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Postal Inspection Service and the OIG

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Postal Inspection Service and the OIG Semiannual Report on the Audit, Investigative, and Security Activities of the United States Postal Service October 1, 2008 – March 31, 2009 TABLE OF CONTENTS ASSESSING PROGRESS TOWARD STRATEGIC GOALS .......................... 1 Goal 1: Focusing on What Matters Most to Customers .................................................................................................... 1 Goal 2: Leveraging the Postal Service’s Strengths .......................................................................................................... 5 Goal 3: Embracing Change ........................................................................................................................................... 9 Regulatory Studies and Reporting Obligations .............................................................................................................. 11 Preserving Integrity .................................................................................................................................................... 13 INVESTIGATIONS ................................................................................. 16 Revenue and Asset Protection ..................................................................................................................................... 16 Injury Compensation Fraud ......................................................................................................................................... 19 Delay, Destruction, and Theft of Mail ........................................................................................................................... 20 Identity Theft .............................................................................................................................................................. 23 Mail Fraud ................................................................................................................................................................. 24 Contract Fraud ........................................................................................................................................................... 25 Homicides, Assaults, and Threats ................................................................................................................................ 26 Offi cial Misconduct .................................................................................................................................................... 26 Executive Investigations and Internal Affairs ................................................................................................................. 27 Illegal Drugs and Narcotics Traffi cking ......................................................................................................................... 27 Robberies .................................................................................................................................................................. 29 Burglaries .................................................................................................................................................................. 30 Dangerous Mail Investigations..................................................................................................................................... 30 Child Exploitation via the Mail...................................................................................................................................... 33 SECURITY AND CRIME PREVENTION .................................................. 34 Security ..................................................................................................................................................................... 34 Homeland Security ..................................................................................................................................................... 35 Global Security and Investigations ............................................................................................................................... 37 Cyber Intelligence ...................................................................................................................................................... 38 Consumer Education and Fraud Prevention .................................................................................................................. 40 SPECIAL FEATURES Performance Analysis and Risk Indicator Scans .............................................................................................................. 2 Mail Processing Productivity ......................................................................................................................................... 3 OIG Risk Analysis Research Center ................................................................................................................................ 9 Postal Service’s Financial Condition ............................................................................................................................. 11 Voyager Credit Cards and Pin Scams .......................................................................................................................... 18 How Much Is Your Job Worth? ..................................................................................................................................... 28 Hazardous Material .................................................................................................................................................... 36 Digital Evidence Service ............................................................................................................................................. 39 APPENDICES ....................................................................................... 42 APPENDIX A — Reports Issued to Postal Service Management ..................................................................................... 42 Reports With Quantifi able Potential Monetary Benefi ts ............................................................................................... 43 Report Listing ......................................................................................................................................................... 46 APPENDIX B — Findings of Questioned Costs ............................................................................................................. 51 APPENDIX C — Recommendations That Funds Be Put to Better Use ............................................................................. 52 APPENDIX D — Reported Non-monetary Benefi ts ........................................................................................................ 53 APPENDIX E — Reports with Signifi cant Recommendations Pending Corrective Actions ................................................. 54 APPENDIX F — Signifi cant Management Decisions in Audit Resolution ......................................................................... 66 APPENDIX G — Investigative Statistics ........................................................................................................................ 67 APPENDIX H — Summary of Postal Service Investigative Activities Under Title 39 USC § 3013 ....................................... 68 APPENDIX I — Closed Congressional and Board of Governors Inquiries ......................................................................... 69 SUPPLEMENTAL INFORMATION ........................................................... 75 Freedom of Information Act ......................................................................................................................................... 75 Workplace Environment .............................................................................................................................................. 75 PARIS Model .............................................................................................................................................................. 76 Jurisdiction and Laws ................................................................................................................................................. 77 Cover photo by Gerald Merna and Daniel Afzal, Postal Service Photographers, depicts the National Law Enforcement Communications Center at Dulles, VA. The NLECC supports the work of the Postal Inspection Service and the OIG. MESSAGE FROM THE INSPECTOR GENERAL AND THE CHIEF POSTAL INSPECTOR In this report, the U.S. Postal Service Offi ce of Inspector General (OIG) and the U.S. Postal Inspection Service provide statistics and activities for the 6-month period of October 1, 2008, through March 31, 2009. In the fi rst of three sections, the OIG’s Offi ce of Audit discusses the Postal Service’s progress towards its strategic goals to focus on what matters most to customers, leverage its strengths, and embrace change, as outlined in Vision 2013: Five-Year Strategic Plan for 2009 – 2013, published in October 2008. They also report on regulatory studies and reporting obligations as well as preserving integrity. In the second section, the OIG’s Offi ce of Investigations and the Postal Inspection Service highlight investigations conducted to preserve the sanctity of the mail, protect the integrity of postal personnel, and safeguard employees and customers. In the last section, the Postal Inspection Service describes its work in providing for the protection of all postal facilities, employees, customers,
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