Braun says he used Fla clinic owner as consultant


NEW YORK (AP) — Milwaukee Brewers slugger Ryan Braun said he used the person who ran the Florida clinic under investigation by Major League Baseball only as a consultant on his drug suspension appeal last year.


"I have nothing to hide," Braun said in a statement released by his representatives to The Associated Press on Tuesday night.


Earlier in the day, Yahoo Sports reported the 2011 NL MVP's name showed up three times in records of the Biogenesis of America LLC clinic. Yahoo said no specific performance-enhancing drugs were listed next to his name.


The Miami New Times recently released clinic documents that purportedly linked Alex Rodriguez, Gio Gonzalez, Melky Cabrera and other players to purchases of banned drugs from the now-closed anti-aging center.


Rodriguez and Cabrera were on the list with Braun that also included New York Yankees catcher Francisco Cervelli and Baltimore Orioles infielder Danny Valencia.


Braun said his name was in the Biogenesis records because of an issue over payment to Anthony Bosch, who ran the clinic near Miami.


"There was a dispute over compensation for Bosch's work, which is why my lawyer and I are listed under 'moneys owed' and not on any other list," Braun said.


"I have nothing to hide and have never had any other relationship with Bosch," he said. "I will fully cooperate with any inquiry into this matter."


On Tuesday, MLB officials asked the Miami New Times for the records the alternative newspaper obtained for its story.


Asked specifically about Braun's name in the documents before the five-time All-Star released his statement, MLB spokesman Pat Courtney said: "Aware of report and are in the midst of an active investigation in South Florida."


Braun tested positive during the 2011 postseason for elevated testosterone levels. He maintained his innocence and his 50-game suspension was overturned during spring training last year when arbitrator Shyam Das ruled in favor of Braun due to chain of custody issues involving the sample.


With that, Braun became the first major leaguer to have a drug suspension overturned.


"During the course of preparing for my successful appeal last year, my attorneys, who were previously familiar with Tony Bosch, used him as a consultant. More specifically, he answered questions about T/E ratio and possibilities of tampering with samples," Braun said.


The T/E ratio is a comparison of the levels of testosterone to epitestosterone.


Braun led the NL in homers (41), runs (108) and slugging percentage (.595) last season while batting .319 with 112 RBIs and 30 stolen bases. He finished second to San Francisco catcher Buster Posey in MVP balloting."


Cervelli, who spent nearly all of last season in Triple-A, posted a statement on Twitter later Tuesday night.


"Following my foot injury in March 2011, I consulted with a number of experts, including BioGenesis Clinic, for (cont)," Cervelli posted, "(cont)legal ways to aid my rehab and recovery. I purchased supplements that I am certain were not prohibited by Major League Baseball."


An email sent to Valencia's agent was not returned.


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Economic Scene: Immigration Reform Issue: The Effect on the Budget





The stars could hardly have shone brighter on the prospects for immigration reform than in the early months of 2007.




The coalition pushing for change included the oddest of bedfellows — roping together business groups like the United States Chamber of Commerce with the Service Employees International Union, the fastest-growing union in the country. It had an impeccable bipartisan pedigree, including President George W. Bush and Senator Jon Kyl, a staunchly conservative Republican, as well as the Democrats’ liberal lion, Senator Ted Kennedy.


The economy was growing. The unemployment rate was at its lowest level since the dot-com bubble burst six years before. And the flaws of our immigration laws — impotent to stop a river of unauthorized immigrants drawn across the border by job opportunities — were obvious to all.


Immigration reform, however, was not to be.


Immigrants’ rights groups balked at the hurdles put in immigrants’ path toward legalization. The A.F.L.-C.I.O. hated a provision creating temporary work visas, arguing that it was a license for businesses to bring in cheap foreign labor. Then, a Senate Democrat, Byron Dorgan, offered the coup de grâce with an amendment to phase out the worker visa program after five years. Though proposed at the behest of organized labor, the amendment got the support of some of the most anti-union Republicans in the Senate. And it killed the entire enterprise, stripping away corporate America’s main reason to support a deal.


Today, the economy is not growing much. Unemployment remains stubbornly high. Yet President Obama thinks the stellar alignment may be  better than six years ago. He is proposing a wholesale change to the same flawed immigration laws. He trusts that Republicans, who lost the Hispanic vote by an enormous margin in November, cannot afford to further alienate Hispanics by voting against their top priority.


Despite the strong case for an overhaul, however, changing our immigration laws may be tougher than the president appears to believe. While we may have overcome some of the obstacles of 2007, reform will probably face deep-seated opposition from many Americans — including most conservative Republicans — to what they will view as a potentially large expansion of welfare.


President Obama’s proposal is based on principles similar to those of the 2007 attempt: a path to citizenship for millions of illegal immigrants in the country, a legal channel for future immigrant workers and their families, and a plan to better enforce the nation’s borders and immigration laws.


Yet immigration reform today means something quite different than it did in 2007. Notably, the elements needed to stop the flow of illegal immigrants north are much less important to the enterprise. The Obama administration has already spent huge amounts of money on border enforcement. Today, border policing costs about $18 billion a year — nearly 50 percent more than it did in 2006. And deportations have soared. What’s more, illegal immigration has slowed to a trickle, as Mexico has grown more robustly than the United States. The illegal immigrant population has even been shrinking in the last few years. And it may continue to do so as the Mexican population of prime migration-age people stops growing.


Also, many employers have already gotten some of what they wanted: the number of workers entering the United States on temporary visas for low-end jobs in agriculture and other industries has increased sharply.


“The discussion is in a different environment,” said Gordon H. Hanson, an expert on the economics of immigration at the University of California, San Diego. “The flow of new immigrants is not the story anymore.”


This might help the cause of reform in some ways. It could allow the discussion about work visas to focus on the highly educated workers coveted by technology companies and pre-empt the kind of argument between business and labor over visas for cheap immigrant workers that sank reform in 2007. The A.F.L.-C.I.O., for instance, has heartily embraced President Obama’s plan.


But what supporters of an overhaul of immigration law seem to be overlooking is that these very changes could also make it more difficult to build a coalition across the political divide. If reform is mainly about granting citizenship to 11 million mostly poor illegal immigrants with relatively little education, it is going to land squarely in the cross hairs of our epic battle about taxes, entitlements and the role of government in society.


It’s hard to say with precision what impact offering citizenship would have on the budget, but the chances are good that it would cost the government money. Half to three-quarters of illegal immigrants pay taxes, according to studies reviewed in a 2007 report by the Congressional Budget Office. And they are relatively inexpensive, compared with Americans of similar incomes. Their children can attend public schools at government expense — putting a burden on state and local budgets. But they are barred from receiving federal benefits like the earned-income tax credit, food stamps and Medicaid. Only their American-born children can get those.


Government revenue might not change much with legalization. Most illegal immigrants who don’t pay taxes probably work in the cash economy — as nannies or gardeners — where tax compliance among citizens is low. Costs, of course, would increase. Once they became citizens, immigrants would be entitled to the same array of government benefits as other Americans. For Social Security and Medicare alone, offering citizenship to illegal immigrants would mean losing a subsidy worth several billion dollars a year in payroll taxes from immigrants who can’t collect benefits in old age.


The White House and other backers of reform have made much of a 2007 Congressional Budget Office analysis concluding that the failed immigration overhaul would have increased government revenue by $48 billion over a decade while adding only $23 billion to direct spending on entitlements and other programs. But the report also said that including the costs of carrying out the new law would actually increase the budget deficit by $18 billion over the decade and several billion a year after that. What’s more, it noted that most of the expected new tax revenue came from new immigrant workers, not from the newly legalized population.


Our history suggests we could have much to gain by turning illegal immigrants into citizens and putting an end to unauthorized immigration. The last time we permitted illegal immigrants to legalize, in 1986, incomes jumped for those who took advantage of the opportunity. Their children became more proficient in English and completed more years of school — becoming more productive and paying more taxes over their lifetimes.


But the same history underscores how immigration sets off fears about further sharing of government resources. Ten years after the immigration reform of 1986, reeling from some public anger, Congress passed a law barring legal immigrants from means-tested government services. The same issue is likely again to be a major flash point. Professor Hanson pointed to “the older white man who sees his entitlements at risk because of the demands placed by legalization on our fiscal resources.”


Conservative Republicans set on cutting government spending share those concerns. And for all their reasons to reach out to Hispanics, they might not find making illegal immigrants legal politically advantageous. On Tuesday, Republicans in the House argued against granting citizenship to illegal immigrants at all.


Hispanics are more liberal than the general population on economic matters, polls suggest, and more supportive of Big Government initiatives. Granting them citizenship would give them the vote.


As Steven A. Camarota, director of research at the Center for Immigration Studies, an advocacy group in Washington that favors more limits on immigration, said, “They will see legalization as a voter-registration drive for Democrats.”


E-mail: eporter@nytimes.com; Twitter: @portereduardo



This article has been revised to reflect the following correction:

Correction: February 5, 2013

An earlier version misspelled the first name of one of the two United States senators from Arizona.  His name is Jon Kyl, not John.



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Well: Expressing the Inexpressible

When Kyle Potvin learned she had breast cancer at the age of 41, she tracked the details of her illness and treatment in a journal. But when it came to grappling with issues of mortality, fear and hope, she found that her best outlet was poetry.

How I feared chemo, afraid
It would change me.
It did.
Something dissolved inside me.
Tears began a slow drip;
I cried at the news story
Of a lost boy found in the woods …
At the surprising beauty
Of a bright leaf falling
Like the last strand of hair from my head

Ms. Potvin, now 47 and living in Derry, N.H., recently published “Sound Travels on Water” (Finishing Line Press), a collection of poems about her experience with cancer. And she has organized the Prickly Pear Poetry Project, a series of workshops for cancer patients.

“The creative process can be really healing,” Ms. Potvin said in an interview. “Loss, mortality and even hopefulness were on my mind, and I found that through writing poetry I was able to express some of those concepts in a way that helped me process what I was thinking.”

In April, the National Association for Poetry Therapy, whose members include both medical doctors and therapists, is to hold a conference in Chicago with sessions on using poetry to manage pain and to help adolescents cope with bullying. And this spring, Tasora Books will publish “The Cancer Poetry Project 2,” an anthology of poems written by patients and their loved ones.

Dr. Rafael Campo, an associate professor of medicine at Harvard, says he uses poetry in his practice, offering therapy groups and including poems with the medical forms and educational materials he gives his patients.

“It’s always striking to me how they want to talk about the poems the next time we meet and not the other stuff I give them,” he said. “It’s such a visceral mode of expression. When our bodies betray us in such a profound way, it can be all the more powerful for patients to really use the rhythms of poetry to make sense of what is happening in their bodies.”

On return visits, Dr. Campo’s patients often begin by discussing a poem he gave them — for example, “At the Cancer Clinic,” by Ted Kooser, from his collection “Delights & Shadows” (Copper Canyon Press, 2004), about a nurse holding the door for a slow-moving patient.

How patient she is in the crisp white sails
of her clothes. The sick woman
peers from under her funny knit cap
to watch each foot swing scuffing forward
and take its turn under her weight.
There is no restlessness or impatience
or anger anywhere in sight. Grace
fills the clean mold of this moment
and all the shuffling magazines grow still.

In Ms. Potvin’s case, poems related to her illness were often spurred by mundane moments, like seeing a neighbor out for a nightly walk. Here is “Tumor”:

My neighbor walks
For miles each night.
A mantra drives her, I imagine
As my boys’ chant did
The summer of my own illness:
“Push, Mommy, push.”
Urging me to wind my sore feet
Winch-like on a rented bike
To inch us home.
I couldn’t stop;
Couldn’t leave us
Miles from the end.

Karin Miller, 48, of Minneapolis, turned to poetry 15 years ago when her husband developed testicular cancer at the same time she was pregnant with their first child.

Her husband has since recovered, and Ms. Miller has reviewed thousands of poems by cancer patients and their loved ones to create the “Cancer Poetry Project” anthologies. One poem is “Hymn to a Lost Breast,” by Bonnie Maurer.

Oh let it fly
let it fling
let it flip like a pancake in the air
let it sing: what is the song
of one breast flapping?

Another is “Barn Wish” by Kim Knedler Hewett.

I sit where you can’t see me
Listening to the rustle of papers and pills in the other room,
Wondering if you can hear them.
Let’s go back to the barn, I whisper.
Let’s turn on the TV and watch the Bengals lose.
Let’s eat Bill’s Doughnuts and drink Pepsi.
Anything but this.

Ms. Miller has asked many of her poets to explain why they find poetry healing. “They say it’s the thing that lets them get to the core of how they are feeling,” she said. “It’s the simplicity of poetry, the bare bones of it, that helps them deal with their fears.”


Have you written a poem about cancer? Please share them with us in the comments section below.
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Gas Buildup and Spark Blamed in Pemex Blast





MEXICO CITY — Mexico’s attorney general said Monday that a buildup of gas ignited by a spark from a faulty electrical system had caused the explosion at the headquarters of Mexico’s state-owned oil company, which killed at least 37 people last week.




Jesús Murillo Karam, the attorney general, said a team of investigators from Mexico, Spain, the United States and Britain had found no evidence of explosives. He noted that there were no burn marks like those usually produced by explosives, nor were there signs of a crater, nor did investigators find any bomb-making materials in the office building where the blast occurred Thursday, just behind the company’s Pemex tower.


“We found no residue of any kind of explosive device,” Mr. Murillo said. He added that it had been a “diffuse” explosion, causing damage consistent with an accumulation of gas. The pressure pushed several floors of the building up, he said, and then they fell, collapsing on dozens of workers, including two more found dead this weekend buried in the rubble.


His explanation, delivered at a news conference late Monday, brought to a close several days of speculation. The government had been heavily criticized for not sharing enough information about the cause even as experts warned that investigations of this kind often take several days to figure out.


There are still some unanswered questions. Mr. Murillo said officials had yet to discover the source of the gas, which had built up in the basement of the building. Investigators believe it was methane that leaked from several ducts and tunnels underneath or connected to the building, he said. Why they leaked, who failed to notice (Pemex is responsible for inspecting its own buildings) and what exactly caused the gas to explode have not been clearly determined.


Mr. Murillo said that while there appeared to be no evidence of criminal wrongdoing, criminal charges were still a possibility.


When the blast occurred in the basement of an administrative building next to the 52-story tower, about 4 p.m. Thursday, windows shattered, the ground shook and thousands of panicked employees fled.


At the time, company officials said there was significant damage to the first floor and mezzanine of the building, and witnesses said they saw rescue workers helping trapped employees who had been pinned under falling debris, while others dragged out the injured and the dead.


The future of Pemex is a subject of debate. The national institution has been plagued by declining production, theft and an abysmal safety record that includes a major pipeline explosion almost every year. A pipeline blast in September killed 30 workers.


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Superdome officials worried about a power outage


NEW ORLEANS (AP) — The cause of a 34-minute blackout at the Super Bowl remains under investigation, but public records released Monday show that Superdome officials were worried about a power outage several months before the big game.


An Oct. 15 memo released by the Louisiana Stadium & Exposition District, which oversees the Superdome, says tests on the dome's electrical feeders showed they had "some decay and a chance of failure."


Entergy New Orleans, the company that supplies the stadium with power, and the structure's engineering staff "had concerns regarding the reliability of the Dome service from Entergy's connection point to the Dome," the memo says. Those concerns were due in part to "circumstances that have previously occurred with the electrical service regarding transient spikes and loads."


The memo also cites 2011 blackouts that struck Candlestick Park, where the San Francisco 49ers were playing a nationally televised Monday night football game, as a reason for ordering the tests.


The board later authorized spending nearly $1 million on Superdome improvements, including more than $600,000 for upgrading the dome's electrical feeder cable system.


"As discussed in previous board meetings, this enhancement is necessary to maintain both the Superdome and the New Orleans Arena as top tier facilities, and to ensure that we do not experience any electrical issues during the Super Bowl," says a LSED document dated Dec. 19.


An attorney for the state board that oversees the Superdome said the blackout did not appear to be related to the replacement in December of electrical equipment connecting the stadium to Entergy. Officials with the utility and the Superdome noted that an NFL game, the Sugar Bowl and another bowl game were played there in recent weeks with no apparent problems.


The exact cause of Sunday night's blackout — and who's to blame — remained unclear late Monday, though a couple of potential culprits had been ruled out.


It wasn't Beyonce's electrifying halftime performance, according to Doug Thornton, manager of the state-owned Superdome, since the singer had her own generator. And it apparently wasn't a case of too much demand for power. Meters showed the 76,000-seat stadium was drawing no more electricity than it does during a typical New Orleans Saints game, Thornton said.


The lights-out game Sunday proved an embarrassment for the Big Easy just when it was hoping to show the rest of the world how far it has come since Hurricane Katrina in 2005. But many fans and residents were forgiving, and officials expressed confidence that the episode wouldn't hurt the city's hopes of hosting the championship again.


To New Orleans' great relief, NFL Commissioner Roger Goodell said the city did a "terrific" job hosting its first pro football championship in the post-Hurricane Katrina era, and added: "I fully expect that we will be back here for Super Bowls."


Fans watching from their living rooms weren't deterred, either. An estimated 108.4 million television viewers saw the Baltimore Ravens beat the San Francisco 49ers 34-31, making it the third most-viewed program in television history. Both the 2010 and 2011 games hit the 111 million mark.


The problem that caused the outage was believed to have happened around the spot where a line that feeds current from Entergy New Orleans connects with the Superdome's electrical system, officials said. But whether the fault lay with the utility or with the Superdome was not clear.


Determining the cause will probably take days, according to Dennis Dawsey, a vice president for distribution and transmission for Entergy. He said the makers of some of the switching gear have been brought in to help figure out what happened.


The blackout came after a nearly flawless week of activity for football fans in New Orleans leading up to the big game.


"I hope that's not what they'll remember about this Super Bowl," French Quarter artist Gloria Wallis said. "I hope that what they'll remember is they had a great time here and that they were welcomed here."


Ravens fan Antonio Prezioso, a Baltimore native who went to the game with his 11-year-old son, said the outage just extended the experience.


"The more time we could spend at the game was a good thing, as long as it ended the way it did," he said, laughing.


The city last hosted the Super Bowl in 2002, and officials were hoping this would serve as the ultimate showcase for the city's recovery since Hurricane Katrina in 2005. The storm tore holes in the roof of the Superdome and caused water damage to its electrical systems, and more than $330 million was spent repairing and upgrading the stadium.


Sunday's Super Bowl was New Orleans' 10th as host, and officials plan to make a bid for an 11th in 2018.


Mayor Mitch Landrieu told WWL-AM on Monday that the outage won't hurt the city's chances, and he joked that the game got better after the blackout: "People were leaving and the game was getting boring, so we had to do a little something to spice it up."


The chairwoman of the New Orleans City Council's Utility Committee has called an emergency meeting for Friday to discuss the power outage.


Jarvis DeBerry, a columnist for nola.com and The Times-Picayune, wrote that the power outage gave the media "an opportunity to laugh at the apparent ineptitude or suggest that the ghosts of Hurricane Katrina were haunting the Superdome."


"That's not the kind of attention the city was looking for, obviously," he wrote, "but it's certainly too soon to say if people will remember the power shortage over San Francisco's furious comeback attempt against Baltimore or if this will harm the city's future opportunities to host the Super Bowl."


Bjorn Hanson, dean of New York University's Center for Hospitality and Sports Management, said the episode shouldn't hurt the city's reputation as a big convention destination. "I think people view it for what it was: an unusual event with a near-record power draw," he said. "It was the equivalent of a circuit breaker flipping."


___


Associated Press writers Beth Harpaz, Brett Martel, Stacey Plaisance and Barry Wilner contributed to this report.


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DealBook: Suit to Accuse S.&P. of Fraud in Mortgage Bond Ratings

The Justice Department late Monday filed civil fraud charges against the nation’s largest credit-ratings agency, Standard & Poor’s, accusing the firm of inflating the ratings of mortgage investments and setting them up for a crash when the financial crisis struck.

The suit, filed in federal court in Los Angeles, is the first significant federal action against the ratings industry, which during the boom years reaped record profits as it bestowed gilt-edged ratings on complex bundles of home loans that quickly went sour. The high ratings made many investments appear safer than they actually were, and are now seen as having contributed to a crisis that brought the financial system and the broader economy to its knees.

More than a dozen state prosecutors are expected to join the federal suit, and the New York attorney general is preparing a separate action. The Securities and Exchange Commission has also been investigating possible wrongdoing at S.& P.

From September 2004 through October 2007, S.&P. “knowingly and with the intent to defraud, devised, participated in, and executed a scheme to defraud investors” in certain mortgage-related securities, according to the suit filed against the agency and its parent company, McGraw-Hill Companies. S.&P. also falsely represented that its ratings “were objective, independent, uninfluenced by any conflicts of interest,” the suit said.

S.& P., which was first contacted by federal enforcement officials three years ago, said in a statement earlier Monday in anticipation of the suit that it had acted in good faith when it issued the ratings.

“A D.O.J. lawsuit would be entirely without factual or legal merit,” it said, adding that its competitors had given exactly the same ratings to all the securities it believed to be in question.

Settlement talks between S.& P. and the Justice Department broke down in the last two weeks after prosecutors sought a penalty in excess of $1 billion and insisted that the company admit wrongdoing, several people with knowledge of the talks said. That amount would wipe out the profits of McGraw-Hill for an entire year. S.& P. had proposed a settlement of around $100 million, the people said.

S.& P. also sought a deal that would allow it to neither admit nor deny guilt; the government pressed for an admission of guilt to at least one count of fraud, said the people. S.& P. told prosecutors it could not admit guilt without exposing itself to liability in a multitude of civil cases.

It was unclear whether state and federal authorities were looking at the other two major ratings agencies, Moody’s Investors Service and Fitch.

A spokesman for Moody’s declined to comment. A spokesman for Fitch, Daniel J. Noonan, said the agency could not comment on an action that appeared to focus on Standard & Poor’s, but added, “we have no reason to believe Fitch is a target of any such action.”

The case against S.& P. is said to focus on about 30 collateralized debt obligations, or C.D.O.’s, an exotic type of security made up of bundles of mortgage bonds, which in turn were composed of individual home loans. The securities were created at the height of the housing boom. S.& P. was paid fees of about $13 million for rating them.

Prosecutors, according to the people briefed on the discussions, have uncovered troves of e-mails written by S.& P. employees, which the government considers damaging. The firm gave the government more than 20 million pages of e-mails as part of its investigation, the people with knowledge of the process said.

Since the financial crisis in 2008, the ratings agencies’ business practices have been widely criticized and questions have been raised as to whether independent analysis was corrupted by Wall Street’s push for profits.

A Senate investigation made public in 2010 found that S.& P. and Moody’s used inaccurate rating models from 2004 to 2007 that failed to predict how high-risk residential mortgages would perform; allowed competitive pressures to affect their ratings; and failed to reassess past ratings after improving their models in 2006.

The companies failed to assign adequate staff to examine new and exotic investments, and neglected to take mortgage fraud, lax underwriting and “unsustainable home price appreciation” into account in their models, the inquiry found.

“Rating agencies continue to create an even bigger monster — the C.D.O. market,” one S.& P. employee wrote in an internal e-mail in December 2006. “Let’s hope we are all wealthy and retired by the time this house of card falters.”

Another S.& P. employee wrote in an instant message the next April, according to the Senate report: “We rate every deal. It could be structured by cows and we would rate it.”

The three major ratings agencies are typically paid by the issuers of the securities they rate — in this case, the banks that had packaged the mortgage-backed securities and wanted to market them. The investors who would buy the securities were not involved in the process but depended on the rating agencies’ assessments.

Although the three agencies tend to track one another, each has its own statistical methods for assessing the likelihood of a bond default. That has led to speculation that S.& P. analysts knew their method yielded unrealistic ratings, but issued the ratings anyway.

In its statement on Monday, S.& P. said it had begun stress-testing the mortgage-backed securities it rated as early as 2005, trying to see how they would perform in a severe market downturn. S.& P. said it had also sent out early warning signals, downgrading hundreds of mortgage-backed securities, starting in 2006. Nor was it the only one to have underestimated the coming crisis, it said — even the Federal Reserve’s open market committee believed at the time that any problems within the housing sector could be contained.

The Justice Department, the company said, “would be wrong in contending that S.& P. ratings were motivated by commercial considerations and not issued in good faith.”

For many years, the ratings agencies have defended themselves successfully in civil litigation by saying their ratings were independent opinions, protected by the First Amendment, which guarantees the right to free speech. Developments in the wake of the financial crisis have raised questions about the agencies’ independence however. For example, one federal judge, Shira A. Scheindlin, ruled in 2009 that the First Amendment did not apply in a lawsuit over ratings issued by S.& P. and Moody’s, because the mortgage-backed securities at issue had not been offered to the public at large. Judge Scheindlin also agreed with the plaintiffs, who argued the ratings were not opinions, but misrepresentations, possibly the result of fraud or negligence.

The federal action will be the first time a credit-rating agency has been charged under a 1989 law intended to protect taxpayers from frauds involving federally insured financial institutions, which since the financial crisis has been used against a number of federally insured banks, including Wells Fargo, Bank of America and Citigroup.

The government is taking a novel approach in this instance by accusing S.& P. of defrauding a federally insured institution and therefore injuring the taxpayer.

The government is expected to cite the demise of Wescorp, a federally insured credit union in Los Angeles that went bankrupt after investing in mortgage securities rated by S.& P. Wescorp will be showcased as an example of the contended fraud, and as a way to bring the case in California, people with knowledge of the proceedings said. The suit was filed in Federal District Court fore the Central District of California.

By bringing a civil suit, as opposed to a criminal case, the Justice Department’s burden of proof will be less, perhaps lowering the bar for a successful prosecution.

Michael J. de la Merced contributed reporting.

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Medicines Co. Licenses Rights to Cholesterol Drug



The drug, known as ALN-PCS, inhibits a protein in the body known as PCSK9. Such drugs might one day be used to treat millions of people who do not achieve sufficient cholesterol-lowering from commonly used statins, such as Lipitor.


The Medicines Company will pay $25 million initially and as much as $180 million later if certain development and sales goals are met, under the deal expected to be formally announced Monday. It will also pay Alnylam, which is based in Cambridge, Mass., double-digit royalties on global sales.


That is small payment for a drug with presumably a huge potential market, probably reflecting that Alnylam is still in the first of three phases of clinical trials, well behind some far bigger competitors.


The team of Sanofi and Regeneron Pharmaceuticals is already entering the third and final stage of trials with their PCSK9 inhibitor, as is Amgen. Pfizer and Roche are in midstage trials.


ALN-PCS is different from the other drugs. It uses a gene-silencing mechanism called RNA interference, aimed at shutting off production of the PCSK9 protein. The other drugs are proteins called monoclonal antibodies that inhibit the action of PCSK9 after it has been formed.


Alnylam and the Medicines Company hope that turning off the faucet, as it were, will be more efficient than mopping the floor, allowing their drug to be given less frequently and in smaller amounts.


But that has yet to be proved. No drug using RNA interference has reached the market.


The Medicines Company, based in Parsippany, N.J., generates almost all of its revenue from one product — Angiomax, an anticlotting drug used when patients receive stents to open clogged arteries.


Dr. Clive A. Meanwell, chief executive of the company, said that PCSK9 inhibitors are likely to be used at first mainly by patients with severe lipid problems under the care of interventional cardiologists, the same doctors who use Angiomax. “It really is quite adjacent to what we do,” he said.


The Medicines Company licensed Angiomax from Biogen Idec, where the drug was invented and initially developed under a team led by Dr. John M. Maraganore, who is now the chief executive of Alnylam.


“It’s a bit like getting the band back together,” Dr. Maraganore said.


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Study Belies Israeli Claim of ‘Hate’ in Palestinian Texts





JERUSALEM — An academic study of the contents of Israeli and Palestinian Authority textbooks, to be published Monday, finds that each side generally presents the other as the enemy, but it undermines recent assertions by the Israeli government that Palestinian children are educated “to hate.”




Though unusually comprehensive, the report is unlikely to resolve more than a decade of fierce wrangling about the textbooks — part of a broader debate about Palestinian incitement against Israelis — having set off a political furor even before its publication date.


Israel’s Ministry of Education issued a statement in late January dismissing the new research as “biased, unprofessional and significantly lacking in objectivity.” Referring to “bodies that wish to slander the Israeli education system and the state of Israel,” it said the findings were “predetermined” and did not “reliably reflect reality.”


An Israeli member of a scientific advisory panel of experts that oversaw the research, Daniel Sperber, a professor of Talmudic research at Bar-Ilan University, refused to comment on the report, saying its release was “premature.”


Arnon Groiss, another Israeli member of the advisory panel, an Arabist, and the researcher and author of many previous reports critical of the Palestinian Authority textbooks, also refused to endorse the report, saying last week that he had not seen a final version. But he insisted that the authority’s textbooks “prepare the pupils for a future armed struggle for the elimination of the state of Israel.”


A Palestinian member of the advisory panel, Mohammed Dajani, a professor at Al Quds University in the West Bank, countered that the new study was “a strategic vision rather than looking through narrow eyes at one side or another.”


“People who are critical of the report are not appreciative of the work that went into it,” Mr. Dajani added.


Fourteen of the 19 advisory panel members expressed support for the study in a statement on Sunday.


The report was commissioned by the Council of Religious Institutions of the Holy Land, a group of Christian, Jewish and Muslim leaders who advocate for mutual respect and understanding. It was financed by a grant from the United States State Department.


The research was led by two prominent academics with long experience in textbook studies, Daniel Bar-Tal, an Israeli professor of research in child development and education at Tel Aviv University, and Sami Adwan, a Palestinian associate professor of education at Bethlehem University.


The project was originated by Dr. Bruce E. Wexler, professor emeritus of psychiatry at the Yale School of Medicine, who co-founded an organization to promote Israeli-Palestinian cooperation.


In a response to the Israeli Ministry of Education, the three professors cited the rigorous research methods employed and wrote of their hopes that the ministries on both sides would “be moved to prepare a plan of action” to help “advance the peace building process.”


Dr. Wexler added that all the advisory panel members were familiar with the report’s main findings.


Unimpressed with the quality of previous, more subjective studies, Dr. Wexler said that he had insisted on applying scientific research methods for this one, so as “to provide real facts about a controversial issue.”


This included employing research assistants from both sides who were fluent in Hebrew and Arabic and data entered remotely into a database at Yale, similar to a blind study.


The study examined books from Israel’s state secular and religious systems as well as those used in independent ultra-Orthodox schools, books issued by the Palestinian Authority Ministry of Education and used in the West Bank and Gaza, and a small number used in the few independent Islamic Trust schools. It did not include religious scriptures.


Previous studies of Palestinian textbooks by monitoring groups like the Institute for Monitoring Peace and Cultural Tolerance in School Education and Palestinian Media Watch suggested that they promoted the widespread dehumanization of Jews and Israel and a rejection of Israel’s right to exist.


The new study avoids harsh language and couches the bad news in a kind of symmetry.


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Xbox Hoax Leads Armed Cops to Family






Members of a Florida family were shocked to be awakened in the middle of the night to find their house surrounded by police with guns drawn shouting at them to put their hands up.


Police Lt. Mike Beavers said the commotion was “very rare” for the small town of Oviedo, about 20 miles northeast of Orlando.






“This is the first time I’ve heard of it happening in our little town,” Beavers told ABCNews.com.


The frightened family did not want to be identified but recounted the ordeal to ABC News’ Orlando affiliate WFTV.


“I heard the doorbell ring,” the father of two told WFTV. “We couldn’t see anybody at the front of the door. All we saw was the rifle barrel.”


The man said he and his wife originally believed they were being robbed.


“They have rifles, they have guns, and I said, ‘Let’s get out of the house,’ so we ran down the hallway and got our two boys up,” the father said.


“We were told to freeze and put our hands over our heads,” he recalled. “They said, ‘We’re the police,’ so that was a big relief.”


What the family didn’t realize was that an Xbox hoax had led the Oviedo police to its house. The police said they were responding to a call from AT&T saying it had received online messages from a person who said he was hiding inside the house, claiming that someone had been killed there and that others were being held hostage.


But when police arrived, all they found was a very surprised and confused family.


Upon investigation, police learned that the confusion all started when an Oviedo teenager living in another house called police saying his Xbox had been hacked.


The teenager said the hackers had threatened to call in bomb threats to his home if he did not meet their demands for gaming information.


When the teenager refused, the hackers sent fake messages reporting the killing and hostage taking at the teenager’s former home. His previous address, where police showed up, was still connected to his Xbox.


The teenager did some of his own investigating, police said, and provided authorities with some possible identifying information on the hackers.


“The caller gave information to officers regarding two possible suspects, including IP addresses, Twitter and Facebook accounts and a possible name of one of the suspects,” according to the police report. “The information provided to the officers revealed that both suspects were located in different states.”


The information has been turned over to Oviedo detectives for further investigation.


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Oh the drama! Super Ads go epic


NEW YORK (AP) — Super Bowl ads this year morphed into mini soap operas.


Dwayne "The Rock" Johnson shrugged off aliens so he could get more milk for his kids in a Super Bowl spot for the Milk Processor Education Program. Anheuser-Busch's commercial told the story of a baby Clydesdale growing up and returning to his owner for a heartfelt hug years later. And a Jeep ad portrayed the trials and triumphs of families waiting for their return of family members.


The reason for all the drama off the field? With 30-second spots going for as much as $4 million and more than 111 million viewers expected to tune in, marketers are constantly looking for ways to make their ads stand out. And it's increasingly difficult to captivate viewers with short-form plots involving babies, celebrities, sex and humor — unless there's a compelling story attached.


"A lot of advertisers are running long commercials to tell these stories that engage people often in a very emotional way," said Tim Calkins, clinical professor of marketing at the Kellogg School of Management at Northwestern. "These spots that tell stories really stand out in the clutter."


Here's the ads, play-by-play:


TEAR-JERKING MINI EPICS


Chrysler started the long-format commercial trend last year, with a two-minute spot starring Clint Eastwood that became very popular.


This year, Chrysler led the trend again with its two-minute salute to troops and their families. The ad featured Oprah Winfrey reading a letter from the Jeep brand to encourage families to stay hopeful.


"Wendy Ochoa, a high school teacher who lives in Novi, Michigan, said the ad was very emotional. "It tugs on your heartstrings," Ochoa, 44, said. "How can it not?"


Anheuser-Busch also pulled at heartstrings with a spot about a baby Clydesdale growing up and moving away from his farm and his trainer. Years later, the horse remembered the trainer after returning for a parade. He raced down a street to hug him.


"The Budweiser commercial with the Clydesdale made me cry," said Wendy Ponzo, 49, who was watching the game in Pont Pleasant, N.J.


USER-INSPIRED TALES


Lincoln's 90-second ad was inspired by Tweets by fans about road trips. The company asked people to send their stories, and Jimmy Fallon, host of NBC's "Late Night with Jimmy Fallon," decided on which tales would be used.


The ad shows adventures during a fictional road trip. A woman picks up a German hitchhiker, and they go to an alpaca farm, get stopped by turtles crossing the road, and drive through a movie set.


Rap pioneer Joseph "Rev Run" Simmons and Wil Wheaton, who acted in "Star Trek: The Next Generation," made cameos in the spot.


Audi also went with an ad that told a story — and was inspired by viewers. The company's 60-second ad featured an ending that was voted on by viewers prior to the game.


In the ad, a boy gains confidence from driving his father's Audi to the prom, kisses the prom queen once he arrives at the dance and gets decked by the prom king. In the end, he drives back home with a smile on his face.


The Audi mini-epic was a favorite of Super Bowl viewer Stephanie Bice, 39, a business development director in Oklahoma City.


"It was fun and whimsical," Bice said.


COMEDY GOES LONG


Not all of the storytelling ads were dramatic, though.


Samsung's two-minute ad showed Seth Rogen ("The Guilt Trip" and Paul Rudd ("Role Models") getting called in to do a "Next Big Thing" ad for Samsung. But they're agitated once they realize that they're sharing the spotlight. LeBron James, an NBA basketball player for the Miami Heat, makes a cameo, appearing on the screen of a tablet.


The ad won over some fans in the ad world.


"I could watch the Samsung ad over and over again," said David Berkowitz, vice president at digital marketing agency 360i. "It's as good as any Seth Rogen movie."


Budweiser, a long-time Super Bowl advertiser, also told a continuing story in two of its ads. One showed rival 49ers and Ravens fans each creating a voodoo doll for the other team with the help of R&B legend Stevie Wonder. In the other ad, fans go to great lengths to curse a rival fan's "lucky chair."


"It's only weird if it doesn't work," the words in the ad read.


Mercedes-Benz's 90-second ad had a Faustian plot.


A devilish Willem Dafoe ("Spider-Man") shows a man everything that comes with a Mercedes-Benz CLX: A date with supermodel Kate Upton, dancing with Usher, driving around with beautiful girls, getting on the cover of magazines including Vanity Fair and GQ, getting to drive on a racetrack.


The man almost signs his soul away for the car. But then he sees a billboard that says the car starts at $29,900, and doesn't sign.


NOT EVERY AD TELLS A STORY


Although many advertisers tried to pull people in with lengthy story lines, there were a few that stuck with short, quirky spots with no particular plot.


GoDaddy.com's ad was one of them. It showed a close up, extended kiss between supermodel Bar Refaeli and a nerdy guy wearing glasses to illustrate GoDaddy's combo of "sexy" and "smart."


Some viewers thought the ad was too explicit for the Super Bowl.


"I don't care who wins the game. I just don't want to see that commercial again, ever," said Stephen G. Smith, 63, an editor at The Washington Times in Washington, D.C.


Stephanie Malone from DeKalb, Ill., agreed: "GoDaddy should be ashamed."


Striking a less controversial note, Best Buy's 30-second ad in the first quarter starred Amy Poehler, of NBC's "Parks and Recreation," asking a Best Buy employee endless questions about electronics.


"Will this one read '50 Shades of Grey' to me in a sexy voice?" Poehler asks about an e-book reader. Then, when the staffer says no she asks, "Will you?"


M&M's spot showed its red spokescharacter singing Meatloaf's "I Would Do Anything For Love," and wooing beautiful women. But the M&M stopped short when the women try to eat him.


And Oreo's ad featured a showdown in a library between people fighting over whether the cookie or the cream is the best part of the cookie. The punch-line? The fight escalates into thrown chairs and other destruction, but because the fight is in a library, everyone still has to whisper.


The ad directed users to follow Oreo on Instagram photo-sharing site, where they could continue the "cookie vs. cream" debate. Meanwhile, Oreo was quick to capitalize on the blackout that hit the game for about 30 minutes in the third quarter. It tweeted a picture of an Oreo in the half-dark with the words: "You can still dunk in the dark."


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