Jumaat, 29 Mac 2013

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Top GOP leaders slam lawmaker's use of racial slur - USA TODAY

Posted: 29 Mar 2013 09:29 AM PDT

WASHINGTON — Top Republicans denounced a veteran House GOP member's use of a racial slur to describe migrant farm workers, saying such language is not helpful as the party tries to improve its standing with Hispanics.

Republican National Committee Chairman Reince Priebus, House Speaker John Boehner and Senate Minority Whip John Cornyn all decried Rep. Don Young, who used the term "wetbacks" in a radio interview earlier this week. The Alaska congressman, in office since 1973, said late Thursday he "meant no disrespect" and explained the term was commonly used when he was growing up on a farm in central California.

STORY: GOP congressman uses slur to describe farm workers

"Congressman Young's remarks were offensive and beneath the dignity of the office he holds," Boehner, R-Ohio, said in a statement. "I don't care why he said it — there's no excuse and it warrants an immediate apology."

Young's timing could not be worse. A bipartisan group of senators and House members plan to unveil bills in April that would dramatically revamp the nation's immigration laws and include a pathway to citizenship for the 11 million illegal immigrants already in the United States.

Meanwhile, the Republican National Committee is spending $10 million starting this year on outreach efforts to minorities, women and gay voters as the party seeks to become more inclusive and welcoming. The new outreach is the result of the GOP's scathing post-election "autopsy" report, which noted that much work needs to be done to attract Hispanics. In the last election, President Obama won 71% of the Hispanic vote.

Priebus, the national GOP chairman, said Young's words "emphatically do not represent the beliefs of the Republican Party."

"As I have continued to say, everyone in this country deserves to be treated with dignity and respect," he said. "Our party represents freedom and opportunity for every American and a beacon of hope to those seeking liberty throughout the world."

Cornyn, R-Texas, noted that migrant workers come to America looking for ways to improve their lives and those of their families.

"They do not come to this country to hear ethnic slurs and derogatory language from elected officials," Cornyn said. "The comments used by Rep. Young do nothing to elevate our party, political discourse or the millions who come here looking for economic opportunity."

Members of Congress drafting immigration legislation are also considering the number of work visas that are granted to immigrants in several areas of the economy, including high-tech workers, agricultural workers and lower-skilled fields. Many of those visas would end up going to people from Mexico, Central and South America.

Rep. Ruben Hinojosa, D-Texas, chairman of the Congressional Hispanic Caucus, said an immigration overhaul will only be possible through bipartisanship. He noted that Young, who has served beside many Hispanics in his decades in Congress, "should know terms like 'wetback' have never been acceptable."

"Now, more than ever, we must resolve the many issues of our broken immigration system," Hinojosa said. "But as we move forward, it's important that our Republican colleagues are mindful of how words have consequences. When elected officials use racial slurs, it sets back our nation and sets back legislators who are seriously working toward real, bipartisan solutions."

Contributing: Alan Gomez

EPA orders cuts in sulfur content of gasoline and tighter emissions standards - Washington Post

Posted: 29 Mar 2013 09:24 AM PDT

The Environmental Protection Agency said the new rule would reduce sulfur in gasoline and tighten automobile emission standards beginning in 2017, resulting in an increase in gas prices of less than a penny per gallon. The agency estimated it also would add $130 to the cost of a vehicle in 2025, but predicted it would yield billions of dollars in health benefits by slashing smog- and soot-forming pollution.

EPA Acting Administrator Bob Perciasepe said the proposal is designed to "protect the environment and public health in an affordable and practical way."

The oil industry, Republicans and some Democrats wanted EPA to delay the rule, citing higher costs. An oil industry study says it could increase gasoline prices by 6 to 9 cents a gallon.

"Consumers care about the price of fuel, and our government should not be adding unnecessary regulations that raise manufacturing costs, especially when there are no proven environmental benefits," said Bob Greco, an American Petroleum Institute official. "We should not pile on new regulations when existing regulations are working."

Environmentalists hailed the proposal as potentially the most significant in President Barack Obama's second term.

The so-called Tier 3 standards would reduce sulfur in gasoline by more than 60 percent and reduce nitrogen oxides by 80 percent, by expanding across the country a standard already in place in California. For states, the regulation would make it easier to comply with health-based standards for the main ingredient in smog and soot. For automakers, the regulation allows them to sell the same autos in all 50 states.

The Obama administration already has moved to clean up motor vehicles by adopting rules that will double fuel efficiency and putting in place the first standards to reduce the pollution from cars and trucks blamed for global warming.

"We know of no other air pollution control strategy that can achieve such substantial, cost-effective and immediate emission reductions," said Bill Becker, executive director of the National Association of Clean Air Agencies. Becker said the rule would reduce pollution equal to taking 33 million cars off the road.

But the head of American Fuel and Petrochemical Manufacturers, Charles Drevna, questioned the motives behind the agency's regulation, since refining companies already have spent $10 billion to reduce sulfur by 90 percent. The additional cuts, while smaller, will cost just as much, Drevna said, and the energy needed for the additional refining actually could increase carbon pollution by 1 percent to 2 percent.

"I haven't seen an EPA rule on fuels that has come out since 1995 that hasn't said it would cost only a penny or two more," Drevna said.

A study commissioned by the American Petroleum Institute estimated that lowering the sulfur in gasoline would add 6 cents to 9 cents a gallon to refiners' manufacturing costs, an increase that likely would be passed on to consumers at the pump. The EPA estimate of less than 1 cent is also an additional manufacturing cost and likely to be passed on.

A senior administration official said Thursday that only 16 of 111 refineries would need to invest in major equipment to meet the new standards, which could be final by the end of this year. Of the remaining refineries, 29 already are meeting the standards because they are selling cleaner fuel in California or other countries, and 66 would have to make modifications.

The official spoke on condition of anonymity because the rule was still undergoing White House budget office review.

___

Follow Dina Cappiello on Twitter: https://twitter.com/dinacappiello

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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S&P 500 sets new closing record

Posted: 28 Mar 2013 04:36 PM PDT

NEW YORK: The S&P 500 set an all-time closing record on Thursday in a sign of growing confidence in the US economy.

The widely-watched, broad-based index, a bellwether of US markets and the US economy, closed at 1,569.19, up 6.34 points, or 0.41 per cent, pushing past the previous record of 1,565.15, set on October 9, 2007.

The narrower Dow Jones Industrial Average, which burst through its October 2007 record three weeks ago, propelled to yet another new closing peak of 14,578.54, up 52.38 points (0.36 per cent).

The tech-rich Nasdaq Composite finished up 11.00 points (0.34 per cent) higher at 3,267.52.

The S&P 500's run on Thursday came after a revised estimate for the fourth quarter of 2012 that placed GDP growth at just 0.4 per cent, lower than some analysts had expected.

New jobless claims came in worse than forecast, and the Chicago purchasing managers index reading pointed to slowing growth.

"The data was somewhat on the negative side," said Paul Edelstein, an economist at IHS Global Insight.

However, he said markets were likely reassured by news out of Cyprus, where banks reopened relatively uneventfully.

The surge in US stocks also suggests investors are distinguishing the US' prospects from those of Europe. In spite of Thursday's data, key recent indicators, such as housing and unemployment, have improved in recent weeks in the US.

"We're doing well and the eurozone's not, but at least on the current path, the eurozone shouldn't matter too much for the US," Edelstein said.

"There is confidence that the US has decoupled from Europe and the US financial system is likely to be immune to Europe and their current level of crisis there," said Chris Low, chief economist at FTN Financial. - AFP

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Warrants reveal arsenal found in Newtown shooter's home - USA TODAY

Posted: 28 Mar 2013 08:59 AM PDT

NEWTOWN, Conn. -- Hundreds of rounds of ammunition, guns, knives and three samurai swords were among the items seized from the home of school killer Adam Lanza in the days after the tragedy, search warrants released Thursday revealed.

Lanza killed 20 students, six adults and himself at Sandy Hook Elementary School in less than five minutes, Danbury State's Attorney Stephen Sedensky said in a detailed statement issued when the documents were released. Lanza's body was found dressed in military garb and a bullet-proof vest.

The guns Lanza used were apparently purchased by Nancy Lanza, he said. Despite press reports that Adam Lanza had tried to buy at least one gun before the rampage, there is no indication that he attempted a purchase and was denied, Sedensky said.

There was "no indication of a struggle" when Lanza shot his mother, Nancy, with a .22-caliber rifle as she slept in the home they shared shortly before the bloodbath at the school, Sedensky said.

DOCUMENTS: Search warrants released

STORY: New ad features Newtown families

Police officers who entered the Lanza home after the shootings found a gun locker. "It was unlocked, and there was no indication it had been broken into," Sedensky said.

He said Lanza killed all 26 victims inside Sandy Hook Elementary School with a Bushmaster .223-caliber rifle before taking his own life with a Glock 10 mm handgun. He said Lanza had another loaded handgun with him inside the school as well as three, 30-round magazines for the Bushmaster.

The Bushmaster was loaded with a 30-round capacity magazine. Fourteen rounds were in the magazine when the Bushmaster was recovered by police, Sedensky said. There was one round in the chamber.

The four warrants released Thursday involve searches at the Newtown home on Yogananda Street and for the black Honda Civic that he drove to the school on Dec. 14. The warrants were sealed for 90 days in late December.

Sedensky asked Judge John Blawie to seal certain information, including the identity of a witness and undisclosed items obtained during the searches, for another 90 days.

The warrants say that a loaded 12-gauge shotgun was found in the glove compartment of Lanza's Honda Civic. Two magazines containing 70 rounds of Winchester 12-gauge shotgun rounds also were found in the car.

At the house, authorities found hundreds of rounds of ammunition and numerous knives, including samurai swords. They found a military-style uniform in Lanza's bedroom and handwritten notes containing the addresses of local gun shops. Investigators also found books about autism and Asperger's syndrome as well as an NRA guide to pistol shooting.

The documents indicate authorities found a brown gun safe with shotgun shells and numerous boxes of bullets. In a bedroom closet, they found ear plugs, a handwritten note regarding ammunition and magazines, paperwork on guns and a metal bayonet.

In a top drawer of a filing cabinet, they found paper targets. In a duffel bag, they found ear and eye protection, binoculars, numerous paper targets and Lanza's NRA certificate.

Contributing: Associated Press

An Edgy Calm as Banks in Cyprus Reopen - New York Times

Posted: 28 Mar 2013 08:49 AM PDT

NICOSIA — An air of orderly, if edgy, resignation pervaded the streets of Cyprus on Thursday, the first day in nearly two weeks banks here were open.

Having waited since March 16 for access to his money, Dimitris Dimitriou was willing to stand in line for 45 minutes to get into his bank, as it and others across this Mediterranean island re-opened after a seemingly interminable stretch.

Since the government froze bank accounts here two Saturdays ago amid an unprecedented financial crisis, Mr. Dimitirou's wholesale optical business has been slumping. On Thursday, he desperately needed to see a teller to pay outstanding business transactions.

He, like other Cypriots, are having to work with — and around — strict new controls on the flow of money that international lenders have imposed to prevent a bank run in this economically distressed country.

Despite the curbs, Cypriot authorities were bracing for as much as 10 percent of the €64 billion, or $83 billion, on deposit in the country's banks to be pulled out on this first day of banking in the bailout era.

"Financially it's been a disaster, for me and for the entire population," Mr. Dimitriou said as a small crowd pressed him toward a revolving door at a branch of Laiki Bank, where security guards were letting in only a few customers at a time.

The throng around him was patient. But Mr. Dimitriou said he had a feeling this was only the beginning of what could be a wave of withdrawals at Cypriot banks in the days and weeks ahead. He said he expected the government to continue restrict the amounts of money people could take out well beyond a seven-day limit currently in place, once officials realize the magnitude of hardship that Cyprus is likely to face in the coming months.

"They need to control the money," he said. "People here have not recovered from the shock that has just happened to us." When they do, he said, "a lot more people will want to get their money out of the banks."

Bank accounts were frozen in Cyprus while the government held emergency talks with European lenders to secure a financial bailout needed to keep the country's banks from collapsing. The ensuing drama, including the government's unprecedented plan to skim bank accounts to help pay for the bailout, shook confidence here and in other European countries where banks are in a precarious position.

As revised, the bailout terms would dip into deposit accounts at levels only above the €100,000 threshold that is guaranteed against losses.

Still, the controls on access to and transfer of money that Mr. Dimitriou and tens of thousands of other Cypriot depositors were grappling with Thursday represented a whole new world. Never since the introduction of the euro has a European country prevented bank depositors from having full access to their own cash.

Analysts said the measures, usually imposed in emerging countries like Argentina, effectively created two classes of the same money: euros in Cyprus are worth less than euros in France or Germany as long as the bulk of the money in Cypriot banks essentially remains frozen.

Under European Union treaties, restricting the free movement of capital is normally forbidden. But the European Commission issued a statement Thursday morning that the unprecedented imposition of capital controls in the euro area in Cyprus was legal.

Meanwhile, in the halls of power, Parliament was scheduled to vote later Thursday on a resolution demanding the resignation of Cyprus's central bank chief, Panicos Demetriades.

The Cypriot president, Nicos Anastasiades, has sought to blame Mr. Demetriades for implementing measures required by Cyprus's lenders that will lead to the closure of Laiki Bank, the nation's most troubled. The move raised questions about maintaining the independence of the central bank.

In central Nicosia, people started gathering before the opening hour of noon for access to at least some their money or to conduct corporate transactions after a nearly two-week delay that had put their businesses in peril.

Before the open, lines of around 30 to 50 people were a common sight at branches of Bank of Cyprus and Laiki Bank, the country's two largest banks, as customers pressed their noses to the glass doors. By early afternoon, they had they dwindled to small groups, and bank tellers inside calmly discussed clients' needs.

One of the customers lined up at a Bank of Cyprus branch, a 27-year-old businessman who would give only his first name, Miltos, shook the stack of papers in his hand. It represented nearly €40,000 of bills he owed the suppliers of his small telecommunications company.

The long bank closure had damaged his business "terribly," said Miltos, standing under a warm sun. Unless he could persuade Bank of Cyprus to let him transfer more than the €5,000 limit for the month that the government has decreed, he said he feared he might soon go out of business. "I'm trying to hold on by tooth and nail," he said.

The capital controls are aimed at clipping the wings of money that might otherwise fly from the county. They include prohibiting electronic transfer of funds from Cyprus to other countries, while capping at €3,000 — about $3,900 — the amount of cash that can be taken abroad. Daily withdrawals from automated teller machines will be limited to €300 per person, an improvement on the €100 cap that had been in place the past few days.

Credit and debit card charges will be limited to €5,000 per person per month. Banks will not cash checks. And while they will accept checks as deposits, many people might be reluctant to put more money into a bank here. Banking clients, moreover, will not be able to withdraw money from fixed-term deposits before their maturity date.

Bank employees started preparing early in the morning for reopening day. Bags of coins were piled high on a desk at Laiki Bank, while a manager wearing a dark suit stood at the front door waving away a retiree who was trying to get in before the doors opened.

Yiannis Koumis, 27, a cashier at Laiki Bank, said employees were given three pages of instructions to follow when customers came in to demand their money, outlining the transactions they are permitted to carry out.

But his mood was grim. Under the terms of the €10 billion bailout that Cyprus secured from international creditors on Monday, Laiki's good assets will be merged into Bank of Cyprus. Thousands will lose their jobs — very possibly Mr. Koumis among them. "We have orders to work for the next four days, and then all we have is uncertainty," he said.

Some people planned to wait until the fuss quieted down. "I don't want to wait two or three hours in line today, so I'll go next week," said Christoforos Parisis, the manager of the Icebody Shop clothing store.

He said he had withdrawn as much money as possible from teller machines while the banks were closed.

But being without full access to cash has been a hardship, he said. "There's no money, no nothing," he said. "It affects me and my business very much. And we don't know what will happen after."

Maroulla Chrysanthou, a retiree from Nicosia who lives with her divorced son and her daughter, woke up early Thursday morning to head to the bank. She does not have an A.T.M. card and has not been able to get her money from the bank since March 16, when it closed.

For the 12 days during which the banks were closed, her family was just barely covering its needs. "We got by with what we had and my children were withdrawing some money so we could buy basic stuff," Ms. Chrysanthou said. When asked how much she planned to take from her account, she said: "As much as I can."

When the European Commission issued its statement Thursday stating that the imposition of capital controls by Cyprus was legal, if unprecedented, it stressed that the measures should be rescinded as soon as possible.

"In current circumstances, the stability of financial markets and the banking system in Cyprus constitutes a matter of overriding public interest and public policy justifying the imposition of temporary restrictions on capital movements," said the commission, one of three members of the so-called troika, which also includes the European Central Bank and the International Monetary Fund, that oversees bailouts of euro zone states.

The commission said it expected the measures to apply for seven days but added that it would "continue monitoring the need to extend the validity of or revise the measures."

To make sure enough cash was on hand, the European Central Bank on Wednesday sent an airplane filled with about €1.5 billion in a container to Larnaca airport near Nicosia on Wednesday. The container was loaded onto a truck and escorted by police to the Cypriot central bank for safekeeping, said a person with knowledge of the operation who was not authorized to speak publicly.

The person said the European Central Bank had indicated it would continue flying cash to the country as needed.

Andreas Riris in Nicosia and James Kanter in Brussels contributed reporting.

This article has been revised to reflect the following correction:

Correction: March 28, 2013

An earlier version of this article stated erroneously that capital controls had never been applied in Europe. They have not been applied since the introduction of the euro.

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Ringgit higher in early trade

Posted: 27 Mar 2013 06:58 PM PDT

The ringgit traded higher against the US dollar in early trade today amid renewed concerns over the Euro debt crisis, dealers said.

At 9am, the ringgit was quoted at 3.0950/0970 from yesterday's close of 3.0980/1000.

A dealer said sentiment remained fragile as investors are still worried of more unwanted surprises stemming from the Euro debt crisis.

Meanwhile, the ringgit also traded higher against other major currencies.

The local currency strengthened against the Singapore dollar at 2.4903/4940 from 2.4912/4930 on Wednesday, but depreciated against the Japanese yen to 3.2828/2863 from 3.2752/2790 previously.

The ringgit also rose against the British pound to 4.6868/6910 from 4.6984/7024 yesterday, and strengthened against the euro to 3.9560/9589 from 3.9757/9785.-- Bernama

Short-term rates to stay stable Thursday

Posted: 27 Mar 2013 07:03 PM PDT

Short-term interbank rates are expected to remain stable today as Bank Negara Malaysia intervenes to absorb excess liquidity from the financial system.

The central bank has estimated today's liquidity at RM27.344 billion in the conventional system and RM8.539 billion in Islamic funds.

Bank Negara will call for four conventional tenders comprising RM1.5 billion each for seven and 28 days, respectively, and RM500 million each for 14 and 21 days.

It will conduct four Al-Wadiah tenders comprising RM2.2 billion for seven days, RM100 million for 14 days, RM200 million for 28 days, and RM300 million for 92 days.

At 4pm, the central bank will conduct an up RM23.5 billion conventional overnight tender and RM6 billion Al-Wadiah overnight tender.-- Bernama
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Justices raise concerns about Defense of Marriage Act defense - Los Angeles Times

Posted: 27 Mar 2013 09:00 AM PDT

WASHINGTON -- A lawyer defending the federal law that denies benefits to legally  married same-sex couples faced skeptical questions from key Supreme Court justices, who suggested the law wrongly discriminated against gays and improperly intruded into the right of states to define marriage.

Paul Clement, the former solicitor general who was defending the 1996 Defense of Marriage Act on behalf of the Republican leadership of the House of Representatives told the justices in Wednesday's argument that the law made only a "narrow" technical point, defining marriage for the purposes of federal law. But a majority of the justices indicated doubts about his attempt to minimize the law's impact.

Marriage affects "every aspect of life," said Justice Ruth Bader Ginsburg. For the federal government to say that some legally married couples deserve benefits and others don't "diminishes what the state says is marriage." Couples would be left with "full marriage" on the one hand and "skim-milk marriage," on the other, she said.

PHOTOS: Supreme Court considers gay marriage

Justice Anthony M. Kennedy, who is widely seen as the swing vote in the case, also challenged Clement on that point, noting that in defining marriage, the law affected benefits under roughly 1,100 federal statutes.

In doing so, he said, the federal government was putting itself in conflict with "the essence" of a state's power -- the right  to define which of its citizens is considered to be married. "The question is whether the federal government" has "the authority to regulate marriage," he said later in the argument.

Kennedy's past opinions often have shown considerable concern about federal encroachment on state powers. His comments suggested two possible routes that the justices could use to strike down the law -- either that it violates the rights of same-sex couples by treating them differently than opposite-sex couples or that it violated the rights of states to decide for themselves how marriage should be defined.

Gay marriage through the years

In one of the argument's most dramatic moments, Justice Elena Kagan read from the House report which accompanied the law when it passed, quoting a passage that said Congress was passing the law to express "moral disapproval of homosexuality."

"When Congress targets a group that isn't everyone's favorite group in the world," the courts traditionally have treated those statutes as suspect, she said. The report "sends up a pretty good red flag that that's what was going on."

Clement partially conceded the point. "If that's enough to invalidate the statute, you should invalidate the statute," he said, before going on to argue that the justices should look at the other reasons Congress had for passing the law and uphold it if any of them could be considered valid.

FULL COVERAGE: Battle over gay marriage

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david.lauter@latimes.com

Twitter: @DavidLauter

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David Petraeus Apologizes for Affair in First Speech Since Resignation From CIA - ABC News

Posted: 27 Mar 2013 09:03 AM PDT

David Petraeus apologized in front of an audience of about 600, who welcomed him with a standing ovation, for an extramarital affair with his biographer in his first public speech since resigning as the head of the CIA.

"Needless to say, I join you, keenly aware that I am regarded in a different light now than I was a year ago," Petraeus said Tuesday night to an audience of mostly veterans at the University of Southern California's annual ROTC dinner at a hotel in Los Angeles.

"I am also keenly aware that the reason for my recent journey was my own doing. So please allow me to begin my remarks this evening by reiterating how deeply I regret -- and apologize for -- the circumstances that led to my resignation from the CIA and caused such pain for my family, friends and supporters," Petraeus said.

RELATED: Shocking Celebrity Confessions

The decorated war hero and former four-star general has remained out of the public eye since his affair with writer Paula Broadwell was revealed in November.

The former commander of U.S. and ISAF forces in Afghanistan addressed the affair only one other time in a statement the day he resigned as CIA director.

"After being married for over 37 years, I showed extremely poor judgment by engaging in an extramarital affair," Petraeus confessed in a letter to CIA staff.

Since announcing his resignation, Petraeus has only appearing in closed-door hearings before the House and Senate intelligence committees to testify about what he learned first-hand about the Sept. 11 attack in the U.S. Consulate in Benghazi.

RELATED: See the Timeline of the Petraeus/Broadwell Affair

"I know I can never fully assuage the pain that I inflicted on those closest to me and a number of others," Petraeus said Tuesday.

Petraeus' wife, Holly, was not in attendance at the dinner.

"As I close, I want to say thank you for words of encouragement to family. ... This has been difficult episode for us ... to fall as far as I did," Petraeus said in his closing remarks before he received another standing ovation.

Petraeus, 60, spent much of his time at the ROTC dinner speaking about what can be done for veterans and the families facing transition challenges from military life to civilian life.

"In reality, the transition often is quite challenging. Hanging up the uniform is quite difficult," he said.

Petraeus also penned an op-ed in today's Wall Street Journal about helping veterans find employment, assimilate into the workforce and set them on a definitive career path.

The speech and op-ed are Petraeus' first steps in what appears to be a carefully choreographed comeback bid as he tries to rehab his once-pristine image.

Petraeus' affair with Broadwell was discovered during an FBI investigation into emails she sent to Florida socialite Jill Kelley.

Broadwell, 40, who is also married, wrote the biography on Petraeus, "All In."

ABC News' Maria Nikias contributed to this report.

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Judge recommends dismissal of Facebook case

Posted: 26 Mar 2013 07:21 PM PDT

A federal judge on Tuesday recommended the dismissal of a lawsuit against Facebook Inc in which Paul Ceglia, an upstate New York wood pellet salesman, claimed a huge ownership stake in the social media company.

US Magistrate Judge Leslie Foschio said there is "clear and convincing evidence" that an alleged 2003 contract with Mark Zuckerberg, now Facebook's chief executive, that Ceglia claimed entitled him to a one-half interest in the company is a "recently created fabrication."

In October, federal prosecutors in Manhattan announced criminal mail and wire fraud charges against Ceglia, whom US Attorney Preet Bharara accused of seeking "a quick pay day based on a blatant forgery."

Ceglia, who has lived in Wellsville, New York, pleaded not guilty. Each criminal charge carries a maximum sentence of 20 years in prison.

Paul Argentieri, a lawyer for Ceglia, was not immediately available on Tuesday for comment.

In his 2010 civil lawsuit, Ceglia claimed that a 2003 contract he signed with Zuckerberg, then a Harvard University freshman, entitled him to the Facebook stake.

Though Zuckerberg had done programming work for Ceglia's company StreetFax.com, Facebook maintained that a separate agreement involving that entity, which did not entitle Ceglia to a big Facebook stake, was the real contract between the two.

In a 155-page recommendation, Foschio said Ceglia's arguments largely consisted of "self-defeating inconsistencies" that established the "fraudulent nature" of his claims.

"Plaintiff has utterly failed to rebut the plethora of evidence establishing that it is highly probable and reasonable the StreetFax document was the operative contract," the Buffalo, New York-based judge wrote.

Foschio also said it is "highly probable and reasonably certain" that the contract Ceglia said was real was "fabricated for the express purpose of filing the instant action."

The case now goes to US District Judge Richard Arcara, who will decide whether to approve Foschio's recommendation.

Colin Stretch, deputy general counsel of Facebook, said in a statement that Foschio's recommendation "confirms what we have said from day one: this lawsuit is an inexcusable fraud based on
forged documents."

Facebook's market value is now about US$60 billion.

The accusations against Facebook and Zuckerberg had been an unusual distraction during the Menlo Park, California-based company's march toward its May 2012 initial public offering.

Facebook's origin was also the focus of separate litigation by Zuckerberg's twin Harvard classmates Cameron and Tyler Winklevoss, chronicled in the 2010 movie "The Social Network."

Ceglia claimed that Zuckerberg shared his plans for a social networking website while working at StreetFax, and contracted to give him a stake in exchange for a US$1,000 investment.

To build his case, Ceglia submitted what he said were emails from Zuckerberg that proved the pair discussed the project that eventually became Facebook.

But Facebook said Zuckerberg did not even conceive of the idea for a social media company until December 2003.

Its lawyers said Ceglia had produced fraudulent documents, citing work by forensic experts who concluded that he had typed text into a Microsoft Word document, and declared it the text of emails with Zuckerberg in 2004.

Ceglia went through a string of lawyers from prominent firms, including DLA Piper and Milberg, who worked with him on various parts of the civil case but later withdrew.

Earlier this month, Ceglia filed a separate civil lawsuit against Bharara and US Attorney General Eric Holder to halt the criminal case.

The civil case is Ceglia v. Zuckerberg et al, US District Court, Western District of New York, No. 10-00569. The lawsuit against Bharara and Holder is Ceglia v. Holder et al in the same court, No. 13-00256. The criminal case is US v. Ceglia, US District Court, Southern District of New York, No 12-cr-00876.-- Reuters

Facebook expands ad targeting system

Posted: 26 Mar 2013 06:51 PM PDT

SAN FRANCISCO: Facebook Inc is expanding the advertising system that lets marketers tailor messages to users of the No.1 social network based on their browsing history, in the company's latest step to refine its ad business.

So far, the system has been used to target graphical display ads on the right side of a Facebook user's page, based on websites visited in the past, such as for products or potential vacation destinations.

The move announced on Tuesday will incorporate this system, called Facebook Exchange, to the ads in Facebook's News Feed.

It ties together two of the most significant innovations that Facebook Inc has made in the past year to its advertising business, which accounts for roughly 84 per cent of the company's revenue.

Marketers last year welcomed the launch of Facebook Exchange as it provided a common online advertising technique long missing on the social network.

Ads that appear directly within the Facebook News Feed are considered crucial to its future business prospects since they can be seen on mobile devices such as smartphones. About two-thirds of Facebook users accessed the site on a mobile device in December.

Facebook said the Facebook Exchange system will initially be available for newsfeed ads that appear on desktop PCs but not on mobile devices.

"Desktop is more in line with what FBX (Facebook Exchange) has been doing effectively in the right hand side. And we also find that desktop is the place where more people convert from seeing direct-response ads," said Facebook spokeswoman Elisabeth Diana.

The company is testing the new service with a limited set of partners, with plans for broader availability in the coming weeks.

Shares of Facebook closed 7 cents higher at US$25.21 on Nasdaq.-- Reuters

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Supreme Court justices raise doubts on California gay marriage ban - Chicago Tribune

Posted: 26 Mar 2013 08:44 AM PDT

The U.S. Supreme Court hears arguments today on California's voter-approved ban on same-sex marriage. Kris Perry and Sandy Stier and Paul Katami and Jeff Zarrillo filed a federal lawsuit to overturn the ban. (March 26)

WASHINGTON -- As the Supreme Court heard arguments on Tuesday on the delicate and divisive issue of gay marriage, Chief Justice John Roberts expressed doubt that California opponents of gay marriage had a right to be heard in federal court.

U.S. citizens in general do not have a right to sue to enforce laws they favor. Roberts pressed lawyer Charles Cooper, who represents gay marriage opponents, on why his clients are any different as they seek to enforce California's gay marriage ban, known as Proposition 8.

"I don't think we've ever allowed anything like that," Roberts said in the first half of an hour of scheduled argument.

If Cooper's clients lack the right to appear, known as standing, the Supreme Court may not reach the central question of gay marriage rights.

Justice Anthony Kennedy, who like Roberts is seen as a potential swing vote, pressed Cooper. Kennedy used one of his questions to focus on the "imminent legal injury" facing 40,000 California children being raised by gay and lesbian couples.

"They want their parents to have full recognition and full status," he said.

Cooper, facing a barrage of questions mostly from the Supreme Court's liberal wing, called California's law the equivalent of a "pause button."

A ruling that finds a fundamental right to marry for gays and lesbians would unfairly cut off spirited public debate nationwide, Cooper said.

Justices Sonia Sotomayor, Elena Kagan, Stephen G. Breyer and Ruth Bader Ginsburg pounded Cooper for linking marriage to child-bearing, with Kagan asking if states could also prohibit couples over age 55 from getting married. Cooper responded that even in that case, at least one member of the marriage would likely still be fertile, a suggestion that drew laughter from the courtroom.

This morning's 80-minute exchange opened the first of two days of oral arguments on gay marriage before the Supreme Court. On Wednesday, the court will consider the 1996 federal Defense of Marriage Act (DOMA), which limits the definition of marriage to opposite-sex couples. Rulings in both cases are expected by the end of June.

Over the two days of arguments, the justices will have their say on what gay activists see as a civil rights issue reminiscent of famous Supreme Court cases of the past, including Loving v. Virginia, a 1967 case in which the court invalidated bans on interracial marriage.

The cases come before the high court at a time when more states have legalized gay marriage. Last year three more - Maryland, Maine and Washington - did so, bringing the total to nine plus the District of Columbia.

"Never before in our history has a major civil rights issue landed on the doorstep of the Supreme Court with this wave of public support," said Theodore Boutrous, a lawyer for opponents of Proposition 8.

Strong opposition to gay marriage still exists, however, both among Republicans in Congress and in many states. A total of 30 states, including California, have constitutional amendments that ban gay marriage. Nine states, including California, recognize civil unions or domestic partnerships among same-sex couples.

Reuters and David G. Savage and , Tribune Washington Bureau

Amanda Knox faces Italy retrial over Kercher slaying - USA TODAY

Posted: 26 Mar 2013 08:51 AM PDT

ROME -- American Amanda Knox and her Italian ex-boyfriend, Raffaele Sollecito, must be retried for the 2007 death of British exchange student Meredith Kercher, Italy's highest court ruled Tuesday.

The Italian Supreme Court overturned the pair's acquittal and ordered an appeals court in Florence to rehear the high-profile case that attracted international attention. Knox and Sollecito initially had been convicted of murder and served four years in prison before they were acquitted on appeal in 2011.

Knox, 25, issued a statement through a family spokesman that said it was "painful" to have the acquittal overturned but that she was "confident" about the truth.

"The prosecution responsible for the many discrepancies in their work must be made to answer for them, for Raffaele's sake, my sake, and most especially for the sake of Meredith's family. Our hearts go out to them," the statement said. "No matter what happens, my family and I will face this continuing legal battle as we always have, confident in the truth and with our heads held high in the face of wrongful accusations and unreasonable adversity."

Kercher's family attorney, Francesco Maresca, said after ruling: "Yes, this is what we wanted."

Sollecito's attorney, Giulia Bongiorno, noted that Tuesday's ruling was not a determination of guilt for his 29-year-old client, but merely a need for further study of the appeals court ruling.

Legal experts will now try to gauge the likelihood of Knox, who attends the University of Washington in Seattle, being extradited to Italy to stand trial. The fact that she had been acquitted may complicate the case.

A 2010 Congressional Research Service Report says most U.S. extradition treaties allow or require that extradition be denied under certain circumstances, including "crimes barred by double jeopardy."

Since the U.S. Constitution prohibits successive prosecutions for the same offense -- double jeopardy -- but some other countries do not, "it is common for extradition treaties to contain clauses proscribing extradition when the transferee would face double punishment and/or double jeopardy," the report says.

Giorgio Spangher, head of the law school at Rome's Sapienza University, said that the case hasn't actually been reopened. Instead, the 2011 appeal that acquitted Knox and Sollecito was annulled.

He said that Knox cannot be compelled to raeturn to Italy but can choose to do so voluntarily. If she's convicted in absentia, Italy could request her extradition.

"We have to wait and see what she decides to do, but if she were my client I would not advise her to return for this case," said Spangher.

Kercher's body was found in November 2007 in her bedroom of the house she shared with Knox and other roommates in Perugia, an Italian university town where the two women were exchange students. The 21-year-old's throat had been slashed.

Prosecutors argued that Kercher, from south London, was killed as a result of a sex game that went amiss.

Knox, then 20, and Sollecito, then 24, were prosecuted and found guilty of killing Kercher. Knox was sentenced to 26 years in prison; Sollecito got 25 years. They were released four years later, in October 2011, after their convictions were overturned.

An Ivory Coast man, Rudy Guede, was convicted of the slaying in a separate proceeding and is serving a 16-year sentence.

Reaction to Tuesday's ruling was mixed in Italy, befitting a case that captivated people from the U.S., the United Kingdom and Italy.

Enrico Campione, 50, an art restorer from Rome, said: "The poor girl. I don't know if she's innocent or guilty, but they had two trials already and they should know that. If she's guilty she should be punished, of course. But I feel bad for her that she can't put his behind her."

Sabina De Tomaso, 29, a restaurant worker, said: "I had a feeling she was guilty before and she got off because she had expensive lawyers and they found technical problems. I hope they will find the truth now."

Contributing: Kim Hjelmgaard reported from London; Associated Press

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