To the Obama Administration, the 15,000 white collar prosecutions brought by its Financial Fraud Enforcement Task Force, or “FFETF,” between November 2009 and January 2017 was not justice…it was sport.
The FBI and DOJ prosecutors were the hunters, and small business owners were the game.
Veteran agents and prosecutors trained greenling protégés on these unsuspecting husbands, fathers, sons and brothers; influential pillars of the community.
President Trump knows what it feels like. To the FBI and DOJ, he was the ultimate trophy.
For several years, President Trump has attempted to explain to the American people that the FBI has lost its way. The FBI is “no longer the FBI” we once knew and respected.
At one time, Americans seemed hardwired to believe government is benevolent, almost to a fault. When the government is accused of systemic corruption, Americans refuse to believe it, or strongly resist believing it. When the government accuses a citizen of wrongdoing, most assume the accusation to be true.
That “hardwired” belief structure no longer exists. The legacy of the Obama Administration’s Justice Department, which includes the FBI, has changed everything.
Out of the tens of thousands of known examples of FBI corruption, two are particularly enlightening because the underlying misbehavior is so clear.
The two cases illustrated here are representative of how the FBI and U.S. Department of Justice operated during the Obama Administration, which, regrettably, carried over into the early years of the Trump Administration.
According to a 2019 Gallup.com poll, the U.S. Department of Justice, of which the FBI is a part, is one of the institutions least trusted by the American people.
Example 1 of 2:
Special Agent Rebekah Morse was assigned to the FBI’s Boise, Idaho, office in 2011 to work under the auspices of the Financial Fraud Enforcement Task Force, or “FFETF,” created in 2009.
Shortly after the creation of the FFETF, Special Agent Morse was assigned to investigate Matthew D. Hutcheson, a trusted policy adviser to the United States Senate and House of Representatives, and a professional fiduciary to numerous pension plans.
According to court records, legal counsel to the U.S. House of Representatives stated that [members of the House] “trusted [Hutcheson] completely.” The natural question is, “Why is someone so trusted by Congress suddenly in the crosshairs of the Department of Justice?”
Under his direction, two of Hutcheson’s pension plans made investments in, “Save America™,” a health care coverage solution rolled out around the same time as ObamaCare.
Save America™ was a superior alternative to ObamaCare; its existence was an existential threat to ObamaCare.
Later, when the ObamaCare website failed, Save America™ became a threat to Obama’s legacy.
The reason for the Obama Administration’s sudden interest in Hutcheson was not lost upon those Washington D.C. insiders familiar with Save America™.
During the course of her assignment to “get Hutcheson,” Agent Morse never directly obtained or examined any of Hutcheson’s work files, computer hard drives, or transaction records from him. She never even asked the court for a warrant to do so. She never even interviewed him. No one from the government ever did.
Instead, Agent Morse sought out a handful of disaffected former contract consultants and business associates with whom Hutcheson had severed ties for cause.
From those disaffected persons, Agent Morse spun a tale sufficiently persuasive to justify the U.S. Attorney’s office to convene a grand jury, something it was waiting anxiously to begin.
Agent Morse used a clever trick to tie the Save America™ investments to a failed Idaho ski resort (without a speck of evidence connecting the two). Locals were already angry after the resort’s prior owner skipped out on his debts and fled the country.
The grand jury, wanting to hold someone accountable for the failed ski resort, rubber stamped the prosecution’s indictment request against Hutcheson on April 11, 2012. After all, how could the FBI be wrong? It is the FBI!
An indictment is a reputational death-blow to a business owner. Most never recover. A grand jury indictment is a harmful practice because it is against the interests of justice for the “victims.” If the victim’s interests were paramount, the government would keep such actions in civil court to preserve assets and the possibility of recovery. Once the FBI and prosecutors criminally indict, the likelihood of preserving or recovering the investments is almost zero.
Hutcheson, being one of the foremost authorities on pension investing and financial markets, upon whom the United States Senate and House of Representatives heavily relied for guidance, was now an indicted man under suspicion and national condemnation because Special Agent Morse took shortcuts and presented an untruthful picture of her “investigation.”
On April 15, 2013, Hutcheson was convicted after the jury deliberated over lunch. The prosecution was able to present a theory of the case excluding the Save America™ evidence with the court’s blessing.
On July 31, 2013, Special Agent Morse watched smugly as the United States Marshals marched Hutcheson off to prison, knowing he actually might have been acquitted at trial if she had but sought the truth through an honest investigation.
Hutcheson’s wife, children, parents and friends wept in confusion about how the FBI and Department of Justice could use the court, the jury, and its bag of tricks to convict an innocent man.
Example 2 of 2:
Gilded in the false protection afforded by the FFETF, Special Agent Morse continued to fabricate other cases for prosecution after Hutcheson’s case.
From 2010 through early 2014, Agent Morse spun an even larger, more spectacular tale against Douglass Swenson and his sons in the DBSI matter, also out of Boise, Idaho. DBSI was a victim of the “Great Crash” of 2008, not a cause of it. It mattered not to Agent Morse. Her “investigation” was more of the construction of a crime than it was a pursuit of the truth.
Under political pressure to perform by the FFETF, FBI Agent Morse once again dipped into her bag of tricks to package the consequences of unfortunate and unavoidable market forces during the financial crisis into an “intent to defraud” theory, persuading a grand jury, just as she did with Hutcheson, to indict Mr. Swenson, his two sons, and his attorney for wire fraud. The FFETF leadership showered accolades upon her. The case went to trial early in 2014.
On March 18 and 19, 2014, Agent Morse was called to testify during the DBSI Swenson trial. While on the witness stand on the 19th, a juror noticed Agent Morse was using her phone to text someone. The judge confronted her under oath and she brazenly lied to him. The judge confiscated her phone and ordered her to return the following day to resolve the matter.
“The trial in this case took a tragic turn when the lead FBI investigator, Special Agent Rebekah Morse, took her life the day after she testified. During Special Agent Morse’s testimony, at least one juror had seen her texting during a sidebar. When confronted by the Court under oath outside the jury’s presence, Special Agent Morse denied texting and explained that she was merely turning off her phone. But after reflecting on an inconsistency between the juror’s comment and Special Agent Morse’s testimony, the Court took possession of her phone and directed her to return the next day to sort out the issue. A later examination of her phone showed that during the sidebar while she was on the witness stand, she was texting with her husband. Special Agent Morse did not return the next morning and was found dead of a self-inflicted gunshot wound.”
The judge then brazenly lied to the public to cover up the true nature of the text messages, calling them “innocuous banter back and forth with her husband” and that the text messages were “not in any way connected with the case.”
Even if that explanation were true, what respectable person engages in “marital banter” via cell phone during testimony in open court that will affect the liberty of multiple American citizens?
According to a digital forensic analyst familiar with the matter, who wishes to remain anonymous for good reason, said the text messages were nothing of the sort. “The text messages consisted of coaching about what to say from her law-school-student husband, and others in the local United States Attorney’s office, to ensure the Swensons were convicted.”
The Financial Fraud Enforcement Task Force, or “FFETF,” had a very dark effect upon the FBI and over a dozen other federal agencies. The pressure brought to bear upon Special Agent Morse by the FFETF caused her to betray her oath as an agent of the FBI, resulting in multiple false convictions and imprisonments. When she was caught, she committed suicide.
Agent Morse is not the first Justice Department employee to buckle under the same pressure they put on thousands of others each and every year. Nicholas Marsh falsely prosecuted then Senator Ted Stevens of Alaska.
When the truth came out that Senator Stevens had been falsely prosecuted, Marsh committed suicide, just as Morse did.
The Obama Administration’s Department of Justice was infected with corruption. When the tables were turned, the character of its employees was revealed.
These two examples illustrate what President Trump is trying to convey to the American public. He wants all Americans to understand that the FBI lost its way. It, too, attacked President Trump using the same bag of tricks the FBI used on Hutcheson and Swenson, only digging deeper into it.
There is much work ahead to regain public trust in any investigation or prosecution by the U.S. Department of Justice. It will take years to correct.
FBI officials and agents, acting with defiant swagger, under the pretense of honor endowed upon them by the FFETF, wrecked the lives of 15,000 American families for political theater.
A coalition has been formed to request that the convictions brought under the direction or influence of the FFETF, and that of Agent Rebekah Morse and those FBI agents like her, be nullified and expunged.
Wiping the slate clean of every FFETF prosecution is a breathtakingly bold proposition, but given the first-hand experience that the President of the United States has had with the Obama-Era FBI, many hope he will do it.
The effects of cancer and rot with government must be excised.