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DEA’s Mexico chief quietly removed over ties to drug lawyers
MIAMI (AP) — The U.S. Drug Enforcement Administration quietly removed its top official in Mexico last year over improper contact with lawyers for narcotraffickers, an embarrassing end to a brief tenure marked by deteriorating cooperation between the countries and a record flow of cocaine, heroin and fentanyl across the border.
Nicholas Palmeri’s socializing and vacationing with Miami drug lawyers, detailed in confidential records viewed by The Associated Press, brought his ultimate downfall after just a year as DEA’s powerful regional director supervising dozens of agents across Mexico, Central America and Canada.
But separate internal probes raised other red flags, including complaints of lax handling of the coronavirus pandemic that resulted in two sickened agents having to be airlifted out of the country. And another disclosed this past week found Palmeri approved use of drug-fighting funds for inappropriate purposes and sought to be reimbursed to pay for his own birthday party.
“The post of regional director in Mexico is the most important one in DEA’s foreign operations, and when something like this happens, it’s disruptive,” said Mike Vigil, the DEA’s former chief of international operations.
“It’s even more critical because of the deteriorating situation with Mexico,” added Phil Jordan, a former director of the DEA’s El Paso Intelligence Center. “If we don’t have a strong regional director or agent in charge there, it works against the agency’s overall operations because everything transits through Mexico, whether it’s coming from Colombia or the fentanyl that flows in through China. It cannot be taken lightly.”
Palmeri’s case adds to a growing litany of misconduct roiling the nation’s premier narcotics law enforcement agency at a time when its sprawling foreign operations — spanning 69 countries — are under scrutiny from an external review ordered by DEA Administrator Anne Milgram.
That review came in response to the case of Jose Irizarry, a disgraced former agent now serving a 12-year federal prison sentence after confessing to laundering money for Colombian drug cartels and skimming millions from seizures to fund an international joyride of jet-setting, parties and prostitutes.
Palmeri’s is the second case in as many months to shine a light on the often-cozy interactions between DEA officials and Miami attorneys representing some of Latin America’s biggest narcotraffickers and money launderers. Last year, federal prosecutors charged a DEA agent and a former supervisor with leaking confidential law enforcement information to two unnamed Miami defense attorneys in exchange for $70,000 in cash.
One of those attorneys, identified by current and former U.S. officials as David Macey, was also implicated in the probe into Palmeri. Internal investigative records show Macey hosted Palmeri and his Mexican-born wife for two days at his home in the Florida Keys — a trip that investigators said served no useful work purpose and violated rules governing interactions with attorneys that are designed to avoid even the appearance of impropriety.
Palmeri, 52, acknowledged to investigators that he stayed at Macey’s getaway home, that his wife worked as a translator for another prominent attorney, Ruben Oliva, and that he took an unauthorized trip to Miami with his wife in February 2021.
The purported purpose of the Miami trip had been to “debrief” a confidential source. But it took place at a private home where Palmeri showed up with his wife — and a bottle of wine, according to the internal report.
“The meeting had the appearance of a social interaction with a confidential source,” the investigators wrote, “and there was no contemporaneous official DEA documentation concerning the substance of the debrief, both of which violate DEA policy.”
Those violations prompted Palmeri’s abrupt transfer to Washington headquarters in May 2021 before he ultimately stepped down last March, the records show. Palmeri told investigators he had shown “not the best judgment.”
The DEA wouldn’t discuss the specifics of Palmeri’s ouster or why he was allowed to retire instead of being fired. But an official told the AP the agency “has zero tolerance for improper contacts between defense attorneys and DEA employees.”
“The DEA aggressively investigates this serious misconduct and takes decisive action, including removal, against employees who engage in it,” said the official, who wasn’t authorized to speak publicly and asked not to be named.
For his part, Palmeri described the misconduct investigations as a “witch hunt” prompted by personal and professional jealousies he refused to specify and “an ill-conceived narrative to remove me from my position.”
Palmeri added that his relationships with attorneys have “always been professional and ethical,” and that all his expenditures in Mexico were “judicious” and benefited the U.S. government.
“It is ironic,” Palmeri wrote in an email, “that the Department of ‘Justice’ would commit this injustice to the country.”
Macey did not respond to requests for comment. Oliva told AP the the translation work Palmeri’s wife did for him was “totally unrelated” to Palmeri and that he’s “never met a more ethical, hard-working and highly effective drug enforcement agent.”
A former New York City police officer, Palmeri raised eyebrows from the moment he arrived in Mexico in 2020.
Some agents complained about his near-obsession with capturing Rafael Caro Quintero, the infamous drug lord behind the killing of a U.S. DEA agent in 1985, saying Palmeri prioritized that over the agency’s less-flashy efforts to stem the flow of Chinese precursor chemicals used to make fentanyl. Quintero was finally taken into custody last summer, months after the DEA recalled Palmeri to Washington.
Chris Landau, who oversaw Palmeri as U.S. ambassador to Mexico during the Trump administration, said that singular focus on Quintero and other such headline-grabbing arrests is characteristic of the DEA’s broader failings in the drug war.
Landau cited the shocking U.S. arrest in 2020 of a former defense secretary, Gen. Salvador Cienfuegos, which prompted Mexican President Andrés Manuel López Obrador to disband the elite police unit that was the DEA’s key ally. López Obrador also rammed through a national security law keeping DEA agents at their desk instead of out in the field. Overnight, law enforcement cooperation between the neighboring countries went from strained and spotty to non-existent.
“Unfortunately, in the absence of a broader strategy, DEA is driving the bus of U.S. counter-narcotics policy and it’s a very narrow lane they drive in,” Landau said. “It’s not going to move the needle in terms of stemming the flow of drugs into the U.S. and frequently carry sometime devastating foreign policy consequences.”
Palmeri also came under criticism for his handling of coronavirus procedures in 2020, when federal agents were under orders to avoid in-person meetings and unnecessary travel. Several agents under Palmeri’s command, including an assistant regional director, contracted COVID-19 following a meeting at the DEA office in the resort town of Mazatlán, where some agents say they were admonished or ridiculed for wearing masks.
Two agents became so ill they had to be airlifted out of the country, according to two former U.S. officials who weren’t authorized to discuss the controversy and spoke to the AP on the condition of anonymity.
An Office of Inspector General report released last week also found Palmeri sought government reimbursement to pay for his own birthday party and approved the purchase of “unallowable items” as part of foreign trips by the then acting DEA administrator. Tim Shea, who held that position during Palmeri’s tenure, did not respond to requests for comment.
The report, which did not detail specific items or amounts spent, also did not explain its conclusion: “Criminal prosecution of the Regional Director was declined.”
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Mustian reported from New York.
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Contact AP’s global investigative team at [email protected] or https://www.ap.org/tips/
Airlines, banks, hospitals and other risk-averse organizations around the world chose cybersecurity company CrowdStrike to protect their computer systems from hackers and data breaches.
But all it took was one faulty CrowdStrike software update to cause global disruptions Friday that grounded flights, knocked banks and media outlets offline, and disrupted hospitals, retailers and other services.
“This is a function of the very homogenous technology that goes into the backbone of all of our IT infrastructure,” said Gregory Falco, an assistant professor of engineering at Cornell University. “What really causes this mess is that we rely on very few companies, and everybody uses the same folks, so everyone goes down at the same time.”
The trouble with the update issued by CrowdStrike and affecting computers running Microsoft’s Windows operating system was not a hacking incident or cyberattack, according to CrowdStrike, which apologized and said a fix was on the way.
But it wasn’t an easy fix. It required “boots on the ground” to remediate, said Gartner analyst Eric Grenier.
“The fix is working, it’s just a very manual process and there’s no magic key to unlock it,” Grenier said. “I think that is probably what companies are struggling with the most here.”
While not everyone is a client of CrowdStrike and its platform known as Falcon, it is one of the leading cybersecurity providers, particularly in transportation, healthcare, banking and other sectors that have a lot at stake in keeping their computer systems working.
“They’re usually risk-averse organizations that don’t want something that’s crazy innovative, but that can work and also cover their butts when something goes wrong. That’s what CrowdStrike is,” Falco said. “And they’re looking around at their colleagues in other sectors and saying, ‘Oh, you know, this company also uses that, so I’m gonna need them, too.’”
Worrying about the fragility of a globally connected technology ecosystem is nothing new. It’s what drove fears in the 1990s of a technical glitch that could cause chaos at the turn of the millennium.
“This is basically what we were all worried about with Y2K, except it’s actually happened this time,” wrote Australian cybersecurity consultant Troy Hunt on the social platform X.
Across the world Friday, affected computers were showing the “blue screen of death” — a sign that something went wrong with Microsoft’s Windows operating system.
But what’s different now is “that these companies are even more entrenched,” Falco said. “We like to think that we have a lot of players available. But at the end of the day, the biggest companies use all the same stuff.”
Founded in 2011 and publicly traded since 2019, CrowdStrike describes itself in its annual report to financial regulators as having “reinvented cybersecurity for the cloud era and transformed the way cybersecurity is delivered and experienced by customers.” It emphasizes its use of artificial intelligence in helping to keep pace with adversaries. It reported having 29,000 subscribing customers at the start of the year.
The Austin, Texas-based firm is one of the more visible cybersecurity companies in the world and spends heavily on marketing, including Super Bowl ads. At cybersecurity conferences, it’s known for large booths displaying massive action-figure statues representing different state-sponsored hacking groups that CrowdStrike technology promises to defend against.
CrowdStrike CEO George Kurtz is among the most highly compensated in the world, recording more than $230 million in total compensation in the last three years. Kurtz is also a driver for a CrowdStrike-sponsored car racing team.
After his initial statement about the problem was criticized for lack of contrition, Kurtz apologized in a later social media post Friday and on NBC’s “Today Show.”
“We understand the gravity of the situation and are deeply sorry for the inconvenience and disruption,” he said on X.
Richard Stiennon, a cybersecurity industry analyst, said this was a historic mistake by CrowdStrike.
“This is easily the worst faux pas, technical faux pas or glitch of any security software provider ever,” said Stiennon, who has tracked the cybersecurity industry for 24 years.
While the problem is an easy technical fix, he said, it’s impact could be long-lasting for some organizations because of the hands-on work needed to fix each affected computer. “It’s really, really difficult to touch millions of machines. And people are on vacation right now, so, you know, the CEO will be coming back from his trip to the Bahamas in a couple of weeks and he won’t be able to use his computers.”
Stiennon said he did not think the outage revealed a bigger problem with the cybersecurity industry or CrowdStrike as a company.
“The markets are going to forgive them, the customers are going to forgive them, and this will blow over,” he said.
Forrester analyst Allie Mellen credited CrowdStrike for clearly telling customers what they need to do to fix the problem. But to restore trust, she said there will need to be a deeper look at what occurred and what changes can be made to prevent it from happening again.
“A lot of this is likely to come down to the testing and software development process and the work that they’ve put into testing these kinds of updates before deployment,” Mellen said. “But until we see the complete retrospective, we won’t know for sure what the failure was.”
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Associated Press writer Alan Suderman in Richmond, Virginia, contributed to this report.
Transport providers, businesses and governments on Saturday are rushing to get all their systems back online after long disruptions following a widespread technology outage.
The biggest continuing effect has been on air travel. Carriers canceled thousands of flights on Friday and now have many of their planes and crews in the wrong place, while airports facing continued problems with checking in and security.
At the heart of the massive disruption is CrowdStrike, a cybersecurity firm that provides software to scores of companies worldwide. The company says the problem occurred when it deployed a faulty update to computers running Microsoft Windows, noting that the issue behind the outage was not a security incident or cyberattack.
Here’s the Latest:
Microsoft: 8.5 million devices on its Windows system were affected
Microsoft says 8.5 million devices running its Windows operating system were affected by a faulty cybersecurity update Friday that led to worldwide disruptions.
A Saturday blog post from Microsoft was the first estimate of the scope of the disruptions caused by cybersecurity firm CrowdStrike’s software update.
“We currently estimate that CrowdStrike’s update affected 8.5 million Windows devices, or less than one percent of all Windows machines,” said the blog post from Microsoft cybersecurity executive David Weston.
“While the percentage was small, the broad economic and societal impacts reflect the use of CrowdStrike by enterprises that run many critical services.”
Weston said such a significant disturbance is rare but “demonstrates the interconnected nature of our broad ecosystem.” Windows is the dominant operating system for personal computers around the world.
Austrian doctors’ group calls for better data protection for patients
In Austria, a leading doctors organization said the global IT outage exposed the vulnerability of health systems reliant on digital systems.
“Yesterday’s incidents underscore how important it is for hospitals to have analogue backups” to safeguard patient care, Harald Mayer, vice president of the Austrian Chamber of Doctors, said in a statement on the organization’s website.
The organization called on governments to impose high standards in patient data protection and security and on health providers to train staff and put systems in place to manage crises.
“Happily, where there were problems, these were kept small and short-lived and many areas of care were unaffected” in Austria, Mayer said.
Germany warns of scams after major IT outage
BERLIN — The German government’s IT security agency says numerous companies are still struggling with the consequences of a far-reaching technology outage.
“Many business processes and procedures have been disturbed by the breakdown of computer systems,” the BSI agency said on its website.
But the agency also said Saturday that many impacted areas have returned to normal.
It warned that cybercriminals were trying to take advantage of the situation through phishing, fake websites and other scams and that “unofficial” software code was in circulation.
The agency said it was not yet clear how faulty code ended up in the CrowdStrike software update blamed for triggering the outage.
European airports appear to be close to normal
LONDON — Europe’s busiest airport, Heathrow, said it is busy but operating normally on Saturday. The airport said in a statement that “all systems are back up and running and passengers are getting on with their journeys smoothly.“
Some 167 flights scheduled to depart from U.K. airports on Friday were canceled, while 171 flights due to land were axed.
Meanwhile, flights at Berlin Airport were departing on or close to schedule, German news agency dpa reported, citing an airport spokesman.
Nineteen flights took off in the early hours of Saturday after authorities exempted them from the usual ban on night flights.
On Friday, 150 of the 552 scheduled inbound and outbound flights at the airport were canceled over the IT outage, disrupting the plans of thousands of passengers at the start of the summer vacation season in the German capital.
German hospital slowly restoring its systems after widespread cancellations
BERLIN — The Schleswig-Holstein University Hospital in northern Germany, which on Friday canceled all elective surgery because of the global IT outage, said Saturday that it was gradually restoring its systems.
In a statement on its website, it forecast that operations at its two branches in Kiel and Luebeck would return to normal by Monday and that “elective surgery can take place as planned and our ambulances can return to service.”
Britain’s transport system still trying to get back on track
LONDON — Britain’s travel and transport industries are struggling to get back on schedule after the global security outage with airline passengers facing cancellations and delays on the first day of summer holidays for many school pupils.
Gatwick Airport said “a majority” of scheduled flights were expected to take off. Manchester Airport said passengers were being checked in manually and there could be last-minute cancellations.
The Port of Dover said it was seeing an influx of displaced air passengers, with hourlong waits to enter the port to catch ferries to France.
Meanwhile, Britain’s National Cyber Security Center warned people and businesses to be on the lookout for phishing attempts as “opportunistic malicious actors” try to take advantage of the outage.
The National Cyber Security Center’s former head, Ciaran Martin, said the worst of the crisis was over, “because the nature of the crisis is that it went very wrong very quickly. It was spotted quite quickly and essentially it was turned off.”
He told Sky News that some businesses would be able to get back to normal very quickly, but for sectors such as aviation it would take longer.
“If you’re in aviation, you’ve got people, planes and staffs all stranded in the wrong place… So we are looking at days. I’d be surprised if we’re looking at weeks.”
Germany airline expects most of its flights to run normally
BERLIN — Eurowings, a budget subsidiary of Lufthansa, said it expected to return to “largely scheduled” flight operations on Saturday.
On Friday, the global IT outage had forced the airline to cancel about 20% of its flights, mostly on domestic routes. Passengers were asked to take trains instead.
“Online check-in, check-in at the airport, boarding processes, booking and rebooking flights are all possible again,” the airline said Saturday on X. “However, due to the considerable extent of the global IT disruption there may still be isolated disruptions” for passengers, it said.
Delta Air Lines and its regional affiliates have canceled hundreds of flights
DALLAS — Delta Air Lines and its regional affiliates canceled more than a quarter of their schedule on the East Coast by midafternoon Friday, aviation data provider Cirium said.
More than 1,100 flights for Delta and its affiliates have been canceled.
United and United Express had canceled more than 500 flights, or 12% of their schedule, and American Airlines’ network had canceled 450 flights, 7.5% of its schedule.
Southwest and Alaska do not use the CrowdStrike software that led to the global internet outages and had canceled fewer than a half-dozen flights each.
Portland, Oregon, mayor declares an emergency over the outage
PORTLAND, Ore. — Mayor Ted Wheeler declared an emergency Friday after more than half of the city’s computer systems were affected by the global internet outage.
Wheeler said during a news conference that while emergency services calls weren’t interrupted, dispatchers were having to manually track 911 calls with pen and paper for a few hours. He said 266 of the city’s 487 computer systems were affected.
Border crossings into the US are delayed
SAN DIEGO — People seeking to enter the U.S. from both the north and the south found that the border crossings were delayed by the internet outage.
The San Ysidro Port of Entry was gridlocked Friday morning with pedestrians waiting three hours to cross, according to the San Diego Union-Tribune.
Even cars with people approved for a U.S. Customers and Border Protection “Trusted Traveler” program for low-risk passengers waited up to 90 minutes. The program, known as SENTRI, moves passengers more quickly through customs and passport control if they make an appointment for an interview and submit to a background check to travel through customs and passport control more quickly when they arrive in the U.S.
Meanwhile, at the U.S.-Canada border, Windsor Police reported long delays at the crossings at the Ambassador Bridge and the Detroit-Windsor tunnel.
WASHINGTON (AP) — A rapidly growing chorus of Democratic lawmakers called Friday for President Joe Biden to drop his reelection bid, even as the president insisted he’s ready to return to the campaign trail next week to counter what he called a “dark vision” laid out by Republican Donald Trump.
As more Democratic members of Congress urged him to drop out — bringing the total since his disastrous debate against Trump to nearly three dozen — Biden remained isolated at his beach house in Delaware after being diagnosed with COVID-19. The president, who has insisted he can beat Trump, was huddling with family and relying on a few longtime aides as he resisted efforts to shove him aside.
Late Friday, Ohio Sen. Sherrod Brown, a Democrat who is in a tough race for reelection, called for Biden to step aside.
Brown said in a statement that he agrees with “the many Ohioans” who have reached out to him. “I think the president should end his campaign,” he said.
And in a statement later Friday, Rep. Morgan McGarvey, D-Ky., also called on Biden to drop out while saying, “there is no joy in the recognition he should not be our nominee in November. But the stakes of this election are too high.”
Biden said Trump’s acceptance speech at the Republican National Convention showcased a “dark vision for the future.” The president, seeking to move the political conversation away from his fate and onto his rival’s agenda, said Friday he was planning to return to the campaign trail next week and insisted he has a path to victory over Trump, despite the worries of some of his party’s most eminent members.
“Together, as a party and as a country, we can and will defeat him at the ballot box,” Biden said. “The stakes are high, and the choice is clear. Together, we will win.”
Earlier in the day, his campaign chair, Jen O’Malley Dillion, acknowledged “slippage” in support for the president but insisted he’s “absolutely” remaining in the race and the campaign sees “multiple paths” to beating Trump.
“We have a lot of work to do to reassure the American people that, yes, he’s old, but he can win,” she told MSNBC’s “Morning Joe” show. She said voters concerned about Biden’s fitness to lead aren’t switching to vote for Trump.
Meanwhile, the Democratic National Committee’s rulemaking arm held a meeting Friday, pressing ahead with plans for a virtual roll call before Aug. 7 to nominate the presidential pick, ahead of the party’s convention later in the month in Chicago.
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“President Biden deserves the respect to have important family conversations with members of the caucus and colleagues in the House and Senate and Democratic leadership and not be battling leaks and press statements,” Sen. Chris Coons of Delaware, Biden’s closest friend in Congress and his campaign co-chair, told The Associated Press.
It’s a pivotal few days for the president and his party: Trump has wrapped up an enthusiastic Republican National Convention in Milwaukee on Thursday. And Democrats, racing time, are considering the extraordinary possibility of Biden stepping aside for a new presidential nominee before their own convention.
Among the democrats expressing worries to allies about Biden’s chances were former President Barack Obama and Speaker Emerita Nancy Pelosi, who has privately told Biden the party could lose the ability to seize control of the House if he doesn’t step aside.
New Mexico Sen. Martin Heinrich called on Biden to exit the race, making him the third Senate Democrat to do so.
“By passing the torch, he would secure his legacy as one of our nation’s greatest leaders and allow us to unite behind a candidate who can best defeat Donald Trump and safeguard the future of our democracy,” said Heinrich, who’s up for reelection.
And Reps. Jared Huffman, Mark Veasey, Chuy Garcia and Mark Pocan, representing a wide swath of the caucus, together called on Biden to step aside.
“We must defeat Donald Trump to save our democracy,” they wrote.
Separately, Rep. Sean Casten of Illinois wrote in an op-ed that with “a heavy heart and much personal reflection” he, too, was calling on Biden to “pass the torch to a new generation.”
Campaign officials said Biden was even more committed to staying in the race. And senior West Wing aides have had no internal discussions or conversations with the president about dropping out.
On Friday, Biden picked up a key endorsement from the political arm of the Congressional Hispanic Caucus. CHC BOLD PAC said the Biden administration has shown “unwavering commitment” to Latinos and “the stakes couldn’t be higher” in this election.
But there is also time to reconsider. Biden has been told the campaign is having trouble raising money, and key Democrats see an opportunity as he is away from the campaign for a few days to encourage his exit. Among his Cabinet, some are resigned to the likelihood of him losing in November.
The reporting in this story is based in part on information from almost a dozen people who insisted on anonymity to discuss sensitive private deliberations. The Washington Post first reported on Obama’s involvement.
Biden, 81, tested positive for COVID-19 while traveling in Las Vegas earlier this week and experienced “mild symptoms” including “general malaise” from the infection, the White House said.
White House doctor Kevin O’Connor said Friday that the president still had a dry cough and hoarseness, but that his COVID symptoms had improved.
Biden noted his illness while making a joke about Trump on social media Friday night, posting: “I’m stuck at home with COVID, so I had the distinct misfortune of watching Donald Trump’s speech to the RNC. What the hell was he talking about?”
In Congress, Democratic lawmakers have begun having private conversations about lining up behind Harris as an alternative. One lawmaker said Biden’s own advisers are unable to reach a unanimous recommendation about what he should do. More in Congress are considering joining the others who have called for Biden to drop out. Some prefer an open process for choosing a new presidential nominee.
“It’s clear the issue won’t go away,” said Vermont Sen. Peter Welch, the other Senate Democrat who has publicly said Biden should exit the race. Welch said the current state of party angst — with lawmakers panicking and donors revolting — was “not sustainable.”
However, influential Democrats including Senate Majority Leader Chuck Schumer and House Democratic Leader Hakeem Jeffries are sending signals of concern.
“There is of course work to be done, and that in fact is the case because we are an evenly divided country,” Jeffries said in an interview on WNYC radio Friday.
But he also said, “The ticket that exists right now is the ticket that we can win on. … It’s his decision to make.”
To be sure, many want Biden to stay in the race. But among Democrats nationwide, nearly two-thirds say Biden should step aside and let his party nominate a different candidate, according to an AP-NORC Center for Public Affairs Research poll. That sharply undercuts Biden’s post-debate claim that “average Democrats” are still with him.
Amid the turmoil, a majority of Democrats think Vice President Kamala Harris would make a good president herself.
A poll from the AP-NORC Center for Public Affairs Research found that about 6 in 10 Democrats believe Harris would do a good job in the top slot. About 2 in 10 Democrats don’t believe she would, and another 2 in 10 say they don’t know enough to say.
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Associated Press writers Joey Cappelletti in Lansing, Michigan, Ellen Knickmeyer in Aspen, Colorado, Steve Peoples in Milwaukee, and Josh Boak, Will Weissert, Mary Clare Jalonick, Seung Min Kim and Stephen Groves in Washington contributed to this report.
