Police warn they may not be able to afford Tesco's £3m riot compensation bill

 

In total, the retailer has asked for nearly £3m in compensation from police forces around the country, following the riots that tore through some high streets in August. It is likely that this is the biggest request from a single retailer. The company is claiming under the Riot Damages Act, a piece of Victorian legislation that allows businesses and individuals affected by riot damage to claim directly from the police, rather than their own insurer. In the immediate aftermath of the civil disturbances, the British Retail Consortium urged small retailers to put in their claims to make sure their businesses were not harmed. However, the Greater Manchester Police Authority, which has been hit with 280 claims totalling £4.4m, has criticised Tesco for using the Act, saying there was no guarantee the police force would be able to afford all of the compensation. The force faces £134m budget cuts in the next five years. It added that J Sainsbury was one of a number of large companies that had chosen not to submit any compensation claims. Tesco has submitted more than 20 claims for compensation to Manchester police, including one for £40-worth of looted stock.

Read the rest of this entry »

Brussels threatens to sue Britain to let in 'benefit tourists'

 

Ministers fear the move could leave taxpayers handing out as much as £2.5  billion to EU nationals, including out-of-work “benefit tourists”, a new cost that could wreck Coalition plans for welfare reform. The commission’s threat, on the eve of the Conservative Party conference, has raised the political temperature on Europe still further. In an outspoken attack today, Iain Duncan Smith, the Work and Pensions Secretary, says the commission’s move is part of a “wider movement” by the “unelected and unaccountable” European authorities to extend their power over the UK. “This kind of land grab from the EU has the potential to cause mayhem to nation states, and we will fight it,” he writes in The Daily Telegraph. The commission is objecting to Britain’s rules on welfare, claiming they discriminate unfairly against foreigners. To claim benefits in Britain, EU nationals must pass a “right to reside” test. The commission says the test is too tough, and wants Britain to apply more generous EU-wide rules.

Read the rest of this entry »

Legal warning to UK over benefits for EU nationals

 

The European Commission has threatened legal action against the UK, saying a test of eligibility for benefits discriminates against foreigners. It says it is easier for UK citizens to prove their "right to reside" - a test imposed by the UK for certain benefits - than EU nationals. The commission says it may refer the case to the European Court of Justice. Ministers say it is a "fundamental challenge" to the UK's right to decide its own social security arrangements. The Commission says it has been in talks with the UK for several years over the issue and is responding to a "huge number" of complaints from EU citizens living in the UK. Residence tests On Thursday it announced that it was giving the UK two months to explain how it was going to bring its legislation into line with EU law - prompting UK Work and Pensions Secretary Iain Duncan Smith to accuse it of a "land grab" and to pledge to fight it. A range of entitlements - including child benefit, child tax credit, state pension credit, jobseekers' allowance and employment and support allowance - are given only to those with a "right to reside" in the UK. Continue reading the main story WHAT BENEFITS ARE INVOLVED Child benefit Child tax credit State pension credit Jobseekers' allowance The Commission says there are already an EU-wide "habitual residence" rules which are strict enough and the UK is imposing an additional test, which indirectly discriminates against non-UK EU nationals. While UK nationals can easily prove their "right to reside" based on their UK citizenship, other EU nationals have their applications heard on a case-by-case basis, which it says breaches EU social security co-ordination rules giving all citizens equal rights. The Commission gives the example of a woman who moved to the UK and worked from April 2007 to April 2009 when she was made redundant. It says she had paid taxes and National Insurance but was refused claims for jobseekers' allowance. 'Very sound' It says UK citizens in other EU states do not have to meet similar tests and get non-contributory benefits. Laszlo Andor, Commissioner for Employment and Social Affairs, said the EU's legal position was "very sound". Continue reading the main story “ Start Quote We are talking here.. about people who are inactive, people who are looking to come to the UK who are not going to work here” Chris Grayling Employment minister "The EU insists on the right of mobile workers to move from one country to another and, in certain places, they are entitled to benefits," he told the BBC. "We want to protect the rights of all EU citizens." Most people moving abroad already had offers of work or were looking for it, he said, rather than primarily wanting to take advantage of more generous benefits. "It may happen that some of them do not a find a job immediately. It is very important that, in these cases, the rights should be respected." He added that some people might choose to move to a country where benefits were higher but "since we have a European Labour market we have to accept this as a fact". But UK ministers fear taxpayers could be forced into handing out more than £2bn to EU nationals - including so-called "benefits tourists" - if the UK has to comply. 'Difference of opinion' Employment minister Chris Grayling, who met EU officials this week to discuss the issue, said there was a "very definite difference of opinion" between the UK and the Commission. "We are talking here, not about active citizens, not about people who are working but people who are inactive, people who are looking to come to the UK who are not going to work here." He said European law was "all over the place at the moment" and the UK had separately been told by the European courts to make disability benefit payments to a British citizen living in Spain. He said 13 EU states had proposed a "comprehensive review" of policy in the area in June and talks were continuing. Nigel Farage, leader of the UK Independence Party, which campaigns for Britain's exit from the EU, said: "It is not discrimination but simply a system to ensure that benefits are only paid to those who are entitled to them."

Read the rest of this entry »

Hell's Angels biker gangs shut down in Frankfurt

 

Displaying the Hell's Angels badges is now an offense

Hell's Angels motorbike gangs have been outlawed from the German city of Frankfurt. State authorities banned the bikers after accusing of them of criminal activity and seizing control of the streets.

 

 

State authorities have banned the Hell's Angels motorbike gangs in Frankfurt, on the grounds that they were engaged in criminal activity.

Boris Rhein, interior minister for the state of Hesse, accused the gangs of running drug and prosecution rackets through which they had seized control of the streets.

"This is a clear signal that we won't allow a state within the state," said Rhein, adding that the gangs were disciplined by a vow of silence.

All assets of the outlawed Westend and Frankfurt chapters of the Hell's Angels were seized under the ban. Each chapter is believed that have around 90 members.

Two other Hell's Angels groups were banned in other parts of Germany in June and last year, although gangs in the rest of Germany remain legal.

Read the rest of this entry »

Firebombing probed in east-end Montreal

 

Montreal police believe a firebombing in the east-end borough of Pointe-aux-Trembles Wednesday night may be linked to street gangs. Police are investigating after someone threw a Molotov cocktail between two vehicles parked behind and apartment building on the corner of Marien Avenue and De la Gauchetière Street at around 8:30 p.m. “It's a citizen who was near the scene who put out the fire,” said Const. Danny Richer of the Montreal police. “So far the investigation seems to indicate that the vehicle targeted is linked to street gangs. That's why the investigation has been transferred to the Montreal police arson squad.” One of the vehicles belongs to a suspected member of a street gang, he said. No one was injured in the attack. Arson investigators are now speaking to witnesses.

Read the rest of this entry »

Evansville police have arrested one person and are looking for two others in connection with a rash of what officers say are gang-related shootings this week on the city's South Side.

At least two people have been wounded by the gunfire since Tuesday.

Police say there have been multiple fights and shooting incidents involving two South Side gangs, "Wag Block" and "J Block," over the past several months, but this is the first time two people have been shot within a 24-hour period.

Kenneth Fox was arrested in connection with Wednesday night's shooting.

The shootings have occurred in four-block area between Madison and Jackson avenues west of U.S. 41.

"Pretty soon, somebody's child is going to get shot," said Jerry Dejarnett, 58, one of the few residents of the area willing to talk about the shootings. Dejarnett said this is the most violent period he's witnessed in his three years of living there.

In the most recent shooting Wednesday night, two women and two girls — ages 3 and 4 — were targeted.

No one in that incident was injured, police said, and the two people shot earlier are recovering fine, according to police, but officers doubt the retaliations they suspect are happening are over.

"I think things may be quiet for a day or two," said Sgt. Larry Nelson, "but you can always expect more violence when you have drugs and you have gangs."

Nelson wouldn't disclose how police plan to respond, but he noted that there has been a "heavy concentration" of marked and unmarked police cars in that area.

Police arrested Kenneth Fox, 25, early Thursday in connection with Wednesday night's shooting. He remains in Vanderburgh County Jail without bond on preliminary charges of attempted murder with a firearm and criminal gang activity.

Police are looking for David "Buck" Burge, 30, and Rayshaad L. Bushrod, 23, both of whom reportedly accompanied Fox and are reportedly in the "J Block" gang, according to an Evansville Police Department probable cause affidavit.

According to Fox's arrest affidavit, Wednesday's drive-by shooting happened in the 1000 block of Jefferson Avenue about 9:42 p.m.

Police found multiple shell casings in the street. One of the women, who lives on that street, told officers that Fox, Burge and Bushrod were in a gray Chevrolet Avalanche when they fired handguns from the vehicle at her, another woman and the two children.

Police found the gray Chevy Avalanche abandoned with its motor running in the 300 block of West Oregon Street near Harriett Street.

Officers learned Fox had a girlfriend who lived in the 1200 block of North Harriett St. about two blocks from where the vehicle was found.

Officers surrounded the house and Fox surrendered without incident.Sgt. Larry Nelson said that victim "knew of" the three men, and according to Fox's affidavit, she told 911 dispatchers, "It was the same subjects who were shooting last night."

That earlier shooting occurred near the intersection of Jackson and Evans avenues about 12:30 a.m. Wednesday when a man was shot in the right shoulder. Three black males were reported to have been seen running away from the area.

Lt. Monty Guenin said the 26-year-old man who was wounded in the shoulder, had refused to cooperate with police.

Fox has not been charged in connection with that incident, but police believe Wednesday's incidents are related.

The victim of Tuesday's afternoon shooting was also uncooperative, police on scene said. This shooting happened in the 700 block of Madison Avenue about 12:30 p.m., and, responding to a report of shots fired, police initially didn't know there was a victim.

The shooting suspect, 20-year-old Royce Oneal Calvin, was located and arrested a short while later.

Then officials received a call from St. Mary's Hospital about a 23-year-old man from that area man who had been shot in the leg.

He told police he had seen some men arguing, heard gunshots and then got shot. He got a ride to the hospital, police said, and he refused to press charges when police mentioned they had arrested Calvin.

Calvin admitted to shooting in that area around that time and said he possibly had shot someone, according to his arrest affidavit.

He remains in Vanderburgh County Jail in lieu of $10,000 cash bail and was preliminarily charged with criminal recklessness, possessing a handgun without a license and battery with a firearm resulting injury.

According to that police report, Calvin has a tattoo on his arm that reads "300 WNG BLOCK."

Nelson said they've been tracking several other gangs on the city's South Side, and he said the fights, shootings and bullets that have struck homes and vehicles in that area are all likely gang-related.

"They're not random," he said. "I can tell you that."

"I'm very scared and nervous," said Hazel Hooker, a 60-year-old woman who lives in the 700 block of Madison Avenue.

"I'm worried about the small children for one thing," she said, "because bullets don't have eyes."

Read the rest of this entry »

Gun charges filed: A known gang member was charged with several gun violations including aggravated unlawful possession of a weapon by a gang member

Mario A. Prado, 19, of the 400 block of St. Charles Street, Elgin, was arrested by Elgin police on charges of unlawful possession of a firearm by a street gang member, possession of a firearm without a firearm owners identification card, possession of a firearm with a defaced serial number, possession of a firearm under the age of 21, unlawful contact with a street gang member and resisting a police officer following an arrest Tuesday, Sept. 27, 2011.

Updated: September 29, 2011 2:23AM

 

 

Gun charges filed: A known gang member was charged with several gun violations including aggravated unlawful possession of a weapon by a gang member, after officers found a loaded sawed-off shotgun up his sleeve Tuesday night, police said. Mario A. Prado, 20, of the 400 block of St. Charles Street, Elgin, was stopped by police at National and Raymond streets about 7 p.m. while driving with another known gang member, police said. Prado also was charged with possession of a firearm without a firearm owners identification card, possession of a firearm with a defaced serial number, possession of a firearm under the age of 21, unlawful contact with a street gang member and resisting a police officer. “The Elgin Police Department will continue to aggressively pursue gangs — especially with our gang and drug units,” said Police Chief Jeff Swoboda. “We’re sending a very clear message: Gangs and gang activity will not be tolerated in our city.” Prado was in the Kane County jail Wednesday in lieu of $250,000 bond; he is to appear in court Oct. 6.

Read the rest of this entry »

Accused killer teen shows young face of Winnipeg gang war

 

Winnipeg's street-gang war took another tragic turn this week when police announced a 14-year-old boy is the suspected shooter in the city's 32nd homicide of 2011. The teenage is facing a first-degree murder charge in a homicide Sunday morning that police say was sparked by tension between rival gangs. David Michael Vincett, 20, was gunned down while walking on the city's Boyd Avenue around 3 a.m. Police arrested the 14-year-old suspect Tuesday evening. He has been detained at the Manitoba Youth Centre. He cannot be named under the Youth Criminal Justice Act. Const. Jason Michalyshen, spokesman for the Winnipeg Police Service, said police believe the homicide is tied to another recent killing. Clark Stevenson, 15, was stabbed to death as he rode his bike Sept. 10, in what police say was a gang-related confrontation. Days later, an 18-year-old man and 14-year-old boy were arrested and charged with second-degree murder. Before his death, Stevenson had boasted online about being a member of a local street gang. After the arrests, police acknowledged the homicide was motivated by gang tensions. "These groups appear to be in conflict with one another right now, and we're aware of that . . . and unfortunately we have two incidents where we have openly acknowledged that's the case," said Michalyshen. The boy accused of shooting Vincett was affiliated with gangs and may have had "similar associations" as Stevenson, police said. "These don't appear to be random acts, certain individuals appear to be targeted," Michalyshen said. He said before the shooting, Vincett and another teenager traded words about belonging to rival street gangs, before, it's alleged, a gun was pulled out and fired. Police said Vincett was dead by the time officers arrived. There was no indication the two knew each other before the shooting, police said. Michalyshen didn't describe Vincett as a gang associate, but did say "at the time he may have associated himself or verbalized that he was associated to a particular street gang." Winnipeg has had 10 more homicides this year than in all of 2010. On Wednesday, a woman whose own teenage son was shot to death 16 years ago said nothing has changed in the city since the day he died. Nancy Flett, the assistant executive director of the Indian Metis Friendship Centre, is also the mother of Joseph Beeper Spence, a 13-year-old who was slain in 1995. She said the violence in the city "sickens her." "People don't want to be out on the streets, people don't want to walk around on the streets. The only ones you see are a bunch of youth either on bikes, or people driving around," said Flett. "They just randomly go after people. They don't care if they're innocent or not, or if they're not connected in any way." She said society has to be concerned because "all the youth involved in gangs are getting to be younger and younger." Vincett's sister, Judith Ree, described him as a "good kid" in a message to the Winnipeg Free Press. Vincett, the father of a 10-month-old baby, had attention deficit hyperactivity disorder. "He was the kind of person who would give the shirt off his back to keep (you) warm or his last five bucks to feed (you)," Ree said. "Everyone makes mistakes in life . . . he just wanted everyone to like him."

Read the rest of this entry »

Teenage girl shot as she holds baby boy in her arms

 

teenage girl was shot in the street with two friends while clutching her baby son in her arms. Jessica Chrichlow, 18, collapsed to the ground alongside two sisters – named locally as Sammy, 17, and Alex, 19 – after being caught in the crossfire of a botched gangland attack, witnesses said. Police said it was “hugely fortunate” that the 11-month-old baby escaped injury. Detective Chief Inspector Mick Foote said: “It was a random, reckless act and we are fortunate we are not dealing with a fatal shooting here.” The three victims had been outside in John Fearon Walk, North Kensington, west London, enjoying balmy temperatures on Thursday evening when the attacker got off a bike and screamed “mother f****r” at the group, a neighbour, who did not want to be named, said. Police said the child may have been missed by inches as the bullet hit his mother. Mr Foote added: “I do not believe the girls were the intended targets. What’s particularly devastating is that the young girl was carrying a young child. This was totally unprovoked.” As a hunt was launched for several young men seen on bicycles on the west London housing estate on Thursday night, the officer said he was “working on the basis” that the shooting was gang-related. One neighbour said her 12-year-old daughter saw the shooting from her bedroom window. Jacky Cinesey said: “I have sent her to school in tears today. These girls were just outside enjoying the sunshine. It’s horrifying.” The girls had been enjoying the weather in a back garden when they began talking to a “large group” of boys outside, Mr Foote said. “It appears that a man on his own has gone towards the crowds and discharged a single shot from a shotgun,” he said. The gunman fled the scene and joined three other hooded males on bicycles, he added. Miss Chrichlow’s mother Isabel, who lives nearby, spoke only to confirm her daughter had been shot. Another local, Jenny Kantinda, 30, said she knew the three victims. “They were just sweet girls, we have had enough,” she said. Neighbour Leslie Arandi, 55, added: “The gangs are always cycling around here smoking drugs. I’m fed-up with it. Hopefully now the authorities will take notice.” Sammy has been discharged from hospital while the other two victims remain in a stable condition. The investigation is being led by Trident detectives, who deal with gang crime in the black community. Karen Buck, MP for Westminster North, expressed her concern as she visited the troubled Mozart Estate where the attack took place.

Read the rest of this entry »

Rio hit with £500k bill after losing court battle

The England and Manchester United star will now be saddled with paying the estimated £500,000 legal bills incurred by the Sunday Mirror in defence of the lawsuit.

Ferdinand sued the newspaper for misuse of private information after they published details of his 13-year relationship with interior designer Carly Storey, who accepted £16,000 for telling the tale of her liaisons with the defender.

But Mr Justice Nicol dismissed the case at London's high court on Thursday, and refused Ferdinand's legal team permission to appeal.

"Overall, in my judgment, the balancing exercise favours the defendant's right of freedom of expression over the claimant's right of privacy," he said.

The judge was not swayed by Ferdinand's claims that he had not tried to meet Storey after being made England captain, despite claims in the newspaper that he had snuck Storey into the team hotel.

"I did not find this answer persuasive. In his evidence the claimant said that (Fabio) Capello had told him to be professional, not only on the pitch but 'around the hotel'," the judge said.

"In the past, the Claimant (Ferdinand) had not behaved in a professional manner around the hotels into which he had tried to sneak Ms Storey.

"Whether or not he had done that in the few weeks since he had been made the permanent captain of England, his relative recent past failings could legitimately be used to call into question his suitability for the role."

Former England captain Ferdinand, who has three children with wife Rebecca, had told the judge at an earlier hearing that, "I do not see why I should not be entitled to a private life just because I am a famous footballer."

Sunday Mirror editor Tina Weaver hailed the judge's decision.

"The Sunday Mirror is very pleased that the court has rejected Rio Ferdinand's privacy claim," she said.

"The judge found that there was a justified public interest in reporting the off-pitch behaviour of the then England captain and discussion of his suitability for such an important and ambassadorial role representing the country.

"We are pleased the judge ruled that Mr Ferdinand had perpetuated a misleading public image and the Sunday Mirror was entitled to correct this impression.

"There has never been greater scrutiny of the media than now, and we applaud this ruling in recognising the important role a free press has to play in a democratic society."

Read the rest of this entry »

Paramedics Who Tried To Save Singer's Life Give Evidence

 

Alberto Alvarez was in charge of back stage during Jackson's final rehearsal on June 24, 2009. He described Jackson as "happy and in good spirits" during the performance. "He was doing very well for the most part," he told the Los Angeles court. He explained that he later drove Jackson back to his rented Holmby Hills home and saw Dr Murray's car parked there. He said the last time he saw Jackson alive was when he said "good night" to the singer. Mr Alvarez was the first person who went into Jackson's bedroom after Dr Murray telephoned for help as he was trying to resuscitate the singer. He said Jackson was lying on his back, with his hands extended out to his side, and his eyes and mouth open. "When I came into the room, Dr Murray said 'Alberto, hurry, we have to get to hospital, we have to get an ambulance'." Jackson's logistics director Alberto Alvarez He then described how Jackson's children Paris and Prince entered the room behind him. "Paris screamed out 'Daddy' and she was crying. "Dr Murray said to me 'Don't let them see their dad like this see'. "I ushered the children out and told them 'Don't worry, we will take care of it, everything is going to be OK'." Mr Alvarez asked what had happened, to which Dr Murray replied: "He had a bad reaction". Two paramedics who tried to save Jackson's life are also due to give evidence on day three of the trial. Martin Blount and Richard Senneff are expected to say that Jackson already appeared to be dead when they arrived at his home on June 25, 2009. The court will also hear from another key witness - Jackson's personal chef Kai Chase. Sky's US correspondent Greg Milam, who is at the court, said: "There are fewer demonstrators, fans of Michael Jackson, and supporters of Dr Murray here today - but they are still being very vocal in their support of both sides in the case." On Wednesday, Jackson's security chief revealed how the star's children crumpled in shock, as they saw their apparently dead father being given heart massage in his bedroom. The court also heard that Dr Conrad Murray, accused of involuntary manslaughter over Jackson's death two years ago, asked aides if any of them knew how to do cardiopulmonary resuscitation (CPR). "Paris was on the ground balled up crying, and Prince was standing there, and he just had a real shocked, you know just slowly crying type of look on his face," bodyguard Faheem Muhammad, referring to two of Jackson's three children, said. "I went and gathered them together, and I kind of talked to them for a second, got the nanny... and we walked downstairs and put them in a different location," he said. He was describing the scene after he was called up to the master bedroom of Jackson's rented Los Angeles mansion where the star died after an overdose of a powerful sedative. The defence team for the doctor insists Jackson self-administered other sedatives, prompting the overdose while his physician was outside the bedroom. Dr Murray, 58, faces up to four years in jail if convicted of involuntary manslaughter for administering the overdose of Propofol.

Read the rest of this entry »

Raids in 7 countries in $200M investment fraud

 

Dutch authorities say raids have been conducted in seven countries in connection with an alleged $200 million investment fraud scheme, and four men have been arrested. The country's financial crime prosecutors say they suspect hundreds of investors were conned into fraudulent investments in U.S. life insurance policies by a firm called Quality Investments BV. Prosecutors said Wednesday four Dutch men have been arrested, two in the Netherlands and one each in Switzerland and Turkey. Raids were also conducted in Spain, Dubai, England and the United States, in which millions of euros in assets were seized in hopes of recovering some money for duped investors.

Read the rest of this entry »

Global swoop nets huge haul of fake drugs: Interpol

 

Police and customs officers from 81 countries have seized 2.4 million doses of counterfeit medicine sold over the Internet during a one-week operation, international police body Interpol said Thursday. Fifty-five people were arrested during the September 20-27 operation, codenamed Pangea 4, and more than 13,000 websites closed down, Interpol said. More than 100,000 illegal doses were seized in France, over half of which were for supposed to be for treating male erection problems, France's medical security agency that took part in the operation, AFSSAPS, said. The operation was carried out for the fourth successive year in an effort to inform the public about the risks of buying medicines online. "Interpol's member countries and partners have shown through the success of Operation Pangea IV the Internet is not an anonymous safe haven for criminals trafficking illicit medicines," said Interpol secretary general Ronald Noble. The agency said it had targeted Internet service providers, online payment companies and delivery companies during the operation, in order that the whole supply chain of fake drugs be broken down. "We cannot halt the illicit online supply of medicines without a consistent, constant and collective international effort involving all sectors," said Aline Plancon, head of Interpol's fake drugs department. "The operation itself was only made possible thanks to a combined effort involving the 165 different participating agencies sharing and exchanging live information via Interpol's headquarters in Lyon," she said. Interpol has also posted messages on Internet video sharing sites warning punters "Don't Be Your Own Killer" by buying unlicensed pharmaceuticals.

Read the rest of this entry »

Motorway speed limit to be raised

 

The speed limit on Britain’s motorways is set to rise to 80mph but with a big expansion in the number 20mph zones in cities and towns, The Independent has learnt. As part of a deal negotiated with the Liberal Democrats the Transport Secretary Phillip Hammond is expected to announce the Government’s intention to bring in the new speed limit at the Conservative conference. Ministers will then consult on the proposal later in the year along with plans to significantly expand the number of areas in Britain covered by 20mph zones.

Read the rest of this entry »

Ferdinand loses privacy action

 

Rio Ferdinand has lost his privacy action over a "kiss and tell" story. The England and Manchester United centre back was not at London's High Court to hear Mr Justice Nicol dismiss his claim against MGN Ltd. Ferdinand, 32, brought his case for misuse of private information over an April 2010 Sunday Mirror article in which interior designer Carly Storey gave her account of their 13-year relationship in return for £16,000. The judge said: "Overall, in my judgment, the balancing exercise favours the defendant's right of freedom of expression over the claimant's right of privacy." Ferdinand had branded the piece - "My affair with England captain Rio" - a "gross invasion of my privacy", and said he had not seen Ms Storey for six years by the time it appeared. At a hearing in July, his lawyers asked for a maximum of £50,000 damages and a worldwide gagging order. Afterwards, Sunday Mirror editor Tina Weaver said in a statement: "The Sunday Mirror is very pleased that the court has rejected Rio Ferdinand's privacy claim. "The judge found that there was a justified public interest in reporting the off-pitch behaviour of the then England captain and discussion of his suitability for such an important and ambassadorial role representing the country. "There has never been greater scrutiny of the media than now, and we applaud this ruling in recognising the important role a free press has to play in a democratic society."

Read the rest of this entry »

Treasure hunters eye huge shipwreck haul

 

When the SS Gairsoppa was torpedoed by a German U-boat, it took its huge silver cargo to a watery grave. Seventy years later, US divers said they are working to recover what may well be the biggest shipwreck haul ever. Florida-based Odyssey Marine Exploration on Monday confirmed the identity and location of the Gairsoppa and cited official documents indicating the ship was carrying some 219 tons of silver coins and bullion when it sank in 1941 in the North Atlantic some 490km off the Irish coast. That's worth about $200m today, which would make it history's largest recovery of precious metals lost at sea, Odyssey said. "We've accomplished the first phase of this project -- the location and identification of the target shipwreck - and now we're hard at work planning for the recovery phase," Odyssey senior project manager Andrew Craig said in a statement. "Given the orientation and condition of the shipwreck, we are extremely confident that our planned salvage operation will be well suited for the recovery of this silver cargo." Recovery is expected to begin next spring. After a tender process the British government awarded Odyssey an exclusive salvage contract for the cargo, and under the agreement Odyssey will retain 80% of the silver bullion salvaged from the wreck. The 125m Gairsoppa had been sailing from India back to Britain in February 1941, and was in a convoy of ships when a storm hit. Running low on fuel, the Gairsoppa broke off from the convoy and set a course for Galway, Ireland. It never made it, succumbing to a U-boat's torpedo in the contested waters of the North Atlantic. Of the 85 people on board, only one survived. The Gairsoppa came to rest nearly 4 700m below the surface, but Odyssey is insisting that won't prevent a full cargo recovery. "We were fortunate to find the shipwreck sitting upright, with the holds open and easily accessible," Odyssey chief executive Greg Stemm said. "This should enable us to unload cargo through the hatches as would happen with a floating ship alongside a cargo terminal." Odyssey, a world leader in deep-ocean exploration, recently conducted remotely operated vehicles from its main ship, the Odyssey Explorer, to inspect the shipwreck. It said it acquired still and video imagery from the site which were used to confirm the identify and evaluate the condition of the Gairsoppa.

Read the rest of this entry »

Saudi women given right to vote

 

Saudi Arabia will allow women to stand for election and vote, the king announced on Sunday, in a significant policy shift in the conservative Islamic kingdowm. In a five-minute speech, King Abdullah bin Abdulaziz al-Saud said women will also take part in the next session of the unelected, advisory Shura Council, which vets legislation but has no binding powers. "Because we refuse to marginalise women in society in all roles that comply with sharia, we have decided, after deliberation with our senior ulama (clerics) and others... to involve women in the Shura Council as members, starting from the next term," he said in a speech delivered to the advisory body. "Women will be able to run as candidates in the municipal election and will even have a right to vote." Women's rights are regarded as a litmus test for the government's appetite for social and political reform. Saudi Arabia adheres to a strict version of Islamic law that enforces the segregation of the sexes. "This is great news," said Wajeha al-Huwaider, a Saudi writer and women's rights activist. "Women's voices will finally be heard. "Now it is time to remove other barriers like not allowing women to drive cars and not being able to function, to live a normal life without male guardians."

Read the rest of this entry »

Settling in Britain is a privilege not a right

 

THE following is the summary of a speech delivered on September 15, 2011, by Britain’s Immigration Minister Damian Green at the Centre for Policy Studies [see full speech]. The speech is an indicator of the possible policy changes that will come out of the consultation currently underway into the reform of family migration. The consultation opened on July 13, 2011, and will close on October 6, 2011. It is important that as migrants to this country, we take time out to respond to this consultation as judging from Green’s speech it will have far reaching consequences for immigrants . Some of the proposals on the table include the following: # Whilst recognising that marriage is a personal decision, it is argued that it has implications on the wider society and therefore the spouse seeking settlement will be expected to demonstrate that they have integrated into British society. It is proposed to increase the probationary period for a non-EEA spouse or partner to apply for settlement from two to five years. It is argued that, this will allow additional time to integrate into British life and give authorities a longer period in which to test the genuineness of the relationship before permanent residence in the UK is granted on the basis of it. Ministers also believe this will also make the route less attractive to those whose sole purpose is to gain settlement in Britain. It is also argued that extending the probationary period will reduce the burden to the taxpayer by postponing access to non-contributory benefits like income support. # Immediate settlement for adult dependents will be stopped. Currently under paragraph 317 of the immigration rules, a sponsor who is settled in the UK can sponsor adult dependents in certain circumstances. Instead, a probationary period of five years will be introduced before they can apply for settlement. As a result, their in-country application for settlement will be subject to meeting the English language skills requirement. # In fact the English language test is to be extended to all adult family migrants under 65 as well as dependents aged 16 and 17. The justification Green uses for this is the rather shock data that in one year, 2009-10, the Department of Work and Pensions spent £2.6 million on telephone interpreting services and nearly £400,000 on document translation. # The outcome of the consultation is likely to come up with a minimum maintenance threshold. Presently, it has been safe to argue that if the income meets the income support threshold then it demonstrates sufficiently that they can be accommodated and maintained without recourse to public funds. The Migration Advisory Committee has been tasked to come up with a new minimum income threshold for sponsors of dependents for maintenance and accommodation. The new threshold will take into account the number and age of the dependents sponsored. # It looks like third party support is on its way out except in compelling and compassionate circumstances. Presently, it has been possible to show that a third party will assist with the maintenance requirements. But Green argues that it is not easy for the UK Border Agency to verify this. # The dependents of points-based migrants are to face a probationary period increase of two to five years before settlement. # For some time now, there has been an expression of dissatisfaction by the UK Border Agency about the right of appeal in family visit visa matters. It will come as a surprise given what appears to be routine refusals from the Pretoria entry clearance team that a staggering 73% of the family visits applications are granted. Green argues that the tax payer has to foot the bill for the right of appeal where people produce better evidence than they could have produced at the initial application stage. His argument is reinforced by the statics that family visit appeals made up 40% of all immigration appeals and that it cost the taxpayer around £40 million a year. About 63% of the family visits matters are allowed on appeal. The consultation proposes to end the right of appeal and argues that one can submit a new application instead. As I stated above, it is a good idea to read the consultation and respond to it. At first blush, the 77-page consultation document can appear daunting but it does provide a useful insight into where this government intends to take its immigration policy

Read the rest of this entry »

UBS CEO Gruebel resigns over rogue trading loss

 

UBS chief executive Oswald Gruebel has resigned over a $2.3 billion loss caused by rogue trading at its investment division, which is to be restructured now to prevent similar incidents in future, the Swiss bank said Saturday. Gruebel, who had come under heavy pressure from shareholders over the scandal, said he hoped his resignation would allow the bank to restore its reputation in the eyes of clients and investors. Article Controls EMAIL REPRINT NEWSLETTER SHARE "As CEO, I bear full responsibility for what occurs at UBS ( UBS - news - people )," he said in a memo to staff. "From my first day on the job I placed the reputation of the bank above all else. That is why I want to and must act according to my convictions." UBS Europe chief Sergio P. Ermotti will take over immediately as interim chief executive until Gruebel's replacement is appointed. Gruebel's departure caps 10 days of speculation over his future following the bank's announcement that a single London-based trader had evaded internal control systems and gambled away $2.3 billion. The trader, 31-year-old Kweku Adoboli, was arrested Sept. 15 and charged with fraud and false accounting. A judge ordered him Thursday to be held in jail until a hearing next month.

Read the rest of this entry »

Alexa Chung range a hit

 

Alexa Chung's latest range for Madewell caused the retailer's website to crash. The British beauty announced her partnership with the label last year, creating a line that was popular amongst fashionistas. Alexa launched her second collection with the US brand yesterday and celebrated with a star-studded bash in Los Angeles. The 27-year-old star tweeted her excitement before the party. "It's my Madewell collection launch party tonight in LA. Very Exciting," she wrote, before later letting her fans know how popular the launch had been. "Congrats! You crashed the @madewell1937 website with the purchase onslaught. Glad you like it! Xxxx (sic)," she added. Guests at the fashion launch included Kate Bosworth, Elle Fanning, Amanda Seyfried and Dianna Agron. Alex donned a gorgeous Madewell mini dress for the party, while Elle also opted to wear the designer. The young actress chose a lacey shift, while Amanda wore a polka dot Madewell blouse. Diana also chose to sport the label, and opted for a tan-coloured shirt dress. Alexa's range includes vintage-inspired tea dresses, skirts and lace tops. The star's advertisements, which were shot in Austin, Texas, were recently revealed last month. "We were all so in sync," Madewell's Head of Design, Kin Ying Lee said of the process. "Since it's the second collection, it was like old friends getting together and creating something - and having a great time in the process.

Read the rest of this entry »

THE Queen gave Prince William the go-ahead to rip up the official guest list for his wedding to Kate Middleton

Prince William (pic: Handout)

THE Queen gave Prince William the go-ahead to rip up the official guest list for his wedding to Kate Middleton, he has revealed.

He told how he never knew a soul on the official paper of hundreds of people and was not happy with the line-up.

“They said: ‘These are the people we should invite’. I looked at it in absolute horror and said: ‘I think we should start again’.”

The 29-year-old said: “I came into the first wedding meeting, post-engagement. And I was given this official list of 777 names, dignitaries, governors, all sorts of people, and not one person I knew.

William told how he then approached the Queen for help. He added: “I rang her up the next day and said: ‘Do we need to be doing this?’

“And she said: ‘No. Start with your friends first and then go from there’. And she told me to bin the list.

“She told me there are certain times when you have to strike the right balance.”

Read the rest of this entry »

Former deputy editor received £25,000 from News of the World publisher after starting work as consultant with police force

Former News of the World deputy editor Neil Wallis leaving Hammersmith police station in July. Photograph: Murray Sanders/Mail On Sunday

The relationship between the police and the News of the World has come under fire again amid revelations that Neil Wallis, the former deputy editor of the News of the World, was paid by the paper's publisher for "crime exclusives" while working for the Metropolitan police.

Wallis was secretly paid more than £25,000 by News International after he left the paper and got a contract to work two days a month as a PR consultant with the Met. One story earned him a single payment of £10,000.

The Daily Telegraph claims that internal records obtained by Scotland Yard show that he was paid for providing News International with details of a suspected assassination attempt on the Pope during his visit to the UK last year.

A spokesman for Scotland Yard said the contract it had with Wallis's PR firm, Chamy Media, "had a confidentiality clause, a data protection act clause and a conflict of interest clause within it".

He added that Wallis did not have access to the Met's IT systems.

The revelations that Wallis received money from News International while working for Scotland Yard will raise questions about conflicts of interest.

Last month, it emerged that Andy Coulson, the former editor of the News of the World, continued to receive payments from News International as part of a severance deal after he was employed by the Tory party as its director of communications.

Wallis's solicitor has made a complaint alleging that the police had leaked the information regarding the payments.

 

 

Read the rest of this entry »

Suit Planned Against News Corp. in U.S. Over Phone Hacking

 

lawyer representing some of Britain’s phone hacking victims said on Friday that he was planning legal action in the United States against the News Corporation, the parent company of Rupert Murdoch’s global media empire. Enlarge This Image Luke Macgregor/Reuters Mark Lewis said he had held discussions about the steps needed to proceed against the News Corporation in New York. Multimedia Interactive Graphic Key Figures in the Phone Hacking Case Graphic Statements by Top Figures in the Hacking Scandal Interactive Feature Anatomy of the News International Scandal Related Millions May Go to Girl’s Family in Hacking Case (September 20, 2011) Times Topic: British Phone Hacking Scandal (News of the World) In a series of interviews in London, the lawyer, Mark Lewis, said he had held discussions with American lawyers about the steps necessary to open proceedings against the News Corporation in New York, and that he expected the process to begin soon. He said he had hired Norman Siegel, a New York lawyer who has represented many of the families of those killed in the terrorist attacks on Sept. 11, 2001, to handle the case. In an interview with Sky News, a British television network that is part of the Murdoch empire, Mr. Lewis said that the legal action in the United States would focus on the “News Corporation’s liability for actions by its foreign subsidiaries,” including the tabloid The News of the World, which has been at the center of the phone hacking scandal and was closed in July. He said the lawsuits would focus on the revelations of widespread phone hacking in Britain and on accusations that the police were bribed to assist in the tabloid’s pursuit of scoops. Mr. Lewis did not respond to voice mail messages requesting an interview on the issue. In another development, Andy Coulson, a former editor of The News of the World, has sued News International, the News Corporation’s British subsidiary, because it stopped paying for his legal fees in the hacking case, the BBC reported. Mr. Coulson, who was arrested in July in connection with the investigations into phone hacking and payments to police officials under his editorship, resigned in January as the communications director for Prime Minister David Cameron. Mr. Lewis, based on his remarks in the interviews with Sky News, the BBC and the newspaper The Guardian, appeared to be relying, as a basis for the American legal action, on the Foreign Corrupt Practices Act, a 1977 statute that holds American companies and their executives liable for corrupt activities abroad, including bribery of foreign officials. In the Sky News interview, he said part of the reason for pursuing the News Corporation in American courts was the prospect of higher damage settlements than are customary in the British courts. The prospect of defending itself against civil suits in American courts would add a daunting new dimension to the challenges facing the News Corporation as a result of the phone hacking revelations in Britain. But some legal experts in Britain said that Mr. Lewis’s announcement was a publicity stunt, and that the move could complicate legal proceedings in Britain. Mark Thomson, a British lawyer who also represents phone hacking victims, issued a brusque statement disassociating himself from Mr. Lewis’s action. Mr. Thomson said the class-action lawsuit he has filed on behalf of his clients will go to trial in Britain in January, adding, “My clients are not taking part in the reported action in New York.” This week, News International offered a settlement of about $3.2 million, and a further payment of about $1.6 million to go to charity, to the family of Milly Dowler, a teenage murder victim whose voice mail messages were intercepted by The News of the World. The scandal has led to strong pressures on James Murdoch, a son of Rupert Murdoch who leads the company’s European and Asian operations. Both denied any prior knowledge of the practices at The News of the World.

Read the rest of this entry »

Phone hacking: Ex-editor Coulson sues newspaper group

 

Former News of the World editor Andy Coulson is suing his ex-employer after it stopped paying his legal fees in relation to the phone-hacking scandal. His lawyers have filed papers at the High Court against News International subsidiary News Group Newspapers. Mr Coulson was arrested in July over NoW phone-hacking allegations. He denies knowledge of the practice. It has emerged some UK victims of alleged hacking are considering US legal action against News Corporation. US lawyers have been asked to explore the possibility of a case against Rupert Murdoch's media group. Arrangement ended Papers were filed at the High Court by Mr Coulson's lawyers on Thursday. BBC political correspondent Robin Brant said: "Even though Andy Coulson hasn't worked for the publishers of the now-defunct News of the World for more than four years, the paper's owners were still paying his legal fees in relation to the hacking investigations. "But following Rupert Murdoch's appearance at the Home Affairs Select Committee in July the arrangement ended." Mr Coulson resigned as Prime Minister David Cameron's director of communications in January, saying that the ongoing coverage of the phone-hacking scandal was making it too difficult for him to do his job. But he has always said he knew nothing about phone hacking under his editorship of the News of the World. Met stories claim Meanwhile, the Telegraph newspaper has claimed that News International paid Mr Coulson's former deputy, Neil Wallis, for stories when Mr Wallis was working for the Metropolitan Police. Mr Wallis became executive editor of News of the World after Mr Coulson left and, after his tenure, left to work as a PR consultant at Scotland Yard. Neil Wallis worked for News of the World before working as a PR consultant for the Met It is understood the contract involved him working two days a month at £1,000 a day, for Met Commissioner Sir Paul Stephenson and Assistant Commissioner John Yates. Mr Wallis was arrested in July and his arrest was followed by the resignations of those two senior officers. The Telegraph claims that while Mr Wallis was on the payroll at Scotland Yard, he was paid more than £25,000 by News International to pass on information for stories. It alleges he was paid £10,000 for one story alone. On Friday night, Neil Wallis's lawyer issued a statement alleging that Scotland Yard had leaked information about Mr Wallis. Scotland Yard have confirmed they received a letter of complaint from the lawyer. They say Neil Wallis had signed a conflict of interest clause in his contract when he worked for them and also that he did not have access to the Met's IT systems. The allegations came on the same day it emerged News International had already agreed some settlements with UK victims of phone hacking. Mark Lewis, UK lawyer for a small group of alleged victims, told the BBC News channel: "Although events might have happened in territories abroad, the American organisation can be responsible. "News Corporation - although it's an American organisation, although these claimants are to large extent British and the events that might have happened in Britain, although some happened while people were away - they are meant to have some control under American law, have a great deal of control over what happens in foreign subsidiaries." He added: "We are looking at the practices of control effectively - of directors, and of knowledge of directors, and knowledge or what should have been knowledge of directors, of a large corporation based in America." Payouts US lawyer Norman Siegel told BBC News he was at an "exploratory phase" of examining evidence that had emerged in the UK to see if US federal laws or New York state laws may have been violated. When contacted on Friday, News Corporation declined to comment. The News of the World phone-hacking scandal led to the closure of the UK tabloid in July after 168 years in print. A number of people have been arrested, including Mr Coulson, as part of Scotland Yard's investigation - Operation Weeting - into phone-hacking allegations. Settlements already agreed by News International include: a reported £700,000 to Gordon Taylor of the Football Association; £100,000 in damages plus costs to actress Sienna Miller; £20,000 in damages to football pundit Andy Gray. It is thought that a £2m settlement has been agreed with the family of murdered schoolgirl Milly Dowler, with Mr Murdoch also thought to be making a personal donation of £1m to charity as part of the deal. The revelation that the voicemail of Milly's mobile phone had been hacked, when she was missing but before her body had been found, reignited the phone-hacking scandal in July.

Read the rest of this entry »

Media group faces new hacking blows

 

New allegations about the phone-hacking scandal have hit News International, with claims of more victims and fresh legal rows. It was revealed tonight that former News of the World editor Andy Coulson is suing News Group Newspapers, the publishing arm of the media giant. Papers were served at the High Court on Thursday "regarding the termination of the payment for his legal action". A spokesman for law firm DLA Piper, which represents Mr Coulson, said: "We can confirm that proceedings have been issued." News International declined to comment. It had been reported earlier this month that News International was paying DLA Piper for their legal advice to Mr Coulson following his arrest. Mr Coulson resigned from his position as Prime Minister David Cameron's spin chief in January and was later arrested on suspicion of corruption and phone hacking. He is on police bail. It has also emerged that the family of Jade Goody fear the late celebrity could have had her phone hacked and are reportedly set to contact Scotland Yard. The police force said it would not comment on individual cases. Publicist Max Clifford told The Guardian that Ms Goody's mother Jackiey Budden also believes she was targeted. He said: "She will be going to the police. She believes her phone was hacked by the News of the World, and Jade's. Jade told me, 'I'm convinced my phone is being hacked'." News International also declined to comment on the allegations. In addition, it has been alleged tonight that Neil Wallis, the former deputy editor of News of the World was paid more than £25,000 by News International while working at Scotland Yard as a police consultant. A Scotland Yard spokesman said that Mr Wallis's contract with the police force included confidentiality, data protection and conflict of interest clauses, all of which would have prohibited him from selling on any information while employed by them.

Read the rest of this entry »

This is the buff soldier who exchanged numbers with Cheryl Cole.

Andy Baker plans to meet up with the former X Factor judge after the pair met during her morale-boosting trip to Afghanistan.

The pair were introduced at an award presentation at Camp Bastion and met again a barracks dinner.

New man? Soldier Andy Baker caught Cheryl Cole's eye during her moral-boosting trip to Afghanistan and he hopes to take her out for dinner

They posed for several photos together and once Cheryl returned home, she said she planned to give her 'gorgeous soldier' a call.

Buff: It's easy to see what attracted the singer to Andy, known as Bagsy to his friends

Andy, 25, who is known as Bagsy to his peers, plans to meet up with her once he returns home.

His brother-in-law Graham Peck told the Daily Mirror yesterday: 'Andy would love to take Cheryl out for dinner when he’s back in the UK.

'He thought she was absolutely lovely, and really gorgeous – I think all the guys did.

 

More...

• 'I have no regrets': Fox boss who axed Cheryl Cole from X Factor USA stands by his decision
• 'Nicole Scherzinger is a downgrade from Cheryl': Critics prefer sacked judge Cole on first episode of U.S. X Factor

 

“Andy contacted me through Facebook, raving about Cheryl and even made a photo of them his profile picture.

'They met up a couple of times during her trip and hit it off.'

But the Girls Aloud star may have to wait until next month as Andy has no mobile phone service until October 1.

Graham added: 'When Bagsy read that Cheryl was planning on ringing her mystery soldier, he panicked because he’s not allowed to have his phone on for another nine days – it’s military rules.

'He wants her to know that he’ll be in touch the moment he lands, and wants her to wait for him. Andy’s a great guy and keeps himself fit in the gym.'

 

Popstar to soldier: Cheryl was seen wearing army fatigues with her surname embroided on the pocket of her shirt

Andy, of Colchester, Essex, sports an enviable six-pack and has a tattoo sprawling from his left wrist and across his chest.

He serves with the tough 3 Commando Brigade, the Royal Navy’s amphibious infantry and has been in the Marines for four years.

Andy is currently based in the Marines’ Logistics branch and earns about £29,000 a year, compared with Cheryl's ex husband Ashley Cole's £90,000 a week.

He is also apparently a keen footballer.

One of the troops: Cheryl with a group of servicemen during her visit to Afghanistan

After her trip, Cheryl said: 'Not only are the soldiers incredibly brave, a few were incredibly cute. There was a bit of banter with a couple of the lads and yes, a few flirted I think.

'I came back with a phone number from one lad, although I think his talking to me was a dare.

'I think I am going to call him this week and let’s see what happens. I’m sure he’s not expecting us to, but that’s why it’ll be funny.'

Read the rest of this entry »

Palestinian leader Mahmoud Abbas makes UN statehood bid

 

Palestinian leader Mahmoud Abbas has submitted his bid to the UN for recognition of a Palestinian state. To rapturous applause in the General Assembly, he urged the Security Council to back a state with pre-1967 borders. He said the Palestinians had entered negotiations with Israel with sincere intentions, but blamed the building of Jewish settlements for their failure. Israeli PM Benjamin Netanyahu said he was reaching out to Palestinians and blamed them for refusing to negotiate. "I continue to hope that President Abbas will be my partner in peace," he said in his speech in New York. "Let's meet here today in the United Nations. Who's there to stop us?" Mr Netanyahu added that the core of the conflict was not settlements but the refusal of the Palestinians to recognise Israel as a Jewish state. Hours after receiving it, UN Secretary-General Ban Ki-moon transmitted the Palestinian request to the Security Council. Israel and the US say a Palestinian state can only be achieved through talks with Israel - not through UN resolutions. 'Come to peace' President Barack Obama told Mr Abbas on Thursday that the US would use its UN Security Council veto to block the move. Continue reading the main story Analysis Jeremy Bowen BBC Middle East editor, New York Some delegations here at the UN in New York gave Palestinian Authority leader Mahmoud Abbas a standing ovation - they were clapping and even whistling in support. That is significant because if it comes to a vote in the Security Council - and if the Americans veto it - Palestinians have a Plan B. That Plan B is to go to the General Assembly - where there are no vetoes - and get enhanced status, not full membership but something better than they have now. The Palestinians say they want to negotiate but not in the way they have negotiated before - there has to be clear parameters and a timetable. The Palestinian point is that since 18 years of negotiation has not worked, let's try something new. "I call upon the distinguished members of the Security Council to vote in favour of our full membership," he told the General Assembly, in what was for him an unusually impassioned speech. He added that he hoped for swift backing. Many delegates gave him a standing ovation. "I also appeal to the states that have not yet recognised the State of Palestine to do so." "The time has come for my courageous and proud people, after decades of displacement and colonial occupation and ceaseless suffering, to live like other peoples of the earth, free in a sovereign and independent homeland," he said. He urged Israel to "come to peace". And he said the building of Jewish settlements was "the primary cause for the failure of the peace process". A spokesman for the Islamist movement Hamas, which controls the Gaza Strip, criticised the speech. Salah Bardawil said Mr Abbas had deviated from the aspirations of the Palestinian people by accepting the 1967 borders, which he said left 80% of Palestinian land inside Israel. 'Future and destiny' Meanwhile in the West Bank, crowds roared their approval as Mr Abbas demanded UN acceptance of a Palestinian state within pre-1967 borders. Continue reading the main story Middle East viewpoints Analyst Yezid Sayigh argues that US and Israeli policies have forced the Palestinians to resort to requesting full UN membership. Israeli commentator Yossi Klein Halevi argues that the Palestinians need to convince the Israelis that any state would not be a threat. "With our souls, with our blood, we will defend Palestine," they said. Mr Abbas had called for peaceful marches in support of his initiative, but some clashes were reported: One Palestinian was shot dead by Israeli troops during clashes in the village of Qusra, south of Nablus, Palestinian sources say At the Qalandiya checkpoint, Israeli troops fired tear gas on stone-throwing Palestinian youths In the village of Nabi Saleh, protesters burned Israeli flags and pictures of President Obama The process began with Mr Abbas presenting a written request for a State of Palestine to be admitted as a full UN member state to the UN secretary general. The BBC's Kim Ghattas at the UN says that until the last minute Western diplomats tried and failed to stop the Palestinians making the request. Even now, efforts are under way to restart direct talks between the Israelis and Palestinians in an attempt to defuse tensions, our correspondent says. The Security Council will examine it and vote on the request. In order to pass, it would need the backing of nine out of 15 council members, with no vetoes from the permanent members. A Security Council vote could take weeks to come about and the US may not even need to exercise its veto - Washington and Israel have been lobbying council members to either vote against the Palestinian plan or abstain. Continue reading the main story Palestinian UN membership bid Palestinians currently have permanent observer entity status at the UN They are represented by the Palestine Liberation Organisation (PLO) Officials now want an upgrade so a state of Palestine has full member status at the UN They seek recognition on 1967 borders - in the West Bank, including East Jerusalem, and Gaza Enhanced observer member status could be an interim option Q&A: Palestinians' UN statehood plans Why Obama has turned towards Israel French President Nicolas Sarkozy has urged a compromise, suggesting the General Assembly give the Palestinians enhanced status as a non-member state to allow a clear timeline for talks - a month to start negotiations, six months to deal with borders and security and a year to finalise a "definitive agreement". A vote on enhanced status - enjoyed by others such as the Vatican - would not require a Security Council recommendation but a simple majority in the General Assembly, where no veto is possible. Currently the Palestinians have observer status at the UN. The "Quartet" of US, European, Russian and UN mediators has been working on reaching a framework agreement to restart talks, based on Mr Obama's vision of borders fashioned from Israel's pre-1967 boundary, with agreed land swaps.

Read the rest of this entry »

Spain’s central bank reported this week that things were getting worse for that country’s banks

 

Spain’s central bank reported this week that things were getting worse for that country’s banks — but not because they held a lot of Greek debt or bonds issued by other troubled European economies. The problem, instead, is the same old one. With Spain’s economy weak and home prices falling, bad loans are growing. And the central bank thinks things are getting worse. In a surprisingly frank presentation to investors in London on Tuesday, José María Roldán, the Bank of Spain’s director general of banking regulation, said that Spanish land prices had fallen about 30 percent from the 2007 peak, adjusted for inflation, and that home prices were off about 22 percent. “In both cases, we expect further corrections in the years to come,” he said. For land prices, he said, the bank’s “baseline scenario” was that prices would fall to little more than half of the peak level. The “adverse scenario” indicated that the decline could be significantly worse. That was a significant change from a presentation he made in February. Then, with home prices down about 18 percent from the peak, he argued that the decline was similar to past cyclical downturns and that prices were likely to begin rising soon. Remarkably enough, collapsing home prices have not left Spanish banks holding large amounts of bad mortgage loans, thanks largely to the fact the Spanish mortgage market operated during the boom in far different ways than the American market. But if lending to home buyers was conducted in a far more prudent manner than it was in the United States, lending to real estate developers and construction companies was, if anything, more irresponsible. The higher land prices went, the more eager the banks were to push out loans. The story of how Spain’s banks got into the mess — and the way its mess differs from that of American banks — show that it is impossible for banks to walk away from a collapsing bubble in real estate. It also shows that the structure of mortgage markets can make a major difference in how a collapse plays out. The figures released by the central bank this week showed that by the middle of this year, 17 percent of Spanish bank loans to construction companies and real estate developers were troubled — or “doubtful,” the term favored by the central bank. That figure has been rising rapidly, reflecting the deterioration in real estate values. When the financial crisis first broke out, in 2008 and 2009, it appeared that Spanish banks were in a better position than most, in part because of regulation that had kept the big banks from making some of the mistakes others made. But it turned out that smaller Spanish savings banks were heavily exposed to a real estate market that had outpaced even the United States’ market for a time during the first decade of this century. That market continued to rise after the American housing market stopped climbing. The Bank of Spain has created a program to force mergers of the smaller banks and to bring in better management. It has put about 11 billion euros into the banks to recapitalize them, and is putting in another 15 billion euros in a process that is supposed to be completed by the end of this month, said Antonio Garcia Pascual, the chief Southern European economist for Barclays Capital. But, he added, “our estimate is that the overall number needed is closer to 50 billion euros.” The banks are bleeding from loans secured by raw real estate, and from loans for construction. The pain is made worse because such lending soared during the property boom. It is those loans that are now devastating bank balance sheets, as developers who borrowed to build offices, stores and neighborhoods saw demand dry up and now cannot pay the banks back. Other corporate loans are also showing weakness, as would be expected when unemployment is above 20 percent and not expected to improve for at least two years, but less than 5 percent of those loans are said to be doubtful. There are also signs of trouble in car loans and other loans to individuals.

Read the rest of this entry »

European banks head towards another meltdown

 

Shares in some of Europe's largest banks fell by 10pc as the cost of insuring European lenders' senior bonds rose to record levels, according to credit default swap prices. The Markit iTraxx Financial Index of contracts on the senior debt of 25 banks and insurers climbed to an all-time high 315.5 basis points. The last banking crisis was regarded by most eurozone members as an Anglo-Saxon phenomenon caused by lax lending controls that resulted in major UK and US institutions either collapsing or having to take costly state-funded bail-outs. To offset the threat of another crisis spreading across the eurozone, European regulators ordered their banks to increase their liquidity buffers. Government bonds were generally viewed as the most liquid and least risky assets to hold. However, this policy has come back to haunt them, leaving many lenders across the region seriously exposed to the eurozone sovereign debt crisis. French banking giants BNP Paribas and Société Générale are among the hardest hit. Recent estimates suggest BNP has eurozone sovereign debt exposure of about €75bn (£65bn), amounting to roughly 6pc of total assets, including €14bn of Greek debt and €21bn of Italian government bonds. The other two major French banks, SocGen and Credit Agricole, each have exposures of a similar size. Between them, France's banks have about €56bn of Greek sovereign bonds alone, and have so far taken 20pc writedowns on this.

Read the rest of this entry »