have happened. And the statement that I was making was simply for people not to let emotions, stereotypical action come into play and so that people who were Muslim, perceived to be Muslim, might somehow be physically harmed. Mr. Coble. I thank you for that. This--I am shifting gears now. My visibility is blocked between you and the Attorney General. I like to see you. You like to see me when you are responding. Now I am having a senior moment. I forgot what I was going to ask you. It will come back to me in due time. Well, maybe it won't. [Laughter.] I still have time. I still see the green light. So I am going to try to get through here. Senior moment recovered. The Simmons decision in North Carolina, which, if retroactively applied, could result in the release of convicted felons. Members of my staff have been in touch with members of your staff, and do you have a comment on this? If not, you and I can get together subsequently. Are you familiar with the case? Attorney General Holder. Yes, I am. The en banc decision in Simmons establishes that certain Federal convictions and enhanced penalties that depend on proof of a prior felony conviction we now know is only a misdemeanor, and that has caused some problems. So we have to decide who is now entitled to post conviction relief. We have to balance, I think, this notion of fundamental fairness against the need for finality and protection of the public from people who are really dangerous. And so, we want to look at the facts and try to determine what relief is warranted. And the ability to work perhaps with you and members of your staff in this regard I think would be something that would be appropriate, and this is essentially, I think, a law enforcement matter. But some guidance or the thoughts that you have in this regard would be appreciated. Mr. Coble. Well, I think thus far the exchange between your staff and our staff has been favorable and effective, and I thank you for that. And Mr. Chairman, I hope you will note that the red light has not yet appeared, and I am yielding back. Mr. Sensenbrenner [presiding]. That is 26 seconds. The gentleman from Virginia, Mr. Scott? Mr. Scott. Thank you, Mr. Chairman. And thank you, Mr. Attorney General. On the Internal Revenue situation, I think we can all agree that the published reports which suggest that IRS agents were denying people their proper consideration based on politics, that is the allegation. I assume you haven't completed your investigation. But I think there is bipartisan agreement that you shouldn't be able to do that. Now you have publicly said you are having a criminal investigation. There are obviously criminal laws against denial of civil rights, 1983. There is also a specific IRS code that says any officer or employee of the United States acting in connection with any revenue law of the United States, who with the intent to defeat the application of any provision of this title fails to perform any of the duties of his office or employment.'' And then goes in to show that is--if you violate that, that is a 5-year felony. Are there any gaps in the criminal code that would make it difficult for you to pursue criminal sanctions if you find that IRS agents were denying benefits under the Internal Revenue Code based on politics? Attorney General Holder. That actually is a good question, and I'm not sure what the answer is. I think the provisions that you have noted are ones that we are looking at--the civil rights provisions, IRS provisions, potentially the Hatch Act. And I think we're going to have to get into the investigation before I can answer that question more intelligently. But to the extent that there are enforcement gaps that we find, we will let this Committee know and, hopefully, work with this Committee to make sure that what happened and was outrageous, as I've said, and hope--if we have to bring criminal actions so that kind of action, that kind of activity does not happen again. Mr. Scott. I understand that certain officials in the IRS have apologized. Does an apology immunize you from criminal prosecution? Attorney General Holder. No. Mr. Scott. Under the Fair Sentencing Act, we went from 100 to 1 to 18 to 1 under the differential on crack and powder. Is the Department of Justice reviewing sentences that were done under the 100 to 1 for possible commutation? Attorney General Holder. I put together a working group to look at exactly who we have imprisoned in our Bureau of Prisons and to make sure that we are holding the appropriate people for appropriate lengths of time and to see whether or not there are some changes that need to be made. We have, for instance, over 133 people, I think, who are above the age of 80 in the Federal prison system. I think I have about 35 who are over the age of 85. Now there may be good reasons why they should serve the rest of their lives in jail. On the other hand, it may be that there's a basis for them to be released. So we are looking at this question overall as to what our prison population looks like, whether the commutation policy should be changed the IG had a very useful report about compassionate release and how we should use that. We can save money by releasing people a little before their time, but we would only do so if it would not endanger the public safety. So we're looking at the question really in a broader way. Mr. Scott. Thank you. Now under the faith-based initiative, apparently although since 1965, you could not discriminate based on race, color, creed, national origin, or sex, apparently there is a new idea about this, that some kind of exemptions are awarded that allows some faith-based organizations to discriminate based on religion with the Federal money. How do you decide who can discriminate with Federal money based on religion? Attorney General Holder. Well, I think what we want to try to do is make sure that no inappropriate discrimination--no discrimination occurs. You and I have talked about this since before I was sworn in. Mr. Scott. Well, there is discrimination going on, and you award some kind of certificate or something that allows them to--let me get one more question in. The effects of sequester on the judicial branch. Public defenders, court bailiff, and other court personnel are being furloughed. What effect does that have on the administration of justice? Attorney General Holder. That's actually a very good question. I met with the chiefs of all of the district courts around the United States about 2 weeks or so ago, and they asked me to perhaps be their voice. Judges don't get a chance to speak in the way that I do. And I think that as we consider this whole problem--and it is a problem--of sequestration, that we take into account the impact that it has on our courts and our probation offices. If we want to have the court system that we need to have, if we want to process criminal cases, if we want to assess people for probation, incarceration, the courts have to have sufficient funds to do so, and they are in a very bad way with regard to the situation that exists now and certainly for the situation that exists in 2014. So as we're thinking about sequester fixes, I would ask that everybody remember the court system and all of its constituents. Mr. Sensenbrenner. The time of the gentleman has expired. The Chair recognizes the former Chairman of the Committee, the gentleman from Texas, Mr. Smith. Mr. Smith. Thank you, Mr. Chairman. Welcome, Mr. Attorney General. You have announced a criminal investigation into allegations that IRS employees have unfairly targeted conservative organizations, and I am sure you would agree that when the Federal Government targets individuals or organizations because of their political beliefs that that is a threat to our democracy and quite possibly a violation of an individual or an organization's First Amendment rights. So far, we have allegations, I think, involving four cities-- Cincinnati, Washington, D.C., two California cities, where IRS agents might have targeted conservative groups. And it so happens that a year ago, on behalf of the San Antonio Tea Party, I wrote the Commissioner of the IRS asking him to look into what appeared to be targeted actions by the IRS against the San Antonio Tea Party. My first question is this. Is your investigation going to go beyond Cincinnati, beyond Ohio? Is it going to be a national investigation that includes Washington, D.C., as well and includes any allegations wherever they might occur? Attorney General Holder. Yes, it would. The facts will take us wherever they take us. It will not be only one city. We will go wherever the facts lead us. Mr. Smith. You haven't done anything to limit this to the U.S. attorney in Ohio, for example?. You are going to go nationwide? Attorney General Holder. This is something that we will base at least--we're at the beginning stages. But we're basing it in Washington, and that way we can have a better impact nationwide. Mr. Smith. Okay. Without saying whether any criminal laws have actually been broken, what are some possible criminal laws that could have been violated if, in fact, individuals or organizations were targeted for their conservative views? Attorney General Holder. Well, I think it was Congressman Scott who really put his finger on it. There are civil-- potential rights---- Mr. Smith. Right. But do you know of any criminal laws that might have been violated? Attorney General Holder. I am talking about criminal cases, criminal violations in the civil rights statutes, IRS, that I think we find there. There is also the possibility of 1,000-- false statements violations that might have been made, given at least what I know at this point. Mr. Smith. Okay. I think some of the criminal laws that might have been violated--18 United States Code 242 makes it a crime to deprive any person of rights, privileges, or immunities guaranteed by the Constitution. 18 United States Code 1346 makes it a crime for Government employees to deprive taxpayers of their honest services. So that is a couple of examples. What civil recourse might be obtained by individuals or organizations that were unfairly targeted for their conservative beliefs? Attorney General Holder. That I'm not sure. We probably have to get back to you with an answer on that. I just don't know what civil recourse they might have. Mr. Smith. I think it is possible that they might be able to recoup any expenses that they incurred trying to respond to the targeted approach by the IRS. Does that sound likely to you? Attorney General Holder. It's possible. I know that in other instances where somebody is tried in a criminal case and acquitted, they can get their costs back at times. Mr. Smith. Okay. Another subject, Mr. Attorney General. Last week, you responded to a letter that I wrote you last year in regard to the Anti-Lobbying Act, as amended in 2002. And you said in your response to me, this is a quote, ``The act prohibits the use of appropriated funds to influence an official of any government.'' Does that apply to Health and Human Services grantees who might use those dollars to lobby State and local officials? Attorney General Holder. I'm sorry. I didn't hear the last part. Appropriate money to? Mr. Smith. I don't know if you understood the beginning of that. You responded to my letter last week in regard to the Anti-Lobbying Act, as amended in 2002, and you said that the act prohibits the use of appropriated funds to influence an official of any government. And my question to you is does your statement and evaluation of the Anti-Lobbying Act apply to Health and Human Services grantees who may have used those dollars to lobby State and local governments? Attorney General Holder. Well, I think you might be referring to what I have only read about in the newspapers involving what HHS is doing as far as implementation of the act, and I don't know whether or not what funds are being used or whether that letter would apply to that effort. I just don't know. Mr. Smith. Okay. Would you get back to me then? If you don't think your statement, which is pretty clear to me that it would apply, would you get back to me as to why you think it should not apply to Health and Human Services or other Government agencies that might be grantees and they would use that money to lobby local and State governments? Attorney General Holder. We'll do that. And given the relationship that you and I have, Mr. Chairman, Mr. Former Chairman, we'll try to get back to you in a more timely fashion than we did on that first one. Mr. Smith. Than a year. That would be appreciated. Thank you, Mr. Attorney General. Mr. Sensenbrenner. The gentleman's time has expired. The gentleman from North Carolina, Mr. Watt? Mr. Watt. Thank you, Mr. Chairman. Sorry. Attorney General Holder. Mr. Watt, you're only supposed to do that at your confirmation hearing, you know? [Laughter.] That's when you roll out the kids. Mr. Watt. I am just trying to get my line of questions. I have been in the back listening, and Nico says you have done a good job up to this point. Mr. Attorney General, I am going to just ask you a couple of questions related to intellectual property, which is the Subcommittee that I am Ranking Member on. The Administration has called on Congress to make illegal distribution by streaming a felony. Can you describe the current tools at the Department's disposal to combat copyright infringement, and how would classifying streaming as a felony enhance the Department's enforcement efforts in this area? Attorney General Holder. I think what we're looking for are just an expanded set of tools so that we can have a prosecution and enforcement effort that's consistent with the nature of the harm. All we can do now is bring a misdemeanor charge, and sometimes these crimes involve thousands, potentially millions of dollars where a felony prosecution might be appropriate. We're not saying that we should only have a felony capability, but we think that we should have a felony capability, in addition to the misdemeanor capability that we already have, that would take into account the nature of the crime that we're looking at. Mr. Watt. According to World Customs Organization, the international sale of counterfeit goods is a multi-billion dollar industry. Many of the sales are increasingly made over the Internet, where criminals can hide their identities---- [Child talking.] [Laughter.] Where criminals can hide their identities and elude capture. What steps has the Department made to educate the public on the safety and security risk posed by these illicit sales? Attorney General Holder. That was by the illicit? Mr. Watt. What steps has the Department made to educate the public on the safety and security risks posed by illicit sales of Internet theft property? Attorney General Holder. Oh, I see. That is a problem that we have tried to really focus on in terms of educational efforts. There are medicines that are stolen, intellectual property stolen that put the public health at risk. We have found some of our airplanes bolts that were inappropriately made. And what we have tried to do as part of our enforcement effort is to educate the public and to educate business about the dangers that flow from the theft of intellectual property. Mr. Watt. And are there increasing indications of links between this problem and terrorism? Have you found any of those links, and would you describe those for the Committee? Attorney General Holder. Yes. I think that's actually a very good question, and I think it's something that's very worrisome. As we saw organized crime get into a variety of businesses in order to support their efforts, we are now seeing terrorist groups getting into the theft of intellectual property, again to generate money to support what they are trying to do for their terrorist means. And so, it means that we have to broaden our enforcement efforts, broaden the investigative efforts that we take to examine the precise reasons why people are engaging in this kind of intellectual property thievery and to consider, unfortunately, whether or not there is a terrorist connection to it. That is, I think, a relatively new phenomenon, but one that we have to be aware of. Mr. Watt. And are there steps that you would recommend that Congress consider to check the growth of this industry? Attorney General Holder. Yes. There's something that I think we should try to work with Members of this Committee and, more generally, Members of Congress about. I am particularly concerned about the theft of intellectual property to support terrorist activities, and it would seem to me that in those instances, enhanced penalties might be appropriate. And so, I think that is something that working with Congress we should consider. Mr. Watt. Thank you, Mr. Chairman. And Nico thanks you also. I yield back--we yield back the balance of our time. Mr. Goodlatte [presiding]. And a very effective line of questioning, particularly on the part of Nico. We are glad to have both of you here and---- Mr. Watt. Mr. Chairman, the press has asked what the relationship is. So just for everybody's information, this is my grandson. [Laughter.] Mr. Goodlatte. And a very proud grandpa as well there. The Chair now recognizes the gentleman from Ohio, Mr. Chabot, for 5 minutes. Mr. Chabot. Thank you. Mr. Attorney General, let me start with a term ``tone at the top.'' This was a principle---- Attorney General Holder. I'm sorry. Tone at the top? Mr. Chabot. Yes. This was a principle referred to in Sarbanes-Oxley and incorporated by reference in Dodd-Frank. Do you believe that the same rigorous standards of conduct in enforcement should be applied to public and private entities? In other words, in short, do you think that the Government should be held accountable to a separate set of standards, a weaker set of standards than corporations, or do you think the standards should be the same? Attorney General Holder. I think the standards ought to be the same, although I'd probably say that when it comes to Government, given the public trust that is involved as opposed to private interests, that there are probably higher standards that ought to apply to all levels of those of us who serve in Government. Mr. Chabot. Okay. Let me follow up with that. The person at the top in a business, and I think it would probably apply to Government as well. Even if he or she didn't necessarily know what the people under him or her was up to can be held accountable, actually personally accountable, under Sarbanes- Oxley, for example. Even if they didn't necessarily know what the people under them were doing all the time. Now this Administration currently has at least three scandals swirling around it. One, misleading the American people on Benghazi. Number two, the IRS discriminating, targeting conservative groups for special treatment. And three, seizing the phone records of Associated Press reporters. Now I think you can debate whether that is actually a scandal yet. Many people are calling it that, but I think all three probably are. When the story broke last week about these conservative groups being targeted by the IRS for special treatment, one of the spins by this Administration was, well, this was out in Cincinnati. It was out there. It is not us here in Washington. We didn't know anything about it. Well, I happen to represent Cincinnati in the United States Congress, and I have for 17 of the last 19 years. The 2008 election didn't go so well for me. Now I know that you aren't the Commissioner of the IRS, and you are not the Secretary of the Treasury, and I know that you know an awful lot of stuff. And I would like to ask you, I assume that you are aware that Cincinnati handles exempt organizations all across the country. It is not just in the local area. Is that--do you know that? Attorney General Holder. I'm not aware of that. We're at the beginning of our investigation. I don't know exactly how IRS is constructed at this point. But if that's what you say, I take you at your word. Mr. Chabot. Okay. Now, and I know that you are not at the conclusion. You have got a lot to learn yet. But do you think that these were just some low-level IRS workers who decided to harass or examine with great scrutiny conservative groups, Tea Party organizations, patriot groups, 9/12 groups, groups who might have had ``Tea Party'' in their name, or groups who were concerned that the Government was too big and too intrusive. Kind of ironic, isn't it? And on the other hand, they would allow groups that had, say, ``progressive'' in their names to proceed, as was supposed to happen, in a reasonable amount of time. Do you think that these were just some low-level folks, or do you think it goes higher than that? Attorney General Holder. I simply don't know at this stage. We have not begun our--we've only begun our investigation, and I think it will take us time to determine exactly who was involved in these matters. One thing I would say is that this whole notion of these 501(c)(4) groups, I think that some inquiry into that area is appropriate, but it has to be done in a way that does not depend on the political persuasion of the group. Mr. Chabot. Now let me ask you this. Who does the Cincinnati IRS office, for example, who do they answer to? Attorney General Holder. I assume that, ultimately, they answer to the folks here in Washington. Mr. Chabot. Okay. Now Mr. Sensenbrenner referred a little while ago to the Truman's ``buck stops here'' reference, and I will just conclude because I am almost out of time by saying that I believe there has been a pattern by this Administration in not taking responsibility for failures, avoiding blame, pointing the fingers in somebody else's direction. Would you agree with that? Attorney General Holder. No. Mr. Chabot. I thought you might say that. I think a lot of people do, including myself, and I think a lot of Members of this Committee. And we might be divided, obviously. But these are very significant things which have occurred here, and I would strongly encourage this Administration to get out front, get all the facts out, let the chips fall where they may. I think that is in the best interests of the Administration. I think it is in the best interests of the country. And I yield back my time. Attorney General Holder. I would agree with that last part of your statement. It is one of the reasons why I ordered the investigation last Friday because it seemed to me that there was the need for a review, given the potential criminal investigations that exist that the Justice Department needed to be ahead of this matter. And I can assure you and the American people that we will take a dispassionate view of this. This will not be about parties. This will not be about ideological persuasions. Anybody who has broken the law will be held accountable. Mr. Goodlatte. The time of the gentleman has expired. The Chair recognizes the gentlewoman from California, Ms. Lofgren, for 5 minutes. Ms. Lofgren. Thank you, Mr. Chairman. And thank you, Mr. Attorney General, for your presence here today. I want to return to the issue of the freedom of the press. You know, Mr. Sensenbrenner quoted certain sections of the Code of Federal Regulations. But I would like to read the beginning of that section, which says, ``Because freedom of the press can be no broader than the freedom of reporters to investigate and report the news, the prosecutorial power of the Government should not be used in such a way that it impairs a reporter's responsibility to cover as broadly as possible controversial public issues. This policy statement is thus intended to provide protection for the news media from forms of compulsory process, whether civil or criminal, which might impair the news gathering function.'' Now I realize there are exceptions and that you have recused yourself. But it seems to me clear that the actions of the Department have, in fact, impaired the First Amendment. Reporters who might have previously believed that a confidential source would speak to them would no longer have that level of confidence because those confidential sources are now going to be chilled in their relationship with the press. Whether or not this impairment of the First Amendment was, in fact, justified by the criminal case before you is not something I am sure you are at liberty to discuss in a public forum. But I still don't understand, number one, why and how you recused yourself. I am concerned. It says no subpoena may be issued to any member of the news media or for the telephone toll records of any member of the news media without the express authorization of the Attorney General. Did you delegate that express authorization in writing to Mr. Cole? Attorney General Holder. No, I don't think the recusal-- we've looked for this. I don't think there is anything in writing with regard to my recusal, which is, again, not---- Ms. Lofgren. No, but the question was what about the requirement in the code that you expressly approve--now you recused yourself, was that express authorization authority delegated to Mr. Cole? Attorney General Holder. Once I recused myself in that matter, he, in essence--not in essence, he does become the acting Attorney General with all the powers that the Attorney General has. Ms. Lofgren. Okay. Could you explain again, or maybe you can't. Let me ask a hypothetical because I realize you can't talk about this case. But the regulations say that these records should not be obtained in a compulsory manner unless-- and that there would be negotiation with the news media unless it would impair the negotiations. Now the New York Times has got an opinion piece today expressing the concern that how could this be the fact? I mean, the records, the telephone records would not disappear if the AP had been notified. I mean, they were in the possession of the phone companies, never at risk for disappearing. How could it ever be the case that the availability of this information would be impaired? Attorney General Holder. Well, this is both an ongoing matter and an ongoing matter about which I know nothing. So I'm not in a position really to answer that question. But here is what I do think. I do think that at the conclusion of this matter and when I can be back involved in it, that given the attention that it has generated, that some kind of after action analysis would be appropriate. And I will pledge to this Committee and to the American people that I will engage in such an analysis. But that would be after the case is done and when I can appropriately be involved in it once again. Ms. Lofgren. Well, I think that is good, and I wonder if we might also, Mr. Chairman, have Mr. Cole come before the Committee since he is the one who knows this information. But I don't know how long this case will go on, and since you have recused yourself, certainly you would not be in a position to tell us that. But it seems to me the damage done to a free press is substantial and will continue until corrective action is taken, and I would hope that we might be able to further pursue this, Mr. Chairman, and get some clarification on future action, either through legislative efforts or through further revision of the Code of Federal Regulation by the Administration because I think this is a very serious matter that I think concerns all of us, no matter our party affiliation. And with that, I would yield back. Mr. Goodlatte. The comments of the gentlewoman from California are very pertinent, and the Committee would definitely be interested in the appearance of the Deputy Attorney General to answer questions regarding this matter. The Chair now recognizes the gentleman from Alabama, Mr. Bachus, for 5 minutes. Mr. Bachus. Attorney General Holder, is Deputy Cole willing and able to appear before this Committee and answer the questions that you cannot answer? Attorney General Holder. I'm sure he'd be willing to. I'm not sure he'd be in a position to answer the questions because you'd be asking questions about an ongoing matter, and I think he'd be in a difficult position to fully respond to the questions that you might put to him. Mr. Bachus. Will you urge him to make himself available, make that a priority? Attorney General Holder. I will certainly convey to him the desire that has been expressed here today. But I really caution the Committee that asking the lead prosecutor about a matter that is ongoing puts him in a---- Mr. Bachus. Well, let me ask you this. You have heard Ms. Lofgren, and there is a very high bar before a subpoena to members of the press because of retribution, the fear of retribution. As she said, you are supposed to explore, supposed to negotiate, and we are not aware of any negotiation. You say there are exceptions. You are supposed to try alternative sources. Let me ask you this, on what date did you recuse yourself? Attorney General Holder. I'm not sure. I think it was just toward the beginning of the matter. I don't know exactly when, but it was toward the beginning of the matter. Mr. Bachus. Doesn't--isn't that sort of an unacceptable procedure that you wouldn't formally? Because the statute actually says that the Attorney General shall approve the subpoena. So shouldn't there have been some memorandum? There was no memorandum, no email when you recused yourself. I mean, was there any--was it in writing? Was it orally? Who did you recuse--did you alert the White House? Attorney General Holder. I certainly did not alert the White House. We don't talk to the White House about---- Mr. Bachus. Who do you recuse yourself to? Attorney General Holder. I would have told the Deputy Attorney General, as I have done in other matters. In the Edwards case, for instance, I---- Mr. Bachus. No, I understand. But do you not do that formally or in writing? Attorney General Holder. No. Mr. Bachus. Do you see any reason for a formal or there to be some memorandum so we know the time and date of your recusal? Attorney General Holder. Well, as I said, we have made a preliminary examination to see if there is anything in writing. But I know that I have recused myself in matters where I have not put something in writing. Mr. Bachus. Well, would you--do you think that it would be best practice to memorialize that recusal? Attorney General Holder. I guess it might be helpful. Mr. Bachus. Well, it would be in this case because you apparently don't know when you recused yourself. Is that correct? Attorney General Holder. Well, I don't know precisely. I know that, as I said, it was toward the beginning of the investigation. Mr. Bachus. So it was before the subpoenas? Attorney General Holder. Yes, I don't know when the subpoena was issued. Mr. Bachus. So it could have been after the subpoenas were issued? Attorney General Holder. No, I certainly recused myself before the subpoenas were issued. Mr. Bachus. Well, did you have any knowledge--you had knowledge that there was going to be an investigation? Is that correct? Attorney General Holder. Yes, I appointed two people to lead the investigation. Mr. Bachus. Were you aware at that time that---- Attorney General Holder. I was criticized at that time for not appointing independent people, as has been pointed out. And I appointed two good U.S. attorneys---- Mr. Bachus. At that time that you made that appointment, had there been any discussion of the press's involvement? Attorney General Holder. Of the President's involvement? Mr. Bachus. The press's involvement---- Attorney General Holder. I'm sorry. The President? Mr. Bachus [continuing]. In the investigation of the leak. You were aware that it was an investigation of a leak to the press at the time you recused yourself? Attorney General Holder. A leak to the President? I don't know. Mr. Bachus. A leak to the press. Attorney General Holder. Oh, I'm sorry. Mr. Bachus. My southern is probably---- [Laughter.] Attorney General Holder. Oh, I'm sorry. Mr. Bachus. Press. Attorney General Holder. I'm sorry. Yes, a leak to the press? Mr. Bachus. You were aware of the involvement of the press in an investigation that was---- Attorney General Holder. Sure. That was the basis of the investigation, the leak to the press. Mr. Bachus. So you knew at that time of the statute which authorized you, and you alone, to authorize subpoenas and take those actions? Attorney General Holder. Sure. Mr. Bachus. So you could have anticipated there would be a subpoena to the press? Attorney General Holder. No, not necessarily. There are leak investigations that are done very frequently where interaction with the press does not occur. Mr. Bachus. For what period of time after the investigation started were alternative measures that are called for by the codes or negotiations with the press, between the time of the investigation and discussion of subpoenaing press and the time that the subpoenas were issued, what period of time was that? Attorney General Holder. I don't know because, as I said-- -- Mr. Bachus. No idea? Attorney General Holder [continuing]. I recused myself early on in the matter and also gave a great deal of independence to the U.S. attorneys who were involved in these matters. They did not have to report back to Washington every investigative step they were taking. Mr. Bachus. At what point did you inform the White House, or do you have any knowledge as when the White House was informed by DOJ that they were investigating the press? Attorney General Holder. My guess would be that the White House found out about this by reading the newspapers. Mr. Bachus. By what? Last Tuesday? Attorney General Holder. By reading the newspapers or watching television. We would not have had---- Mr. Bachus. Well, how long before---- Mr. Goodlatte. The time of the gentleman has expired. Mr. Bachus. Thank you. Mr. Goodlatte. The Chair recognizes the gentlewoman from Texas, Ms. Jackson Lee, for 5 minutes. Ms. Jackson Lee. I think it is worthy to put on the record that that is not enough time to be able to engage on some very important issues, but I do want to take a moment of my time to be able to thank the General for one of the most passionate and driven efforts of the Department of Justice, and we are well aware of it in Texas, which is the effort of the Department of Justice to increase the number of human trafficking prosecutions. We are the epicenter of human trafficking in Houston. You have come on more than one occasion. I want to cite my local officials and the Human Trafficking Task Force and to indicate to you, as the Ranking Member on the Border Security Committee and Homeland Security, my Chairman and myself will be embracing that topic. Hope that we will be able to join in with the efforts of the Department of Justice. Mr. General, I appreciate that, and I hope that this is an ongoing effort. Attorney General Holder. It is. It is a priority for this Attorney General. It's a priority for this Administration. Secretary Clinton was a big leader in this effort. I think Secretary Kerry will be as well. But it really involves not only the Federal Government, as you indicate. It really has to have a local and State connection, an international connection for us to be effective because this is an international crime. Ms. Jackson Lee. Well, let me thank you very much. There is so much that we could thank you for and your years of service, and I think that should be noted when you come before a Committee that has a responsibility, as you do, for upholding the laws of this Nation. I am going to have a series of questions, and they are sort of yes/no answers, and I appreciate your cooperation. Let me just start with the tragedy of the Boston Marathon. There is no doubt that we have all mourned, and I think we, as those who have the responsibility in this Committee, do well not to make this partisan, not to point the fingers. But can I ask you, can we look to, as you review the FBI and coordinating their investigation, which I understand is active, that we not reject the concept that it is important to connect the dots? And that as you review it that you will hold those responsible in terms of however you address it, whether it is let us do this better, but for the idea of connecting the dots. Attorney General Holder. No, I think that's vitally important, and that's why the Inspector General report-- Inspectors General inquiry I think is so important. It has not only the Justice Department Inspector General, but IGs from the intelligence community as well. And so, I think we're going to really have a good sense of who had what information when and whether or not it was properly distributed. Ms. Jackson Lee. I thank you, and I would ask the Chairman of this Committee that we have a full hearing on that topic alone, only because as you well know, Mr. General, that that was put in the 9/11 report, and I thank you for acknowledging that. I think that is very important. I want to move quickly to the IRS report and say to you that the Inspector General gave a number of recommendations, and if I am reading it clearly, they did not mention criminal, but I want it to be on the record one of them was to finalize interim action, better document reasons. I think we have all made our bipartisan statements on it. My point is that I understand, as the President has directed Secretary of Treasury to act, that you have also taken this to a higher level of a criminal investigation. Can you put that on the record, please? And I have a series of questions. So I just want to make clear that you have not taken this lightly and that this is now a Federal criminal investigation? Attorney General Holder. No, that is correct. As I said, as of Friday of last week, I ordered that an investigation, criminal investigation be begun. Ms. Jackson Lee. Do you have any limits on that? You are letting it free flow and fall where it may? Attorney General Holder. As I indicated in response to an earlier question, the facts will take us wherever they take us. Ms. Jackson Lee. In testimony before the Senate, you were asked a question about the shield law, the protection of the press. My recollection is that you said you support it. Is that the case now? Attorney General Holder. It was when I testified during my confirmation. It continues to be something that I think that we should pass. Ms. Jackson Lee. And let me ask unanimous consent to put into the record the letter of May 16, 2013, from Director--not Director--Attorney General Cole, Deputy Attorney General Cole to Mr. Pruitt. I ask unanimous consent, Mr. Chairman. Mr. Goodlatte. Without objection, the letter will be made a part of the record. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Ms. Jackson Lee. Which it explains the expansive range, which you are not involved in, of work that was done in order to get information before proceeding as they did. However, will we be able to believe that the Justice Department still holds the protection of the First Amendment in high esteem and to protect it? And I am coming with some other questions. I am just trying to get a yes or no. Attorney General Holder. Yes, putting that case aside because it is ongoing, I was not aware of it. But the Justice Department has rules and regulations that have been followed, will be followed about our interaction with the press. Ms. Jackson Lee. Mr. Chairman---- Mr. Goodlatte. The time of the gentlewoman has expired, and the Chair would advise all the Members of the Committee we have 28 more Members awaiting the opportunity to ask questions. And the Attorney General will be generous with his time, but he does have an obligation later today. Ms. Jackson Lee. I thank the gentleman for his answers. Mr. Goodlatte. I thank the gentlewoman. And the Chair now recognizes the gentleman from California, Mr. Issa, Chairman of the Committee on Oversight and Government Reform. Mr. Issa. Thank you, Mr. Chairman. And I want to start by playing a short voice recording, if it comes out okay. Please play it. [Audio presentation.] Mr. Issa. Thank you. Mr. Attorney General, that recording, as was earlier in my Committee, the Oversight Committee's report, is Thomas Perez, an individual who is one of your deputies, arranging for something not to be disclosed as part of his quid pro quo in St. Paul. Do you think it is appropriate for someone to--at a Federal level to try to keep information out in order to disguise what is actually going on? Attorney General Holder. I am not sure I'd necessarily agree with that characterization. I am not intimately familiar with all that happened in connection with the inquiry that was---- Mr. Issa. Okay. Well, let us just go through a hypothetical that is a little easier. You have got a case that is going to gain the United States people $180 million. You have got another case you do not want to go to the U.S. Supreme Court. You trade those two cases because you do not want to have that happen, and then you tell somebody, you know, we would like to keep things quiet. Let us make sure we do not disclose it. Is that right or wrong? Attorney General Holder. Well, there are a whole variety of reasons why we as a government, the Justice Department, decide not to become involved in qui tam cases: the strength of the evidence, questions of law, position of the---- Mr. Issa. Is it okay to trade a case you do not want going to the Supreme Court for a dollar damage case? That is the real question here. Attorney General Holder. One has to look at this in its totality and decide exactly if there---- Mr. Issa. Okay, I will take that as a, yes, it is okay to do that trade in your mind. Attorney General Holder. That was not a yes. I was trying to answer the question. Mr. Issa. Well, you know, Mr. Attorney General, I need a yes or no before you go into the long dialogue. Otherwise, I am wasting my time. There was a quid pro quo. There was a trade of $180 million worth of revenue to the American people in return for dropping a case that your Justice Department did not want to go before the High Court. To coin the phrases used, ``bad facts make bad decisions or bad law.'' Now, I understand you, or at least Mr. Perez, did not want things going to the Supreme Court. But let us go through where we are today. Attorney General Holder. Well, the decision not to take over the false claims act case did not end the case. Mr. Issa. Well, you may say that, but the plaintiff who saw himself abandoned did not see it that way. But let me go onto another line of questioning. Attorney General Holder [continuing]. Had the ability to try the case. I do not think it worked out well, as I understand it. But the case was not over simply because the United States had not become involved. We---- Mr. Issa. Right, but the case going to the U.S. Supreme Court was over. Attorney General Holder. We do not become involved in qui tam 80 percent of the time. Mr. Issa. The case going to the U.S. Supreme Court was over as a result. Attorney General Holder. The decision was made not to pursue that case. Mr. Issa. Okay. So the American people were denied the Highest Court considering a case. That is an undeniable fact. Let me go through some questions here. Attorney General Holder. That is incorrect. Mr. Issa. I have been working with---- Attorney General Holder. That is a fact that is---- Mr. Issa. Well, we will let the people decide whether they were denied a Supreme Court decision. Attorney General Holder. You are characterizing it as undeniable, but it is not at all. And that is typically what you do. Mr. Issa. Mr. Attorney General, Thomas Perez falsely stated to our Committee that he had apparently none, then 1, then 2, then 34, then 35 emails that violated the Federal Records Act. Your office has only, I think yesterday or today, allowed us to see in camera the two and from on these emails. We have not seen the contents. But in seeing the two and from---- Ms. Jackson Lee. Mr. Chairman, I have a parliamentary inquiry, please. Mr. Goodlatte. The gentleman from California will suspend. The gentlewoman will state her parliamentary inquiry. Ms. Jackson Lee. I thank the gentleman. First of all, I would like to know, I have been on this Committee for more than I would like to count. Was there notice given of this recording to be played? I have not in the life of the time that I have been on this Committee heard a recording---- Mr. Goodlatte. The gentlewoman---- Ms. Jackson Lee. Was the minority noticed on this recording? Is this a hearing about Mr. Tom Perez, or is this a question about---- Mr. Goodlatte. The gentlewoman will suspend. Ms. Jackson Lee. I would be happy to yield to you. First, I would like to know has notice been given? Was the Attorney General's office given notice about a recording---- Mr. Goodlatte. The gentlewoman will suspend and the Chair will answer her question. Ms. Jackson Lee. I would be happy to. Mr. Goodlatte. There is no requirement under the Rules of the Committee that a Member cannot use evidence before the Committee as a part of the hearing. Mr. Issa. Mr. Chairman, if I could clarify for the gentlelady. Ms. Jackson Lee. I would be happy for the gentleman to do so. Mr. Issa. That recording was produced by the Justice Department. It is a piece of evidence that came from the Attorney General. So I would hope that playing back his own evidence would not be unreasonable. Ms. Jackson Lee. Let me, just if I can continue. Mr. Goodlatte. The gentlewoman may state a parliamentary inquiry and that is all because the gentleman from California has the time. Ms. Jackson Lee. I do understand it, and I appreciate it. So may I hear this again? Are you saying that evidence can be presented, but the question I asked was the Attorney General given notice that this recording would be played? Mr. Goodlatte. There is no requirement under the Rules of the Committee that a witness before the Committee be given evidence of or notice of evidence that may be presented to the witness at the hearing. Ms. Jackson Lee. Continuing my further inquiry, as I think I heard the gentleman from California make a point. But has this been authenticated as the actual true voice for the individual who is allegedly on it? Did the Committee authenticate it? Mr. Issa. If the gentlelady would yield. If the gentlelady would yield. Ms. Jackson Lee. I would be happy to yield. Mr. Issa. Thomas Perez has owned up to this being his voice. [Laughter.] Ms. Jackson Lee. Then the only thing, if I might continue my---- Mr. Goodlatte. The gentlewoman has not stated a valid parliamentary inquiry. Ms. Jackson Lee. If I may continue it so that I may---- Mr. Goodlatte. And the gentlewoman will suspend, and the gentleman from California will be recognized for the remainder of his question. Ms. Jackson Lee. Mr. Chairman, point of order. Mr. Issa. Mr. Chairman, I would ask that I have just 2 minutes to conclude. Mr. Goodlatte. The gentleman's time will be restored to 2 minutes. Ms. Jackson Lee. Can I make a point of order, Mr. Chairman? Mr. Goodlatte. The gentlewoman will state her point of order. Ms. Jackson Lee. The point of order is that Mr. Perez has authenticated his voice. Is the General authenticating his voice by answering the question? How is he authenticating Mr. Perez's voice? Mr. Goodlatte. The gentlewoman will suspend. That is not a parliamentary inquiry, nor is it an appropriate point of order. Ms. Jackson Lee. I am going to a point of order. Mr. Sensenbrenner. Mr. Chairman, I demand regular order. Ms. Jackson Lee. I thank the Chairman for his courtesies. Mr. Goodlatte. The gentlewoman's point of order is not well taken because there is no such rule that would require this Committee to treat this like we were in a trial. This is an opportunity for Members of the Committee on both sides of the aisle to ask questions of the witness. And the gentleman from California will continue his line of questioning. Mr. Issa. Thank you, Mr. Chairman. Mr. Attorney General, our investigators have seen 34 of the 35 admitted emails that violate the Federal Records Act. They have only seen the to and from. They have not seen the deliberative contents, and they have not seen the remainder of the 1,200 emails. Mr. Cummings, my Ranking Member, joined in a letter requesting that we have the full contents pursuant to our subpoena of all 1,200. Will you make them available to the Committee based on our bipartisan request? Attorney General Holder. I will certainly look at the request. It is not something that I have personally been involved in, but I will look at the request and try to be as responsive as we can. I am sure there must have been a good reason why only the to and from parts were provided. Mr. Issa. Yes, you did not want us to see the details. Mr. Attorney General, in knowing the to and from---- Attorney General Holder. No, no. That is what you typically do. Mr. Issa. I knowing the to and from. Attorney General Holder. No, I am not going to stop talking now. You characterized something as something that goes to the credibility of people at the Justice Department. Mr. Issa. Mr. Chairman, would you inform the witness as to the rules of this Committee? Attorney General Holder. That is inappropriate and it is too consistent with the way in which you conduct yourself as a Member of Congress. It is unacceptable, and it is shameful. Mr. Goodlatte. The gentleman has the time, and the gentleman may ask the questions that he deems appropriate. Mr. Issa. Thank you, Mr. Chairman. In these email headers, one of them was to Melanie Barnes, Domestic Policy Counsel. In other words, it was to the White House. We have not seen the contents. Secondly, one of them was to Sara Pratt at HUD. Now, that is germane to our discovery of this quid pro. But more importantly, it is to an AOL account. So communications went on between two government officials, both of whom were circumventing the Federal Records Act. Additionally, in these emails we learned that Thomas Perez has yet another non- government account which he uses for government use. So in addition to his Verizon account, he has an RCN account. Would you agree to make all of this available to us since, first of all, it violates the Federal Records Act and your own rules. Second of all, it is pursuant to a legitimate use of Congress under which we would have it, and lastly, because you have asked for transparency. And before you answer, if you would, please, in the AP case, you have appointed Ronald Machen the U.S. attorney. And I am sure he is a fine U.S. attorney. But can he be considered to be independent when, in fact, when this Congress held you in contempt, he was the individual who recused on your orders to prosecute the case. If he will obey your orders and not living up to a contempt of Congress, can we believe that he is, in fact, independent? Mr. Johnson. Mr. Chairman, I would ask for regular order. Mr. Goodlatte. We have regular order. The gentleman's time has expired, but the Attorney General is allowed to answer the question. Mr. Johnson. It expired 45 seconds ago, Mr. Chairman. Attorney General Holder. Well, first off, I did not order Mr. Machen not to do anything with regard--I will not characterize it--the contempt finding from this Congress. He made the determination about what he was going to do on his own. So I did not have anything to do with that. With regard to the email request, I think that if your request is for relevant emails that have something to do with the subject matter that you are looking at, that is certainly something that I think we should consider. With regard to the entirety of his email accounts, 1,200 or 1,300, I am not sure what the number was that you used. If they do not have anything to do with the matter at hand, I am not sure why they should be turned over. Mr. Issa. Mr. Chairman, a point of inquiry. When Congress issues a subpoena, in your understanding, is it to be determined, or, for that matter, when the Justice Department issues a subpoena, is it a decision of the recipient as to what is germane, or is it a decision of the subpoenaing authority? Mr. Goodlatte. That is a question beyond the scope of this hearing, but it is---- Mr. Issa. Well, we have a few lawyers present. Mr. Goodlatte. We have many lawyers present, and certainly it is the opinion of the Chair that the subpoenaing party would determine the scope of their inquiry. If the respondent does not agree, then it would be appropriate for a court, and we hope that a court will soon decide the appropriateness of that subpoena because it is very disappointing that this has not been responded to, and that the Congress found it necessary to take the action that it took. The time of the gentleman has expired, and the Chair now recognizes the gentleman from Tennessee, Mr. Cohen, for 5 minutes. Mr. Cohen. Thank you, Mr. Chair. Firstly, General, I want to thank the work of the Civil Rights Division. I guess Mr. Perez was responsible for that for, first, working with the Liberty Bowl Stadium in Memphis and working out our accessible capacity seating arrangement, and also working on the juvenile court issue, where the Division saw to it that our juvenile court will be a model for the Nation and protect the rights of young people, which was so necessary. And I also want to thank you for working with Mr. Scott and I to see that the Tax Division filed suit against Mo'Money that took advantage of people with fraudulent tax preparations. I thank you for that. I would like to question you about a few issues that bother me. One is the former Alabama governor, Don Siegelman, who was the government of Alabama and probably the last Democrat statewide official there in the past and maybe in the future for a long time. And he tried to get a lottery in his State, which I did in Tennessee, and I know how difficult it is. And in so doing, he found himself in court and convicted and in jail, and a case in which an unprecedented 113 former attorneys general, Republican and Democrat, representing 44 of the 55 States have said his prosecution was a grave injustice. Just a numerous amount of legal experts have said that it was a grave injustice, and that the prosecution should never have taken place because the U.S. attorney, a Bush appointee, was the wife of the campaign manager of his opponent in a gubernatorial election. And that while she recused herself, she stayed involved. I know there are procedural issues about a pardon or commutation, but the President could pardon him now. Each day he is in prison, in my opinion, is a grave injustice because all that man did in appointing that individual to a board that he was accused of doing, a man who had been on that State board twice before, and he appointed him, was politics. And I would like to ask you--I am sure you are aware of the case--if you can assure me that you will review his case, because, in my opinion and the opinion of 113 former attorneys general, an innocent man is in jail being deprived of liberty. Attorney General Holder. Well, he is not eligible. There are procedural issues. He is not eligible to apply for a pardon because he is currently serving a sentence. Commutation is not possible because I understand he has an active appeal. So those are the regulations under which we operate, and those are potentially and obviously problematic with regard to the relief that you are seeking. Mr. Cohen. So you do not believe the President could issue a pardon now? I mean, the procedures you have are limitations you have put on your Justice Department. The President has no limitations. Attorney General Holder. No, that is true. The President's pardon power is close to absolute, and so I think that is right. I am talking about Justice Department regulations. Mr. Cohen. And is the Justice Department, the head of your division that looks over these is a Mr. Ronald Rodgers, another Bush appointee? Is that not correct? Attorney General Holder. I believe he was appointed in the Bush Administration. Mr. Cohen. Right. And he has been brought up by the IG, and the IG has said he should be investigated because he gave false information on a pardon request. He misstated what was the facts, and I want to know if he is under investigation, and have you looked into the IG's suggestions about Mr. Rodgers for misrepresenting information transmitted to the White House? Attorney General Holder. There was some difficulties in connection--I do not remember what the individual's name was-- about information that was, I guess, related to the White House from the pardon attorney's office. But I think corrective measures have been in place so that that kind of mistake would not occur in the future. Mr. Cohen. Well, I hope not, sir, and I would have great faith in you. My concern is that there is nothing more important than liberty, and taking your liberty is probably the most harshest thing the government can do a person. And we have taken the liberty of this gentleman, and I believe we need to look at that case. When 113 former AGs and Republicans and Democrats say it was a grave injustice, I think it needs to be looked at and try to remedy. And I think there are other cases. Mr. Scott brought them up: the disparity in crack and cocaine. We change the law. All those people in there who serve longer time than they would have under the law now, the President could commute their sentences. And one of the greatest threats to liberty has been the government taking people's liberty for things that people are in favor of. The Pew Research Group shows that 52 percent of Americans think marijuana should not be illegal, and yet there are people in jail, and your Justice Department has continued to put people in jail, for sale and use on occasion of marijuana. That is something the American public has finally caught up with. It was a cultural lag, and it has been an injustice for 40 years in this country to take people's liberty for something that was similar to alcohol. You have continued what is allowing the Mexican cartels power, and the power to make money, ruin Mexico, and hurt our country, by having a prohibition in the late 20th and 21st century. We saw it did not work in this country in the 20's. We remedied it. This is the time to remedy this prohibition, and I would hope you would do so. I know my time is almost gone. I would like to ask the Chair for just one brief moment. Mr. Goodlatte. The gentleman's time has expired, and we still have more than 24 Members who have not asked questions of the Attorney General, so---- Mr. Cohen. I yield back the balance of my time. Mr. Goodlatte. And the Chair would advise Members that if they have additional questions, we understand. I have additional questions, and I know most Members have additional questions. They can submit those to the Committee in writing, and we will submit all of them to the Attorney General so he can have the opportunity to respond to those as well. Mr. Cohen. Thank you, Mr. Chairman. Mr. Goodlatte. But the Chair now recognizes the gentleman from Virginia, Mr. Forbes, for 5 minutes. Mr. Forbes. Thank you, Mr. Chairman. General, we get the theatrics. We know we wait 650 days from the time IRS officials become aware of the abuses of the Internal Revenue Service until the Department opens an investigation. And then we say we cannot comment because we have got investigations going. Saying I cannot comment because of an ongoing investigation has kind of become the Fifth Amendment of politics for this Administration. But I want to ask you not about ongoing investigations, but what you know currently today as the chief law enforcement officer of the Federal Government. This is a picture. I do not expect you to be able to see it from where you are. It is Tyrone Woods. His father gave it to me yesterday. As you know, he and three other Americans were brutally murdered in Benghazi, many people believe, because we had inadequate security or we had an inadequate response. Many people are concerned, of course, of the manipulation of facts that took place after that. Yet this Administration, to my knowledge, has continued to say that there was nothing the Secretary of State could reasonably or should reasonably have done to have prevented those murders, and certainly she has had no personal repercussions. This is an individual I think you can see better. This is Brian Terry. He was brutally murdered, and so were about 150 innocent Mexican citizens, because of Fast and Furious, which you have testified about here. And as far as I remember from your testimony, there was nothing you felt that you should reasonably have done to have prevented those murders. And you have suffered no personal repercussions from that. Just a few months ago, we had someone sit right where you are sitting, John Morton, the director of ICE, after we had the release of 2,000 illegal immigrant detainees, some of whom were being held for aggravated felonies. And we were basically told by the director that there was nothing that he should have reasonably done to stop that, and he had no personal repercussions. Now we have all of this stuff we are hearing from the Internal Revenue Service where we see these atrocious actions, some against individuals who were simply teaching about the Constitution and the Bill of Rights. And yet so far we have heard nothing from the Administration about what they should have done to reasonably have stopped these atrocities, and certainly no personal repercussions yet. So, General, my question to you today is, based on what you know today, not ongoing investigations that we may never conclude or we may never see or that we do see--we will not have you back here--just what you know today, in any of these situations, is there anything that you are aware of today that any of the heads of the those departments or agencies should reasonably have done to have stopped the situations that I have just outlined that took place? Attorney General Holder. Well, I know that Benghazi is something that I am not as familiar with, but I am familiar with Fast and Furious. And I will tell you that with regard to that, once I became aware of it, I stopped the policy. Mr. Forbes. No, no, I am saying anything you should have done to have stopped them from taking place. It is too late afterwards. I am saying anything you should have done beforehand. Attorney General Holder. Well hindsight is always 20/20. It is always accurate, and it is an easy thing to stand up or sit up where you are and do that. I have got to run an agency of 116,000 people, and we do it as best we can. When there are mistakes that are made, we hold people accountable. We change policies. That is what we do in the executive branch. To the extent that there is fault, I have acknowledged that as the head of the Agency, I am ultimately responsible for that which happened in my Agency. Mr. Forbes. And, General Holder, I appreciate the fact that we say I am responsible, but when irresponsible actions take place, nobody has any personal repercussions, On any of those situations, did any of those individuals have any personal repercussions from the actions that took place? Attorney General Holder. Yeah. There were people that we held---- Mr. Forbes. I am talking about the head of the Agency or the Department. You did not have any personal repercussions, did you? Attorney General Holder. I held people accountable. Mr. Forbes. You held people accountable. Let me say why I am saying that, because if, in fact, you cannot say anything that you should have reasonably done, the Secretary of State should have reasonably done, the Commissioner should have reasonably done, the Director should have reasonably done. If there is no personal repercussions, should Americans not realize that the only way we can stop these abuses from happening with the Internal Revenue Service from this massive amount of data they are going to get under the Affordable Health Care Act, is to make sure that data never gets to the Internal Revenue Service in the first place? Because if it does and the abuse occurs, nobody is going to be held accountable at the top, and also we are going to say afterwards there is nothing that we should have reasonably done to stop it? Mr. Chairman, with that, we actually have a piece of legislation we are putting in today to make sure the IRS is not involved in our health care decisions. And I hope we will get it passed out of this House, and hopefully the Senate, so we can make sure those abuses do not take place. And with that, I yield back, Mr. Chairman. Mr. Goodlatte. I thank the gentleman for his comments. And the Chair now recognizes the gentleman from Georgia, Mr. Johnson, for 5 minutes. Mr. Johnson. Thank you, Mr. Chairman. General, the issue of the AP investigation, or actually the investigation into the illegal disclosure of classified information. To conduct that investigation, the Justice Department has various tools, among which is the subpoena. And a subpoena can be issued without judicial oversight, and it was through a subpoena that the Justice Department obtained phone records from the carrier that related to certain personnel at the Associated Press. Is that correct? Attorney General Holder. Again, I assume that is correct. I am not---- Mr. Johnson. Well, subpoena is what we know that the information was compiled from. Now, we can or the Justice Department has the lawful authority by way of subpoena power to obtain those records. Is that correct? Attorney General Holder. The Justice Department does have that subpoena power? Mr. Johnson. Yes. Attorney General Holder. Yes. Mr. Johnson. And so it is legal for the Justice Department to obtain that information, but it certainly could cast a cool breeze over the First Amendment rights of freedom of the speech and freedom of the press. And that is why we have some special rules with respect to the issuance of subpoenas by law enforcement to obtain information from media sources. That is correct, is it not? Attorney General Holder. Yeah. Again, without getting into the AP case, for lack of a better term, because the case is really not about the AP. It is about the people who leaked. Mr. Johnson. Correct. Attorney General Holder. Be that as it may, there is a recognition within the Justice Department that in dealing with interacting with the press, you are dealing with a special entity, and there have to be special rules about how that interaction occurs. Mr. Johnson. And those rules are by way of regulations, but they are not by way of legislation, correct? Attorney General Holder. That is correct. Mr. Johnson. And that being the case, it might be a good thing for Congress to visit that issue and to determine whether or not we want to turn those guidelines and regulations into law. And now, you made an important distinction. You said that the crime that is being investigated--well, you did not say this, but I will say this. It is not the publishing of the information, of the classified information, but it was actually the leaking of the classified information which is the basis of your investigation, correct? Attorney General Holder. That is correct. Mr. Johnson. But now, we also have an old law that would allow for prosecution of anyone who published the classified information. Is that not correct? Attorney General Holder. You got a long way to go to try to prosecute people, the press, for the publication of that material. Those prosecutions have not fared well in American history. Mr. Johnson. Well, I would argue that the Espionage Act of 1917 would authorize the prosecution of anyone who disclosed classified information. And perhaps that is another area that we may need to take action on here in this Congress. Now, I will note that in this Congress, we have had a lot of bills, the most famous of which in my mind was the Helium legislation. And we wanted to ensure that we had enough helium to keep everything moving forward here in America, but we certainly need to protect the privacy of individuals, and we need to protect the ability of the press to engage in its First Amendment responsibilities to be free and to give us information about our government so as to keep the people informed. And I think it is a shame that we get caught up in so-called scandals and oversight of unimportant matters when we should be here addressing these real problems that things like the AP scandal illustrate us for us. I will yield the balance of my time to you. Attorney General Holder. Well, I would say this. With regard to potential prosecution of the press for the disclosure of material, that is not something that I have ever been involved, heard of, or would think would be a wise policy. In fact, my view is quite the opposite, that what I proposed during my confirmation, what the Obama Administration supported during 2009, and I think Senator Schumer is now introducing a bill that we are going to support as well, that there should be a shield law with regard to the press' ability to gather information and to disseminate it. The focus should be on those people who break their oaths and put the American people at risk, not reporters who gather this information. That should not be the focus of these investigations. Mr. Goodlatte. The time of the gentleman has expired. The Chair now recognizes the gentleman from Iowa, Mr. King, for 5 minutes. Mr. King. Thank you, Mr. Chairman. General Holder, I thank you for your testimony here today, and I have a number of curiosities remaining. One of them is this. Are you aware of any plans or any discussion of an effort to transfer one or more detainees from Bagram Air Force Base to the United States for trial? Attorney General Holder. Nothing immediately comes to my mind. I am not aware of that. Mr. King. Then you have not been in discussions of such a thing? Are you aware of any cases in the past where that has happened? Attorney General Holder. That is what is giving me some pause. I am not sure if we have brought people back from Bagram or not. I just do not know. Maybe I can get a written response to that, but I am not sure about that. Mr. King. And perhaps I am too precise, and I should probably say the Afghanistan theater instead. Would that change your response? Attorney General Holder. I am thinking of cases that we have brought of people here in the United States who committed acts overseas, and I am just not sure, as I think about these people, where those acts actually occurred. I am not sure if it was Afghanistan. I just do not remember. Mr. King. Do you understand the concept of my question, out of the theater and the global War on Terror? Out of the theater and the global War on Terror, and I use Bagram specifically, but with regard to Afghanistan or that theater of war, then you would assert that currently you are not in discussions about transferring a detainee to the United States for trial. Attorney General Holder. Not that I am aware of as we speak. I would have to look into that, and if I have a contrary answer to that, I will get you something in writing. Mr. King. Thank you, General Holder. I would look back on past testimony here before the Committee, and you and I have had a couple of discussions about the Pigford issue. I think each time, it will be the third time in the course of a couple of years. And as that has unfolded before us, I would ask have you read the New York Times article dated April 25th? Attorney General Holder. Yes, I did. Mr. King. And I would offer the opportunity to comment on your review of that article. Attorney General Holder. Yeah. I think that the article missed a few things. There are steps that we have in place to limit the amount of fraud that goes on there both in terms of getting sworn statements from claimants from doing audits. There are a variety of things that we have in place to ensure that the kind of fraud that was described in that article--I think the article made the fraud seem more widespread than it actually is. Mr. King. What about the surplus funds that remain that have apparently been budgeted for the, I believe it is the Native American case, about $400 plus million? Attorney General Holder. Right. Mr. King. What would your recommendation be to claw that money back from there rather than to distribute it to locations that apparently do not have the ability to utilize that? Attorney General Holder. Well, first of all, it is not going to the lawyers. There was some misapprehension about that. Mr. King. No, I think we understood that. Attorney General Holder. Okay. Mr. King. There is a component of it, around $60 million and about $400 million that would be sitting there waiting to be distributed to organizations that were supportive of Native Americans. Attorney General Holder. Right, and I think that is the way in which the settlement was crafted. And so to the extent that these kinds of organizations can be found, that is where the money should appropriately go. Mr. King. Now, would it not bring to your attention, though, that if you cannot find a place to put the money, maybe there was not a level of discrimination to the level that was originally claimed if there are not enough claimants? And let me broaden this question a little bit consistent with this them, and that is that we saw with Pigford I and then Pigford II, a testimony before this very Committee several years ago from the head of the Black Farmer's Organization that were 18,000 Black farmers. If one presumed that 100 percent of them were discriminated against and we ended up with some 96,000 claims, and we have at least 15,000 plus payouts at this point, and all of Pigford II to be determined yet that has over 66,000 claims within that universe, so totaling up around 96,000 altogether within Black Farmers, then we add to that Garcia and Kiefsiegel and Love. And we see this number grow to at least $4.4 billion, and I believe I quoted to you last time $4.93 billion. And are you aware of a single perpetrator of discrimination--they all would have had to have been under the payroll of the USDA. Have you investigated to identify a single perpetrator of discrimination against minorities or female farmers that always under the payroll of the USDA? Have you identified even one? Attorney General Holder. Well, there was certainly a basis for the payments and the settlements. Mr. King. That was the confession of the USDA. Attorney General Holder. I am sorry? Mr. King. It was a confession or a stipulation of the USDA back in about 1996 where it began. Attorney General Holder. Right. There was a determination made, admissions made, that, in fact, this kind of discrimination did occur. And it was on that basis that the settlements were actually reached. Mr. King. But does that absolve the perpetrators of $4.4 or more billion worth of discrimination? Are they not still out there? Should they not be dealt with? Should there not be a means to try to identify the individuals that would allegedly commit that kind of discrimination? Mr. Goodlatte. The time of the gentleman has expired, but the Attorney General is welcome to answer. Attorney General Holder. We are talking about discrimination that occurred many, many years ago in some instances, and I am not sure that our time, our limited resources, would be well spent trying to deal with identifying those people as much as trying to make sure that people are compensated and that these kinds of actions do not occur in the future. Mr. King. Thank you, Mr. Attorney General. I yield back. Mr. Goodlatte. I thank the gentleman for his questions. The Chair now recognizes the gentlewoman from California, Ms. Chu, for 5 minutes. Ms. Chu. Mr. Attorney General, I would like to focus my questions on hate crimes and racial profiling. First of all, I ask unanimous consent to submit testimony from the Sikh Coalition and a letter led by Representative Joe Crowley with over 100 Members of Congress regarding tracking hate crimes against Sikh, Hindu, and Arab Americans for the record. Mr. Goodlatte. Without objection, they will be made a part of the record. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Ms. Chu. Thank you. Last week, an elderly Sikh man, dedicated to his faith and his community, was doing what he did every day, volunteering at his Gurdwara when a man viciously attacked him. At 82 years old, Piara Singh was beaten with an iron bar, puncturing one of his lungs, fracturing his face, and breaking several ribs. This is only the latest of a string of attacks on American Sikhs in recent years. In the last 2 years alone, two elderly Sikhs were murdered in Elk Grove, California, a Sikh cab driver was assaulted in Sacramento, California, a Sikh transit worker was assaulted in New York City, a Sikh cab driver was assaulted in Seattle, Washington, a Sikh business owner was shot and injured in Port Orange, Florida, and six Sikhs in Oak Creek, Wisconsin were murdered, of course, in one of the worst attacks in an American place of worship since the 1963 bombing of the 16th Street Baptist Church. The FBI tracks hate crimes on Form 1-699. As you can see, there is no current way to document hate crimes against Sikhs on this form, even though Sikh-Americans continue to experience hate crimes at rates that are disproportionate to their population. According to Sikh Coalition surveys in New York City and the San Francisco Bay area, approximately 10 percent of Sikhs believe they have been subject to hate crimes. Arab-Americans and Hindu-Americans also face hate crimes, but they, too, are excluded from tracking. If someone were to look at FBI data today, it would be as though Sikhs, Arab-Americans, and Hindus did not exist. We have asked for revisions to Form 1-699, and there are 135 Members of the U.S. Congress that have signed on to this, as well as the Civil Rights Division and Community Relations Service of the U.S. Department of Justice in supporting revisions to Form 1-699. Can you tell us what the status of this is so that hate crimes against these population can finally be tracked? Attorney General Holder. We agree with what you are saying. The Department recommended what is called the Advisory Policy Board last year that the UCR be amended to include anti-Sikh, anti-Hindu, anti-Arab, anti-Middle Eastern categories in the ethnicity or race section. That board is supposed to meet again in June, next month, where it will consider those potential changes before they make them to the FBI director. But it would be my strong recommendation that the form be modified so that it captures Sikh, anti-Muslim, anti-Middle Eastern violence. Ms. Chu. I truly appreciate that. And I would also like to ask about racial profiling. Immediately after the Boston bombing, fears of racial profiling and investigation by the broader community surfaced. The first person of interest following the bombing was a Saudi Arabian student who was tackled by a fellow bystander because to them he looked suspicious. He was questioned in the hospital after suffering severe burns from the bombing and had his apartment searched. But it turns out he was a victim of the bombing, not the perpetrator. We have also seen other instances of racial profiling by law enforcement at our Nation's airports, at the border, at NYPD, and other local and State law enforcement. DoJ's existing guidelines on racial profiling were issued in 2003. It outlines provisions to ban racial profiling, but includes broad exceptions. It also does not apply to profiling based on religion or national origin. And it has allowed profiling against Arab-Americans, American Muslims, American Sikhs, and immigrants. And it also does not apply to State and local law enforcement, and also lacks a meaningful enforcement mechanism. This guidance on racial profiling from the Department of Justice has not been updated in a decade. I know that you are reviewing this guidance, but what is the status of your review, and when will you issue a new guidance to prohibit profiling based on religion and national origin, and address my other concerns? Attorney General Holder. Racial or ethnic profiling is not good law enforcement. It is simply not good law enforcement. In fact, if you look at Al-Qaeda, what they try to do is find people who they identify as having clean skins to try to get past our intelligence and security apparatus. The matter, as you said, the policy is under review. I had a meeting as recently as, I think, the week before last, so I think we are at the end stages of that review process. And I would expect that we will have what the product of that process is in a relatively short period of time. But this is something that is actively under review that I have been personally involved in. Ms. Chu. Thank you, and I yield back. Mr. Goodlatte. The Chair thanks the gentlewoman. And the Chair now recognizes the gentleman from Arizona, the Chairman of the Subcommittee on Constitution and Civil Justice, Mr. Franks, for 5 minutes. Mr. Franks. Well, thank you, Mr. Chairman. General, we are glad to have you here today. I am going to kind of shift gears here a little bit and be a little bit philosophical, and kind of reflect on the notion as to why we are really all here today and why we are really all here in this place. I think, as I noticed earlier, that Mel Watts' little grandchild was symbolic in the sense of what we all hope to try to protect in the future. I have a little boy at home, 4 years old, and I think it is very important that we keep a statesman's eye on the future and recognize with all the politics that are inevitable with the challenges that we face, we need to kind of keep an eye on why we are all here. You know, this notion of America that all of us are created equal, that all of us are God's children, and should be protected is a pretty important thing. And I know as the Nation's chief law enforcement officer in a sense that occurs to you as well. And it just seems to contrast pretty significantly with what we heard here in the last few months about a guy named Kermit Gosnell, who ran an abortion clinic and aborted late- term babies. And if they survived, he would proceed to cut their spines with scissors. And somehow I do not know when we are going to ask ourselves if that is who we really are. I suppose the unique thing about it is that it is not all that unique. While we might sanitize the clinics and other places, about 18,000 babies a year 20 weeks or older are aborted in this country, and that is the Guttmacher Institute's quotes. And there are about 44,000 abortion survivors living in the country today, so this is not as unique as it might be. And though we might sanitize the clinics in the future, I do not know how we can sanitize the horror and inhumanity that is forced upon these little babies. Now I guess my first question would be along the lines, where is our President on this subject, but unfortunately I already know that answer. He voted against the Born Alive Infant Protection Act when he was in his home State several times. And so I already know where he is. So the question today is, as a law enforcement officer, you know, we passed the Born Alive Infant Protection Act on the Federal level, and it says in part the words ``person, human being, child, and individual shall include every infant member of the homo sapiens who is born alive at any stage of development.'' Now, I am almost to my question, Mr. Attorney General. But I would just remind you that there was a lady named Ashley Baldwin that worked for Kermit Gosnell, and she described one of these little babies that was breathing. She described him as around 2 feet long, who because of the process, had no eyes or mouth, but was making this little screeching noise. She said it sounded like a little alien. Sometimes I just wonder if we really could back up as a society and ask ourselves what it is going to take change our minds on some of these kinds of tragedies. So my question to you, and it is a sincere question, and I hope you take it so. In 2002, Congress enacted the Born Alive Infant Protection Act, and it provides that all Federal protections, including from your office, sir, for persons apply to every infant born alive. So will you enforce the Born Alive Infant Protection Act as Attorney General, and will you consider carefully what is happening in clinics across the country like happened at the clinic that Kermit Gosnell ran? Attorney General Holder. Well, like you, I share many of the concerns that you talked about. I am a father. I have three kids. And I am interestingly married to a woman who is an obstetrician, a gynecologist, very accomplished in her field. I have responsibilities as Attorney General to enforce all the laws that Congress---- Mr. Franks. Have you ever enforced this law even one time? Attorney General Holder. I do not know. Mr. Franks. Will you get back to us on that? Have you ever enforced the Born Alive Infant Protection Act even one time? Attorney General Holder. We can examine that and see whether the U.S. attorneys since the law passed--you said in 2002? Mr. Franks. Yes. Attorney General Holder. How many prosecutions there have been under that law. Mr. Franks. Well, there has been 18,000 opportunities a year since then approximately, so I am just wondering if you have even enforced it once. Attorney General Holder. I do not know whether there was enforcement during the Bush Administration or the Obama Administration since the passage of the law in 2002. I just do not know what the statistics are. Mr. Franks. Okay. Well, you know, I guess I hear the mantra so often that, you know, that somehow this is choice. But to stand by in silence while the most helpless of all children are tortuously and agonizingly dismembered day after day after day, year after year, Mr. Attorney General, is quite honestly a heartless disgrace that really cannot be described by the vocabulary of man. And I hope you consider that carefully, sir. Mr. Goodlatte. The Chair thanks the gentleman for his line of questioning and comments, and now recognizes the gentleman from Florida, Mr. Deutch, for 5 minutes. Mr. Deutch. Thank you, Mr. Chairman. General Holder, in today's hearing some of my colleagues have brought up to you the news that the IRS engaged in allegedly improper targeting of certain groups based on their political persuasions. The revelation obviously is disturbing because any display of political bias by the IRS is outrageous. And as the FBI carries out the Department of Justice's request for an inquiry into possible criminal activity at the IRS, it is absolutely imperative that those responsible are held accountable. However, my hope, Mr. Attorney General, is that this inquiry into potential criminal activity will generate another policy debate that this scandal beckons us to have here in Congress. The debate that we need to have is whether there are too many groups of all political persuasions, across the political spectrum, that receive improper tax exempt status from the IRS by claiming that they are social welfare groups. Since the Supreme Court Citizens United decision, the number of groups applying for this tax exempt status to the IRS has more than doubled. In 2010, the number of (c)(4)s registered with the IRS jumped to over 139,000, up from just 2,000 the year before. That is because these so-called social welfare organizations do not have to disclose their donors. They can still maintain their 501(c)(4) status even if they write huge checks and even if they write them to super PACs. In 2012, when a record $1.28 billion was spent by super PACs and outside groups to influence the election, and a quarter of that money cannot be traced to any source, the evidence shows that many of the (c)(4)s are being established for the sole purpose of funneling anonymous cash to super PACs. Now the IRS should not automatically accept all applications for tax exempt status when groups are increasingly being established for explicit political purposes. So as part of the investigation, part of the discussion, we need to know whether the tax exempt status of any (c)(4), whatever its politics, was either denied or revoked, not because of politics, but because they are ripping of taxpayers by gaining this tax exempt status. Of course, the American people should be outraged that IRS employees would scrutinize specific groups based on political affiliations, but I am sure that my colleagues would all agree that the American people, the hardworking taxpayers of this Nation, should also be outraged that they are likely subsidizing tax breaks for the makers of the malicious super PAC ads that poisoned our airwaves during the 2012 election season. The American people were disgusted by these ads, but to think that these ads may have been subsidized by the American taxpayers, that, too, I would suggest is a scandal. Now, 50 years ago, General Holder, 50 years after the Supreme Court's seminal decision in Gideon, recognizing the provision of counsel for indigent defendants in criminal cases is a requirement of the Sixth Amendment. Our Nation's indigent defense system is in crisis. The crisis has been well documented by the ABA, National Association of Criminal Defense Lawyers, legal scholars, and other organizations. In fact, you have spoken extensively on the indigent defense crisis facing the Nation. The current statutory authority under 42 U.S. Code 14141 in which the Department of Justice can seek remedies for a pattern or practice of conduct that violates the constitutional or Federal statutory rights of children in the juvenile justice system can provide an important tool to encourage systemic reforms that protect the right to counsel for indigent adults as well. As you are aware, in December of last year, DoJ reached the landmark settlement agreement with the juvenile justice court of Memphis in Shelby Count, Tennessee that will lead to major reforms in the juvenile system court system there. The agreement was reached with the county and will implement many of the ABA's 10 principles of a public defense and delivery system to ensure that a system is in place that will protect the constitutional right to counsel for children in the juvenile justice system. On April 26th, 2012, the Department issued a report of findings describing the numerous failures to protect the constitutional rights of juveniles. The juvenile court of Memphis in Shelby County responded to the report by beginning to voluntarily institute reforms to the system, and indicating they would promptly correct the violations identified in the Department of Justice report, which resulted in this comprehensive settlement agreement. And I want to commend you and your staff at DoJ for all of their hard work in this case to ensure that the constitutional right to counsel for juveniles is protected. Now, this landmark settlement agreement was made possible by your Department exercising its authority under 42 U.S. Code Section 14141. The Department has been conducting similar investigations and has found numerous violations in the juvenile justice system elsewhere. But I would like to ask you, since I along with Ranking Member of the Crime Subcommittee, Bobby Scott, have introduced H.R. 1967, the Right to Counsel and Taxpayer Protection Act, which will permit the DoJ to seek similar remedies for patterns of practice of conduct that violate the constitutional right to counsel for adults in the criminal justice system, whether you think the effectiveness of the section for juveniles would also be helpful to take the kind of action that was taken there this time to help adults? Attorney General Holder. Well, I think your focus on this issue is right. I mean, your time is limited, but focusing on this whole question of indigent representation of juveniles, adults, especially 50 years after Gideon, I think is precisely what we should be about. It is something that I have tried to focus on as Attorney General. We have started it in the Justice Department an Access to Justice Office. I think the legislation that you are talking about is something we would like to work with you on because I think the need is there. With regard to the first part of your question, the whole question of these 501(c)(4)s, as I said, we are going to be very aggressive, appropriately aggressive, and we will let the facts take us where they may with regard to the potential problems that existed at the IRS. But I think that should not distract us as a Nation from asking that broader question that you raised, and that is about 501(c)(4)s, and this is irrespective of what your ideological bent is, whether you are left, right, progressive, conservative, Republican, Democrat. The use of the Tax Code in the way that it potentially seems to have been used in these 501(c)(4)s is something that I think we need to ask ourselves about. And I would hope that what we are going to do in our criminal investigation will not have a chilling effect or chilling impact on asking that question about 501(c)(4)s. Mr. Goodlatte. The time of the gentleman has expired. The Chair now recognizes the gentleman from Texas, Mr. Gohmert, for 5 minutes. Mr. Gohmert. Hello, Attorney General. Down here on the end, thank you. I remember we have talked about this before, but I want to bring it up again. The Holy Land Foundation trial that occurred in Dallas, convictions obtained in 2008, there were boxes and boxes of documents that were provided to the people that were convicted of supporting terrorism. And I would like to ask again for Congress to be allowed to have copies of the same things the people supporting terrorism got before they were convicted. Will you provide those documents without us having to go through a formal subpoena process? The big ones they got. Attorney General Holder. Yeah. Again, I have this note here because I asked this question. We did, in fact, promise you access to those documents that were made public in the case. But now, what my people tell me is that we never heard from your staff to make those arrangements. We will promise to make them available to you. What I would just ask is to have your staff contact mine, and we will---- Mr. Gohmert. Well, then we will work that out, all right? Attorney General Holder. We can make that happen. Mr. Gohmert. And also you had mentioned that the FBI did a good job in following up the lead from the Russians about Tamerlan Tsarnaev. Do you know what questions FBI agents asked of Tamerlan to determine that he was not a threat? Attorney General Holder. I do not know the specific questions. Mr. Gohmert. Do you know if they would have asked who his favorite Islamic writer was? Are they allowed to ask those questions? Attorney General Holder. I know---- Mr. Gohmert. Whether you know or you do not know, were they allowed to ask who his favorite imam was? Were they allowed to ask about the mosque he was attending at Cambridge or had been in Boston, from what I understand? Were they allowed to ask those questions? Attorney General Holder. I know a good deal about what was asked of him in connection with the interaction that occurred, but that is potentially part of this ongoing case. And that is why I am a little hesitant to---- Mr. Gohmert. Well, it is also in trying to determine how the FBI blew the opportunity to save people's lives by accepting the Russian information and following up on it, because what we have dealt with, and it should not have been classified, but the information being purged from FBI documents has been classified. And I have reviewed that information, and I am aware of what has been purged in the efforts to avoid offending anyone who is Islamic. I am not concerned about offending anybody that wants to blow us up, but I am concerned about religious freedom, which is another topic with the IRS. But were you aware of the Cambridge mosque where Tamerlan was attending back at the time that the Russians gave us that information? Attorney General Holder. Not at that time. Mr. Gohmert. All right. Well, let me tell you. He was attending a mosque in Cambridge, and obviously as you are not sure about that, you would probably not have had anybody provide you the organization papers for the Islamic Society of Boston that was also the founder of the mosque in Cambridge, a guy named Alamoudi that I am sure you know is doing 23 years for being involved in terrorism, also working with the Clinton Administration back before he was arrested and then convicted and sent to prison for 23 years. But he started that mosque. What kind of follow-up was done on the mosque at Cambridge and the mosque at Boston where you had a convicted terrorist that was involved in the organizing? Do you know what they did about it? Attorney General Holder. All I can say at this point is I think that what the FBI did in connection with the information that they received was thorough. There are questions of the Inspector General---- Mr. Gohmert. Well, thorough is an opinion. I am asking if you knew specifically about the mosque at Cambridge, who founded it, that a terrorist founded it, the one that he attended. And it sounds like from your answer you feel satisfied it was thorough, but you do not really know what they looked at. So let me move on then---- Attorney General Holder. My answer to the question is that the FBI, as I said, I think was thorough. But there were problems that were not of the FBI's making with regard to their---- Mr. Gohmert. Look, the FBI got a head's up from Russia that you have a radicalized terrorist on your hands. They should not have had to give anything else whatsoever. That should have been enough. But because of political correctness, it was not a thorough enough examination of Tamerlan to determine this kid had been radicalized. And that is the concern I have. On the one hand, we go after Christian groups, like Billy Graham's group. We go after Franklin Graham's group. But then we are hands off when it comes to possibly offending someone who has been radicalized as a terrorist. And I appreciate Ms. Chu's comment, there were people concerned about possible profiling. But I would submit, Attorney General, there were a lot more people in America concerned about being blown up by terrorists. And I regret very much my time has expired. Attorney General Holder. Well, let me just say this. You have made statements as matters of fact, and, you know---- Mr. Gohmert. You point out one thing that I said that was not true. Mr. Goodlatte. The time of the gentleman has expired. The Attorney General may---- Mr. Gohmert. Mr. Chairman, I would ask a point of personal privilege. He said I said something as fact that he does not believe was. I would like to know specifically what it was so that I can---- Ms. Jackson Lee. Regular order, Mr. Chairman. Mr. Goodlatte. The gentleman from Texas should suspend because the Attorney General has the opportunity to answer the question. Once he has completed the question, if the gentleman has a point of personal privilege, he can exercise it. Mr. Gohmert. Thank you. Mr. Goodlatte. But at this point, the Attorney General gets to answer. Attorney General Holder. The only observation I was going to make is that you state as a matter of fact what the FBI did and did not do. And unless somebody has done something inappropriate, you do not have access to the FBI files. You do not know what the FBI did. You do not know what the FBI's interaction was with the Russians. You do not know what questions were put to the Russians, whether those questions were responded to. You simply do not know that. And you have characterized the FBI as being not thorough or taking exception to my characterization of them as being thorough. I know what the FBI did. You cannot know what I know. That is all. Mr. Gohmert. Well, thank you, Mr. Chairman. And that is simply the reason--I did not assert what they did or did not do. I asserted what the---- Mr. Goodlatte. The time of the gentleman---- Mr. Gohmert. I cannot have him---- Ms. Jackson Lee. Regular order. Mr. Gohmert [continuing]. Challenge my character and my integrity without having a chance to respond to that. Mr. Richmond. Mr. Chairman, regular order. Mr. Goodlatte. The gentleman will suspend. If the gentleman believes that he has a point of personal privilege, he can state it. Mr. Gohmert. Mr. Chairman, I have a point of personal privilege. He said that I do not know that of which I spoke as being true, and the Attorney General is wrong on the things that I asserted as fact. And he has to understand the reason I ask questions, specifically about what the individual Tamerlan was asked was so I would find out, and the Attorney General then sits there and acts like he knows that I did not---- Mr. Richmond. Mr. Chairman, I would still assert regular order as I did the first time. Mr. Gohmert. So, Mr. Chairman, the point of personal privilege is---- Mr. Goodlatte. The gentleman will suspend. Mr. Richmond. Mr. Chairman, I would still point out regular order. Mr. Goodlatte. The gentleman from Texas will suspend. Mr. Gohmert. All right. Mr. Goodlatte. The gentleman's characterization of the Attorney General's answer is not an appropriate exercise of the gentleman's right of personal privilege. Mr. Gohmert. All right. Mr. Goodlatte. The gentleman may exercise that privilege. Mr. Gohmert. Mr. Chairman, point of personal privilege. Mr. Goodlatte. The gentleman may complete his statement, and then we will move on. Mr. Gohmert. All right, thank you. The Attorney General made statements that what I said was not true when actually the reverse is what happened. I asked the Attorney General---- Mr. Richmond. Mr. Chair---- Mr. Gohmert [continuing]. What was asked---- Mr. Richmond. Mr. Chairman, regular order. Mr. Gohmert. This is my point of personal privilege, and then the gentleman can respond. Mr. Richmond. No, it is not a point of personal privilege. Mr. Gohmert. Yes, it is. So when you attack somebody's integrity and say that they made statements that were not true, then of course that raises a point of personal privilege. But the Attorney General failed to answer my questions about what was asked---- Mr. Goodlatte. The gentleman will suspend. Mr. Richmond. Regular order, Mr. Chairman. Mr. Gohmert [continuing]. And cast aspersions on my asparagus. Mr. Goodlatte. The gentleman is entitled to state a point of personal privilege, which he has now done, and we will move on. Mr. Gohmert. Thank you. Mr. Goodlatte. But he does not have under a point of personal privilege the opportunity to characterize the answer of the witness. So the time of the gentleman---- Attorney General Holder. All I was saying for the record was that the congressman could not know, unless, as I said, something inappropriate has happened with regard to the---- Mr. Gohmert. Or unless the Attorney General answered my questions---- Mr. Goodlatte. The gentleman will suspend. Mr. Gohmert [continuing]. As I asked, and then we would have had the answers. Mr. Goodlatte. The gentleman will suspend. Attorney General Holder. There could not be a basis for the assertions he is making, not the questions, but the assertions that he made unless he was provided information, and I would say inappropriately, from members of the FBI or people who were involved in the very things that he questioned me about. And I do not think that that happened. Mr. Goodlatte. Both the gentleman from Texas and the Attorney General have had their opportunity to clarify their positions. And we will now turn to the gentlewoman from California, Ms. Bass, who is recognized for 5 minutes. Ms. Bass. Let me just begin by thanking the Attorney General for your patience because it seems to me every couple of months we go through this exercise with you. And I appreciate your patience. I have three questions. One, I want to join others in expressing concern and frankly condemning what I understand is the targeting of conservative groups by the IRS. Frankly, it brought back memories from several years ago when I remember liberal groups being targeted. And it was before my time in Congress, but I certainly remember when African-American churches were targeted by the IRS, and it frankly sent a chill through the community. I wanted to know if during that time if an investigation was done, and, if so, what was the result, and what were the consequences? Attorney General Holder. I do not know what happened with regard to those matters. Ms. Bass. Well, I think it would be interesting to find out if investigations had been done, because the way I am hearing this characterized, it was as though this is the first time the IRS has done something like this. And I certainly remember very well this happening to liberal groups. My second question is, if Congress had passed the Free Flow of Information Act in 2007, how would the situation have been handled with the Associated Press? Attorney General Holder. I am not familiar with the Free Flow of Information Act. All I can say is that I know that with regard to the shield law that we proposed, that there were greater protections that would have been in place for members of the press, though some have noted there was a national security exception. But I think that in the view of the Administration, that a shield law should still be something that we work on together and that we can craft a national security exception that would give the press adequate protection, while at the same time keeping safe the American people. Ms. Bass. What happened to the shield law? Attorney General Holder. Excuse me? Ms. Bass. What happened to it? You said it was--the shield law? Attorney General Holder. It was proposed, and then was never passed. I do not think it was ever seriously considered, but it was pushed. I certainly talked about it during my confirmation hearings and I think during my first hearings as Attorney General. The President was behind it. But it was never passed. Ms. Bass. So had that been passed, it would have alleviated the situation that we just experienced with the Associated Press? Attorney General Holder. Again, I am recused from that case, but I think it would certainly have had the potential to have an impact on all national security stories. Ms. Bass. Okay. Switching subjects completely and talking about trafficking, an area that I am very interested in working on child welfare issues is the trafficking, in particular, sex trafficking of minors who are in the child welfare system. And I wanted to know if anything is being done at the Federal level to ensure that youth that are designated as victims in juvenile courts are treated as victims as opposed to criminals. And I wanted to know if, given existing Federal law included in the Trafficking Victim's Protection Act, how can we work with local jurisdictions to ensure that youth do not have criminal records due to their victimization. Attorney General Holder. I think that is actually very important, and I think that what we need to do is come up with mechanisms by which we identify best practices. Also in spite of sequestration, we come up with ways in which we provide local and State jurisdictions with the necessary funds perhaps to reform their systems, because the reality is that too many young people, who are victimized in the way that you have described, can be characterized as criminals, as prostitutes, when, in fact, they are simply victims. Now, you would hope that prosecutors would exercise appropriate discretion and charge only the appropriate people, but that is not always the case, and that is why the identification of best practices and raising the sensitivity of people who exercise that discretion is so important. And I think that the Federal Government should take the lead in that, given that human trafficking generally is something that we have identified as a priority, and sex trafficking of minors specifically as a priority. Ms. Bass. And maybe I can work with your office in the future, because I frankly think that no juvenile should ever be arrested for prostitution. I do not know how you can prostitute if you are under the age of consent. I mean, to me, that would be rape, and maybe there is a way that we can change it so a child is never charged with that. Attorney General Holder. I would look forward to that. There are clearly going to be services that need to be made available to such a juvenile, but that does not mean that that juvenile should have to get them being part of the juvenile justice system with all the stigma that is, therefore, attached to that treatment. Ms. Bass. Right, absolutely. And then finally, what is the Office of Juvenile Justice and Delinquency Prevention doing to prevent now foster youth from entering the criminal justice system? So I am not referring to trafficking. I am referring to what is known as crossover youth. Attorney General Holder. You said? Ms. Bass. Crossover youth, meaning crossing from the dependency to the delinquency system. So the question is, what is the Office of Juvenile Justice and Delinquency Prevention doing to prevent this. Attorney General Holder. Well, again, we are identifying best practices. We make grants. We hold conferences. It is one of the things that, sequestration, when we talk about cutting back money and cutting back on conferences, I understand that. But one of the things that OJJDP does so well, the Office of Justice Programs does so well, through conferences is bring together people to talk about these kinds of issues, identify best practices, and then come up with determinations of what practices we are going to fund. So that is what OJJDP is doing in that regard. It is always trying to find, again, best practices, identifying negative practices that are occurring, and then trying to support those things that are occurring and that are in the best interest of our children. Mr. Goodlatte. The gentlewoman's time has expired. Ms. Bass. Okay, thank you. Mr. Goodlatte. If she has additional questions, please submit them for the record. And the Chair now recognizes the gentleman from Ohio, Mr. Jordan, for 5 minutes. Mr. Jordan. Thank the Chairman. Mr. Holder, you announced last Friday a criminal investigation into the IRS. I really only have one question. Will you assure Congress and the American people that your investigation will not impede or slow the investigation Congress is doing into the Internal Revenue Service? And here is why I am concerned. We have heard you today say--we lost track. We are actually keeping track of it and we started having a little tally how many times you said ongoing investigation. But the point that comes to mind for me is Solyndra. And I would argue that investigation has netted nothing, no new information to Congress, and has only impeded and slowed down our investigation into that company that went bankruptcy and lost taxpayer money. Next week, Chairman Issa has announced Lois Lerner and three other witnesses will be in front of the Oversight Committee next Wednesday on the IRS issue. I know for a fact Lois Lerner lied to me, she lied to our personal staff, she lied to Committee staff, she lied in correspondence to Mr. Issa and myself that we had sent her written correspondence. And here is what concerns me, is because there is now a criminal investigation. Next week when Lois Lerner, who lied to Congress and, therefore, the American people, comes in front of our Committee for us to get information about what took place at the IRS, is she just going to throw up her hands and say, you know what, the Attorney General and the Department of Justice is doing a criminal investigation, I cannot really comment now. And that is a, I think, concern that Members of Congress have, and certainly the American people. So again, will you do everything you can and what assurances can you give the United States Congress that that, in fact, is not going to take place? Attorney General Holder. Well, I think the responsibility I have is to investigate violations of the law. And I think what we will try to do is to work with Congress so that we do not get in your way, you do not get in our way. Mr. Jordan. But the point is it has already happened. It has happened with other issues. This is the big one. This is people's First Amendment rights being violated. We want to know what are you going to do different this time. And let us just be frank, Mr. Holder. You do not have all that much credibility. There are lots of folks on this panel--I am not one of them, but there are lots of folks here who have called your resignation. You have been held in contempt and a host of other things. So this is why this question, I think, is of paramount importance. Attorney General Holder. Well, to be frank then, your characterization of Ms. Lerner as lying before Congress by itself--I mean, forget about the investigation---- Mr. Jordan. We will be happy to show that. We are going to show it next week, but we want her to be able to respond to us and not say, oh, I cannot comment because Mr. Attorney General has got a criminal investigation going. We will show that next Wednesday. Attorney General Holder. I understand that. But your characterization of her testimony in and of itself and the way you have characterized could--forget about our investigation-- could put her in the very situation that you say you do not want to have happen. So it might---- Mr. Jordan. That is already out there. She has done responded. We have it in writing. There is no news there. It is a fact. I want her on the witness stand and be able to answer our questions, and what I do not want her to do is say, oh, I cannot because a criminal investigation is going on at the Department of Justice. Attorney General Holder. Based on what you said--forget about the investigation--on the basis of what you said, she could say I cannot answer this question because you think that I have already lied, and I might be charged with a false---- Mr. Jordan. You know this. There is a much stronger likelihood based on what you are doing than what I just said here. Attorney General Holder. Well, as I said, my---- Mr. Jordan. And you know that is the case. Attorney General Holder. Our responsibility is to investigate violations of criminal law. We will do that. We will try to work with Congress in a way that we do not impede that which you want to do. In the same way I would hope that Congress will work with us so that you do not impede our criminal investigation, and ultimately hold people accountable. There is certainly a role for Congress to play in exposing what has happened, but I think we have the ultimate responsibility in holding people accountable, and that is something that is uniquely the ability of the executive branch to do, not the legislative branch. Mr. Jordan. Mr. Chairman, I yield back. Mr. Goodlatte. The Chair thanks the gentleman. And the Chair now recognizes the gentleman from Louisiana, Mr. Richmond, for 5 minutes. Mr. Richmond. Thank you, Mr. Attorney General, for coming. Answer these two quick questions for me, and then I will go into what I really wanted to talk about. But based on the dialogue and the back and forth earlier, here is my question. Is there any lawful way that anyone in Congress could know what was asked and not asked by the FBI in their investigation before the Boston bombing of those terrorists? Attorney General Holder. There is no appropriate way, I think, that any Member of Congress could know that. Mr. Richmond. Earlier also a statement was made that people or the government, some of us are so worried about offending Islamists, but they are not worried about offending any person that would bomb America. Certainly not all Islamists bomb America, right? Attorney General Holder. No, it is a small minority of people of that faith who engage in these activities. And we are not politically correct in the way in which we conduct our investigations. We go after individuals. We do not go after religions. Mr. Richmond. The other thing, and I am looking at, I guess, a July 12 letter from then Chairman of the Committee, Lamar Smith, because I was not on the Committee. But the points that strike me the most about the investigation into the leaks which you have recused yourself, which is ``to conduct our foreign policy and keep Americans safe, some operations and sources of intelligence must be kept strictly secret. Concern about these leaks know no party line. When national security secrets leak and become public knowledge, our people and our national interests are jeopardized. And when our enemies know our secrets, American lives are threatened.'' It goes on to say, ``These leaks are probably the most damaging in America's history.'' Was that not a call for the Department of Justice to do any and all things to ascertain where these leaks are coming from in our national security interests? Attorney General Holder. I was criticized at that time for not appointing a special prosecutor. I said that I had faith in the Justice Department and in the two U.S. attorneys who I appointed to conduct those investigations. And that decision was criticized as not being aggressive enough. It strikes me as interesting now a year or so later--whatever the time period is--that in some ways we are being criticized for being too aggressive. Now again, I do not know what happened in the case and what happened with regard to, you know, the subpoena. But there was certainly a clarion call from many that the Attorney General needed to do more than he actually did. Mr. Richmond. And there was also criticism that your subpoena was too broad. And earlier today, you were challenged and criticized for the fact that you said that you would answer to the appropriate things in a subpoena. And the question was asserted, well, do you answer everything that a subpoena says, or do you answer to things that relevant to the subpoena. Would that not be the same irony that, you know, you cannot have it both ways? Attorney General Holder. Well, I think Mr. Goodlatte, Chairman Goodlatte, had it right that, yeah, you can subpoena anything, but that people have the right once they receive a subpoena--obviously the acknowledgment of it--to challenge that which they are called to produce pursuant to the subpoena. Mr. Richmond. And let me just take a second to thank the Civil Rights Division of your office because earlier this year, and why we certainly still need the Civil Rights Division, our chief ranking African-American on the Louisiana Supreme Court, who by far had the tenure, and ours is strictly a seniority process to get to chief judge, was challenged by other judges, and brought into court to challenge whether she could become chief justice. And it was with the help of the Civil Rights Division and other lawyers in Louisiana that the Federal judge ruled that she, in fact, did have the tenure. And as long as we still examples of that and we have a Justice Department that is willing to step up, even though it may not be popular to some. But part of faith in the justice system is that laws will be applied equally. Everybody will play by the same rules. And I would like to close with, as ugly and nasty as Fast and Furious was, and the uproar that followed it, which I agree with, every day in my community and communities across the country, Federal agents and others will use drug dealers as pawns to get the bigger drug dealer. And as that crack or that heroine or those other drugs go back into our community and create more crack babies, and put more young kids in harm's way, I have not heard the same uproar. And I would just like to put that out there so while we are having an uproar about people putting things back into the community to get the bigger fish, please do not forget the thousands and thousands of lives and murders every year associated with the drug trade. Thank you. Mr. Goodlatte. The time of the gentleman has expired. And the Chair recognizes the gentleman from Texas, Mr. Poe, for 5 minutes. Mr. Poe. Thank you, Mr. Chairman. Thank you, Mr. Attorney General, for being here. Yesterday I sent you a three-page letter with seven questions on it. I know you have not had time to go over those, so I ask unanimous consent, Mr. Chairman, to introduce that letter with the seven questions for the Attorney General into the record to be answered at some appropriate time. Mr. Goodlatte. Without objection, the letter will be made a part of the record, and the questions will be submitted to the Attorney General.* --------------------------------------------------------------------------- *The questions referred to were submitted to the Attorney General by the Committee as part of its Questions for the Record. --------------------------------------------------------------------------- Mr. Poe. Let me approach this kind of historically the way I see things occurring, and then I have two questions at the end of this dialogue. Over the last several years, government action has become suspect to many of us. In Fast and Furious, government action, then we have not resolved that yet. We are in court, and we still have not gotten a resolution on the issue that whether the subpoena should be or should not be upheld. People died in Fast and Furious. Then there is Benghazi, and there are some bungling going on, and what happened, who is responsible. Four Americans died. But government action or inaction is suspect. Recently in Health and Human Services Department, there are accusations of improper use by people in office of their position to obtain funds to support the new health care law. I do not know if that is true or not. But government action. And then the two that we are recently aware of, the AP reporters, 100 journalists, their phone records being seized. It looks like bruising the First Amendment at least to me. And by the way, our staff filed, Mr. Attorney General, in 2007 the shield law. I filed that bill as well. President Obama supported in 2007, and I hope we can get that shield law passed through both houses this time. But the most recent is with the IRS and what has taken place not only with the IRS, but other government agencies. And let me give you a personal case, a real person. It is a constituent of mine. Catherine Engelbrecht and her husband, they run a business in Houston. Catherine Engelbrecht decided just as a regular citizen to get involved in voter fraud and started a group called True to Vote, and another group, King Street Patriots. And here is what she said in a recent interview: ``We applied for non-profit status in 2010. Since that time, the IRS has run us through a gauntlet of analysts and hundreds and hundreds of questions over and over again. They've requested to see each and every tweet I have ever tweeted, or every Facebook post I have ever posted. They've asked to know every place I've ever spoken since our inception, and to whom and everywhere I intend to speak in the future.'' That is part of her comments. We have learned that the IRS has even asked this group and other groups for their donor lists. The Federal Government's snooping of Engelbrecht's two organizations included six visits from the FBI--set aside the IRS--six visits from the FBI, unannounced visits by OSHA, and even the ATF showed up several times to investigate this organization. And the Engelbrechts, both Catherine and her husband, have been personally audited. And keep in mind, Mr. Attorney General, Catherine and her husband have owned this family business for over 20 years, and never seen an auditor until all of this occurred. And yet here we are today since 2010, they still do not have that tax exempt status. I have requested over the years FBI, OSHA, and ATF FOIA requests to see if they are under criminal investigation. These organizations say, no, they are not, but why are they continuing to be treated like criminals? The IRS response, as we now know, they have apologized. I guess they want this to go away by their apology. But meanwhile, back on the ranch, today USA Today reported that only one Tea Party group has been given tax exempt status, but numerous progressive groups have been given tax exempt status in the last 2 or 3 years. Not much of a coincidence as far as I am concerned. So based on my experience, you know, being in the courthouse as a prosecutor, you as a prosecutor and judge, it just seems like government credibility, because these are government actions. These are not private actions. These are government actions. Do you not think it would be best that since now the FBI, ATF, which is under the Justice Department, are involved in some of these accusations of harassment, unequal protection under the law, targeting specific groups because of discrimination. I mean, those are the accusations. That we should set the Department aside and say, look, we are going to get a special prosecutor in here to investigate all of these organizations, all of these departments, to see if they are targeting specific conservative groups, for lack of a better phrase, for their actions, and to see if there are some violations under the Hatch Act, numerous law violations. I am just asking you, do you think maybe that would help restore some credibility in your Department if you set that aside and said we are going to get a special prosecutor to clear this whole air and find out exactly what is going on in the government? Attorney General Holder. Well, I would not agree with your characterization that there is a lack of credibility in either the Justice Department or any of its components. Mr. Poe. Well, I am giving you my opinion that the Justice Department lacks credibility and some of these departments because of the action by the Federal authority. So that is my opinion. Attorney General Holder. Okay, well, that is fine. I will mark you as a fan not of government. Bill Clinton once said that, you know, the era of big government was over. I would say that the need for government endures. Government---- Mr. Poe. Just answer my question because I am out of time. I am sorry, Mr. Attorney General. Just answer my question. Do you think we need a special prosecutor to prosecute these accusations? Attorney General Holder. And I said, I think the need for good government endures. You know, people talk about how government and government agencies do all these negative things, and then when it comes to Sandy, Katrina, wildfires, tornadoes, terrorism, the thing in West Texas, then people want government there. And my point is that the notion that government has or that the Justice Department has credibility problems, I think is belied by the notion that people, I think, more generally have of government, and the good that government does, and the need for, as I said, for good government. Mr. Goodlatte. The time of gentleman has expired. Mr. Poe. I will submit that question in writing then for an answer. Mr. Goodlatte. The gentleman will submit the question in writing, and we will submit it to the Attorney General. And the Chair now recognizes the gentlewoman from Washington, Ms. DelBene, for 5 minutes. Ms. DelBene. Thank you, Mr. Chair, and thank you, Mr. Attorney General, for being here and for all of your time. A few weeks ago, there were news reports about documents obtained by the American Civil Liberties Union, the ACLU, that revealed internal memos that said the FBI believed it could obtain the contents of Americans' emails without a warrant if the emails were sent to or received by a third party service, like Hotmail or Yahoo!, Outlook.com, Gmail. Do you believe the government has a right to obtain emails without a warrant? And, well, first, I will ask you that. Attorney General Holder. The authorities that we have, I guess, in some ways, you know, defined by ECPA, and there have been people who have testified on behalf of the Justice Department, is how we update the abilities that we have so that we have the ability to conduct investigations in as quick a fashion as we can, given the new technologies that we face. And how would we apply rules that exist with regard to obtaining information without court orders in this new era? And so I think that is the question that we wrestle with. Ms. DelBene. Today this piece of paper, if I had a letter here, would require a warrant for someone to have access, but if it were a digital email, it may not require that same warrant. And so, we are looking at whether there should be an equal playing field and whether we need to update our law. You were talking about the Electronic Communications Privacy Act. That was written in 1986, and much before much of the technology that many folks use today was in place. And so do you believe it is important that we update that law to reflect the way people work today and the way communication work today, so that we have those civil liberties protected in the digital world? Attorney General Holder. Absolutely. I think we have become more and more an information society, and we still have and should have expectations of privacy however it is that we communicate. At the same time, I want to make sure that law enforcement, in the way that it did 40, 50 years ago, has the ability to acquire information. And how we strike that balance I think is really important, and is really one of the most important conversations I think that we can have in the 21st century, and one that I think that this Administration would like to engage with Congress so that we come up with a set of rules that probably not perfect, but will meet somewhere in the middle so that we can maintain privacy while at the same time maintaining that ability that law enforcement has to have. Ms. DelBene. There is a piece of legislation that I have co-sponsored, along with Congressman Poe and Congresswoman Lofgren to update the Electronics Communications Privacy Act, and to have a warrant standard for online communications, and for geo location information that people have on their cell phones, you know. We look to have support from the Department of Justice and yourself on those reforms as we look to update the Electronics Communications Privacy Act, and have something that is more current. Attorney General Holder. I know that Senator Leahy has introduced a bill very similar to that, and it is something that I think that the Department will support. Our only concern is with regard to, as I said making sure that in certain very limited circumstances, that we have the ability, perhaps in civil cases or in other matters, to acquire information. But the more general notion of having a warrant to obtain the content of communication from a service provider is something that we support. Ms. DelBene. And a warrant standard would be the same. I know the current warrant standard for communications, there are exceptions in emergencies and other cases. So we are looking to have a similar warrant standard in the online world. Attorney General Holder. And that is what I was talking about when I talk about these limited circumstances where we would want to make sure that we maintain the abilities. But the more general proposition that you are talking about is one that we support. Ms. DelBene. Thank you. Thank you very much. And I yield back the remainder of my time. Mr. Goodlatte. The Chair very much appreciates the gentlewoman's brevity, and now recognizes the gentleman from Utah, Mr. Chaffetz, for 5 minutes. Mr. Chaffetz. Thank you, Mr. Attorney General. I appreciate you being here. I want to go back and talk about, if we could, about the investigation of General Petraeus, which I understand the FBI started in the sort of May/June time frame. When did you first learn about the investigation into General Petraeus, who was then the CIA director? Attorney General Holder. Yes. I am not sure. Some months, I think, or a couple of months after it began. Mr. Chaffetz. The news reports say that that happened sometime in the summer. Would that be a fair, accurate representation? Attorney General Holder. I think that is probably right. Mr. Chaffetz. Do you know when General Petraeus was notified or had any sense that he was under investigation? Attorney General Holder. I would have to go back and look. I do not know when he was actually made aware of it. I think as a result of an FBI interview I think, but I am not sure exactly when that happened. Mr. Chaffetz. Do you have any idea when he would have become aware of it other than that--I see that somebody is trying to hand you something. Do you have a sense as to when he became aware of it? Attorney General Holder. This just says we will look into it and get back to you. Mr. Chaffetz. You need notes for that? Attorney General Holder. I do not know. I just do not know when exactly all these events happened. Mr. Chaffetz. You know, one of the questions and the criticisms here of your actions on this is that you knew about this in the summer, and yet when did you notify the director of the National Intelligence, Mr. Clapper? Attorney General Holder. I do not remember when that happened. I knew about it for a while before he was notified. I do not know exactly what the time frame was. Mr. Chaffetz. And when was the President of the United States notified? Attorney General Holder. It was much later. Again, I am not exactly certain, but as I remember, like late fall, and perhaps even maybe early winter. Again, do not hold me to these exact-- -- Mr. Chaffetz. And I appreciate that, and I am asking you dates. But the concern is that you for months based on that timeline, and I recognize it is loose here. But for months you knew about it, but you did not notify the President of the United States. Why is that? Attorney General Holder. Because it was an ongoing criminal investigation. Mr. Chaffetz. You do not think that there was any national intelligence lap over? I mean, was there any national intelligence ramification? Attorney General Holder. Not on the basis of what we were investigating. If we had thought or if I had thought that what we were looking at potentially would have been compromising of General Petraeus or would have led to a national security problem or breach, then I---- Mr. Chaffetz. But according to the Congressional Research Service, let me read it from their report in April. ``While the extramarital affair itself is not classified as an intelligence activity, the investigation by the FBI originated with the possible hacking of Director Petraeus' email account, an act that had the potential of compromising national intelligence.'' As I have said before, he was not the head of the, you know, Fish and Wildlife. This is the director of Central Intelligence. Why would you not share that with the President of the United States? Attorney General Holder. Well, as we talked about it among us at the FBI and at the Justice Department, we did not think that we had a national security problem or a potential national security problem. Mr. Chaffetz. But why were you investigating him? Why would FBI investigate him? It is not just an extramarital affair, right? That does not raise to the level of FBI involvement. There certainly had to be some suspicion that there was some national intelligence implication. Attorney General Holder. Well, the investigation began, as I remember, because of complaints that one party made against another about the use of computers and threats. That is how the investigation---- Mr. Chaffetz. But when it involves the director of the Central Intelligence Agency. Senator Feinstein, who is the chair of Intelligence said, ``This is something that could have an effect on national security. I think we should have been told.'' Why not notify under the law the proper authorities here in the United States Congress, specifically the head of the intelligence committees? And why not notify the President of the United States? Attorney General Holder. Well, again, as I said, there is a strong tradition and concern within the Justice Department not to reveal--and the FBI--not to reveal ongoing criminal investigations. But I think we were sensitive to the possibility of a national security concern, but did not think that one existed. And if we look back at that---- Mr. Chaffetz. But why not share that with the President of the United States? Do you not trust him with that information? I would think that is the one person who should absolutely know about what is going on. And if it was a potential that our director of the CIA had been compromised, that you were investigating something, why not share that with President Obama? Attorney General Holder. Because, as I said, we do not share ongoing criminal investigations. And if you look back, the conclusions that we reached, in fact, were correct that we did not have a national---- Mr. Chaffetz. Is this is an ongoing investigation? Attorney General Holder. It is an ongoing investigation. Mr. Goodlatte. The time of the gentleman has expired. The Chair thanks the gentleman for the line of questioning, and now recognizes the gentleman from Florida, Mr. Garcia, for 5 minutes. Mr. Garcia. Over here, Mr. Attorney General. Mr. Attorney General, thank you for being here and thank you for your time today. And thank you for your long and distinguished career. My first question, and I know you have answered some of this, but maybe in a less hostile environment, it will give you an opportunity to dazzle you with your brilliance and your personal knowledge. I, unlike the majority here, know Mr. Tom Perez and have known him for many years as a dedicated personal servant. A few weeks ago we ascended ourselves and began a confirmation hearing for Mr. Perez here, a duty and a responsibility that was beyond the purview of my office, but nonetheless we participated in that. But I would like to hear from you as someone who has worked with Mr. Perez closely in his capacity in your office, if you could tell us about him and your view on him as Labor Secretary. Attorney General Holder. Well, I think he is uniquely qualified for this job given his experience in Maryland in a similar position, given the way he has distinguished himself over a long and storied public service career, certainly with regard to the way in which he has conducted himself as Assistant Attorney General, showing himself to be concerned about and responsive to working class people. He is a person who I think has the ability to see both sides of an issue. He is not an ideologue as I think he has been portrayed. He is both a good lawyer, I think, a loyal public servant, who I think will distinguish himself if he is given the opportunity to become our next Secretary of Labor. Mr. Garcia. Thank you, Mr. General. I wanted to ask two more questions. One is on immigration, and thank you for addressing comprehensive immigration reform in your comments. I notice as someone who has been around immigration and worked with the Immigration Service that the rules that we have created have sort of bound us in certain circumstances, and to some degree has limited the discretion of our immigration judges, which are overworked, but sometimes do not have the legal ability or the ability to resolve many cases which seem to be simple. If we could get your opinion on returning some of that discretion to the immigration judges. Attorney General Holder. Well, I agree with you. I served for 5 years as a judge here in Washington, D.C., and we put a great deal of effort into finding good people to serve on our Article 3 courts and our immigration courts. And I think that they should have requisite amounts of discretion so that they can decide what justice is in a particular case, what is justice for the person who is in front of them. Obviously it is constrained by rules, regulations, and by laws. But within that range, I think judges should have discretion, perhaps a greater degree of discretion. Immigration judges should have a greater degree of discretion than they presently have. We do a good job of selecting who these people are, and we should trust, therefore, in their abilities and their ability to use their discretion appropriately. Mr. Garcia. Let us stay on that real quick and then I will close with this and return the balance of my time. I wanted to ask you about the cuts that sequestration has had on immigration, the impact that it has had. I think it is a reduction about $15 million in funding for immigration review. Could you tell me a little bit about what impact that has had on already overburdened case loads, and has that led to prolonged detention, which, of course, adds a further burden to taxpayers? Attorney General Holder. Yeah, we just have numbers here. There are serious problems with regard to this whole question of sequestration. The immigration docket has gone up every year. The resources that we need to deal with that have to be dealt with, and sequestration runs in the opposite direction where we are actually taking resources away from a growing problem. If you look at the immigration bill, there is contained within it a provision for an enhanced number, a greater number of immigration judges. The President's budget for 2014 asks for more immigration judges to handle the problems of the growing docket. Sequestration is something that is more than simply people getting on an airplane and getting to their destination, you know, in time. Sequestration has a negative impact on a whole variety of areas that are my responsibility: in the immigration courts, with regard to ATF, FBI, DEA agents having the ability to be on the streets and doing the things that the American people expect. We have had problems in 2013. This Department has far fewer people than it did in 2011 when we put into place a freeze. This is going to have an impact. You will see, I bet, 2 and a half, 3 years from now lower numbers out of the Justice Department, and some attorney general perhaps will be criticized for that. And it will be a function not of a lack of desire and dedication on the part of the people of this Justice Department, but simply because there are fewer of them. Mr. Garcia. Thank you, Mr. General. I yield back the balance of my time. Mr. Goodlatte. The Chair thanks the gentleman, and recognizes the gentleman from Pennsylvania, Mr. Marino, for 5 minutes. Mr. Marino. Thank you, Chairman. General, it is good to see you again. Attorney General Holder. You, too. Mr. Marino. Let us focus for a moment on the Boston terrorist defendant while he was in the hospital, if you would, please. Why were charges filed at that particular time instead of waiting for, just running the time more so on the public exception of Miranda? I understand it was about 16 hours and then charges were filed. Certainly the magistrate does not have the right to go and do that in and of themselves. So charges had to be filed. He was in the hospital, so as a result, the magistrate was brought there, but also a public defender was brought there. But why at that time? Why did you make that decision or who made the decision to file charges at that time? Attorney General Holder. Well, let me just not talk about that case, again, ongoing, but charges, I mean, there are rules that we have. The Supreme Court has said that with regard to detention, you have got, in essence, 48 hours to bring charges. And what we did there was to do things that are, I think, consistent with the rules, while at the same time, without getting into too much, while at the same time using the public safety exception in the best way that we could. Mr. Marino. I do not want you to get into anything that would jeopardize this prosecution. But there was time. You could still have used the public exception rule to allow the FBI to interrogate this individual before Mirandizing. Do you agree with that? Attorney General Holder. Yeah. The Justice Department and the FBI agent never Mirandized---- Mr. Marino. No, no, that is not my question. I know they did not Mirandize him because they did not have to because of the exception. But it seemed to me that there was a rush to file the charges that would then force the magistrate to inform the defendant of his rights. Why did you not let that time run longer so the FBI could question him? Attorney General Holder. The charges were filed at about from the time of capture--I guess capture--about 46 hours after that. So that is---- Mr. Marino. But that is a benchmark, correct? The 46 hours is a benchmark. I mean, I have read a case where it has been days where the exception has continued. All right. Was that discussed with Director Mueller? Did he know prior to that that charges were going to be filed? Attorney General Holder. Yeah. We worked with the FBI both in Washington and in Boston. Everybody was aware, and the State and local folks as well. Everybody was aware of how we were going to proceed. Mr. Marino. Why were State charges not filed? Then you would have more time to question that individual before you had to file Federal charges? As a former prosecutor both at the State and Federal level, I mean, we use these tools to our advantage. Attorney General Holder. Well, after the bombing, the decision was made, and I think correctly so. The Joint Terrorism Task Force got together and made a decision that this was going to be a Federal matter, a Federal investigation, and that Federal rules applied. Mr. Marino. All right. Let us switch gears here to your recusal in this other situation. I got into a little argument with the Justice Department on cases where I not only recused myself, but I wanted my entire office recused. Now, you are in a little different predicament here. But I always followed it up with written documentation, a letter saying why I am recusing myself, why I am recusing my office, making sure there is a paper trail from here to yesterday filed in my office and with the Justice Department. Are you saying that there is no paper trail here when you recused yourself and for what reasons? Attorney General Holder. I do not think there is. As I said, that is something that we were looking for, and nothing has been found. And I am not sure. Somebody else raised that point. As I have thought about it actually during the course of this hearing, that that actually might be a better policy to have in place for recusals. Mr. Marino. I would think so to have those documents in place. You also have the authority to appoint a special prosecutor, whether it is another sitting U.S. attorney or someone outside of Justice completely. So you have the deputy who gave the approval, but yet is heading the investigation. Do you not think there is a conflict of interest there and someone else should be appointed to handle this matter? Attorney General Holder. I am not sure I understand. That somebody other than the deputy should be handling this? Mr. Marino. Yes, as far as the investigation is concerned. Attorney General Holder. I see what you mean. Okay. Well, I made the determination and was criticized at the time for making the determination that the prosecutors at the U.S. attorneys in Maryland and the District of Columbia could handle these cases in a fair and appropriate way. Mr. Marino. I will be the last guy to criticize you about a U.S. attorney handling a case no matter where he or she is. Being one, I know the caliber of people that work at Justice. So be that as it may, I see my time has expired. Thank you. Attorney General Holder. Thank you. Mr. Goodlatte. The Chair thanks the gentleman, and recognizes the gentleman from New York, Mr. Jeffries, for 5 minutes. Mr. Jeffries. Mr. Chairman, thank you, and, Mr. Attorney General, thank you for your testimony here today, and thank you for your great service to this country. Let me just first note for the record my concern as it relates to the AP matter that, one, the subpoenas that were issued appear to be overly broad in scope, and hopefully that is something that the investigation that takes place will examine with close scrutiny. And second, that I think as many of my colleagues have expressed, I am also troubled by the fact that the negotiation or consultation with the AP did not occur in advance of the decision to issue the subpoena, and hopefully, again, that will be covered. You mentioned earlier today in your testimony that racial and ethnical profiling is not good law enforcement. I appreciate that observation. As you know, in New York City we are grappling with a very aggressive stop and frisk program being administered by the NYPD where many of us are concerned that African-Americans and Latinos are being racially profiled in the context of these stop and frisk encounters. As you may know, more than 3 million stop, question, and frisk encounters have occurred in the City of New York over the last decade. And approximately 90 percent of those individuals, more than 3 million stop, question, and frisk encounters are Black and Latino citizens of the City of New York. Are you familiar with that fact? Attorney General Holder. Yes. Mr. Jeffries. And I think you are also familiar with the fact that according to the NYPD's own statistics, approximately 90 percent of the individuals who possibly had their Fourth Amendment rights violated because they were stopped, questioned, and frisked without reasonable suspicion or any basis to conclude that they presented a danger to anyone else, approximately 90 percent of these individuals did nothing wrong. According to the NYPD's statistics, no gun, no drugs, no weapon, no contraband, no basis for the arrest or the encounter whatsoever. Are you familiar with that statistic as well? Attorney General Holder. I have read that. I do not know about the accuracy, but I have certainly read that. Mr. Jeffries. Okay. Well, that is the NYPD's own statistics. Now, you participated in a meeting graciously--I was not involved at the time--last year on June 7 with Members of the Congressional Black Caucus who were from New York City, as well as elected officials from many of the communities that were impacted. And we are thankful that you granted that meeting. At that meeting, there was a request that was made that the Justice Department look into what we believe is systematic racial profiling in violations of the Fourth Amendment that has taken place in New York City as a result of the aggressive stop and frisk program. Almost a year has passed since that meeting took place. Have you come to a conclusion as to whether it is appropriate for the Justice Department to look into the matter? Attorney General Holder. We have not reached any final determinations, but this is something that is under review at the Justice Department. I hope that we will be able to move this along. I know there is a civil suit from which a lot of information is coming out. But it is something, as I think I said then, that we were prepared to look at, and something that, in fact, we are examining. Mr. Jeffries. Okay. And as we approach the 1-year anniversary of that meeting, I would hope that we can come to an expedited conclusion. But I appreciate the deliberateness and the care with which, and the sensitivity taken toward this matter. I want to turn briefly to the IRS issue. Now, in 2004, George Bush was the President, is that right? Attorney General Holder. Yes. Mr. Jeffries. And he was in the midst of a very competitive reelection, correct? Attorney General Holder. Yeah, I guess. Mr. Jeffries. Okay. And in 2004, it was revealed that the IRS went after the NAACP for alleged political activity in violation of its status as a not-for-profit organization. Are you familiar with that fact? Attorney General Holder. Yeah, I remember that. Mr. Jeffries. Okay. And it was subsequently uncovered that they had done nothing wrong, but what was also determined as a result of a FOIA request by the NAACP was that seven Members of the United States Congress on the other side of the aisle had written letters to the IRS requesting that the IRS investigate the NAACP. Are you aware of that fact? Attorney General Holder. I do not remember that, no. Mr. Jeffries. Now, was a criminal investigation ever launched in connection with the alleged political interference that took place leading to an unsubstantiated investigation of the NAACP? I know you were not at Justice at the time. Attorney General Holder. I do not believe so, but I am not sure. Mr. Jeffries. Okay. But I am thankful that you have taken the step to launch an investigation into similar allegations of alleged political interference, albeit not by Members of Congress, and we look forward to the results of that inquiry. Attorney General Holder. Okay, thank you. Mr. Goodlatte. The time of the gentleman has expired. The Chair recognizes the gentleman from South Carolina, the Chairman of the Immigration and Border Security Subcommittee, Mr. Gowdy, for 5 minutes. Mr. Gowdy. Thank you, Mr. Chairman. Good afternoon, Mr. Attorney General. Attorney General Holder. Good afternoon. Mr. Gowdy. Do you think it is reasonable to evaluate how effectively prosecutors and law enforcement are using current firearm statutes as we debate whether or not we need additional firearm statutes? Attorney General Holder. Sure, that ought to be a factor, but I think we are using the laws effectively. Mr. Gowdy. Well, I would have to take your word for it for this reason. I wrote you 6 months ago and asked for statistics specifically on two Code sections, 922(d) and 922(g), which deal, as you know, specifically with the possession or transfer of firearms by those who have been adjudicated mentally defective or committed to mental institutions. I wrote that letter in December. Thinking that being a low-level House Member was not enough to garner any attention, I then got a senator to co-sign the exact same letter with me, and we have not heard back yet. So you agree that it is relevant how effectively those Code sections are being prosecuted as we evaluate whether or not we need additional tools. Attorney General Holder. Excuse me. I think we should take into account what we are doing in terms of weapons prosecutions. One-seventh of all the cases that we bring in the Federal system are gun cases. Mr. Gowdy. What percentage of current background check failures are prosecuted? Attorney General Holder. A much smaller number. There were 83,000 background check failures in Fiscal Year 2012. There were 85,000 cases brought. A much smaller number of those failures were actually brought. The purpose of the background check system, though, is to prevent people from acquiring guns. 1.5 million have been stopped since the beginning of this system, as opposed to the prosecution. And that is why---- Mr. Gowdy. I understand that, Mr. Attorney General. I also understand a little something about a lack of jury appeal. I know certain cases do not have tremendous jury appeal. But when you are advocating for increased background checks, and it can be argued that you are not a good steward of the current background check laws that you have, I just frankly think it undercuts the argument. But reasonable minds can differ on that, I suppose. I do not think reasonable minds can differ on 922(d) and 922(g), which deal with people--these are not my words, it is in the statute--been adjudged mentally defective or committed to a mental institution. If you want to search for a theme throughout lots of our mass killings, I think we will find that theme. I want to read to you a quote that has been attributed to you. If the quote is inaccurate, I want to give you a chance to tell me it is inaccurate. I am not going to read the whole thing. ``Creating a pathway to earned citizenship for the 11 million unauthorized immigrants in this country is essential. This is a matter of civil and human rights.'' Is that an accurate quote? Attorney General Holder. Yeah, I think that is a speech I gave at the Anti-Defamation League. Mr. Gowdy. All right. You would agree with me that persons who cannot pass background checks should not have the civil right, as you call it, of citizenship. Attorney General Holder. Well, as I used that phrase, I did not use it in the strictly legal sense. Mr. Gowdy. But, Mr. Attorney General, with all due respect, that is the problem with using the phrase. I mean, you are a highly trained lawyer, and you know what the phrase ``civil right'' means. And when you say that you have a civil right to citizenship when you have broken the laws to come to the country, that comment has consequences. And surely you have to know that. Attorney General Holder. Well, with all due respect, it was my speech, and they were the words that I chose. And I did not mean to convey, and I did not think that it would be taken that way. Some have said that, many have not, that that meant that there was a legal right or anything like that. It was in the context of that phrase where I said civil and, I think, human right. I think that is the word that I used there. Mr. Gowdy. Right. But you can understand how it is problematic for those of us, frankly, who are working on immigration reform and do not come from districts where it is a really popular political idea to have the Attorney General say you have a civil and human right to citizenship, even though you are in the country in violation of our laws. That is a non sequiter. And it is hard for some of us to explain that. So I do not know what you meant, I just know what you said. Attorney General Holder. Yeah, and what I meant was that you have 11 million undocumented people here who are, we must admit, contributing to this country in substantial ways, but oftentimes are exploited because they are in that undocumented status. And we have to deal with the---- Mr. Gowdy. But, Mr. Attorney General, my point is all 11 million are not valedictorians, which is why every bill has a background check provision. And all 11 million do not want citizenship. So to call it a human and civil right, speaking for a broad group of 11 million, with all due respect, it is just not helpful to those of us who are trying to be part of the conversation. Attorney General Holder. And I did not mean to say by that all 11 million either want to be citizens, you are right, or will ultimately as the bills have been crafted, and I think appropriately so, will pass the necessary background checks. I am talking about the universe of people who we have generally accepted as 11 million. And from that 11 million, and I suspect it is going to be a large portion of that 11 million, will pass background checks, will desire to become citizens, and then will be entitled to the human rights that all Americans have after they go through that period that allows them to acquire citizenship, along that pathway. Mr. Gowdy. I am out of time, Mr. Chairman. Mr. Goodlatte. The Chair thanks the gentleman, and now recognizes the gentleman from Idaho, Mr. Labrador, for 5 minutes. Mr. Labrador. Good afternoon, Mr. Attorney General. One of your favorite phrases during this hearing and in many other hearings where I have heard you is ``ongoing criminal investigations.'' I also have heard you several times talk about best practices and proprieties. When you decided to recuse yourself, did you look at best practices? I think you admitted already that it would have been probably a better practice for you to put in writing. But there is already a statute, 28 U.S.C. Section 591, that requires to put in writing your reasons for recusal in certain circumstances. Frankly, I have read it a couple of times. I do not know if it applied to your situation right now. But do you not think it would have been the best practice for you to just put it in writing, especially when you are talking about an issue of such significance? Attorney General Holder. Well, as I said, and as I have thought about it even during the course of this last couple of hours, that I think that I am going to go back and actually think about whether or not there is some kind of policy that I should put in place, examine how often recusals have happened in writing as opposed to orally. And I think that the better practice, as I said, frankly, I think we probably ought to put them in place. Mr. Labrador. And I think you should look at whether 28 U.S.C. 591--again, I do not if that applies to you, but you should really look at whether that applies to you or not or whether there is any other law that would have required you to. Attorney General Holder. Well, there are two things on my to do list here. Mr. Labrador. Okay. The second thing I want to talk about is, we already discussed the targeting by the IRS, admitting that they targeted conservative groups. Will you state today under oath that the Department of Justice under your watch has not targeted conservative groups for prosecution for political reasons or to gain political advantage? Attorney General Holder. Not to my knowledge. I have no knowledge that has ever occurred. Mr. Labrador. Do you know if the IRS leaked tax information related to Mitt Romney during the Republicans presidential primary or general campaign? Attorney General Holder. I do not know. Mr. Labrador. And if you do not know, will you attempt to find out in your investigation? Attorney General Holder. I am not sure I have a predicate for that. I will be honest with you, I do not just remember that. Mr. Labrador. There were several claims during the campaign that there was personal information from Mitt Romney's tax records that were being leaked to the press, and I just want to know if the IRS was the one leaking that information. We also know that some of Mitt Romney's top donors were targeted by the IRS and the Labor Department, including a gentleman from Idaho. So if you could look at that as well, why it was that specifically people who were giving who were some of Romney's top campaign donors, that were actually, immediately after they became public about how much money they had donated, that all of a sudden the IRS and the Labor Department was looking at them. And I have an important question. We have heard about numerous groups that were targeted that were conservative groups. Can you tell me whether Obama For America, Organizing for America, Occupy Wall Street, or any other progressive group has been targeted in the last 3 to 4 years by the IRS? Attorney General Holder. We are at the beginning of the investigation, so I do not know what, if any groups, were targeted. All I know is what I have read about in the press. I am not in a position to say--we are at the beginning stages of this investigation--which groups might have been inappropriately looked at. Mr. Labrador. Can you find out if it was only conservative, because I think this is important. I think it is rather strange that it is only one group, a political group, but not the other kind of political group. Can you find out for our Committee whether that---- Attorney General Holder. Well, I mean, the investigation would be designed to find out which groups were looked at, make sure that if they were looked at, it was done on an appropriate basis, and if it was inappropriate, then to hold people accountable. And that will be done regardless of whether or not they are conservative or liberal, Republican leaning, or Democratic leaning. Mr. Labrador. And if you find out that they were only conservative, can you find out why it was that only conservative groups were targeted? Attorney General Holder. Yeah. Mr. Labrador. Now, I am going to read to you a quote that you stated about your contempt of Congress from last year. In February of this year you said, ``I have to tell you that for me to really be affected by what happened,'' meaning the contempt of Congress, ``I have to have respect for the people who voted in that way. And I didn't, so it didn't have that huge an impact on me.'' Do you not think that quote shows contempt for the Republican Members of Congress that are here that voted for this? And there were actually some Democratic Members who also voted for contempt? Attorney General Holder. Well, I have to say that the process that we went through, or that you all went through, in making that contempt determination seemed inconsistent with both prior practice, and also consistent with not taking into account the good faith attempts that we were making to try to share the information that was sought. And I also thought that it was telling that when the NRA decided to score that vote, what was the NRA? What was the involvement of the NRA in that vote at all? It seemed to me then that this was something that was not about me, not about--well, it was about me, but it was about things beyond just the exchange of documents. It was an attempt by certain people to get at this Attorney General. And that is why I said that with regard to that process, I simply did not and do not have respect for it. Mr. Labrador. But you said you did not have respect for the people who voted. And I think that same contempt may have led also to people in this Administration thinking that they could go after conservatives and conservative groups. Thank you. I yield back. Attorney General Holder. I am not the cause of people in the IRS doing things that might have been illegal. I will not take that---- Mr. Labrador. No, no, I am not accusing you of that. I am just saying that maybe that same statement emboldened people to think that they could also go after other conservative groups. Thank you very much. Mr. Goodlatte. The Chair thanks the gentleman, and yields to the gentleman from Michigan for a unanimous consent request. Mr. Conyers. Mr. Chairman, I ask unanimous consent to insert into our record the statement of the Lawyers Committee for Civil Rights Under Law. Mr. Goodlatte. Without objection, the document will be made a part of the record. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Conyers. Thank you. Mr. Goodlatte. And the Chair would ask unanimous consent that a letter sent to Attorney General Holder on November 13, 2012, pertinent to the investigation of the matter involving former CIA Director David Petraeus, signed by former Chairman Lamar Smith, and containing 15 questions, which to our knowledge and to the knowledge of former Chairman Smith, have never been answered. And we would ask the Attorney General to, again, answer them. But we will put those as a part of the record and resubmit them to you, General Holder. They were pertinent to this hearing, and I think the answers to those questions would be of interest to the Members of the Committee. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Goodlatte. The gentlewoman from Texas has a unanimous consent request? Ms. Jackson Lee. I do, Mr. Chairman. I was happy to wait until the end of the session. Are you---- Mr. Goodlatte. If you would like to do it now, we can. Otherwise, we will go to Mr. Farenthold. Ms. Jackson Lee. I will let Mr. Farenthold---- Mr. Goodlatte. Very well. The Chair recognizes the gentleman from Texas, Mr. Farenthold, for 5 minutes. Mr. Farenthold. Thank you, Mr. Chairman. I am batting cleanup here, and I would like to express my appreciation for Mr. Holder for sticking with us so long. I have got a big stack of questions, so if you would keep your answers as short as possible, I would appreciate it. And I think we have covered a lot about the IRS and your investigation. I think Judge Poe did a really, really good job. I am appalled by what happened. I was appalled when the Nixon Administration did it, and I am appalled when it is happening under this Administration. I am a little concerned, you said you had marked Mr. Poe down as not a fan of government. I hope he has his taxes in order. On the DoJ website, you all say the Department has demonstrated its historic commitment to transparency, and upon taking office, President Obama directed the Department of Justice with a clear presumption in the face of doubt, openness prevails. And on March 19th, you called for greater government transparency in the new era of open government. Yet we had the result of contempt of Congress. You, I think, called Chairman Issa shameless. I would like to offer you the opportunity to just give us the stuff we are asking for and be consistent with that transparency. Would you please just do it and make it easier for all of us? Attorney General Holder. We have been in good faith negotiations. We went through mediation that the House Republicans, as I remember, did not want to do. We have tried to find ways in which we could share the requested information---- Mr. Farenthold. We need the information, and we want to protect it. But I do have a lot of questions, so I am going to go on. Let us move onto the Justice Department's action with respect to the Associated Press. Do you think the massive intrusion of freedom of the press could cause an intimidating and chilling effect on whistleblowers and confidential sources? And what do you think of today's New York Times editorial that says these tactics will not scare us or the AP, but they could reveal sources and frighten confidential contacts vital to the coverage of government. Attorney General Holder. Again, I will answer the question, but separate and apart from the ongoing investigation. The Justice Department does not want its actions chill sources, have a negative impact on the news gathering abilities of newspapers, television, stations---- Mr. Farenthold. You would admit it offends you as an American that we are targeting the media in such a broad fashion. Would that be a fair statement? Attorney General Holder. Well, I am not going to, again, comment on an investigation that I am---- Mr. Farenthold. Okay. In a hypothetical situation, we are going to go after and subpoena hundreds of phone records for journalists. I mean, just does that offend you as an American? Attorney General Holder. It would depend on the facts. You would have to know what the facts were and why the actions were taken---- Mr. Farenthold. So you stated earlier that you recused yourself from this because you were questioned about this investigation. So as part of that investigation, are you aware if any of your telephones were tapped or telephone records were subpoenaed? I mean, you were subject to that investigation as well. Attorney General Holder. There were, yes. Some of my telephone records were examined. Mr. Farenthold. Okay. And other Administrations as well. I guess my question is, it seems to me the media ought to be the last resort. Did they subpoena them, or did you voluntarily turn them over, the phone records? Attorney General Holder. I am not even sure I remember. I think I probably voluntarily turned them over? I voluntarily turned them over. Mr. Farenthold. All right. There is a difference obviously then between subpoena. All right. And let us go to Benghazi for a second. Gregory Hicks, the former Chief of Mission in Libya, testified before the Government Oversight and Reform Committee that as a result of the appearance of Susan Rice on various talk shows, that the President of Libya was offended and delayed the FBI's access to the consulate in Benghazi by 17 days. Do you think this would have a negative effect on the FBI's investigation and ability to get to the bottom of what happened in Benghazi? Attorney General Holder. I am satisfied with the progress that we have made in the investigation regardless of what happened previously. We have made very, very, very---- Mr. Farenthold. But not having access to an unsecured crime scene for 17 days, that is bound to have had a negative impact? Attorney General Holder. It has not had a negative impact on this investigation. Mr. Farenthold. All right. There was a story today that Media Matters issued a defense of the Justice Department's use of these subpoenas for telephone--are you all regularly still consulting with Media Matters for spinning your PR stories? We talked about that in an Oversight and Government Reform hearing last year. Attorney General Holder. I'm not sure I know what you're talking about. Mr. Farenthold. All right. And then, finally, I see I am out of time. I don't want to break the rules. So thank you very much. Mr. Issa. Mr. Chairman? Mr. Chairman? Mr. Goodlatte. Oh, yes? Mr. Issa. If I could just place, because of what the Attorney General said, in the record House Republicans did not object to mediation. The Attorney General's, the Government's position was that the judge did not have--and still position is did not have the ability to adjudicate this dispute at all, and we said it was premature to talk about settlement as to the actual document request until she made a determination that she would and could decide. Mr. Conyers. Mr. Chairman? Mr. Issa. And that remains the House---- Mr. Conyers. Could we have regular order? We are short of time now. With all due respect to the distinguished Chairman. Mr. Issa. I just think that a case under--that affects the House and its ability to do its business needed to be properly defined. I thank the Chairman. Mr. Goodlatte. I think that is now part of the record, and both gentlemen's points are well taken. Attorney General Holder. Well, let me just say this. There was information that I just shared, but I perhaps should not have. This was apparently something that the judge shared. Well, all right. Let me just stop there. Mr. Goodlatte. The Chair now recognizes the gentleman from North Carolina, Mr. Holding, for 5 minutes. Mr. Holding. General Holder, it is good to see you. During my tenure in the United States attorney's office, I served with four Attorney Generals, including yourself, and during the 2 years that our service overlapped, I always felt you were very supportive to our mission in North Carolina and to the law enforcement community. I was somewhat surprised, taking you back about 2\1/2\ hours ago, you mentioned that you spoke to the chief district judges here in Washington, and you gave a speech. And in your comments, you criticized the length of Federal prison sentences that were being handed out in some instances. And although I don't have a text of the speech, maybe you could provide that text. I did see that in April, you made similar remarks to the National Action Network. Specifically, you stated that too many people will go to too many prisons for far too long for no good law enforcement reason and that sentences too often bear no relation to the conduct at issue, breed disrespect for the system, and are ultimately counterproductive. Now, candidly, I would expect to hear those remarks more from maybe the chief Federal public defender rather than the chief Federal law enforcement officer. And for the thousands of cases that went through the Eastern District of North Carolina when I was there, I can think of none that got a prison sentence that was too long. So if you could elaborate just a bit on which criminals are you referring to that are getting too long of a prison sentence in the Federal system? Attorney General Holder. Yes, I view my responsibility as larger than simply being the chief prosecutor. It seems to me that an Attorney General--and not just me, the office of the Attorney General has a responsibility to the system. And the observations or the comments that I made in that National Action Network speech, I don't--with regard to the judges, I don't have a text. That was extemporaneous. Are what I feel, that if you look at particularly people who got sentenced to long prison sentences in drug cases that are more a function of the weight that was involved in a drug case, as opposed to that person's role in the drug scheme. I think Judge Gleason is his name, in New York, has made the same observation, and I think that, you know, these mandatory minimum sentences that we--that we see, particularly in drugs, particularly when it comes to drugs, I think are unnecessarily long and don't actually go to the purposes of sentencing, that is deterrence and rehabilitation. Mr. Holding. But General Holder, you know as well as I do that by the time a defendant ends up in Federal court, they usually have been through the State process numerous times. Attorney General Holder. Well, that's not always the case. Mr. Holding. It's predominantly the case that they will have been through the State system numerous times. And I think particularly in light of prosecuting felons in possession of a firearm. In the Eastern District of North Carolina in 2002, we prosecuted approximately 50 of those cases. We ramped them up to about 300 a year and consistently did 300 a year, average prison sentences of approximately 10 years. These are cases which you can do in large numbers and have significant impact not only with prison sentences, but with deterrent value as well. And I am concerned that the Department of Justice under this Administration has slacked off on making that a priority, of prosecuting felons in possession of firearms. And I am concerned that the numbers are falling, and I know that this Committee has asked to get specific numbers of 922, 924 cases, and I don't understand why it is taking so long to get them. Because unless you have changed the software in the last 20 months since I was a sitting U.S. attorney, you can have those statistics in a matter of minutes by culling them through the line system. So are the numbers falling, and will you please produce the numbers to the Committee as soon as you can? Attorney General Holder. We'll provide you with those numbers, but there has not been a policy decision to deemphasize those cases. I actually think that when it comes to the use of mandatory minimums that felon in possession cases, that's actually a place where mandatory minimums are appropriate. Mr. Holding. Are the priorities--prosecution priorities of the Department of Justice under review right now? Attorney General Holder. With regard to the gun cases? Mr. Holding. All the priorities of prosecutions in the Department of Justice, are the U.S. attorneys putting those under review right now through the AGAC? Attorney General Holder. Yes, I have a working group working with the AGAC to look at our prosecution priorities, yes. Mr. Holding. And will you keep the Committee apprised of what you determine that the priorities ought to be at the Department of Justice for prosecution? Attorney General Holder. I'd be more than glad to have a dialogue with the Committee in that regard. Mr. Holding. Thank you. I yield back. Mr. Goodlatte. The Chair thanks the gentleman and recognizes the gentleman from Georgia, Mr. Collins, for 5 minutes. Mr. Collins. Thank you, Mr. Chairman. I appreciate you being here, Mr. Attorney General. It is the first time you and I have had a chance to talk. I have listened here. One of the advantages of being on the bottom row here, you get to hear everybody else ask questions and also hear your answers. And I think your answers today to me have been enlightening in some ways and very discouraging in others. And I think some of it is you have said on several times, and I will go back to some of your statements today. You made a quote when you were quoting I believe then- President Clinton, talking about the era of big government is over and a good government will endure. I think the problem that I have here is that I agree with you. Good government should be a limited form of government. And I think what we have seen over the past week or so has really shook the foundations again of discussing this issue of limited government. When we understand this, and especially in your agency right now, as we look at this, you have said on a couple of occasions. I marked it down. You may have said it more, if you did. So you started about the role of the executive. That is the role of the executive. That is what we are supposed to be doing. Is that a fair statement that you said that on several times today? Attorney General Holder. Yes, I said that, but I think I was saying that in reference to who in the Government ought to be deciding matters---- Mr. Collins. I understand. It is the role of the executive. Correct? But there is a role for Congress. Correct? Attorney General Holder. Absolutely. Mr. Collins. And that is why you are here today. Attorney General Holder. Absolutely. Mr. Collins. Because this Committee has oversight over your department. Correct? Attorney General Holder. I didn't show up here because I really wanted to. Mr. Collins. Well, that has been---- [Laughter.] And that has been painfully obvious in some of the ways you have answered some of the questions. So, I mean, as we come by here, the problem is, though, is that is the checks and balances. Attorney General Holder. Absolutely. Mr. Collins. Sure it is. That you come here, you answer questions, and we are the constitutional oversight, to have oversight, budgetary control and oversight of what goes on and ask these questions. And these are not asking questions from up here--at least from my perspective, as I have made comment before. The people of north Georgia in the Ninth District in which I am from, many times they just want the truth. And they are frustrated right now that they don't get the truth, and they keep hearing other issues that come up on threatening to them and the very sanctity of what they believe, whether it be the IRS or the issues with the reporters or a litany of issues we have talked about today. The question that I have is this being the Committee in which is oversight that you need--that you come to, and this will be maybe the first but probably not the only time we will talk in this capacity, is it concerns me the lack of preparation or at least perceived lack of preparation which you come here today. And Ms. Lofgren from across the aisle made a statement about did you put it in writing? And we have had this discussion about your recusal, and your answer to that was that ``I don't think I put it in writing. I am not sure.'' Did you not think those questions were going to be asked of you today? That when you recused yourself from this, when you were actually--did you just honestly think those would not be asked today? Attorney General Holder. I didn't think about whether or not you were going to ask me that question at--one way or the other, but I wanted to---- Mr. Collins. You are kidding me? You come to this Committee today with these issues like they are right now---- Attorney General Holder. Would you let me finish, Congressman? What I said--what I was going to say was that I asked my own people whether or not---- Mr. Collins. Mr. Attorney General? Mr. Attorney General, I reclaim my time for just a second. Attorney General Holder [continuing]. There was a written-- -- Mr. Conyers. Mr. Chairman? Mr. Richmond. Mr. Chairman, can you state your ruling again on who controls the time? Mr. Goodlatte. The time is controlled by the gentleman from Georgia. Attorney General Holder. He can have extra time. Let me just answer the question. Mr. Collins. Mr. Attorney General, you don't control the time here. Attorney General Holder. I'm willing to give--okay. That's fine. Mr. Collins. My question is this. As I come back to this, did you not honestly---- Mr. Conyers. Mr. Chairman, could the witness have a chance---- Mr. Goodlatte. The witness will have a full opportunity to respond, but the gentleman from Georgia has the opportunity first to ask his question. Mr. Richmond. Mr. Chairman, just to make a point. The Attorney General stayed here extra time to make sure that everyone had a chance to ask their question. Considering the fact that he is still here past his time, why can't he answer the question that is posed to him? Mr. Goodlatte. He will get an opportunity to answer the question just as soon as Mr. Collins finishes posing his question, and we will give him extra time after Mr. Collins' time has expired, just as we have done for the Attorney General on several occasions. Ms. Jackson Lee. Mr. Chairman, may I just a moment? I would appreciate it. I know that some of us have deep bass-like voices, might sound that we are not being friendly and happy. But I would appreciate a little civility in the questioning of the Attorney General as we proceed to the conclusion. I yield back. Mr. Goodlatte. The gentleman from Georgia may proceed. Mr. Collins. I thank you, Mr. Chairman. And I will pose it. I just have just a simple question. It was amazing to me that the question was did you not think that you would be asked about maybe the timeline on when you might have recused yourself because you also said at one point you recused yourself before subpoenas. Or there was some question even in your own dialogue about when you actually did this. So I am just asking a simple question, as the others on the other side, they got to ask their questions. I am now asking mine. Did you not think that someone on this panel would have asked you those questions? Attorney General Holder. I did not know whether anybody would ask me that question. But irrespective of that, I thought that was an important factor, an important fact, and it was one of the reasons why I asked my staff to find out, irrespective of what was going to happen up here today, whether or not there was in writing a recusal. I asked that question myself, thinking that it was an important question. I did not know. I don't know what you all are going to ask me. So that's why I was saying I didn't know whether or not you were going to ask the question. But I thought it was an important one and one that I put to my staff. Mr. Collins. In light of the impartation of my time, I do have one question on that regard. Have you recused yourself--in using your recusal, have you put that in writing before? Attorney General Holder. I'm not sure about that. In Mr. Holding's case, the Edwards case, I recused myself in that matter. I've recused myself in other cases because my law firm, my former law firm was involved in those cases. I'm not sure that those are in writing, but I do think, as has been raised--I don't remember what congressman--that putting these things in writing would--I think might be the better practice. Mr. Collins. Mr. Attorney General, I appreciate your answers to the question. And this is an issue that needs to be dealt with. It is just amazing, again, as you have stated, there is a role of the executive. And there is a role of---- Mr. Richmond. Mr. Chairman, point of order. Is that light red right there? Mr. Goodlatte. The gentleman's time was interrupted considerably by a debate over whether or not he was entitled to ask his question. So he can complete this question, and the Attorney General can answer it. Mr. Collins. And I did not interrupt the gentleman from Louisiana in his questions. So I would just appreciate the opportunity to close, and the opportunity to close is I appreciate your answers. We are going to ask more of these questions, and these are the roles that we both, in your role and our role, play. And with that, Mr. Chairman, I yield back. Attorney General Holder. Well, that's fine. And look, I respect the oversight role that Congress plays. This isn't always a pleasant experience. It's one that I recognize that you go through as an executive branch officer. The one thing I've tried to do is always be respectful of the people who've asked me questions. I don't, frankly, think I've always been treated with a great deal of respect, and it's not even a personal thing. If you don't like me, that's one thing. But I am the Attorney General of the United States, and this is the first time you and I have met. So I'm certainly not referring to you or any of the questions you've just asked. But I think that is something that is emblematic of the problem that we have in Washington nowadays. There's almost a toxic partisan atmosphere here where basic role--levels of civility simply don't exist. We can have really serious partisan fights, disagreements about a whole variety of things, but I think people should have the ability, especially in this context, to treat one another with respect. I've tried to do that. Maybe I've not always been successful, but I certainly know that I have not been treated in that way all the time. Mr. Goodlatte. The time of the gentleman has expired. The Chair recognizes the gentleman from Florida, Mr. DeSantis, for 5 minutes. Mr. DeSantis. Thank you, Mr. Chairman. Mr. Attorney General, I am going to talk about credibility and accountability because I think this is kind of something that is underneath all of these issues we have been dealing with. And as I understand your testimony today with this AP case, something that bothers me is that by your own admission, this is one of the most serious leak cases in the past 40 years. Your comments yesterday, you said it put the American people at risk. And yet, as you testified today, you don't know when you recused yourself. You have no record of you recusing yourself, and you didn't tell the White House that you recused yourself. And that bothers me because that explanation, one, I think is insufficient and, two, it insulates you and it insulates the President from any accountability about what happened. So is this really the best you can do in terms of explaining what you did for one of the most serious cases that you have ever seen in your professional life? Attorney General Holder. As I said, with regard to the question of how recusals are memorialized, I think a written response would make a great deal of sense. But the notion that I would share with the White House information about an ongoing criminal investigation is simply not something that I, as Attorney General, unless there is some kind of national security--serious, serious national---- Mr. DeSantis. Which there was. By your own admission, it put the American people at risk. Correct? Attorney General Holder. But we are talking about a limited group of people who had access to this information, some of whom were in the White House. And so, the notion that I would share that information with the White House, I didn't share this information with people in the Justice Department. I mean, it was---- Mr. DeSantis. But the people in the Justice Department, with all due respect, are not responsible for protecting the American people. The President is. So we just have a disagreement on that. Now in terms of---- Attorney General Holder. No, the Justice Department, we are responsible for protecting the American people. Mr. DeSantis. The buck stops with the President in terms of a serious risk to the American people. I understand they have duties to enforce the law. They are important duties. But ultimately, the President is who we rely on. Now in terms of with this Internal Revenue Service issue. Do you agree--I mean, you are the head lawyer in the entire country and your office, you are, due respect for your office. Do you acknowledge that the IRS is a part of the Treasury Department, and it is accountable to the President and that it is not an independent agency? Attorney General Holder. Technically, I don't know. I've heard that it's an independent agency. There is some kind of reporting responsibility within Treasury. Exactly how that is defined, I don't know. Mr. DeSantis. You have been in law for 40 years. You're one of the most accomplished in terms of the positions you have had, and you don't know whether the IRS is a part of Treasury, whether the IRS Commissioner is responsible to the President, or whether it is considered an independent agency? You really don't know the difference between those? Attorney General Holder. I didn't say that. I said the IRS, as I understand it, is a part of the Treasury Department. The IRS Commissioner is independent, but is appointed by the President to a fixed term. Mr. DeSantis. And can be removed at the will of the President, correct, per Federal statutes? Attorney General Holder. All executive branch employees can be removed by the President. Mr. DeSantis. Okay. So then it is not an independent agency, right? Is it--can we just understand what it is? Attorney General Holder. I'm not sure where you're going with this question. If you're trying to put what the IRS did into the White House, that's not going to work. Mr. DeSantis. No, is it an independent agency? Yes or no. Attorney General Holder. It is an independent agency that operates within the executive branch. Mr. DeSantis. Well, that is completely begging the question. See, the President and his press secretary have said---- Attorney General Holder. No, that's an accurate answer. Mr. DeSantis [continuing]. That it is an independent agency, that it is outside the purview of the executive branch. And my point is, yes, maybe the President is not micromanaging every decision, but that IRS Commissioner is accountable to the President, and the President can remove that individual. If the agency was truly independent, then the President would not have that authority to remove that individual. And so, I think we need to be clear when we are making statements, and you haven't made that statement before today. But the White House press secretary and the President did, and I just don't think it was accurate. One more thing, with these Benghazi---- Attorney General Holder. Was there a question? Do you have a question? Okay. I'm sorry. Go ahead. Mr. DeSantis. With Benghazi terrorists, I know nobody has really been brought to justice for this. I know the FBI was over there investigating. At this point in time, is this your purview to bring those people to justice, or is it a military issue? Who is in charge of exacting justice for the terrorists who killed four Americans? Attorney General Holder. It's my responsibility. It's ultimately, I think, my responsibility. And I mean, it's now, what, 5--7 minutes after 5 p.m. on whatever today's date is. And as of this date, this time, I am confident and proud of the work that we have done in determining who was responsible for the killings in Benghazi. Mr. DeSantis. But there has not been any action taken to bring them to justice? Attorney General Holder. None that I can talk about right now. Mr. DeSantis. Okay. Very well. Thank you, Mr. Attorney General. Mr. Chairman, I yield back the balance of my time. Attorney General Holder. Let me just say that in response, add to that last response, that because I'm not able to talk about it now does not mean that definitive, concrete action has not been taken. That should not be read that way. We have been aggressive. We have been--we have moved as quickly as we can, and we are in a good position with regard to that investigation. Mr. DeSantis. Could I just--5 seconds to follow up, Mr. Chairman? Mr. Goodlatte. The time of the gentleman has expired. Attorney General Holder. That is okay. That is okay. Mr. Goodlatte. The Attorney General is going to give you 5 seconds. Mr. DeSantis. Can you say whether the concrete action---- Attorney General Holder. He has to call me ``Mr. Chairman,'' though. Mr. DeSantis. Can you say whether the concrete action is law enforcement based or in terms of military based being a kinetic response? Attorney General Holder. I can say that within the purview of the things that we do in the Justice Department, definitive action has been taken. Mr. Goodlatte. Now the time of the gentleman has expired, and the Chair recognizes the gentlewoman from Texas for her unanimous consent request. Ms. Jackson Lee. Mr. Chairman, thank you for your courtesies. I am glad we are ending on a smiling note. I have three documents. My first document is AA--this is the title of it. AAG Perez Restores Integrity to the Voting Section. OIG Confirms Nonpartisan. Merit-Based Hiring Has Returned under AAG Tom Perez. I would ask unanimous consent to put that in the record. Mr. Goodlatte. Without objection. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Mr. Issa. I would reserve. We haven't seen these documents. Can the gentlelady make the documents available? Ms. Jackson Lee. I certainly will. The second document is Loving All Our Neighbors, Even Our Muslim Ones. The title is, ``Don't be so lazy to assume that the words of a group represents the entire group. They hardly ever do. Perhaps a better idea is to meet them, learn about them, and treat them as your neighbor.'' This is in USA Today, and the date is April 23, 2013. I ask unanimous consent to place in the record. Mr. Goodlatte. Without objection, so ordered. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Ms. Jackson Lee. And I am asking to place in the record a statement on Medicare prosecutions as relates to minority hospitals and separating out monies that are not tainted by the investigation to allow those hospitals to treat indigent minority patients. I ask unanimous consent. Mr. Goodlatte. Without objection, that will be made a part of the record. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Ms. Jackson Lee. I thank the gentleman for his courtesies, and I am smiling. Thank you very much. Mr. Goodlatte. The gentleman from California had reserved the right to object to the first request. So we are awaiting the gentleman's question and whether he is exercising his right to object. Mr. Issa. Yes, this is not public information, nor is it annotated. I would--I have no problem with the other two. Mr. Goodlatte. Well, the gentleman exercises his right to object to your---- Ms. Jackson Lee. Can I have an inquiry further for the individual? What is he indicating that it is not public information? The OIG report, as I understand it, is a public document. Mr. Issa. Yes, and certainly if you want to put actual portions of the OIG report in, that is fine. The record of accomplishments, which is the second page here, as the gentlelady would understand, if the gentlelady wants to put in things about how great Thomas Perez is, we are perfectly willing to say yes. And if the gentleman doesn't mind, my putting in the entire report on his quid pro quo, his false statements made to Congress, and the other companion information which is the fruit of Committee work. Mr. Goodlatte. Is that a unanimous consent request? Mr. Issa. It is. Ms. Jackson Lee. Then---- Mr. Goodlatte. Without objection, the gentlewoman's unanimous consent request will be granted.* --------------------------------------------------------------------------- *See page 116. --------------------------------------------------------------------------- And without objection, the gentleman from California's unanimous consent request will be---- [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Ms. Jackson Lee. And may I make--excuse me, Mr. Chairman. The gentleman was generous enough to say--and I thank the gentleman for his courtesies, he is generous enough to say that he had a report. We have a report, and we would ask unanimous consent for that report to be submitted as well. Mr. Goodlatte. Without objection, the report that the gentlewoman from Texas refers to will be made a part of the record. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] __________ Ms. Jackson Lee. And the report that the gentleman from California? Mr. Goodlatte. We have already covered that one. Ms. Jackson Lee. All right. That the gentleman has indicated an expanded report because he is putting in another report, Mr. Chairman? Mr. Goodlatte. Well, we are not putting in reports that don't exist. We are putting in reports that already exist. [Laughter.] Ms. Jackson Lee. No, this one exists. This one does exist. Mr. Goodlatte. And we have covered it. Ms. Jackson Lee. Thank you, Mr. Chairman. Mr. Goodlatte. Attorney General Holder, we thank you for the amount of time. As was noted by the gentleman from Louisiana, you spent more time than was requested. As you know, there is a lot of questions that Members have, and a lot of Members are not satisfied with all the answers. A number of questions are being submitted to you in writing. There are questions existing from previous correspondence that we would ask that you answer, and nothing would do more to show the respect that you referred to for this Committee than for you to answer those questions. And as Attorney General of the United States, I think it would reflect well on the respect that the Attorney General of the United States is entitled to, to see those questions entered, answered as a part of the separation of powers, operation of checks and balances that exist in the oversight responsibility of this Committee. I thank you again. Attorney General Holder. That's a fair point, Mr. Chairman. That's a fair point. Mr. Goodlatte. Without objection, all Members will have 5 legislative days to submit additional written questions for the witness or additional materials for the record, if we don't have enough already. This hearing is adjourned. [Whereupon, at 5:15 p.m., the Committee was adjourned.] A P P E N D I X ---------- Material Submitted for the Hearing Record Questions for the Record submitted to the Honorable Eric J. Holder, Jr., Attorney General, United States Department of Justice* --------------------------------------------------------------------------- *The Committee had not received a response to these questions at the time this hearing record was finalized and submitted for printing on November 22, 2013. [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]