News StoriesExcerpts of Key News Stories in Major Media
Note: This comprehensive list of news stories is usually updated once a week. Explore our full index to revealing excerpts of key major media news stories on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.
Bank of America Corp., hit by a credit downgrade last month, has moved derivatives from its Merrill Lynch unit to a subsidiary flush with insured deposits. Derivatives are financial instruments used to hedge risks or for speculation. They’re derived from stocks, bonds, loans, currencies and commodities, or linked to specific events such as changes in the weather or interest rates. Keeping such deals separate from FDIC-insured savings has been a cornerstone of U.S. regulation for decades, including last year’s Dodd-Frank overhaul of Wall Street regulation. Three years after taxpayers rescued some of the biggest U.S. lenders, regulators are grappling with how to protect FDIC-insured bank accounts from risks generated by investment-banking operations. “The concern is that there is always an enormous temptation to dump the losers on the insured institution,” said William Black, professor of economics and law at the University of Missouri-Kansas City and a former bank regulator. “We should have fairly tight restrictions on that.” Bank of America’s holding company -- the parent of both the retail bank and the Merrill Lynch securities unit -- held almost $75 trillion of derivatives at the end of June. That compares with JPMorgan’s deposit-taking entity, JPMorgan Chase Bank NA, which contained 99 percent of the New York-based firm’s $79 trillion of notional derivatives.
Note: Remember that the GDP of the entire world is estimated at around $60 trillion, less than JPMorgan or BofA own in derivatives. For an excellent article laying out the incredible risk this creates of a major economic collapse, click here. For more on the high risk and cost to taxpayers of BofA moving its massive amount of derivatives to its subsidiary, click here. For lots more from major media sources on the illegal profiteering of major financial corporations enabled by lax government regulation, click here.
A highly sophisticated computer worm which has many of the same characteristics of the virus used to attack Iran's nuclear programme has been discovered targeting companies in Europe. Experts say its code is so similar to the Stuxnet worm that attacked Iran, that it may have been engineered by the same people. The US and Israel were widely thought to be behind Stuxnet, which sent many of the centrifigues at Tehran's nuclear facilities spinning out of control. It took this kind of cyberwarfare to a new level. The new virus was discovered by Symantec, a leading cybersecurity firm, and has been called Duqu. Symantec would not disclose which firms had been targeted. "The majority of the code is consistent with the Stuxnet code," said a spokesman for Symantec. "So this new worm either came from the authors of Stuxnet, or someone was given access to the Stuxnet source codes." Symantec suspects that Duqu may have been the first in a wave of new Stuxnet-style viruses, and that further sophisticated versions of it with a more aggressive purpose may emerge in the coming months. Stuxnet showed that cyberwarfare is developing fast, and is increasingly being thought of by states as a means of inflicting maximum damage with minimum risk. Earlier this year the Guardian revealed that the UK is developing its own "first strike" capability.
Note: For many reports from reliable sources on new weapons technologies, click here and here.
The operator of Japan's tsunami-hit Fukushima nuclear power plant [Tokyo Electric Power (Tepco)] said the amount of radiation being emitted from the complex has halved from a month ago, in the latest sign that efforts to bring the plant under control are progressing. In light of the progress being made in cooling its damaged reactors, which suffered nuclear fuel meltdowns in the first days of the crisis, Tepco formally brought forward its plan to bring the plant to a state of "cold shutdown" within this year. Technically, a cold shutdown is a state in which water used to cool nuclear fuel rods remains below 100 degrees Celsius, preventing the fuel from reheating. Declaring a cold shutdown will have repercussions well beyond the plant as it is one of the criteria the government said must be met before it begins allowing about 80,000 residents evacuated from within a 20 km (12 mile) radius of the plant to go home. Japan faces a massive cleanup task if these residents are to be returned home -- the environmental ministry says about 2,400 square km (930 square miles) of land surrounding Daiichi may need decontamination. Even if a cold shutdown is declared Tepco has acknowledged that it may not be able to remove the fuel from the reactors for another 10 years and that the cleanup at the plant could take several decades.
Note: For more on the Fukushima situation from the standpoint of the tens of thousands of evacuees, click here.
FirstEnergy Corp. [stock price] fell after a report that engineers discovered cracks in the concrete shell of its Davis-Besse nuclear plant. Contractors on Oct. 10 discovered a hairline crack measuring about 30 feet (9.1 meters) long as they sliced a hole into the plant’s outer shell in order to install a new reactor vessel head, said Jennifer Young, a FirstEnergy spokeswoman. The cracked shell is the outermost of several layers of steel and concrete that protect the reactor, which has been shut down since Oct. 1 in preparation for the repair work. Davis-Besse was shuttered for more than three months in 2010 after workers discovered cooling water leaking through cracks in some reactor-head nozzles, steel casings that hold fuel and control rods. Leaks and reactor corrosion prompted FirstEnergy to close the plant for two years, from 2002 to 2004, while the company retrained or replaced workers who ignored signs of damage, and eventually replaced the reactor head. The leaks found last year at the 900-megawatt plant prompted the Union of Concerned Scientists in April 2010 to demand that the plant remain closed until its owners established better controls to maintain health and safety standards.
Note: If you want to see how safety around nuclear plants is ignored and threatened all the time by money interests at all levels, watch the amazingly revealing documentary on Chernobyl at this link. The most telling piece in this documentary involves the man tasked by Gorbechov to write the official report of all the problems they faced. When he gave the report to the IAEA in a secret meeting, he was ridiculed by the other international leaders there, who accused him of spreading baseless fears. On the second anniversary of the Chernobyl disaster, he committed suicide.
Every five hours a child dies from abuse or neglect in the US. The latest government figures show an estimated 1,770 children were killed as a result of maltreatment in 2009. A recent congressional report concludes the real number could be nearer 2,500. In fact, America has the worst child abuse record in the industrialised world. Why? Sixty-six children under the age of 15 die from physical abuse or neglect every week in the industrialised world. Twenty-seven of those die in the US - the highest number of any country. In Washington, politicians are beginning to recognise what some now describe as a "national crisis". Abused children are 74 times more likely to commit crimes against others and six times more likely to maltreat their own children, according to the Texas Association for the Protection of Children. For this reason, experts believe it is in the US government's as well as society's interest to ensure children are protected from abuse. Each and every citizen, they say, has a responsibility to help break this cycle of violence.
Note: You have to click on the arrows several times to get all the text on this webpage.
Three Massachusetts State Police officers once staked out organized-crime chief Whitey Bulger for months, all the while not knowing that he was an FBI informant who was tipped to their surveillance. James “Whitey” Bulger, now 82, is the Al Capone of Boston. A fugitive since 1995 who seemed untouchable, he is also compared to the “Teflon Don” of New York, John Gotti. His brother, Billy Bulger, was once the most powerful political figure in Massachusetts. "Whitey" was an FBI informant for decades while ruling the Irish organized-crime world. He made millions from rackets and drugs and committed an untold number of murders to keep his empire safe. On June 22, he was arrested in Santa Monica, California. The seizure of weapons and more than $800,000 in cash was no surprise. Recently, I spoke with three of the best—Bob Long, Rick Fraelick, and Jack O’Malley. Intrepid Bob Long was in charge. Bob Long says that if Bulger and Flemmi had not been protected by the FBI, “then ... nine murders would have never taken place. Long said he believes that Agents Morris and Connolly identified more than a dozen individuals to Bulger and Flemmi as FBI informants or could-be FBI informants and all of those people were killed. Connolly is now in prison; Morris received a grant of immunity for testimony.
Note: For lots more from major media sources on government corruption, click here.
Monsanto Co.’s insect-killing corn is toppling over in northwestern Illinois fields, a sign that rootworms outside of Iowa may have developed resistance to the genetically modified crop. Michael Gray, an agricultural entomologist at the University of Illinois in Urbana, said he’s studying whether western corn rootworms collected last month in Henry and Whiteside counties are resistant to an insect-killing protein derived from Bacillus thuringiensis, or Bt, a natural insecticide engineered into Monsanto corn. The insects were collected in two fields where corn had toppled after roots were eaten by rootworms, Gray said today. Planting Bt corn year after year increases the odds that the bugs will develop resistance to the insecticide, he said. While the symptoms parallel bug resistance that’s been confirmed in Iowa, analysis of the Illinois insects won’t be complete until next year, he said. “Whatever is the cause, it is generating a lot of concern.”
Note: For more on this, click here.
The most impressive performance at a Toronto marathon Sunday was turned in by the man who came in last place - and is 100 years old. Fauja Singh completed the Scotiabank Toronto Waterfront Marathon in approximately eight hours, making him the oldest person ever to finish one of the 26.2-mile races. It was the eighth marathon for Singh, who was born India in 1911 and did not start running marathons until he was 89, after he moved to England following the death of his wife and son. He says not smoking or drinking alcohol throughout his life, combined with a vegetarian diet and up to 10 miles of walking or running per day are the secrets to his health. The Association of Road Racing Statistician already had Singh as the oldest person to complete a marathon, for one he ran seven years ago. But the Guinness Book of World Records recognized Dimitrion Yordanidis, 98, who ran in Athens in 1976. Singh recently set eight world records for his age group in one day at a special invitational meet in Toronto. He ran the 100 meters in 23.14, 200 meters in 52.23, the 400 meters in 2:13.48, the 800 meters in 5:32.18, the 1500 meters in 11:27.81, the mile in 11:53.45, the 3000 meters in 24:52.47 and the 5000 meters in 49:57.39. "I have said it before: that I will carry on running, as it is keeping me alive," Singh told the marathon website.
Note: Does anyone still believe vegetarianism can't be healthy?
The Occupy Wall Street protest against income disparity spread across Western Europe, Asia, the U.S. and Canada today. Rome's demonstration turned violent, contrasting with peaceful events elsewhere. The rallies started last month in New York's financial district, where people have been staying in lower Manhattan's Zuccotti Park. They widened to 1,500 cities today, including Sydney and Toronto, the organizers said, in a “global day of action against Wall Street greed.” Protesters say they represent “the 99 percent,” a nod to a study by Nobel Prize-winning economist Joseph Stiglitz showing the top 1 percent of Americans control 40 percent of U.S. wealth. In Berlin, 6,000 took to the streets and 1,500 gathered in Cologne, ZDF television said. In Frankfurt, 5,000 marched by the European Central Bank headquarters. In New York, demonstrators marched past a JPMorgan Chase & Co. branch urging clients to transfer accounts to “a financial institution that supports the 99 percent.” They distributed fliers with a list of community banks and credit unions. New York police arrested 24 at a Citigroup Inc. bank branch and 6,000 gathered in Times Square. About 1,000 people gathered in Toronto's financial district carrying signs saying “Nationalize the Banks.” Demonstrations turned violent in Italy, where the unemployment rate for 15-to-24-year-olds was 27.6 percent in August.
Note: For lots more on the reasons why people all over the world are occupying their city centers, check out our "Banking Bailout" news articles.
Critics of the growing Occupy Wall Street movement complain that the protesters don’t have a policy agenda and, therefore, don’t stand for anything. They're wrong. The key isn’t what protesters are for but rather what they’re against -- the gaping inequality that has poisoned our economy, our politics and our nation. In America today, 400 people have more wealth than the bottom 150 million combined. That’s not because 150 million Americans are pathetically lazy or even unlucky. In fact, Americans have been working harder than ever -- productivity has risen in the last several decades. Big business profits and CEO bonuses have also gone up. Worker salaries, however, have declined. Most of the Occupy Wall Street protesters [want] an end to the crony capitalist system now in place, that makes it easier for the rich and powerful to get even more rich and powerful while making it increasingly hard for the rest of us to get by. The question is not how Occupy Wall Street protesters can find that gross discrepancy immoral. The question is why every one of us isn’t protesting with them. According to polls, most Americans support the 99% movement, even if they’re not taking to the streets.
Note: For lots more on the reasons why people all over the world are occupying their city centers, check out our "Banking Bailout" news articles.
‘Occupy Wall Street,’ the growing, decentralized protest movement that’s clashing with police in New York City, spreading across the country, and grabbing headlines across the world ... is also, somewhat unusually, a protest movement without clear demands, an identifiable leadership, or an evident organizational structure. Decisions are made by the NYC General Assembly, which Nathan Schneider describes as “a horizontal, autonomous, leaderless, modified-consensus-based system with roots in anarchist thought,” and thus far, the General Assembly has decided against yoking the movement to a particular set of goals, or even a particular ideology. Which is all to say that it’s important to try and understand the movement on its own terms, rather than the terms most of us are used to. Here are five places to start: - The ... ‘Occupy Wall Street blog’, and in particular, the blog’s forums. Here, for instance, is the movement’s ‘Declaration of the Occupation of New York City.’ - Nathan Schneider’s ‘Occupy Wall Street FAQ’. I’d perhaps recommend this as the single best place to start. - ‘Understanding the theory behind Occupy Wall Street’s approach,’ by Mike Konczal. Also see his post, ‘15 definitions of freedom from Occupy Wall Street.’
Note: For lots more on the reasons why people all over the world are occupying their city centers, check out our "Banking Bailout" news articles.
Authorities granted protesters a four-month extension to continue occupying Freedom Plaza in D.C.. A deadline for protesters with the October 2011/Stop the Machine demonstration to pack up and leave Freedom Plaza came and went Monday afternoon. The protesters were given until 2 p.m. to break down their stage and other equipment after their original four-day permit expired Sunday. While the protesters cleaned the space and took down the stage where they led rallies, made speeches and played music, they didn't leave. At about 2 p.m. Monday, Park Police went to Freedom Plaza and requested a private meeting with protest organizers. They met at National Park Service headquarters about 4 pm. Before leaving Freedom Plaza, the organizers told the crowd they'd stay until they're ready to leave. The organizers returned to a round of applause when they told demonstrators that authorities offered the four-month extension. Park Police realized it was not in their best interests to shut the demonstrators down or make arrests, organizers said, and asked if demonstrators needed to be arrested to make their point. The organizers replied that they don’t need to be arrested over a permit issue and want their issues addressed.
Note: For lots more on the reasons why people all over the world are occupying their city centers, check out our "Banking Bailout" news articles.
A widening gap between rich and poor is reshaping the U.S. economy, leaving it more vulnerable to recurring financial crises and less likely to generate enduring expansions. Left unchecked, the decades-long trend toward increasing inequality may ... shake social stability, economists and financial-industry executives say. “Income inequality in this country is just getting worse and worse and worse,” James Chanos, president and founder of New York-based Kynikos Associates Ltd., told Bloomberg Radio this week. “And that is not a recipe for stable economic growth when the rich are getting richer and everybody else is being left behind.” Since 1980, about 5 percent of annual national income has shifted from the middle class to the nation’s richest households. That means the wealthiest 5,934 households last year enjoyed an additional $650 billion -- about $109 million apiece -- beyond what they would have had if the economic pie had been divided as it was in 1980, according to Census Bureau data. Disputes over what constitutes economic fairness are moving to center stage amid a near-stagnant U.S. economy saddled with 9.1 percent unemployment yet boasting record corporate profits.
Note: For key reports from major media sources on income inequality in the US and worldwide, click here.
The world is facing the worst financial crisis since at least the 1930s “if not ever”, the Governor of the Bank of England said last night. Sir Mervyn King was speaking after the decision by the Bank’s Monetary Policy Committee to put Ł75billion of newly created money into the economy in a desperate effort to stave off a new credit crisis and a UK recession. Economists said the Bank’s decision to resume its quantitative easing [QE] showed it was increasingly fearful for the economy, and predicted more such moves ahead. Sir Mervyn said the Bank had been driven by growing signs of a global economic disaster. “This is the most serious financial crisis we’ve seen, at least since the 1930s, if not ever. We’re having to deal with very unusual circumstances, but to act calmly to this and to do the right thing.” Announcing its decision, the Bank said that the eurozone debt crisis was creating “severe strains in bank funding markets and financial markets”. Financial experts said the committee’s actions would be a “Titanic” disaster for pensioners, savers and workers approaching retirement. Under QE, the Bank electronically creates new money which it then uses to buy assets such as government bonds, or gilts, from banks. By increasing the demand for gilts, QE pushes down the interest rate yields paid to holders of these and other bonds. Critics of the policy say it pushes up inflation and drives down sterling.
Note: For lots more on the global financial crisis from reliable sources, click here.
The Defense Department, which has promised to publish a reliable account of how it spends its money by 2017, has discovered that its financial ledgers are in worse shape than expected and that it will have to spend billions of dollars in the coming years to make its financial accounting credible, the Center for Public Integrity reported [on October 13]. The U.S. military has spent more than $6 billion to develop and deploy new financial systems, but the effort has been plagued by significant added overruns and delays, defense officials told the CPI, a nonprofit investigative news organization. The Government Accountability Office said in a report last month that although the services can now fully track incoming appropriations, they still can't demonstrate that their funds are being spent as they should be. The Pentagon’s bookkeeping has come under increased scrutiny as Congress and the Obama administration have vowed to reduce the federal deficit. The department could face substantial cutbacks if a special bipartisan "supercommittee" can’t agree on a formula for reducing the deficit.
Note: For an essay by a top U.S. general revealing how wars are used to bring huge profits to the powerful elite of our world, click here. For lots more from reliable sources on government corruption, click here.
Britain's tax authorities have given Goldman Sachs an unusual and generous Christmas present, leaked documents reveal. In a secret London meeting last December with the head of Revenue, the wealthy Wall Street banking firm was forgiven Ł10m interest on a failed tax avoidance scheme. HM Revenue and Customs sources admit privately that the interest-free deal is "a cock-up" by officials, but refuse to say who was responsible. Documents leaked to Private Eye magazine and published in full by the Guardian record that Britain's top tax official, HMRC's permanent secretary Dave Hartnett, personally shook hands on a secret settlement last December. Hartnett also refused to give the facts about Goldman Sachs to MP Jesse Norman on the Treasury committee last month, claiming disclosure would be illegal. He also refuses to brief ministers on the details. The Ł10m Christmas gift for Goldman was the culmination of a prolonged attempt by the US firm to avoid paying national insurance on huge bonuses for its bankers working in London. The sum was pocket change to Goldman, whose employees received $15.3bn (Ł9.5bn) in pay and bonuses last year.
Note: For lots more from reliable sources on corporate and government corruption, click here and here.
Last week we learned from Reuters that fellow countrymen labeled "militants" by the Obama administration are now unilaterally placed on a "kill list" by "a secretive panel of senior government officials. "This is a real-life death panel inside the highest governmental office in the land -- and, according to Reuters, it acts without "any law establishing its existence or setting out the rules by which it is supposed to operate." This neo-Star Chamber is wholly unprecedented in its willful violations of the U.S. Constitution's due-process provisions -- and our Congress' refusal to even question it is utterly detestable. However, it reminds us that government death panels in general are anything but rare; they are all around us, making blood-curdling decisions to kill people all the time. For example, at the state level, the death panel commonly called the Georgia Board of Pardons and Paroles recently opted to execute Troy Davis, despite compelling evidence calling his conviction into question. Likewise ... the death panel known as the U.S. House Agriculture Appropriations Committee [is] considering cuts to food stamps at a time when Louisiana State University researchers report that between 2,000 and 3,000 elderly Americans are already dying of malnutrition every year.
Note: For key reports on government corruption from major media sources, click here.
Republican presidential contender Ron Paul on [October 5] suggested that the United States could assassinate journalists the same way it targeted Americans with ties to al-Qaida. The Texas congressman again criticized President Barack Obama for approving last week's drone strikes in Yemen against a U.S. citizen who was tracked and executed based on secret intelligence. [Another American citizen] also died in the bombing. Escalating his criticism, Paul told a National Press Club luncheon that if citizens do not protest the deaths, the country will start adding reporters to its list of threats that must be taken out. "Can you imagine being put on a list because you're a threat? What's going to happen when they come to the media? What if the media becomes a threat? ... This is the way this works. It's incrementalism," Paul said. Paul, making his second run for the Republican presidential nomination, has built a die-hard following among the GOP's libertarian wing and has worked to court anti-war conservatives.
Note: For key reports on government corruption from major media sources, click here.
Somewhere, a US government official is reading through a list of those who sent or received an email from Jacob Appelbaum, a 28-year-old computer science researcher at the University of Washington who volunteered for WikiLeaks. Among those listed will be my name, a journalist who interviewed Appelbaum for a book about the digital revolution. Appelbaum is a spokesman for Tor, a free internet anonymising software that helps people defend themselves against internet surveillance. He's spent five years teaching activists around the world how to install and use the service to avoid being monitored by repressive governments. Now, Appelbaum finds himself a target of his own government as a result of his friendship with Julian Assange and the fact WikiLeaks used the Tor software. Appelbaum has not been charged with any wrongdoing; nor has the government shown probable cause that he is guilty of any criminal offence. That matters not a jot, because, as the law stands, government officials don't need a search warrant to access our digital data. Searching someone's home requires a warrant that can only be obtained by proving probable cause, but digital searches require no such burden of proof. Most people are not aware of the ease with which governments – free, open and so-called democratic – can access and peruse our private communications.
Note: For key reports on government threats to privacy from major media sources, click here.
It was the kind of study that made doctors around the world sit up and take notice: Two popular high-blood-pressure drugs were found to be much better in combination than either alone. Unfortunately, it wasn't true. Six and a half years later, the prestigious medical journal the Lancet retracted the paper, citing "serious concerns" about the findings. The damage was done. Doctors by then had given the drug combination to well over 100,000 patients. Instead of protecting them from kidney problems, as the study said the drug combo could do, it left them more vulnerable to potentially life-threatening side effects, later studies showed. Today, "tens of thousands" of patients are still on the dual therapy, according to research firm SDI. When a study is retracted, "it can be hard to make its effects go away," says Sheldon Tobe, a kidney-disease specialist at the University of Toronto. And that's more important today than ever because retractions of scientific studies are surging. Since 2001, while the number of papers published in research journals has risen 44%, the number retracted has leapt more than 15-fold, data compiled for The Wall Street Journal by Thomson Reuters reveal. Just 22 retraction notices appeared in 2001, but 139 in 2006 and 339 last year
Note: To learn lots more of how the medical industry puts profit above public health, click here.
Important Note: Explore our full index to revealing excerpts of key major media news stories on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.