July 26, 2010 Nº 936 - Vol. 8


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The reason that so few people think outside the box is that all the pay and benefits are inside the box."

Insider's view: see how local concerns shape up the global world. Read the daily press review in Migalhas International.

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  • Top News

Seven EU banks fail stress tests

Seven of the 91 European banks that underwent stress tests have failed the healthchecks, the Committee of European Banking Supervisors (CEBS) has said. They include five Spanish banks - Diada, Espiga, Banca Civica, Unnim and Cajasur. The other two were Germany's Hypo Real Estate and Greece's ATEbank. The tests assessed banks' ability to survive future economic shocks. The stress tests were conducted on a bank-by-bank basis, in a move designed to reassure investors over the health of Europe's financial sectors. The most severe test looked at an adverse scenario, assuming a "double-dip" recession over the next two years, as well as a sovereign debt shock - some kind of financial crisis for European governments such as Greece. The seven banks failed because in this scenario, it was deemed that their "tier one" capital ratios - the strictest measure of capital - would fall below 6%, the threshold set for the test. In its report revealing the aggregate outcome of the tests, CEBS said that the 6% threshold was used as a "benchmark solely for the purpose of this stress test exercise".

Under new financial reform law, most hedge and private equity fund advisers must register with SEC

The financial reform law signed into law by President Barack Obama on July 21 targets a sector that has previously escaped vigorous government scrutiny — hedge funds and private equity funds. Wilmer's Thomas Beaudoin discusses the types of companies that are subject to the law, what it means for overseas private advisers and the law's impact on attorneys.

International Arbitration Express

Goa to be an International Arbitration centre

Goa is all set to get Paperless Court, and an International Arbitration Centre to make it foremost destination of arbitration cases in India. Goa will get the distinction of being the centre of international arbitration along with few more cities in the country. "We would like to support effort of Goa chief minister to make the state preferred destination for international mediations," Union Law Minister Moily said. "Our country should be most preferred destination for arbitration. In Delhi we have excellent mediation centre. We also want to upgrade mediation centres in Ahmabad, Mumbai and Bangalore so that they become centre of international arbitration," he added. Moily also sought cooperation of Chief Justice, Judges and legal luminaries of High courts, District Court and other courts in reducing the large number of pending cases in various courts in the country in next four to five years. There were still big gaps in the information available. Half of the 14 German banks that underwent stress tests, including Deutsche Bank and Postbank, by Sunday had not published their holdings of government debt. The lack of disclosure will certainly raise more questions about why the banks did not release the information. Analysts were also critical of authorities' refusal to test banks' ability to survive a default by Greece on its debt. Many analysts consider a default or restructuring inevitable, while officials insist it is unthinkable. Investors and analysts were also critical last year when the United States conducted stress tests of its banks. But eventually the tests achieved their goal of restoring confidence. Investors and analysts were also critical last year when the United States conducted stress tests of its banks. But eventually the tests achieved their goal of restoring confidence.

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  • MiMIC Journal

China's stocks drop for first time in six days on lending risks

China's stocks fell for the first time in six days on speculation banks won't recoup their loans to local governments and that gains for cyclical stocks were excessive given the outlook for slowing economic growth.

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  • Brief News

Khmer Rouge leader convicted

A U.N.- backed tribunal found a key leader of Cambodia's notorious Khmer Rouge regime guilty of crimes against humanity and sentenced him to 35 years in prison, marking its first successful prosecution after more than a decade of work to bring the group's top officials to justice.

Chile president rules out pardon for military abuses

Pinera has rejected a plea by the Roman Catholic Church that he pardon members of the armed forces over human rights abuses committed during military rule. He said the proposal had caused division in Chile and reopened old wounds. He said there could be no pardon for serious offences such as murder and crimes against humanity.

Chavez threatens US oil cut over Colombia row

Chavez has threatened to halt oil exports to the US if his country is attacked by Colombia - a close US ally. The threat comes amid an escalating dispute over allegations that Venezuela is harboring Colombian rebels. Chavez broke diplomatic ties with Colombia last week and put his army on high alert. Venezuela is America's fifth biggest source of imported oil, supplying about a million barrels a day.

Mexico prisoners 'freed for killings' in Durango state

Gunmen who killed 17 people at a party in northern Mexico earlier this month were let out of prison to carry out the attack, state prosecutors say. Guards at a prison in Durango state are accused of lending the inmates weapons and vehicles to commit the murders in neighboring Coahuila state before returning them to their cells. The same group of prisoners are thought to have carried out other killings. The prison director and at least two other officers are under investigation.

BP chief Tony Hayward 'set to stand down'

BP's chief executive Tony Hayward is expected to stand down following widespread criticism of his handling of the Gulf of Mexico oil spill.

Finance, compliance lawyers in high demand

The clamor for legal talent specializing in financial services and compliance has resulted in higher salaries and rising business costs for law firms in Singapore. According to recruitment consultancy firm Robert Walters, salaries for finance and compliance lawyers in local law firms are expected to rise between 10 and 20 per cent this year. That is because these lawyers are in high demand as the global economy recovers and are expected to perform legal work on more complex financial products. Meanwhile, there is an increasing need for compliance work as well, due to greater regulatory pressures.

Madoff investors brace for lawsuits

The court-appointed trustee recovering money for Madoff's victims is preparing a wave of new lawsuits seeking to wrest funds away from investors who also were duped by the Ponzi scheme. In an interview, Irving Picard said he could wind up suing about half the estimated 2,000 individual investors he has called "net winners" from their dealings with Madoff. Such investors withdrew more from Madoff's firm than the amount of principal they invested. Picard must file any so-called clawback lawsuits by December, the two-year anniversary of Madoff's arrest and the filing of regulatory proceedings against him.

Chicago sighs as Blagojevich finally stops talking

The spectacle that is the Rod Blagojevich political corruption trial is winding down — and much sooner than expected. Closing arguments are scheduled to begin Monday. The former Illinois governor is charged with fraud, bribery, racketeering and conspiracy, among other charges. This past week, the defense rested its case without calling a single witness — not even the former governor himself, despite Blagojevich's repeated promises that he would testify.

Dutch court fines oil trading company for dumping hazardous waste in Africa

The Amsterdam District Court on Friday fined oil trading company Trafigura 1 million euros (USD $1.28 million) for shipping hazardous waste to the Netherlands and illegally exporting the waste to the Ivory Coast in 2006. The company chartered a ship, the Probo Koala, to deliver and unload acidic and corrosive fuel refining waste in the Netherlands, but had it pumped back onto the ship due to processing costs. The company then agreed to pay an Ivory Coast contractor to dispose of the waste in 17 sites in the city of Abidjan. Prosecutors alleged the waste was responsible for widespread illness in Abidjan, including 15 deaths. The company was acquitted of forgery charges for concealing the nature of the chemical waste before the ship arrived in the Netherlands. Laywers for the company believe Judge Frans Bauduin applied the incorrect treaty in finding that exporting the waste to Ivory Coast was illegal, arguing that the Marine Pollution Treaty applied, under which such exportation was legal.

Turkish PM suggests change to army law associated with coups

Turkish Prime Minister Recep Tayyip Erdogan on Saturday stated his willingness to consider changes to a law that allows the military to interfere in domestic matters. Article 35 of Turkish Armed Forces Services Law, which gives the military the authority to intervene in domestic affairs in certain situations, has been used in the past to justify military coups, including the 1980 Turkish coup. Opponents of Article 35 say the law is authoritarian and warn that it could be used to justify future coups within the country, while supports contend that the law allows the military to fulfill its role as the protector of a secular government. Erdogan indicated he was willing to consider changing the law at a speech being held as part of a campaign to garner support for a nationwide referendum on a series of constitutional amendments which is scheduled to be held in September. The proposed amendments were approved by the Turkish Grand National Assembly in May, but a portion of the reforms aimed at limiting the power of the judiciary and bringing the judiciary and military under government control were ruled unconstitutional by the Turkish Constitutional Court earlier this month. Supporters of the reforms, which include allowing civil courts to try military officers as well as expanded labor union rights and consumer protects, state that they are required for Turkey's admission to the EU. Opponents, however, contend the reforms are meant to consolidate power and to bring the traditionally secular judiciary and military under control of the government. Criticism of Erdogan's ruling Justice and Development Party (AKP) has been growing, and many see Erdogan's support for the change in the law as a way to build broader support for the referendum vote.

Website releases secrets on Afghan war

Thousands of secret military documents released by Wikileaks, a Web-based organization, appeared to present a bleak view of the Afghanistan war, and could have a profound impact on public perception.

Health law augurs funds shift to young

The new health care law changes how the government spreads its social safety net, by tapping a program for the elderly to help provide insurance to 32 million Americans of younger generations.

Judge approves discovery agreement in Toyota MDL

The judge in the multidistrict litigation against Toyota Motor Corp. over sudden unintended acceleration approved a joint discovery plan on Tuesday, forestalling a fight over access to evidence. The agreement allows Toyota's lawyers to investigate the vehicles at issue and plaintiffs' attorneys to depose executives about the automaker's electronic throttle control system.

DOJ: No criminal charges in U.S. Attorney firings

Nora Dannehy, the special prosecutor tapped to investigate potential criminal violations tied to the removal of nine U.S. attorneys, has wrapped up the probe with a finding that no criminal charges be filed, the Justice Department announced in a letter to Congress.

Public interest groups file U.N. complaint over U.S. IP policy

Nineteen public interest groups filed a joint complaint with the United Nations about a U.S. program that pressures developing countries to adopt intellectual property rules that, the groups claim, limit access to affordable medicines yet are not required by any international agreement.

FTC asks D.C. circuit to apply 'red flag' rules to lawyers

The Federal Trade Commission urged a federal appeals court not to exempt lawyers from generally applicable business regulations again.

Federal judge blocks Arizona law denying benefits to domestic partners

A judge for the US District Court for the District of Arizona on Friday granted a preliminary injunction against an amendment to an Arizona law regarding health benefits for the families of state employees. The amendment, added as subsection O, would remove language from the law allowing interdependent domestic partners to receive health benefits by changing the definition of "dependent" to include only married couples and their children, effective October 1, 2010. The state employees argue that the amendment violates their rights to equal protection and substantive due process and that the amendment has no rational relationship to a legitimate state interest. In his order, Judge John Sedwick granted the preliminary injunction, finding that the plaintiffs met their burden of showing that their case would be likely to succeed on the merits and that they would suffer irreparable harm without the injunction. He also found the state's arguments that the amendment served the state interest of cost savings and administrative efficiency to be "speculative at best and discriminatory at worst."

  • Weekly Magazine Review

Time

The Case Against Summer Vacation. It's an outdated legacy of the farm economy. Adults still romanticize it. But those months out of school do the most damage to the kids who can least afford it.

Newsweek

The Pentagon Papers, Redux. The WikiLeaks scoop on Afghanistan, a modern day version of the Pentagon Papers, is going to ignite a very loud debate about the efficacy and morality of the war.

Business Week

Amber Waves of Pain. Lured by the idea of profiting from raw materials, investors put $277 billion into commodity ETFs and related securities by the end of 2009. Then they noticed a problem: When commodities go up, the commodity ETFs often don't.

The Economist

Why America locks up too many people. America locks up too many people, some for acts that should not even be criminal.

L'express

Bettemcourt mère et fille. L'histoire d'une haine.

Der Spiegel

TASK FORCE 373 - Die Afghanistan-Protokolle: Amerikas geheimer Krieg.

  • Daily Press Review

Khmer Rouge prison chief convicted
Al Jazeera, Doha, Qatar

Four Gaza Rockets Hit Southern Israel: Army
Asharq Al-Awsat, Pan-Arab daily, London, England

Sharjah campaign in place for food safety during Ramadan
Gulf News, Independent daily, Dubai, United Arab Emirates

More than 90,000 classified documents on U.S. war in Afghanistan leaked to media
Haaretz, Liberal daily, Tel Aviv, Israel

Once Upon a Time, When Israel Was a Democracy
IPS Middle East, International cooperative of journalists, Rome, Italy

Gaza's ancient treasures discovered
JPost, Conservative, Jerusalem, Israel

Big rise in dud cheques
Khaleej Times, English-language daily, Dubai, United Arab Emirates

RTA: Facilities on water taxis in Dubai justify the fare
Middle East North African Network, Online financial portal, Amman, Jordan

Khmer Rouge Chief Jailer Gets 30 Years in Prison
Nahamet, Online news portal, Beirut, Lebanon

Panel formed on Lebanon poll law
Saudi Gazette, English-language daily, Riyadh, Saudi Arabia

Tehran ready for nuclear talks after Ramadan
The Daily Star, Independent daily, Beirut, Lebanon

Turkey, Iran, Brazil to discuss nuclear swap deal
Times of Oman, English-language daily, Muscat, Oman

Al-Qaeda kills six Yemeni soldiers in Shabwa
Yemen Observer, Sana'a, Republic of Yemen

The OPEC Fund for International Development Scholarship
Yemen Times, (Independent weekly), Sana'a, Republic of Yemen

Leaks 'reveal Afghan war details'
BBC News, Centrist newscaster, London, England

No separating Galway and Dundalk
BreakingNews.ie, Online news portal, Cork, Ireland

Khmer Rouge jailer gets 19 years
Daily Express, Conservative tabloid, London, England

Nurse stabbed to death in hospital car park
Daily Mail, Conservative daily, London, England

Kip Meek confirmed as Project Canvas chairman
DMeurope, Online news portal, Amsterdam, Netherlands

CAMBODIA: Khmer Rouge prison chief 'Duch' found guilty
France 24, Issy-les-Moulineaux, France

Simple, loving homegrown: The Kaya Village Garden Restaurant in Southern Turkey
Hurriyet Daily News, (Liberal, English-language), Istanbul, Turkey

Get Free Delivery At Miss Selfridge
Look Magazine, London, England

Wild Caldbeck ponies to be returned to owner's widow
News & Star, Independent daily, Carlisle, England

U.S., South Korea Hold Military Exercises
Radio Free Europe, Prague, Czech Republic

Latest Score From BP: Svanberg 1 Hayward 0
Sky News, Independent newscaster, Middlesex, England

Task Force 373 and Targeted Assassinations: US Elite Unit Could Create Political Fallout for Berlin
Spiegel International, Liberal newsmagazine, Hamburg, Germany

Massive leak of secret files exposes the real war in Afghanistan
The Guardian, Liberal daily, London, England

US drone attacks kill 28 in Pakistan border area
The Independent, London, England

Secret Afghan war papers leaked online
The Irish Times, Centrist daily, Dublin, Ireland

Putin Sings With Deported Spies
The Moscow Times, Independent daily, Moscow, Russia

Killer Moat's confession in full
The Sun, London, England

Brittany Murphy: web rumours mould killed her
The Telegraph, London, England

Ships return to BP oil well to restart drilling after Gulf of Mexico storm passes
The Telegraph, Conservative daily, London, England

Six of world's best wild-water swims
Times Online, Conservative daily, London, England

President SBY asks ulemas to improve national morality
Antara News, News agency, Jakarta, Indonesia

Taipei properties worth NT$13 bil. to be auctioned off
China Post, English-language daily, Taipei, Taiwan

10th Seoul International Financial Forum Kicks Off
Chosun Ilbo, Conservative daily, Seoul, South Korea

Voting begins in Sargodha PP-34 by-polls
Dawn, English-language daily, Karachi, Pakistan

CNPC to build Xinjiang as China's largest oil & gas base
Gazeta.kz, Official online newspaper, Kazakhstan

Leaks show unreported Afghan deaths: Papers
Hindustan Times, New Delhi, India

CRPF eliminates 6 Naxals in WB encounter
India Express, News portal, Mumbai, India

Speeding car runs over 4 in Delhi
India Times, Conservative daily, New Delhi, India

No reason not to intervene
Japan Times, Independent centrist, Tokyo, Japan

Tow-truck driver, despatch clerk jointly charged with raping underaged girls
Malaysian Star, Online news portal, Selangor Darul Ehsan, Malaysia

Khmer Rouge prison chief 'Duch' guilty
New Zealand Herald, Conservative daily, Auckland, New Zealand

Commander surrenders
Pajhwok Afghan News, (Independent news agency), Kabul, Afghanistan

Bolivia calls Unasur meeting to solve Colombia-Venezuela crisis
People's Daily Online, English-language, Beijing, China

Its official: ISI 'hand-in-glove' with Afghan Taliban in organizing attacks on US soldiers
Sify News, Chennai, India

Hurricane blew himself away
Sydney Morning Herald, Centrist daily, Sydney, Australia

U.S. comments on South China Sea island chains are an 'attack': China
Taiwan News, English-language daily, Taipei, Taiwan

New design helps disabled with online gaming
Taiwan Today, Government Information Office, Taipei, Taiwan

ISI runs, controls network of suicide bombers in Afghanistan
Thaindian News, Bangkok, Thailand

Shah arrested, sent to judicial custody
The Hindu, Left-leaning daily, Chennai, India

BP CEO on way out: U.S. official
Canadian Broadcasting Centre, Toronto, Ontario

Free meds for Bahamians
Caribbean360, Online news portal, St. Michael, Barbados

Dengue fever alert
Cayman Net News, Online news portal, George Town, Cayman Islands

Fernandez back from Cuba in successful outing
Dominican Today, Independent daily, Santo Domingo, Dominican Republic

ECONOMY: Latin America Grows Despite Global Uncertainties
IPS Latin America, International cooperative of journalists, Rome, Italy

New twist to 'Dudus' case
Jamaica Gleaner, Independent daily, Kingston, Jamaica

The Black Eyed Peas to visit Lima, Peru on Latin America tour
Living in Peru, News portal, Lima, Peru

Facts on ground paint darker portrait of Afghan war
The Globe and Mail, Centrist daily, Toronto, Canada

Khmer Rouge prison chief sentenced to 35 years in jail
Toronto Star, Toronto, Ontario

Disaster waiting to happen
Trinidad Guardian, Independent daily, Port-of-Spain, Trinidad

Uganda leader urges Somali action
BBC News, Centrist newscaster, London, England

Huge DR Congo gold mine to open, displacing 15,000
CongoPlanet.com, Independent online news aggregator

Ghana High Commissioner Rebunks Story
GhanaWeb, Online news portal, Amsterdam, Netherlands

BP chief set for speedy exit
iafrica, Online news portal, Cape Town, South Africa

Chikane in ANC's line of fire
Independent Online, News portal, Cape Town, South Africa

Haile Gebrselassie receives Honorary Degree from Addis Ababa University
Jimma Times, Online news portal, Jimma, Ethiopia

Boks must dig deep, says Smit
Mail & Guardian Online, Liberal, Johannesburg, South Africa

Tragic end to young pilot's joy
News24.com, Online news portal, Cape Town, South Africa

Ugly weekend: 7 die, 3 injured in Lagos
Vanguard, Independent daily, Lagos, Nigeria

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