RCMP recovers $2.6 million cash tossed into sea by BC man

Vittorio Hernandez – AHN News

Vancouver, British Columbia, Canada (AHN) – The Royal Canadian Mounted Police (RCMP) have recovered $2.6 million in cash thrown by a British Columbia man from a small boat off Vancouver Island. The amount is considered one of the largest cash confiscations in the RCMP’s history.

The man tossed the cash, which was inside a suitcase, when the RCMP approached the man’s boat. Mounties later plucked the suitcase from the water.

The RCMP, which showed the money – wrapped in plastic – and disclosed the incident on Tuesday, said the incident happened on March 24 near the U.S.-Canadian border known for smuggling. The Mounties said they had to wait several months before they made public the incident because it needed to follow up on matters concerning the case.

The suspect, 44-year-old Jeffrey Melchior of Lake Cowichan, was charged with possession of property obtained by crime and money laundering. He is scheduled to appear in court in Victoria on Nov. 21.

According to the Canadian Center for Justice Statistics, the number of money-laundering crimes in the country has gone up in the past 10 years and law enforcers have difficulty in finding and arresting the money launderers.

The RCMP estimate is that between $5 billion and $15 billion is laundered in Canada yearly, mainly through the financial system. However, a Statistics Canada report said the police were able to identify money-laundering suspects only 18 percent of the time.

Only one third of the cases resulted in a guilty verdict compared to two-thirds success in ordinary crimes.

The StatsCan study said money-laundering crimes rose fivefold between 2004 and 2006 but have leveled off since then. In 2009, the RCMP recorded 525 money laundering incidents in Canada.

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Wizards among teams hit hard by latest NBA schedule cancelation

AHN Sports Staff

Washington, DC, United States (AHN Sports) – The Washington Wizards saw their first 14 games of the season scrapped after NBA commissioner David Stern cancelled two more weeks from the 2011-2012 season schedules due to the extended labor lockout.

The Wizards took a huge blow in the latest labor dispute development, losing nine more games in their schedule after the NBA eliminated another two weeks from the 2011-2012 regular-season.

The Wizards, who have now lost a total of 14 games, will miss out six road games, including a four-game West Coast trip, and three home games.

Wizards players will be losing around $7.42 million worth of paychecks, while all NBA players are going to lose an estimated $400 million due to the cancellation of the first month of the season.

“I’m just reflecting the calendar,” Stern told the Washington Post Saturday. “I mean, there’s just — you need 30 days to play, and so the last two weeks of November are gone. It’s already getting to be November 1. The calendar takes care of our games. These are not punitive announcements, these are calendar-generated announcements.”

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New fed rules to aid more underwater homeowners

Diane Alter – AHN News Reporter

Washington, DC, United States (AHN) – Monday morning the Federal Housing Finance Agency announced new rules that will allow many more “underwater” homeowners, those who owe more than their properties are worth, to refinance at current historical low mortgage rates.

Up to a million borrowers are expected to take advantage of the new program, the FHFA estimates. Originally rolled out in early 2009, the program has fallen far short of the number of people it was expected to help.

Prior to the new rules, only borrowers who owed more than 25 percent more than their homes are worth could participate in the program. The new rules have no cap on how much a borrower owes.

Only mortgages backed by Fannie Mae and Freddie Mac will be eligible under the new rules.

Officials hope the new rules will help the ailing housing market and the flailing economy. By reducing monthly payments, more homeowners will hopefully avoid foreclosure and have more cash to spend, giving a much-needed boost to the depressed economy.

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Heir to Saudi throne dies

Diane Alter – AHN News Reporter

NY, NYC, United States (AHN) – Crown Prince Sultan bin Abdel Aziz, heir to the Saudi throne, died Saturday in New York City at the age of 85.

The Sultan died in a hospital in New York City. His burial is expected to take place Tuesday in Riyadh.

The death of the crown prince, the half brother of the ailing Saudi King Abdullah, leaves many questions open about succession. Unlike in European monarchies, the line of succession does not move directly from father to eldest son. It has moved down a line of brothers born to the kingdom’s founder Ibn Saud, who died in 1953.

Sultan bin Abdel Azia was the deputy prime minister of the oil-rich country. He had been defense minister and minister of aviation for about four decades. He also oversaw a defensive spending spree which made the kingdom one of the biggest arm’s buyers in the world.

The palace issued the following statement early Saturday, “With grief, King Abullah bin Abdel Aziz mourns the death of Sultan bin Abdel Aziz Al Saud, crown prince and brother.”

Secretary of State Hilary Clinton said the crown prince was “a strong leader and a good friend to the United States over many years, as well as a tireless champion for his country.”

According to a leaked U.S. diplomatic cable from January 2010, Sultan had been receiving treatment for colon cancer since 2009.

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Oil, Copper Futures Rise on G20 Talks

Jupiter Kalambakal – AHN News Reporter

London, United Kingdom (AHN) – Oil and copper futures posted gains on Monday amid wrap-up talks among G20 finance chiefs where parts of a plan to contain the eurozone’s debt crisis and prevent a possible Greek default were approved over the weekend.

Copper metal for delivery rose 1 percent to $7,619.50 a metric ton on the London Metal Exchange, the biggest increase since Sept. 27.

Copper for December delivery on the Shanghai Futures Exchange advanced 0.7 per cent to $8,846 a ton.

On one end, oil futures jumped by as much as 1.1 percent, maintaining advances from the biggest close in almost a month. Monday’s figures improved oil’s 4.6 percent growth last week.

Crude for November delivery edged up as much as 91 cents to $87.71 a barrel in electronic trading on the New York Mercantile Exchange. It progressed at $86.80 on Oct. 14, the biggest close since Sept. 20. Prices were down 4.3 per cent this year.

Meanwhile, Brent oil for December grew 45 cents, or 0.4 per cent, to $112.68 a barrel on the London-based ICE Futures Europe exchange.

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More than 12 cyclones predicted for Australia this season

Jupiter Kalambakal – AHN News Reporter

Sydney, Australia (AHN) – Australia’s northern regions may be assaulted by more than 12 cyclones in the coming months due to La Nina weather conditions, according to the country’s weather service.

The Bureau of Meteorology (BOM) said it is likely another, less powerful, La Nina will progress in 2011-12 that could trigger damaging cyclones and floods.

In its tropical cyclone seasonal outlook released Monday, the BOM urged communities from Exmouth to Broome to start arranging early disaster response action plans in anticipation of the weather disturbance, which could result to possible losses in lives, property and infrastructure and possible inaccessibility from adjacent communities and states.

BOM said the oil, gas, coal and iron ore mining industries also face possible impacts by a returning La Niña. This could cause global prices to fluctuate. The miners have a 65 percent possibility of facing more than seven cyclones, the BOM said, as it forecast the miners will face more than the average of three to four cyclones this season.

Australia’s cyclone season is between November and April.

Heavy flooding last year crippled the coal mining industry in northeast Australia, including removing from the national coffers A$1.75 billion of potential revenue across 2010-11 and 2011-12.

The scenario of a possible supply disruption could cause a surge in coking coal prices.

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McCain echoes Panetta’s advice: no further defense cuts

Tejinder Singh – AHN News Correspondent

Washington, D.C., United States (AHN) – Sen. John McCain (R-AZ), the ranking member of the Senate Armed Services Committee, on Friday added his voice to earlier appeals by the new Secretary of Defense Leon Panetta not to further cut defense budget under proposals to rein in U.S. budget deficit.

In a letter sent to Joint Select Committee on Deficit Reduction Co-Chairs Representative Jeb Hensarling (TX-05) and Senator Patty Murray (D-WA), Senator McCain urged the Committee to avoid further cuts to the defense budget and offering additional views on potential changes in military health benefits.

Former presidential aspirant threw his weight behind President Barack Obama’s proposals saying in the letter, “If your work is to be successful, it must take all steps possible to avoid further cuts to Department of Defense (DoD) spending beyond the more than $450 billion over the next 10 years that have already been directed by the President.”

McCain also endorsed Obama proposal to establish an annual enrollment fee for the military’s Tricare for Life health insurance program.

“While this fee increase would hit those age 65 and over, a group on mostly fixed incomes who are vulnerable to unanticipated changes in expenses, I believe this fee increase is a reasonable step,” McCain said in his letter.

In addition, the Republican senator supported pharmacy services proposal and the establishment of a commission to review military retirement benefits as suggested by the Obama proposals.

Echoing the concerns raised by the defense secretary Panetta in recent times. McCain said, “We must also address the threats that we will face in the future to adequately meet new and emerging challenges that may require a shift of resources and priorities.”

“Like Secretary of Defense Panetta, I do not support any proposals for any further reductions in the discretionary budget caps for security or non-security agencies beyond the limits already imposed in title I of the Budget Control Act,” said the senator.

McCain concluded with a suggestion to the Congressional Committee to “seek to restore responsible spending on the part of Congress by requiring that each appropriations line item be authorized by the relevant authorization committee charged by Congress to provide oversight of that agency’s activities and programs,” calling on the Select Committee to look, “for ways to restore fiscal discipline within Congress and to rein in pork-barrel spending.”

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Americans favor raising tax rate on wealthy to help nation says survey

Linda Young – AHN News Writer

Washington, D.C., United States (AHN) – A majority of Americans favor raising taxes on wealthy people as a way to reduce the national debt.

Pew Research found that 67 percent of Americans approve of raising the tax rate on those with incomes over $250,000.

That figure is slightly higher than the 66 percent who favored that idea in May.

Only 30 percent say they do not approve of raising the tax rate for wealthy Americans with incomes above $250,000.

Broken down by political affiliation, 82 percent of Democrats support such a tax increase, as do 67 percent of independents while only 47 percent of Republicans support a higher tax on the wealthy.

Pew researchers also polled people on their confidence in Republican Congressional leaders to do the right thing when it comes to dealing with the federal deficit.

Only 35 percent of those surveyed say they have a great deal or fair amount of confidence in Republican leaders, which was down from 47 percent in May. Moreover, 62 percent say they have little or no confidence in the Republican leaders to deal with the federal deficit.

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Anti-bullying rules hurt disadvantaged students, study says

Tom Ramstack – AHN News Legal Correspondent

Washington, DC, United States (AHN) – Anti-bullying rules sweeping schools across the nation endured criticism this week in a University of California at Los Angeles study that says they often discriminate against minorities and disabled students.

Anti-bullying policies became widespread after Congress approved the 2003 “No Child Left Behind” law that promotes high standards for academic performance.

In addition, President Barack Obama held a White House conference earlier this year on bullying during which he encouraged school administrators not to tolerate it.

Typically, bullies can be suspended or expelled from their schools under tough “zero-tolerance” rules intended to make education safer and more accessible to children.

However, strict discipline often hurts student achievement for “problem children,” the UCLA Civil Rights Project says.

“The application of discipline is unfair and unequal in this country,” said Dan Losen, who oversaw the UCLA Civil Rights Project study. “Kicking out students for minor offenses has no academic justification. Yet, students and especially minority students are removed for small infractions every day, causing them to suffer academically.”

African American and disabled students suffer the most suspensions and other discipline, the Civil Rights Project study says.

Results of the study were announced at a press conference in Washington, D.C., at the National Press Club.

Anti-bullying rules are expected to get a closer look in the updated version of the No Child Left Behind law Congress is considering.

U.S. Education Secretary Arne Duncan said last month he wants Congress to include a provision in the reauthorized law requiring a survey of students on their attitudes toward bullying.

He spoke during a conference on bullying sponsored by the Education Department.

The conference coincided with the suicide of 14-year-old Jamey Rodemeyer of New York, who killed himself after being bullied at school.

Duncan said the survey should ask students about whether they feel safe at school and whether they would recommend their school to other students.

The Education Department sent a letter to school districts nationwide last year offering guidelines on how to handle bullying episodes. It also warned them they could face federal penalties if they fail to control harassment and discrimination by bullies.

The Civil Rights Project recommends alternatives to zero-tolerance similar to programs in Maryland and Connecticut schools.

In Maryland, state legislators passed a law in 2004 that says elementary schools must participate in Positive Behavioral Interventions and Supports programs if their suspensions reach 10 percent of their enrollment.

The programs teach students and faculty how to avoid antagonistic and violent incidents in schools.

In Connecticut, a state law requires schools to use disciplinary strategies that allow students to continue attending classes if they violate rules, as long as they do not represent a threat to others.

In Texas, where zero-tolerance rules are common, about 31 percent of students get suspended or expelled for infractions at some point in their middle school or high school educations, a Texas A&M study showed.

Kevin Welner, director of the University of Colorado’s National Education Policy Center, said “being kicked-out leads to becoming a dropout.”

The American Bar Association recently passed a resolution urging administrators to reconsider suspension or expulsion as a disciplinary tool.

The ABA resolution urged “federal and state legislatures to pass laws … that help advance the right to remain in school, promote a safe and supportive school environment for all children, and enable them to complete school; and limit exclusion from and disruption of students’ regular educational programs as a response to disciplinary problems.”

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Friendly’s restaurants prepping for bankruptcy

Diane Alter – AHN News Reporter

Wilbraham, MA, United States (AHN) – The Friendly’s restaurant chain is preparing for a possible bankruptcy filing as early as next week, the Wall Street Journal reported Friday.

The Wilbraham, MA, company best known for its hamburgers and sundaes employs roughly 10,000 people and operates more than 500 restaurants.

Economic conditions have weighed heavily on the chain. Fewer consumers are spending money to dine out and rising commodities prices for staples such as corn, butter and coffee have drained the company of cash. Other restaurant chains have faced similar fates, such as Quiznos and Sbarro.

Friendly’s has more than $250 million in debt on its books. The company is in talks with Wells Fargo for $70 million in debtor-in-possession financing that would keep it above water during bankruptcy proceedings.

Friendly’s had humble beginnings. It began as a small ice cream shop opened by the Blake brothers during the Great Depression in Springfield, MA. It expanded along the East Cost and was sold to Hershey in 1979. Friendly’s changed hands again before eventually being taken private by Sun Capital Partners Inc. of Boca Raton on 2007.

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