China fines foreign shipping firms

Chinese authorities have imposed multimillion dollar fines on several overseas shipping companies accusing them of price fixing. This is the latest case involving Beijing's scrutiny of foreign firms.

Deutsche Welle, 28 December 2015

China on Monday fined seven major Korean, Japanese and European shipping companies that transport vehicles for automakers a combined 407 million yuan (around $65 million, 59 million euros) on price-fixing charges.

Investigators found Europe's Wallenius Wilhelmsen, South Korea's EUKOR, Japan's Mitsui O.S.K. Lines and other shippers improperly coordinated bids and routes to keep prices high, said China's National Development and Reform Commission (NDRC) - the top state planner and one of several agencies tasked with oversight of monopoly cases.

An eighth shipper, Japan's NYK Line, was also implicated but escaped a fine by cooperating with the authorities, the NDRC said. The biggest penalty of 284 million yuan (about $45 million) was imposed on EUKOR Car Carriers Inc.

The commission accused the companies of mutually agreeing to raise shipping costs and using unfair means to set prices - mainly on routes linking China with North America, South America and Europe.

The latest penalties target "roll-on, roll-off" shippers that move cars, trucks and construction equipment aboard specialized vessels carrying hundreds and sometimes thousands of vehicles.

The NDRC said the companies had already acknowledged responsibility and apologized.

Sweeping investigations

The case follows sweeping investigations into foreign firms in China in sectors ranging from technology to autos.

Business groups say the secretive and abrupt way investigations are conducted is alienating foreign companies. But regulators deny foreign companies are treated unfairly.

Regulators have investigated or penalized auto makers, dairies and technology suppliers under China's 2008 anti-monopoly law in an effort to force down prices Chinese consumers complain are too high.

In August last year, the Chinese government levied a combined 1.24 billion yuan fine on 12 Japanese auto parts firms for price-fixing.

And in perhaps the biggest anti-monopoly penalty imposed by Chinese authorities to date, US chipmaker Qualcomm was fined 6 billion yuan ($975 million) in February on charges it abused its dominance in wireless technology to charge "unfairly high" licensing fees.

sri/hg (AFP, AP)

Italian football star Vincenzo Iaquinta to be tried for mafia links

An Italian judge has ordered more than 140 people to stand trial over alleged ties to 'Ndrangheta mafia. The officials suspect ex-Juventus striker and national team member Vincenzo Iaquinta of intending to aid the clan.

Deutsche Welle, 22 December 2015

Iaquinta was indicted for illegal possession of firearms, aggravated by intention to help the Calabrian 'Ndrangheta organization, his lawyer Carlo Taormina said on Monday.

The footballer's father, businessman Giuseppe Iaquinta, faces a more serious charge of mafia association, according to Taormina.

The 36-year old Iaquinta played for several Italian clubs, including the famous Juventus, and was part of Italy's national team which won the World Cup in 2006.

Hoy cumple 36 años el futbolista italiano Vincenzo Iaquinta pic.twitter.com/qL2zw37eUN

— Roy N'Coma (@RodrigoCornell) November 22, 2015

The Italian court ordered the Calabrian-born athlete and more than 140 other people to stand trial for their aiding or joining 'Ndrangheta, Italy's most powerful organized crime network.

A number of the suspects allegedly aided 'Ndrangheta to in their bid to infiltrate the country's north, where the influence of the mafia is traditionally weaker.

The trial is set to start in March 2016.

The Calabrian clan is rumored to control most of Europe's cocaine trade. Their name - 'Ndrangheta - comes from the Greek word for courage or loyalty, and prospective members are required to take an elaborate oath in order to join the organization.

IAAF deputy general secretary steps aside over leaked email

Yahoo – AFP, 22 December 2015

Nick Davies, deputy general secretary of the IAAF, pictured on November 9,
2015, steps down from his role (AFP Photo/Adrian Dennis)

Paris (AFP) - The IAAF's deputy general secretary Nick Davies confirmed on Tuesday that he has stepped down from his role pending an investigation into a plot to delay the naming of Russian drug cheats.

"I have decided to step aside from my role with the IAAF until such time as the Ethics Board is able to review the matter properly and decide if I am responsible for any breach of the IAAF Code of Ethics," Davies said in a statement released by the International Association of Athletics Federations.

French newspaper Le Monde and the BBC reported on Monday that Davies had discussed the plan in an email sent before the 2013 Moscow World Championships to Papa Massata Diack, who worked as an IAAF marketing consultant at the time and is the son of former IAAF president Lamine Diack.

"What has become apparent today is that I have become the story," added Davies, who is the closest aide to current IAAF president Sebastian Coe.

"In order to demonstrate that I am willing to have all allegations of unethical behaviour on my part in 2013 properly and fairly investigated I have referred my emails to Papa Massata Diack in 2013, my statements and the circumstances of the emails to the IAAF Ethics Board."

Le Monde and the BBC reported on Monday that, in the email, which was sent just weeks before the 2013 World Championships, Davies wrote he needed to sit down with the anti-doping team to discuss "Russian skeletons in the cupboard".

Davies stressed in the email that any Russians already caught cheating "should NOT" be in the Russian team in Moscow and that this should be made clear to Valentin Balakhnichev, then president of the Russian athletics federation and IAAF treasurer.

"If the guilty ones are not competing, then we might as well wait until the event is over to announce them," Davies said according to the report.

"Or, we announce one or two BUT AT SAME TIME as athletes from other countries.

"Also, we can prepare a special dossier on IAAF testing which will show that one of reasons why these Russian athletes come up positive is that they get tested a lot!!!"

Last month, Russia was provisionally suspended from track and field over accusations of "state-sponsored" doping as the IAAF scrambled to salvage the sport's credibility just nine months out from the Rio de Janeiro Olympics.

Lamine Diack resigned from his position on the International Olympic Committee in November after being charged with corruption, money laundering and conspiracy.

On Monday the 82-year-old Senegalese was hit with new corruption charges linked to doping cover-ups in world athletics, a source close to the inquiry told AFP.

Lamine Diack served as head of the IAAF for 16 years until August, when he was succeeded by Coe.

Related Article:

Van Praag calls for football to clean up its act in wake of Blatter scandal

Israel interior minister quits over sex crime accusations

Yahoo – AFP, 20 December 2015

Silvan Shalom, pictured on December 11, 2015, is Quitting his posts as interior
minister and vice-premier and leavin politics (AFP Photo/Alberto Pizzoli)

Jerusalem (AFP) - Israel's interior minister and vice-premier, Silvan Shalom, said Sunday he was quitting his posts and leaving politics over media reports of sexual harassment and indecent assault.

"Under these circumstances I have decided to resign from my position as minister and member of parliament," he said in a statement.

"My family is giving me full support but there is no justification for the price being exacted from it."

Israel's attorney-general instructed police to investigate the reports, said a justice ministry report issued after Shalom's announcement.

Israeli media, led by the left-leaning Haaretz, have reported multiple allegations by former members of Shalom's staff of sexual misconduct.

Last week, the paper reported that an ex-staffer accused the minister but did not lodge an official police complaint.

"The woman said that more than a decade ago, Shalom asked her to perform oral sex, abusing his authority over her. However, that case cannot be prosecuted because of the statute of limitations," the paper reported.

That same allegation surfaced last year as Shalom, of Prime Minister Benjamin Netanyahu's rightwing Likud party, was tipped as a presidential candidate to succeed Shimon Peres.

Its resurrection has brought other complaints in its wake.

"Following the report," Haaretz wrote on Sunday, "several other women also alleged that the minister sexually assaulted them".

The Jerusalem Post reported that 11 women had alleged "inappropriate sexual advances toward them".

The English-language daily added that his seat in parliament would pass to Amir Ohana, whom it said would become the first "openly gay" Likud MP.

Israel has been plagued by many high-level sex cases, notably the December 2010 conviction of president Moshe Katsav for rape and sexual assault.

He started a seven-year prison sentence the following year.

In January 2015, attorney general Yehuda Weinstein urged the public not to lose faith in Israel's police force despite sex and sexual harassment scandals reaching as high as the deputy national commissioner, the chief of police in the occupied West Bank and the Jerusalem police chief.

Similar cases have blighted the army.

Reviled US pharma chief arrested on fraud charges

Yahoo – AFP, Thomas Urbain, December 17, 2015

Martin Shkreli (C) leaves the federal court in New York on December 17,
2015 (AFP Photo/Jewel Samad)

New York (AFP) - A reviled US pharmaceutical boss who caused a storm in September by jacking up the price of a life-saving drug by 5,000 percent was arrested Thursday on fraud charges, prosecutors said.

The arrest of Martin Shkreli -- who has appeared to revel in his notoriety -- was not linked to the massive increase in the price of Daraprim, a drug used to treat malaria and infections suffered by people with HIV.

The former hedge fund manager, 32, is accused of stealing $11 million in what the FBI described as a "securities fraud trifecta of lies, deceit and greed."

Prosecutors said the scheme involved another company he once led, Retrophin, and two hedge funds.

"As alleged, Martin Shkreli engaged in multiple schemes to ensnare investors through a web of lies and deceit," said Robert Capers, US Attorney for the Eastern District of New York.

"His plots were matched only by efforts to conceal the fraud, which led him to operate his companies, including a publicly traded company, as a Ponzi scheme, where he used the assets of the new entity to pay off debts from the old entity."

It began in 2009 when Shkreli allegedly lied to eight people to get them to invest about $3 million in his hedge fund, Capers told a press conference.

When he lost the money through "bad trades" he started a new fund to try to cover the losses and continue to line his pockets.

Shkreli was also charged by the Securities and Exchange Commission.

"Over a five-year period, Shkreli is alleged to have perpetrated a series of frauds on investors in his hedge funds and Retrophin's shareholders in order to cover up his poor trading decisions," said Andrew Ceresney, director of the SEC's enforcement division.

Martin Shkreli (2nd R), CEO of Turing Pharmaceutical, is brought out of 26 

Federal Plaza by law enforcement officials after being arrested for securities 

fraud on December 17, 2015 in New York City (AFP Photo/Andrew Burton)

Shkreli is accused of siphoning about $120,000 from one of the hedge funds to pay for food, clothing, rent and other personal expenses.

He is also accused of lying to investors about one of the fund's size and performance by claiming returns of nearly 36 percent when it had really generated a loss of 18 percent and saying the fund had $35 million in assets when it really had less than $7,000.

He allegedly stole $900,000 in 2013 from one of the funds to settle with a broker who was suing him and stole more money to pay off disgruntled investors who were threatening legal action.

Also arrested was Evan Greebel, a lawyer who was outside counsel to Retrophin.

Reveling in controversy

Shkreli gained notoriety in September when his company Turing Pharmaceuticals raised the price of Daraprim from $13.50 a tablet to $750 after acquiring the drug.

The move -- and his arrogant response to the controversy -- was angrily denounced by US politicians.

"Price gouging like this in the specialty drug market is outrageous," Democratic frontrunner Hillary Clinton said on Twitter, vowing to fight runaway drug prices.

Turing later announced that while it would not lower the drug's per tablet price, it would negotiate agreements with health groups on wholesale prices.

Shkreli, the chief executive of the company, specializes in buying patents on inexpensive drugs and then hiking their price.

In November, he gained control of another drug company, Kalobios Pharmaceuticals, whose stock price plummeted on news of his arrest, falling 53.24 percent to $11.03 before trading was suspended.

Reveling in controversy, Shkreli made waves earlier this month by buying a secret Wu-Tang Clan album for $2 million, "Once Upon a Time in Shaolin."

Turing Pharmaceuticals did not immediately return a request for comment.

Hundreds of large firms paying no tax in Australia

Yahoo – AFP, December 17, 2015

Some 600 of the biggest firms operating in Australia, including Qantas and
Glencore, paid no income tax in the 2013-14 financial year, data shows
(AFP Photo/William West)

Sydney (AFP) - Some 600 of the biggest firms operating in Australia, including Qantas and Glencore, paid no income tax in the 2013-14 financial year, data showed Thursday as the government vowed to keep targeting loopholes.

There has been a global push, including in Australia, for large local and multinational companies to stop using sophisticated structures to avoid or lower their tax payments, which has seen governments lose billions in revenue.

The tax details of around 1,500 large corporations were released by the Australian Taxation Office as a "step forward in improving corporate tax transparency", its Commissioner Chris Jordan said in a statement.

While Jordan said companies that did not incur a tax bill were not necessarily avoiding payments, he warned multinational firms -- some of which fronted a parliamentary inquiry this year on tax minimisation -- that their "aggressive arrangements" would be scrutinised.

"Some of these foreign-owned companies are overly aggressive in the way they structure their operations," he said.

"We will continue to challenge the more aggressive arrangements to show that we are resolute about ensuring companies are not unreasonably playing on the edge. If they do, they can expect to be challenged."

Britain in March introduced a so-called "Google tax" on firms that divert profits overseas, while Australia recently passed a law to lift transparency requirements that would also see disclosures required for private companies with turnover of Aus$200 million (US$144 million).

The data showed that Apple raked in Aus$6.2 billion in total income in Australia for the 2013-14 year, but only had a taxable income of Aus$247.4 million and a tax bill of Aus$74.1 million.

Swiss commodity giant Glencore booked combined revenue of some Aus$17.4 billion for the same period for three reporting entities, but paid no tax for any of them.

Likewise, Australian carrier Qantas and oil and gas company ExxonMobil Australia were among other household names that made billions in total income but paid no tax for 2013-14.

Assistant Treasurer Kelly O'Dwyer said Australia had worked with the G20 and Organisation for Economic Cooperation and Development to close the tax loopholes of multinationals, and had strengthened the powers of the ATO.

"It is critically important that multinational... companies are paying their fair share of tax and that's why the government has been very quick to lead this debate through the G20," she told reporters Thursday.

Opposition Labor senator Sam Dastyari, who chaired the tax inquiry, said the data supported the need for "tougher laws to crack down on this type of behaviour".

Parliamentary chairwoman shredded tip-off letter about Teeven drugs money deal

DutchNews, December 10, 2015

The row over a multi-million guilder deal agreed between a senior justice ministry official and a drugs baron spilled into parliament on Wednesday evening, following revelations that the parliamentary chairwoman had an anonymous letter about the deal shredded. 

Oppostion MPs now want to question Anouchka van Miltenburg about the deal, following the publication of a damning report on the scandal on Wednesday. Both Van Miltenburg and the former minister at the centre of the deal – Fred Teeven – are members of the ruling VVD. 

The letter, from someone who worked at the justice ministry, gave details about the 4.7 million guilder payment agreed between Teeven and drugs baron Cees H in 2000. As part of the deal, Teeven agreed to return the money to H in return for a fine of 750,000 guilders. 

In the letter, the tipster said justice minister Ivo Opstelten had wrongly informed parliament about the deal by saying there were no receipts or other evidence about it. Both Teeven and Opstelten resigned this March. 

At the time, Van Miltenburg’s staff shredded the letter. When confronted about it later, and given a copy by reporters, she said this was normal practice with anonymous letters. Van Miltenburg continued to ignore the letter and told staff the matter was a ‘storm in a teacup’.

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Opstelten and Teeven during their press conferences. Photos: Nos

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"The Recalibration Scenario" (2) - Dec 6, 2015 (Kryon Channelling by Lee Carroll) - New

"Recalibration of Free Choice"–  Mar 3, 2012 (Kryon Channelling by Lee Carroll) - (Subjects: (Old) Souls, Midpoint on 21-12-2012, Shift of Human Consciousness, Black & White vs. Color, 1 - Spirituality (Religions) shifting, Loose a Pope “soon”, 2 - Humans will change react to drama, 3 - Civilizations/Population on Earth,  4 - Alternate energy sources (Geothermal, Tidal (Paddle wheels), Wind), 5 – Financials Institutes/concepts will change (Integrity – Ethical) , 6 - News/Media/TV to change, 7 – Big Pharmaceutical company will collapse “soon”, (Keep people sick), (Integrity – Ethical)  8 – Wars will be over on Earth, Global Unity, … etc.) - (Text version)

“…5 - Integrity That May Surprise…

The Unthinkable… Politics, A Review

Humans will begin to search for integrity and fairness and it's going to happen in the places you never expect. I said this last week, so this is a review. There'll come a time when you will demand this of your politics - fairness and integrity. So when the candidates start calling each other names, you will turn your back on them and they won't get any votes. They're going to get the point real fast, don't you think? How about that?

Let me give you another potential. This country that I sit in right now [USA] will set the mold for that particular attribute. I have no clock. Watch for the youngsters to set this in motion, and they will, for they are the voters of tomorrow and they do not want the energy of today. To some of them, it's so abominable they won't even register to vote in this energy. You're going to see this soon. That was number five.. ..."

Former housing corporation head jailed for 2.5 years for bribery, fraud

DutchNews, December 10, 2015

The former head of housing association Rochdale has been jailed for 2.5 years for bribery, fraud, tax evasion and money laundering. 

Hubert Mollenkamp, who is 66, was sacked in 2009 when the bribery scandal broke. Known for his love of fast cars, including a Maserati, Mollenkamp is thought to have taken bribes worth some €2m over a 10-year period. 

Mollenkamp’s wife and two former business partners were also found guilty of fraud and bribery. His wife was given 240 hours community service and the two business partners jail terms of one and two months. 

Rochdale is based in Amsterdam and has some 38,000 social housing properties on its books.

Malaysian premier questioned over unexplained millions in deposits

Malaysian anti-graft investigators have questioned Prime Minister Najib Razak over millions of dollars deposited onto his bank accounts. The money is alleged to come from Middle East donors.

Deutsche Welle, 5 Dec 2015

In a statement issued on Saturday, the Malaysian Anti-Corruption Commission (MACC) said Najib had cooperated fully with its officers during a two-and-a-half-hour meeting during which he was interviewed about 673 million dollars received on his bank accounts.

Najib has faced calls to resign and criticism from within his own party over his failure to explain fully where the money came from and the reasons why it was paid.

In July, the "Wall Street Journal" suggested in a report that the money had been misappropriated from the 1Malaysia Development Berhad (1MHD). Najib denied the allegations but has not taken any legal action against the newspaper. The prime minister chairs the 1MDB advisory board.

1MDB is also under investigation by authorities in Switzerland, Hong Kong and the United States, according to media and other sources.

The MACC, which is under the prime minister's office, has said the money came from unnamed Middle East benefactors, but the motive for the alleged donations has not been revealed.

The Commission said it had also questioned Najib about corruption allegations at SRC International, a firm linked to 1MDB.

The anti-corruption body's statement said it would keep the public informed of developments in the probe.

tj/sms (Reuters, dpa)

Top FIFA officials among 16 indicted in widening scandal

Yahoo – AFP, 4 Dec 2015

US Attorney General Loretta Lynch speaks about the corruption scandal

 engulfing FIFA at the Justice Department in Washington, DC, on December 3,

2015 (AFP Photo/Nicholas Kamm)

Washington (AFP) - Sixteen more top football officials were charged in a dramatic widening of the FIFA corruption scandal on Thursday, as US prosecutors vowed to leave no stone unturned in their quest to root out graft.

Several senior FIFA officials from the past or present were named in a 92-count US Justice Department indictment which came after a series of dawn raids at a luxury hotel in Zurich hosting FIFA officials.

Among those indicted on Thursday were the president of the South American Football Confederation (CONMEBOL), Juan Angel Napout, and Alfredo Hawit, head of the North, Central American and Caribbean ruling body (CONCACAF).

Other notable officials indicted include Ricardo Teixeira, the once-powerful former head of the Brazilian Football Confederation and a former FIFA vice-president.

The indicted also included Ariel Alvarado, a Panamanian official who currently sits on FIFA's disciplinary committee.

The main players in the deepening FIFA corruption scandal (135 x 156 mm)

(AFP Photo/S.Ramis-K.Tian/P. Defosseux)

"The message from this announcement should be clear to every culpable individual who remains in the shadows, hoping to evade our investigation: You will not wait us out. You will not escape our focus," US Attorney General Loretta Lynch said, describing the allegations as "outrageous" and "unconscionable."

Lynch revealed that eight more people indicted since authorities launched an earlier wave of FIFA raids and arrests in Switzerland in May had now pleaded guilty.

"I can report eight additional defendants have agreed to plead guilty for their involvement in the corruption scheme," she said.

Millions forfeited

Among those who had pleaded guilty were Jeffrey Webb, a former FIFA vice president and head of CONCACAF.

Webb, who was indicted when the corruption scandal erupted earlier this year, has pleaded guilty to racketeering conspiracy, three counts of wire fraud and three counts of money laundering conspiracy.

As part of his plea deal, Webb has agreed to forfeit more than $6.7 million in assets.

Webb and former CONCACAF chief Jack Warner, who was indicted earlier, were also accused of siphoning off cash intended for disaster relief, according to the new indictment.

"Certain of the defendants and their co-conspirators, including the defendant Jack Warner and Jeffrey Webb, took advantage of these opportunities and embezzled or otherwise personally appropriated funds provided by FIFA, including funds intended for natural disaster relief," the indictment read.

Several senior FIFA officials from the past or present were named in a

 92-count US Justice Department indictment which came after a series of dawn

 raids at a luxury hotel in Zurich hosting FIFA officials The unprecedented 

corruption scandal engulfing FIFA widened on December 3 with the arrests of

 two more top officials in another dramatic dawn raid at a luxury hotel in Zurich.

(AFP Photo/Fabrice Coffrini)

Napout and Hawit are both in Switzerland where they are now fighting extradition to the United States, officials said.

Both men are suspected of taking millions of dollars in bribes in return for selling marketing rights for regional tournaments and World Cup qualifying matches, according to the US indictment.

The investigation also covered the payment and receipt of bribes in connection with the sponsorship of the Brazilian soccer federation by a major US sportswear company, and the selection of the host country for the 2010 World Cup and the 2011 FIFA presidential election. Lynch would not confirm that the US sportswear company was Nike.

Federal Bureau of Investigation director James Comey meanwhile said those indicted had run corrupt schemes spanning decades.

"For decades, these defendants used their power as the leaders of soccer federations throughout the world to create a web of corruption and greed that compromises the integrity of the beautiful game," Comey said.

Lynch meanwhile dismissed claims by FIFA's suspended President Sepp Blatter that the US investigation was triggered by sour grapes over the country's failed bid for the 2022 World Cup, controversially awarded to Qatar in a 2010 vote.

"I think (Blatter) is well aware of the nature of our charges," Lynch said.

"This covers years of conduct by dozens and dozens of people from the past into the future. I called it outrageous and unconscionable. That still stands."