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IMMEDIATE RELEASE

Release No: 253-95
May 11, 1995

DEPUTY SECRETARY DEUTCH DIRECTS IMPLEMENTATION OF RECOMMENDATIONS FROM THEREPORT OF THE ADVISORY BOARD ON THE INVESTIGATIVE CAPABILITY OF THE DEPARTMENTOF DEFENSE

In letters transmitted on May 5 , 1995, then Deputy Secretary of Defense John Deutch directed the implementation of the vast majority of the 100 recommendations contained in the final report of the Advisory Board on the Investigative Capability of the Department of Defense. The final report was transmitted to Congress on January 13, 1995.

The Advisory Board recommended that the Secretary of Defense establish the "Secretary's Board on Investigations," chaired by the DoD IG, to oversee and coordinate investigative issues for the Department. Deutch directed the creation of the Secretary's Board. The purpose of the Secretary's Board is to provide DoD-level leadership in the area of criminal and non-criminal investigations. The Advisory Board concluded that such leadership is necessary if investigations in DoD are to be uniformly professional and efficient. The membership of the Secretary's Board will include DoD IG as chair, the Under Secretary of Defense (Acquisition and Technology), the DoD General Counsel, one representative each from the military departments, and one representative from the Marine Corps. The Secretary's Board will have a small staff consisting of personnel detailed from the Services and the DoD IG.

Deputy Secretary Deutch directed the implementation of 93 of the Advisory Board's other 98 recommendations. These include measure to improve and in some cases consolidate training; improve commander-directed investigations; and address a number of specific identified deficiencies in the various investigative organizations throughout the Department. DoD believes that these changes will improve the quality, consistency and efficiency of the Department's investigations, and thereby contribute significantly to the national defense. Three of the remaining five recommendations have been referred to the DoD components concerned for service consideration and possible action.

In the final report, the Advisory Board recommended that responsibility for conducting major procurement fraud investigations for all DoD components be consolidated under the control of the DoD IG. At present, four agencies - the DoD IG's criminal investigative organizations and the three Service criminal investigative organizations - investigate major procurement fraud. The Advisory Board found problems with procurement fraud investigations, particularly significant redundancy. The Board did not find, however, that consolidation under the DoD IG would necessarily save money or that it would significantly improve the quality of investigations, which it concluded is very good. Moreover, the Deputy Secretary consolidation itself has substantial short-term costs and recognized that the Secretaries of the Military Departments believe that a consolidated agency would not be as responsive to their investigative needs as the current agencies that report directly to them.

Based on these considerations, the Deputy Secretary determined it is not in the Department's best interest to consolidate procurement fraud investigations and that measures less disruptive than consolidation can address the problems that the Advisory Board identified. Such measures will include the formation of the Secretary's Board and clarifications and reallocation of procurement fraud jurisdiction among the agencies.

Copies of the report are available for the media in the Directorate for Defense Information, 2E764 Pentagon or call (703)695-0192.

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