Tidbits on Neustar

In the summer of 2014, an advisory group advised the Number Portability and Administration Center contract should be awarded to Telcordia over Neustar. 

This contract had provided approximately half the revenue for Neustar, a publicly traded company in the telecommunications industry. Neustar fought back with intensive lobbying efforts citing national security risks if another vendor were to be awarded the contract. Telcordia’s bid had come in much lower, at a rate that was approximately 1/3rd what Neustar had charged the year before. 

The contract was officially lost to Neustar in the summer of 2016, with the transition of the NPAC system to Telcordia occurring between 2017 and 2018. 

This coincides with a period in which Neustar paid increasing amounts to Perkins Coie for work in large part done by their outside counsel, Michael Sussmann:

$693k - 2014

$1.197m - 2015

$1.476m - 2016

$2.155m - 2017

During the questioning by the Durham team throughout the Sussmann trial, there was reference to the business interests of Rodney Joffe being advanced. This is speculative, but in lieu of direct financial compensation, it would be interesting to if there were any discussions that were had over restoring the NPAC contract with the Clinton campaign and the extent of Neustar CEO Lisa Hook’s knowledge of what Joffe was doing with Neustar resources in 2016.

Notably, we have FOIA documents where Lisa Hook is in contact and visiting Manos Antonakakis, and introducing Michael Sussmann to Antonakakis. We are continuing to explore these relationships through FOIA.

One oddity not discussed often is a report (first found by Stephen Mcintyre) of $2 million in transfers from the Holy See to Neustar’s Melbourne office between 2016 and 2017 sent by Cardinal Becciu who has faced allegations of fraud and money laundering. Officials have confirmed there was no legitimate purpose behind the transfers, but so far have not released additional information. Cardinal Becciu has previously suggested the transfers related to a classified project. 

A cursory look at available SEC reports indicate that the Melbourne office was only 15,000 square feet, valued at $2 million of property and equipment and acquired in 2015 via an acquisition. 

Even split among 4 transfers, $500k blocks of income from such a small office presents an immense accounting challenge to hide if one intended to. It also poses a question to Ernst and Young about their audit procedures. 

I have been battling AUSTRAC authorities for months on a Freedom of Information request for these records. I will provide an update as this continues to develop. 

Finally, I would reference a section of the Sussmann indictment:

There may be more to the story on these Alfa related billings to Rodney Joffe and we’ll leave it at that.