D.A.-elect has full plate as she confronts her next challenge

As a junior at UC Irvine in 1978, Jackie Lacey was featured in a Seventeen magazine article profiling 13 young women. The first in her family to go to college, she had recently switched her career plan from being a grade school teacher to a lawyer.

"I can do more in the legal process to help people," Lacey, then 21, told the magazine. "I've seen so many black people cheated by tradesmen or intimidated by the police because they have no knowledge of their legal rights. I'd like to help change that."

Back then, Lacey said, becoming a prosecutor was the last thing on her agenda. The attorneys the black community looked up to were defense attorneys and civil rights lawyers.

"'Prosecutor, what is that? Is that the person who puts people in jail?' — that's the view I had of the prosecutor's office," she said.

But that view changed. Earlier this month L.A. County voters elected Lacey district attorney, capping a 26-year career in the nation's largest prosecutorial office. She also broke down some barriers, something noticed by many, including hip-hop mogul Sean "Diddy" Combs.

"Congrats to Jackie Lacey who became the first woman and African American to be elected District Attorney of Los Angeles! LETS GO! POWERFUL," Combs tweeted the day after the election.

She drew other celebrity supporters, including former basketball star Magic Johnson and R&B singer Macy Gray, who performed at Lacey's election night party, confiding to the audience that she had been wooed by the candidate's promise to have her over for peach cobbler.

The new D.A.-elect is going to have little time to celebrate her victory or perhaps even bake that cobbler. She's faced with numerous challenges, ranging from prison realignment and court closures to choosing a new leadership team.

The job will also thrust her into the limelight as never before. Despite serving as outgoing Dist. Atty. Steve Cooley's second-in-command, she spent the last decade largely away from the spotlight — until she ran for office. Her opponent, prosecutor Alan Jackson, on the other hand, had gotten media attention for cases like the murder trials of music producer Phil Spector, and regularly appeared on the NBC show "Unsolved Case Squad."

Within the district attorney's office, Lacey has been known for her down-to-earth persona and collaborative leadership style.

"I would say she's probably one of the most approachable managers I've ever worked for," said Joseph Esposito, director of specialized prosecutions, who worked under Lacey when she headed the district attorney's central operations bureau. "… One thing I learned immediately is that it was absolutely OK to express my own opinion, even if it was contrary to hers."

Detractors criticized Lacey as a bureaucrat overly beholden to Cooley. In a television ad, Jackson slammed her for conflicting testimony she had given in two union grievance hearings, saying she was "a political appointee who was dishonest under oath to protect her boss." Lacey maintained that she had merely corrected her previous testimony, and called Jackson naive.

Lacey told the Times in an interview during her campaign, "I don't foam at the mouth, I don't walk around bragging. Running for office is really hard for me because I'm not used to marketing myself. But I am a determined individual. If I set my mind to something, I will work literally day and night until I am sick."

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Lacey grew up in the Crenshaw district of Los Angeles, raised by blue collar parents — her father worked for the city's lot cleaning division and her mother in a garment factory and later for the school district — who had migrated from the South. Despite beginning from "scratch," as Lacey's mother, Addie Phillips, put it, they saved enough to buy their house for $30,000 and enough to send Lacey to college.

She went on to law school at USC on a scholarship, and upon graduation, joined a small entertainment law firm.

"That sounds sexy," she said. "It was the most boring job you could imagine."

Unable to stomach the succession of monotonous depositions, she jumped to the Santa Monica city attorney's office, where a friend from law school had landed. There she found that she enjoyed criminal law. She also discovered, she said, that "many of the victims are poor people, just like the people I said I wanted to help."

After moving to the district attorney's office, she eventually prosecuted hate crimes, including the case of a black homeless man in Lancaster who was beaten to death by three Nazi Lowriders.

Lacey worked under Cooley in the San Fernando courthouse and was the first person he appointed to management after his election as district attorney in 2000. Cooley appointed her as chief deputy district attorney in March 2011, shortly before announcing his own plans to retire and backing her run to replace him.

As district attorney-elect, Lacey will immediately be confronted by the hot button issue of prison realignment, which shifted responsibility for thousands of prisoners and parolees from the state to counties.

"That's the overall biggest problem everyone has in the criminal justice system," said Laurie Levenson, a former federal prosecutor and Loyola Law School professor. "…If she can just deal with realignment, she will be a huge success."

Lacey acknowledged that realignment has not so far brought the "Armageddon" of spiking crimes rates that some predicted, but still called it a threat to public safety, citing the potential for jail overcrowding and concerns about the system's ability to monitor released prisoners.

Lacey has said she wants to move quickly to expand the county's alternative sentencing programs for veterans, female parolees and people with mental illnesses and substance abuse problems, although she is still working out the mechanics of how to do it. Offering alternative sentencing to more low-level offenders would ensure that the jails have room for more serious criminals and that courts, not sheriff's officials, would decide how long offenders will spend in jail, she said.

At the same time, Lacey supports reclassifying some nonviolent offenders, including high-level drug dealers and some identity theft perpetrators, to make them eligible for state prison time.

She has also promised to expand prosecutions of identity theft and environmental crimes — the office currently has only one investigator dedicated to that role — and has pledged to continue to support the public integrity unit, a pet project of Cooley's. That unit has prosecuted officials in Bell, Vernon and elsewhere on public corruption charges.

Lacey's first move as district attorney, however, will be to appoint people to her leadership team. So far, she has declined to say whom she is considering.

abby.sewell@latimes.com

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Israel's Rocket-Hunting Ace Got His Start Playing <em>Warcraft</em>

War has once again erupted between Hamas and the Israel Defense Forces, with the Gaza-based militant group launching hundreds of rockets and missiles at Israeli towns. But many of these projectiles never made it to their targets, thanks to the new Iron Dome missile defense system that’s arguably become this conflict’s most important technological difference-maker. This article, first published in April, tracks the story of Iron Dome’s most prolific “gunner.” While his record for shooting down missiles and rockets has by now undoubtedly fallen, the tale still gives insight into the battle now gripping Israel and Gaza.

KFAR GVIROL, Israel — While many of the boys in Idan Yahya’s high school class were buffing up and preparing themselves for selection into elite combat units, this gawky teenager was spending “a lot of time” playing Warcraft — the real-time strategy computer game where opposing players command virtual armies in a battle to dominate the fictional world of Azeroth.

Four years later, the high school jocks who sweated it out in pre-military academies so they could make the cut into the Israel Defense Force’s Special Operations units are now crawling through the sand dunes on the outskirts of the Gaza Strip and watching while Idan knocks rockets out of the sky hundreds of meters above their heads. Idan Yahya, 22, an Iron Dome “gunner” in the Active Air Defense Wing 167, currently holds the record for the number of rockets intercepted: eight.

People in the army describe him variously as a geek and an ace. But the geek who grew up playing Warcraft is now a highly prized soldier on the cutting edge of real war craft. He’s the Israeli army’s top rocket interceptor.

The Iron Dome is a mobile anti-rocket interception system that Israel moves around the country to shoot down the rockets fired at its civilian population centers by armed groups in Gaza and southern Lebanon. Its radar picks up launches and fires interceptor missiles at them if they’re calculated to be heading towards populated centers. The system has become increasingly important as Hamas, Hezbollah and other groups amass surface-to-surface missiles to hit the Israeli home front with, thus bypassing the Israel Defense Force’s overwhelming advantage of concentrated firepower and fighter aircraft. Should Israel attack Iran’s nuclear installations, the expected rocket reprisals from the armed groups on its borders will keep Iron Dome very, very busy.

As the war between Israelis and Arabs enters its sixth decade (or its 500th depending on who you ask), it is increasingly becoming a hi-tech rocket war. The IDF’s Director of Military Intelligence Maj. Gen. Aviv Kochavi in February said there were 200,000 rockets aimed at Israel from the south, north and east. And in this increasingly technological battlefield of rockets, anti-rocket interceptors, radars, control rooms, drones and drone hacking, it is soldiers like Idan Yahya (and whoever his counterparts on the Arab side are) who are making the most impact.

Computer geek, keyboard combatant, soldier, call him what you will, Idan and others like him man the controls of the latest rock star in advanced military technology. “There are a lot of flashing blips, signs, symbols, colors and pictures on the screen. You look at your tactical map; see where the threat is coming from. You have to make sure you’re locked onto the right target. There’s a lot of information and there is very little time. It definitely reminds me of Warcraft and other online strategy games,” Idan says.

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Liam Neeson in negotiations for crime thriller “The All Nighter”

LOS ANGELES (TheWrap.com) – Liam Neeson is in negotiations to star in the crime thriller “The All Nighter (AKA Run All Night)” a person familiar with the situation has told TheWrap.

The story follows an aging hit man who, in order to protect his wife and son, must take on his former boss in a single night. He then winds up on the run from the mob and the authorities with his estranged son.

The film is being produced by Vertigo Entertainment‘s Roy Lee, along with Brooklyn Weaver for Warner Bros. which declined to comment. The studio acquired Brad Ingelsby‘s spec script “The All Nighter” in January for a reported six figure sum.

Neeson’s upcoming films include “Non-Stop” and “A Walk Among The Tombstones.” He will also be featured in a voice role in the upcoming film “Lego: The Piece of Resistance.”

Lee is working on a long-list of projects including Spike Lee’s remake of the South Korean thriller, “Oldboy,” which is currently filming. He is also producing the upcoming thriller “The Double Hour”; a feature film based on the hit video game “Deus-Ex Human Revolution”; “Lego: The Piece of Resistance,” and the action thriller “Sleepless Night,” which is also set up at Warner Bros. Weaver’s credits include “Thirteen” and “Picture Book.”

Ingelsby’s upcoming projects as a writer include “The Raid.” In 2008, he made another major spec deal for his revenge thriller “The Low Dweller,” which went to Relativity Media.

Movies News Headlines – Yahoo! News

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The Neediest Cases: Emerging From a Bleak Life to Become Fabulous Phil

For years, Phillip Johnson was caught in what seemed like an endless trench of bad luck. He was fired from a job, experienced intensifying psychological problems, lost his apartment and spent time in homeless shelters. At one point, he was hospitalized after overdosing on an antipsychotic drug.

“I had a rough road,” he said.

Since his hospital stay two years ago, and despite setbacks, Mr. Johnson, 27, has been getting his life on track. At Brooklyn Community Services, where he goes for daily counseling and therapy, everybody knows him as Fabulous Phil.

“Phillip is a light, the way he evokes happiness in other people,” his former caseworker, Teresa O’Brien, said. “Phillip’s character led directly to his nickname.”

About six months ago, with Ms. O’Brien’s help, Mr. Johnson started an event: Fabulous Phil Friday Dance Party Fridays.

One recent afternoon at the agency, 30 clients and a few counselors were eating cake, drinking soft drinks and juice, and grooving for 45 minutes to Jay-Z and Drake pulsating from a boom box.

Mr. Johnson’s voice rose with excitement when he talked about the party. Clients and counselors, he said, “enjoy themselves.”

“They connect more; they communicate more,” he continued. “Everybody is celebrating and laughing.”

The leadership Mr. Johnson now displays seems to be a far cry from the excruciatingly introverted person he was.

As an only child living with his single mother in public housing in Bedford-Stuyvesant, Brooklyn, he said, he tended to isolate himself. “A lot of kids my age would say, ‘Come outside,’ but I would always stay in my room,” he said. He occupied himself by writing comic books or reading them, his favorites being Batman and Spiderman because, he said, “they were heroes who saved the day.”

After graduating from high school in 2003, he worked odd jobs until 2006, when he took a full-time position at a food court at La Guardia Airport, where he helped to clean up. The steady paycheck allowed him to leave his mother’s apartment and rent a room in Queens.

But the depression and bleak moods that had shadowed him throughout middle and high school asserted themselves.

“My thinking got confused,” he said. “Racing thoughts through my mind. Disorganized thoughts. I had a hard time focusing on one thing.”

In 2008, after two years on the job, Mr. Johnson was fired for loud and inappropriate behavior, and for being “unpredictable,” he said. The boss said he needed counseling. He moved back in with his mother, and in 2009 entered a program at an outpatient addiction treatment service, Bridge Back to Life. It was there, he said, that he received a diagnosis of schizophrenia and help with his depression and marijuana use.

But one evening in May 2010, he had a bout with insomnia.

He realized the antipsychotic medication he had been prescribed, Risperdal, made him feel tired, he said, so he took 12 of the pills, rather than his usual dosage of two pills twice a day. When 12 did not work, he took 6 more.

“The next morning when I woke up, it was hard for me to breathe,” he said.

He called an ambulance, which took to Woodhull Hospital. He was released after about a month.

Not long after, he returned to his mother’s apartment, but by February 2011, they both decided he should leave, and he relocated to a homeless shelter in East New York, where, he said, eight other people were crammed into his cubicle and there were “bedbugs, people lying in your bed, breaking into your locker to steal your stuff.”

In late spring 2011, he found a room for rent in Manhattan, but by Thanksgiving he was hospitalized again. Another stint in a shelter followed in April, when his building was sold.

Finally, in July, Mr. Johnson moved to supported housing on Staten Island, where he lives with a roommate. His monthly $900 Social Security disability check is sent to the residence, which deducts $600 for rent and gives him $175 in spending money; he has breakfast and lunch at the Brooklyn agency. To assist Mr. Johnson with unexpected expenses, a grant of $550 through The New York Times Neediest Cases Fund went to buy him a bed and pay a Medicare prescription plan fee for three months.

“I was so happy I have a bed to sleep on,” he said about the replacement for an air mattress. “When I have a long day, I have a bed to lay in, and I feel good about that.”

Mr. Johnson’s goals include getting his driver’s license — “I already have a learner’s permit,” he said, proudly — finishing his program at the agency, and then entering an apprenticeship program to become a plumber, carpenter or mechanic.

But seeing how his peers have benefited from Fabulous Phil Fridays has made him vow to remain involved with people dealing with mental illnesses or substance abuse.

He was asked at the party: Might he be like the comic-book heroes he loves? A smile spread across his face. He seemed to think so.

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Obama and Boehner upbeat after 'fiscal cliff' meeting

WASHINGTON — The outline of a compromise over impending tax hikes and spending cuts began to come into focus Friday after President Obama convened top congressional leaders at the White House.

Differences remain, especially as Republicans, led in the House by Speaker John A. Boehner of Ohio, continue to fight to keep tax rates for the wealthiest Americans from rising.

But the contours of a two-stage deal are taking shape as leaders work to avert a year-end fiscal crisis and break the gridlock that has soured voters on Washington. The mood alone, with Obama congratulating Boehner on his birthday Saturday and Republican and Democratic leaders taking turns speaking to signify their unity, signaled a sharp change from past confrontations.

"We have the cornerstones of being able to work something out," said Senate Majority Leader Harry Reid of Nevada, as leaders from both parties emerged from the White House. "This is not something we're going to wait until the last day of December to get done. We have a plan. We're going to move forward on it."

Boehner, who presented his framework for a broad tax-and-spending overhaul to be undertaken in 2013, also sounded an optimistic note.

"To show our seriousness, we've put revenue on the table, as long as it's accompanied by significant spending cuts," Boehner said. "It's going to be incumbent on my colleagues to show the American people we're serious."

The first part of such a deal would be legislation this year that would commit Congress to specific revenue increases, favored by Democrats, and spending cuts, as advocated by Republicans. How those increases and cuts would be achieved would be worked out in the second stage next year by the new Congress.

Not addressed was how to resolve the standoff over this year's expiring tax rates. Resolving the tax breaks for wealthier Americans remains, in many ways, the linchpin to a deal.

Obama and Boehner appeared more comfortable together than a year ago, when they tried — and failed — to reach a $4-trillion deficit-reduction deal that many economists have warned is vital for the nation's long-term fiscal health.

The two leading actors exchanged a light moment as the president wished the speaker, who turns 63 on Saturday, a happy birthday and gave the known Merlot fan an expensive bottle of Italian red wine.

"My hope is this is going to be the beginning of a fruitful process that we're able to come to agreement on that will reduce our deficit in a balanced way, that we will deal with some of these long-term impediments to growth, and we're also going to be focusing on making sure that middle-class families are able to get ahead," Obama said as he opened the meeting in the Roosevelt Room. "We're going to get to work."

Friday's closed-door gathering was the first such sit-down since the election, which emboldened Obama and his allies on Capitol Hill. Americans spoke at the polls, they maintain, preferring the Democratic approach, which asks the wealthiest taxpayers to contribute more revenue while preventing steep spending to domestic cuts.

To rank-and-file Republicans, though, the election results signaled that voters want the GOP House majority to hold a final "line of defense," as Boehner puts it, against what they see as government overreach.

Efforts to raise new tax revenue while cutting spending has eluded the parties in the past, but this year's built-in deadline could give them a boost.

Unless Congress acts, taxes will rise on most Americans, a $2,000 average hit as current rates expire on Dec. 31. Massive federal spending cuts scheduled to begin Jan. 2 would cut across defense and domestic accounts, pulling funds out of the economy. Together, they have been referred to as a "fiscal cliff."

A shift can be heard in the rhetoric, as Republicans now say they are willing to consider increases in tax revenue, and Obama has softened his insistence that top income tax rates, now at 35%, must rise to 39.6%, the rate from the Clinton era.

"We all understand where we are," said Sen. Mitch McConnell of Kentucky, the Republican leader. "We're prepared to put revenue on the table provided we fix the real problem, even though most of my members, I think without exception, believe that we're in the dilemma we're in not because we tax too little but because we spend too much."

During the hourlong session Friday, Boehner presented his proposal to have the parties agree to targets for new tax revenues and spending cuts, which would be bound by statute and enacted in 2013.

Tax revenue could be raised by closing tax loopholes or capping deductions for the wealthiest Americans — couples earning incomes above $250,000, or $200,000 for singles. Such a broad deal would also require Democrats to agree to rein in spending on Medicare, Medicaid and other entitlement programs as Obama has previously proposed.

Both sides agreed to begin working now on the 2013 framework. Nothing will be decided until after the Thanksgiving holiday.

Obama has repeatedly sought to pressure House Republicans to at least extend the expiring tax rates for those who do not earn above $250,000. The Senate has already passed a bill that would do so, preventing a New Year's tax hike on the middle class, while talks continue over tax rates for the wealthy.

House Republicans have refused to budge, and Boehner gave no indication Friday he would allow rates to rise.

lisa.mascaro@latimes.com

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So You Want in on the Music Biz? Fred Wilson Has 4 Things to Tell You

Not only is Union Square Ventures partner Fred Wilson the godfather of the New York startup scene, he also loves music. So who better than this self-proclaimed music nut to talk about the future of music and technology, and how companies straddling both have a shot at making money.

At the Billboard FutureSound conference in San Francisco this week, Wilson laid out four guiding principals for would-be music moguls. All you Russell Simmons wannabes, here you go.

1. It’s more expensive than you think, and it takes longer than you want.

Unlike a typical software startup that can get up and running with $500,000, music startups often need at least $5 million and up to $20 million just to get started, says Wilson. Much of that money goes towards licensing music content from the copyright holder, which is usually a record label. “The startup costs for a legal and legitimate music service are extremely high relative to any other sector,” he says. Translation: VCs have plenty of other cheap sectors to go hunting for promising startups, so funding for music startups is hard to come by.

Union Square Ventures‘ two music plays are group listening service Turntable.fm and social MP3 sharing site SoundCloud, both of which received sizable rounds from the firm. Turntable.fm has raised $7 million from Union Square and others, and SoundCloud banked $10 million in its Wilson-led second round of funding.

Unlike many web-based startups (mobile and otherwise), which latch on to massive distribution platforms offered by Facebook, Google and Apple, music streaming or discovery services can’t go global on day one because of copyright protections and country-specific licensing contracts.

Turntable.fm learned that lesson the hard way. When the service launched in 2011 it blew up thanks to its slick design and mobile-friendly approach. But the startup quickly learned that it was illegally offering music to overseas listeners. It immediately shut off service to international customers, and two-thirds of its users disappeared. The company is now hammering agreements with individual countries and record labels to stream music legally, but it’s going to be a long and tedious process, says Wilson.

2. No matter how many users you have, massive valuations are fleeting if you can’t make money – even if you are Spotify and Pandora.

Spotify recently banked $100 million from Goldman Sachs, valuing the company at $3 billion. Even though Pandora has been trading down 46 percent from its 2011 debut, the company still has a $1.21 billion market cap. But those valuations will disappear if neither company can stem their operating losses, and fast, says Wilson.

A PrivCo report shows that while Spotify earned $244 million in revenue during 2011, the company lost $60 million in the same period. Even though a leaked report says that Spotify’s revenue could double in 2012, if the company losses keep climbing, Wilson says Spotify’s value won’t stay in the billions forever. “Spotify is probably not worth $3 billion,” he says. “It might be worth something, someday to someone, but if they still can’t figure how to make money, they’ll lose.”

Pandora faces the same struggle as Spotify, trying to get users, not advertisers, to pay for its service. For the second quarter of its 2013 fiscal year, the company booked $101.3 million in revenue, but lost $5.4 million. Though its advertising revenue remains strong at $89.4 million, it is having a hard time converting freeloading listeners into paid subscribers, despite its own ad attempts. “Pandora will not be worth billions for long if they are losing money,” Wilson says.

3. That said, Pandora has the right idea. Advertising dollars will move increasingly to internet radio, and artists will start to make money from their music.

FM radio advertising is a $17 billion market, and Wilson believes that as Internet radio services like Pandora, Songza, and Rdio take the place of traditional broadcast, those ad dollars will move online. That’s good for online radio streaming startups, but even better for the artists whose music is played over these apps and websites.

When a song is played on the radio, the artists gets a royalty. But to play a song over Rdio or Pandora, those companies must pay licensing costs and higher royalties, which go right back to the artists. Pandora has said that it pays out $1 million to Adele, Coldplay, and others.

Wilson is optimistic that as more music enthusiasts ditch radios for apps, more money will find its way to artists. That might be the case for radio apps now, but that could easily change as Pandora has been looking for ways to reduce its royalty costs. The company recently sued the American Society for Composers, Authors and Publishers, a major royalty collection agency, seeking lower licensing fees. Pandora is also lobbying Congress to pass the Internet Radio Fairness Act to bring down it’s licensing costs, a piece of legislation that many artists oppose.

4. Selling virtual goods might be a better business than selling music.

Wilson would be remiss to not plug his own investment in Turntable.fm during his keynote. If you’re not familiar with the service, users create themed music rooms, like “I Love the 80s” or “Indiescribable,” which they join as a virtual DJ. Others join the room as listeners, and influence which songs are played based on a thumbs-up/thumbs-down voting system. Too many down-votes will force the song to skip to a new one on the playlist, but up-votes earn you “DJ points,” credits you can use to unlock new avatars.

Turntable.fm doesn’t charge its users for a subscription and doesn’t serve ads. Though it’s not bringing in revenue right now, there is talk of charging for DJ points, so anyone can get a little bit of cred without getting up on the virtual DJ platform.

While that will surely vex some current Turntable.fm users, charging for virtual goods might be the next big revenue-earning tool for music businesses. “Ads can carry a lot of the load, but not all,” says Wilson. “Turntable.fm’s virtual goods model could work well as a new revenue stream for other music businesses.”

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Scott Dadich Named Top Editor at Wired

LOS ANGELES (TheWrap.com) – Scott Dadich has been named editor-in-chief of Wired magazine, it was announced Friday by Condé Nast editorial director Tom Wallace.

The appointment marks a homecoming for Dadich, who served as Wired’s creative director from 2006 to 2010. He replaces Chris Anderson as the publication’s top editor.

Since 2010, Dadich has served as vice president, editorial platforms and design at Conde Nast. In this role, he oversaw the creative efforts to bring Condé Nast’s storied brand portfolio to emerging digital channels.

“Scott has been at the forefront of the company’s digital innovation for the past three years, developing the design for a digital magazine that has become an industry standard,” Wallace said. “His return to Wired, where he served as creative director and won three National Magazine Awards for Design, will ensure that it continues its pace-setting growth.”

While Dadich was creative director at Wired, the magazine received three consecutive National Magazine Awards for Design. He is the only creative director ever to win both the National Magazine Award for Design and the Society of Publication Designers Magazine of the Year Award for three consecutive years (2008-2010).

“I’m excited to return to Wired, which has had such a tremendous impact on my life and my career,” Dadich said. “I’m honored to have the chance to build on the legacy of innovation that Louis and Jane started some 20 years ago. And I am grateful to my friend and colleague Chris and the incredible Wired staff. I look forward to finding new opportunities to delight and surprise the Wired community, both with the stories we tell and in the ways in which we tell them.”

Prior to Wired, he was the creative director of Texas Monthly, which was nominated for 14 National Magazine Awards during his tenure and won for General Excellence in 2003.

Celebrity News Headlines – Yahoo! News

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N.F.L. Paid Millions Over Brain Injuries, Article Says

Three retired N.F.L. players received at least $2 million in disability payments as a result of brain trauma injuries from their playing days, according to an article by ESPN and the PBS series “Frontline.”

The payments were made in the 1990s and early 2000s by the Bell/Rozelle N.F.L. Player Retirement Plan, a committee comprising representatives of the owners, players and the N.F.L. commissioner.

The N.F.L. is being sued by several thousand retired players who accuse the league of concealing a link between hits to the head and brain injuries. The league denies the accusation and has said it did not mislead its players.

The article, however, cites a letter written in 2000 from the director of the retirement plan who stated that Mike Webster, who retired in 1990, had a disability that was “the result of head injuries he suffered as a football player with the Pittsburgh Steelers and the Kansas City Chiefs.”

Webster died in 2002. The article cites similar payments to Gerry Sullivan, a lineman for the Browns, and a third, unnamed player.

The article provides more details than were known about Webster’s case; his fight for disability benefits was known. The retired players say that “the N.F.L.’s own physician independently examined Webster and concluded that Webster was mentally ‘completely and totally disabled as of the date of his retirement and was certainly disabled when he stopped playing football sometime in 1990.’ ”

However, Greg Aiello, a spokesman for the N.F.L., said that the ESPN report “underscores that we have had a system in place with the union for many years to address player injury claims on a case-by-case basis.” The disability plan, he said, was “collectively bargained with the players.”

“All decisions concerning player injury claims are made by the disability plan’s board, not by the N.F.L. or by the Players Association,” Aiello said.

The board has seven members: three owner representatives, three player representatives and one nonvoting representative of the commissioner.

The disclosures in the article came a day after Commissioner Roger Goodell spoke at the Harvard School of Public Health, where he trumpeted the league’s efforts to increase the safety of its players and proclaimed that “medical decisions override everything else.”

Jeffrey Standen, a law professor at Willamette University in Oregon, said the details about Webster’s disability payments did not amount to a smoking gun. The plan’s determination that Webster sustained head injuries is not the same as the N.F.L. making that decision.

“The problem is the N.F.L. didn’t make the admission; it was the board,” Standen said. “They’re not the same body. As a legal matter, the fact that they paid Webster is not going to matter much in legal terms. But it’s evidence to throw in front of a jury.”

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DealBook: As Labor Talks Collapse, Hostess Turns Out Lights

What might be the last Twinkie in America — at least for a while — rolled off a factory line Friday morning. It was just like the millions that had come before it, golden, cream-filled empty calories, a monument to classic American junk food.

But it is likely to be the last under the current management. After not one but two bankruptcies, Hostess Brands, the beleaguered purveyor of Twinkies, Ho Hos, Sno Balls and Wonder bread, announced plans to wind down operations and sell off its brands.

Since filing for Chapter 11 bankruptcy protection in January, Hostess has been trying to renegotiate its labor contracts in a bid to cut costs. But the talks fell apart, and last week one union went on strike.

The so-called liquidation will probably spell the end of Hostess, an 82-year-old company that has endured wars, countless diet fads and even an earlier Chapter 11 filing. Although the company could theoretically negotiate a last-minute deal with the union, Hostess is moving to shut factories and lay off a large majority of its 18,500 employees.

But Twinkies and the other well-known brands could eventually find new life under a different owner. As part of the process, Hostess is looking to auction off its assets, and suitors could find value in the portfolio.

“The potential loss of iconic brands is difficult,” said the company’s chief executive, Gregory F. Rayburn. “But it’s overshadowed by the 18,500 families that are out of work.”

The company’s current problems stem, in part, from the legacy of its past.

An amalgam of brands and businesses, the company has evolved over the years through acquisitions. In the 1960s and 1970s, the company, then called Interstate, bought more than a dozen regional bakeries scattered across the country. A couple of decades later, it paid $330 million for the Continental Baking Company, picking up a portfolio of brands like Wonder and Hostess.

As the national appetite for junk food waned, the company fell on hard times, struggling against rising labor and commodity costs. In 2004, it filed for bankruptcy for the first time.

Five years later, the company emerged from Chapter 11 as Hostess Brands, so named after its most prominent division. With America’s new health-conscious attitude, it sought to reshape the business to changing times, introducing new products like 100-calorie Twinkie Bites.

But the new private equity backers loaded the company with debt, making it difficult to invest in new equipment. Earlier this year, Hostess had more than $860 million of debt.

The labor costs, too, proved insurmountable, a situation that has been complicated by years of deal-making. The bulk of the work force belongs to 12 unions, including the International Brotherhood of Teamsters and the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union.

The combination of debt and labor costs has hurt profits. The company posted revenue of $2.5 billion in the fiscal year 2011, the last available data. But it reported a net loss of $341 million.

With profits eroding, the company filed for Chapter 11 in January. It originally hoped to reorganize its finances, seeking lower labor costs, including an immediate 8 percent pay cut.

The negotiations have been contentious.

The Teamsters, which has 6,700 members at Hostess, said it played an instrumental role in ousting Hostess’s previous chief executive, Brian J. Driscoll, this year after the board tripled his compensation to $2.55 million. The union also hired a financial consultant, Harry J. Wilson, who had worked on the General Motors restructuring.

While highly critical of management missteps, the Teamsters agreed in September to major concessions, including cuts in wages and company contributions to health care. As part of the deal, the union was to receive a 25 percent share of the company’s stock and a $100 million claim in bankruptcy.

“The objective was to preserve jobs,” said Ken Hall, the Teamsters’ general secretary-treasurer. “When you have a company that’s in the financial situation that Hostess is, it’s just not possible to maintain everything you have.”

But Hostess reached an impasse with the bakery union. Frank Hurt, the union’s president, seemed to lose patience with Hostess’s management, upset that it was in bankruptcy for the second time despite $100 million in labor concessions. He saw little promise that management would turn things around.

“Our members decided they were not going to take any more abuse from a company they have given so much to for so many years,” said Mr. Hurt. “They decided that they were not going to agree to another round of outrageous wage and benefit cuts and give up their pension only to see yet another management team fail and Wall Street vulture capitalists and ‘restructuring specialists’ walk away with untold millions of dollars.”

About a month ago, Mr. Rayburn said, the bakers union stopped returning the company’s phone calls altogether. For its part, the bakery union said the company had taken an overly aggressive approach. David Durkee, the union’s secretary-treasurer, said Hostess had given an ultimatum. “They said, ‘If you do not ratify this, we are going to liquidate based on your vote.’ ”

With the company standing firm, the bakery union struck last week, affecting nearly two-thirds of the company’s factories across the country. The Teamsters drivers honored the picket line, further shutting down the operations. The company gave union members until 5 p.m. on Thursday to return to work.

Mr. Rayburn said the financial strain of the strike was too much for the company, which had already reached the limits of its bankruptcy financing. Over the last week, Hostess lost tens of millions of dollars as many customers’ orders went unfilled. And its lenders would not open their wallets one more time.

By Thursday morning, Hostess’s executives were ensconced in the company’s headquarters in Irving, Tex., still hoping that enough employees would return to work to resume production. A small number of workers had already crossed the picket lines that had sprung up at most of the baker’s factories, but more than 10 plants remained well below their necessary capacity.

Mr. Rayburn’s deadline of 5 p.m. passed without either side backing down. Soon after, executives asked the company’s legal advisers to finish the court motions that would begin the liquidation. Papers had been drawn up well before that afternoon.

Around 7 p.m., Mr. Rayburn had his final discussions with the company’s board and his senior managers and made the call to begin winding down.

“We were trying to focus on where people were having success, but I had to make a call,” Mr. Rayburn said.

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Investigators find major flaws in L.A. Fire Department data

A long-awaited review of the Los Angeles Fire Department found the agency relied on inaccurate data, which provided the public with an erroneous portrait of the department’s performance that was used to make critical staffing decisions.

“All prior reporting data should not be relied upon until they are properly recalculated and validated,” the task force appointed by Fire Chief Brian Cummings concluded.

While the Fire Department has acknowledged some mistakes in its data, the 32-page report found more widespread problems and delves more deeply into a series of factors that contributed to the faulty figures. Among other things, the experts found systemic flaws in a 30-year-old computerized dispatch network and a lack of adequate training for firefighters assigned to complex data analysis.

INTERACTIVE: Check response times in your L.A. neighborhood

The probe was launched after department officials acknowledged earlier this year that LAFD performance reports released to City Hall leaders and the public made it appear rescuers were getting to emergencies faster than they actually were.

The task force report, scheduled to be discussed Tuesday by the Fire Commission, said the department has corrected the computer-system flaws that led to the inaccurate figures.

“The No. 1 goal was to restore confidence in the Fire Department's statistics in the eyes of the public and city leaders,” said Fire Commissioner Alan Skobin, who helped oversee the report. “We now have the ability to identify and pull out accurate data.”

Still, the report paints a picture of a department woefully behind in using technology to help speed up emergency responses and improve efficiency by analyzing thousands of dispatch records that churn through the department's computer system each day.

The report recommends installing GPS devices on fire units so dispatchers know their location at all times, an upgrade that has been discussed since at least 2009. That could ensure that the closest rescuers are sent to those in need.

The task force also said upgrades or replacement of the aging computer system at the heart of dispatch operations may be needed, as well as hiring professional analysts to scrutinize the data.

Some money has been set aside to help pay for the GPS upgrade and the dispatch system changes. But whether all the changes raised in the report could be funded is unclear, given that the LAFD already is projected to run a $5.2-million deficit in its current budget.

The report’s findings in some ways parallel recent probes by City Controller Wendy Greuel and Jeffrey Godown, an expert brought in by Mayor Antonio Villaraigosa as questions grew about the department’s performance figures.

The task force includes members of the chief’s own staff, as well as experts from USC, the RAND Corp. and the Los Angeles Police Department’s COMPSTAT unit, which is recognized for its crime data analysis.

Indeed, the Fire Department hopes to roll out its own version of the LAPD’s data-reporting system, called FIRESTATLA. It would allow managers, elected officials and the public access to regularly updated reports on detailed response times and other statistics by neighborhood, Skobin said. The new system is estimated to cost up to $500,000, he said.

In March, fire officials acknowledged that they had changed the way in which they evaluated response times without telling the public or city officials. Their method made it appear that crews surpassed national standards more frequently than they actually did.

Those faulty statistics were used by Cummings and other top fire officials to push for a new cost-cutting deployment plan that shut down firetrucks and ambulances at more than one-fifth of the city's 106 firehouses. Cummings initially defended the department’s data when questions arose about its accuracy.

Later, he acknowledged that yet another set of numbers used in reports on the proposed deployment changes were projections, not actual response times. Some council members said they might not have voted for the budget cuts had they been aware that projections were used.

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EBay's P2P Same-Day Delivery App Launches in NYC

Just in time for Black Friday, eBay is offering New Yorkers a new way to sit out the madness. Instead of waiting in line, shoppers can use the eBay Now same-day delivery app to send eBay couriers to major chain stores to buy for them.

After being beta-tested in San Francisco in recent months, eBay Now is launching today for anyone with an iPhone south of 125th Street in Manhattan or in Brooklyn’s western reaches. Unlike similar offerings being tested by Walmart and Amazon, which rely on their own inventory, eBay Now works more like a peer-to-peer network, connecting shoppers with participating stores nearby while eBay acts as a go-between. And the stores aren’t obscure. Macy’s, Toys”R”Us, Target, and Best Buy are among what eBay says are hundreds of retailers taking part.

Also, unlike Walmart’s and Amazon’s offerings, eBay doesn’t require placing an order before a certain cutoff time. Its network of couriers, which it calls “valets,” are stationed throughout the city, with more personnel clustered around areas with higher concentrations of customers and stores. When a shopper places an order through the location-aware app, it goes out to the valet in the best place to fulfill the order the most quickly. The company promises to make most deliveries in an hour or so, though for now eBay valets have to wait in line at the checkout counter like everyone else. The minimum order is $25, shoppers can only order from one store per delivery, and there’s a $5 delivery fee.

The service fits eBay’s effort to re-brand itself as more than an auction site. The company wants people to think of eBay as a place to get anything and everything. And as the distinctions between offline and online retail fall away, eBay also wants shoppers to feel like they can get their stuff whenever, wherever, and however they want.

Short of opening their own stores, the network of retailers participating in eBay Now give eBay a surrogate physical footprint, and a way to approximate the immediacy of walking into an actual store. In a way, eBay Now doesn’t stray that far from the company’s roots: Just think of the stores as typical eBay sellers, except with more inventory.

Launching eBay Now in New York also invites the inevitable comparisons to famous dotcom-bubble failure Kozmo.com, which used bike messengers to bring New Yorkers just about anything in about an hour. Unlike Kozmo, however, same-day delivery isn’t eBay’s core business. Kozmo also didn’t charge a delivery fee or require a minimum order amount. (Also, eBay’s couriers use their own cars.)

As a company that survived the first dotcom bust and sees tens of billions of dollars in transactions move across its network each year, eBay has no doubt done the math to figure out how same-day fits into their business plans. EBay Now isn’t so much a reinvention as a small-scale investment in new infrastructure — infrastructure eBay needs to have in place as the anytime, anywhere, any way model of retail catalyzed by smartphones evolves from novelty to norm.

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Psy, Drake, Gotye join American Music Awards birthday bash

LOS ANGELES (Reuters) – The American Music Awards rings in its 40th year on Sunday, with top nominees like Rihanna and Nicki Minaj battling for the top trophies and Stevie Wonder leading a tribute to the show’s late founder, Dick Clark.

Variety is the key to this year’s three-hour ceremony from Los Angeles, with performers including Canadian pop star Justin Bieber, 1990s ska-punk band No Doubt, alt-rockers Linkin Park, country-pop darling Taylor Swift, Korean Internet sensation Psy and British-Irish boyband The Wanted.

“The AMAs reflects pop culture, which is all forms of music, all genres, pop, rock, country, hip hop, alternative … all these things that normally don’t together. It’s our job to make it flow,” producer Larry Klein told Reuters.

R&B star Rihanna, 24, and Minaj, 29, tied for the most nominations this year, with four apiece, and will battle each other in the hotly contested female pop-rock category.

Rihanna will also face stiff competition for the top award of the night, the artist of the year accolade, where she will compete with Bieber, Katy Perry, Maroon 5 and Drake.

The new artist category is expected to be a tight race between rapper J. Cole, indie-pop band fun., Australian singer Gotye, British boyband One Direction and Canadian popstar Carly Rae Jepsen, who will also be performing on Sunday. The ceremony will be shown live on ABC Television.

Unlike the Grammy Awards, which are decided on by music producers, songwriters and others working in the industry, the American Music Awards are determined by fans.

“It’s the public who watches, who decides, who votes. This is an awards show where the public decides the nominees and winners, so our shows are more about pop culture,” Klein said.

This year sees a new category for the growing electronic dance music market, which Klein said he couldn’t ignore. DJs David Guetta, Skrillex and Calvin Harris will compete for the trophy.

REMEMBERING DICK CLARK

This is the first time Klein will be running the show without the input of influential music and TV producer Dick Clark, who died in April at the age of 82. Clark created the American Music Awards in 1973 as an alternative to the Grammys, and Klein said his absence felt bizarre.

“Last year, he loved the show, he was very happy. He loved LMFAO when they closed the show, it was all a fun party of music, dance music, Dick loved it,” Klein said.

Clark, who also hosted “American Bandstand” and “New Year’s Rockin’ Eve,” will be remembered on Sunday in a tribute led by Wonder and “American Idol” host Ryan Seacrest.

“I wanted to make it classy, elegant and meaningful, with something that truly summoned the relationship that Dick had with so many people,” said Klein, who has been involved in the show since its inception.

Klein said the show will look back on its 40-year history, showcasing some of its most memorable moments. Klein’s personal picks included performances from late singer Michael Jackson, funk-pop star Prince, and Jay-Z and Alicia Keys’ rendition in 2009 of “Empire State of Mind.”

“I was very close to Michael Jackson, so every time Michael was on the show, it always made me happy. The Prince number we did was outrageous, Jay-Z and Alicia Keys…it really was epic, it was just extraordinary,” Klein said.

With more than fifteen individual performances, or “mini-shows” scheduled for Sunday, Klein said audiences can expect surprises.

“Live TV is the best, it’s unpredictable. Without a doubt there will be some unpredictable moments, I promise you,” the producer said.

(Reporting By Piya Sinha-Roy, editing by Jill Serjeant)

Music News Headlines – Yahoo! News

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In BP Indictments, U.S. Shifts to Hold Individuals Accountable

HOUSTON — Donald J. Vidrine and Robert Kaluza were the two BP supervisors on board the Deepwater Horizon rig who made the last critical decisions before it exploded. David Rainey was a celebrated BP deepwater explorer who testified to members of Congress about how many barrels of oil were spewing daily in the offshore disaster.

Mr. Vidrine, 65, of Lafayette, La., and Mr. Kaluza, 62, of Henderson, Nev., were indicted on Thursday on manslaughter charges in the deaths of 11 fellow workers; Mr. Rainey, 58, of Houston, was accused of making false estimates and charged with obstruction of Congress. They are the faces of a renewed effort by the Justice Department to hold executives accountable for their actions. While their lawyers said the men were scapegoats, Attorney General Eric H. Holder Jr. said at a news conference, “I hope that this sends a clear message to those who would engage in this kind of reckless and wanton conduct.”

The defense lawyers were adamant that their clients would contest the charges, and prosecutors said that the federal investigations were continuing.

Legal scholars said that by charging individuals, the government was signaling a return to the practice of prosecuting officers and managers, and not just their companies, in industrial accidents, which was more common in the 1980s and 1990s.

“If senior managers cut corners, or if they make decisions that put people in harm’s way, then the criminal law is appropriate,” said Jane Barrett, a University of Maryland law professor and former federal prosecutor.

She noted that it was unusual for the Justice Department to prosecute individual corporate officers in recent years, including in the 2005 BP Texas City refinery explosion that killed 15 workers, where only the company was fined.

BP said on Thursday it would pay $4.5 billion in fines and other payments, and the corporation pleaded guilty to 14 criminal charges in connection with spill. The $1.26 billion in criminal fines was the highest since Pfizer in 2009 paid $1.3 billion for illegally marketing an arthritis medication.

The crew was drilling 5,000 feet under the sea floor 41 miles off the Louisiana coast in April 2010 when they lost control of the well during its completion. They tested the pressure of the well, but misinterpreted the test results and underestimated the pressure exerted by the flow of oil or gas up the well. Had the results been properly interpreted, operations would have ceased.

Mr. Vidrine and Mr. Kaluza were negligent in their reading of the kicks of gas popping up from the well that should have suggested that the Deepwater Horizon crew was fast losing control of the ill-fated Macondo well, according to their indictment, and they failed to act or even communicate with their superiors. “Despite these ongoing, glaring indications on the drill pipe that the well was not secure, defendants Kaluza and Vidrine again failed to phone engineers onshore to alert them to the problem, and failed to investigate any further,” the indictment said.

The indictment said they neglected to account for abnormal pressure test results on the well that indicated problems, accepting “illogical” explanations from members of the crew, which caused the “blowout of the well to later occur.”

In a statement, Mr. Kaluza’s lawyers said: “No one should take any satisfaction in this indictment of an innocent man. This is not justice.”

Bob Habans, a lawyer for Mr. Vidrine, called the charges “a miscarriage of justice.”

“We cannot begin to explain or understand the misguided effort of the United States attorney and the Department of Justice to blame Don Vidrine and Bob Kaluza, the other well site leader, for this terrible tragedy.”

Several government and independent reports over the last two years have pointed to sloppy cement jobs in completing the well or the poor design of the well itself as major reasons for the spill. But none of the three was indicted in connection with those problems.

Mr. Rainey was a far more senior executive, one who was known around Houston and the oil world as perhaps the most knowledgeable authority on Gulf oil and gas deposits. According to his indictment, Mr. Rainey obstructed Congressional inquiries and made false statements by underestimating the flow rate to 5,000 barrels a day even as millions were gushing into the Gulf.

Campbell Robertson contributed reporting.

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Jill Kelley, key figure in David Petraeus scandal, led lavish life

TAMPA, Fla. — When Jill Kelley believed a reporter was trespassing at her white-columned mansion in a wealthy neighborhood this week, the Tampa socialite called 911 and claimed diplomatic immunity.

"I'm an honorary consul general, so I have inviolability," an exasperated Kelley told the dispatcher in recordings released by police. "I don't know if you want to get diplomatic protection involved as well."

Kelley isn't a diplomat; she holds the ceremonial title of "honorary consul" for South Korea, one of many informal ties to prestige and power that the energetic 37-year-old mother of three has brandished to climb to the top rungs of the social ladder in this conservative military community.

Kelley, the wife of a cancer surgeon, has a thin resume, a troubled family, shaky finances and a reputation for being, as one acquaintance here put it, "Tampa Kardashian." Now she is central to an unfolding scandal that has forced out David H. Petraeus as CIA director, threatens the career of Marine Gen. John Allen, commander of U.S. and international forces in Afghanistan, and cast previously unknown figures and a sex affair into international notoriety.

Kelley's complaint to the FBI last summer that she was being harassed by email triggered the investigation that uncovered Petraeus' extramarital affair with his biographer, Paula Broadwell, author of those emails. The inquiry also uncovered what the Pentagon has called 20,000 to 30,000 pages of possibly "inappropriate communication" between Kelley and Allen, whose nomination to a prestigious assignment overseeing all NATO military has been put on hold.

Allen "intends to fully cooperate with the inspector general investigators and directed his staff to do the same," his lawyer, Col. John Baker, the chief defense counsel of the Marine Corps, said in a statement Wednesday. "To the extent there are questions about certain communications by Gen. Allen, he shares in the desire to resolve those questions as completely and quickly as possible."

The Army suspended Broadwell's security clearance, which gave her access to classified information. She is a lieutenant colonel and intelligence officer in the Army Reserve.

President Obama said at a White House news conference that he had seen "no evidence at this point" that classified information had been compromised, but noted that the FBI investigation was continuing. He praised Petraeus, who resigned Friday, for his "extraordinary career" in the military and CIA. "We are safer because of the work Dave Petraeus has done," he said.

From 2008 to 2010, Petraeus headed Central Command, which runs U.S. military operations in the Middle East, including the wars in Iraq and Afghanistan. The command is based at MacDill Air Force Base, on a spit of land that juts into Tampa Bay. The base also is home to U.S. Special Operations Command and hosts representatives from 60 nations that joined together to fight terrorism after Sept. 11, 2001.

Balmy weather, a sparkling bay and a military-friendly population have made Tampa a welcome posting for officers and a favorite spot for retirees like Gen. Norman Schwarzkopf, who led the 1991 Persian Gulf War. The late New York Yankees owner George Steinbrenner had a booth at the Palm steakhouse, where his caricature adorns the wall — along with those of two other regulars, Scott and Jill Kelley.

Life here was a step up for Jill Kelley. Born in Beirut, she moved in the mid-1970s with her family to northeast Philadelphia, where they were the "oddballs" in a mostly Irish and German neighborhood, said Kelley's brother, David Khawam. The family opened restaurants in the area, he told reporters.

Scott and Jill Kelley moved to Tampa about a decade ago when Scott, who specializes in surgery for esophageal cancer, was hired by a local hospital. In June 2004, they purchased a 5,500-square-foot red-brick home on Bayshore Boulevard in the city's ritziest neighborhood.

With her dark tresses, high-wattage smile and gregarious personality, Kelley was a natural hostess. She became known for holding Champagne-and-caviar parties on a manicured front lawn, complete with billowing white tents and valet parking. Civic leaders rubbed shoulders with military brass from MacDill, a base so crucial to the local economy that generals were treated like rock stars.

In some cases, they acted that way too.

In February 2010, Petraeus and his wife, Holly, attended their first Gasparilla Pirate Festival, a local version of Mardi Gras. He arrived at the Kelley home with a 28-motorcycle police escort and wore a long string of beads around his neck.

"They became close friends with the general," said former Tampa Mayor Pam Iorio, who was a guest at multiple Kelley bashes. "The parties were purely social. It was a way, particularly with the coalition members, to just be a gracious hostess, to say, 'We're glad you're in Tampa.' There's nothing more to it than that."

Allen and Petraeus stayed in close touch with Kelley after they left Tampa. Although it might seem odd for a general running a war to stay in touch with a hostess back home, it's not unusual in the military world, where officers and their families frequently move and need to promote good relations with community leaders.

"She was part of that social connective tissue for generals and flag officers," said one officer.

Two years ago, Kelley strapped herself into a harness and made a tandem parachute jump with Special Operations troops, another official said. She was named an "honorary ambassador" by allied countries at Central Command and even secured a pass that allowed her to enter MacDill during daylight hours without an escort. That pass was revoked this week.

Even before the scandal broke, she had begun to wear out her welcome, flooding senior officers' inboxes with emails and requests for help organizing her social functions. Her constant presence caused some officers' aides to worry about the appearance of an attractive, outgoing woman cozying up to senior military leaders.

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'Shirtless' FBI Agent Who Hunted Petraeus Also Helped Stop LA Bombing

The FBI agent responsible for the downfall of two of the military’s most respected generals helped stop a terrorist from bombing Los Angeles International Airport and shot a man who attacked him with a knife at the gates of a military base. And he kicked off an investigation that not only upended Washington, it has many wondering if the FBI exceeded its authority.

Meet Frederick W. Humphries II — finally. Humphries, identified by The New York Times, is the mystery Florida-based FBI agent central to the ongoing scandal that brought down CIA Director David Petraeus and threatens the career of the Afghanistan war commander. At nearly every key moment in the tawdry sex scandal, Humphries has been there, lurking in the shadows, sometimes without his shirt on. No wonder colleagues interviewed by the Times described him as “obsessive.” Even before anyone knew who he was, someone set up a parody Twitter account for him, @shirtlessFBIguy.

In 1999, Humphries used his French language skills to interrogate a Francophone suspect. And that helped the Bureau find and stop Ahmed Ressam from bombing LAX airport in what would come to be known as the Millennium Plot, according to a Seattle Times piece. Described as “wiry [and] high-energy,” the former Army officer unraveled the cover story of a member of the Millennium Plot by calling bull on the operative’s fake Quebecois accent. Eleven years later, Humphries would shoot and kill a “disturbed knife-wielding man” who attacked him at the gates of MacDill Air Force Base in Tampa.

Humphries knew Tampa socialite Jill Kelley, an unofficial “ambassador” between Tampa and MacDill, home of U.S. Central Command, run in 2010 and 2011 by Petraeus and Gen. John Allen, now the commander of the Afghanistan war. When Kelley started receiving harassing e-mails this summer, Kelley asked her FBI friend Humphries to look into it. Humphries agreed, but soon found himself taken off the case, according to the Times. That would prove to be a fateful move.

The FBI has broad authorities over cyber-stalking investigations. “When something of this nature comes to our attention,” spokesman Paul Bresson tells Danger Room, “we work in close coordination with prosecutors to evaluate the facts and circumstances with respect to jurisdiction and potential violations of federal law.”

Not everyone is buying that the FBI would normally take up the case of a socialite receiving unwanted, nasty e-mails. “This is highly irregular. Highly, highly irregular. With a case of e-mail harassment, we’d normally say: we’re kind of busy, contact your local police,” a former federal prosecutor tells Danger Room. “You know that old cliche ‘let’s not make a federal case out of it?’ Well, in this case, it rings true.”

In any case, the feds did make a federal case out of it — just without Humphries. But Humphries didn’t let the case go. He sent shirtless pictures of himself to Kelley, something a lawyer for a law-enforcement guild who spoke with Humphries described to the Times as a “joke” that the national media have misunderstood. Still, his friends characterized him as “passionate” and “kind of an obsessive type.” It showed.

Humphries did not take kindly to being removed from a case he kickstarted. Evidently, he knew that the FBI expanded the case from cyber-harassment to one determining whether Paula Broadwell, Petraeus’ mistress who harassed Kelley, received classified information from Petraeus. Humphries was convinced there was a Bureau cover-up to protect Obama, and in late October went to Rep. Dave Reichert, a Washington state Republican with whom Reichert had worked previously. Reichert — who would not respond to Danger Room’s queries — took Humphries to Rep. Eric Cantor, the GOP majority leader, on October 27.

Cantor and his staff met with Humphries shortly after Reichert made the introduction. But they did not know what his motivations were. Nor could they judge Humphries’ credibility. Worse, they had no idea the FBI had Petraeus under investigation in the first place. After conferencing, they decided the prudent thing to do was to take the information from the investigation to FBI Director Robert Mueller’s office. They did so on October 31, around the same time that FBI agents interviewed Petraeus and reportedly told him he was not under suspicion of leaking classified information.

A week later, on November 6 — election day — Mueller informed James Clapper, the director of national intelligence and Petraeus’ boss, of the investigation. The House Judiciary Committee has written to Mueller to determine, among other things, why Mueller waited a week, and why he informed neither the relevant congressional oversight committees or the White House. (Mueller on Wednesday briefed the leaders of the House and Senate intelligence committees.) But Clapper essentially sealed Petraeus’ fate, urging him to deliver the resignation from the CIA that ultimately came on Friday.

There are questions about whether the FBI has exceeded its bounds in the case Humphries launched. While the FBI has wide latitude to investigate potential leaks of classified intelligence — the focus of the ongoing inquiry into Broadwell that brought Petraeus down — it is far less clear what authority the FBI had to give the Pentagon flirtatious emails between Allen and Kelley that came to agents’ attention in the course of that inquiry.

The Pentagon, whose inspector general is now investigating Allen, says there is no evidence Allen gave Kelley classified material or otherwise compromised national security. Under the Uniformed Code of Military Justice, adultery is a crime. But a Defense official on Tuesday told reporters that Allen denies cheating on his wife, and the emails contain some “flirtatious” exchanges between the two. Yet while the so-called “Plain Sight Doctrine” holds that investigators can pursue evidence of a crime that they encounter in an unrelated investigation, flirtation is not evidence of adultery.

While many of the facts of Allen’s case have yet to be determined, some legal experts wonder if the FBI was required to ignore the emails between Allen and Kelley.

“Whether the supposed basis for the investigation was cyber-harassment, disclosure of classified information, or the vulnerability of the CIA chief to blackmailing, it’s difficult to see how a military commander’s flirtatious emails are relevant,” says Rachel Levinson-Waldman, a lawyer who studies information sharing between national-security agencies at New York University’s Brennan Center for Justice. In such a case, the FBI is usually required to “minimize” — that is, ignore or destroy — information on unrelated parties that it inadvertently collected. In practice, though, Levinson-Waldman cautions, FBI officials have strong incentives to hold on to such material, for fear of jeopardizing potential future investigations.

The FBI, argues the Electronic Frontier Foundation’s Kurt Opsahl, appears to have engaged in “a series of stretches,” to get from investigating Broadwell to turning over Allen’s communications with Kelley to the Defense Department. “I don’t see how that email [traffic] is necessary or how there’s any kind of probable cause to believe there’s any link to the crimes the FBI was investigating,” Opsahl says.

In a statement released by his military lawyer late Wednesday, Allen vowed “to fully cooperate with the Inspector General Investigators” while his nomination to be NATO commander is officially on hold. There’s a possibility that Allen will be vindicated. But if he’s not, he has overzealous FBI investigators to thank — including Humphries, who started it all.

– additional reporting by Noah Shachtman

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BAFTA Shifts Corporate Sponsors for Film Awards

LOS ANGELES (TheWrap.com) – You can’t buy awards, but when it comes to the BAFTAs you can certainly sponsor them.

The British Academy of Film and Television is switching up its corporate partners for its annual film awards ceremony. That means it’s out with telecom company Orange, and in with broadband network EE.

The overhaul will require some rechristening of BAFTA‘s hardware. After 15 years with Orange in the title, the ceremony will now be known as the EE British Academy Film Awards. Moreover, its award for best newcomer will now be named the EE Rising Star Award.

The BAFTAs are the U.K. equivalent of the Oscars. EE is a sister company of Orange, so the shakeup is not seismic.

The EE British Academy Film Awards will be broadcast on the BBC on February 10, 2013 and will be hosted by satirist Stephen Fry.

TV News Headlines – Yahoo! News

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Alzheimer’s Tied to Mutation Harming Immune Response

Alzheimer’s researchers and drug companies have for years concentrated on one hallmark of Alzheimer’s disease: the production of toxic shards of a protein that accumulate in plaques on the brain.

But now, in a surprising coincidence, two groups of researchers working from entirely different starting points have converged on a mutated gene involved in another aspect of Alzheimer’s disease: the immune system’s role in protecting against the disease. The mutation is suspected of interfering with the brain’s ability to prevent the buildup of plaque.

The discovery, researchers say, provides clues to how and why the disease progresses. The gene, known as TREM2, is only the second found to increase Alzheimer’s risk substantially in older people.

“It points very specifically to a potential metabolic pathway that you could intervene in to change the course of Alzheimer’s disease,” said William Thies, chief medical and scientific officer of the Alzheimer’s Association.

Much work remains to be done before scientists understand precisely how the newly discovered gene mutation leads to Alzheimer’s, but already there are some indications from studies in mice. When the gene is not mutated, white blood cells in the brain spring into action, gobbling up and eliminating the plaque-forming toxic protein, beta amyloid. As a result, Alzheimer’s can be staved off or averted.

But when the gene is mutated, the brain’s white blood cells are hobbled, making them less effective in their attack on beta amyloid.

People with the mutated gene have a threefold to fivefold increase in the likelihood of developing Alzheimer’s disease in old age.

The intact gene, says John Hardy of University College London, “is a safety net.” And those with the mutation, he adds, “are living life without a safety net.” Dr. Hardy is lead author of one of the papers.

The discovery also suggests that a new type of drug could be developed to enhance the gene’s activity, perhaps allowing the brain’s white blood cells to do their work.

“The field is in desperate need of new therapeutic agents,” said Alison Goate, an Alzheimer’s researcher at Washington University in St. Louis who contributed data to Dr. Hardy’s study. “This will give us an alternative approach.”

The fact that two research groups converged on the same gene gives experts confidence in the findings. Both studies were published online Wednesday in The New England Journal of Medicine. “Together they make a good case that this really is an Alzheimer’s gene,” said Gerard Schellenberg, an Alzheimer’s researcher at the University of Pennsylvania who was not involved with the work.

The other gene found to raise the odds that a person will get Alzheimer’s, ApoE4, is much more common and confers about the same risk as the mutated version of TREM2. But it is still not clear why ApoE4, discovered in 1993, makes Alzheimer’s more likely.

Because the mutations in the newly discovered gene are rare, occurring in no more than 2 percent of Alzheimer’s patients, it makes no sense to start screening people for them, Dr. Thies said. Instead, the discovery provides new clues to the workings of Alzheimer’s disease.

To find the gene, a research group led by Dr. Kari Stefansson of deCODE Genetics of Iceland started with a simple question.

“We asked, ‘Can we find anything in the genome that separates those who are admitted to nursing homes before the age of 75 and those who are still living at home at 85?’ ” he said.

Scientists searched the genomes of 2,261 Icelanders and zeroed in on TREM2. Mutations in that gene were more common among people with Alzheimer’s, as well as those who did not have an Alzheimer’s diagnosis but who had memory problems and might be on their way to developing Alzheimer’s.

The researchers confirmed their results by looking for the gene in people with and without Alzheimer’s in populations studied at Emory University, as well as in Norway, the Netherlands and Germany.

The TREM2 connection surprised Dr. Stefansson. Although researchers have long noticed that the brain is inflamed in Alzheimer’s patients, he had dismissed inflammation as a major factor in the disease.

“I was of the opinion that the immune system would play a fairly small role, if any, in Alzheimer’s disease,” Dr. Stefansson said. “This discovery cured me of that bias.”

Meanwhile, Dr. Hardy and Rita Guerreiro at University College London, along with Andrew Singleton at the National Institute on Aging, were intrigued by a strange, rare disease. Only a few patients had been identified, but their symptoms were striking. They had crumbling bones and an unusual dementia, sclerosing leukoencephalopathy.

“It’s a weird disease,” Dr. Hardy said.

He saw one patient in her 30s whose brain disease manifested in sexually inappropriate behavior. Also, her bones kept breaking. The disease was caused by mutations that disabled both the copy of TREM2 that she had inherited from her mother and the one from her father.

Eventually the researchers searched for people who had a mutation in just one copy of TREM2. To their surprise, it turned out that these people were likely to have Alzheimer’s disease.

They then asked researchers around the world who had genetic data from people with and without Alzheimer’s to look for TREM2 mutations.

“Sure enough, they had good evidence,” Dr. Hardy said. The mutations occurred in one-half of 1 percent of the general population but in 1 to 2 percent of patients with Alzheimer’s disease.

“That is a big effect,” Dr. Hardy said.

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Obama Meets C.E.O.’s as Fiscal Reckoning Nears

Luke Sharrett for The New York Times

Ursula M. Burns, chief of Xerox, said the president discussed few specifics of a potential agreement but emphasized that “we cannot go over the fiscal cliff.”

WASHINGTON — President Obama extended an olive branch to business leaders Wednesday, seeking their support as he prepared to negotiate with Congressional Republicans over the fiscal impasse in Washington.

If Congress and the president cannot reach a deal to reduce the deficit by January, more than $600 billion in tax increases and spending cuts will go into effect immediately — a prospect many chief executives and others warn could tip the economy back into recession.

Even so, Mr. Obama has some fence-mending to do before he can count on any serious backing from the business community.

“The president brought up that he hadn’t always had the best relationship with business, and he didn’t think he deserved that, but he understood that’s where things were and wanted it to be better,” said David M. Cote, chief executive of Honeywell. He was one of a dozen corporate leaders invited to meet Mr. Obama at the White House for 90 minutes Wednesday afternoon, after the president’s first news conference since the election.

While Mr. Obama did not present a detailed plan at Wednesday’s meeting or reveal what he would propose in terms of new corporate taxes, he strongly reiterated that he would not allow tax cuts for the middle class to expire. The president, according to attendees and aides, said he was committed to a balanced approach of reductions in entitlements and other government spending and increases in revenue.

With time running out, many people expect the president and Republican leaders in Congress to come up with a short-term compromise that prevents the full slate of tax increases and spending cuts from hitting in January. That would give both sides more time to come up with a far-reaching deal on entitlement spending, even as they work on a broad tax overhaul later next year.

One corporate official briefed on the meeting said that the chief executives came away with a sense that Mr. Obama was poised to present a more formal proposal in the next few days, but that he did not press them for support on particular policies. “It was more of a back and forth,” he said.

The chief executives from some of the country’s biggest and best-known companies, including Procter & Gamble and I.B.M., were not unified on everything, according to one who was interviewed after the meeting.

Many of the executives who described the meeting would speak only on condition of anonymity.

The outreach to business comes as both the White House and corporate America maneuver ahead of the year-end deadline, as well as the beginning of Mr. Obama’s second term. Many executives were put off by what they saw as antibusiness rhetoric coming from the White House in his first term, and many also oppose tax increases on the rich that Mr. Obama favors but would hit them personally.

Both sides have plenty to gain from a better relationship. Business leaders want to buffer their image after the recession and the financial crisis, while Mr. Obama would gain valuable leverage if he could persuade even a few chief executives to come out in favor of higher taxes on people with incomes over $250,000.

Lloyd C. Blankfein, chief executive of Goldman Sachs, publicly endorsed higher tax rates in an opinion article published in The Wall Street Journal on Wednesday.

“I believe that tax increases, especially for the wealthiest, are appropriate, but only if they are joined by serious cuts in discretionary spending and entitlements,” he wrote.

While Mr. Blankfein and other Wall Street leaders have been speaking out about the dangers of the fiscal impasse, only one executive from the financial services industry, Kenneth I. Chenault of American Express, was at Wednesday’s meeting.

Afterward, the corporate leaders seemed pleased with the tone of the meeting but cautious about the prospect of finding common ground with the White House on the budget choices facing Congress and the president.

“I’d say everybody came away feeling pretty good about the whole discussion,” Mr. Cote said. “Now, all of us are C.E.O.’s, so we’ve learned not to confuse words with results. And that’s what we still need to see.”

Ursula M. Burns, chief executive of Xerox, who was also at the meeting, said afterward that it was clear that “we’re going to have to work through some sticking points.” But while “we didn’t get into too many specifics,” she said, it was also made clear that “we cannot go over the fiscal cliff.”

Ms. Burns’s comments about the potentially dire consequences of the fiscal impasse echoed those of other chief executives, including many in the Business Roundtable, which began an ad campaign Tuesday calling on lawmakers to resolve the issue quickly. The Campaign to Fix the Debt, a new group with a $40 million budget and the support of many Fortune 500 chiefs, began its own ad campaign on Monday.

Michael T. Duke, chief executive of Wal-Mart Stores, warned in a statement after the meeting that “before the end of the year, Washington needs to find an agreement to avoid the fiscal cliff.” He said Walmart customers “are working hard to adapt to the ‘new normal,’ but their confidence is still very fragile. They are shopping for Christmas now, and they don’t need uncertainty over a tax increase.”

 

Helene Cooper reported from Washington and Nelson D. Schwartz from New York. Jackie Calmes contributed reporting from Washington.

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GOP senators cool to idea of Susan Rice as secretary of State

WASHINGTON — Senate Republicans signaled stiffening resistance Tuesday to the Obama administration's possible nomination of U.N. Ambassador Susan Rice to replace Hillary Rodham Clinton as secretary of State.

GOP strategists said lawmakers would use such a nomination as an opening for an extended examination of how the administration handled the Sept. 11 militant attack on the U.S. mission in Benghazi, Libya, that killed four Americans, including the U.S. ambassador. Although the Senate rarely rejects a president's Cabinet picks, the strategists said, the process could be so painful and lengthy that Obama might come to regret his choice.

A senior Republican aide said he couldn't predict whether the nomination would be voted down, but "the question is, is this worth spending political capital and taking punches on a subject they'd like to distance themselves from?"

"Whether it's fair to her or not, she's become a poster child for perceptions that there's been a coverup by the administration," he said, speaking anonymously because he was not authorized to address the topic publicly.

Some Senate Republicans have already begun discussing how they would question Rice, he said, and plan to gather information from House Republican colleagues to bore in on questions they say the administration has not yet satisfactorily answered.

Sen. Jon Kyl (R-Ariz.), the No. 2 Senate Republican, told reporters he considered Rice "tainted" by her role in the administration's handling of Benghazi, and recommended that the White House instead choose Sen. John F. Kerry (D-Mass.), chairman of the Senate Foreign Relations Committee, whom administration officials have also been considering for the diplomatic post.

Administration officials said that Rice, a pillar of Obama's foreign policy team since the 2008 election campaign, was a leading candidate for the post, and that they would not be deterred by Republican warnings. Officials and some others familiar with the process predicted that the GOP would eventually end its resistance to Rice because it would become clear that her disputed comments after the attack were prepared by other U.S. officials for her appearances on Sept. 16 talk shows.

Rice said in those TV appearances that the attack was motivated by anger at a U.S.-made film trailer that denounced the prophet Muhammad, and that it was not a planned assault.

Sen. Bob Corker (R-Tenn.), who is expected to become the ranking minority member of the Senate Foreign Relations Committee, found it "beyond belief" that Rice could have described the attack as motivated by anger over the film, when U.S. officials in Benghazi had told officials in Washington during the attack that it was a terrorist assault.

"I still don't know how anybody of that capacity could have been on television five days later saying the things that were said," Corker said. "I don't know how that could happen."

On Sunday, Sen. Lindsey Graham of South Carolina, an influential Republican on foreign policy issues, predicted that Rice's nomination would have a difficult time making it through the Senate. He said he would not vote for Rice unless she provided more satisfactory explanations of her actions.

A single senator can hold up a nomination if he or she is determined to do so. But a more likely avenue to blocking confirmation would be with a filibuster, aides said. Sixty votes are required to end a filibuster — more than the number of senators in the Democratic caucus.

Senate aides said the Republican caucus, which is regrouping after the election defeat, might decide that shooting down Obama's choice would be a way of underscoring its unhappiness with the administration's treatment of the Benghazi issue. But historically, the Senate has deferred to presidents on Cabinet picks, and Republicans would run the risk of looking unreasonable.

Clinton's intention to leave the post has been public for more than a year, and the candidacies of Rice and Kerry have been discussed for months. Both are interested in the job.

The Washington Post reported Tuesday that Rice was the leading candidate for the diplomatic post and Kerry, a Vietnam veteran, was under consideration as secretary of Defense. If Kerry took either post, Republicans would have a chance to win his Senate seat in a special election — further narrowing the Democrats' majority.

Sources who have been familiar with past nominations say that Obama confers with only a small circle on his top choices, and sometimes emerges with surprise selections. Jim Yong Kim, Obama's choice to head the World Bank, was one such case.

As a second-term president, Obama has wide latitude to pick the candidate he believes will best serve his interests. He is under less pressure to satisfy political constituencies, some Democrats pointed out.

Jay Carney, the White House press secretary, declined to comment on the nomination, but said Obama believed Rice had done an "excellent job" at the United Nations.

paul.richter@latimes.com

Michael Memoli and Christi Parsons in the Washington bureau contributed to this report.

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