Raids in 7 countries in $200M investment fraud

 

Dutch authorities say raids have been conducted in seven countries in connection with an alleged $200 million investment fraud scheme, and four men have been arrested. The country's financial crime prosecutors say they suspect hundreds of investors were conned into fraudulent investments in U.S. life insurance policies by a firm called Quality Investments BV. Prosecutors said Wednesday four Dutch men have been arrested, two in the Netherlands and one each in Switzerland and Turkey. Raids were also conducted in Spain, Dubai, England and the United States, in which millions of euros in assets were seized in hopes of recovering some money for duped investors.

Global swoop nets huge haul of fake drugs: Interpol

 

Police and customs officers from 81 countries have seized 2.4 million doses of counterfeit medicine sold over the Internet during a one-week operation, international police body Interpol said Thursday. Fifty-five people were arrested during the September 20-27 operation, codenamed Pangea 4, and more than 13,000 websites closed down, Interpol said. More than 100,000 illegal doses were seized in France, over half of which were for supposed to be for treating male erection problems, France's medical security agency that took part in the operation, AFSSAPS, said. The operation was carried out for the fourth successive year in an effort to inform the public about the risks of buying medicines online. "Interpol's member countries and partners have shown through the success of Operation Pangea IV the Internet is not an anonymous safe haven for criminals trafficking illicit medicines," said Interpol secretary general Ronald Noble. The agency said it had targeted Internet service providers, online payment companies and delivery companies during the operation, in order that the whole supply chain of fake drugs be broken down. "We cannot halt the illicit online supply of medicines without a consistent, constant and collective international effort involving all sectors," said Aline Plancon, head of Interpol's fake drugs department. "The operation itself was only made possible thanks to a combined effort involving the 165 different participating agencies sharing and exchanging live information via Interpol's headquarters in Lyon," she said. Interpol has also posted messages on Internet video sharing sites warning punters "Don't Be Your Own Killer" by buying unlicensed pharmaceuticals.

UBS CEO Gruebel resigns over rogue trading loss

 

UBS chief executive Oswald Gruebel has resigned over a $2.3 billion loss caused by rogue trading at its investment division, which is to be restructured now to prevent similar incidents in future, the Swiss bank said Saturday. Gruebel, who had come under heavy pressure from shareholders over the scandal, said he hoped his resignation would allow the bank to restore its reputation in the eyes of clients and investors. Article Controls EMAIL REPRINT NEWSLETTER SHARE "As CEO, I bear full responsibility for what occurs at UBS ( UBS - news - people )," he said in a memo to staff. "From my first day on the job I placed the reputation of the bank above all else. That is why I want to and must act according to my convictions." UBS Europe chief Sergio P. Ermotti will take over immediately as interim chief executive until Gruebel's replacement is appointed. Gruebel's departure caps 10 days of speculation over his future following the bank's announcement that a single London-based trader had evaded internal control systems and gambled away $2.3 billion. The trader, 31-year-old Kweku Adoboli, was arrested Sept. 15 and charged with fraud and false accounting. A judge ordered him Thursday to be held in jail until a hearing next month.

Troy Davis execution goes ahead despite serious doubts about his guilt

 

Moments before he was put to death, Troy Davis lifted his head from the gurney to which he was strapped and looked the family of Mark MacPhail, the police officer for whose murder he was convicted, directly in the eyes. "I want to talk to the MacPhail family," he said. "I was not responsible for what happened that night. I did not have a gun. I was not the one who took the life of your father, son, brother." He then appealed to his own family and friends to "keep the faith", said to the medical personnel who were about to kill him "may God have mercy on your souls", and laid his head down again. He was administered with a triple lethal injection of pentobarbital, pancuronium bromide and potassium chloride, and at 11.08pm he was pronounced dead. The debate about what happened in Georgia's Diagnostic and Classification Prison in Jackson late on Wednesday night will continue long after the gurney has been put away. In the final gruesome hours of waiting, the American judicial system at its very highest echelons was involved – including the US supreme court, which issued the decisive final ruling. The decision to press ahead with the death sentence despite serious doubts over Davis's guilt drew accusations that this was the system at its most grotesque. It was Davis's fourth execution date, and it was dragged out, for more than four hours, to what must have been tortuous effect for the prisoner and his family. Davis, 42, became the 52nd man to be executed in Georgia since the same supreme court reinstated the death penalty in 1973. His lawyers and thousands of supporters around the world were convinced that an innocent man had been sent to his death. As news of his death filtered out of the maximum security prison, his family was still huddled in an area of the prison grounds, surrounded by well-wishers. His sister, Martina Correia, had earlier vowed to continue the fight to end all capital punishment in America and said her brother's story would be a galvanising force for others. "His message to young people is – you can lie down or you can stand up and fight," she said. After the execution, Davis's lawyers lamented what one described as a "legal lynching". Thomas Ruffin said that the execution was "racially bigoted". "In the state of Georgia 48.4% of people on death row this morning were black males, and in Georgia they make up no more than 15% of the population." Ruffin said that seven of the nine witnesses at Davis's 1991 trial had since recanted. They included a man who said under oath that he had seen MacPhail being killed, and that it was not Davis who shot him but another man called Sylvester Cole. Another witness said under oath that she had heard Coles confess three times to killing MacPhail and using Davis as the fall guy. But throughout Wednesday last-ditch legal manoeuvres by Davis's defence team failed one by one as both state and federal judges ruled against them. First, a request for Davis to undergo a lie-detector test was rejected. A Georgia judge refused an appeal, then the state supreme court followed suit. In the end his only hope was the US supreme court, and for a moment at 7pm, just as the execution was due to take place, it seemed that the justices had ordered a stay. But the delay was only temporary and at around 10.15pm the court ruled that the execution should go ahead. The decision was welcomed by the MacPhail family. "He [Davis] had all the chances in the world," the officer's mother, Anneliese MacPhail, told the Associated Press. "It has got to come to an end." But a second lawyer for Davis, Jason Ewart, said that as he died he took with him "his quest for justice. In the midst of all the newspaper headlines and vigils you can sometimes lose sight of the man who was on death row. Troy Davis was a family man, and his family mourns tonight." John Lewis, a local radio reporter who was present at the execution, said that while the prisoner was being killed MacPhail family members sat in the front row looking intently at him. As they left the room after he was pronounced dead, some of them smiled. "So at least someone got some satisfaction out of this," Lewis said.

Prescription Drug Arrest

 

Yancey County authorities are calling it one of their biggest prescription drug arrests this summer.  A man they suspect as one of the top dealers in the area was taken into custody Wednesday afternoon. Authorities arrested 24-year-old Christopher Elliott at his home on Satin Wood Drive in Burnsville.  Law enforcement believe Christopher and his older brother, James, traveled to South Carolina to get Oxycodone pills and then returned to the area to sell them.  They tell us the brothers have nearly a hundred clients. Christopher Elliot's arrest was part of "Operation Slinger."  The round up effort was launched back in June.  The Burnsville police department teamed up with the Yancey County Sheriff'f office to get prescription drugs of the streets. So far, 40 dealers have been arrested or charged in the operation.

if arresting people for drugs was a sign of success in The War on Drugs, then I guess our government has won.

The United States arrests a lot of people on drug charges. The answer to the failure of The War on Drugs is always spend more money and arrest more people.

In fact, if arresting people for drugs was a sign of success in The War on Drugs, then I guess our government has won. Here is a press release from Law Enforcement Against Prohibition on a new report from the FBI on just how many people are arrested for drugs in this country.

New FBI Numbers Reveal Failure of “War on Drugs”

WASHINGTON, D.C. — A new FBI report released today shows that there is a drug arrest every 19 seconds in the U.S. A group of police and judges who have been campaigning to legalize and regulate drugs pointed to the figures showing more than 1.6 million drug arrests in 2010 as evidence that the “war on drugs” is a failure that can never be won.

“Since the declaration of the ‘war on drugs’ 40 years ago we’ve arrested tens of millions of people in an effort to reduce drug use. The fact that cops had to spend time arresting another 1.6 million of our fellow citizens last year shows that it simply hasn’t worked. In the current economy we simply cannot afford to keep arresting three people every minute in the failed ‘war on drugs,’” said Neill Franklin, a retired Baltimore narcotics cop who now heads the group Law Enforcement Against Prohibition (LEAP). “If we legalized and taxed drugs, we could not only create new revenue in addition to the money we’d save from ending the cruel policy of arresting users, but we’d make society safer by bankrupting the cartels and gangs who control the currently illegal marketplace.”

Today’s FBI report, which can be found athttp://www.fbi.gov/about-us/cjis/ucr/crime-in-the-u.s/2010/crime-in-the-u.s.-2010, shows that 81.9 percent of all drug arrests in 2010 were for possession only, and 45.8 percent of all drug arrests were for possession of marijuana.

A separate Department of Justice report released last month shows that Mexican drug cartels are currently operating in more than 1,000 U.S. cities, whereas two years ago they were in 230 U.S. cities. Meanwhile, a new U.S. Department of Health and Human Services report released earlier this month shows that nearly one in 10 Americans admit to regularly using illegal drugs.

Sadly, arrests are not a sign of success but a sign of a cycle of waste and idiocy that has our country locked in a downward spiral of drug abuse and violence.

The unmitigated failure of The War on Drugs is on display every day in a multitude of ways. This report is yet another example of the government highlighting their massive failure.

More Than Half Of All Drug Arrests In U.S. Are For Marijuana

 

We all know marijuana is the most used illegal drug in The United States. It stands to reason that marijuana is responsible for the most arrests out of all of the illegal drugs. But according to new statistics from the F.B.I., marijuana arrests account for more than half of all drugs arrested, meaning more people are arrested for marijuana than all other illicit drugs combined. Of the 854,000 arrests for marijuana, 88% were for possession. Opponents of marijuana legalization like to pretend that The War on Drugs is aimed at gang leaders and dealers, but the simple fact is the drug war budgets of law enforcement agencies are built on the backs of people whose only crime was having some weed on their person.

Scotland Yard drops Official Secrets Act bid against Guardian

 

Scotland Yard had intended to take the Guardian newspaper to court on Friday in an attempt to force the newspaper into revealing how it obtained information that missing schoolgirl Milly Dowler’s mobile phone had been hacked. However, following discussions with the Crown Prosecution Service (CPS), the force has abandoned its application for production orders against the newspaper. The decision comes following heavy criticism of the force’s attempt to make the Guardian, and one of its journalists, hand over information which would have revealed the source of many of the newspaper’s phone hacking stories. Various MPs, including the shadow culture secretary Ivan Lewis, questioned the Yard’s attempt. While many national newspapers carried leading articles condemning the Metropolitan Police’s apparent attack on press freedom. And today the former Attorney General Lord Goldsmith told the Daily Telegraph that the force’s decision to invoke the Official Secrets Act was “unusual” and could threaten press freedom.

NAVY recruit flipped and killed an officer in a gun rampage on a nuclear sub after he was told off for his cleaning work.

Ryan Donovan, 23, fired his SA80 semi-automatic rifle after his hopes of a voyage on a surface ship were dashed as punishment for his shoddy work.

He was also obsessed with violent video games and told a friend he wanted to carry out a Grand Theft Auto-style "kill frenzy".

Yesterday the HMS Astute able seaman was jailed for life by a judge who heard he opened fire on two superiors he blamed — only to miss.

 

Victim ... Ian Molyneux 
with wife Gill

 

The shots were heard by Lieutenant Commander Ian Molyneux, 36, who rushed to tackle him during a goodwill visit by the sub to Southampton in April.

Donovan murdered him with a bullet to the head, then stepped over his body to the control room.

There he wounded Lt Cdr Christopher Hodge, 45, in the stomach before being wrestled to the ground by Southampton council leader Royston Smith and chief executive Alistair Neill — who were touring the sub.

Three days earlier Donovan of Dartford, Kent, disobeyed a direct order to clean a section of the sub after it failed inspections, Winchester Crown Court heard.

 

Hero ... Royston Smith, right, on sub visit

 

Gangsta rap fan Donovan — who called himself Reggie Moondog — told a fellow sailor hours before his rampage: "I'm going to kill somebody. I'm not f****** kidding, and then watch the news."

He admitted murder and attempted murder and was caged for a minimum of 25 years. The widow of the dead officer — a dad of four — wept just feet away.

Outside court Gill Molyneux paid tribute to her Weapons Engineer Officer husband, describing him as "my hero and true love".

 

Clegg condemns 'grotesque' hacking

 

No amount of money can absolve News International from hacking in to the phone of Surrey murder victim Milly Dowler, Liberal Democrat leader Nick Clegg has said , following the disclosure that the company was about to settle its case with the teenager's family. Rupert Murdoch is set to donate £1 million to charity from his own pocket, while the Dowlers themselves will receive in the region of £2 million in a separate payout from News International, the publishers of the now-closed News of the World. The company has confirmed it is in "advanced negotiations" with relatives of the 13-year-old, who was abducted and killed by Levi Bellfield in 2002. On Tuesday Mr Clegg said no amount of money could absolve the company for what happened. He said: "It is not for me to decide what money News International offer the Dowlers. I think it is very, very important we now give the Dowler family the time and space they need to rebuild their lives and move on. "I think the reason why people were so outraged by the invasion of the privacy of the Dowler family is that they weren't celebrities, they weren't politicians, they hadn't asked to be put on the front page of the nation's newspapers. I have met them and they are a lovely, strong, every-day family who lost their daughter and were dealing with that terrible tragedy and even then these journalists - it's just grotesque - were invading their privacy. "In a sense I think, and I am sure the Dowlers feel the same, that no amount of money can absolve people for what they did." News International is reported to have set aside £20 million for payments to phone hacking victims, but a source said the size of the expected compensation for the Dowlers reflected the "wholly exceptional circumstances" of their case. Sources close to the Dowlers have said any agreement will feature a donation to charity. It is not yet known which cause, or causes, would benefit. A News International spokesman said: "News International confirms it is in advanced negotiations with the Dowler family regarding their compensation settlement. No final agreement has yet been reached, but we hope to conclude the discussions as quickly as possible."

Milly Dowler's family have been offered a multimillion-pound settlement offer by Rupert Murdoch's News International,

Phone hacking: Milly Dowler's family are understood to have been offered a seven-figure settlement. Photograph: Surrey Police/PA

Milly Dowler's family have been offered a multimillion-pound settlement offer by Rupert Murdoch's News International, in an attempt to settle the phone-hacking case that led to closure of the News of the World and the resignation of the company's chief executive, Rebekah Brooks.

It is understood that News International has made a settlement offer estimated by sources at close to £3m, a figure that include a £1m donation to charity. But the publisher has not yet reached agreement with the Dowler family, whose lawyers were thought to be seeking a settlement figure of closer to £3.5m.

The seven-figure sums under negotiation are far larger than other phone-hacking settlements reached, reflecting the fact that the phone-hacking case affected a family who were victims of crime. Thirteen-year-old Dowler went missing in March 2002 and was later found murdered.

It emerged in July that Milly Dowler's mobile phone had been hacked after her death. Voicemails were accessed on behalf of the News of the World, and messages left for her were deleted to make room for more recordings. This gave the family false hope that she was still alive, because messages were disappearing.

On Monday afternoon there was growing speculation that a deal is close, although other sources familiar with the negotiations indicated that there are still enough matters unresolved to mean that an agreement in principle had not yet been reached behind the scenes.

Sienna Miller accepted £100,000 from News International after the publisher accepted unconditional liability for her phone-hacking and other privacy and harassment claims in May. A month later Andy Gray accepted £20,000 in damages plus undisclosed costs.

Other lawyers bringing phone-hacking cases are privately indicated that they would be advising many of those bringing actions to try and reach a settlement rather than take their cases to lengthy and expensive trials. A handful of cases have been taken forward as lead actions by Mr Justice Vos, to establish a benchmark for settlements in future lawsuits.

Murdoch met with the Dowler family in July, shortly after the original story about hacking into her phone broke, making what the family's lawyer, Mark Lewis, said was a "full and humble" apology. The News Corporation chairman and chief executive "held his head in his hands" and repeatedly told the family he was "very, very sorry".

Victims' burial site is in Becket

 

The bodies of David Glasser, Edward Frampton and Robert Chadwell were found buried on private property in Becket, according to the District Attorney’s office. Authorities declined to be more specific and released no other new information about the case. Until this week, law enforcement officials had refused to even release the location of what they described as a "burial site," where the bodies of the three men were dumped and covered with boulders and dirt. Meanwhile, state and local police conducted what they described as a "high visibility patrol operation" Saturday in Lee, coinciding with the Berkshire Chapter of the Hells Angels’ annual party, Lobster Fest. Adam Lee Hall, who court records list as the third in command of the Berkshire Hells Angels, has been charged with three counts of murder in connection to the men’s disappearance. Otherwise, police haven’t linked the murders to the local motorcycle club, which has put up its clubhouse to cover Hall’s bail in an earlier case, according to court records. Police from Lee, Great Barrington, Pittsfield, Lenox and Dalton assisted State Police, who watched as motorcyclists from across the region descended on the Berkshire biker’s headquarters on Woodland Road in Lee, just past the entrance to October Mountain State Forest. Also on the scene were the state’s Environmental Police and the county’s Special Response Team. Police Advertisement took pictures of everyone entering and exiting Woodland Road leading to the Angels’ clubhouse. Many of the bikers seen in the area wore patches identifying themselves as members of the Hells Angels and other regional motorcycle clubs. State Police Lt. David Buell, the station commander at the troop’s Lee Barracks, said the club’s Lobster Fest is an annual event. He said police have conducted high-visibility patrols coinciding with the party for the past five years. He said police increased the number of patrols this year in light of the recent murders, but he declined to say how many officers were in the area. Buell said there were no arrests or incidents on Saturday, although he said several neighbors walked up to police in the area and thanked them for being there. Members of the Hells Angels were not immediately reachable for comment on Saturday. The group’s Facebook page indicated that tickets to the event were $30. It warned visitors to expect heavy police presence. Glasser, Frampton and Chadwell went missing sometime between Aug. 27 and 28 from Glasser’s apartment on Linden Street in Pittsfield. Hall, 34, of Peru, David Chalue, 44, of North Adams and Springfield, and Caius Veiovis, 31, of Pittsfield, have been charged with three counts each of murder, kidnapping and witness intimidation. Police said neither Chalue nor Veiovis are members of the Hells Angels. Police say the men killed Glasser to keep him from testifying against Hall during an upcoming trial in Berkshire Superior Court. Court records filed last week said men’s bodies had been dumped together in a deep trench that had been covered with large boulders and dirt, with digging equipment found nearby. According to the report, Hall had inquired about the availability and location of excavation equipment in the weeks prior to the murder.

Gangland boss Carl Williams fingers cop Paul Dale from beyond grave

 

ON April 24, 2007, deep inside the razor wire of Victoria's Barwon Prison, gangland killer Carl Williams finally decided to tell his story about crooked cops and Melbourne's underworld war. Williams is now dead, but his lurid tale echoed from the grave yesterday as his version of history, made in three statements over two years, was read out to a spellbound audience in the Victorian Supreme Court trial of Williams's alleged murderer, Matthew Charles Johnson. Johnson has pleaded not guilty on the basis of self-defence. According to Williams's statements, his relationship with former policeman Paul Dale began nervously. The gangland killer and the policeman were so "paranoid" about each other that they once met in a swimming pool wearing only bathers so that neither could be "wired" with listening devices. But the court heard the dealings between this odd couple would blossom into something far more deadly. Before long, what began as merely secret payments for information escalated to a murder, sanctioned and paid for by Dale, Williams alleged. The tone of the gangland killer's statements are as casual as they are cold. When Williams heard that the hitman he hired at Dale's request to kill police informer Terrence Hodson had also killed his wife, Christine, he asked the gunman: "What happened with the sheila?" "That's not for you to worry about," the gunman replied, about which Williams said, "That was the end of the conversation". According to Williams, he met Dale following his release from prison in 2002 when Dale requested a meeting with him via another criminal. "I first met him at the Brunswick Club, where Lewis Moran was killed," Williams said. "He (Dale) was telling me he could keep an eye out for me. "In return, Dale expected to be paid for any information that he gave to me . . . I think we were both suspicious of each other at that time and remained so." Williams said, early on, Dale showed him a police report that revealed that an Asian man called Jimmy had been giving information to the police about Williams, who was called "Fat Boy" in the police report. "As a result of reading the report, I dropped off Jimmy and did no more (drug-dealing) business with him." The court heard that Williams's relationship with Dale grew as they met more often. "On most occasions when I met with Dale, I would give him an envelope with money in it. The money I paid Dale usually ranged from $2000 to $5000 each time." On one occasion, he said, Dale asked him if he wanted the detective to do anything to Williams's gangland rival Jason Moran. "It was pretty widely known that Jason and I had problems at the time," Williams said in his statement. "I didn't know whether they (Dale and a fellow detective) were fair dinkum or trying to set me up. Dale said he could kill Jason for $400,000. I told them they were dreaming." Williams claimed that Dale told him he had arranged internal police systems so Victoria Police would be unable to check on Williams without Dale knowing about it. "He told me he did this so that he could keep up to date with any investigations against me." At one stage, Williams said, Dale asked him to meet in a swimming pool near Seaford where Dale told Williams to tip off fellow gangland figure Tony Mokbel about a police investigation into a drug laboratory. "We met at the swimming pool because he was paranoid of me and I was paranoid of him," said Williams. "Dale had two pairs of shorts or swimming togs. We put these on and got into the pool and walked up and down in the water." The court heard that in his April 2007 statement, Williams said he had no knowledge of who killed the Hodsons at their Kew home in May 2004, but in his second statement, in January 2009, he was ready to reveal the hitman. "I didn't want to be a dog and be a protection prisoner, but my attitude has changed," he said. Williams alleged that Dale told him he had to "get" Hodson before he could give evidence at a committal hearing about his alleged involvement in a burglary involving drugs, in which Dale was implicated. He said: "We went for a walk. Dale told me that he had to get Hodson and he had to get Hodson before Dale's committal. "Dale said he didn't want to go back to jail. He said he had been in isolation and it was tough. "He said he had someone on the job but it was taking too long to get Hodson. Dale asked me if I could help him out." Williams claimed Dale told him the job would pay $150,000. Williams said he approached a hitman who he knew had "a reputation as a fairly ruthless bloke". He met with the hitman, who can't be named for legal reasons, on the ground floor of the Marriott hotel. "I told him there was a contract there for Terry Hodson and I told him the amount of $150,000. There was never any contract on his wife and I never mentioned Terry's wife to (the hitman)." Williams said he didn't know exactly when Hodson would be murdered and the first he heard about it was on the news. The court heard that a few days after the Hodsons' deaths, Williams's statement said, he got a call from Dale telling him "it's been dropped off". "I knew he was talking about the money for the Hodson murders," Williams said. "I was at my mum's when Dale made that call to me. I went and checked the bin. It was a large green wheelie bin that Mum kept inside the gate. Inside the bin, I saw a plastic bag and I took it out of the bin and went back inside." He said he counted the money, which was bundled in $10,000 amounts with rubber bands around it. "It might have been $100 or so short but effectively the money was all there." A few days later, Williams met the hitman at the Marriott again. "I left the bag containing the $150,000 on the ground next to our seats and he collected it." "(The hitman said) 'Quick, hey?' and smiled and chuckled. "I said to him: 'What happened with the sheila?' He said: 'That's not for you to worry about.' That was the end of the conversation. "I asked him about the sheila because I didn't think she needed to die and she wasn't a part of the contract. Having said that, I didn't push it any further." Williams said he never spoke again to the hitman about the Hodson murders. "It is an unspoken rule that once a job is done, you don't mention it again so you don't get caught out on a listening device or something." He also revealed that hitmen preferred to kill on cold days because "the cold weather means it's less likely that people will be out walking around and possibly witness something". In his January 2009 statement, Williams said "since I have been locked up, (lawyer Nicola) Gobbo has told me that Dale has asked after me and has asked if there is anything he can do for me. I just dismissed it because there was nothing he can do for me and I don't want to deal with him." Williams was bashed to death in Barwon jail in April last year.

THE record company behind Irish rockers U2 has allegedly been unwittingly used by a multi-million dollar drugs trafficking ring

 

THE record company behind Irish rockers U2 has allegedly been unwittingly used by a multi-million dollar drugs trafficking ring. A year-long investigation by the US Drugs Enforcement Authority (DEA) is alleged to have uncovered a racket where the band's record company, Interscope Records, was being used to transport Class A drugs and money inside the United States. It is understood that the record company's Californian headquarters was being used for pick-ups and deliveries of hundreds of kilograms of cocaine while a New York recording studio at the other end was also being used for the drug and cash shipments. Members of the drugs ring allegedly used musical equipment called “road cases” for shipping cocaine from Los Angeles to New York, between January 2010 and June 2011. On the way back, the same cases were filled with hundreds of thousands of dollars in cash, according to documents filed in a US court. The illegal trading was allegedly going on for 18 months, but it was not alleged that Interscope Records or its staff knew or were involved in any drug shipments. The allegation was contained in a letter detailing evidence against James Rosemond, a music-industry manager and head of Czar Entertainment. Mr Rosemond, 46, known as ‘Jimmy Henchmen', is a rap music manager who represents artist The Game. He was indicted three months ago on drug trafficking charges. Federal prosecutors say Interscope employees knew nothing about Mr Rosemond’s alleged drug smuggling. However, it is not yet understood how Mr Rosemond's team got access to Interscope's Californian headquarters to drop off and take the shipments. The ring is alleged to have used a New York recording studio at the other end for the drugs and cash shipments, the Wall Street Journal reported. The cases were shipped by music gear specialists RockIt Cargo, which is the company responsible for shipping U2's musical equipment around the world — including during their latest 360 tour. However, there is no suggestion in the filing that RockIt Cargo knew what was inside the cases. RockIt has not commented. Interscope chairman Jimmy Iovine, long a highprofile executive within the music industry, has recently become something of a household name thanks to American Idol, which he joined last season to provide creative guidance to contestants. His company, which is part of Universal, released a statement yesterday afternoon. “Interscope Records has been informed by the United States Attorney's Office for the Eastern District of New York that there is no evidence that any employee of UMG or Interscope Records had any involvement in the drug trafficking ring being prosecuted by that office,” the statement read.

UBS raises rogue equity trade losses to $2.3 billion

 

Swiss bank UBS on Sunday increased the amount it said it had lost on rogue equity trades to $2.3 billion and alleged a trader concealed his risky deals by creating fictitious hedging positions in internal systems. UBS stunned markets on Thursday when it announced unauthorised trades had lost it some $2 billion. London trader Kweku Adoboli was charged on Friday with fraud and false accounting dating back to 2008. "The loss resulted from unauthorised speculative trading in various S&P 500, DAX, and EuroStoxx index futures over the last three months," UBS said in a brief statement. "The loss arising from this matter is $2.3 billion. As previously stated, no client positions were affected." Global stock markets have been extremely volatile in recent months, plunging on concerns over euro zone and U.S. debt crises and then rebounding on hopes for their resolution. The loss is a disaster for the reputation of Switzerland's biggest bank, which had just started to recover after it almost collapsed during the financial crisis and faced a damaging U.S. investigation into aiding wealthy Americans to dodge taxes. "Loss even more. Reads like they're making excuses," said Helvea analyst Peter Thorne of the UBS statement. The new scandal has prompted calls for its top managers to step down and for its investment bank to be split into a separate unit from its core wealth management business. Chief Executive Oswald Gruebel, who was brought out of retirement in 2009 to turn the bank around, was quoted in a newspaper on Sunday as saying he is not considering quitting over the crisis, but said it was up to the board to decide. In a memo to staff on Sunday, he said: "Ultimately, the buck stops with me. I and the rest of senior management are responsible for dealing with wrongdoing." Swiss newspapers quoted unnamed insiders as saying the UBS board and important shareholders such as the Singapore sovereign wealth fund were still backing Gruebel, with immediate changes at the top the last thing the bank needed. Gruebel is widely expected to present plans to drastically cut back the investment bank at an investor day in November. INDEPENDENT INVESTIGATION The bank, whose three keys logo symbolise "confidence, security, discretion," has pulled its "We will not rest" global advertising campaign for now, that was designed by advertising agency Publicis to try to rebuild its image. Meanwhile, UBS client advisers have been writing to customers to reassure them of the underlying financial strength of the bank despite the trading loss, a spokesman said. "That we now suffer this setback at this point in our efforts to improve our reputation is very disappointing. This incident also sets us back somewhat in our capital-building efforts," Gruebel said in his memo. "However, I wish to remind you that our fundamental strengths as a firm remain intact... we remain one of the best capitalized banks in the industry. UBS said its board of directors had set up a committee chaired by independent director David Sidwell, former chief financial officer at Morgan Stanley, to conduct an independent investigation into the trades and the bank's control systems. The bank said it had covered the risk resulting from the unauthorised trades, and its equities business was again operating normally within previously defined risk limits. It said the trader had allegedly concealed the fact his trades violated UBS risk limits by executing fake exchange-traded fund (ETFs) positions. "Following inquiries directed to him by UBS control functions that were reviewing his positions, the trader revealed his unauthorised activity," the bank said. "The positions taken were within the normal business flow of a large global equity trading house as part of a properly hedged portfolio," UBS said. "However, the true magnitude of the risk exposure was distorted because the positions had been offset in our systems with fictitious, forward-settling, cash ETF positions." The Sunday Times cited unnamed insiders saying the trader placed bets worth $10 billion before his losses were detected. ETFs are index funds listed on an exchange and can be traded just like regular stocks. They try to replicate index performances and offer lower costs than actively managed funds, but regulators have warned about risks from some complex ETFs. In the past three months, DAX futures have fallen 22 percent, Eurostoxx 50 futures have dropped 20 percent and S&P 500 futures have dipped 4 percent. The instruments involved in the UBS case are similar to those that Jerome Kerviel, the rogue trader at Societe Generale, traded when he racked up a $6.7 billion loss in unauthorised deals in 2008. Christoph Blocher, vice-president of the right-wing Swiss People's Party (SVP) -- the country's biggest -- renewed his calls for a splitting off of the investment bank. "One has to seriously examine a ban on investment banking for commercial banks," he told the SonntagsZeitung, adding his party might team up with the center-left Social Democrats to push for such a move.

11 of the 54 prisoners in Menorca jail are British

 

11 of the 54 prisoners being held in prison on Menorca are British, according to the prison authorities, who says their presence on the island is dependent on the air connections to the UK, which allows family visits to the inmates. The same sources, quoted by Menorca.info, say that none of the Britons have a ‘conflictive’ profile. The jail on the Carretera de Sant Lluís also currently holds 23 prisoners who are of Menorcan origin or who have links to the island. Another 20 are being held ahead of their appearance in court.

Brazil judge's murder points to vigilante power

 

Judge Patricia Acioli was known for wielding a "heavy hammer," especially against rogue police who have formed illegal vigilante gangs. She had put more than 60 officers behind bars, most of them for murder. The Rio de Janeiro state judge paid for that fearlessness: Acioli was shot to death in front of her house last month. And all of the 21 bullets that hit her came from a lot issued to police, including some in Sao Goncalo, the city where she worked. While violence and impunity are common in Brazil, the brazen murder of Acioli was an especially heavy blow, a message of intimidation from the vigilante militias. The slaying was "a wound to the lawful state, to democracy; the figure of the judge is a symbol of justice," said Denise Frossard, a retired judge who presided over some of Rio's first cases against the militias in the 1990s. "If she is a judge and can be killed, how can a citizen feel secure enough to be a witness?" Acioli's death was the first murder of a judge in the state's history, though Frossard herself survived three assassination attempts and had eight security guards ensuring her safety while she was on the bench. Violent militias have grown in power and scope in recent years, taking over poor communities formerly controlled by drug dealers and coercing residents to pay for illegal utility hookups, transportation, and security. Their members include former and current police, firefighters and jail guards. Investigators say they have elected members as state and city legislators. They also have been praised by politicians, including Rio de Janeiro's mayor, for taking back swaths of territory from drug gangs. A probe by the state legislature in 2008 found militias were connected to execution-style killings, far-reaching extortion schemes, and the kidnapping and torture of a group of journalists investigating the gangs' activities. Acioli had been repeatedly threatened for taking on the police officers who were part of the gangs, and she had written letters to her superiors requesting protection. One week before her murder, she went to Rio police's internal affairs office and said she was being threatened by officers from Sao Goncalo, where she worked, and Niteroi, where she lived. The last case on her docket on Aug. 11, the day she died, involved policemen charged with executing an 18-year-old man in a slum. One of her last acts as a judge was to authorize their arrest. A month later, three of the same Sao Goncalo police officers were charged with her murder. The suspects knew the judge would ask for their arrest, and wanted to stop her, said Felipe Ettore, the head of Rio's homicide division, in a press conference this week. They didn't know she'd already issued the order. "Their way of stopping her was to kill her," Ettore said. "They went to court and followed Patricia to her front door." Nationwide, the lives of 134 judges are currently under threat, according to the National Council for Justice, which oversees the judiciary branch in Brazil. Requests for protection from magistrates jumped 400 percent in the month since Acioli's death, according to the Brazilian Association of Judges. The killing prompted the United Nations special rapporteur on the independence of judges and lawyers, Gabriela Knaul, to urge Brazilian authorities to protect those charged with enforcing the law. "The assassination of Judge Acioli is evidence of the existence of a pervasive and serious problem regarding the protection of judges in Brazil," said Knaul, a Brazilian judge herself. Acioli's caseload was taken on by three other judges. Seven prosecutors are now working with them. "Her death did bring on a fear among prosecutors and judges; they're human, and it's natural to think, 'That could be me tomorrow,'" said Claudio Lopes, Rio state's attorney general. "But if this was done to intimidate justice, it is backfiring. We will be more rigorous than ever." The work is not only dangerous, it's difficult. Militias infiltrate the state from local police departments to state legislatures. They have a particularly nefarious effect on the legal system because they blur the boundaries between legitimate agents of the law and criminals, Lopes said. "They're often composed of people credentialed by the state to promote public safety, and they turn against the state, against the public," he said. "They usurp the authority of the state. In this way, they are a danger that goes deeper than drug traffickers." Even a few years ago, some politicians still praised militias for doing what the state couldn't do: take on drug dealers entrenched in the city's shantytowns. Former Rio Mayor Cesar Maia welcomed them as a "lesser evil" and a form of "community self-defense" against drug gangs, according to the newspaper O Globo in 2006. Current Mayor Eduardo Paes praised militias in a July 2008 interview on Globo television, saying they "brought peace to the population" in areas where the state had lost sovereignty to drug lords. Such views are changing as the body count rises. The 2008 investigation led by Marcelo Freixo, head of the state legislature's human rights commission, led to the arrest of one state representative and six city council members for militia activity. Hundreds were arrested on other charges because of information detailed in the report. One of those arrested, Rio City Councilman Luiz Andre Ferreira da Silva, is accused of plotting to kill the city's police chief and Freixo. In Sao Goncalo, 34 officers were put on leave after Acioli's death because they face serious criminal charges such as murder, according to Rio state's Supreme Court. Arrest warrants have been issued for 28 of them. In spite of the threats to Acioli, court officials had cut her security detail from four to one in 2007, said Tecio Lins e Silva, an attorney representing her family. "This is a matter involving my life, and it is very important," Acioli wrote in a letter appealing the decision. "I don't understand the treatment being given to the case." But the security officers were not reinstated. At the moment she was shot, no one was there to protect her.

'Rogue trader' Kweku Adoboli faces fraud charges dating back to 2008

 

tearful Kweku Adoboli, the alleged rogue trader at the centre of a $2bn (£1.3bn) loss at Swiss bank UBS, appeared before magistrates on Friday to be charged with fraud and false accounting dating back to 2008. A clerk at City of London magistrates court handed the 31-year-old Ghanaian a tissue as the 15-minute proceedings began, after which the one-time star trader was led away to remain in custody until a bail hearing on 22 September. Adoboli's charge sheet appeared to allege that he had taken steps to cover loss-making trades as long ago as 2008. A committal hearing was set for 28 October. The timescale of the allegations will raise questions about risk management procedures at the bank, put intense pressure on the chief executive, Oswald Grübel, and fuel calls from some Swiss politicians for the bank to exit its investment banking business, putting thousands of jobs at risk in the City. Many UBS bankers already fear for their year-end bonuses. Smiling at times, Adoboli spoke only to confirm his name, address and date of birth, while the Swiss bank refused to add anything to the statement it issued on Thursday when it revealed it had called in City of London police at 1am to investigate Adoboli after uncovering "unauthorised trading". British-educated Adoboli – whose passport spells his name as Kwaku – joined UBS in 2006 and was a member of the so-called delta one trading desk, where, among other things, he traded exchange traded funds (ETFs). These complex financial instruments, on which the regulators issued warnings earlier this year, are structured to mimic market movements. His registration with the Financial Services Authority was switched to "inactive" on Friday at the request of the firm – indicating that he is no longer performing that role. Two charges claim that Adoboli falsified records of ETFs between October 2008 and December 2009 and then January 2010 and September 2011. A third charge alleges that he committed fraud between January 2011 and September 2011 while senior trader in global synthetic equities. His lawyers at Kingsley Napley – the law firm that advised Nick Leeson, the rogue trader who broke Barings – did not issue a statement or enter pleas to the charges. His father, John, told Reuters from Tema, Ghana: "I want the world to have an open mind. He should not be sentenced before the trial begins." The former United Nations worker is hoping to fly to the UK this week and is applying for a visa. The City of London police, who arrested Adoboli at his luxury home on the edge of the City at 3.30am on Thursday, said their investigation was continuing, in "close collaboration" with the Financial Services Authority, the Serious Fraud Office and the Crown Prosecution Service. Adoboli's trading activity, by its nature, required him to perform frequent numbers of small trades. One of the last postings on his Facebook page – "need a miracle" – came at around the time the Swiss National Bank intervened to reduce the value of the Swiss franc, which has prompted speculation that this helped expose his losses. The bank, which employs 6,000 staff in London, will now have to pay for a detailed investigation being launched by the FSA and the Swiss regulator, Finma, into the control systems at UBS, the failures that permitted the losses to occur, and details of the unauthorised trading activity. The "comprehensive, independent investigation" will be carried out by one of the big four accountancy firms, although no timescale has been given for when it might be completed. The discovery of the "unauthorised trading" has come at a sensitive time for the City, coinciding as it does with the third anniversary of the collapse of Lehman Brothers and coming after calls from politicians in the UK and Switzerland for the break-up of high street banks to separate "casino" investment banking arms. "It shows that investment banking is a high-risk field and it's important that we clearly separate systemically important functions from the rest of the banking business," said Caspar Baader, of the Swiss People's party. Switzerland's Social Democratic party called for "consequences" such as a ban on "proprietary trading" and replacing "egomaniacal, arrogant and irresponsible managers". Even a year after the banking crisis of 2008, during which Swiss taxpayers contributed to a $60bn bailout of UBS, the nation's banking assets totalled SFr3.47tr – nearly seven times the country's gross domestic product. New laws requiring UBS and Credit Suisse to rein in risk and hoard capital to a higher level than required elsewhere in Europe have already been passed in the first chamber of the Swiss parliament and were debated this week in the upper house, known as the national council. Moves to hive off riskier investment banking and private client operations from those banking functions vital to the smooth operation of the Swiss economy also form part of the legislation, but would not be implemented immediately. Banking analysts believe UBS may now have to scale back its investment banking business and axe even more jobs on top of the 3,500 group-wide cuts announced last month in a bid to save £1.5bn – a similar amount to the losses the bank now fears it faces from the alleged "unauthorised trading". "We are making further cuts in our 2012 profit estimates, as we believe that UBS is set to announce a more streamlined investment banking business strategy in November, with certain business units being closed and additional jobs being lost. This is part of the bank's efforts to address the long-term structural issues within the financial services industry," said Christopher Wheeler, an analyst at Mediobanca. Ratings agencies warned of a downgrade of the bank's credit rating. Standard & Poor's placed the bank on its Creditwatch list, citing factors including the "setback to UBS's efforts to rebuild its reputation and demonstrate strengthened risk-management following its weak performance in 2007-2009", when it almost collapsed during the credit crunch.

Met chief to 'tag and test' drinkers in crime drive

 

Problem drinkers in London could be tagged and given twice-daily tests in a new "total war" on crime. Scotland Yard's new police chief today pledged to take on the capital's binge drinking as he unveiled tough crackdowns on anti-social behaviour, illegal drivers and gangs. Bernard Hogan-Howe, 53, the newly elected Metropolitan Police Commissioner, declared an "uncompromising" war on crime and criminals. His new measures include: Plans to flood the streets with thousands of officers on two days a month in single crime crackdowns. Seizing thousands of uninsured cars from motorists and criminals and putting them on public display. Boosting the Met's fight against gangs with reinforcements for a specialist gang-busting squad. Mr Hogan-Howe also said he backed a US-style crackdown on drink drivers and problem drinkers in which they faced twice-daily sobriety tests and the threat of jail if they continue drinking. Mr Hogan-Howe said the scheme, first introduced in Dakota, could involve people convicted of alcohol-related offences wearing tags or armbands which can detect if they had been drinking. He said : "There are two big aggravating features for any criminal activity, one is alcohol. About 80 per cent of the people in our cells overnight will have a drink issue. The other is drugs." In a frank interview, he also told how he had called in an outside force to carry out an independent review of the Met's investigation into phone-hacking. Mr Hogan-Howe was parachuted into the role of deputy commissioner in July after former chief Sir Paul Stephenson quit in the wake of the scandal. He said : "I have asked another force to have a look at the inquiry to reassure us we are going in the right direction and I think we are." He revealed he had also ordered a full review of the Met's response to the riots and declared he had not ruled out the possibility of using water cannon to "save lives" in possible future unrest. Mr Hogan-Howe won praise for slashing crime as chief constable of Merseyside with a zero tolerance crackdown on criminals dubbed "Total Policing". He said : "It is not just about being gung-ho, it is about helping victims, being professional and using technology." He also pledged to boost the Met's Operation Connect fight against gangs to cover a third of London within the next six months

Man quizzed over UBS rogue trading

 

31-year-old man was arrested in London today in connection with allegations of £1.3 billion of rogue trading at Swiss banking giant UBS. The man, named in reports as Kweku Adoboli, was arrested at 3.30am on suspicion of fraud by abuse of position and remains in police custody, sources said. Related articles Notoriety awaits UBS rogue trader French banks scramble to prove they're strong enough for debt crisis Search the news archive for more stories The bank, which has 6,000 staff in the UK, revealed earlier that a trader had lost two billion US dollars (£1.3 billion) on unauthorised trades and warned that the activity could have tipped the bank to a third-quarter loss. Oswald Gruebel, UBS chief executive, called the loss "distressing" and said he "will spare no effort to establish how it happened". According to his LinkedIn profile, Adoboli works as a director in European equity trading and was previously a trade support analyst at UBS. He was a student at the University of Nottingham, according to his profile on the business networking website.

UBS hit by $2bn rogue trade

 

Matthew Czepliewicz, an analyst at Collins Stewart, said the unauthorised loss cuts his 2011 earnings-per-share estimate for UBS by about 30pc - "a huge hit". He continued: "A loss of this magnitude will very likely have occurred in the FICC (Fixed Incomes, Currencies and Commodities) division, the very division UBS has been systematically rebuilding after shrinking it by 40pc during the credit crisis. That an unauthorised position of this size could have escaped oversight will renew pressure on management to radically scale back the FICC business, a volatile and capital-intensive business overall." He said that his upgrade of UBS to "buy" from "hold" on September 6 "now looks memorable, to say the least", but added: "As large and embarrassing as the loss is, it may in fact drive a positive strategic overhaul of the company. In the meantime, we await further detail on what went wrong and how management will respond." Andrew Lim, analyst at Espirito Santo, said the loss was manageable at group level at UBS. He added: "The $2 billion loss compares to our current estimate for the (third-quarter) group net earnings of 1.1 billion Swiss francs and (full-year estimated) net earnings of 5.1 billion Swiss francs. "The loss is therefore manageable at the group level, but is obviously not helpful for sentiment and confidence in the bank's risk management following the near-death experience of 2008/9." Fiona Swaffield, analyst at RBC, put the loss in context: "Assuming the loss is not revised at CHF1.7bn this is 3.4% of tangible book value end Q2 2011 and CHF0.35ps. Relative to target Basel III risk weighted assets of CHF300bn this is some 44bp. UBS on the most conservative measure has core T1 of 10% forecast end 2012 Basel III pre this and 13% with phased=in deductions. This would fall to 9.8% and 12.4%, respectively, so still respectable and above CS (8.8% on look through Basel III end 2012) but obviously hardly a positive as its strong capital base relative was an attraction." But she added the real issue over and above the financial impact is the reflection on risk management at UBS: "UBS was seen to have recovered significantly from the credit crisis and to have improved its risk management in the investment bank in spite of its struggle to improve returns. This obviously brings this very much into question." Goldman Sachs analysts Jernei Omahen and Peter Skoog wrote in a note: "This loss has the scope to have a material impact on the perception of UBS' private bank, impacting its future operating trends. "Today's announcement therefore adds to the long list of arguments (and pressure) for a substantially smaller investment bank." Louise Cooper, markets analyst at BGC Partners, said: "According to Bloomberg analysts were forecasting about a SFR 7bn or approx £5bn pre tax profit for UBS for the 2011, therefore a £1.3bn trading loss hits full year earnings by about a third." She added: "The jewel in the crown of UBS is its private banking business, producing consistent, quality earnings. An unexpected trading loss could do significant reputational damage to the bank especially given its track record during the crisis (massive recapitalisation and regulatory fines). Rich people tend not to want to do business with a bank where there are questions over risk control. UBS needs to do a good job in explaining what went wrong and assuring its clients that it will not affect them." Joshua Raymond, chief market strategist at City Index, commented: "Whilst the incredible volatility seen recently in the markets would have likely seen some traders lose and win big, the news that a rogue trader was allowed to stack up losses of $2bn will inevitably send nervous shockwaves through to those investors who have only just returned to the bank after a severe loss of confidence. "The Swiss firm has fought hard in the last few years to restore its credibility from having to be bailed out by the Swiss authorities, suffering a large fine for tax evasion and after it agreed to disclose the accounts of thousands of its clients to US tax authorities."

Three bailed over murder of ex-gangster Dave Courtney's stepson Genson Courtney

 

THREE men have been released on bail over the murder of Genson Courtney in Greenwich. Police found Mr Courtney suffering from gunshot wounds in a black Volkswagen Golf at around 10.50pm on July 3 in Banning Street. The 23-year-old, stepson of ex-gangster Dave Courtney, was taken by ambulance to hospital but was pronounced dead at 3.43am. A post-mortem gave the cause of death as gunshot wounds to the head. Three men, aged 28, 34 and 27, who were arrested at addresses in east and south London on suspicion of murder, have been released on bail to return on November 8. Detective Chief Inspector Mark Gower from the Met’s Trident unit is still appealing for witnesses. He said: “I am appealing to anyone who may have seen or heard anything suspicious to contact the police. "I would like to reassure anyone concerned about contacting the police that Trident has great expertise in protecting witnesses and there are a huge variety of measures that can be put in place to protect you."

Heroin back with a vengeance

 

HEALTH experts are calling for more full-time drug and alcohol support services in the the north-west to reduce alarming rates of heroin overdose. The most-recent Ambulance Victoria statistics show Brimbank had the third-highest rate of heroin overdoses attended by paramedics in Victoria. In 2009-10, there were 111 overdoses during the year, compared to 87 in 2008-09. Heroin overdose attendances by paramedics were also up in Melton Shire, with 23 in 2009-10 compared to 10 in 2008-09. The Stepping Up consortium, which runs the only drug and alcohol support service in Melton, has seen about 200 people from the area since opening in January. General manager Shelley Cross said she was initially worried the four-year pilot project wouldn't reach client targets set by the Department of Health. But the service has already surpassed that target. She said the demand for additional services was strong in high-growth areas like Melton. Team leader Raymond Beacham said there was a need for more full-time services. "We're starting to see more clients come in from Caroline Springs and most of our clients use more than one substance," he said. "Melton never really had full-time drug and alcohol services until we came in and it would make it a lot easier for people to access support if there were more full-time services around." Mr Beacham said services provided education to drug users so they were more aware of what they were injecting. "Most overdoses are accidental and they often occur because drug users don't know the strength of what they are using or they're mixing substances. "People who overdose from drugs are at risk of developing brain damage and can die from it." Family members of overdose victims reflected on their loss on Overdose Awareness Day on August 31. Drug and alcohol support service providers, like Health Works in Footscray, held ceremonies to remember people who died of an overdose, as well as those who live with permanent injuries. Head of clinical services at Turning Point Alcohol and Drug Centre in Fitzroy, Dr Matthew Frei, said substance addictions could be associated with conditions like depression and required medical treatment. "There is a certain stigma attached to drug users and people who die from overdose, but we need to encourage drug users to seek treatment to reduce harm to the individual and the community," Dr Frei said.

Woman caught bringing heroin to her prison pal

 

WOMAN pal of a man jailed over a €440m drugs seizure has been caught smuggling €6,000 of heroin into his prison. The middle-aged woman was caught by prison officers last week when she arrived at the Midlands Prison for a visit to Joe Daly (44). He is serving a 25-year sentence after being convicted of possessing the biggest cocaine haul in the State's history -- a seizure of 1.5 tonnes of cocaine at Dunlough Bay in 2007. Prison staff contacted gardai, who then arrested the woman. She was brought to Portlaoise Garda Station where she was questioned by detectives before being released without charge. A file is now being prepared for the DPP. Captured Sources say if the heroin had got into the jail, it would have had a value of "well over four times" the estimated street value that gardai put on the drug. The woman was not allowed to visit English national Daly after being caught with the drugs. Daly and three other English criminals are serving lengthy jail terms for their role in the plot to smuggle €440m worth of cocaine into Ireland in July 2007. Martin Wanden (48), police- killer Perry Wharrie (51), Gerard Hagan (27) and Daly were captured after diesel, instead of petrol, was put into the fuel tanks of their boat, which was carrying the drugs off the coast of Co Cork. When the vessel capsized, 62 bales of cocaine weighing over 1.5 tonnes were thrown into stormy seas, scuppering a huge drugs operation that had been months in the planning. Liverpool criminal Hagan admitted his role in the enterprise and was jailed for 10 years. However the other three men contested the charges but were convicted after a marathon 10-week trial at Cork Circuit Criminal Court which heard from 200 witnesses. Two of the defendants claimed in direct evidence that they were entirely the victims of circumstances, coincidence and bad luck. Joe Daly said he had only gone to west Cork as a favour for his brother, who had wanted a RIB delivered. But it would later emerge that Joe Daly's brother was Michael Daly (50) -- a former Metropolitan Police detective who is now serving combined sentences totalling 29 years in a UK prison in relation to the Co Cork plot and another cocaine importation plot. Gardai believe that Joe Daly became involved in the drugs smuggling operation through his older brother, Michael. Daly presented a defence that depicted him as very much under the influence of the brother. Children Born in London to Irish parents from west Cork, Daly worked as a bricklayer with his own business, JD Bricklaying, is married with three children and lived in Bexley, Kent. It emerged that he had a number of previous convictions in the UK for offences including threatening and abusive behaviour, assaults on police officers and possessing a blade. During the trial, his uncle, Tom Lydon, told how Daly visited him on the day before the drugs seizure and watched the Munster football final between Cork and Kerry on TV. He described him as very obliging -- "the first man to come around" if anyone needed help.

shut down drive-through drug operation near University Mall, expect more arrests

 

One by one, motorists arrived, rolling down windows and giving up cash, as they would at a fast-food restaurant. This drive-through opened at 11 a.m. some days, but lunch was never on the menu. Instead, customers could order cocaine, oxycodone, ecstasy and marijuana. Guns, too. At a news conference Wednesday, the Hillsborough County Sheriff's Office announced that it had broken up a drug trafficking ring that caught even investigators by surprise. About 11 months ago, deputies began building cases against two men reputed to be dealing drugs in a neighborhood near University Mall. Investigators thought Zavien Brand, 28, and Joseph Nurse, 35, might lead them to a few more people, maybe six or eight, said sheriff's Maj. J.R. Burton. But the small undercover probe soon turned into a larger investigation — dubbed Operation Pandora's Box — as deputies realized the area's loose-knit group of dealers included dozens of people. On Wednesday, sheriff's officials announced they had 54 warrants and, as of 4 p.m., 32 arrests, most on drug and gun possession charges. "We had no idea this was going on," Burton said. They focused on several addresses in the neighborhood near Nebraska and Fletcher avenues. The drive-through was at the Pines I Apartments at 11720 N 14th St., deputies said. Deputies took 29 guns off the street, including seven assault rifles and two weapons believed to be linked to shootings in the area. Also seized: about 1.3 pounds of crack cocaine, 0.64 ounces of powder cocaine, 0.25 ounces of oxycodone and some ecstasy — valued at about $75,000 total, Burton said. Burton hopes the operation sends a message to an area that has long struggled with crime, and he wants residents to know that deputies aren't done. Brand was charged with dealing crack cocaine and being a felon in possession of a gun. Nurse was charged with dealing crack cocaine, marijuana and stolen property. Deputies planned to continue executing search warrants until they arrest all 54 suspects.

DEA Bans Synthetic Cocaine Masked As Bath Salts

 

The U.S Drug Enforcement Agency's war on drugs continues with a nationwide ban of synthetic cocaine. Labeled as bath salts, the hallucinogenic drug has become more available in the Grand Junction area as part of a trend seen across the country. In response to increased emergency room visits, the federal agency has moved to emergency control these synthetic stimulants. This action makes it illegal to possess or sell Mephedrone, Methylenedioxypyrovalerone (MDPV), and Methylone or any products containing them for the next year. These chemicals are most often found in forms of 'legal ecstasy' or 'legal cocaine.' During the temporary ban, the DEA will team up with the U.S. Department of Health and Human Services to further study whether these chemicals should be permanently banned. In June, we introduced you to these bath salts in this article. Back then, they were an unregulated drug taking the place of recently banned synthetic forms of marijuana. "It is actually like a synthetic cocaine slash methamphetamine," Jim Schrant with the DEA told us at the time. "So, it's really the worst of both." The bath salts sell at a price of $40 per gram. They are mainly sold at smoke shops. But, in June, Schrant told us that his agency could not find any local dealers. Today, there are at least two. "They're putting it into packaging which is pleasing to the eye with market names of "Blue Dreams," things like that," Schrant said. "And, they're intentionally trying to target that young adult crowd." As part of this emergency control, businesses and citizens have 30 days to get rid of the banned products. At that time, the DEA will publish a Final Order in the Federal Register making the drugs Scheduled 1 substances. That category is the harshest and is reserved for unsafe, highly abused chemicals with no known medical use in the U.S. Violating that law is punishable by jail time. Employees at smoke shops in the area tell us that synthetic cocaine isn't that popular. But, local high school students have heard all about it. "I don't think they care if it's legal," Grand Junction High School freshman Hannah Rady said of some of her classmates. "Nobody does." Just like K2 and Spice, bath salts are labeled "not for human consumption." But, these students say that is not stopping anyone and neither is the law. "People just ask me 'Have you done spice before?' I'm just like, 'No,'" GJHS freshman Emilio Lazcano said. He knows Governor John Hickenlooper made those forms of synthetic marijuana illegal starting July 1, but he says fellow classmates continue to tell bother about it. "They're like 'Oh, well you're supposed to smoke it like this and that,' and I'm like 'Oh, well cool. I'm not really into that stuff.'" "They tell us that it doesn't make their eyes red, so it's way easier to bypass by your parents," GJHS junior Joe Gedscad added. The most common symptoms of these synthetic stimulants include impaired perception, reduced motor control, disorientation, extreme paranoia, and violent episodes. The DEA says the long-term physical and psychological effects are not known but potentially severe. Including Colorado, 33 states have already taken action to control or ban other synthetic stimulants. Most states pass these laws after the DEA files an emergency control on certain chemicals.

South London men face furniture drug smuggling charges

 

Six men have gone on trial accused of conspiring to smuggle more than £2.5m of cocaine into the country. Kevin Hill, 27, of Cartmel Gardens, Morden, Wayne Smith, 19, of Westmoreland Way, Mitcham and Carl Charles, 33, of Yorkshire Road, Mitcham, face charges of attemtping to import 13.5kg of the drug. Three other men Craig Hughes, 35, from Orpington, Conrad Crandon, 55, from Edmonton and Terence Tremblett, 32, from Brixton, also face the same charge. The offences date back to October and November, in 2009, when border agency officers at Tilbury Docks, in Essex, flagged up a container holding a number of items of wicker furniture and brush mats. After closer inspection, the jury heard, the officers found the brush mats had been injected with cocaine which, when separated, came to a total of more than £2.5m. Simon Wild, prosecuting, told the court that a respectable removal firm, called Grants of Cheam, based in Coomber Lane, Croydon, had allegedly received a phone call from a Keith Thompson in late October, 2009, who said he wanted to store a shipment. Grants of Cheam, unknowingly, agreed to take on the shipment but they did not hear from Mr Thompson for two weeks, the court heard. On November 10, 2009, Mr Thompson allegedly arranged for the furniture and mats to be delivered and they arrived that day. There followed a series of arrests after the items had reached Croydon and all six men were charged with conspiracy to smuggle, which they all deny. The trial, which started at Croydon Crown Court on Wednesday (September 7), is expected to last three weeks.

Illegal alcohol find ‘one of the UK’s largest seizures’

 

A QUARTER of a million pounds worth of illegal alcohol has been seized in a raid in Glasgow. Officers from HM Revenue & Customs (HMRC) took the illegal alcohol and dismantled an alcohol relabeling factory after a two-day operation and have claimed the seizure is one of the largest in the UK. A Glasgow man has been charged with evasion of duty following the discovery last week.

Madeleine Cops In Portugal

 

They may not have welcomed the order from Downing Street to launch an investigation into Madeleine McCann's disappearance, but at least Scotland Yard detectives have made a first visit to Portugual. I can't imagine they were given a warm welcome by their Portuguese colleagues whose work (failure to solve the mystery) the Met team is reviewing. Still, it's a step in the right direction and officially the two groups met "with very good co-operation and liaison will continue." There are 30 Met officers - the equivalent of a murder squad - working on the review and I'm told that a senior officer is having to give regular spending updates to the Home Office which is funding an operation that will cost several millions and last many months. It's four months since the review was launched with great fanfare by the Prime Minister after a plea from Kate and Gerry McCann. The couple had long felt abandoned by the British and Portuguese authorities to hunt alone for their missing daughter. But it's difficult to get much information about the operation from the cops, No 10 or the Home Office. A recent Freedom of Information request for answers to a dozen of so questions has been held up by the Yard's FOI man while he considers if the info sought is in the public interest.

Zemun gangsters enter pleas in PM murder case

 

Addressing the Special Court in Belgrade, Kalinić confirmed that the shooter was Zvezdan Jovanović. Jovanović has already been found guilty and convicted on the charge, along with Milorad Ulemek Legija, who was tried as the main conspirator. "After the murder I was sitting with Jovanović and (one of Zemun Clan leaders) Mile Luković Kum, and we were watching TV when Jovanović said, 'I guarantee that he is not alive'," Kalinić told the judges as his retrial in the Đinđić murder case started on Monday. He also claimed that Luković told him that "Zveki (Zvezdan Jovanović) bumped off the prime minister", and that Jovanović himself confirmed this. But Kalinić denied that he had any role in the assassination, and told the judges he was "asleep" when the murder took place on March 12, 2003, and that Luković "called him around 13:00". He confirmed that he was acquainted with Jovanović since 1993, that he "saw Milorad Ulemek (Legija) once in Bosnia", and that he met the Zemun Clan leader Dušan Spasojević, "a couple of years before the murder of Đinđić". Kalinić also denied that he was a member of the Zemun Clan. Another gangster that spent years on the run after the assassination, Miloš Simović, was in the courtroom for the start of his retrial in the case. Both were originally found guilty and each sentenced in absentia to 30 years in prison, but the retrial was granted on grounds that they were "tried in absentia". Unlike Kalinić, Simović admitted to taking part in the murder, and said he "also knew about the political background", but refused to elaborate on this point. Last June, Simović shot and wounded Kalinić in Zagreb, Croatia, and was arrested several days later while attempting to cross the border between into Serbia. Kalinić was arrested in Croatia and later extradited to Serbia.