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Revealing News For a Better World

News Articles
Excerpts of Key News Articles in Major Media


Below are key excerpts of little-known, yet highly revealing news articles from the media. Links are provided to the full news articles for verification. If any link fails to function, read this webpage. These articles are listed by order of importance. You can also explore these articles listed by order of the date of the news article or by the date posted. By choosing to educate ourselves, we can build a brighter future.

Note: Explore our full index to revealing excerpts of key major media news articles on dozens of engaging topics. And read excerpts from 20 of the most revealing news articles ever published.


U.S. Gov't Software Creates 'Fake People' to Spread Message via Social Networking
2011-02-19, Fox News
http://nation.foxnews.com/culture/2011/02/19/us-gov-t-software-creates-fake-p...

The US government is offering private intelligence companies contracts to create software to manage "fake people" on social media sites. Private security firms employeed by the government have used the accounts to create the illusion of consensus on controversial issues. The contract calls for the development of "Persona Management Software" which would help the user create and manage a variety of distinct fake profiles online. According to the contract, the software would "protect the identity of government agencies" by employing a number of false signals to convince users that the poster is in fact a real person. A single user could manage unique background information and status updates for up to 10 fake people from a single computer. The software enables the government to shield its identity through a number of different methods including the ability to assign unique IP addresses to each persona and the ability to make it appear as though the user is posting from other locations around the world. The document describes how they would 'friend' real people on Facebook as a way to convey government messages.

Note: To read the government contract for "Persona Management" software, click here.


Iraqi Says He Made Up Tale of Biological Weapons Before War
2011-02-16, New York Times
http://www.nytimes.com/2011/02/16/world/middleeast/16curveball.html

The Iraqi defector whose claims that Saddam Hussein’s government had biological weapons became part of the Bush administration’s justification for the 2003 invasion of Iraq has admitted that he fabricated his story. The defector, Rafid Ahmed Alwan al-Janabi, who was code-named “Curveball” by the Central Intelligence Agency and German intelligence officials, told the British newspaper The Guardian on [February 15] that he had concocted his tale that Iraq was hiding mobile bioweapons laboratories. The strange case of “Curveball” has become one of the most infamous episodes in the Bush administration’s case for war. Mr. Janabi’s claim about the mobile laboratories was featured prominently in Secretary of State Colin L. Powell’s address to the United Nations in February 2003, when he laid out the administration’s case that Mr. Hussein was hiding weapons of mass destruction. The United States invaded Iraq in March 2003, and eventually determined that Iraq did not have any such weapons. It later became clear that the Bush administration had relied heavily on bogus information from unreliable exiles like Mr. Janabi.

Note: For background information on "Curveball" in the runup to the Iraq war, click here.


WikiLeaks: U.S. Spied on NATO's Top Official
2011-02-11, CBS News/Associated Press
http://www.cbsnews.com/stories/2011/02/11/501364/main20031493.shtml

Leaked U.S. diplomatic cables appear to show that the United States has been snooping on NATO's top official using secret sources on his own staff. Confidential cables from the U.S. mission to NATO released [on February 11] by WikiLeaks, ... said American diplomats received information on the private conversations of Secretary-General Anders Fogh Rasmussen from "a member of the NATO international staff." Instead of the staffer's name, the phrase "strictly protect" was inserted in a cable dated Sept. 10, 2009. The cable dealt with Fogh Rasmussen's proposal to improve ties with Russia by establishing contacts with the Collective Security Treaty Organization, a Russia-dominated security alliance. The cable was signed off by U.S. ambassador Ivo Daalder. There has been no known [previous] case in the past of a nation spying on the secretary-general.


Equal Rights Takes to the Barricades
2011-02-01, New York Times
http://www.nytimes.com/2011/02/02/world/middleeast/02iht-letter02.html

CAIRO — People here are not afraid anymore — and it just may be that a woman helped break that barrier of fear. Asmaa Mahfouz was celebrating her 26th birthday on Tuesday among tens of thousands of Egyptians as they took to the streets, parting with old fears in a bid to end President Hosni Mubarak’s three decades of authoritarian, single-party rule. “As long as you say there is no hope, then there will be no hope, but if you go down and take a stance, then there will be hope.” That was what Ms. Mahfouz had to say in a video she posted online more than two weeks ago. She spoke straight to the camera and held a sign saying she would go out and protest to try to bring down Mr. Mubarak’s regime. It was a woman who dared put a face to the message, unfazed by the possibility of arrest for her defiance. “Do not be afraid,” she said. To her surprise, dozens of other people picked up on the spirit of her message and started to post their own pictures, holding similar signs to their chests that declared their intent to take to the streets. Ms. Mahfouz is one of the founders of the April 6 Youth Movement, a group of young, Internet-savvy activists who have been credited with a leading role in organizing the mass protests. She uses Facebook and Twitter as convenient methods for organizing and disseminating messages but finds that talking to people face to face is the best way to motivate them. Although it is still overwhelmingly men demonstrating, there is a new quality to the way Egyptians walk the streets now. “Everyone used to say there is no hope, that no one will turn up on the street, that the people are passive,” Ms. Mahfouz said. “But the barrier of fear was broken!”

Note: Watch this video and learn how without this one woman, Mubarak might still be in power. One person can make a huge difference. For powerful and inspiring information on the military/industrial complex and what we can do to make a difference, click here.


America's favorite bankers have outdone themselves yet again
2011-01-30, CNN
http://finance.fortune.cnn.com/2011/01/30/money-for-nothing-at-goldman/

How might you compensate management for a year in which profits plunged, you spent $550 million of shareholder money to settle a fraud investigation and your stock ended up more or less exactly where it started? You might be tempted to nix raises or withhold bonuses to send a responsible message about linking pay to performance. But if so, you wouldn't be Goldman Sachs. It just had the year described above – and responded by tripling everyone's base salary while boosting bonuses by 40%. Is this a great country or what? Goldman said in a filing [on January 28] that CEO Lloyd Blankfein will make $2 million this year, and his top lieutenants will each make $1.85 million. Top Goldman brass had been making $600,000 annually in salary since the firm's 1999 initial public offering. All 470 of Goldman's partners will get higher salaries. The top five officers will also get $12.6 million each in bonuses. That's up from $9 million each last year. That may seem like a high price to pay for a pretty lousy year – and one that ended with a Fed-inspired reminder that Goldman, just in case anyone forgot, took billions upon billions of dollars in bailout loans in 2008 and 2009.

Note: For key articles from reliable sources detailing the outrageous compensation awarded to the highest officers of Wall Street financial corporations after they were bailed out by the government, click here.


The Day Part of the Internet Died: Egypt Goes Dark
2011-01-28, ABC News/Associated Press
http://abcnews.go.com/Technology/wireStory?id=12783053

About a half-hour past midnight [on January 28] in Egypt, the Internet went dead. Almost simultaneously, the handful of companies that pipe the Internet into and out of Egypt went dark as protesters were gearing up for a fresh round of demonstrations calling for the end of President Hosni Mubarak's nearly 30-year rule, experts said. Egypt has apparently done what many technologists thought was unthinkable for any country with a major Internet economy: It unplugged itself entirely from the Internet to try and silence dissent. Experts say it's unlikely that what's happened in Egypt could happen in the United States because the U.S. has numerous Internet providers and ways of connecting to the Internet. Coordinating a simultaneous shutdown would be a massive undertaking. But the idea of a single "kill switch" to turn the Internet on and off has seduced some American lawmakers, who have pushed for the power to shutter the Internet in a national emergency. The Internet blackout in Egypt shows that a country with strong control over its Internet providers apparently can force all of them to pull their plugs at once. It also sets a precedent for other countries grappling with paralyzing political protests — though censoring the Internet and tampering with traffic to quash protests is nothing new.

Note: For information on how a Israeli company bought out by Boeing facilitated the shutdown of the Internet in Egypt, click here. And to learn about a bill being proposed which would give the US president power over an Internet "kill switch," click here.


A Hefty Price for Entry to Davos
2011-01-25, New York Times
http://dealbook.nytimes.com/2011/01/24/a-hefty-price-for-entry-to-davos/?_r=0

The World Economic Forum’s annual meeting [in Davos, Switzerland is] a heady power gathering that mixes business, politics and Champagne in the Swiss Alps. It is an event that draws a wide range of [chief executives, government leaders and academics], ostensibly to contemplate how to solve the world’s problems. An invitation to the meeting is supposed to be considered an exclusive honor. But for corporate executives, the cost of being a Davos Man, or, yes, a Davos Woman, even for just a couple of days, does not come cheap. Just to have the opportunity to be invited to Davos, you must be invited to be a member of the World Economic Forum. There are several levels of membership: the basic level, which will get you one invitation to Davos, costs 50,000 Swiss francs, or about $52,000. The ticket itself is another 18,000 Swiss francs ($19,000), plus tax, bringing the total cost of membership and entrance fee to $71,000. But that fee just gets you in the door. To participate in private sessions among your industry’s peers, you need to step up to the “Industry Associate” level. That costs $137,000, plus the price of the ticket, bringing the total to about $156,000.

Note: After attending this event, author David Rothkopf quoted AOL's founder as saying,"You always feel like ... the real Davos is happening in secret somewhere." Might this suggest that Davos is a breeding ground for the secret plots of the global elite? For more along these lines, see concise summaries of news articles on secret societies which manipulate global politics.


Former Spy With Agenda Operates a Private C.I.A.
2011-01-23, New York Times
http://www.nytimes.com/2011/01/23/world/23clarridge.html

Duane R. [Dewey] Clarridge parted company with the Central Intelligence Agency more than two decades ago, but from poolside at his home near San Diego, he still runs a network of spies. Over the past two years, he has fielded operatives in the mountains of Pakistan and the desert badlands of Afghanistan. Since the United States military cut off his funding in May, he has relied on like-minded private donors to pay his agents to continue gathering information about militant fighters [and] Taliban leaders. Mr. Clarridge, 78, ... was indicted on charges of lying to Congress in the Iran-contra scandal and later pardoned. His dispatches — an amalgam of fact, rumor, analysis and uncorroborated reports — have been sent to military officials who, until last spring at least, found some credible enough to be used in planning strikes against militants in Afghanistan. They are also fed to conservative commentators, including Oliver L. North, a compatriot from the Iran-contra days and now a Fox News analyst, and Brad Thor, an author of military thrillers and a frequent guest of Glenn Beck. Mr. Clarridge’s operation ... is a startling demonstration of how private citizens can exploit the chaos of combat zones and rivalries inside the American government to carry out their own agenda. It also shows how the outsourcing of military and intelligence operations has spawned legally murky clandestine operations.

Note: For key reports from reliable sources on the role of private contractors in the illegal US wars of aggression in Afganistan and Iraq, click here.


Learning from a '50s Housewife on Acid
2011-01-18, ABC News
http://abcnews.go.com/Health/1950s-housewife-acid/story?id=12640926

A video [that went viral] featured footage of a mid-1950s housewife on an acid trip during an LSD experiment. In the film, a researcher, Dr. Sidney Cohen, is shown interviewing, and then dosing, a volunteer at the Veteran's Administration Hospital in Los Angeles. The woman, who is identified only as the wife of a hospital employee, is in her late 20s or early 30s and appears fairly typical of her time. LSD was a legal pharmaceutical drug until 1966. Journalist Don Lattin says he came across the video in the archives of philosopher Gerald Heard while researching a group biography on him, the British writer Aldous Huxley, and Bill Wilson, co-founder of Alcoholics Anonymous. In the video that Lattin posted online, [the housewife] is clearly under the influence and appears to be rather enjoying it. She says: "Everything is alive. This is reality. I wish you could see it. I wish I could talk in technicolor." "This shows that very early on in the 1950s, researchers were aware that there were possible beneficial uses, rather than military or more nefarious uses," he says. In the early 1950s and into the '60s the Army and CIA secretly funded a lot of research to see if LSD could be used as a chemical weapon or a truth serum, says Lattin. But Cohen and his ilk were pursuing a different line of study. They wanted to understand how it works, how the mind works and the connection between the psychotic state and a spiritually enlightened state." Indeed, Wilson, the AA co-founder, did a fair amount of LSD in the 50s , says Lattin. "This surprises people, but he wasn't doing it to get high," he adds. "It was to achieve that spiritual awakening."

Note: The video of this session is quite inspiring. See it at this link. For more on mind-altering drugs, see the deeply revealing reports from reliable major media sources available here.


The state's pedlars of fear must be brought to account
2011-01-11, The Guardian (One of the UK's leading newspapers)
http://www.guardian.co.uk/commentisfree/2011/jan/11/police-reform-mark-stone-...

[Mark] Kennedy moved from undercover agent to agent provocateur. He worked for a murky organisation called the National Public Order Intelligence Unit (NPOIU). With a budget of Ł5m this operates as a branch of the National Domestic Extremism Unit (NDEU) which, in turn, works alongside the National Extremism Tactical Co-ordination Unit (NETCU). Ask where this stands, and you will be told it reports to the Association of Chief Police Officers' Terrorism and Allied Matters Committee, codenamed Acpo(TAM). Kennedy's bosses in the NPOIU work for Acpo, but this is not what it seems. It is not, as its name suggests, the police officers' staff club, nor is it a public body of any sort. [ACPO] is a private company, incorporated in 1997. It is sub-contracted by Whitehall to operate the police end of the government's counterterrorism and "anti-extremism" strategies. It is thus alongside MI5, but even less accountable. It now runs its own police forces under a police chief boss, Sir Hugh Orde, like a British FBI. It trades on its own account, generating revenue by selling data from the police national computer for Ł70 an item (cost of retrieval, 60p). It owns an estate of 80 flats in central London. As a private company, Acpo need not accede to Freedom of Information requests and presumably could distribute its profit to its own board. The whole operation is reminiscent of the deals set up by the Pentagon with private firms to run the Iraq and Afghan wars, free of publicity or accountability.

Note: For further information on the amazing undercover career of UK agent provocateur Mark Kennedy, click here and here and here.


U.S. says too much fluoride in water
2011-01-07, USA Today/Associated Press
http://www.usatoday.com/yourlife/health/medical/2011-01-07-too-much-fluoride_...

Fluoride in drinking water — credited with dramatically cutting cavities and tooth decay — may now be too much of a good thing. Getting too much of it causes spots on some kids' teeth. A reported increase in the spotting problem is one reason the federal government will announce [that] it plans to lower the recommended levels for fluoride in water supplies — the first such change in nearly 50 years. About 2 out of 5 adolescents have tooth streaking or spottiness because of too much fluoride, a surprising government study found recently. In some extreme cases, teeth can even be pitted by the mineral. Maryland is the most fluoridated state, with nearly every resident on a fluoridated water system. In contrast, only about 11% of Hawaii residents are on fluoridated water, according to government statistics. Fluoridation has been fought for decades by people who worried about its effects, including conspiracy theorists who feared it was a plot to make people submissive to government power. "It's amazing that people have been so convinced that this is an OK thing to do," said Deborah Catrow, who successfully fought a ballot proposal in 2005 that would have added fluoride to drinking water in Springfield, Ohio.

Note: This article fails to mention a key recent study showing "about 28 percent of the children in the low-fluoride area scored as bright, normal or higher intelligence compared to only 8 percent in the 'high' fluoride area. In the high-fluoride city, 15 percent had scores indicating mental retardation and only 6 percent in the low-fluoride city." For a truly awesome, revealing interview with a BBC producer on the major deceptions, risks, and dangers of fluoride in water, click here. For more on this key topic from Dr. Mercola, click here. And for the top website on the risks and dangers of flouride in water, click here.


When Insurers Put Profits Between Doctor and Patient
2011-01-06, New York Times
http://www.nytimes.com/2011/01/06/health/views/06chen.html

In articles, interviews, op-eds and testimony on Capitol Hill, Wendell Potter has described the dark underbelly of the health care insurance industry — unkept promises of care, canceled coverage of those who get sick and fearmongering campaigns designed to quash any change that might adversely affect profits. He should know what he is talking about. For 20 years, Mr. Potter was the head of corporate communications at two major insurers, first at Humana and then at Cigna. Now Mr. Potter has written a fascinating book that details the methods he and his colleagues used to manipulate public opinion and describes his transformation from the idealistic son of working-class parents in eastern Tennessee to top insurance company executive, to vocal critic and industry watchdog. Using little of the fiery rhetoric or lurid prose that usually marks corporate exposés or memoirs of redemption, the book, Deadly Spin ... is an evenhanded yet riveting account of the inner workings of the health care insurance industry, a cautionary tale that doctors and patients would be wise not to miss. Mr. Potter [describes] the myth-making he did, interspersing descriptions of front groups, paid spies and jiggered studies with a deft retelling of the convoluted (and usually eye-glazing) history of health care insurance policies.

Note: Mr. Potter has written a powerful condemnation of health care industry practices at this link. For other major media articles on this courageous whistleblower, click here. And for other highly informative reports on important health issues, click here.


Glaxo Whistle-Blower Lawsuit: Bad Medicine
2011-01-02, CBS News 60 Minutes
http://www.cbsnews.com/stories/2010/12/29/60minutes/main7195247.shtml

Of all the things that you trust every day, you want to believe your prescription medicine is safe and effective. The pharmaceutical industry says that it follows the highest standards for quality. But in November, we found out just how much could go wrong at one of the world's largest drug makers. A subsidiary of GlaxoSmithKline pleaded guilty to distributing adulterated drugs. Some of the medications were contaminated with bacteria, others were mislabeled, and some were too strong or not strong enough. It's likely Glaxo would have gotten away with it had it not been for a company insider: a tip from Cheryl Eckard set off a major federal investigation. Eckard worked in Glaxo quality control and over ten years she had risen to become a manager of global quality assurance. In 2002, Eckard was assigned to help lead a quality assurance team to evaluate one of Glaxo's most important plants, in Cidra, Puerto Rico. Nine hundred people worked there, making 20 drugs for patients in the U.S. But Eckard says that when she saw what was happening to some of the company's most popular drugs, she couldn't believe it. "All the systems were broken, the facility was broken, the equipment was broken, the processes were broken. It was the worst thing I had run across in my career," she [said]. As her team continued its evaluation of the plant, Eckard says ... that powerful medications were getting mixed up.

Note: For lots more on how this major pharmaceutical is endangering lives, watch the 60 Minutes video segment at the above link.


Terrorist watch list: One tip now enough to put name in database
2010-12-29, Washington Post
http://www.washingtonpost.com/wp-dyn/content/article/2010/12/29/AR20101229015...

A year after a Nigerian man allegedly tried to blow up a Detroit-bound airliner, officials say they have made it easier to add individuals' names to a terrorist watch list. The failure to put Umar Farouk Abdulmutallab on the watch list last year renewed concerns that the government's system to screen out potential terrorists was flawed. Even though Abdulmutallab's father had told U.S. officials of his son's radicalization in Yemen, government rules dictated that a single-source tip was insufficient to include a person's name on the watch list. Since then, senior counterterrorism officials say they have altered their criteria so that a single-source tip, as long as it is deemed credible, can lead to a name being placed on the watch list. But civil liberties groups argue that the government's new criteria, which went into effect over the summer, have made it even more likely that individuals who pose no threat will be swept up in the nation's security apparatus, leading to potential violations of their privacy and making it difficult for them to travel. "They are secret lists with no way for people to petition to get off or even to know if they're on," said Chris Calabrese, legislative counsel for the American Civil Liberties Union. The list, which stands at 440,000 people, [is now] about 5 percent larger than last year.

Note: For lots more from reliable sources on growing threats to civil liberties, click here.


So Young and So Many Pills
2010-12-28, Wall Street Journal
http://online.wsj.com/article/SB10001424052970203731004576046073896475588.html

These days, the medicine cabinet is truly a family affair. More than a quarter of U.S. kids and teens are taking a medication on a [longterm] basis. Nearly 7% are on two or more such drugs. Doctors and parents warn that prescribing medications to children can be problematic. There is limited research available about many drugs' effects in kids. And health-care providers and families need to be vigilant to assess the medicines' impact, both intended and not. Although the effects of some medications, like cholesterol-lowering statins, have been extensively researched in adults, the consequences of using such drugs for the bulk of a patient's lifespan are little understood. Many medications kids take on a regular basis are well known, including treatments for asthma and attention-deficit hyperactivity disorder. But children and teens are also taking a wide variety of other medications once considered only to be for adults, from statins to diabetes pills and sleep drugs, according to figures provided to The Wall Street Journal by IMS Health, a research firm. Prescriptions for antihypertensives in people age 19 and younger could hit 5.5 million this year.

Note: For a powerful article by Dr. Mercola showing how the drug companies get away with killing literally tens of thousands of people, click here.


Children who lend a helping hand show they can make a difference and change the world
2010-12-27, Christian Science Monitor
http://www.csmonitor.com/World/making-a-difference/2010/1227/Children-who-len...

Parents want their kids and teens to care about others. The good news is that children "are sort of hard-wired" to want to help others, says Michael Ungar, author of "The We Generation: Raising Socially Responsible Kids." While adults do wonderful things to help others, even more amazing is the number of children and teens who are "making a difference". Danielle Gram spent her childhood in Maryland in the years following the 9/11 attacks. "I really didn't understand why people from different cultures wanted to kill each other," says Ms. Gram, now 21 years old and a senior at Harvard University. In 2006, together with Jill McManigal ... Gram, then 16, founded Kids for Peace, a nonprofit, child-led group that inspires kids to work together toward a more peaceful world. Today Kids for Peace has more than 75 chapters. In August, its Great Kindness Challenge, where children try to see how many acts of kindness they can perform in a single day, drew thousands of participants in 50 countries. In November, she was named a winner of the World of Children award. "The passion to create a less violent world has really followed me throughout my life," Gram says. But a family tragedy last year brought it closer to home. Her only brother was murdered while on vacation. "It's certainly been a struggle. But every single one of my immediate family members has a deeper conviction that nonviolence is the way to respond." After graduation next spring, Gram hopes to work on peace issues in Bangladesh or at a refugee camp in Africa. Either way, she'll carry on with Kids for Peace, too.

Note: For a great collection of other inspiring news articles, click here.


C.I.A. Secrets Could Surface in Swiss Nuclear Case
2010-12-24, New York Times
http://www.nytimes.com/2010/12/24/world/europe/24nukes.html

A seven-year effort by the Central Intelligence Agency to hide its relationship with a Swiss family who once acted as moles inside the world’s most successful atomic black market hit a turning point on [December 23] when a Swiss magistrate recommended charging the men with trafficking in technology and information for making nuclear arms. The prospect of a prosecution, and a public trial, threatens to expose some of the C.I.A.’s deepest secrets if defense lawyers try to protect their clients by revealing how they operated on the agency’s behalf. The three men — Friedrich Tinner and his two sons, Urs and Marco — helped run the atomic smuggling ring of A. Q. Khan, an architect of Pakistan’s nuclear bomb program, officials in several countries have said. In return for millions of dollars, according to former Bush administration officials, the Tinners secretly worked for the C.I.A. as well, not only providing information about the Khan network’s manufacturing and sales efforts, which stretched from Iran to Libya to North Korea, but also helping the agency introduce flaws into the equipment sent to some of those countries. A trial ... could also expose in court a tale of C.I.A. break-ins in Switzerland, and of a still unexplained decision by the agency not to seize electronic copies of a number of nuclear bomb designs found on the computers of the Tinner family. Ultimately, copies of those blueprints were found around the globe on the computers of members of the Khan network.

Note: This report establishes yet another connection between a secret nuclear materials network linking both Khan and US government officials, parts of which were divulged by FBI whistleblower Sibel Edmonds, who identified moles working with Khan in both the US State Department and the Pentagon. For more on these highly suspicious networks, click here.


Monitoring America
2010-12-20, Washington Post
http://projects.washingtonpost.com/top-secret-america/articles/monitoring-ame...

Nine years after the terrorist attacks of 2001, the United States is assembling a vast domestic intelligence apparatus to collect information about Americans, using the FBI, local police, state homeland security offices and military criminal investigators. The system, by far the largest and most technologically sophisticated in the nation's history, collects, stores and analyzes information about thousands of U.S. citizens and residents, many of whom have not been accused of any wrongdoing. The months-long investigation [by The Washington Post], based on nearly 100 interviews and 1,000 documents, found that: * Technologies and techniques honed for use on the battlefields of Iraq and Afghanistan have migrated into the hands of law enforcement agencies in America. * The FBI is building a database with the names and certain personal information, such as employment history, of thousands of U.S. citizens and residents whom a local police officer or a fellow citizen believed to be acting suspiciously. * Law enforcement agencies have hired as trainers self-described experts whose extremist views on Islam and terrorism are considered inaccurate and counterproductive by the FBI and U.S. intelligence agencies. * The Department of Homeland Security sends its state and local partners intelligence reports with little meaningful guidance, and state reports have sometimes inappropriately reported on lawful meetings.

Note: This report is part of a series, "Top Secret America," by The Washington Post. For more, click here.


State Budgets: The Day of Reckoning
2010-12-19, CBS News
http://www.cbsnews.com/stories/2010/12/19/60minutes/main7166220.shtml

There is [a] financial crisis looming involving state and local governments. In the two years since the "great recession" wrecked their economies and shriveled their income, the states have collectively spent nearly a half a trillion dollars more than they collected in taxes. There is also a trillion-dollar hole in their public pension funds. The states have been getting by on billions of dollars in federal stimulus funds, but the day of reckoning is at hand. The debt crisis [could] cost a million public employees their jobs and require another big bailout package that no one in Washington wants to talk about. "The most alarming thing about the state issue is the level of complacency," Meredith Whitney, one of the most respected financial analysts on Wall Street. "It has tentacles as wide as anything I've seen. I think next to housing this is the single most important issue in the United States, and certainly the largest threat to the U.S. economy," she [said]. California, which faces a $19 billion budget deficit next year, has a credit rating approaching junk status. It now spends more money on public employee pensions than it does on the state university system, which had to increase its tuition by 32 percent. Arizona is so desperate it sold off the state capitol, Supreme Court building and legislative chambers to a group of investors and now leases the buildings from their new owner. The state also eliminated Medicaid funding for most organ transplants.

Note: For key reports from major media sources on the devastating consequences for Main Street of the criminal bailout of Wall Street, click here.


Senate panel ban seen as double standard
2010-12-19, Washington Post
http://www.washingtonpost.com/wp-dyn/content/article/2010/12/18/AR20101218035...

Gordon R. England's appointment to a top Pentagon post in 2006 came at a high price. The Senate committee overseeing his confirmation demanded that he give up lucrative stocks and options he held in companies that do business with the military. England said he took a big hit on his taxes and lost out on more than $1 million in potential profits that year when he divested himself of interests in companies that included General Dynamics. If he had been a senator, he would not have had to sell anything. The Senate Armed Services Committee prohibits its staff and presidential appointees requiring Senate confirmation from owning stocks or bonds in 48,096 companies that have Defense Department contracts. But the senators who sit on the influential panel are allowed to own any assets they want. And they have owned millions in interests in these firms. The committee's prohibition is designed to prevent high-ranking Pentagon officials from using inside information to enrich themselves or members of their immediate family. But panel members have access to much of the same inside information, because they receive classified briefings from high-ranking defense officials about policy, contracts and plans for combat strategies and weapons systems. "I think Congress should live by the rules they impose on other people," said England, who served as deputy defense secretary under George W. Bush until 2009.

Note: Congress is amost always exempt from it's own rules, as further described in this powerful Time magazine article. This is one major source of rampant corruption in US government. For more on government corruption, click here.


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