[Excerpt] This semiannual report covers the activities of the Department of Labor's Office of the Inspector General for the period October 1, 1985 through March 31, 1986. During this semiannual reporting period, we have continued our efforts to improve program management and operations within the Department of Labor. Audit initiatives resulted in numerous economy and efficiency findings and recommendations regarding Department Agency operations. The increasing utilization of the clustering strategy by Investigations delivered a strong statistical increase in successful prosecutions. Labor Racketeering continued its efforts to curtail significant employee pension and health fund embezzlements.