Wall Street Sheds Morning Gains


After beginning the day with a partial rebound from Monday’s steep drop, stocks on Wall Street gave up some of their gains Tuesday in the course of Congressional testimony by Ben S. Bernanke, the Federal Reserve chairman.


In afternoon trading, the Standard & Poor’s 500-stock index was up 0.1 percent, while the Dow Jones industrial average rose 0.6 percent. The Nasdaq composite index was down 0.2 percent.


In his prepared testimony before the Senate Banking Committee, Mr. Bernanke defended the Fed’s bond-buying program and said the economy was growing at a “moderate if somewhat uneven pace.” Senators were questioning him on the prospects for a global currency war and the potential economic effects of the latest budget impasse in Congress.


The major indexes fell more than 1 percent on Monday, with the S.&P. 500 recording its biggest daily drop since November. The falloff came as investors fretted that if Italy does not undertake reforms, the euro zone could once again be destabilized. The Euro Stoxx 50 index was off more than 3 percent in late trading Tuesday.


Groups in Italy opposed to economic reforms posted a strong showing in the recent election, resulting in a political deadlock with a comedian’s protest party leading the poll and no group securing a clear majority in Parliament.


“We’ve gone to an environment of political stability to instability, and until we get some type of clarity over who is in charge, which could take days, the market will have renewed concerns,” said Art Hogan, managing director of Lazard Capital Markets in New York.


Still, market participants speculated that a coalition government would eventually emerge in Italy and ease worries about a new euro zone crisis.


The early market gains suggested the recent trend of investors buying on dips would continue. Last week, concerns that the Federal Reserve might roll back its stimulus efforts earlier than expected prompted a sharp two-day decline, though equities recovered most of the lost ground by the end of the week.


“Investors are taking advantage of the drop, and once some kind of coalition government is formed, most of our concerns will be put to rest,” Mr. Hogan said.


Home Depot reported adjusted earnings and sales that beat expectations, sending shares up more than 5 percent.


Macy’s rose 3.1 percent after stating it expected full-year earnings to be above analysts’ forecasts because of strong sales in the holiday period.


For the benchmark S.&P. 500, 1,500 points will be watched as a key benchmark after the index closed below it on Monday for the first time since Feb. 4, with selling accelerating after falling below it. An inability to break back above it could portend further losses.


Financial shares may be among the most volatile, as that sector is closely tied to the pace of global economic growth. Morgan Stanley was one of the top percentage losers on the S.&P. on Monday, dropping more than 6 percent on concerns about the company’s exposure to European debt. It was up 0.4 percent.


This article has been revised to reflect the following correction:

Correction: February 26, 2013

Because of an editing error, an earlier version of this article misidentified the Senate panel before which Ben S. Bernanke, the Federal Reserve chairman, was testifying Tuesday. It was the Banking Committee, not the Finance Committee.




Read More..

Syria Willing to Talk With Armed Opponents, Foreign Minister Says





BEIRUT, Lebanon — Syria’s government is willing to hold talks with members of the armed opposition on ending the country’s nearly two-year-old civil war, the Syrian foreign minister said on Monday.




It was the first time that a high-ranking Syrian official signaled that the government was open to talking with Syrian rebels who have taken up weapons against the armed forces. Syria’s president, Bashar al-Assad, called in January for talks to resolve the conflict, but appeared to rule out dialogue with Syrians who were armed.


The new statement came as two opposition figures said that the main Syrian opposition leader, Sheik Ahmad Moaz al-Khatib, had already met quietly on at least one recent occasion with a prominent Syrian businessman with close ties to Mr. Assad, apparently in an effort to explore channels for discussion.


Both sides are under pressure from their international backers to explore ways to end the fighting that threatens to destroy Syria and spread conflict beyond its borders.


But Syrian opposition leaders gave conflicting signals on Monday on the future of any talks with members of Mr. Assad’s government.


The rebels’ top military leader, Gen. Selim Idriss, seemed to harden the opposition’s position, ruling out any negotiations until after Mr. Assad steps down — a precondition the Syrian government and its main international backer, Russia, reject. But Sheik Khatib said his offer to talk with members of the government without “blood on their hands” remained on the table, although he criticized what he called the Syrian government’s slowness to respond.


Russia declared last week that it would work with the Arab League to bring about direct talks between the government and the rebels, and Syria’s foreign minister, Walid al-Moallem, was meeting in Moscow on Monday with his Russian counterpart, Sergey V. Lavrov.


“We are ready for a dialogue with anyone who’s willing,” Mr. Moallem said ahead of the meetings, Russian news agencies reported. “Even with those who carry arms.”


It was unclear whether the Syrian government would ask rebels to lay down arms before such talks. The rebels have said before that they will reject such a precondition.


General Idriss, the leader of the Free Syrian Army, the main rebel fighter group, said that to the contrary, a cessation of violence by the government was “the bottom line” for rebels ahead of any talks. In remarks to Al-Arabyia, a Saudi-backed news Web site, General Idriss also said, “There needs to be a clear decision on the resignation of the head of the criminal gang Bashar Assad, and for those who participated in the killing of the Syrian people to be put on trial.”


The main opposition group, the National Coalition of Syrian Revolution and Opposition Forces, led by Sheik Khatib, had long insisted on Mr. Assad’s departure as a precondition for talks, but on Jan. 30, Sheik Khatib floated the idea of negotiations with members of the government not directly involved in the bloody crackdown.


On Friday after meetings in Cairo, the coalition adopted a written framework for talks that stopped short of calling for Mr. Assad to step down. It called for Mr. Assad and others involved in the killing to be “held accountable for their crimes” and declaring that they “will not be a part of this political solution.”


But many in the coalition remain skeptical of talks with the government and see them as a way for Mr. Assad to buy time, and are frustrated that the rebels are under pressure to compromise amid what they see as insufficient international support.


On Monday, Samir Nachar, a member of the coalition, said that Sheik Khatib had met in the past week with Muhammad Hamsho, a prominent Syrian businessman who is close to Maher al-Assad, the president’s brother who leads the army’s feared Fourth Division, and a frontman for many Assad family enterprises.


News of the meeting, which surfaced in the London-based pan-Arab newspaper Asharq al-Awsat, prompted a new round of criticism in some opposition quarters of Sheik Khatib. The newspaper quoted Faiek al-Meer, a member of the banned opposition Democratic People’s Party, as saying that Sheik Khatib had met with Mr. Hamsho without telling other coalition members.


Mr. Nachar said that Sheik Khatib had briefed him and other coalition members on the recent meeting, which he said had been initiated by Mr. Hamsho.


“Hamsho asked to meet Moaz al-Khatib and the latter agreed,” Mr. Nachar said in an interview. “The meeting did take place, yes. Al-Khatib was straightforward about it place but he refrained from going into details.”


Mr. Hamsho is one of several Syrian figures on whom the United States Treasury Department has imposed sanctions since Mr. Assad’s harsh crackdown on a peaceful protest movement that began in March 2011 and has since evolved into a civil war.


“Muhammad Hamsho earned his fortune through his connections to regime insiders, and during the current unrest, he has cast his lot with Bashar al-Asad, Mahir al-Asad and others responsible for the Syrian government’s violence and intimidation against the Syrian people,” David S. Cohen, under secretary for terrorism and financial intelligence, said in a statement in August 2011.


Sheik Khatib did not directly address the issue, but posted a message on his personal Facebook page cautioning against rumors.


Sheik Khatib told reporters in Cairo that he had not had any contacts with the Syrian government about potential meetings, and did not immediately respond to the offer from the Syrian foreign minister. He said that he would postpone a planned visit to Moscow “until we see how things develop,” The Associated Press reported.


He added, “We are always open to initiatives that stop the killing and destruction but the regime rejected the simplest of humanitarian conditions. We have asked that the regime start by releasing women prisoners and there was no response,” he said. “This regime must understand that the Syrian people do not want it anymore.”


Hania Mourtada contributed reporting.



Read More..

The Onion apologizes for offensive actress tweet


NEW YORK (AP) — The Onion is apologizing for calling the 9-year-old star of "Beasts of the Southern Wild" a vulgar and offensive name on Twitter, an attack that led to a firestorm online.


The satirical newspaper on Sunday referred to Quvenzhane Wallis with an expletive intended to denigrate women. The Onion was lambasted overnight and asked for forgiveness Monday.


"It was crude and offensive — not to mention inconsistent with The Onion's commitment to parody and satire, however biting," The Onion CEO Steve Hannah wrote on Facebook. "No person should be subjected to such a senseless, humorless comment masquerading as satire."


Hannah said the offensive tweet was taken down within an hour and the newspaper has "instituted new and tighter Twitter procedures" to ensure it will never happen again. Those responsible would be disciplined, he added.


"Miss Wallis, you are young and talented and deserve better. All of us at The Onion are deeply sorry."


A message sent to Quvenzhane's representative seeking comment wasn't immediately returned Monday.


The Onion's original tweet brought some calls for the fake new organization to publicly identify the writer of the tweet, vows to refuse to retweet its material, and requests from outraged consumers to email The Onion to complain.


Oscar host Seth MacFarlane also joked about the young star during the ceremony. Some found the quip offensive, albeit not to the degree of the outrage over The Onion's tweet. MacFarlane joked that "it'll be 16 years before she's too old for" George Clooney.


It wasn't the first time The Onion has gotten into hot water for trying to push its humor. Last year, the site attracting public ire for an image that showed an airliner about to crash into Chicago's Willis Tower, the tallest building in the country.


And the year before, Washington Capitol Police released a statement refuting tweets and an article claiming members of Congress had taken a group of schoolchildren hostage. It included a doctored picture of Republican House of Representatives Speaker John Boehner holding a gun to a child's head.


The Chicago-based publication was founded in 1988 by two students in Madison from the University of Wisconsin. Starting as a local college newspaper, it became a national comedy institution and went online in 1996, and has since developed a television news parody.


The publication is distributed weekly in cities, but it has also embraced Twitter and has an app for the iPad and other tablets. It says it averages 40 million page views and roughly 7.5 million unique visitors per month.


Read More..

Well: Ask Well: The Nutrients in Fruits and Veggies

The colorful skin of an apple, grape or tomato is certainly chockfull of nutrients. But by no means are the outer layers of most fruits and vegetables the prime source of their nutrition.

Part of what makes some fruits and vegetables so rich with color – wax and pesticides notwithstanding – are pigments in the skin that have healthful antioxidant properties. Resveratrol, for example, is found in the skin of red grapes and other fruits. But lycopene, one of the pigments that gives tomatoes and bell peppers their deep red color, is distributed throughout.

Indeed, many vitamins and nutrients are found in the skin as well as the flesh. Take apples. According to the United States Department of Agriculture, a large red apple with its skin intact contains about 5 grams of fiber, 13 milligrams of calcium, 239 milligrams of potassium, and 10 milligrams of vitamin C. But remove the skin, and it still contains about 3 grams of fiber, 11 milligrams of calcium, 194 milligrams of potassium, and plenty of its vitamin C and other nutrients.

Another example is the sweet potato. The U.S.D.A. says that a 100-gram serving of sweet potato cooked with its skin contains 2 grams of protein, 3 grams of fiber, and 20 milligrams of vitamin C. But the same sized serving of sweet potato without skin that has been boiled — a process that further leaches away some of its nutrients — still boasts 1.4 grams of protein, 2.5 grams of fiber, and 13 milligrams of vitamin C.

You can lose the skin, in other words, without losing all the benefits.

Read More..

DealBook: Japan to Sell $10 Billion Stake in Cigarette Firm

TOKYO – The Japanese government is set to loosen its grip on Japan Tobacco, the world’s third-largest tobacco company, by selling a third of its stake in a sale that will net the country about $10 billion.

The Finance Ministry, which owns just over 50 percent of the former state monopoly, will sell 333 million of its shares in the cigarette manufacturer, according to a company statement issued on Monday.

The deal will be priced next month, from March 11 to 13, the statement said. In the run-up to the sale, Japan Tobacco will buy back up to 250 billion yen ($2.7 billion) of its shares.

Under laws passed in 2011 after a devastating earthquake and tsunami hit Japan, proceeds of the sale of Japan Tobacco shares will go toward rebuilding the country’s battered northeast coast. The reconstruction costs have threatened to weigh on Japan’s public finances at a time when public debt is twice the size of its economy.

It is an opportune time for the Japanese government to sell. Japan’s stock market has rallied since mid-November, and Japan Tobacco’s shares have tracked the market’s ascent, climbing 20 percent in the last three months.

Shares in Japan Tobacco closed 1.43 percent higher on Monday, at 2,901 yen, before the planned sale was announced. At that price, the government’s share sale would be valued at roughly 967 billion yen.

Japan has already been reducing its stake and involvement in the cigarette maker, which traces its origins to a Finance Ministry bureau set up in 1898 to create a national tobacco monopoly that lasted until 1985.

Even after the company went public, the Finance Ministry held two-thirds of its shares until 2004, when it reduced its stake to 50.1 percent, or roughly one billion shares. Other investors in Japan Tobacco include Mizuho Trust & Banking, Goldman Sachs and the Children’s Investment Fund Management.

The position in Japan Tobacco has put the government in a controversial position.

The government has squeezed more funds from its smokers, raising the price of a pack of cigarettes about 40 percent in 2010, its single largest increase in tobacco taxes. Still, cigarettes remain relatively cheap in Japan, at about $4.30 a pack.

But antismoking advocates have blamed the Japanese government’s continued ownership of Japan Tobacco – whose brands include Camel, Winston and Mild Seven – for the country’s delay in passing laws to protect nonsmokers from cigarette smoke, for example, and more stringently regulating of tobacco-related marketing.

In a 2012 report, the Washington-based Global Business Group on Health said Japan’s ownership of Japan Tobacco shares “leads to a national conflict of interest, in which the government treats smoking as a behavioral issue rather than a health concern.”

Though smoking rates have started to decline in recent years, the Japanese remain heavy smokers, consuming about 1,841 cigarettes a person, according to data compiled last year by the World Lung Foundation and American Cancer Society. That compared with about 1,000 cigarettes a person in the United States.

To make up for declining cigarette consumption at home, Japan Tobacco has aggressively expanded overseas, acquiring Britain’s Gallaher Group in 2007 for $15 billion, and adding the Silk Cut and Benson & Hedges brands to its portfolio. The company has also made a push into packaged foods and soft drinks, as well as pharmaceuticals.

The government’s sale of Japan Tobacco shares is part of a wider effort to raise money to finance reconstruction from the country’s natural and nuclear disasters in 2011. The government also plans to sell shares of Japan Post Holdings, which runs the country’s postal system and also acts as its biggest bank.

Read More..

African Nations and U.N. Offer Plan to Stabilize Congo





NAIROBI, Kenya — Leaders of several African countries and United Nations officials on Sunday announced a new “framework” to tackle instability in the Democratic Republic of Congo, a war-torn country that has become synonymous with suffering and has eluded countless attempts to build a lasting peace over the years.




The new effort calls for greater cooperation between Congo’s neighbors — several of which are suspected of sponsoring violence inside Congo — and political changes by the Congolese government. United Nations and African officials are also proposing a new beefed-up “peace enforcement” brigade of about 2,000 soldiers to go after rebel groups in Congo.


“We can only put an end to recurring cycles of violence through an innovative approach,” said Secretary General Ban Ki-moon of the United Nations, who witnessed the signing of the peace framework in Addis Ababa, Ethiopia, on Sunday.


But many Congo analysts doubt that this agreement, by itself, is going to make much of a difference in a place where myriad rebel groups haunt the hills, massacring civilians and raping women with impunity.


“If not accompanied by the swift appointment of a U.N. envoy and the initiation of a focused peace process between Congo, Rwanda and Uganda led by that U.N. envoy, this framework agreement will end up having no impact on ending the violence in eastern Congo,” said John Prendergast, co-founder of the Enough Project, a nonprofit anti-genocide group.


Parts of Congo, especially in the east, along the borders with Uganda and Rwanda, have been mired in various degrees of rebellion and mayhem since the mid-1990s, when rebel groups overthrew Mobutu Sese Seko, a Western-backed dictator who set new standards for wanton corruption. Congo is home to vast mineral riches, and many rebel groups who now control territory sustain their brutality by seizing minerals or taxing the mineral trade.


This fall, a relatively new rebel outfit, called the March 23 Movement, or M23, captured the provincial capital of Goma, though under intense international pressure it soon pulled out. United Nations investigators have accused Rwanda and Uganda of providing covert support to the M23.


The United Nations has more than 17,000 military personnel in Congo, but the peacekeepers have been roundly criticized for being too passive. Several African countries, including Tanzania and Mozambique, have discussed contributing troops to a new intervention brigade to confront and disarm rebel groups in Congo. The plan is for the new brigade to work with the other peacekeepers but engage in combat more often.


But analysts warn that this new brigade, which still needs to be approved by the United Nations Security Council, will be effective only if it is willing to go toe-to-toe with rebel fighters and take heavy casualties — as peacekeepers from Uganda and Burundi have been doing in Somalia, with some success. Many observers say the United Nations has so far been unwilling to do this in Congo.


Jason Stearns, the author of a recent, well-regarded book on Congo and a blog that is considered required reading by Congophiles, said there had not been a genuine peace process in Congo since 2006.


“So are we back in a peace process?” Mr. Stearns asks on his blog. “Not really. Or more precisely: We don’t know yet. The agreement is more a statement of principles than a concrete action plan.”


Read More..

Analysis: The near impossible battle against hackers everywhere


SAN FRANCISCO (Reuters) - Dire warnings from Washington about a "cyber Pearl Harbor" envision a single surprise strike from a formidable enemy that could destroy power plants nationwide, disable the financial system or cripple the U.S. government.


But those on the front lines say it isn't all about protecting U.S. government and corporate networks from a single sudden attack. They report fending off many intrusions at once from perhaps dozens of countries, plus well-funded electronic guerrillas and skilled criminals.


Security officers and their consultants say they are overwhelmed. The attacks are not only from China, which Washington has long accused of spying on U.S. companies, many emanate from Russia, Eastern Europe, the Middle East, and Western countries. Perpetrators range from elite military units to organized criminal rings to activist teenagers.


"They outspend us and they outman us in almost every way," said Dell Inc's chief security officer, John McClurg. "I don't recall, in my adult life, a more challenging time."


The big fear is that one day a major company or government agency will face a severe and very costly disruption to their business when hackers steal or damage critical data, sabotage infrastructure or destroy consumers' confidence in the safety of their information.


Elite security firm Mandiant Corp on Monday published a 74-page report that accused a unit of the Chinese army of stealing data from more than 100 companies. While China immediately denied the allegations, Mandiant and other security experts say the hacker group is just one of more than 20 with origins in China.


Chinese hackers tend to take aim at the largest corporations and most innovative technology companies, using trick emails that appear to come from trusted colleagues but bear attachments tainted with viruses, spyware and other malicious software, according to Western cyber investigators.


Eastern European criminal rings, meanwhile, use "drive-by downloads" to corrupt popular websites, such as NBC.com last week, to infect visitors. Though the malicious programs vary, they often include software for recording keystrokes as computer users enter financial account passwords.


Others getting into the game include activists in the style of the loosely associated group known as Anonymous, who favor denial-of-service attacks that temporarily block websites from view and automated searches for common vulnerabilities that give them a way in to access to corporate information.


An increasing number of countries are sponsoring cyber weapons and electronic spying programs, law enforcement officials said. The reported involvement of the United States in the production of electronic worms including Stuxnet, which hurt Iran's uranium enrichment program, is viewed as among the most successful.


Iran has also been blamed for a series of unusually effective denial-of-service attacks against major U.S. banks in the past six months that blocked their online banking sites. Iran is suspected of penetrating at least one U.S. oil company, two people familiar with the ongoing investigation told Reuters.


"There is a battle looming in any direction you look," said Jeff Moss, the chief information security officer of ICANN, a group that manages some of the Internet's key infrastructure.


"Everybody's personal objectives go by the wayside when there is just fire after fire," said Moss, who also advises the U.S. Department of Homeland Security.


HUNDREDS OF CASES UNREPORTED


Industry veterans say the growth in the number of hackers, the software tools available to them, and the thriving economic underground serving them have made any computer network connected to the Internet impossible to defend flawlessly.


"Your average operational security engineer feels somewhat under siege," said Bruce Murphy, a Deloitte & Touche LLP principal who studies the security workforce. "It feels like Sisyphus rolling a rock up the hill, and the hill keeps getting steeper."


In the same month that President Barack Obama decried enemies "seeking the ability to sabotage our power grids, our financial institutions, our air traffic control systems," cyber attacks on some prominent U.S. companies were reported.


Three leading U.S. newspapers, Apple Inc, Facebook Inc, Twitter and Microsoft Corp all admitted in February they had been hacked. The malicious software inserted on employee computers at the technology companies has been detected at hundreds of other firms that have chosen to keep silent about the incidents, two people familiar with the case told Reuters.


"I don't remember a time when so many companies have been so visibly 'owned' and were so ill-equipped," said Adam O'Donnell, an executive at security firm Sourcefire Inc, using the hacker slang for unauthorized control.


Far from being hyped, cyber intrusions remain so under-disclosed — for fear leaks about the attacks will spook investors — that the new head of the FBI's cyber crime effort, Executive Assistant Director Richard McFeely, said the secrecy has become a major challenge.


"Our biggest issue right now is getting the private sector to a comfort level where they can report anomalies, malware, incidences within their networks," McFeely said. "It has been very difficult with a lot of major companies to get them to cooperate fully."


McFeely said the FBI plans to open a repository of malicious software to encourage information sharing among companies in the same industry. Obama also recently issued an executive order on cyber security that encourages cooperation.


The former head of the National Security Agency, Michael Hayden, supports the use of trade and diplomatic channels to pressure hacking nations, as called for under a new White House strategy that was announced on Wednesday.


"The Chinese, with some legitimacy, will say 'You spy on us.' And as former director of the NSA I'll say, 'Yeah, and we're better at it than you are," said Hayden, now a principal at security consultant Chertoff Group.


He said what worries him the most is Chinese presence on networks that have no espionage value, such as systems that run infrastructure like energy and water plants. "There's no intellectual property to be pilfered there, no trade secrets, no negotiating positions. So that makes you frightened because it seems to be attack preparation," Hayden said.


Amid the rising angst, many of the top professionals in the field will convene in San Francisco on Monday for the best-known U.S. security industry conference, named after host company and EMC Corp unit RSA.


Several experts said they were convinced that companies are spending money on the wrong stuff, such as antivirus subscriptions that cannot recognize new or targeted attacks.


RSA Executive Chairman Art Coviello and Francis deSouza, head of products at top vendor Symantec Corp, both said they will give keynote speeches calling for a focus on more sophisticated analytical tools that look for unusual behavior on the network — which sounds expensive.


Others urge a more basic approach of limiting users' computer privileges, rapidly installing software updates, and allowing only trusted programs to function.


Some security companies are starting over with new designs, such as forcing all of their customers' programs to run on walled-off virtual machines.


With such divergent views, so much money at stake, and so many problems, there are perhaps just two areas of agreement.


Most people in the industry and government believe things will get worse. Coviello, for his part, predicted that a first-of-its kind - but relatively simple - virus that deleted all data on tens of thousands of PCs at Saudi Arabia's national oil company last year is a harbinger of what will come.


And most say that the increased mainstream attention on cyber security, even if it fixes uncomfortably on the industry's failings and tenacious adversaries, will help drive a desperately needed debate about what do to internationally and at home.


(Reporting by Joseph Menn in San Francisco; Additional reporting by Jim Finkle in Boston and Deborah Charles in Washington; Editing by Tiffany Wu and Jackie Frank)



Read More..

The Texas Tribune: Advocates Seek Mental Health Changes, Including Power to Detain


Matt Rainwaters for Texas Monthly


The Sherman grave of Andre Thomas’s victims.







SHERMAN — A worried call from his daughter’s boyfriend sent Paul Boren rushing to her apartment on the morning of March 27, 2004. He drove the eight blocks to her apartment, peering into his neighbors’ yards, searching for Andre Thomas, Laura Boren’s estranged husband.






The Texas Tribune

Expanded coverage of Texas is produced by The Texas Tribune, a nonprofit news organization. To join the conversation about this article, go to texastribune.org.




For more articles on mental health and criminal justice in Texas, as well as a timeline of the Andre Thomas case: texastribune.org






Matt Rainwaters for Texas Monthly

Laura Boren






He drove past the brightly colored slides, swings and bouncy plastic animals in Fairview Park across the street from the apartment where Ms. Boren, 20, and her two children lived. He pulled into a parking spot below and immediately saw that her door was broken. As his heart raced, Mr. Boren, a white-haired giant of a man, bounded up the stairwell, calling out for his daughter.


He found her on the white carpet, smeared with blood, a gaping hole in her chest. Beside her left leg, a one-dollar bill was folded lengthwise, the radiating eye of the pyramid facing up. Mr. Boren knew she was gone.


In a panic, he rushed past the stuffed animals, dolls and plastic toys strewn along the hallway to the bedroom shared by his two grandchildren. The body of 13-month-old Leyha Hughes lay on the floor next to a blood-spattered doll nearly as big as she was.


Andre Boren, 4, lay on his back in his white children’s bed just above Leyha. He looked as if he could have been sleeping — a moment away from revealing the toothy grin that typically spread from one of his round cheeks to the other — except for the massive chest wound that matched the ones his father, Andre Thomas (the boy was also known as Andre Jr.), had inflicted on his mother and his half-sister as he tried to remove their hearts.


“You just can’t believe that it’s real,” said Sherry Boren, Laura Boren’s mother. “You’re hoping that it’s not, that it’s a dream or something, that you’re going to wake up at any minute.”


Mr. Thomas, who confessed to the murders of his wife, their son and her daughter by another man, was convicted in 2005 and sentenced to death at age 21. While awaiting trial in 2004, he gouged out one of his eyes, and in 2008 on death row, he removed the other and ate it.


At least twice in the three weeks before the crime, Mr. Thomas had sought mental health treatment, babbling illogically and threatening to commit suicide. On two occasions, staff members at the medical facilities were so worried that his psychosis made him a threat to himself or others that they sought emergency detention warrants for him.


Despite talk of suicide and bizarre biblical delusions, he was not detained for treatment. Mr. Thomas later told the police that he was convinced that Ms. Boren was the wicked Jezebel from the Bible, that his own son was the Antichrist and that Leyha was involved in an evil conspiracy with them.


He was on a mission from God, he said, to free their hearts of demons.


Hospitals do not have legal authority to detain people who voluntarily enter their facilities in search of mental health care but then decide to leave. It is one of many holes in the state’s nearly 30-year-old mental health code that advocates, police officers and judges say lawmakers need to fix. In a report last year, Texas Appleseed, a nonprofit advocacy organization, called on lawmakers to replace the existing code with one that reflects contemporary mental health needs.


“It was last fully revised in 1985, and clearly the mental health system has changed drastically since then,” said Susan Stone, a lawyer and psychiatrist who led the two-year Texas Appleseed project to study and recommend reforms to the code. Lawmakers have said that although the code may need to be revamped, it will not happen in this year’s legislative session. Such an undertaking requires legislative studies that have not been conducted. But advocates are urging legislators to make a few critical changes that they say could prevent tragedies, including giving hospitals the right to detain someone who is having a mental health crisis.


From the time Mr. Thomas was 10, he had told friends he heard demons in his head instructing him to do bad things. The cacophony drove him to attempt suicide repeatedly as an adolescent, according to court records. He drank and abused drugs to try to quiet the noise.


bgrissom@texastribune.org



Read More..

Major Banks Aid in Payday Loans Banned by States





Major banks have quickly become behind-the-scenes allies of Internet-based payday lenders that offer short-term loans with interest rates sometimes exceeding 500 percent.




With 15 states banning payday loans, a growing number of the lenders have set up online operations in more hospitable states or far-flung locales like Belize, Malta and the West Indies to more easily evade statewide caps on interest rates.


While the banks, which include giants like JPMorgan Chase, Bank of America and Wells Fargo, do not make the loans, they are a critical link for the lenders, enabling the lenders to withdraw payments automatically from borrowers’ bank accounts, even in states where the loans are banned entirely. In some cases, the banks allow lenders to tap checking accounts even after the customers have begged them to stop the withdrawals.


“Without the assistance of the banks in processing and sending electronic funds, these lenders simply couldn’t operate,” said Josh Zinner, co-director of the Neighborhood Economic Development Advocacy Project, which works with community groups in New York.


The banking industry says it is simply serving customers who have authorized the lenders to withdraw money from their accounts. “The industry is not in a position to monitor customer accounts to see where their payments are going,” said Virginia O’Neill, senior counsel with the American Bankers Association.


But state and federal officials are taking aim at the banks’ role at a time when authorities are increasing their efforts to clamp down on payday lending and its practice of providing quick money to borrowers who need cash.


The Federal Deposit Insurance Corporation and the Consumer Financial Protection Bureau are examining banks’ roles in the online loans, according to several people with direct knowledge of the matter. Benjamin M. Lawsky, who heads New York State’s Department of Financial Services, is investigating how banks enable the online lenders to skirt New York law and make loans to residents of the state, where interest rates are capped at 25 percent.


For the banks, it can be a lucrative partnership. At first blush, processing automatic withdrawals hardly seems like a source of profit. But many customers are already on shaky financial footing. The withdrawals often set off a cascade of fees from problems like overdrafts. Roughly 27 percent of payday loan borrowers say that the loans caused them to overdraw their accounts, according to a report released this month by the Pew Charitable Trusts. That fee income is coveted, given that financial regulations limiting fees on debit and credit cards have cost banks billions of dollars.


Some state and federal authorities say the banks’ role in enabling the lenders has frustrated government efforts to shield people from predatory loans — an issue that gained urgency after reckless mortgage lending helped precipitate the 2008 financial crisis.


Lawmakers, led by Senator Jeff Merkley, Democrat of Oregon, introduced a bill in July aimed at reining in the lenders, in part, by forcing them to abide by the laws of the state where the borrower lives, rather than where the lender is. The legislation, pending in Congress, would also allow borrowers to cancel automatic withdrawals more easily. “Technology has taken a lot of these scams online, and it’s time to crack down,” Mr. Merkley said in a statement when the bill was introduced.


While the loans are simple to obtain — some online lenders promise approval in minutes with no credit check — they are tough to get rid of. Customers who want to repay their loan in full typically must contact the online lender at least three days before the next withdrawal. Otherwise, the lender automatically renews the loans at least monthly and withdraws only the interest owed. Under federal law, customers are allowed to stop authorized withdrawals from their account. Still, some borrowers say their banks do not heed requests to stop the loans.


Ivy Brodsky, 37, thought she had figured out a way to stop six payday lenders from taking money from her account when she visited her Chase branch in Brighton Beach in Brooklyn in March to close it. But Chase kept the account open and between April and May, the six Internet lenders tried to withdraw money from Ms. Brodsky’s account 55 times, according to bank records reviewed by The New York Times. Chase charged her $1,523 in fees — a combination of 44 insufficient fund fees, extended overdraft fees and service fees.


For Subrina Baptiste, 33, an educational assistant in Brooklyn, the overdraft fees levied by Chase cannibalized her child support income. She said she applied for a $400 loan from Loanshoponline.com and a $700 loan from Advancemetoday.com in 2011. The loans, with annual interest rates of 730 percent and 584 percent respectively, skirt New York law.


Ms. Baptiste said she asked Chase to revoke the automatic withdrawals in October 2011, but was told that she had to ask the lenders instead. In one month, her bank records show, the lenders tried to take money from her account at least six times. Chase charged her $812 in fees and deducted over $600 from her child-support payments to cover them.


“I don’t understand why my own bank just wouldn’t listen to me,” Ms. Baptiste said, adding that Chase ultimately closed her account last January, three months after she asked.


A spokeswoman for Bank of America said the bank always honored requests to stop automatic withdrawals. Wells Fargo declined to comment. Kristin Lemkau, a spokeswoman for Chase, said: “We are working with the customers to resolve these cases.” Online lenders say they work to abide by state laws.


Read More..

Emory University President Revives Racial Concerns





ATLANTA — A reception Friday at Emory University to celebrate the work of the Southern Christian Leadership Conference in the years after the assassination of the Rev. Dr. Martin Luther King Jr. could have been more poorly timed, but not by much.




All week long, the president of Emory, James W. Wagner, had been trying to rewind a column that he had written for the university magazine. In it, he praised the 1787 three-fifths compromise, which allowed slaves to be counted as three-fifths of a person as a way to determine how much Congressional power Southern states would have, as an example of how polarized people can find common ground.


It was, he has since said, a clumsy and regrettable mistake.


A faculty group censured him last week for the remarks. And in a speech at Friday’s reception for the campus exhibition, “And the Struggle Continues: The Southern Christian Leadership Conference’s Fight for Social Change,” Dr. Wagner acknowledged both the nation’s ongoing education in race relations and his own.


“I know that I personally have a long way to go,” he said.


His article has been seized upon by students and faculty who say it was yet one more example of insensitivity from the Emory administration, which in September announced sweeping cuts that some say unfairly targeted some programs popular with minorities.


About 45 protesting students showed up at the reception, silently holding signs that read “This is 5/5 outrageous” and “Shame on James” as Dr. Wagner; Representative John Lewis of Georgia, a veteran of the civil rights movement; and leaders of the S.C.L.C. spoke about the fight for racial equality.


Whether the cuts, which include the elimination of physical education, visual arts, journalism, and graduate programs in economics and Spanish, disproportionately affect racial minorities is in dispute at the university, whose student body is 31 percent minority.


Certain programs that focused on or made recruiting minorities a priority have been shifted to other departments or eliminated, but university officials say the numbers are not as drastic as protesters believe.


Savings from the reorganization will be reinvested in other departments, including neurosciences, studies of contemporary China, and new media studies.


Such academic realignment is starting to happen at liberal arts colleges around the country, said Phil Kleweno, a consultant at Bain & Company who specializes in higher education.


“Not every school can excel in every subject,” he said. “Given where we are financially, these are wise decisions for many universities to make.”


In an interview Friday, Dr. Wagner said neither the cuts nor his self-described gaffe in Emory Magazine was intended to hurt what he described as a vibrant multicultural environment at the college.


The president’s misstep was only the latest incident in what one Emory administrator called “quite a challenging year” for the private university, which some call the Harvard of the South. (Emory boosters prefer to call Harvard University the Emory of the North.)


Although still the 20th best university in the nation in U.S. News and World Report’s latest ranking, Emory admitted in August that it had intentionally sent incorrect test scores to the magazine and the Department of Education for more than a decade.


The university has also grappled over whether to allow Chick-fil-A, whose conservative Christian owners have donated large sums of money to organizations opposed to gay marriage, to serve food on campus.


And in October, Dr. Wagner officially apologized to Jewish dental students who had either been failed, harassed or both under John E. Buhler’s reign as dean of the dental school from 1948 to 1961.


Many had seen the apology for that chapter in Emory’s history, when as many as 65 percent of Jewish students had to redo coursework or were failed, as a forward-thinking and healing move in keeping with the culture of the university, which has devoted years to studying its own racial history, both the good and the bad.


The school, which is 177 years old, was named for John Emory, a slave owner. Although many of its leaders favored segregated education, the school decided in 1962to sue the state for the right to enroll students regardless of race.


More recently, the school has dealt with a fraternity that flew a Confederate flag and an anthropology professor who used a racial epithet in class, but it also houses significant collections of African-American history and literature, including what is arguably the nation’s most complete database documenting American slave trade routes.


“Emory is a community that airs its laundry,” Dr. Wagner said, calling that a strength and a demonstration of its ability to evolve with its student body.


“We’ve had several wounds this year,” he said. “This one is a particularly painful wound for me because it was self-inflicted.”


Jovonna Jones, 19, the president of the Black Student Alliance at Emory, said she forgave Dr. Wagner for his transgression.


“As an African-American woman who has gone to predominately white institutions since middle school, I’ve had lots of incidents like this,” she said. “It’s hard to be shocked any more.”


People keep asking her if she thinks the university president is a racist, Ms. Jones said.


“I don’t think that’s the real question,” she said. “The important question is: What does it mean to embrace and value a diverse student body? What are the values of the school?”


Leslie Harris, an Emory history professor and the director of a series of campus events that for five years examined issues of race at Emory, said she was more troubled by the intellectual holes in Dr. Wagner’s argument.


In his column, Dr. Wagner used the Congressional fight over the national debt to muse on the importance of compromise, which he called a tool for noble achievement.


“The constitutional compromise about slavery, for instance, facilitated the achievement of what both sides of the debate really aspired to — a new nation,” he wrote.


That is a deep misunderstanding of history, said Dr. Harris.


“The three-fifths compromise is one of the greatest failed compromises in U.S. history,” she said. “Its goal was to keep the union together, but the Civil War broke out anyway.”


To members of the S.C.L.C., whose records are housed in Emory’s Manuscript, Archives, and Rare Book Library, the protesters at the reception were a welcome sign.


“I love it,” said Brenda Davenport, once the national volunteer and youth organizer for the S.C.L.C. “Where else would you want protesters to show up but at something that is about the value of protesting?”


Read More..