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In the fall of 1999, the drug giant SmithKline Beecham secretly began a study to find out if its diabetes medicine, Avandia, was safer for the heart than a competing pill, Actos, made by Takeda. Avandias success was crucial to SmithKline, whose labs were otherwise all but barren of new products. But the studys results, completed that same year, were disastrous. Not only was Avandia no better than Actos, but the study also provided clear signs that it was riskier to the heart. But instead of publishing the results, the company spent the next 11 years trying to cover them up, according to documents recently obtained by The New York Times. The company did not post the results on its Web site or submit them to federal drug regulators, as is required in most cases by law. The heart risks from Avandia first became public in May 2007, with a study from a cardiologist at the Cleveland Clinic who used data the company was forced by a lawsuit to post on its own Web site. In the ensuing months, GlaxoSmithKline officials conceded that they had known of the drugs potential heart attack risks since at least 2005. But the latest documents demonstrate that the company had data hinting at Avandias extensive heart problems almost as soon as the drug was introduced in 1999, and sought intensively to keep those risks from becoming public.
Note: For lots more on corporate corruption from major media sources, click here.
Missing from almost all discussion of Americas dizzying rate of unemployment is the brute fact that hourly wages of people with jobs have been dropping, adjusted for inflation. Average weekly earnings rose a bit this spring only because the typical worker put in more hours, but Junes decline in average hours pushed weekly paychecks down at an annualized rate of 4.5 percent. In other words, Americans are keeping their jobs or finding new ones only by accepting lower wages. Meanwhile, a much smaller group of Americans earnings are back in the stratosphere: Wall Street traders and executives, hedge-fund and private-equity fund managers, and top corporate executives. As hiring has picked up on the Street, fat salaries are reappearing. Were back to the same ominous trend as before the Great Recession: a larger and larger share of total income going to the very top while the vast middle class continues to lose ground. And as long as this trend continues, we cant get out of the shadow of the Great Recession. When most of the gains from economic growth go to a small sliver of Americans at the top, the rest dont have enough purchasing power to buy what the economy is capable of producing.
Note: The author of this analysis, Robert Reich, is a former U.S. Secretary of Labor. For highly informative graphs showing the details of rising wealth inequality in the United States, click here.
California retailers who accuse manufacturers of scheming to inflate prices scored a significant legal victory [on July 12] when the state Supreme Court allowed them to sue for triple damages despite their ability to pass higher charges along to customers. The court unanimously reinstated a price-fixing suit by a group of pharmacies that accused major drug companies of conspiring to overcharge purchasers by as much as 400 percent from 2000 to 2004. While denying the allegations, the companies also argued that pharmacists could avoid any damages by raising their own prices. Overturning lower-court rulings that dismissed the suit, the court said a "pass-on" defense - allowing manufacturers to avoid damages for illegal overcharges that could be passed on to consumers - is unavailable in California. Justice Kathryn Mickle Werdegar ... said enforcement of the law is promoted by allowing a retailer or wholesaler who buys directly from the manufacturer to seek damages - tripled under antitrust law - for overcharges caused by price-fixing. If such suits were prohibited, Werdegar said, overcharged retailers would have to choose between absorbing the losses or raising their prices and potentially losing sales. Such a ban might allow manufacturers to fix prices with impunity, Werdegar said, because individual consumers' losses might be too small to make a suit worthwhile.
Note: The ruling in Clayworth vs. Pfizer, S166435, can be viewed at www.courtinfo.ca.gov/opinions/documents/S166435.PDF.
For seven years, Thomas A. Drake was a senior executive at the nation's largest intelligence organization with an ambition to change its insular culture. He had access to classified programs that purported to help the National Security Agency tackle its toughest challenges. Today, he wears a blue T-shirt and answers questions about iPhones at an Apple store in the Washington area. He is awaiting trial in a criminal media leak case that could send him to prison for 35 years. In his years at the NSA, Drake grew disillusioned, then indignant, about what he saw as waste, mismanagement and a willingness to compromise Americans' privacy without enhancing security. He first tried the sanctioned methods -- going to his superiors, inspectors general, Congress. Finally, in frustration, he turned to the "nuclear option": leaking to the media. Drake, 53, may pay a high price for going nuclear. In April he was indicted, accused of mishandling classified information and obstructing justice. His supporters consider him a patriotic whistleblower targeted by an Obama administration bent on sealing leaks and on having something to show for an investigation that spans two presidencies. What led Drake to this point, friends and others say, is a belief that his actions were justified if they forced such a powerful and secretive agency to be held accountable. "He tried to have his concerns heard and nobody really wanted to listen," said Nina Ginsberg, an attorney.
Note: On June 9, 2011, all ten original charges against Thomas A Drake were dropped and he was not incarcerated, yet it is cases like this that keep people like Edward Snowden from making his case in US courts.
Switzerland announced [on July 12] that it would not extradite [Roman] Polanski, a famous film director, to the United States in part because of fresh doubts over the conduct of the judge in his original trial. Hes a free man, the Swiss justice minister, Eveline Widmer-Schlumpf, said at a news conference on Monday. The French foreign minister, Bernard Kouchner, said he was delighted and deeply relieved by the ruling. Samantha Geimer, who at 13 was Mr. Polanskis victim in the original sex case, has long disclosed her identity and called to end the prosecution. The decision to free Mr. Polanski was a sharp defeat for prosecutors in Los Angeles. Steve Cooley, the Los Angeles County district attorney, is the Republican candidate for state attorney general. The turning point in the case occurred in mid-March, when Mr. Polanskis lawyers disclosed in an appeals brief that Roger Gunson, a now-retired lawyer who originally prosecuted the case, had given sealed testimony describing a plan by Judge Laurence J. Rittenband, the original judge, to limit Mr. Polanskis sentence to a 90-day psychiatric evaluation, a portion of which Mr. Polanski had served during his 42 days in Chino State Prison. Mr. Gunson, who gave the testimony in January, also described his own reservations about the handling of the case by Judge Rittenband, who is now deceased.
Note: For an analysis of this decision by the Swiss government, click here.
On Bastoy, an island 46 miles south of Oslo, [125] residents live in brightly colored wooden chalets, spread over one square mile of forest and gently sloping hills. They go horseback riding and throw barbecues, and have access to a movie theater, tanning bed and, during winter, two ski jumps. Despite all its trappings, Bastoy island isn't an exclusive resort: it's a prison. Bastoy's governor ... describes it as the world's first human-ecological prison a place where inmates learn to take responsibility for their actions by caring for the environment. Prisoners grow their own organic vegetables, turn their garbage into compost and tend to chickens, cows, horses and sheep. The prison generally emphasizes trust and self-regulation: Bastoy has no fences, the windows have no bars, and only five guards remain on the island after 3 p.m. In an age when countries from Britain to the U.S. cope with exploding prison populations by building ever larger and, many would say, ever harsher prisons, Bastoy seems like an unorthodox, even bizarre, departure. But Norwegians see the island as the embodiment of their country's long-standing penal philosophy: that traditional, repressive prisons do not work, and that treating prisoners humanely boosts their chances of reintegrating into society. Norway's system produces overwhelmingly positive results. Within two years of their release, 20% of Norway's prisoners end up back in jail. In the U.K. and the U.S., the figure hovers between 50% and 60%. Of course, Norway's ... prison roll lists a mere 3,300 inmates, a rate of 70 per 100,000 people, compared with 2.3 million in the U.S., or 753 per 100,000 the highest rate in the world.
Note: Why aren't other countries taking heed of Norway's excellent example? Part of the reason is that some companies make massive profits from the prison system. For more on this, click here.
Its one of the great assumptions underlying modern democracy that an informed citizenry is preferable to an uninformed one. Maybe not. Recently, a few political scientists have begun to discover a human tendency deeply discouraging to anyone with faith in the power of information. Its this: Facts dont necessarily have the power to change our minds. In fact, quite the opposite. In a series of studies in 2005 and 2006, researchers at the University of Michigan found that when misinformed people, particularly political partisans, were exposed to corrected facts in news stories, they rarely changed their minds. In fact, they often became even more strongly set in their beliefs. The general idea is that its absolutely threatening to admit youre wrong, says political scientist Brendan Nyhan, the lead researcher on the Michigan study. The phenomenon known as backfire is a natural defense mechanism to avoid that cognitive dissonance. There is a substantial body of psychological research showing that people tend to interpret information with an eye toward reinforcing their preexisting views. If we believe something about the world, we are more likely to passively accept as truth any information that confirms our beliefs, and actively dismiss information that doesnt. This is known as motivated reasoning.
Bank of America Corp. admitted to making six transactions that incorrectly hid from view billions of dollars of debt. The disclosure, made in a letter to the Securities and Exchange Commission, comes as the agency prepares to unveil the results of an inquiry into banks' accounting for borrowing deals known as repurchase agreements, or "repos." BofA's letter was sent in April in response to the inquiry, but this is the first time the details of the six trades in question have been disclosed. The bank had acknowledged in its last quarterly report that its accounting for the transactions, made at the ends of quarters from 2007 to 2009, was incorrect. The bank's disclosure also suggests the trades may be an example of end-of-quarter "window dressing" on Wall Street, in which banks temporarily shed debt just before reporting their finances to the public. The practice ... suggests the banks are carrying more risk most of the time than their investors or customers can easily see, and then juggling it during quarter-end reporting of financials.
Note: For key reports on many deceptive strategies used by banks and other Wall Street corporations, click here.
A senior US general once criticised for saying it was "fun to shoot some people" has been picked to take over US Central Command, leading the military command running the wars in Iraq and Afghanistan. General James Mattis, the current head of the US Joint Forces Command ... previously led troops in Iraq and Afghanistan. Centcom ... covers 20 countries and stretches from Egypt across the Middle East and into south and central Asia. Gen Mattis was reprimanded [in 2005] by the Marine Corps for telling a conference in San Diego, California: "It's fun to shoot some people. I'll be right up front with you, I like brawling." During a discussion panel he said: "You go into Afghanistan, you got guys who slap women around for five years because they didn't wear a veil. You know, guys like that ain't got no manhood left anyway. So it's a hell of a lot of fun to shoot them."
Note: For reports from reliable sources which reveal the realities of the US wars of aggression in the Middle East and Central Asia, click here.
The federal government is launching an expansive program dubbed "Perfect Citizen" to detect cyber assaults on private companies and government agencies running such critical infrastructure as the electricity grid and nuclear-power plants. The surveillance by the National Security Agency, the government's chief eavesdropping agency, would rely on a set of sensors deployed in computer networks for critical infrastructure that would be triggered by unusual activity suggesting an impending cyber attack. Defense contractor Raytheon Corp. recently won a classified contract for the initial phase of the surveillance effort valued at up to $100 million. Some industry and government officials familiar with the program see Perfect Citizen as an intrusion by the NSA into domestic affairs. One internal Raytheon email, the text of which was seen by The Wall Street Journal [said,] "Perfect Citizen is Big Brother." Raytheon declined to comment on this email. The information gathered by Perfect Citizen could also have applications beyond the critical infrastructure sector, officials said, serving as a data bank that would also help companies and agencies who call upon NSA for help with investigations of cyber attacks, as Google did when it sustained a major attack late last year.
Note: For key reports of government and corporate surveillance from reliable sources, click here.
Researchers have found a drug that can help the brain grow new cells and said their study may lead to ways to improve experimental Alzheimer's drugs. The researchers' work, done on rodents, builds on findings that all mammals, including humans, make brain cells throughout their lives. Most of these die, but this drug helps more of the baby cells survive and grow to become functioning brain cells. "We make new neurons every day in our brain," Andrew Pieper of the University of Texas Southwestern Medical Center in Dallas who worked on the study, said in a telephone interview. "What our compound does is allow more of them to survive." The compound is called P7C3 for now, and the researchers have already started tweaking it to make it more effective. They said it seems safe and appears to work even when taken as a pill. The compound is similar to Medivation Inc and Pfizer Inc's experimental Alzheimer's drug, Dimebon, and may provide ways to improve its effects, Pieper and colleagues reported in the journal Cell. Alzheimer's gradually destroys the brain and affects 26 million people globally. Drugs, such as Pfizer's Aricept, improve symptoms only minimally.
Note: For key reports from reliable sources on important health issues, click here.
More than 27,000 abandoned oil and gas wells lurk in the hard rock beneath the Gulf of Mexico, an environmental minefield that has been ignored for decades. No one - not industry, not government - is checking to see if they are leaking, an Associated Press investigation shows. The oldest of these wells were abandoned in the late 1940s, raising the prospect that many deteriorating sealing jobs are already failing. The AP investigation uncovered particular concern with 3,500 of the neglected wells - those characterized in federal government records as "temporarily abandoned." More than 1,000 wells have lingered in that unfinished condition for more than a decade. About three-quarters of temporarily abandoned wells have been left in that status for more than a year, and many since the 1950s and 1960s - even though sealing procedures for temporary abandonment are not as stringent as those for permanent closures. As a forceful reminder of the potential harm, the well beneath BP's Deepwater Horizon rig was being sealed with cement for temporary abandonment when it blew April 20, leading to one of the worst environmental disasters in the nation's history. BP alone has abandoned about 600 wells in the Gulf, according to government data.
Note: For lots more on government and corporate corruption, click here and here.
What goes on inside your brain when you exercise? That question has preoccupied a growing number of scientists in recent years, as well as many of us who exercise. Some of the most reverberant recent studies were performed at Northwestern Universitys Feinberg School of Medicine in Chicago. There, scientists have been manipulating the levels of bone-morphogenetic protein or BMP in the brains of laboratory mice. In the brain, BMP has been found to contribute to the control of stem cell divisions. Your brain, you will be pleased to learn, is packed with adult stem cells, which, given the right impetus, divide and differentiate into either additional stem cells or baby neurons. As we age, these stem cells tend to become less responsive. They dont divide as readily and can slump into a kind of cellular sleep. Its BMP that acts as the soporific, says Dr. Jack Kessler, the chairman of neurology at Northwestern and senior author of many of the recent studies. But exercise countermands some of the numbing effects of BMP, Dr. Kessler says. In work at his lab, mice given access to running wheels had about 50 percent less BMP-related brain activity within a week. They also showed a notable increase in Noggin, a beautifully named brain protein that acts as a BMP antagonist. If ever exercise enthusiasts wanted a rationale for what theyre doing, this should be it, Dr. Kessler says. Exercise, he says, through a complex interplay with Noggin and BMP, helps to ensure that neuronal stem cells stay lively and new brain cells are born.
Note: For many excellent reports from reliable sources on important health issues, click here.
Israel's Army Radio reported on [July 7] that the United States has sent Israel a secret document committing to nuclear cooperation between the two countries. The U.S. has reportedly pledged to sell Israel materials used to produce electricity, as well as nuclear technology and other supplies, despite the fact that Israel is not a signatory of the Nuclear Non-Proliferation Treaty. Other countries have refused to cooperate with Israel on nuclear matters because it has not signed the NPT, and there has been increasing international pressure for Israel to be more transparent about its nuclear arsenal. Army Radio's diplomatic correspondent said the reported offer could put Israel on a par with India, another NPT holdout which is openly nuclear-armed but in 2008 secured a U.S.-led deal granting it civilian nuclear imports. Israel neither confirms nor denies having nuclear weapons under an "ambiguity" strategy billed as warding off foes while avoiding public provocations that can spark regional arms races. The official reticence, and its toleration in Washington, has long aggrieved many Arabs and Iranians - especially given U.S.-led pressure on Tehran to rein in its nuclear program.
Note: For many key reports on the government secrecy from reliable sources, click here.
A short but growing list of criminal indictments and disciplinary actions stemming from Israel's offensive in the Gaza Strip 18 months ago [supports] the conclusion last year by [a] United Nations-appointed panel that Israel committed war crimes, targeted civilians and used disproportionate force. The facts and findings were dismissed by the government as deeply flawed, and [UN] panel chairman Richard Goldstone, a Jewish jurist from South Africa, was reviled in Israel as a traitor and even anti-Semitic. But the military's own investigations during the last six months have now verified some of the panel's findings. In seven cases disclosed so far, the military found that a sniper "deliberately targeted" civilians; soldiers used Palestinians, including a 9-year-old boy, as human shields; and commanders authorized at least three separate bomb attacks that killed and injured several dozen civilians who were taking refuge in a family home, a U.N. compound and a mosque. "The military is finding out that some of what Goldstone said is true, even though no one wants to admit it," said Gershon Baskin, a political consultant and former Labor Party advisor. "This should indicate that there needs to be deeper investigation."
Note: For many key reports on the horrific realities of the wars in the Middle East and Central Asia, click here.
An American soldier in Iraq who was arrested on charges of leaking a video of a deadly American helicopter attack [in Baghdad] in 2007 has also been charged with downloading more than 150,000 highly classified diplomatic cables that could, if made public, reveal the inner workings of American embassies around the world. The full contents of the cables remain unclear. The charges cited only one cable by name, Reykjavik 13, which appeared to be one made public by WikiLeaks.org, a whistle-blowing Web site devoted to disclosing the secrets of governments and corporations. In the cable, dated Jan. 13, the American deputy chief of mission, Sam Watson, detailed private discussions he held with Icelands leaders over a referendum on whether to repay losses from a bank failure, including a frank assessment that Iceland could default in 2011. WikiLeaks ... disclosed a second cable from the nation in March profiling its leaders, including Prime Minister Johanna Sigurdardottir. The cable [reveals] a complaint over the alleged use of Icelandic airspace by C.I.A.-operated planes by the Icelandic ambassador to the United States, Albert Jonsson.
Note: For lots more on government secrecy from reliable sources, click here.
This is the story of how some of the richest people in the world Goldman, Deutsche Bank, the traders at Merrill Lynch, and more have caused the starvation of some of the poorest people in the world. At the end of 2006, food prices across the world started to rise, suddenly and stratospherically. Within a year, the price of wheat had shot up by 80 per cent, maize by 90 per cent, rice by 320 per cent. In a global jolt of hunger, 200 million people mostly children couldn't afford to get food any more, and sank into malnutrition or starvation. There were riots in more than 30 countries, and at least one government was violently overthrown. Then, in spring 2008, prices just as mysteriously fell back to their previous level. Jean Ziegler, the UN Special Rapporteur on the Right to Food, calls it "a silent mass murder", entirely due to "man-made actions." Through the 1990s, Goldman Sachs and others lobbied hard and the regulations [controlling agricultural futures contracts] were abolished. Suddenly, these contracts were turned into "derivatives" that could be bought and sold among traders who had nothing to do with agriculture. A market in "food speculation" was born. The speculators drove the price through the roof.
Note: Some researchers speculate that the global elite are aware that alternative energies will eventually replace oil, which has been a prime means of control and underlying cause of many wars in recent decades. So as a replacement for oil, the elite and their secret societies are increasingly targeting control of the world's food supply through terminator crops which produce no seed, and through the patenting of seeds.
A 2004 study of the results of stock trading by United States Senators during the 1990s found that Senators on average beat the market by 12% a year. In sharp contrast, U.S. households on average underperformed the market by 1.4% a year and even corporate insiders on average beat the market by only about 6% a year during that period. A reasonable inference is that some Senators had access to and were using material nonpublic information about the companies in whose stock they trade. Under current law, it is unlikely that Members of Congress can be held liable for insider trading. The proposed Stop Trading on Congressional Knowledge Act addresses that problem by instructing the Securities and Exchange Commission to adopt rules intended to prohibit such trading. This article analyzes present law to determine whether Members of Congress, Congressional employees, and other federal government employees can be held liable for trading on the basis of material nonpublic information. It argues that there is no public policy rationale for permitting such trading and that doing so creates perverse legislative incentives and opens the door to corruption. The article explains that the Speech or Debate Clause of the U.S. Constitution is no barrier to legislative and regulatory restrictions on Congressional insider trading.
Note: Do you think that these highly successful investors in the US Senate might have a vested interest in protecting the existing financial and legal structure that makes their profits possible and protects them from criminal charges?
Iraqi authorities are investigating a fire that destroyed sensitive documents during an apparent Al Qaeda in Iraq attack against the Central Bank of Iraq, amid suspicions that the fire may have been set to destroy evidence in a potentially huge corruption case, officials say. Investigators became suspicious ... after they discovered that the fire was not caused by [the attack] but rather appeared to have been started deliberately in a second-floor room that is used by the inspector general responsible for investigating corruption cases, said Sabah Saadi, who heads the Integrity Committee in Iraq's parliament, charged with monitoring corruption. According to Saadi, the fire destroyed documents stored in the room that pertained to a particularly sensitive case involving a series of fraudulent checks drawn against accounts held by different companies with state-owned banks. At least $711 million had been found to be missing in the scheme, and two bank managers had been detained as part of an investigation before the fire, he said. But Saadi suspects that the scam may have been much larger and could have involved many more people. The investigation into the fire raises tantalizing questions about the nature of the attack, the role of Al Qaeda in Iraq and the extent of corruption in the country.
Note: This highly visible attack by "terrorists" masking the destruction of evidence of government corruption parallels the attacks of 9/11, in which the destruction (likely by controlled demolition) of WTC 7 served to destroy massive evidence of government and corporate fraud in SEC cases under investigation.
Genetic engineers, move over: the latest scheme for creating children to a parents specifications requires no DNA tinkering, but merely giving mom a steroid while shes pregnant, and presto - no chance that her daughters will be lesbians or (worse?) uppity. Or so one might guess from the storm brewing over the prenatal use of that steroid, called dexamethasone. In February, bioethicist Alice Dreger of Northwestern University and two colleagues blew the whistle on the controversial practice of giving pregnant women dexamethasone to keep the female fetuses they are carrying from developing ambiguous genitalia. Dreger and her colleagues pluck numerous brow-raising statements from the writings of pediatric endocrinologist Maria New of Mount Sinai Medical Center in New York, who has long promoted prenatal dexamethasone. New has indeed argued that prenatal androgens can affect a womans sexual orientation, her interest in becoming a mother and housewife, her interest in traditionally masculine careers, andin childhoodwhether she plays with dolls or trucks. A book that Harvard University Press will publish in September, called Brain Storm: Flaws in the Science of Sex Differences, argues that studies claiming to find innate, sex-based brain differences are seriously flawed.
Important Note: Explore our full index to key excerpts of revealing major media news articles on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.
