Thursday, 15 March 2012

The former chief reporter of the News of the World was arrested yesterday by police investigating the phone hacking scandal, on suspicion of intimidating a witness.

Neville Thurlbeck, 50, who was also news editor on the defunct Sunday tabloid, was detained by appointment at a central London police station by officers from Operation Weeting a day after his former editor, Rebekah Brooks, was arrested with five others on suspicion of conspiring to pervert the course of justice. He was later released on bail. Yesterday's arrest came as James Murdoch used a letter to the House of Commons media select committee to distance himself once more from any wrongdoing inside News International (NI). He blamed two former trusted lieutenants, Colin Myler and Tom Crone, claiming there were "inconsistencies" in their evidence to MPs. Mr Thurlbeck has been a central figure in the unfolding phone-hacking saga since being named in the so-called "for Neville" email. This showed voicemail interception went beyond a single "rogue" reporter at the NOTW. He was arrested last year on suspicion of conspiring to hack phones and eavesdropping voicemail messages. During recent months, he has adopted a higher media profile, with broadcast appearances and the launch of a blog commenting on developments in the crisis enveloping NI. In a blog entry last week, Mr Thurlbeck revealed how Will Lewis, a key member of News Corp's Management and Standards Committee, which has been marshalling millions of internal NI emails to Scotland Yard, had hired a private security company to provide security at his home. Mr Thurlbeck published the name of the security company, noting that it had spent several hours at Mr Lewis's home, and gave the name of the street where the NI executive lives. In a subsequent blog, Mr Thurlbeck, who is suing his former employer for unfair dismissal, said his story had prompted approaches from lawyers and a public relations company representing Mr Lewis, asking for the removal of his posting. He claimed it was suggested to him that the details he had provided about the security company "somehow implied I had put [Mr Lewis's] home under surveillance. Bonkers!". He added: "I accepted their point that printing the name of his street was distressing to his family and took this down immediately as I have absolutely no wish to do this. Although I have not been asked to do so, I would like to apologise to Mrs Lewis for any distress." A spokesman for the Management and Standards Committee declined to comment last night on Mr Thurlbeck's arrest. Meanwhile Mr Murdoch has sought to influence the parliamentary report into phone hacking, which is expected to be published before the Easter recess, by telling the committee that he did not mislead them, that he never tried to hide wrongdoing at the NOTW, and that when he did ask questions about what was going on, he was given "false assurances" by senior executives at Wapping. In a personal letter to John Whittingdale, chair of the media select committee, the former executive chairman of NI initially takes responsibility "for not uncovering wrongdoing earlier". However, the limited apologetic tone of his seven page letter, in which he accepts that it "would have been better if I had asked more questions", also contains evidence of anger directed at former trusted lieutenants inside NI. He says he relied too much on people who assured him that investigations had been carried out and who claimed that further inquiries were unnecessary. The former NOTW editor, Colin Myler, and News Group Newspaper's former legal manager, Tom Crone, are named repeatedly and described as offering "inconsistencies" to Parliament, while Mr Murdoch says his own evidence "has always been consistent". The letter states: "The truth is that incomplete answers and what now appears to be false assurances were given to the questions that I asked." In summaries of earlier evidence to the committee, he says he was "never intimately involved with the workings of the NOTW"; and on key meetings that discussed how senior executives were dealing with the emerging hacking culture, he says: "I was given a narrower set of facts than I should have been given..." He also says that if "Messrs Crone and Myler" had given him the highly critical private opinion offered in 2008 by NI's leading counsel, Michael Silverleaf QC, which described "widespread wrongdoing", then he would have "acted differently". He ends his letter by repeating that he neither knew about, nor attempted to hide, wrongdoing, and tells MPs: "The evidence does not support any other conclusion." James Murdoch: What he wrote "I take my share of responsibility for not uncovering wrongdoing earlier. However, I have not misled Parliament. I did not know about, nor did I try to hide, wrongdoing. I do not believe the evidence before you supports any other conclusion..." "It has been said I did not ask enough questions. However, the truth is that incomplete answers and what now appears to be false assurances were given to the questions that I asked."

Wednesday, 14 March 2012

James Murdoch pleads innocence ahead of committee report

James Murdoch has written to an influential parliamentary committee, investigating a phone hacking scandal at his company, to apologise and restate his innocence ahead of a potentially damaging report that could determine his future in Britain. The 39-year-old son of Rupert wrote to the committee to accept responsibility for failing to uncover the criminal behaviour, which has damaged the reputation of the News Corp media empire, British politicians and police. At stake is his role as chairman of British pay-TV group BSkyB and potentially his future at News Corp, where he had for years been marked out as the heir apparent to his father Rupert as chief executive.   "I did not know about, nor did I try to hide, wrongdoing," he said in the letter published by the committee on Wednesday. "Whilst I accept my share of responsibility for not uncovering wrongdoing sooner, I did not mislead parliament and the evidence does not support any other conclusion." Analysts and some shareholders believe Murdoch would struggle to remain at BSkyB if he is singled out for particular criticism as it could impact his ability to negotiate with the government and regulators on behalf of one of Britain's most powerful media firms. The all-party committee summoned James and his father Rupert to a hearing at the height of the scandal last July, for a three-hour often testy grilling that was watched live by millions on television in both Britain and the United States. Just four months later, the younger Murdoch had to return to answer further detailed questions over what he knew and when after two former colleagues publicly contradicted his evidence. News Corp's British newspaper arm News International had long argued that the hacking of voicemails to generate stories was the work of a single rogue reporter and private investigator who had already gone to jail for the crime. But as more people came forward to accuse the company of hacking their phones, that defence crumbled and attention turned to those at the top of the company and it was asked why they had not pushed further to discover the truth. "Clearly, with the benefit of hindsight, I acknowledge that wrongdoing should have been uncovered earlier," Murdoch said in his letter. The parliamentary committee had originally planned to publish its report before Christmas but due to the sensitivity of the material it is having to write the document by committee and is now aiming for the Easter holiday in April.

Goldman Sachs director quits 'morally bankrupt' Wall Street bank

 

A Goldman Sachs director in London has resigned after publishing a devastating open letter accusing senior staff of being "morally bankrupt" and bent on extracting maximum fees from clients by offloading unsuitable investment products. Greg Smith, who has left his post as executive director of the firm's equity derivatives business in Europe, claimed that chief executive Lloyd Blankfein and president Gary Cohn have "lost hold of the firm's culture on their watch". He added that "this decline in the firm's moral fibre represents the single most serious threat to its long-run survival".. Smith's charges, which were swiftly denied by the bank, were published in Wednesday's New York Times and raised questions about the firm's relationship with existing clients, whom Smith claimed were referred to as "muppets". Lord Oakeshott, the Liberal Democrat peer and his party's former Treasury spokesman in the Lords, said the matter raised questions about any relationship between the UK government and Goldman. Smith, who joined Goldman as a summer intern and worked at the firm for 12 years, first in New York and then in London, claimed managing directors made their remarks about "muppets" in internal email. "I attend derivatives sales meetings where not one single minute is spent asking questions about how we can help clients. It's purely about how we can make the most possible money off them." Selected as one of 10 people, out of a firm of 30,000, to appear in a Goldman recruiting video which is played on college campuses around the world, Smith has hired and mentored new recruits and managed a summer intern programme for the bank. "I knew it was time to leave when I realised I could no longer look students in the eye and tell them what a great place this was to work," he wrote. He said junior analysts are absorbing a culture in which the most important question is "how much money did we make off the client?", and that hearing talk of "muppets," "ripping eyeballs out" and "getting paid" will not turn them into "model citizens". "Leadership used to be about ideas, setting an example and doing the right thing. Today, if you make enough money for the firm (and are not currently an axe murderer) you will be promoted to a position of influence." In response, Goldman Sachs denied that Smith was giving an accurate view of life at the company. "We disagree with the views expressed, which we don't think reflect the way we run our business. In our view, we will only be successful if our clients are successful. This fundamental truth lies at the heart of how we conduct ourselves," the bank said. Fast-track to promotion Smith claims to have advised the five largest US asset managers, Middle East and Asian sovereign wealth funds, and the world's two largest hedge funds. His letter did not name them, but Bloomberg ranks Man Group and Bridgewater Associates as the biggest hedge funds. The LibDem peer Oakeshott said: "We know in the City that Goldmans help themselves before their clients. Now here's the proof. Greg Smith says you get promoted there if you make enough money for the firm and you are not an axe murderer - and the people of Greece and the rest of the eurozone are paying the price after Goldmans cooked their books and Greece joined the euro at an unsustainably high exchange rate. Until this culture is stamped out, Goldmans are not fit and proper to receive a penny of British taxpayers' money or advise our government in any way." Goldman is among the gilt-edged market makers which help to facilitate trading in UK government bonds. Smith claims the fast-track to a Goldman promotion involves persuading clients to invest in stocks or other products "that we are trying to get rid of because they are not seen as having a lot of potential profit"; getting clients to trade "whatever will bring the biggest profit to Goldman" – referred to internally as "hunting elephants" and securing a job trading "any illiquid, opaque product with a three-letter acronym". Goldman has lost the "secret sauce" that allowed it to endure for 143 years and is at risk of losing its clients' trust, wrote Smith: "Goldman Sachs is one of the world's largest and most important investment banks and it is too integral to global finance to continue to act in this way. The firm has veered so far from the place I joined right out of college that I can no longer in good conscience say that I identify with what it stands for."

Tuesday, 13 March 2012

Rebekah Brooks and husband arrested in phone hacking inquiry

REBEKAH Brooks and her racehorse trainer husband are among six suspects arrested today by detectives investigating allegations of phone hacking at News International. The former News International chief executive and Charlie Brooks were arrested at their Oxfordshire home on suspicion of conspiracy to pervert the course of justice, sources said. Police are searching several addresses after dawn raids also took place in London, Hampshire and Hertfordshire, Scotland Yard said. Ms Brooks, a former editor of The Sun, had been on bail after being questioned by detectives last summer on suspicion of phone hacking and corruption. Today’s arrest comes after her lawyer, Stephen Parkinson, said evidence given by Sue Akers at the Leveson Inquiry had brought “much prejudicial material” into the public domain.

Thursday, 8 March 2012

Stalking to become a crime for 1st time with offenders facing up to 5 years in jail


Stalking is to become a crime for the first time, with offenders facing jail for up to five years and unlimited fines. After decades of debate, David Cameron will announce today that the Government is to change the law to protect tens of thousands of victims let down by the system. Currently, police must wait until  suspects commit another crime – such as harassment or breaching a restraining order – before they act. Scroll down for video Beauty consultant Clare Bernal, 22, was shot dead in Harvey Nichols by her former boyfriend Slovakian Michael Pech, 30, who she had dated for just two weeks. Pech on bail was awaiting sentence for breaching a restraining order and harassment of Clare when he shot her four times before turning the gun on himself As a result, only 2 per cent of stalkers are jailed, with the maximum sentence being six months if pursued under the Protection from Harassment Act. Mr Cameron will unveil plans to reform the law at Downing Street alongside Tricia Bernal, whose daughter Clare was shot dead by her former boyfriend in a Harvey Nichols store in Knightsbridge.     Also at No 10 today will be Claire Waxman, who was subjected to an eight-year campaign of harassment by Elliot Fogel. The former Sky Sports news producer stalked his ex-classmate for nearly a decade, Googling her name 40,000 times in a year and posing as a prospective parent at her child’s nursery. He was finally jailed for two years after breaching a restraining order. Tricia Bernal, pictured with her daughter Clare who was shot dead by Pech on September 13, 2005, will appear alongside David Cameron when he announces changes to the law today Mr Cameron will say today: ‘Stalking is an abhorrent crime. It makes life a living hell for the victims – breaking up relationships, forcing the victims to move house, making them feel they are being watched 24 hours of the day. ‘That is why we are criminalising stalking, to make sure justice is done, protect the victims and show that stalking is a crime.’ A Downing Street source added: ‘Stalking will carry a sentence of six months and stalking with violence a maximum of five years.’ Cross-party MPs who examined the existing law concluded it was not fit for purpose. Even stalkers  who had broken into victims’ homes or threatened to kill them escaped with community punishments and suspended sentences. The British Crime Survey suggests 120,000 people are stalked a year, with many claiming their concerns are not taken seriously by the authorities.   Some stalkers who continually flout restraining orders go on to murder their victims, according  to probation officers’ union Napo. CLARE BERNAL WAS SHOT FOUR TIMES BY HER  STALKER Beauty consultant Clare Bernal, 22, was shot dead by a stalker she briefly dated while working at the Knightsbridge Harvey Nichols store. Clare dated 30-year-old Slovakian Michael Pech, a former security guard at the department store, for just three weeks. But after they broke up Pech started following her, pestering her with phone calls, standing outside her house and bombarding her with text messages. Her mother Tricia Bernal has told how Clare felt she had no where to turn, couldn't sleep at night and became physical exhausted from the constant harassment.    He was arrested for breaking a restraining order and found guilty of harassment but while awaiting sentence he went to Slovakia and bought a gun. On September 13, 2005, just as Harvey Nichols was due to close, he walked up behind Clare and shot her four times in the head before turning the gun on himself. Mrs Bernal, from Tunbridge Wells, last night welcomed moves to strengthen laws against stalkers to prevent anyone suffering the way her daughter did.

Police divers search for head and limbs of Gemma McCluskie


Frogmen from Scotland Yard's Marine Support Unit are in Regent's Canal in Hackney, east London, where the torso was found this week. Ms McCluskie's brother Tony is thought to have been arrested yesterday at his home in Bethnal Green, east London, where he lives with his mother and where his sister disappeared from last week. His mobile phone number was among those that appeared on a missing person's poster he himself helped circulate around the local area when Ms McCluskie disappeared. The limbless corpse was dragged from Regent's Canal by the Metropolitan police, with sources indicating it had been identified as 29-year-old Ms McCluskie. Relatives and former co-stars were said to be 'fearing the worst' while awaiting official results of forensic tests. Police sources said the unclothed body's arms, legs and head had been hacked off before it was found floating in the waterway. 'At this early stage officers believe they know the identity of the victim but must await further forensic tests before formal identification can take place,' a Met spokeswoman said. 'Police were initially contacted by a member of the public who had noticed something suspicious floating in the water. The torso was recovered by divers from the Met's Marine Support Unit (MSU) and additional searches are due to be carried out in the water.' The actress, who played Kerry Skinner for 30 episodes in 2001, had been missing since March 1, sparking a frantic search. Past and present cast members on the flagship BBC1 soap including Martine McCutcheon, Brooke Kinsella and Natalie Cassidy had appealed for information about the actress via Twitter and other social networking websites. Brooke Ms Kinsella tweeted: 'Please get in touch if you have seen her.' Ms McCluskie's brother Danny said her family was 'going out of our mind with worry' after she disappeared from her home in Bethnal Green last week. 'Her phone has been switched off since Thursday afternoon,' he said. 'We've not heard from her.' More than 100 people helped carry out a search for Ms McCluskie, with posters being put in shops and pubs while leaflets were handed out. A statement from Scotland Yard issued after the body was found said: 'A body was found in Regents Canal near Broadway Market in East London at 2.40pm. 'Enquiries are underway to establish the identity of the deceased. A post-mortem will be scheduled to ascertain the cause of death. 'Pending that post-mortem we will be treating the death as unexplained.'

Biggest solar storm in years races toward Earth

 

The largest solar storm in five years was due to arrive on Earth early Thursday, promising to shake the globe's magnetic field while expanding the Northern Lights. The storm started with a massive solar flare earlier in the week and grew as it raced outward from the sun, expanding like a giant soap bubble, scientists said. When it strikes, the particles will be moving at 4 million mph. "It's hitting us right in the nose," said Joe Kunches, a scientist for the National Oceanic and Atmospheric Administration in Boulder, Colo. The massive cloud of charged particles could disrupt utility grids, airline flights, satellite networks and GPS services, especially in northern areas. But the same blast could also paint colorful auroras farther from the poles than normal. Astronomers say the sun has been relatively quiet for some time. And this storm, while strong, may seem fiercer because Earth has been lulled by several years of weak solar activity. The storm is part of the sun's normal 11-year cycle, which is supposed to reach peak storminess next year. Solar storms don't harm people, but they do disrupt technology. And during the last peak around 2002, experts learned that GPS was vulnerable to solar outbursts. Because new technology has flourished since then, scientists could discover that some new systems are also at risk, said Jeffrey Hughes, director of the Center for Integrated Space Weather Modeling at Boston University. A decade ago, this type of solar storm happened a couple of times a year, Hughes said. "This is a good-size event, but not the extreme type," said Bill Murtagh, program coordinator for the federal government's Space Weather Prediction Center. The sun erupted Tuesday evening, and the most noticeable effects should arrive here between 1 a.m. and 5 a.m. EST Thursday, according to forecasters at the space weather center. The effects could linger through Friday morning. Center forecaster Rob Steenburgh said that as of 2:30 a.m. EST Thursday, there were no noticeable effects on Earth. But he said there were some indications from a satellite, which registered a slight rise in low energy particles. The region of the sun that erupted can still send more blasts our way, Kunches said. He said another set of active sunspots is ready to aim at Earth right after this. "This is a big sun spot group, particularly nasty," NASA solar physicist David Hathaway said. "Things are really twisted up and mixed up. It keeps flaring." Storms like this start with sun spots, Hathaway said. Then comes an initial solar flare of subatomic particles that resemble a filament coming out of the sun. That part already hit Earth only minutes after the initial burst, bringing radio and radiation disturbances. After that comes the coronal mass ejection, which looks like a growing bubble and takes a couple days to reach Earth. It's that ejection that could cause magnetic disruptions Thursday. "It could give us a bit of a jolt," NASA solar physicist Alex Young said. The storm follows an earlier, weaker solar eruption that happened Sunday, Kunches said. For North America, the good part of a solar storm — the one that creates more noticeable auroras or Northern Lights — will peak Thursday evening. Auroras could dip as far south as the Great Lakes states or lower, Kunches said, but a full moon will make them harder to see. Auroras are "probably the treat we get when the sun erupts," Kunches said. Still, the potential for problems is widespread. Solar storms have three ways they can disrupt technology on Earth: with magnetic, radio and radiation emissions. This is an unusual situation, when all three types of solar storm disruptions are likely to be strong, Kunches said. That makes it the strongest overall since December 2006. That means "a whole host of things" could follow, he said. North American utilities are monitoring for abnormalities on their grids and have contingency plans, said Kimberly Mielcarek, spokeswoman for the North American Electric Reliability Corporation, a consortium of electricity grid operators. In 1989, a strong solar storm knocked out the power grid in Quebec, causing 6 million people to lose power. Solar storms can also make global positioning systems less accurate and cause GPS outages. The storm could trigger communication problems and additional radiation around the north and south poles — a risk that will probably force airlines to reroute flights. Some already have done so, Kunches said. Satellites could be affected, too. NASA spokesman Rob Navias said the space agency isn't taking any extra precautions to protect astronauts on the International Space Station from added radiation.

The shooting of three IRA members by the SAS in March 1988 is linked to a major review commissioned by the Prime Minister David Cameron

 

The shooting of three IRA members by the SAS in March 1988 is linked to a major review commissioned by the Prime Minister David Cameron, it has emerged. Sir Desmond de Silva , PC,QC, a member of the Gibraltar Bar, was asked by the Prime Minister to chair a Review into the assassination of a well-known Belfast lawyer - Patrick Finucane, in 1989. As this case has had attached to it allegations of state collusion in the murder Sir Desmond’s Review will involve an examination of the activities of the intelligence services, the police and the army in Northern Ireland at the time. In order to properly discharge the work of this Review, Her Majesty appointed him a member of Her Privy Council. A Gibraltar connection springs from the SAS shootings of IRA operatives on the Rock. Mairead Farrell, who was one of the IRA operatives who was shot dead in Gibraltar, was engaged to be married to Seamus Finucane the brother of Patrick, whose own killing allegedly by agents of the state, Sir Desmond is currently investigating. It is understood that once the Review is complete and his Report is presented to Parliament Sir Desmond will return to his busy practice in London and abroad. Although he has been involved with the prosecution of some very high profile cases he is, perhaps, best known as a hugely successful defence QC who has, in Gibraltar alone, defended in many contested cases before the Supreme Court. On the October 12 2011 the Secretary of State for Northern Ireland appointed Sir Desmond de Silva QC to carry out an independent review into state involvement in the murder of Pat Finucane in 1989. Sir Desmond de Silva is determined to expose the truth about this “appalling” murder. “I know from my work internationally over many years that it is only when the truth is fully exposed that communities can put the trauma of conflict behind them to secure a lasting peace. Naturally, I will be applying the key principles of independence, thoroughness and impartiality in carrying out my work. The Government may have set my remit but it is now for me to take the task forward independently. There have been suggestions that this Review is not capable of hearing from individuals who may have information that could assist me in my work. This is not the case; I will certainly wish to see such individuals.” Sir Desmond asked any who may be able to assist to come forward and contact the Review at any stage to provide information or make representations. BBC reported that when they met last October 2011, the family of Pat Finucane cut short a meeting with Mr Cameron after the Prime Minister failed to order an inquiry into the killing. His family have long campaigned for an independent public inquiry. Pat Finucane’s widow Geraldine told reporters she felt so angry she could hardly speak. Mr Finucane’s family said they were “insulted” at the proposal for a review of the case and said they would continue their campaign for an independent public inquiry and would not participate in the review. Sir Desmond has written to the family asking them to contribute to the review.

Britain's biggest ever Ponzi scheme Kautilya Pruthi faces 14 years in jail

 

Kautilya Pruthi, 41, swindled investors out of £38m under a scheme that resulted in massive contractual losses. Among the 800 victims were former England cricketer and Strictly Come Dancing star Darren Gough and Unchained Melody singer Jerome Flynn, who are rumoured to have lost as much as £1m each. Pruthi blew £10m in three years renting luxury homes across the South East, buying Bentleys, Ferraris, Lamborghinis and Jaguars, while lavishing more than £370,000 on his lovers. He confessed to fleecing investors in January and John Anderson, 46, and Kenneth Peacock, 43, were convicted of carrying on an unauthorised regulated activity earlier this week. Anderson and Peacock were cleared of a charge of recklessly making misleading false or deceptive promises.

Tuesday, 6 March 2012

Two UK Murdoch journalists in apparent suicide bids

Two senior journalists working for Ruper t Murdoch's News International have apparently attempted suicide as pressure mounts at the scandal-hit publisher of the now-defunct News of the World. Three sources close to the company told Reuters on Tuesday the two journalists at the Sun daily appeared to have tried to take their own lives. Investigations sparked by a phone-hacking scandal continue to expose dubious practices by present and past employees. Eleven current and former staff of the Sun, Britain's best-selling daily tabloid, have been arrested this year on suspicion of bribing police or civil servants for tip-offs. Their arrests have come as a result of information provided to the police by the Management and Standards Committee (MSC), a body set up by parent company News Corp to facilitate police investigations and liaise with the courts. The work of the MSC, which was set up to be independent of the conglomerate's British newspaper arm News International, has caused bitterness among staff, many of whom feel betrayed by an employer they have loyally served. 'People think that they've been thrown under a bus,' one News International employee told Reuters. 'They're beyond angry - there's an utter sense of betrayal, not just with the organisation but with a general lynch-mob hysteria.' News International is facing multiple criminal investigations and civil court cases as well as a public inquiry into press standards after long-simmering criticism of its practices came to a head last July. Politicians once close to Murdoch, including Prime Minister David Cameron, turned their backs on him and demanded answers after the Guardian newspaper revealed the News of the World had hacked the phone of murdered schoolgirl Milly Dowler. Police officer Sue Akers, who is heading three criminal inquiries into News International, said last week there appeared to have been 'a culture of illegal payments' at the Sun. Staff at the tabloid have been under additional pressure for the past two weeks because they have also had to produce a Sunday paper, hastily announced by Murdoch to replace the News of the World. News International has increased the level of psychiatric help available to employees to help them cope.

Sheen's ex-wife charged with cocaine distribution

Charlie Sheen's ex-wife has been charged in Colorado with possession and distribution of cocaine stemming from her arrest in Aspen. Brooke Mueller was arrested by police on Dec. 3 after a woman reported being assaulted at a nightclub. Pitkin County chief deputy district attorney Arnold Mordkin said Friday that Mueller has also been charged with third-degree assault. Both drug charges are felonies. Possession with intent to distribute is the most serious and carries a penalty between four to 12 years. Conviction on the possession charge could result in up to 18 months behind bars. Mueller has vowed to fight the charges. Sheen and Mueller divorced last year after Sheen was arrested on suspicion of assaulting her in 2009. He pleaded guilty to misdemeanor assault and completed his probation in 2010.

Ex-drug prosecutor who handled Las Vegas celebrity cases gets 9 months in jail in crack case

 

A former top Las Vegas drug prosecutor who handled the high-profile Paris Hilton and Bruno Mars cocaine possession plea deals was sentenced Monday to nine months in county jail in a felony crack possession case. Former Deputy District Attorney David Schubert apologized to the court for what he called “a tragedy,” and then stood silently as a state court judge berated him as “a disgrace to his oath as a prosecutor and a lawyer.” 0 Comments Weigh InCorrections? Personal Post (Las Vegas Metropolitan Police Department/Associated Press) - This undated police booking photo released by the Las Vegas Metropolitan Police Department showes former Deputy District Attorney David Schubert. Schubert a former top drug prosecutor who handled the Paris Hilton and Bruno Mars cocaine possession plea deals in Las Vegas has been sentenced to nine months in jail in his own felony cocaine possession case. Clark County District Judge Carolyn Ellsworth also said that the terms of a plea deal that could have gotten Schubert probation and a chance to clear his record were “offensive.” “I’m not going to give you the special treatment,” the judge said. Police arrested Schubert in March 2011 after they watched another man get out of Schubert’s car, go into an apartment complex and return. Officers found Schubert with a $40 rock of crack cocaine and confiscated an unregistered 9 mm handgun from his car. Schubert once handled Clark County’s highest-profile drug prosecutions as the district attorney office’s liaison to a federal drug task force. Hilton, 30, was arrested after police said 0.8 grams of cocaine fell out of her handbag following a Las Vegas Strip traffic stop in August 2010. The celebrity socialite received a year of probation on misdemeanor cocaine possession and obstruction charges. She successfully completed probation last fall. Mars, 26, was cleared in January of a felony cocaine possession charge after staying out of trouble for a year and meeting other conditions of a plea deal. The Grammy-winning pop star, whose real name is Peter Hernandez, acknowledged in court in February 2011 that he had 2.6 grams of cocaine after a performance at a Hard Rock Hotel & Casino nightclub. Schubert resigned from the prosecutor’s office after his arrest and underwent two months of inpatient substance abuse counseling. The 48-year-old has been undergoing outpatient alcohol and drug counseling since May, and has been practicing criminal defense law in some of the same courtrooms where he was a prosecutor for 10 years. Schubert pleaded guilty to a felony charge of unlawful possession of a controlled substance not for sale. The conviction could threaten his law career, depending on a review by the State Bar of Nevada and action by the state Supreme Court, bar official Phil Pattee said. The judge ordered Schubert to surrender March 12 to begin his jail sentence. Defense attorney William Terry said he may appeal the sentence or ask the judge to take the rare step of setting it aside.

Kathryn Fuller, who barely survived taking contaminated cocaine that killed her 'Amazing Race' producer boss, is likely to be arrested and prosecuted by police

Kathryn Fuller, who barely survived taking contaminated cocaine that killed her 'Amazing Race' producer boss, is likely to be arrested and prosecuted by police in Uganda when she is released from the hospital. 

Police spokesman Asuman Mugyenyi said Monday that Miss Fuller is being treated as a witness and suspect after she was found unconscious on the floor of her hotel February 18 alongside Jeff Rice, who died.

The announcement casts doubt on her ability to fully recover from paralysis that has left the right side of her body limp. Her father said she must return home to South African for medical treatment.

Kathryn Fuller

'Suspect and witness': Kathryn Fuller is subject to arrest in Uganda when she is released from the hospital, where she is recovering from taking contaminated cocaine

Poisoned or Overdose? Jeff Rice was found dead on his hotel balcony in Kampala, Uganda
Katheryne Fuller, who was found unconscious in a Ugandan hotel next to the lifeless body of 'Amazing Race' producer Jeff Rice, is recovering in hospital

Bad drugs: Jeff Rice (left) has produced episodes of 'The Amazing Race' and other shows for American TV. He was working on a film in Uganda when he and Miss Fuller (right) took cocaine laced with fatal additives

'Ask people to pray that we come home,' Stuart Fuller, her father, told The Mercury newspaper.

Mr Fuller has been staying in the Ugandan capital of Kampala since Miss Fuller was discovered ill. 

Mr Rice, American TV and film producer, was found dead bleeding from his mouth and nose after taking the cocaine in hotel room he and Miss Fuller were sharing.

The pair were in Uganda working on a film Mr Rice was producing. 

 

 

 

Miss Fuller is currently recovering at a clinic in Kampala, but her father said she needs medical facilities and expertise only available in South Africa. 

'She can regain the use of her right side, but needs to come to South Africa for treatment and to recuperate,' Mr Fuller said.

However, Miss Fuller must likely face charges of consuming cocaine in Uganda.  

The case has alerted officials there to the possibility that Uganda is becoming a 'consumption destination,' a spot for adventurers and addicts to take illegal drugs with little risk of police detection.

Father

Family man: Mr Rice is the father of two small daughter, aged 7 and 1. He and his wife worked out of Durban, South Africa

Mr Fuller said he was disappointed in his daughter for taking the drugs, but says she has already paid the price for her mistake. 

'I am cross, extremely cross. She’s an extremely bright woman who made a mistake,' he said.

'After this, she’ll have to prove herself. We’ve been through hell, but which father wouldn’t rush to support his daughter?'

Police arrested Moses Kalanzi, a 23-year-old 'special hire driver,' for supplying contaminated cocaine and heroin to Mr Rice. 

The driver is co-operating with police and could face charges for his role in the transaction, according to Ugandan newspaper the Daily Monitor.

Work: Rice helped producers on The Amazing Race, which follows teams as they travel around the world for a prize of $1 million. He worked on its latest season

Work: Rice helped producers on The Amazing Race, which follows teams as they travel around the world for a prize of $1 million. He worked on its latest season

 

'There was constant communication between the special hire driver and Rice on phone about the purchase of the drugs,' said a police spokesman. 'So we want to know the source of the drugs and how it is trafficked into the country.'

Father-of-two Mr Rice, 39, who worked on the series The Amazing Race, was discovered slumped over a table bleeding from his nose and mouth at the Serena hotel in the capital, Kampala. 

 

Family: Miss Fuller's father Stewart Fuller traveled Kampala in the hopes of taking his daughter back to south Africa for treatment

Family: Miss Fuller's father Stewart Fuller traveled Kampala in the hopes of taking his daughter back to south Africa for treatment

An official toxicology report confirmed the narcotic with a 'lethal additive' was in Mr Rice’s blood, dispelling initial suspicions he had been poisoned by attackers or that he had swallowed it to conceal the drugs from police.

Mugenyi, the Ugandan police spokesman, said: 'Rice… used cocaine which had lethal additives and that’s what killed him.'

Brad Nathanson, a private investigator and friend of Mr Rice, said he had been shown the toxicology report by police and there was no evidence of 'foul play' in Rice’s death.

He said: 'In fact it was as a result of buying bad drugs, cocaine to be specific … it was a bad concoction.' 

'I have read the toxicology report … it shows that there were small traces of cocaine in their blood and urine.' 

Mr Nathanson said he had traveled to Uganda as a favor to the Rice family following rumors he had been poisoned.

Miss Fuller was found unconscious at the same time Mr Rice’s body was discovered 

Mr Rice and Ms Fuller were believed to have voluntarily consumed the drugs, meaning she could be prosecuted under Uganda’s drug laws. Drug use can carry a jail term in Uganda.

As well as the Amazing Race, Mr Rice also worked on Animal Planet's Whale Wars and the South African version of The Biggest Loser.

He is survived by daughters, ages 2 and 7.




How Wall Street Bankers Use Seamless To Feast On Free Lobster, Steak, And Beer


A former Morgan Stanley banker recently described his weekend food-ordering ritual at the height of the recession. While pulling Saturday hours, for example, he'd log onto the bank's account on Seamless, the online food-ordering service, and redeem his meal allowance--plus a few allowances from phantom coworkers who weren't actually in the office, allowing him to eat well above his pay grade. Sure, someone could have cross-checked actual office attendence with the online orders, but is such effort worth the investment bank's time? "If people weren't around, it was totally acceptable to take their allowance, and pool it together when you ordered," the banker recalls. "Almost every weekend I was at the office, I'd have a $90 dinner of steak, lobster, mac & cheese, and calamari." Until several years ago, corporate giants like Morgan Stanley made up roughly 85% of Seamless's customer base. That figure has now tipped in favor of individual consumers, but enterprise clients still represent a significant (and growing) part of the New York-based company's revenue--companies offer Seamless as a benefit to those who typically work long or late hours. But for employees of these roughly 3,500 corporate Seamless customers, the benefit represents a huge opportunity to game the system. And no one has worked the system for financial gain better than Wall Street hustlers. "Abuse of the system was rampant," recalls another former Morgan Stanley staffer. "I added up how much I ordered in my first year: It was more than $3,000 of food." Here's how it works. Typically, junior professionals are allotted about $25 per meal at the office. But there are tricks to leverage this cash on Seamless. If employees want to order dinner, for example, they have to stay until 8 p.m. "But you could still order for a 7 p.m. delivery at 6 p.m., then call the restaurant directly and tell them to bring it right away," one employee says. "So I'd finish work around 6:30 p.m., hit the company gym, and then grab my sushi--spicy tuna rolls--on the way out." A Seamless Scam How Gordon Gekko Orders On Seamless 1// Top Seamless Fiend According to Seamless' statistics, the highest ordering corporate user placed more than 2,600 orders in 2011, or more than 7 meals per day. 2// Top Cuisine By Industry Employees Investment Bankers: Sushi; Educators: Pizza 3// Top Ordering Patterns Corporate dinner-orders in New York's Financial District peak at 8 p.m. In Midtown, corporate orders peak at 7 p.m. Corporate dinner-orders are higher, on average, from 4-5 p.m. and lower between 8 p.m. and 9 p.m. Ordering groceries on Seamless was--and likely still is--another practice. (Representatives at Goldman Sachs and Morgan Stanley have not responded to requests for comment.) One employee, who lived by Morgan Stanley's Midtown offices, would even remote into her office computer from her apartment, place an order on Seamless, and then call the restaurant and change the delivery address to her apartment. The lobster-loving Morgan Stanley banker's take on that old switcheroo? "Classic." Another trick: Since employees aren't allowed to order beer or alcohol on the system, it's not uncommon to pool money together, place a large order for random items, then call the store and request that they bring beer instead. "We definitely get a lot of random orders," says Seamless CEO Jonathan Zabusky. "Once in a while, I'll sit on the customer-care desk, just to get a feel on the pulse of what's going on. You see these orders come through, and you're like, 'Why are 20 rolls of toilet paper going to 200 Vesey Street [the World Financial Center]? What the hell?'" One former employee at Morgan Stanley said he wasn't sure how pervasive the "switch-for-beer order" was at the investment bank, but said he personally pulled the move several times. "Wow, I feel so lame now because when I'd order from Seamless, I'd just get dinner," says one former Goldman Sachs employee. "I never heard of anyone else pulling a fast one [like that], but that doesn't mean it never happened." The daily Seamless stipend is considered sacred for employees, and any abuse of the system appears generally overlooked by higher-ups. When Lehman Brothers went under, for instance, Morgan Stanley lowered the Seamless limit from $30 to $25, much to the anger of workers. "People went nuts," recalls a former employee. "Every so often there were these fireside chats with [Morgan Stanley CEO] John Mack 'Da Knife' and a collection of analysts. One of the women on the call asked Mack to raise the limit to $30 again. Mack, not really having paid much attention to expenses, was surprised to hear it had been reduced. Concerned, he asked her why she needed $30 instead of just $25. She said that with the new reduction, 'I can't order my Perrier anymore.'" The next day, as legend has it, there was an entire case of Perrier on her desk--courtesy of John Mack. "What a baller," an employee says. Zabusky is sure abuse exists on Seamless, but says it's not likely that widespread. "I think it's pretty funny," the Seamless chief chuckles. "I mean, I know it probably frustrates a CFO at Goldman, who is giving these guys $25 to order while they work on deals, and they're ordering toilet paper and jars of mayonnaise and all this other stuff. But in the overall scope, it's probably pretty small." Small as the abuses might be in terms of Seamless's bottom line, there's no doubt it has a big impact on the morale of employees, who seem to take pride in manipulating money one way or another. According to Seamless's statistics, for example, the highest ordering corporate user placed more than 2,600 orders in 2011. "There's nothing grosser or more magnificent than eating $25 of delivered Taco Bell under the fluorescent, sober lights of an office building," says one employee. "Do you have any idea how much baja sauce you can get for that money?"

Ponzi fraud: two men found guilty of involvement in £115m UK scam


Two men have been convicted of involvement in the UK's largest Ponzi fraud, which saw hundreds of people – among them the former cricketer Darren Gough and the actor Frances de la Tour – lose £115m. John Anderson, 46, and Kenneth Peacock, 43 were found guilty of unauthorised regulated activity at Southwark crown court in London on Monday, but were cleared of one count each of fraud. The jury is still deliberating over allegations that they deceived investors. The scheme's mastermind, Kautilya Pruthi, 41, of Wandsworth, London, has pleaded guilty to the fraud and is due to be sentenced later this week. Ponzi frauds – which take their name from the Italian conman Charles Ponzi, who was particularly fond of employing the scheme – use cash from new investors to pay returns to existing investors and depend on a constant stream of new investors to fund the payouts. The court heard that Gough and the actor and singer Jerome Flynn are each thought to have lost up to £1m in the fraud, which also duped De la Tour. Victims handed over their cash to Pruthi, who promised them safe investments with returns of up to 13%. Instead, he spent their money on entertaining women, paying his daughter's private school fees and chartering helicopters. He also bought a private jet and built a car collection that included three Bentleys, a Lamborghini, two Ferraris, two Mercedes, a Rolls Royce, a Jaguar and a Maserati. "Mr Pruthi is believed to be the UKs most successful Ponzi fraudster," said David Aaronberg QC, prosecuting. "He obtained some £38m from investors and caused contractual losses of over £115m." Aaronberg added: "He enjoyed the company of women and was generous in the payments he made to a number of female friends, for whom he bought cars as presents, in total giving them £373,149." Indian-born Pruthi came to the UK in 2004 having been deported to his homeland after serving a sentence for faking documents in the US. Jurors heard that on coming to the country, Pruthi was quickly able to pose as "a wealthy individual". After setting up his company, Business Consulting International, said Aaronberg, Pruthi accepted deposits and "orchestrated a large-scale and sophisticated collective investment scheme". He would send personally tailored emails claiming he could offer up to 13% returns on 12-month investments because the scheme was available to a limited clientele. But in reality, said the prosecutor, he was "robbing Peter to pay Paul". Pruthi, who was not registered with or authorised by the FSA, admitted four counts of obtaining money transfers by deception, one of participating in a fraudulent business, one of unauthorised regulated activity and one count of converting and removing criminal property. Peacock, of West Hampstead, north London, and Anderson, of Surrey, are alleged to have acted as "aggregators" who pooled funds from third parties and then passed them on to Pruthi, who had duped them into the fraud at the outset. Eventually the scheme collapsed as there were not enough new investors to bring in the money needed to keep the old investors happy. "The scale of this scheme was vast and the losses were immense; several investors lost their homes, others have been declared bankrupt," said Aaronberg. "The monies which Pruthi received were generally not invested anywhere, neither in the UK nor abroad." According to the prosecution, of the £38,631,792 Pruthi obtained, £28m was used to pay back other investors, while £10m was siphoned off for Pruthi's "lavish lifestyle".

Deadlocked Stanford Fraud Trial Jury Told to Keep Deliberating

 

The judge in R. Allen Stanford’s fraud trial ordered the jury to return to deliberations after the panel sent a note saying it couldn’t reach a unanimous verdict in its fourth day of reviewing the evidence. The eight men and four women on the jury told U.S. District Judge David Hittner in Houston yesterday they were “unable to reach a verdict on each of the 14 counts,” the judge said, reading their note to attorneys for both sides. Enlarge image R. Allen Stanford, accused of leading a $7 billion investment fraud scheme, gestures as he exits the Bob Casey Federal Courthouse in Houston, Texas. Photographer: F. Carter Smith/Bloomberg Hittner instructed jurors to “continue your deliberations in this case,” telling them the trial has been costly in terms of both time and money, that the lawyers were unlikely going to be able to put on a better trial and that another jury was unlikely to be more conscientious. “It is your duty to agree upon a verdict if you can do so, without surrendering your conscientious opinion,’” Hittner told them. Stanford, 61, is accused of leading a $7 billion international fraud scheme involving the sale of certificates of deposit issued by his Antigua-based bank. He faces as long as 20 years in prison if found guilty of the most severe charges, mail fraud and wire fraud. The financier maintains he is not guilty. After the jury returned to deliberations, lead prosecutor Gregg Costa told the judge the jury’s note could be construed as meaning it couldn’t agree on any one of the 14 counts against Stanford or upon all of the counts. ‘We’ll See’ While acknowledging the possibility of having to accept a partial verdict, Hitter said, “We’ll see what comes out next.” When Hittner instructed the jurors to “take all the time you may feel necessary” to reach a verdict, one of the jurors grimaced. The jury left for the day yesterday after being told to resume deliberations. Jury selection in the case began Jan. 23 and the panel heard five weeks of evidence. The government presented testimony at from investors who bought the allegedly fraudulent CDs as well as from the executives who helped sell them. The witnesses included government officials and former Stanford Group Co. Chief Financial Officer James M. Davis, who pleaded guilty to fraud-related charges in 2009 and testified for five days against Stanford. Davis, whose relationship with Stanford traces back to when they were Baylor University roommates, told the jury he knew the boss was committing fraud and didn’t stop it. The defense presented former Stanford employees who said they saw no evidence of fraud at the company. Some offered testimony in support of the defense’s contention that Stanford was an absentee visionary who left the details of running his operation to Davis. Stanford didn’t testify during the trial.

Mandela faces fraud charges

The liquidators of Aurora Empowerment Systems, which is accused of asset-stripping bankrupt Pamodzi Gold, will lay charges of fraud this week against Nelson Mandela’s grandson Zondwa, and Ahmed Amod, an attorney for the company. The liquidators are also said to be planning to lay charges this week against Aurora chairman Khulubuse Zuma and possibly other directors under section 424 of the Companies Act, under which directors can be held personally liable for company debts. The charges follow a threat by the liquidators to lay charges of perjury against Thulani Ngubane, a director of Aurora, after he gave evidence at an inquiry.

Friday, 2 March 2012

Chris Huhne and his ex-wife, Vicky Pryce, appear in court

 

The former cabinet minister Chris Huhne and his ex-wife, Vicky Pryce, have made a brief appearance at Southwark crown court, accused of perverting the course of justice. The 57-year-old Liberal Democrat former energy secretary and economist Pryce, 59, were not required to enter pleas. The two could face trial in October or earlier. Huhne has hired leading criminal barrister John Kelsey Fry QC to represent him on charges he wrongly informed investigators his wife was driving a car which allegedly exceeded the speed limit. The barrister recently represented the football manager Harry Redknapp, who was acquitted of tax fraud charges last month. Huhne, who stood down from the cabinet to fight the claims, remains as MP for Eastleigh, Hampshire. Pryce is represented by another leading barrister, Clare Montgomery QC. The two sat a few feet from each other in the glass panelled dock of court one at Southwark crown court, but did not speak. Huhne is alleged to have asked Pryce to take his penalty points for a speeding offence almost a decade ago. His car was allegedly caught by a speed camera on the motorway between Stansted airport in Essex and London in March 2003. The allegations over the speeding penalty points did not emerge until after the MP's 26-year marriage ended in 2010 as a result of his affair with his PR adviser Carina Trimingham. Judge Mr Justice Saunders was told any trial would last no longer than two weeks. Both are charged with perverting the course of public justice, which carries a maximum sentence of life imprisonment. Pryce was listed in court by her Greek forename of Vasiliki. The two were granted unconditional bail and will appear again for a plea and case management hearing in May.

Judge rejects Giggs privacy claim

 

A damages claim by Manchester United and Wales footballer Ryan Giggs against the Sun newspaper has been thrown out by a High Court judge. Giggs claimed that The Sun "misused" private information and argued that he was entitled to claim damages for distress and breach of a right to privacy enshrined in human rights legislation. However The Sun argued that Giggs's claim - made after the newspaper published an article about a relationship with reality television star Imogen Thomas - is "dead in the water" and should be stopped. Mr Justice Tugendhat heard arguments at a High Court hearing in London last month and delivered his ruling on Friday. Hugh Tomlinson QC, for Giggs, argued - at a hearing on February 21 - that The Sun misused private information in the article, in which Giggs was not identified. Mr Tomlinson said Giggs was claiming damages for the subsequent republication of information in other newspapers and on the internet, and argued that his claim should go to trial. He suggested that the Sun article "generated a large media storm" and said the damages claim was about "providing effective protection" for Giggs's right to privacy - enshrined in the European Convention on Human Rights. Richard Spearman QC, for The Sun's publisher News Group Newspapers, said the article reported Ms Thomas's relationship with a Premier League player and did not identify Giggs. He said The Sun behaved "properly" and was not responsible for what happened after the article appeared. Mr Spearman said legal action had been "spun along for a long, long time" - an allegation Mr Tomlinson described as being "wholly without foundation" - and told the court: "Going forward, there just is not a basis." In a written judgment, Mr Justice Tugendhat said he had decided to "refuse to grant relief" to Giggs.

Thursday, 1 March 2012

Ronnie Wood: Show keeps me sober

 

Ronnie Wood has revealed doing his radio and television show has helped him stay sober. The Rolling Stones guitarist, who has previously opened up about his alcoholism, presents a show on Absolute Radio, which has been turned into a television series for Sky Arts. And he said having a focus has helped him stay off the booze. He said: "While I've been keeping sober, it's been a way to express myself in a new focused way. It has helped me stay sober because of all the archives I'm having to plough down with my producer. I've had to concentrate but I also get the freedom, it's what I do, I deal with music, I get energy from it." The musician entered rehab after an intervention by artist Damien Hirst, and Ronnie told the Radio Times he knew he had to get clean as he was becoming immune to the effects of drugs and alcohol. He said: "The drink wasn't working, the dope wasn't working. I wasn't getting high. I was getting p'ed off and I was getting annoyed at myself. I thought, 'I'm not this person'."

Share

Twitter Delicious Facebook Digg Stumbleupon Favorites More