In Britain, spate of prosecutions for Twitter and Facebook tirades spark free-speech debate
















LONDON – One teenager made offensive comments about a murdered child on Twitter. Another young man wrote on Facebook that British soldiers should “go to hell.” A third posted a picture of a burning paper poppy, symbol of remembrance of war dead.


All were arrested, two convicted, and one jailed — and they’re not the only ones. In Britain, hundreds of people are prosecuted each year for posts, tweets, texts and emails deemed menacing, indecent, offensive or obscene, and the number is growing as our online lives expand.













Lawyers say the mounting tally shows the problems of a legal system trying to regulate 21st century communications with 20th century laws. Civil libertarians say it is a threat to free speech in an age when the Internet gives everyone the power to be heard around the world.


“Fifty years ago someone would have made a really offensive comment in a public space and it would have been heard by relatively few people,” said Mike Harris of free-speech group Index on Censorship. “Now someone posts a picture of a burning poppy on Facebook and potentially hundreds of thousands of people can see it.


“People take it upon themselves to report this offensive material to police, and suddenly you’ve got the criminalization of offensive speech.”


Figures obtained by The Associated Press through a freedom of information request show a steadily rising tally of prosecutions in Britain for electronic communications — phone calls, emails and social media posts — that are “grossly offensive or of an indecent, obscene or menacing character — from 1,263 in 2009 to 1,843 in 2011. The number of convictions grew from 873 in 2009 to 1,286 last year.


Behind the figures are people — mostly young, many teenagers — who find that a glib online remark can have life-altering consequences.


No one knows this better than Paul Chambers, who in January 2010, worried that snow would stop him catching a flight to visit his girlfriend, tweeted: “Crap! Robin Hood airport is closed. You’ve got a week and a bit to get your (expletive) together otherwise I’m blowing the airport sky high.”


A week later, anti-terrorist police showed up at the office where he worked as a financial supervisor.


Chambers was arrested, questioned for eight hours, charged, tried, convicted and fined. He lost his job, amassed thousands of pounds (dollars) in legal costs and was, he says, “essentially unemployable” because of his criminal record.


But Chambers, now 28, was lucky. His case garnered attention online, generating its own hashtag — (hash)twitterjoketrial — and bringing high-profile Twitter users, including actor and comedian Stephen Fry, to his defence.


In July, two and half years after Chambers’ arrest, the High Court overturned his conviction. Justice Igor Judge said in his judgment that the law should not prevent “satirical or iconoclastic or rude comment, the expression of unpopular or unfashionable opinion about serious or trivial matters, banter or humour, even if distasteful to some or painful to those subjected to it.”


But the cases are coming thick and fast. Last month, 19-year-old Matthew Woods was sentenced to 12 weeks in jail for making offensive tweets about a missing 5-year-old girl, April Jones.


The same month Azhar Ahmed, 20, was sentenced to 240 hours of community service for writing on Facebook that soldiers “should die and go to hell” after six British troops were killed in Afghanistan. Ahmed had quickly deleted the post, which he said was written in anger, but was convicted anyway.


On Sunday — Remembrance Day — a 19-year-old man was arrested in southern England after police received a complaint about a photo on Facebook showing the burning of a paper poppy. He was held for 24 hours before being released on bail and could face charges.


For civil libertarians, this was the most painfully ironic arrest of all. Poppies are traditionally worn to commemorate the sacrifice of those who died for Britain and its freedoms.


“What was the point of winning either World War if, in 2012, someone can be casually arrested by Kent Police for burning a poppy?” tweeted David Allen Green, a lawyer with London firm Preiskel who worked on the Paul Chambers case.


Critics of the existing laws say they are both inadequate and inconsistent.


Many of the charges come under a section of the 2003 Electronic Communications Act, an update of a 1930s statute intended to protect telephone operators from harassment. The law was drafted before Facebook and Twitter were born, and some lawyers say is not suited to policing social media, where users often have little control over who reads their words.


It and related laws were intended to deal with hate mail or menacing phone calls to individuals, but they are being used to prosecute in cases where there seems to be no individual victim — and often no direct threat.


And the Internet is so vast that policing it — even if desirable — is a hit-and-miss affair. For every offensive remark that draws attention, hundreds are ignored. Conversely, comments that people thought were made only to their Facebook friends or Twitter followers can flash around the world.


While the U.S. Supreme Court has ruled that First Amendment protections of freedom of speech apply to the Internet, restrictions on online expression in other Western democracies vary widely.


In Germany, where it is an offence to deny the Holocaust, a neo-Nazi group has had its Twitter account blocked. Twitter has said it also could agree to block content in other countries at the request of their authorities.


There’s no doubt many people in Britain have genuinely felt offended or even threatened by online messages. The Sun tabloid has launched a campaign calling for tougher penalties for online “trolls” who bully people on the Web. But others in a country with a cherished image as a bastion of free speech are sensitive to signs of a clampdown.


In September Britain’s chief prosecutor, Keir Starmer, announced plans to draw up new guidelines for social media prosecutions. Starmer said he recognized that too many prosecutions “will have a chilling effect on free speech.”


“I think the threshold for prosecution has to be high,” he told the BBC.


Starmer is due to publish the new guidelines in the next few weeks. But Chambers — reluctant poster boy of online free speech — is worried nothing will change.


“For a couple of weeks after the appeal, we got word of judges actually quoting the case in similar instances and the charges being dropped,” said Chambers, who today works for his brother’s warehouse company. “We thought, ‘Fantastic! That’s exactly what we fought for.’ But since then we’ve had cases in the opposite direction. So I don’t know if lessons have been learned, really.”


___


Jill Lawless can be reached at http://Twitter.com/JillLawless


Social Media News Headlines – Yahoo! News



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Lisa Whelchel Has West Nile Virus






Survivor










11/15/2012 at 07:30 AM EST







Lisa Whelchel


Scott Kirkland/PictureGroup


She has been plotting and scheming her way through Survivor: Philippines, but now Lisa Whelchel is facing another challenge: She is fighting the West Nile virus.

On Tuesday, the newly single former Facts of Life star, 49, tweeted her diagnosis. "Dr. just called with blood test results...I have West Nile. Ugh. I'm fine, just tired. Takes a year to recover," she wrote.

There is no indication that her diagnosis is related to her stint on Survivor, which wrapped up filming in April. Although the disease is spread by mosquitoes, there have been nearly 4,000 cases in the U.S. this year. The symptoms include fatigue and body aches.

Although battling West Nile isn't the type of challenge Whelchel wants, she told PEOPLE in September that she looks at life as one big adventure.

After signing up for Survivor, "I didn't have one moment where I regretted being out there," she said. "In fact, the contrary. I was having an adventure; I was doing something that was a challenge, that was very hard."

Whelchel later Tweeted her thanks to well-wishers, adding that she's "expecting a full recovery."

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Booze calories nearly equal soda's for US adults

NEW YORK (AP) — Americans get too many calories from soda. But what about alcohol? It turns out adults get almost as many empty calories from booze as from soft drinks, a government study found.

Soda and other sweetened drinks — the focus of obesity-fighting public health campaigns — are the source of about 6 percent of the calories adults consume, on average. Alcoholic beverages account for about 5 percent, the new study found.

"We've been focusing on sugar-sweetened beverages. This is something new," said Cynthia Ogden, one of the study's authors. She's an epidemiologist with the Centers for Disease Control and Prevention which released its findings Thursday.

The government researchers say the findings deserve attention because, like soda, alcohol contains few nutrients but plenty of calories.

The study is based on interviews with more than 11,000 U.S. adults from 2007 through 2010. Participants were asked extensive questions about what they ate and drank over the previous 24 hours.

The study found:

—On any given day, about one-third of men and one-fifth of women consumed calories from beer, wine or liquor.

—Averaged out to all adults, the average guy drinks 150 calories from alcohol each day, or the equivalent of a can of Budweiser.

—The average woman drinks about 50 calories, or roughly half a glass of wine.

—Men drink mostly beer. For women, there was no clear favorite among alcoholic beverages.

—There was no racial or ethnic difference in average calories consumed from alcoholic beverages. But there was an age difference, with younger adults putting more of it away.

For reference, a 12-ounce can of regular Coca-Cola has 140 calories, slightly less than a same-sized can of regular Bud. A 5-ounce glass of wine is around 100 calories.

In September, New York City approved an unprecedented measure cracking down on giant sodas, those bigger than 16 ounces, or half a liter. It will take effect in March and bans sales of drinks that large at restaurants, cafeterias and concession stands.

Should New York officials now start cracking down on tall-boy beers and monster margaritas?

There are no plans for that, city health department officials said, adding in a statement that while studies show that sugary drinks are "a key driver of the obesity epidemic," alcohol is not.

Health officials should think about enacting policies to limit alcoholic intake, but New York's focus on sodas is appropriate, said Margo Wootan, director of nutrition policy for the Center for Science in the Public Interest, a public health advocacy group.

Soda and sweetened beverages are the bigger problem, especially when it comes to kids — the No. 1 source of calories in the U.S. diet, she said.

"In New York City, it was smart to start with sugary drinks. Let's see how it goes and then think about next steps," she said.

However, she lamented that the Obama administration is planning to exempt alcoholic beverages from proposed federal regulations requiring calorie labeling on restaurant menus.

It could set up a confusing scenario in which, say, a raspberry iced tea may have a calorie count listed, while an alcohol-laden Long Island Iced Tea — with more than four times as many calories — doesn't. "It could give people the wrong idea," she said.

___

Online:

CDC report: http://www.cdc.gov/nchs/

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Stock futures rise amid concerns over "fiscal cliff", Mideast

NEW YORK (Reuters) - Stock index futures edged higher on Thursday, suggesting equities might stage a rebound from a series of weak sessions.


Equities have had difficulty holding onto gains lately, as investors seek reasons to buy amid uncertainty over the "fiscal cliff" and unrest in the Middle East. Futures had also indicated gains Wednesday morning, but stocks turned lower midday and ended down more than 1 percent.


With Wednesday's decline, both the Dow industrials and the Nasdaq ended at their lowest levels since late June. The S&P 500 is down 5.1 percent in the six sessions since election night. Wednesday marked the benchmark index's lowest close since July 25.


Investors may seek bargains at these levels, and a round of economic data could prove to be a catalyst, but many analysts say strong gains may be hard to come by until at least one of the many global macroeconomic headwinds have been resolved.


S&P 500 futures rose 4.2 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures added 20 points and Nasdaq 100 futures rose 7.75 points.


Wal-Mart Stores , Dell and Applied Materials are all scheduled to report quarterly results on Thursday.


Domestically, investors are looking at the fiscal cliff, a series of mandated tax hikes and spending cuts will start to take effect early next year that could push the U.S. economy into a recession.


President Obama Wednesday held to his position that marginal tax rates would have to rise to tackle the nation's deficits. Taxes on capital gains and dividends could rise as part of the negotiations, pushing investors to sell this year and pay lower taxes on their gains.


Overseas, Israel launched a major offensive against Palestinian militants in Gaza, killing the military commander of Hamas in an air strike and threatening an invasion of the enclave. Egypt said it recalled its ambassador from Israel in response.


The market will also watch the latest economic data, with weekly jobless claims, October consumer prices and a November read on New York manufacturing all due out at 8:30 a.m. (1330 GMT). The Philadelphia Federal Reserve Bank releases its November business activity survey at 10 a.m.


Claims are seen rising by 20,000 to 375,000 while consumer prices are seen up 0.1 percent, compared with a 0.6 percent rise in September, according to a Reuters poll. The Empire State manufacturing survey is seen coming in at -6.7, compared with -6.16 in October. The Philly Fed survey is seen dropping to 2 from 5.7 in October.


(Editing by W Simon)


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War looms after Hamas rocket kills 3 Israelis

GAZA (Reuters) - A Hamas rocket killed three Israelis north of the Gaza Strip on Thursday, drawing the first blood from Israel as the Palestinian death toll rose to 13 and a military showdown lurched closer to all-out war with an invasion of the enclave.


Israeli warplanes bombed targets in and around Gaza city, where tall buildings trembled. Plumes of smoke and dust furled into a sky laced with the vapor trails of outgoing rockets.


Egyptian President Mohamed Mursi said in a televised address to the nation that Israel's attacks on the Gaza Strip were "unacceptable" and would lead to instability in the region.


In a telephone conversation with U.S. President Barack Obama, Mursi said he had discussed "ways to reach calm and end the aggression".


The Palestinian Islamist group Hamas claimed it had fired a one-ton, Iranian-made Fajr 5 rocket at Tel Aviv in what would be a major escalation, but there was no reported impact in the Israeli metropolis 50 km (30 miles) north of the enclave.


Israel's sworn enemy Iran, which supports and arms Hamas, condemned the offensive begun by the Israel Defence Forces (IDF) as "organized terrorism".


Israel was more concerned about the mood in Egypt, whose new Islamist government brokered a truce between the two sides on Tuesday only to see it shattered a day later when Israel assassinated the top Hamas military commander.


Hamas is an offshoot of the Muslim Brotherhood which now controls Egypt, Israel's most powerful Arab neighbor and a crucial partner in the 1979 peace treaty that stands between fragile stability and regional chaos.


Cairo had condemned the offensive and recalled its ambassador from Israel.


Israel's ambassador left Cairo on what was called a routine home visit and Israel said its embassy would stay open. The dominant Muslim Brotherhood, spiritual mentor of Hamas, called for a 'Day of Rage' in Arab capitals on Friday.


In Lebanon, the Iranian-backed Shi'ite militia Hezbollah denounced Israel's strikes on Gaza as "criminal aggression" and called on Arab states to "stop the genocide".


Hezbollah has thousands of fighters and some 50,000 rockets in southern Lebanon aimed at the Jewish state, according to the Israeli army. But the northern front remained quiet.


DAY TWO


The Israeli army said 156 targets were hit in Gaza, 126 of them rocket launchers. It said 200 rockets had struck Israel since the start of the operation, 135 of them since midnight.


Israel's Iron Dome interceptor system, which singles out rockets heading for populated areas, shot down 18 rockets in the first hours of day two of Operation Pillar of Defence, it said.


One of those that got through caught its victims before they could reach the blast shelters that are everywhere in the Negev region, target for sporadic Palestinian rocket attacks from Gaza for the past five years.


Israeli police said the three died when a rocket hit a four-storey building in the town of Kiryat Malachi, some 25 km (15 miles) north of Gaza. They were the first Israeli fatalities of the latest conflict to hit the coastal region.


The offensive began on Wednesday when a precision Israeli air strike assassinated Hamas military mastermind Ahmed Al-Jaabari, and Israel shelled the enclave from land, air and sea.


The 13 killed in Gaza included Jaabari and six Hamas fighters plus six civilians, among them a pregnant woman with twins, an 11-month old boy and two infants, according to the enclave's health ministry. Medics reported at least 130 wounded.


At Jaabari's funeral on Thursday, supporters fired guns in the air celebrating news of the Israeli deaths, to chants for Jaabari of "You have won." His corpse was borne through the streets wrapped in a bloodied white sheet. But senior Hamas figures were not in evidence, wary of Israel's warning that they are now considered targets.


Expecting days or more of fighting, Israel warned Hamas that all its men were targets. Israeli warplanes dropped leaflets in Gaza telling residents to keep their distance from militants and Hamas facilities.


"The leaflets stress that Hamas is dragging the region toward violence, and that the IDF is prepared to defend the residents of the State of Israel until quiet is restored to the region," the military said in a statement.


The United States condemned Hamas, shunned by the West as an obstacle to peace for its refusal to renounce violence and recognize Israel.


"There is no justification for the violence that Hamas and other terrorist organizations are employing against the people of Israel," said Mark Toner, deputy State Department spokesman.


The U.N. Security Council held an emergency meeting late on Wednesday to discuss the Israeli assault. It called for a halt to the violence, but took no action.


In France, Foreign Minister Laurent Fabious said: "It would be a catastrophe if there is an escalation in the region. Israel has the right to security but it won't achieve it through violence. The Palestinians also have the right to a state."


Oil prices rose more than $1 as the crisis grew.


Hamas has said the killing of its top commander would "open the gates of hell" for Israel. It also appealed to neighboring Egypt to halt the "barbaric" assault.


"SAFETY NET"


A second Gaza war has loomed on the horizon for months as waves of Palestinian rocket attacks and Israeli strikes grew increasingly intense and frequent.


Israeli Prime Minister Benjamin Netanyahu, favored in opinion polls to win a January 22 general election, said on Wednesday the Gaza operation could be stepped up.


His cabinet has granted authorization for the mobilization of military reserves if required to press the offensive, dubbed "Pillar of Defence" in English and "Pillar of Cloud" in Hebrew after the Israelites' divine sign of deliverance in Exodus.


Israel's Operation Cast Lead in 2008-2009 began with a week of air attacks and shelling, followed by a land invasion of the blockaded coastal strip, sealed off at sea by the Israeli navy. Some 1,400 Palestinians were killed and 13 Israelis died.


Since the rise of Sunni Islamist power in the Arab Spring, Hamas has been emboldened, viewing Mursi as a "safety net" who will not permit a second Israeli thrashing of Gaza, home to 1.7 million Palestinians.


Israel says it has already destroyed much of Gaza's longer-range rocket stockpiles, an assertion seemingly confirmed when Hamas claims of hits on ambitious targets such as Tel Aviv, Ashdod and Israeli naval craft proved unfounded.


Gaza has an estimated 35,000 Palestinian fighters, no match for Israel's F-16 fighter-bombers, Apache helicopter gunships, Merkava tanks and other modern weapons systems in the hands of a conscript force of 175,000, with 450,000 in reserve.


(Additional reporting by Ari Rabinovitch in Jerusalem, Erika Solomon in Beirut, John Irish in Paris; Writing by Douglas Hamilton; Editing by Peter Graff)


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Software pioneer McAfee says framed for murder in Belize
















BELIZE CITY (Reuters) – Computer security industry pioneer John McAfee says he has gone into hiding in Belize because he believes authorities there are trying to frame him for the murder of a neighbor, a crime he says he did not commit, according to Wired magazine.


Belize police are searching for McAfee as “a person of interest” in a murder investigation.













“You can say I’m paranoid about it, but they will kill me, there is no question. They’ve been trying to get me for months. They want to silence me,” Wired quoted McAfee as saying on its website. “I am not well liked by the prime minister. I am just a thorn in everybody’s side.”


The magazine reported that McAfee, 67, contacted one of its reporters by telephone after his neighbor Gregory Faull, was found dead on Sunday in a pool of blood. The 52-year-old American was apparently shot in the head in his home on the island of Ambergris Caye.


Police say McAfee had a history of conflict with Faull, whose post-mortem was expected to be conducted on Tuesday.


McAfee, who amassed a fortune by building the anti-virus company that bears his name, has homes and businesses in the Central American country where police say he has lived for at least two years.


It was not the first time McAfee, who has tattoos, a goatee beard and mustache, and a penchant for guns, has drawn police attention in Belize.


His premises were raided earlier this year after he was accused of holding firearms, though most were found to be licensed. The final outcome of the case is pending.


He was also suspected of running a lab to make the synthetic drug crystal meth.


“He was suspected (of making crystal meth) but he was not convicted nor was he charged. He was only suspected,” said Belize police spokesman Raphael Martinez.


McAfee also owns a security company in Belize as well as several properties, an ecological enterprise and a water taxi and ferry business.


Reuters could not reach McAfee, who police want to question.


“It would be quite nice for him to come in and answer some of the questions that could lead to the closure of this case,” Martinez said. “He is not wanted for murder, but he is wanted for questioning as a person of interest.”


One man in Belize who knows McAfee well told Reuters he believed the American’s troubles began when he turned down requests for donations to the ruling United Democratic Party (UDP) to help fund its successful re-election bid in March.


“He rejected them because he doesn’t believe in participating in politics,” said the man, who spoke on condition of anonymity, calling McAfee an “honorable person.”


McAfee said earlier this year he had refused to donate to the UDP, which could not immediately be reached for comment.


The Belize police department has reached out to counterparts in neighboring Mexico and Guatemala, asking them to detain McAfee if he leaves Belize overland.


McAfee was one of Silicon Valley’s first entrepreneurs to amass a fortune by building a business off the Internet.


The former Lockheed systems consultant started McAfee Associates in 1989, initially distributing anti-virus software as “shareware” on Internet bulletin boards.


He took the company public in 1992 and left two years later following accusations that he had hyped the arrival of a virus known as Michelangelo, which turned out to be a dud, to scare computer users into buying his company’s products.


McAfee currently has no relationship with the software company, which has since been sold to Intel Corp.


(Reporting by Jim Finkle in Boston, Jose Sanchez in Belize City, Simon Gardner and Dave Graham in Mexico City; Editing by Kieran Murray and Eric Walsh)


Internet News Headlines – Yahoo! News



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Channing Tatum Is PEOPLE's Sexiest Man Alive!









11/14/2012 at 08:00 AM EST



He may have bared (almost) all of that incredibly chiseled body in this year's Magic Mike but 2012's Sexiest Man Alive Channing Tatum was still modest when he heard the news.

"My first thought was, 'Y'all are messing with me,'" says Tatum, who married actress Jenna Dewan-Tatum in 2009. "I told Jenna after we'd been in the bathtub washing our dogs because they'd gotten skunked."

Says the actor: "She was like, 'What?'"

"Yeah, she calls me [the Sexiest Man Alive] now," he adds. And who can blame her?

Her Alabama-bred heartthrob of a husband is also a sculptor who quotes Edgar Allan Poe, loves to give her massages and can't wait to start their family. "I'm ready; I think she's ready," Tatum, 32, says. "The first number that pops into my head is three, but I just want one to be healthy and then we'll see where we go after that."

"It’s really easy for us guys to say, 'I want like 15 kids,'" he continues. "Jenna will be like, 'Well you better get another wife!'"

Currently training to play an Olympic athlete in next year's Foxcatcher, Tatum is all heart and muscle at 195 pounds. "I like to be lean. If I get too bulky I can't move well and I like to move," he says. "When I'm not training, I get really round and soft."

Which is just fine by his wife. "People know him to be fun and sexy, but they don't know how emotionally deep and spiritually open he is," says Dewan-Tatum, 31. "He is such an open-hearted person; what you see is what you get."

For more of our exclusive interview and photos of Tatum – including more than 180 of your favorite sexiest men – pick up this week's issue of PEOPLE, on newsstands Friday

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Report: FDA wanted to close Mass pharmacy in 2003

WASHINGTON (AP) — Nearly a decade ago, federal health inspectors wanted to shut down the pharmacy linked to a recent deadly meningitis outbreak until it cleaned up its operations, according to congressional investigators.

About 440 people have been sickened by contaminated steroid shots distributed by New England Compounding Center, and more than 32 deaths have been reported since the outbreak began in September, according to the Centers for Disease Control and Prevention. That has put the Framingham, Mass.-based pharmacy at the center of congressional scrutiny and calls for greater regulation of compounding pharmacies, which make individualized medications for patients and have long operated in a legal gray area between state and federal laws.

The House Energy and Commerce Committee released a detailed history of NECC's regulatory troubles on Monday, ahead of a meeting Wednesday meeting to examine how the outbreak could have been prevented. The 25-page report summarizes and quotes from FDA and state inspection memos, though the committee declined to release the original documents.

The report shows that after several problematic incidents, Food and Drug Administration officials in 2003 suggested that the compounding pharmacy be "prohibited from manufacturing" until it improved its operations. But FDA regulators deferred to their counterparts in Massachusetts, who ultimately reached an agreement with the pharmacy to settle concerns about the quality of its prescription injections.

The congressional report also shows that in 2003 the FDA considered the company a pharmacy. That's significant because in recent weeks public health officials have charged that NECC was operating more as a manufacturer than a pharmacy, shipping thousands of doses of drugs to all 50 states instead of small batches of drugs to individual patients. Manufacturers are regulated by the FDA and are subject to stricter quality standards than pharmacies.

The report offers the most detailed account yet of the numerous regulatory complaints against the pharmacy, which nearly date back to its founding in 1998. Less than a year later, the company was cited by the state pharmacy board for providing doctors with blank prescription pads with NECC's information. Such promotional items are illegal in Massachusetts and the pharmacy's owner and director, Barry Cadden, received an informal reprimand, according to documents summarized by the committee.

Cadden was subject to several other complaints involving unprofessional conduct in coming years, but first came to the FDA's attention in 2002. Here are some key events from the report highlighting the company's early troubles with state and federal authorities:

__ In March of 2002 the FDA began investigating reports that five patients had become dizzy and short of breath after receiving NECC's compounded betamethasone repository injection, a steroid used to treat joint pain and arthritis that's different from the one linked to the current meningitis outbreak.

FDA inspectors visited NECC on April 9 and said Cadden was initially cooperative in turning over records about production of the drug. But during a second day of inspections, Cadden told officials "that he was no longer willing to provide us with any additional records," according to an FDA report cited by congressional investigators. The inspectors ultimately issued a report citing NECC for poor sterility and record-keeping practices but said that "this FDA investigation could not proceed to any definitive resolution," because of "problems/barriers that were encountered throughout the inspection."

__ In October of 2002, the FDA received new reports that two patients at a Rochester, N.Y., hospital came down with symptoms of bacterial meningitis after receiving a different NECC injection. The steroid, methylprednisolone acetate, is the same injectable linked to the current outbreak and is typically is used to treat back pain. Both patients were treated with antibiotics and eventually recovered, according to FDA documents cited by the committee.

When officials from the FDA and Massachusetts Board of Pharmacy visited NECC later in the month, Cadden said vials of the steroid returned by the hospital had tested negative for bacterial contamination. But when FDA scientists tested samples of the drug collected in New York they found bacterial contamination in four out of 14 vials sampled. It is not entirely clear whether FDA tested the same lot shipped to the Rochester hospital.

__ At a February 2003 meeting between state and federal officials, FDA staff emphasized "the potential for serious public consequences if NECC's compounding practices, in particular those relating to sterile products, are not improved." The agency issued a list of problems uncovered in its inspection to NECC, including a failure to verify if sterile drugs met safety standards.

But the agency decided to let Massachusetts officials take the lead in regulating the company, since pharmacies are typically regulated at the state level. It was decided that "the state would be in a better position to gain compliance or take regulatory action against NECC as necessary," according to a summary of the meeting quoted by investigators.

The FDA recommended the state subject NECC to a consent agreement, which would require the company to pass certain quality tests to continue operating. But congressional investigators say Massachusetts Board of Pharmacy did not take any action until "well over a year later."

__ In October 2004, the board sent a proposed consent agreement to Cadden, which would have included a formal reprimand and a three-year probationary period for the company's registration. The case ended without disciplinary action in 2006, when NECC agreed to a less severe consent decree with the state.

Massachusetts officials indicated Tuesday they are still investigating why NECC escaped the more severe penalty.

"I will not be satisfied until we know the full story behind this decision," the state's interim health commissioner Lauren Smith said in a transcript of her prepared testimony released a day ahead of delivery. Smith is one of several witnesses scheduled to testify Wednesday, including FDA Commissioner Margaret Hamburg.

The committee will also hear from the widow of 78-year-old Eddie C. Lovelace, a longtime circuit court judge in southern Kentucky. Autopsy results confirmed Lovelace received fungus-contaminated steroid injections that led to his death Sept. 17.

Joyce Lovelace will urge lawmakers to work together on legislation to stop future outbreaks caused by compounded drugs, according to a draft of her testimony.

"We now know that New England Compounding Pharmacy, Inc. killed Eddie. I have lost my soulmate and life's partner with whom I worked side by side, day after day for more than fifty years," Lovelace states.

Barry Cadden is also scheduled to appear at the hearing, after lawmakers issued a subpoena to compel him to attend.

The NECC has been closed since early last month, and Massachusetts officials have taken steps to permanently revoke its license. The pharmacy has recalled all the products it makes, including 17,700 single-dose vials of a steroid that tested positive for the fungus tied to the outbreak.

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Stock futures rise, helped by Cisco results

NEW YORK (Reuters) - Stock index futures rose on Wednesday, indicating that equities would rebound after a series of weak sessions on strong results from Cisco.


The S&P 500 has fallen 3.8 percent over the past five session, with most of those losses driven by uncertainty over looming U.S. "fiscal cliff" demand and persisting concerns over Europe. The index closed below its 200-day moving average for a fourth day in a row on Tuesday, a technical indicator that suggests recent declines could gain momentum.


Cisco Systems Inc reported first-quarter earnings and revenue late Tuesday that beat expectations, sending the stock soaring 8.3 percent to $18.25 in premarket trading Wednesday. The Dow component also forecast flat earnings and slower revenue growth for the current quarter.


The results could boost sentiment over the technology sector <.gspt>, where shares have dropped almost 10 percent in value over the past two months, dragged down by earnings disappointments from key names like Google . Tech was the worst-performing sector on Tuesday.


Still, macroeconomic issues will likely still play a major role in trading direction as investors continue to grapple with Europe's debt crisis and the fiscal cliff, a series of mandated tax hikes and spending cuts that start to take effect next year.


Analysts say serious fiscal negotiations are still weeks away, but that the failure to reach a deal in Congress could tip the world's largest economy into recession.


S&P 500 futures rose 6.7 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures added 48 points and Nasdaq 100 futures rose 17.5 points.


European shares <.fteu3> were 0.5 percent lower as Greece's unresolved debt crisis continued to raise questions about the region's growth potential, while anti-austerity strikes across southern Europe added to concerns that measures to deal with the debt would be politically difficult to implement.


International Monetary Fund Managing Director Christine Lagarde said on Wednesday she expected a real fix for Greece that included debt sustainability, rather than a quick fix.


Tyco reported adjusted fourth-quarter earnings that missed expectations. NetApp Inc , Staples Inc and Abercrombie & Fitch are on tap to report later Wednesday.


October retail sales are on tap for release at 8:30 a.m. ET (1330 GMT) and are seen dropping 0.2 percent. In September, sales climbed 1.1 percent. Also, the latest FOMC minutes will be released Wednesday afternoon.


U.S. stocks fell in a volatile session Tuesday, pressured by Microsoft Corp which fell after the surprise departure of a key executive. However, retail names outperformed after Home Depot raised its outlook.


(Editing by Bernadette Baum)


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France recognizes new Syria opposition, U.S. restrained

BEIRUT (Reuters) - France became the first Western power to recognize a fledgling Syrian opposition coalition fully, stepping out beyond the United States, which said on Wednesday the body must first show its clout inside Syria.


Six Gulf Arab states recognized the Syrian National Coalition for Opposition and Revolutionary Forces on Monday and France followed suit the next day, unlike its European partners.


President Francois Hollande's decisive posture on Syria recalled that of his predecessor Nicolas Sarkozy on Libya last year, when France led calls for NATO action to protect civilians which effectively helped Libyan rebels topple Muammar Gaddafi.


The European Union bans arms sales to Syria, but Hollande said the question of arming rebels would be examined when the coalition formed a transitional government. Paris had previously ruled this out, fearing arms could reach Islamist militants.


U.S. Secretary of State Hillary Clinton said the formation of the coalition, which supersedes the widely discredited Syrian National Council as the face of the Syrian opposition, was an important step, but did not offer it full recognition or arms.


"We have long called for this kind of organization. We want to see that momentum maintained," Clinton told reporters in the Australian city of Perth. "As the Syrian opposition takes these steps and demonstrates its effectiveness in advancing the cause of a unified, democratic, pluralistic Syria, we will be prepared to work with them to deliver assistance to the Syrian people."


Suhair al-Atassi, a vice president of the new coalition, said that once it had proved it represents "revolutionary forces" on the ground, there would be no excuse for Western powers not to provide some form of military backing.


"The ball now is in the international community's court," she told Reuters in an interview in Dubai, blaming Western reticence to arm the rebels for the rise of extremism in Syria.


"There is no more excuse to say we are waiting to see how efficient this new body is. They used to put the opposition to the test. Now we put them to the test," she declared.


AIR STRIKE NEAR TURKEY


Syrian insurgents have few weapons against Assad's air force and artillery, which can pound rebel-held territory at will.


A Syrian warplane bombed the town of Ras al-Ain near the Turkish border again on Wednesday, rocking buildings on the frontier and sending up huge plumes of smoke, in the latest of several attacks since rebels captured the town last week.


After 20 months of a conflict that has killed more than 38,000 people, fragmented Syrian opposition groups struck a deal in Qatar on Sunday to form a coalition led by Damascus preacher Mouaz Alkhatib, who has appealed for international recognition.


Arab League and EU foreign ministers meeting in Cairo on Tuesday welcomed the coalition's formation as an important step, but did not recognize it as Syria's sole authority.


France, however, went ahead on its own. Hollande told a news conference in the French capital that Paris recognized the new Syrian national coalition "as the sole legitimate representative of the Syrian people and as future government of a democratic Syria making it possible to bring an end to Bashar al-Assad's regime".


Clinton announced an extra $30 million in aid to those affected by the war in Syria, to be delivered via the United Nations' World Food Programme, which is supplying food to more than a million people in Syria and to 408,000 Syrian refugees.


The United States says it is providing only humanitarian aid and non-lethal assistance to Assad's opponents, it acknowledges that some of its allies are arming rebels - something which Russia says shows Western powers want to decide Syria's future.


Russia and China have blocked any U.N. Security Council action on Syria, prompting Washington and its allies to say they could move beyond U.N. structures for their next steps.


So far, concerted action on Syria has been thwarted by divisions within the opposition, as well as by big power rivalries and a regional divide between Sunni Muslim foes of Assad and his Shi'ite allies in Iran and Lebanon.


An Iranian revolutionary guard general blamed Western, Turkish and Arab meddling for the bloodshed in Syria.


"They must leave the government and people of Syria alone so they can take the necessary decision about the kind of government in Syria," Brigadier-General Massoud Jazayeri was quoted as saying by the semi-official Fars news agency.


China also said Syrians should determine their own future.


"A political transition process guided by the Syrian people should be initiated and pushed forward as soon as possible, to realize an appropriate peaceful and just resolution," Foreign Ministry spokesman Hong Lei said.


(Additional reporting by John Irish in Paris, David Brunnstrom in Perth, Australia, Rania El Gamal in Dubai, Ben Blanchard in Beijing, Yasmine Saleh in Cairo and Jonathon Burch in Ceylanpinar, Turkey; Writing by Alistair Lyon; Editing by Jon Boyle)


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