Saturday, December 11, 2010

Photo of the Day

 


Taken by Mrs. Lawhawk using Mrs. Lawhawk's Panasonic Lumix DMC-FZ35 point and shoot digital camera, which has HD video capabilities at Grand Teton National Park, May 2010.
Posted by Picasa

Bernie Madoff's Son Commits Suicide

Bernie Madoff, whose massive Ponzi scheme defrauded thousands across the nation, has caused untold sorrow among his victims. Madoff didn't commit the fraud by himself. He had help.

His sons and several associates were under investigation. One son, Mark, 46, was found by family members hanging in his apartment. Just this week, Mark had been sued by the court-appointed trustee, Irving Picard, to recover additional funds for victims.

Friday, December 10, 2010

Iran-Venezuela Relations Firm Up

Some reports are indicating that Iran and Venezuela are firming up their relations, and that Iran is even stationing intermediate range missiles in the country.
According to Die Welt, Venezuela has agreed to allow Iran to establish a military base manned by Iranian missile officers, soldiers of the Iranian Revolutionary Guard and Venezuelan missile officers. In addition, Iran has given permission for the missiles to be used in case of an "emergency". In return, the agreement states that Venezuela can use these facilities for "national needs" – radically increasing the threat to neighbors like Colombia. The German daily claims that according to the agreement, Iranian Shahab 3 (range 1300-1500 km), Scud-B (285-330 km) and Scud-C (300, 500 and 700 km) will be deployed in the proposed base. It says that Iran also pledged to help Venezuela in rocket technology expertise, including intensive training of officers

Venezuela has also become the country through which Iran intends to bypass UN sanctions. Following a new round of UN sanctions against the Islamic Republic, for example, Russia decided not to sell five battalions of S-300PMU-1 air defence systems to Iran. These weapons, along with a number of other weapons, were part of a deal, signed in 2007, worth $800 million. Now that these weapons cannot be delivered to Iran, Russia is looking for new customers; according to the Russian press agency Novosti[2], it found one: Venezuela.

Novosti reports the words of Igor Korotchenko, head of a Moscow-based think tank on international arms trade, saying that if the S-300 deal with Venezuela goes through, Caracas should pay cash for the missiles, rather than take another loan from Russia. "The S-300 is a very good product and Venezuela should pay the full amount in cash, as the country's budget has enough funds to cover the deal ," Korotchenko said. Moscow has already provided Caracas with several loans to buy Russian-made weaponry, including a recent $2.2-mln loan on the purchase of 92 T-72M1M tanks, the Smerch multiple-launch rocket systems and other military equipment.
The sides plan on building the new base some time in 2011.


View Larger Map

Drudge has ramped up the hype on the story, claiming that the missiles could hit the US. Assuming that the Venezuelans station their missiles at the closest point relative to the US, they'd still be outside the range of hitting the continental US. A missile flying from Caracas to Key West, Florida would have to travel 1373 miles or 1193 nautical miles. The Shahab missile's top range may be 932 miles, which means that it may barely make it - it's at the extreme range and Iranian missile technology isn't exactly known for its reliability or accuracy (then again, neither is its photo editing skills in covering up the unreliability of its missiles and rockets).

That doesn't mean that the Iranian missile threat is nonexistent. Those missiles could still threaten US bases in Puerto Rico, Guantanamo Bay, or US interests throughout the Carribean including the US Virgin Islands and our allies in Latin America.

This is all part of a continuing attempt by the Iranians to sow discord and spread its anti-US message around the world. It has found a fellow-traveler in the form of Hugo Chavez, who regularly lambastes the US and has a long record of suppressing dissent.

The report also once again reinforces the need for the US to continue work on missile defense technologies to deal with threats such as these.

Coolest Video of the Day

This is an amazing invention that could potentially save someone the use of fingers or their entire hand. It is called Sawstop, and it prevents table saws from chopping through the digits of an unassuming user.

The high speed video of Time Warp shows how it works - stopping the saw blade spinning at 5,000 rpm in a millisecond doing no damage to a person's digits.

The creator of this device, put his own finger to the test with no ill effects:



While it costs $60 to replace the blade and Sawstop unit, it's a small price to pay for the safety feature.

Fatah; PLO Threaten To Abrogate Oslo Accords Security Arrangements

Fatah, which is the largest faction in the PLO and which is in an ongoing struggle with Hamas to control the Palestinian Authority, has threatened to abrogate security arrangements that were established under the Oslo Accords because the peace process has broken down over an inability of the Palestinians to recognize Israel's right to exist and refusal to accept a 2-state solution.

That's not how the Palestinians see it, of course. They'd like to claim that the talks have collapsed because Israel refuses to stop building housing, but housing has never been an impediment to peace. Just as the Egyptians; Israel withdrew from Sinai and destroyed thousands of homes and uprooted Israelis who lived in Sinai as part of the Camp David talks.
The Palestinian Authority will stop coordinating its security with Israel, in response to the US's official announcement that peace talks have failed, Al Quds al-Arabi reported on Friday.

Khana Amira, a PLO official, told the UK newspaper that the PA is also considering canceling its other commitments to Israel, including the Oslo Accords and the Road Map, which demand that terror organizations will stop.

Yasser Abed Rabbo, a senior PLO official and an adviser to PA President Mahmoud Abbas reportedly plans to convene a meeting with the PLO and Fatah central committees on Friday afternoon, in order to make a new plan for the Palestinians.

Palestinian officials told Al Quds al-Arabi that they expect US President Barack Obama to attempt to restart peace talks between Israel and the Palestinians.

"Maybe the meeting will give the American government another chance," an official told the paper.

The Palestinians are also considering seeking the UN Security Council's recognition of a Palestinian state on all the Palestinian territories that were captured by Israel in 1967.
What the Palestinians want is to make their territories free of an Israeli and Jewish presence. They want to accomplish what never has happened in the course of history of the region - to eliminate the Jewish presence in areas that have historically had a Jewish presence, including in Jerusalem and its environs. To that end, the Palestinians continue to engage in revisionist history (and here), which shows just how unwilling the Palestinians are to accepting a 2-state solution. They are unwilling to admit that Israel has legitimacy and longstanding and historical claims to the land.

Moreover, Palestinian consideration of a Security Council recognition of a Palestinian state on all Palestinian territories that were captured by Israel in 1967 doesn't hold water.

For starters, Palestine didn't exist. When Israel declared independence in 1947, Arab states around former Mandate Palestine invaded and took the land for itself. Egypt captured Gaza and Transjordan (now Jordan) captured the West Bank and East Jerusalem. The Palestinians want to eliminate Israeli control over East Jerusalem, which includes the Temple Mount and the Western Wall, Judaism's holiest sites on the planet. Israel will never accept such a situation, and it is unlikely that the Security Council will abide by such a unilateral declaration against Israel as long as the US hold veto power to stop action.

The Palestinians continue to refuse to negotiate in good faith with Israel and they have habitually shown themselves to be incapable of making a deal on which lasting peace can occur. Palestinian propaganda efforts repeatedly attack Israel's right to exist and indoctrinate new generations of Palestinians to seek Israel's destruction as a religious and political obligation, and that doesn't even get into Hamas' refusal to accept Israel's existence as anything other than aiming points for its terrorists.

It's also questionable as to whether President Obama would restart peace talks when his efforts to date have been an abject failure. It made little sense for his involvement in the process at the outset of his presidency since the conditions were not favorable to even the slightest movement on peace since the Palestinians have become more strident in their demands without making any concessions to peace. Hamas remains as it has been for years, and they have consolidated power in Gaza, which means that any peace deal would have to go through Hamas, which has not wavered in its refusal to make peace with Israel (it wont even recognize Israel). So the President cannot even acknowledge with whom Israel is supposed to negotiate when the Palestinian Authority itself lacks legitimacy to negotiate on behalf of the Palestinians (Hamas and Fatah refuse to recognize the others right to control the PA and elections have not been held to reconcile the strident differences).

US efforts to restart the peace process have been a miserable failure since President Obama took office because he and his diplomatic corps have steadfastly refused to recognize the reality that the Palestinians would much rather accept the status quo - take foreign aid, including from the US, without having to build a peaceful infrastructure alongside Israel while continuing calls for Israel's destruction and rabble rousing, rather than making the tough decision to make peace. Without a partner in peace, there can be no peace. Until the Palestinians show a willingness to make concessions, there can be no peace. Until the US recognizes that its continued efforts will meet with failure until the Palestinians change their tune, there can be no breakthrough.

Stuxnet Worm Continues Hampering Iranian Nuclear Ambitions

The Stuxnet worm infestation of Iranian computer systems continues to do what negotiations, foreign policy, diplomacy, and threats of military action have not. It's thwarted Iranian efforts to ramp up their enrichment program and operate the nuclear reactor at Bushehr.

Despite claims by Mahmoud Ahmadinejad and others that the infestation was under control and that enrichment activities have restarted, security experts around the world are saying that they're seeing ongoing indications that the virus continues to operate with impunity.
The American and European experts say their security websites, which deal with the computer worm known as Stuxnet, continue to be swamped with traffic from Tehran and other places in the Islamic Republic, an indication that the worm continues to infect the computers at Iran's two nuclear sites.

The Stuxnet worm, named after initials found in its code, is the most sophisticated cyberweapon ever created. Examination of the worm shows it was a cybermissile designed to penetrate advanced security systems. It was equipped with a warhead that targeted and took over the controls of the centrifuge systems at Iran’s uranium processing center in Natanz, and it had a second warhead that targeted the massive turbine at the nuclear reactor in Bashehr.

Stuxnet was designed to take over the control systems and evade detection, and it apparently was very successful. Last week President Mahmoud Ahmadinejad, after months of denials, admitted that the worm had penetrated Iran's nuclear sites, but he said it was detected and controlled.

The second part of that claim, experts say, doesn’t ring true.

Eric Byres, a computer expert who has studied the worm, said his site was hit with a surge in traffic from Iran, meaning that efforts to get the two nuclear plants to function normally have failed. The web traffic, he says, shows Iran still hasn’t come to grips with the complexity of the malware that appears to be still infecting the systems at both Bashehr and Natanz.

“The effort has been stunning," Byres said. "Two years ago American users on my site outnumbered Iranians by 100 to 1. Today we are close to a majority of Iranian users.”

He said that while there may be some individual computer owners from Iran looking for information about the virus, it was unlikely that they were responsible for the vast majority of the inquiries because the worm targeted only the two nuclear sites and did no damage to the thousands of other computers it infiltrated.
No one quite knows who created the worm, but it appears to have been stunningly successful at damaging Iranian nuclear efforts. The worm was specifically designed to attack supervisory control and data acquisition systems manufactured by German industrial giant Siemens that handle speed controls on certain machinery. The target is so specific that it has thus far hit enrichment centrifuges and nuclear power turbines - the very equipment essential to Iranian nuclear ambitions while doing no damage to other systems.

The worm wreaks havoc with the speed controls - causing them to speed up and slow down unexpectedly, which can damage or destroy the centrifuges or cause power spikes in turbines. The Iranian government can't get a handle on this, and the US security experts have seen a spike in the number of requests for information about the virus from Iran, which indicates that the problems continue - although they suggest that it could also be due in part to increased interest in learning about the virus.

Since no one quite knows who created it, security officials around the world have expressed concern over potential vulnerabilities to their own infrastructure, including here in the US.

Speculation continues that it may have been a government financed/backed cyberwar effort since the worm is so sophisticated that no single hacker could have developed the worm.

Thursday, December 09, 2010

Four Brooklyn Businesses Hit With Felony Charges For Dumping Raw Sewage

Manager/owners of four Sheepshead Bay Brooklyn businesses were arrested and face up to four years in prison and fines of $75,000 per day for dumping raw sewage into Shell Creek, which runs into Jamaica Bay. They had been warned since 2003 to repair sewer lines but had resisted such efforts for years despite their private sewer system regularly breaking down and leaking into neighboring streets.

Investigators used a green dye to trace the dumping of raw sewage, including toilet waste, into the creek:
Craig Novoa, manager of the United Artists Sheepshead Bay Stadium 14 movie theater; Simon Shin, manager of Knapp Street Bagel; Alex Spivak, landlord for the TGI Friday's, and David Matalon, manager of Deuville Marina, were arrested.

The criminal complaint accuses the shops - all in or near the same strip mall - of dumping human waste, restaurant grease and other refuse into the creek.

Neighbors of the shops had complained for years about noxious odors coming from the creek, which is home to bluefish, crab and striped bass.

"I've been living here for 12 years. That creek stinks," said Minnie Colon, 36, who had just bought a ticket to see "Burlesque" at the theater.

"It smells like a backed-up toilet. On a rainy day, forget about it. You have to carry Febreze," said Colin, who added that she was shocked to hear about the allegations.
Jamaica Bay is home to a segment of the Gateway National Recreation Area, and is home to one of the East Coast's most important migratory birding habitats. It is habitat that has been under tremendous strain and pressure - with researchers trying to figure out why marshland was disappearing at a frightening pace over the past decade.


View Larger Map

What makes this dumping all the more odious is that these businesses are located just blocks from the Coney Island Wastewater Treatment Plant and that it took so long to trace the source of the problem. The movie theater denies the charges, and points to the fact that it repaired a section of the sewer line in 2009.

Wikileaks Controversy Continues With Cyberwar and Russian Calls To Give Assange Nobel Peace Prize



Hackers have gone after those who have severed ties with Wikileaks, including Visa and Mastercard, Paypal, and even ABC News.

People don't seem to understand that companies are free to contract with whatever parties them deem fit. They are not required to host companies that are antithetical to their own interests on servers, process payments, or advertise for them. If contracts were signed between the parties (or Assange and his cohorts clicked on assenting to the terms of service (TOS) for using PayPal, servers, etc.), then they are bound to those contracts.

Violations of TOS, which can include any number of criminal activities, or hate speech, incitement to violence, etc., can result in shutdown. Wikileaks is hosting illegally obtained information and classified information. Companies are not required to aid and abet Wikileaks criminal activities, which is the gist of those who are now hacking ABC News, Visa, and others who are apparently trying to extricate themselves from connections with Wikileaks over TOS violations (among other things).

If a company wants to sully its reputation by remaining connected with Wikileaks via hosting, payment services, etc., that's up to the individual company, but I'm sure that legal staff on more reputable organizations are going to shy away from those connections.

At the same time, the US is in talks with Sweden to extradite Assange to the US. That's not particularly surprising given the range of laws that Assange could be charged with, including possession and retransmission of classified documents.

Russian PM's office thinks Assange should get the Nobel Peace Prize.
In what appears to be a calculated dig at the US, the Kremlin urged non-governmental organisations to think seriously about "nominating Assange as a Nobel Prize laureate".

"Public and non-governmental organisations should think of how to help him," the source from inside president Dmitry Medvedev's office told Russian news agencies. Speaking in Brussels, where Medvedev was attending a Russia-EU summit yesterday , the source went on: "Maybe, nominate him as a Nobel Prize laureate."

Russia's reflexively suspicious leadership appears to have come round to WikiLeaks, having decided that the ongoing torrent of disclosures are ultimately far more damaging and disastrous to America's long-term geopolitical interests than they are to Russia's.

The Kremlin's initial reaction to stories dubbing Russia a corrupt "mafia state" and kleptocracy was, predictably, negative. Last week Medvedev's spokesman dubbed the revelations "not worthy of comment" while Putin raged that a US diplomatic cable comparing him to Batman and Medvedev to Robin was "arrogant" and "unethical". State TV ignored the claims.
Are. You. Kidding. Me?

Would the Russian government be singing that tune had Wikileaks sprung all manner of leak about Russian foreign policy, diplomatic cables, and analysis? I don't think so. In fact, I think they'd be engaging in all manner of spycraft to go after those involved in the leaks as the Russians are far less constrained by notions of human rights and civil liberties than the US.

No, this is all about rubbing salt in the wound and it isn't exactly going to improve US-Russian relations either.

Pan Am 103 Bomber Reportedly On Death's Door

The Libyan former intelligence agent convicted of the Lockerbie bombing is in a coma and close to death, according to reports Thursday. It couldn't happen to a nicer guy.

Abdel Baset Ali al-Megrahi was released from Scottish prison back in August 2009 and Libya welcomed him with open arms, and the circumstances of that release are questionable. He was given a compassionate release based on his medical condition, prostate cancer, for which doctors supposedly gave him just weeks to live.
Relatives told Britain's Sky News that al-Megrahi has been in a coma for about a week.

"He is on life support and has been for some days. Many people have been waiting for him to die," a source close to his family told the broadcaster. "That day is coming very soon. Every day, his loved ones expect it to be his last."
Britain's Daily Telegraph quoted Libyan leader Moammar Gadhafi as saying al-Megrahi's health has "deteriorated badly." Citing unnamed sources, the newspaper said it appeared unlikely that the bomber would be alive to see the Dec. 21 anniversary of the 1988 attack on Pan Am Flight 103.

The release of al-Megrahi, the only man convicted in the bombing, fueled anger in the U.S. as 189 of the 270 victims were American.

A cache of cables from the U.S. Embassy in Tripoli describing the run-up to the decision to free al-Megrahi was released Wednesday by WikiLeaks .
Yet, after his release he was seen living large and in apparent good health. His condition apparently caught up with.

Justice was not served in this case as Megrahi served just a few days for each of the 270 people murdered when Pan Am 103 was blown up. He was supposed to have served life in prison.

Wednesday, December 08, 2010

Misplaced NYC Infrastructure Priorities

Which is more important? Renaming the Brooklyn Battery Tunnel and 59th Street Bridge to honor former Governor Hugh Carey and Mayor Ed Koch respectively, or finding funding to improve the Brooklyn Queens Expressway trench between Atlantic Avenue and the Battery Tunnel?

Well, it looks like the renaming is likely, while the BQE enhancement lacks the funding (starting at $10 million). The state legislature and City Council will have to vote to approve the naming changes, and if history is any guide, the cost to switch signs for each crossing will run around $4 million each (that's what the cost to rename the Triborough Bridge as the RFK Memorial Bridge).

The city and state are hoping to get private donations to cover the cost. Really?

How about skipping the naming rights and get the donations to improve the community life around the trench - new trees, screening, and pocket parks would help close the gap created when the highway was built below grade. It wouldn't be a perfect fix, but it would help lessen the effects of the highway on Carroll Gardens, Cobble Hill, and Columbia Street Waterfront.

This once again exposes the misplaced priorities. Focus on improving the actual infrastructure than paying for name changes that people end up ignoring. Construction of the highway destroyed neighborhood life and the EDC efforts to reduce noise, congestion, and pollution effects on the neighborhood would help improve the situation.

It is far more worthwhile than renaming bridges and tunnels.

Yet Another Unintended Consequence of Health Care Reform

Childrens' hospitals wont be able to deliver certain low cost medications to patients in need because the 2010 health care reform package eliminates orphan drug status eligibility for those hospitals. Drug manufacturers were required to provide orphan drug discounts to hospitals, including childrens' hospitals. Orphan drugs, which are categorized by the FDA, are for treatments that affect 200,000 or fewer people a year, and while some of the drugs might have other uses, the use for these conditions could be quite expensive. It's yet another unintended consequence of the health care reform package signed into law earlier this year. As the Times reports:
In an unintended consequence of the new health care law, drug companies have begun notifying children’s hospitals around the country that they no longer qualify for large discounts on drugs used to treat rare medical conditions.

As a result, prices are going up for these specialized “orphan drugs,” some of which are also used to treat more common conditions.

Over the last 18 years, Congress has required drug manufacturers to provide discounts to a variety of health care providers, including community health centers, AIDS clinics and hospitals that care for large numbers of low-income people.

Several years ago, Congress broadened the program to include children’s hospitals. But this year Congress, in revising the drug discount program as part of the new health care law, blocked these hospitals from continuing to receive price cuts on orphan drugs intended for treatment of diseases affecting fewer than 200,000 people in the United States.

The reason behind the change is murky, though some drug makers had opposed expansion of the drug discount program. The discounts typically range from 30 percent to 50 percent, and children’s hospitals say the change is costing them hundreds of millions of dollars.

Under the new law, hundreds of rural hospitals became eligible for discounts for the first time, but the discounts are not available on orphan drugs, which account for a surprisingly large share of their outpatient pharmacy costs. At the same time, children’s hospitals lost access to discounts on the drugs.
Once again, the cost for medications will rise as a result of the health care legislation. The orphan drug discounts were anywhere from 30-50% of the cost of the medication normally. Drug companies have gone along with this because they receive tax credits to conduct research on these diseases.

This follows a move to all but eliminate OTC drug purchases with flexible spending accounts, which allow consumers to buy their OTC drug needs with pre-tax income. Requiring a doctor's prescription/note to become eligible for the FSA reimbursement adds time and cost, but which also is meant to deter people from using FSAs and diverting income to pre-tax accounts (reducing taxable income). That move is essentially an accounting trick, but one that makes the cost of medication more expensive.

Here, the rationale for the switch isn't apparent. No one quite knows why the law was drafted that way, and an unidentified House Democrat staffer says that it was an honest drafting error.

I'm not totally buying that because the drug manufacturers benefit on their bottom line by eliminating one reduced revenue source (they will now expect full compensation on those drugs). Some drug companies may take an altruistic approach and continue the orphan drug status to curry favor, but others, like Allergan and Genentech said that they would stop providing certain medications under the program as the new law is currently construed.

In the end, this hurts the kids who are suffering from diseases that were formerly treated with drugs on the orphan drug list. It can significantly increase the health care costs - and potentially complicate treatment options for children suffering from diseases that fall into this classification.

Here's hoping that the new Congress can get together to fix this particular mess. Far from improving health care, this particular issue is a big step backwards.

US Senate Impeaches Louisiana Federal Judge On Corruption

U.S. District Judge G. Thomas Porteous of Louisiana was found guilty on four articles of impeachment, making him just the eighth federal judge in history to be removed by Congress.
House prosecutors laid out a damaging case against Porteous, 63, a New Orleans native who was a state judge before winning appointment to the federal bench by President Bill Clinton in 1994. The prosecutors said gambling and drinking problems led him to begin accepting cash and other favors from attorneys and bail bondsmen with business before his court.

He also was accused of lying to Congress during his judicial confirmation and filing for bankruptcy under a false name.

The Senate voted unanimously to convict on one count and with a strong majority for each of the other three.

Porteous' lead attorney, Jonathan Turley, acknowledged much of the behavior, saying the judge made mistakes but arguing that they were mostly personal failings that didn't meet the "high crimes and misdemeanor" standard for impeachment. Turley also argued that many of the practices - such as accepting favors and expensive meals - were common in the Louisiana legal community.

But House prosecutors said the evidence showed a decades-long pattern of corruption. They told senators that allowing Porteous to remain on the bench would erode public confidence in the courts and make a mockery of the federal judiciary.

The Senate closed the chamber for more than two hours Tuesday night to deliberate on his fate. The Senate made its decision Wednesday in a solemn ceremonial vote in which senators sat at their desks and rose when called, saying "guilty" or "not guilty."
Porteous was truly deserving of removal despite what his lawyer, Jonathan Turley, had sought to portray the issue as one involving cases before he joined the federal bench and that they didn't rise to the high crimes and misdemeanor charges requirement.

Porteous debased the legal profession and the bench by enabling and engaging in unlawful activities from the bench - the appearance of taking gifts from lawyers before ruling on their cases in their favor is dispositive.

He lied at every step of the way, including during his Senate confirmation in 1994. Indeed, this was a long time coming.

Baltimore Man Arrested In Alleged Car Bomb Plot

Details are still sketchy at this point, but authorities have arrested a man from Baltimore, Maryland in connection with a plot to blow up an Armed Forces recruiting station in Cantonsville, Maryland.
The man -- described as a 21-year-old convert to Islam -- is upset that the military continues to kill Muslims, a law enforcement source said. His name and residence were not immediately made available.

Marcia Murphy with the U.S. attorney's office in Baltimore said the suspect was arrested in the morning hours "in connection with a scheme to attack an armed forces recruiting station in Catonsville, Maryland, with what he believed to be a vehicle bomb."

He is to make an initial appearance in a U.S. District Court in Baltimore at 2 p.m. Wednesday.

The arrest comes after a high-profile string of unsuccessful terror attempts, such as last year's alleged Christmas Day bombing attempt, the botched Times Square car bombing, and the alleged Portland, Oregon, plan to attack a Christmas tree-lighting.

The suspect had been monitored for months by law enforcement agents, and Murphy said there was "no actual danger to the public" because the explosives were "inert."
The most recent attempted terror attacks in the US have been carried out by recent converts to Islam, who seem to be the most radicalized and most likely to follow through on threats to attack the US and its interests domestically.

It will be interesting to see whether ties to other known terrorists and their ideologues become known, including ties to Anwar al-Awlaki.

This plot was busted in much the same way as a plot to bomb a tree-lighting ceremony in Portland, Oregon.

UPDATE:
The suspect's name is Antonio Martinez, aka Muhammed Hussain.

New York State Scratches OTB

The State Senate did not ride to the rescue of the beleaguered OTB. It failed to approve a reorganization of the official betting parlors that operate around New York City by a 29-21 vote.
The 29 to 21 voted proceeded mostly on party lines, as leaders of the Senate Democratic conference pushed approval the bill, which was drafted by Gov. David Paterson and passed the Assembly late last month. The bill failed because it did not have 32 yes votes, the bare majority needed for passage.

But due to the absence of some Democratic senators -- one, Sen. Kevin Parker, was not immediately at the Capitol because he was hearing a jury convict him of misdemeanor criminal mischief charges in Brooklyn -- and the reluctance of most Republicans, the bill failed.

Immediate consequences were not clear. The OTB currently owes creditors $67 million, including millions to the New York Racing Association that runs tracks at Belmont Park and Saratoga. Under the failed bill, NYRA and the Yonkers race track would have assumed control of telephonic and Internet betting worth millions in exchange for forgiving OTB's debt.

"A no vote on this bill lights the wick to a stick of dynamite that will blow up our racing industry," said Sen. Eric Adams, D-Brooklyn and chairman of the chamber's racing and wagering committee. "Today it's New York City OTB, tomorrow it's Nassau, Monticello and other regions. We owe this to the employees of OTB."

The bill would also have exempted New York City OTB from several provisions that other OTBs in the state, including the Capital Region's OTB, say puts them at a disadvantage.

Senate Republican Leader Dean Skelos said his party offered legislation that would offer a "global" solution. He said Democrats controlling the Senate and Assembly met this proposal, sponsored by Sen. Andrew Lanza, R-Staten Island, with deaf ears.

"I don't see why everybody is just saying no. The Democrats love to blame the Republicans as being the party of 'no.' We're saying 'yes, we want to negotiate and get something reasonably done,'" Skelos said.

One rare Republican who voted yes was Sen. Roy McDonald, R-Saratoga, whose district includes the Saratoga Race Track. He called this bill the "worst of the evils," but said it was now or never.
I'm not sorry to see them go. The City and State never managed to turn a profit on the operation, and throwing still more money at the project made no sense given that the operations had little chance of turning a profit anytime soon. While it's unfortunate that several hundred people will lose jobs as a result of this, the long term benefit is that the state and city will not lose tens of millions of dollars on its gambling operations.

Horse racing has a long and storied history in New York, and two of the most prestigious racing events of the year are held in the state - the Belmont Stakes, held at Belmont Park on Long Island and the Travers Stakes held at Saratoga Raceway. Those events are huge draws, and it's baffling how the OTB could not even break even. The problem is that there were tremendous sunk and capital costs that led to ongoing debt. More than 50 locations around New York City will close.

The New York Racing Association will be offering free bus rides to gamblers to its race tracks on Long Island so that they can get their fix.

Then, there's the issue of how reports are claiming that the GOP shot down the rescue plan, when it was the failure of several Democrats to even show up for the vote that meant that the plan died. There is bipartisan opposition to gambling operations and bipartisan opposition to reorganizing a longtime money-losing operation for the state.

A better solution may be to privatize the gambling operations - allowing private franchises to bid for the right to operate the OTB operations, allowing the state to finally break even or turn a profit on the operation. This way, customer service could be put to the forefront to upgrade its reputation and take advantage of the fact that the OTB operations managed to have the largest handle in the nation.

Tuesday, December 07, 2010

Debate Continues Over Tappan Zee Replacement

While New Jersey Gov. Chris Christie has all but killed outgoing New York Governor David Paterson's proposal to have the Port Authority get involved in building a new Tappan Zee bridge, and much of the focus has been on the rough and tumble language Christie used, it's useful to remember how and why the Tappan Zee was built where it was.

The Port Authority, a bistate agency, wanted to retain a sphere of influence 25 miles in circumference from New York City (and which has since been extended to include the Stewart International Airport in Newburgh, New York). Thus, instead of locating the Tappan Zee at a point where the Hudson River was narrower, it forced the bridge to be built at one of its widest points.

That decision decades ago means that any replacement span will cost billions more than had a narrower site been chosen. The New York State Thruway Authority is the responsible for the construction and maintenance of the bridge and the Thruway (I87 and I287 in this part of the route).

The preferred design, which incorporates 8 lanes of vehicular traffic, bus rapid transit lanes, and heavy rail, would cost $16 billion. That includes not only the cost for the bridge itself, but the heavy rail and bus rapid transit approaches along the entire Rockland/Westchester County alignments and connections to Metro North rail lines in both counties.

Second Avenue Sagas parses out the costs and notes that Christie is ignoring that New Jersey, via the Port Authority, would get to keep half the toll revenues.

That's not quite accurate. The Thruway Authority gets 100% of toll revenues now. If the Port Authority gets involved and shares the costs 50/50 with the Thruway Authority, New Jersey would get 25% of the revenues (a toll amount to be determined but likely much higher than the current $5 toll ($4.75 for EZPass). The Thruway Authority would have to be compensated for the lost revenues since that helps fund the Thruway's operations statewide (the Authority doesn't receive state funding and is self-funding). It would significantly increase the pressure on the Thruway Authority to increase fares elsewhere in the state.

The Port Authority would also have to curtail some of its other capital projects to focus on the Tappan Zee project. Moreover, the benefit for New Jersey commuters for the Tappan Zee project are extremely limited at best. Few New Jersey residents are going to go North into New York to cross the Tappan Zee to go to Manhattan when the Tappan Zee is regularly riddled with traffic jams. Instead, most take the Palisades Parkway to the George Washington Bridge to go into Manhattan as the rail options are poorly scheduled and limited by local opposition to more frequent trips - particularly on the Pascack Valley line and bus options are only slightly better. Opening up a heavy rail option without a corresponding provision for adequate funding of those rail operations makes little sense and is likely to be severely underutilized.

The Port Authority is already committing money from the killed ARC tunnel project to improve its infrastructure at the George Washington Bridge, Port Authority Bus Terminal and Lincoln Tunnel helix replacement. Considering that the commuter buses handle more traffic than rail traffic into Manhattan on a daily basis, this is a far more cost effective use of the funds.

Indeed, the Tappan Zee replacement is likely to be a phased project, where the bridge is built to handle rail and bus rapid transit, but will be built for vehicular traffic first. Thus, when the additional funding is allocated, the bus and rail options will be added on at a later date.

Rangel Blames Staffers For Ethics Woes

Rep. Charles Rangel (D-NY-Censured) would like people to think that he didn't do anything wrong other than be too trusting of his staffers. That's a whole bunch of nonsense. He says his worst mistake was trusting his staffers.

That's quite the excuse Charlie. Blame the staff when you're the one ultimately responsible for the paperwork. You signed off on it.

Moreover, who are you blaming for being a tax cheat or for the use of a rent stabilized apartment as an office? No staff involved there. That's all on you - and you unjustly enriched yourself by not paying taxes for all those years on your real estate holdings and paying below market rents.

It is an interesting juxtaposition to see Rangel claiming that he did nothing wrong at a time when actor Wesley Snipes is being carted off to prison for a lengthy stay because of being a tax cheat. There are some significant differences in the two cases.

Snipes was a tax protester and his tax obligations were in the millions of dollars. He failed to file and pay taxes on $38 million in earnings going back to 1999. He claimed he was a non-US citizen and engaged in all manner of chicanery to avoid paying taxes. Snipes was sentenced to prison for three years because he was found to have willfully failed to file federal income tax returns under 26 U.S.C. § 7203. His codefendants were sentenced to even longer terms as they were involved in setting up and advising Snipes on his tax avoidance schemes. Snipes will be reporting to prison after his appeals were rejected.

Rangel's tax obligations were far less and didn't engage in overt tax avoidance as Snipes did. Rangel's problem is that he didn't declare his income from rental properties and did so for a decade all while being the guy running the committee that sets tax policy for the nation.

Snipes is getting what he deserves, and Rangel's tax problems have yet to be fully resolved. Rangel may end up doing no prison time, but may end up having to pay considerable penalties and interest.

Sons of Confederacy Upset History Channel Wont Accept Their Ads

The History Channel used to provide accurate history without such nonsense as UFO stories and revisionist tales and psychobabble. Now, tales of psychics, end times, paranormal activities, and other such blatherings are regular fare. So, with that in mind the Sons of the Confederacy hoped to get an advertisement to run in conjunction with the 150th anniversary about how the start of the Civil War was not about slavery, but about Northern aggression and violated states' rights.

The History Channel refused to run the spot, and the Sons of the Confederacy complained. Indeed, the Sons of the Confederacy tried to claim that because the channel regularly promotes and runs stories about the paranormal and revisionist history programs that they were entitled to have their spot run. They claim that the channel is being politically correct. The channel replies:
We have informed them that the ad is outside the scope of our guidelines and may not be aired during any of our programming. AETN’s advertising guidelines, which are similar to those of other broadcast and cable networks, do not permit such an ad as explained above. Indeed, AETN is not aware of any other network who has accepted or aired the ad.To our knowledge, it is not currently running on any of our networks, including History.
Slavery was a big reason why the war ensued - the Southern states sought to retain one of their few economic drivers - the source of labor that worked the fields and engaged in the heavy labor associated with farming. Moreover, claiming that Confederates fought to defend that right when Union forces “invaded” to prevent secession ignores the fact that it was the South that fired the first shots against the Union at Fort Sumter. Indeed, troops from The Citadel fired shots on Union ships attempting to resupply the Fort prior to the actual first battle of the Civil War.

Pearl Harbor Remembered 69 Years Later

Today marks the 69th anniversary of the Japanese attack on the US naval installations at Pearl Harbor, Hawaii.

It was a day that will live in infamy.

Sadly, many of those who lived through, and fought at Pearl Harbor that Sunday morning, are no longer with us. The number of survivors of that day grows smaller by the day. Four years ago, a new memorial to the USS Oklahoma victims was dedicated. After the Arizona and the loss of 1,177 of the 1,400 sailors and Marines on board when Japanese bombs tore apart the ship's forward magazine, the Oklahoma lost 429 sailors and Marines — the second greatest loss of life among any of the battleships in Pearl Harbor.

The US Navy has a website with photos taken of Pearl Harbor before, during and after the attacks.



Pearl Harbor remains to this day a nexus of conspiracy theories. Just as there are now 9/11 conspiracy theorists, people considered that there were those in the US government, including President Roosevelt, who knew of the impending attacks and did nothing because he wanted to bring the US into the war. What gets forgotten is that Pearl Harbor was just one of a series of Japanese attacks planned on the same day and within two weeks of Pearl Harbor as part of a coordinated effort to eliminate British and American naval and military forces throughout the Pacific and Asian theater so that Japan could have unimpeded sources of raw materials and access.

December 7, 1941 - Japanese bomb Pearl Harbor, Hawaii; also attack the Philippines, Wake Island, Guam, Malaya, Thailand, Shanghai and Midway.
December 8, 1941 - U.S. and Britain declare war on Japan. Japanese land near Singapore and enter Thailand.
December 9, 1941 - China declares war on Japan.
December 10, 1941 - Japanese invade the Philippines and also seize Guam.
December 11, 1941 - Japanese invade Burma.
December 15, 1941 - First Japanese merchant ship sunk by a U.S. submarine.
December 16, 1941 - Japanese invade British Borneo.
December 18, 1941 - Japanese invade Hong Kong.
December 22, 1941 - Japanese invade Luzon in the Philippines.So, within two weeks of the Pearl Harbor attack, the Japanese attacked everywhere from Borneo and Hong Kong to Mayasia, Midway, Thailand, Borneo, Burma and the Philippines.

That's not the sign of a nation that is looking to avoid war, but one that was intent upon carrying out its plans regardless of what the US did. The range of targets was designed to take the Pacific in one fell swoop and to knock the Allies off kilter at a time when the British and Soviets were focused on the European theater and the US wasn't even in the war - they were still technically neutral in the conflict in Europe.

Moreover, Japan had been at war with China since 1937 and that conflict was among the most brutal in Japan's war of aggression. Japan sought to confront the US on Japan's terms - Pearl Harbor was the time and place of Japan's choosing to eliminate and/or seriously degrade the US military capabilities. Japan may have seriously bloodied US forces at Pearl Harbor on that fateful day, but the Japanese forces did not hit the US aircraft carriers and didn't even touch the US military industrial complex that would soon produce more war material than Japan could ever conceive. Within a few short years, the US would not only replace the aged battleships that were damaged or destroyed at Pearl Harbor, but build more than a dozen new Essex class aircraft carriers, dozens of light aircraft carriers, tens of thousands of aircraft, thousands of ships of all types, and train personnel to operate them all.

Pearl Harbor awakened a slumbering giant. The end result was that Japan would see the extent of its military power and capabilities just a few months more before the US began pushing its way to the Japanese home islands.

Legalbgl posted photos of his trip to Pearl Harbor a few years back, and they're poignant in that they show how peaceful and placid the harbor is - much like the hours immediately preceding the attacks when the bolt from the blue brought war to US shores.

UPDATE:
Video and photos added.

Wikileaks Founder Julian Assange Arrested In Britain On Swedish Rape Charges: UPDATE: Bail Denied

British law enforcement has arrested Julian Assange, one of the founders of Wikileaks on rape stemming from a purported incident in Sweden. International arrest warrants were issued last week after the Swedish government got its investigation in order.

The arrest is not on any charges stemming from the group's release of hundreds of thousands of classified and sensitive US State Department and Pentagon memos/reports, though more than a few people will make the connection that had Wikileaks not released those documents, the Swedish government would not have come forward with these charges.
But his associates said his detention would not alter plans for further disclosures like those it has made in recent months relating to the wars in Afghanistan and Iraq and, over the past 9 days, disclosing confidential diplomatic messages between the State Department and American representatives abroad.

“Today’s actions against our editor-in-chief Julian Assange won’t affect our operations: we will release more cables tonight as normal,” a posting on the WikiLeaks Twitter account said.

Mr. Assange, a 39-year-old Australian, was arrested by officers from Scotland Yard’s extradition unit when he went to a central London police station by prior agreement with the authorities, the police said.

Hours later, he arrived at the City of Westminster Magistrates Court near the Houses of Parliament on the banks of the River Thames.

Travelling in an unmarked car with his lawyer, Mr. Assange used a rear entrance to the eight-story building to skirt the scrum of television cameras, satellite vans and international reporters. Officials said he would appear in court at around 9 a.m. Eastern time.

The court was likely to set the date for a further, more substantive hearing to consider whether Mr. Assange is granted bail, legal experts said.

In a statement earlier on Tuesday, the police said: “Officers from the Metropolitan Police extradition unit have this morning arrested Julian Assange on behalf of the Swedish authorities on suspicion of rape.”
Some people think that Assange is a hero for releasing all these documents and that such classified information should be freely available.

I'm not one of them. He and his cohorts violated US law and should be punished for their criminal acts. They undermine international relations and US diplomatic and security initiatives, but that was the point. Moreover, Assange threatens still more releases as a result of his arrest.

In the process, he's also unwittingly caused a reevaluation of what information will be made available through various channels that ended up being released in the cache of documents - and will likely result in fewer documents ending up in that status classification. It will result in less information being transmitted and may make diplomats and personnel less candid about their evaluations.

Assange is only the latest in a long line of anarchists who want to upend the international order. Assange thinks that he knows better than those in government about classified information and what should be available to the public. Christopher Hitchens thinks that he's a micro-megalomaniac, and he's on to something, but what exactly is Assange's endgame? Clearly, it's to upset the international order by the means at his disposal.

UPDATE:
British authorities have denied bail, meaning that Assange will remain in jail.

Monday, December 06, 2010

Lame Lawsuit of the Day

Cheryl Sibley, 53, of Hasbrouck Heights, New Jersey is suing Manhattan institution McSorley's Ale House over injuries she claims to have suffered at the "paws" of the bar's cat. Unless this cat mauled her and caused serious injuries requiring hospitalization, this is one of those cases that doesn't quite pass the smell test.
Cheryl Sibley, 53, of Hasbrouck Heights, says she suffered the mini-mauling in October 2009, according to papers filed in Manhattan Supreme Court last week.

The suit doesn't say exactly how the terrible tabby made a meal of Sibley.

But the woman claims the "live animal" attack left her with "serious injuries" that required medical care, the court papers state.

McSorley's owner, Matthew Maher, says he is shocked by allegations about the bar's peaceful house cat, Minnie the Second.

"I have no recollection of any attack," he said. "If I would have known, I would have been the first to call her and say 'Are you OK? Can I do anything for you?' "

Maher says he doesn't allow Minnie to roam the sawdust floors during drinking hours, which is a violation of city law.
I guess we're finally now hearing about this particular lawsuit because the plaintiff needed all of this time to locate a lawyer willing to take the case and that causes a problem all its own.

New York's statute of limitations on tort actions is one year, which means that unless she filed this action before November 2010, it isn't going to hold up in court. The article states that the papers were filed with the court last week, which means that she's got a statute of limitations problem.

So, even if she manages to avoid the statue of limitations problem, there's the issue of not only proving the injury, but being compensated for the injuries that makes it worth the lawyer's time and effort - not to mention the time of the court.

Why This Giants Fan Is Rooting For the Cowboys

I'm a longtime Giants fan, but I know my division rivals well enough to know that to maximize the Giants playoff possibilities, it will require winning of their remaining games and hoping that the other division rivals beat each other up.

It wont hurt if the Cowboys win their remaining two games against the Eagles.
Cowboys can still make some noise.

At 4-8, the Cowboys are even more cooked than the 5-7 Vikings. But the Cowboys still can screw things up for other teams as they continue their climb to respectability.

Specifically, the Cowboys can throw a wrench into the Eagles’ playoff hopes. A year after Dallas took three from Philly, the Cowboys still have not one but two cracks at their NFC East rivals.

Lose both, and the Eagles could end up home for January, especially since they still have to travel to New York to face the Giants. The Vikings likely won’t be a pushover, either.

But it all comes down to Dallas and Philadelphia, and it starts on Sunday night in Dallas, where the Eagles lost twice in six days to end their 2009 season.
The Cowboys are showing life for interim coach Jason Garrett. They're 3-1 after he inherited a lifeless 1-7 team. Garrett has made the Cowboys dangerous and while the Cowboys are an outside chance for winning a playoff slot - they'd have to overcome both the Eagles, Giants, and a slew of other teams who are ahead of them in the NFC playoff hunt, they could derail some of those other teams - particularly the Eagles.

And nothing would make me happier than to see the Eagles implode to the Cowboys except seeing the Giants make a return trip to the playoffs on route to the Super Bowl.

Tax Revenue Shortfalls Hit MTA Hard Again

Once again, overly optimistic tax revenue projects are going to hit New Yorkers hard. The MTA is again facing a massive deficit because tax revenues from payroll taxes, fees and other revenue sources for the MTA have fallen short of their projections by over $300 million.
The controversial business tax -- which hits all business owners in the MTA region with a 34-cent levy for every $100 of payroll -- appears to be $321 million under expectations, MTA data show.

Overall, it will bring in about $1.34 billion instead of the $1.66 billion that bean counters projected.

And the "MTA aid" levies -- like a 50-cent surcharge on every yellow-cab ride along with car-rental, garage-parking and license fees -- are under projections by $60 million, the numbers show.

"The riders have done their part with service cuts and fare hikes, but motorists aren't doing their part," fumed Andrew Albert, an MTA board member.

He added that the bailout bill "is not a good package" and that city's free bridges should be tolled to help finance mass transit.

It's those poorly performing taxes and other moves -- like Gov. Paterson yanking $160 million from the MTA to help the state budget -- that hit straphangers in the wallet.

At first, the state thought the MTA would get mounds of payroll-tax cash because many business owners didn't know to pay it in late 2009.

But the returns fell short because of "overstated 2009 [payroll-tax] estimates that the state initially believed were delayed," according to MTA documents.

Also, the economy was weaker than expected, the MTA said, "which in turn resulted in lower-than-expected tax receipts."
That means that the likelihood of another round of fare hikes and/or service cuts looms even as new fare hikes are scheduled to take effect at the beginning of 2011.

How is it that once again the state and MTA economists overestimated the strength of the economy when putting together their revenue projections. Instead of being more conservative in their estimates, particularly given the way the local and national economy have been sputtering along for the past two and a half years, overly optimistic revenue projections that fall short means far wider deficits and an inability to make them up with still more tax revenues. The state continues trying to take blood from a stone and the situation is not going to improve anytime soon. Businesses are still limping along, and expecting new tax revenues to come in at or above the projections just makes no sense.

At the end of the day, the tax hikes failed to bring about the financial stability needed for the MTA to operate properly and the deficits mean that the agency will struggle to find ways to plug the hole.

Rangel In Hot Water Over New Ethics Woes

Just days after being censured by the House of Representatives for multiple ethics violations, Rep. Charles Rangel is facing new ethics woes.

This time he's being investigated over his use of a group PAC to fund his legal defense against the original ethics charges.
The FEC is investigating a complaint that Rangel misused his political action committee to fund his legal defense over House ethics rules, the New York Post reported Sunday.

Filed by the National Legal and Policy Center, the complaint charges that Rangel used nearly $400,000 raised by his National Leadership PAC to pay his legal bills. Rangel told the House Ethics Committee last month that he could no longer afford counsel in the panel’s proceedings after spending more than $2 million on legal fees.
While a member can use money he raises personally for his campaign to pay legal fees, a member cannot use the sort of PAC money he used in his legal defense fund to do so.

That's a big no-no, and he no one but himself to blame for this latest ethics problem.

Moreover, Rangel continues to peddle the nonsense that he did nothing to enrich himself. He most certainly did. He also blames this on political pressure, but the fact that more than half the Democrats in the chamber voted in support of censure shows that the situation was bipartisan. In fact, it would tend to support the fact that his ethical and legal woes were like

By failing to pay the proper tax on his real estate investments, he profited from the failure to pay those taxes. By unlawfully using a rent stabilized apartment as his office, he was able to profit from the below-market rental. That's unjust enrichment and that most certainly meant more money in his pocket.

A legislator cannot say that what he did is no worse than what other members do (or did). Rangel was caught lying about his taxes and other legal and ethical missteps. He has no one to blame but himself, and his ongoing refusal to accept the punishment shows that he still thinks himself above the law. The sad thing is that his constituents don't think any differently. They had no problem reelecting him twice despite the tax avoidance and multiple ethics issues. In fact, his supporters had no problem cheering him on his return to Harlem.

Sunday, December 05, 2010

Yanks Resign Jeter and Rivera to Deals

The New York Yankees have closed deals with both Derek Jeter and Mariano Rivera that will essentially see both long time All-stars finish their careers with the Yankees.

That hasn't stopped some from questioning the kind of deal that Jeter managed to get. Mike Lupica, who hasn't been the same kind of sports reporter/editorialist since he went off on a tangent thinking that he was a political observer, thinks that Jeter was somehow disrespected by the deal that saw him take a pay cut over the three year (or four year with option) deal that he got.

This was business. It wasn't personal. Jeter had career lows last year in average and power, and he's sliding towards the backside of his career. It just doesn't make any sense from a baseball standpoint to lock him in on a more costly deal, and the Yankees treated it as a business decision. Jeter's agent, Casey Close, was trying to play up the emotional ties between the club and Jeter, who has been the consummate player and ambassador for baseball and the Yankee organization.

Yet, it ultimately came down to how Jeter performed on the field that led to the lower deal. Jeter just didn't keep to his previous statistics. Had he done so, his argument about being paid comparably to his prior deal would have carried more weight. I'm as big a Jeter fan as anyone out there, but it just doesn't make sense to pay him more money than his just expired deal. This was a business negotiation, and normally such negotiations take place out of sight, but this was done in the full light of public view.

It's that aspect that got so many fans bent out of shape and debating the merits of compensating Jeter even though that is between Jeter and the Yankee organization.

Moreover, Lupica trying to compare the Jeter deal with Rivera's deal is just asinine. Rivera has been as steady a performer as they come. He has not shown the slightest slowdown in his skills or outcomes. He still closes games as the top closer in baseball. Rivera didn't ask for more than he got previously, and he got what he was worth.