Feral Jundi

Wednesday, December 21, 2011

Industry Talk: Siemens Government Technologies Appoints General Stanley McChrystal To Chair Board Of Directors

Congratulations to Siemens Government Technologies and to General McChrystal. Boy, this last year we have seen a lot of outstanding leaders move on to the private sector and that is great news.

As for this deal, I am not sure what SGT will be focusing in on specifically. Perhaps a representative can come up and fill in a few of those blanks? I noticed on the website that they will be partnering with Boeing for DoD Energy Modernization and I am sure that includes a whole range of technologies to get us more efficient and self reliant. In the video, it talks about energy security and the costs to DoD, and those are very important to the operational capability of today’s military. –Matt

 

Siemens Government Technologies, Inc. Appoints General Stanley McChrystal to Chair Board of Directors
Dec. 19, 2011
Siemens Government Technologies, Inc., the newly developed Federal business arm of Siemens in the U.S., has appointed three external board members to strengthen business activities as Siemens builds its presence in the Federal market. General Stanley McChrystal, former Commander of the U.S. and International Security Assistances Forces Afghanistan, will serve as Chairman of the Board. He will be joined by former U.S. Army Lieutenant General John Sylvester and retired Lockheed Martin and General Electric executive Robert Coutts who will serve as board members.
“Our newly appointed board members bring a wealth of experience in identifying the challenges of the Federal marketplace and knowing how to meet these needs,” said Judy Marks, President and CEO of Siemens Government Technologies, Inc. “Siemens has the capabilities to provide solutions to reduce energy consumption, increase efficiencies, offer sophisticated medical services for our nation’s warfighters and achieve infrastructure improvements as a key strategic partner for the Federal government.”

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Finance: Taxes For Contractors 2011, By Luke Fairfield CPA

These newsletters come out about this time every year and they are a wealth of information. Probably the big one here is Luke’s suggestion of setting up a S Corp. Especially with the increased scrutiny by the IRS on those who have been claiming the foreign income exclusion.

Check it out below and definitely email him and his team if you have questions or are looking for a CPA. As you can see, he is a busy guy and Luke has partnered with another CPA to keep up. I also put his newsletter in the blue bar up top under Taxes For Contractors if you need to find it again. –Matt

 

Greetings!

For all you ex-teams, ex-pats, ex special forces, security contractors and operators out there I hope this letter finds you well.  In an attempt to keep you current with your tax filings I am sending out this letter as a year end reminder that 2011 is almost over.  There are some important new tax law changes this year such as the foreign tax being withheld in Afghanistan and increased IRS scrutiny of the foreign income exclusion and on Schedule C filers which I will address below.  Feel free to pass this email on to anyone in your situation who could use the help or anyone that I missed on this email. As always, I will do my best to minimize your tax bill and provide relevant advice for your situation.

Important Updates for 2011:
1) Audits on the foreign income exclusion have greatly increased. Those of you filing a Schedule C as an IC seem to be of particular interest.  This is due to the IRS opening a new office specifically dealing with this type of tax return.  In a typical audit, you are asked to provide some or all of the following:
a. A letter from your employer stating your work location and job duties for the year.
b. Letter of Authorization from the DOD stating your qualification to work overseas.
c. Copy of your passport to include any visa stamps.
d. A schedule of days outside the US for the period in question.
e. A copy of receipts for expenses claimed as deductions.
f. A copy of your work contract.
g. If claiming bona fide residency, they want to know where you lived, for how long and if it was your intention to remain overseas for a certain period.
2) Based on these audits, I strongly recommend starting an S Corporation for anyone who is an IC getting a 1099.  This appears to greatly reduce audit risk.  Additionally, if you do not think you could provide the above information or prove your qualification think twice about claiming it as you will most likely incur a 10 – 20% penalty on the additional tax due.

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Monday, December 19, 2011

Cool Stuff: Hong Kong In Honduras

Filed under: Cool Stuff,Honduras — Tags: , , , — Matt @ 10:49 PM

Last, but not least, comes security. Private security firms will have to protect the population in the new cities. Honduras is one of the world’s more corrupt countries, in 129th place out of 183 in a survey of outsiders’ perceptions by Transparency International, a Berlin-based lobby group. It also has the region’s highest murder rate. The local police have a poor reputation. Last month 176 police officers were arrested in a corruption crackdown.

This is the part that I thought was most relevant. Because without security, business will not come to this Charter City. If they cannot trust the police or have to worry about being extorted all of the time, then that won’t work as well. Not to mention the cartels and their interest in the city. So private security or a private police force will be essential to making this work.

Over at the Charter Cities blog, here is their statement on security for this deal. RED stands for la Región Especial de Desarrollo.

Q: Will the RED rely exclusively on private security?
A: Though the RED has the option to make use of private security, policing services will not come exclusively or even primarily from private entities. The RED government will establish an independent police force and can use several public channels to ensure fair and effective policing, including the option of enlisting a trusted foreign police authority to train officers and hold police leadership accountable.

 Interesting stuff and I will keep an eye out on how this turns out. Who knows, maybe the RED will be the go to place for work in Central America, and this could turn into the next Hong Kong? –Matt

 

Hong Kong in Honduras
An ambitious development project aims to pull a Central American country out of its economic misery. Can it work?
Dec 10th 2011
TRUJILLO is a sleepy backwater, but one with a lot of history. The beautiful bay surrounded by lagoons and mountains on the northern coast of Honduras was where Christopher Columbus set foot on the American continent during his fourth voyage in 1502. But in a few decades, it might be known for something entirely different: being the Hong Kong of the West. Scores of skyscrapers and millions of people could one day surround the natural harbour. The new city could dominate Honduras, today one of the poorest and most crime-ridden countries in Central America, becoming a magnet for most of the region’s migrants.

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Sunday, December 18, 2011

Legal News: Congress Legalizes Cyber War

In language discussing the bill, conferees say that because there is no historical precedent for what constitutes traditional military activities in cyberspace, “it is necessary to affirm that such operations may be conducted pursuant to the same policy, principles and legal regimes that pertain to kinetic capabilities.”

This is big news, and historical. The rules and laws of kinetic war now apply to Cyber War, and this brings up all sorts of ideas. For example, will we see more Cyber Lance type activities?  Maybe a US special forces team combined with civilian hackers to locate and kill/capture enemy hackers or whomever?  Who knows, and who knows how these new rules will apply?

Perhaps we will see the same issues that have popped up for today’s modern wars. Especially with the hybrid of private and public forces in conflict. I say this, because the US does not have the monopoly on ‘hacking force’. If they want the best, they can try to develop that capability internally, but inevitably they will have to reach out to private companies or individuals that are experts in these fields and pay them to do it.

Here is one quote below that really perked me up. Check it out:

Since the military cannot afford to pay enough to recruit qualified software and Internet engineers for this sort of work, it has turned to commercial firms. There are already some out there, companies that are technically network security operations, but will also carry out offensive missions (often of questionable legality, but that has always been an aspect of the corporate security business.)
Some of these firms have quietly withdrawn from the Internet security business, gone dark, and apparently turned their efforts to the more lucrative task of creating Cyber War weapons for the Pentagon. It may have been one of these firms that created, or helped create, the Stuxnet worm.

I read this and thought, why not just fire up the Letter of Marque and Reprisal and give these firms the legal authority and protections necessary to take part in offensive operations?  The LoM is sitting right there in the War Powers clause in the US Constitution, and it just seems to me that we are missing the boat when it comes to doing this stuff. We could be legally authorizing the companies to steal funds and intellectual property from all sorts of enemies out there, and label these companies cyber privateers. (which if the military helped at all, would those commanders or the US be entitled to a cut? lol)

My other thought about all of this is when will we see a Cyber Weapon used in such a way as to actually kill like a real weapon?  And with this public/private partnership we will have, we could potentially see IT Security companies build these weapons, and possibly even launch it. Just imagine if Stuxnet actually caused deaths in some weapons plant or nuclear facility? That would definitely put the ‘War’ in Cyber War. Very interesting….-Matt 

 

America Legalizes Cyber War
December 18, 2011
The U.S. Congress approved a new law on December 14th that allows the Department of Defense to conduct offensive Cyber War operations in response to Cyber War attacks on the United States. That is, the U.S. military is now authorized to make war via the Internet. The new law stipulates that all the rules that apply to conventional war, also apply to Cyber War. This includes the international law of armed conflict (meant to prevent war crimes and horrid behavior in general) and the U.S. War Powers Resolution (which requires a U.S. president to get permission from Congress within 90 days of entering into a war).
The U.S. Department of Defense has long advocated going on the offensive against criminal gangs and foreign governments that seek (and often succeed) to penetrate U.S. government and military Internet security, and steal information, or sabotage operations. Over the past year, and without much fanfare, the Department of Defense has been making preparations to do just that.

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Funny Stuff: Mo’ Molle, Mo’ Problems, By EvikeTV

Filed under: Funny Stuff,Gear Review — Tags: , , , , — Matt @ 9:47 PM

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