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NEWS     FRIDAY, JULY 3, 2009   NEWS

Senate Bill Fines People Refusing Health Coverage
Americans who refuse to buy affordable medical coverage could be hit with fines of more than $1,000 under a health care overhaul bill unveiled Thursday by key Senate Democrats looking to fulfill President Barack Obama's top domestic priority. The Congressional Budget Office estimated the fines will raise around $36 billion over 10 years. Senate aides said the penalties would be modeled on the approach taken by Massachusetts, which now imposes a fine of about $1,000 a year on individuals who refuse to get coverage. Under the federal legislation, families would pay higher penalties than individuals. Las Vegas Sun

Job Cuts In June Deeper Than Forecast
Employers in the U.S. cut more jobs than forecast in June and the unemployment rate rose to the highest in almost 26 years, offering scant evidence the Obama administration’s stimulus package is putting Americans back to work. Payrolls declined by 467,000 last month following a 322,000 drop in May, according to Labor Department figures released today in Washington. The jobless rate rose to 9.5 percent, the highest since August 1983, from 9.4 percent. Bloomberg
VOA VIEW: The government's false forecasts are being trumped with false reports - unemployment is actually over 12%.

Cities Desperate For Police Funding
The nation's police departments are clamoring for an unprecedented amount of federal aid to forestall big local tax increases or the possible layoff of nearly 40,000 police officers - enough to staff the entire New York City Police Department. When President Obama signed the huge economic stimulus bill earlier this year, $1 billion was set aside to help local and state police avoid layoffs or keep their police academy classes intact. The response was staggering: Departments applied for more than $8.3 billion in aid, meaning only a fraction of the demand can actually be met. Philadelphia Inquirer

Cheney Discussed Media Inquiries Into Plame Leak
Vice President Dick Cheney talked with top White House officials about how to respond to reporters' inquiries into who leaked the identity of a CIA operative, according to a court filing. Cheney told the FBI about his recollection of discussions with his former top aide, I. Lewis "Scooter" Libby, and other White House officials on the media's questions. But the Obama administration is fighting in court to keep the substance of what Cheney revealed to the FBI from the public. Seattle Times

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White House To Hold H1N1 Flu Summit
Members of President Obama's cabinet will hold a H1N1 Flu Preparedness Summit next week to prepare for the possibility of a more severe outbreak of H1N1 flu. Health and Human Services Secretary Kathleen Sebelius, Homeland Security Secretary Janet Napolitano, Education Secretary Arne Duncan and Homeland Security Adviser John Brennan will host the all-day event on Thursday at the National Institutes of Health in Bethesda, Md. CBS

Obama Says Civil Rights Act Of 1964 Opened Doors For Freedom, More Work Remains
President Barack Obama says the Civil Rights Act opened doors for freedom but inequities remain on the legislation's 45th anniversary. On Thursday, Obama released a statement praising the 1964 law that ended legal discrimination. Obama says Americans must continue to break down barriers to equality and fulfill the promises of that legislation. Obama says the act won passage because Americans of all backgrounds "stood up, sat down, and marched in freedom's cause" together. Newsday
VOA VIEW: The the barriers to equality are now holding back white males.

N. Korea Launches Could Be Preview Of July 4 Missile Plans
North Korea fired a barrage of short-range missiles off its east coast in a possible prelude to the launch of a long-range missile toward Hawaii over the U.S. Independence Day holiday. Firing a ballistic missile on the July Fourth celebration would be a challenge to Washington, which has been rallying international support for enforcement of U.N. sanctions imposed against Pyongyang following a May 25 nuclear test. North Korea is banned from testing ballistic missiles under U.N. resolutions. Tampa Tribune

Muslim Gathering To Reach Out To Others
The country's largest Muslim group will mount an unprecedented outreach to Christians and Jews this weekend at its annual conference, featuring an appearance by the Rev. Rick Warren, one of America's best-known evangelical Protestant pastors, at the main session Saturday night. Mohamed Elsanousi, spokesman for the Islamic Society of North America, said the group invited the pastor to speak before 30,000 Muslims at the Washington Convention Center because Mr. Warren is doing good things across the globe. Washington Times

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Cash-Strapped California Sets Interest Rate On "IOUs"
California officials, facing a cash crisis without a state budget agreement, approved on Thursday a 3.75 percent interest rate and an October 2 maturity date for registered warrants, or "IOUs," the state will issue in lieu of payments to vendors, local agencies and individuals. The first tranche of IOUs will be printed Thursday afternoon and will be sent primarily to taxpayers owed tax refunds, according to State Controller John Chiang's office. Reuters

Obama Health Czar Directed Firms In Trouble
Nancy-Ann DeParle, President Barack Obama’s health policy czar, served as a director of corporations that faced scores of federal investigations, whistleblower lawsuits and other regulatory actions, according to government records reviewed by the Investigative Reporting Workshop at American University. Several of the companies were investigated for alleged kickbacks or engaging in other illegal billing schemes, while others were accused of serious violations of federal quality standards, including one company that failed to warn patients of deadly problems with an implanted heart defibrillator. Several of the cases ended with substantial fines paid to the federal government, even though the companies admitted no wrongdoing. MSNBC
VOA VIEW: Most of Obama's appointees are rogues and misfits.

McCain, Feingold Team Up Again Over FEC
Seven years after their landmark campaign finance legislation became law,  Sens. John McCain and  Russell Feingold are reuniting under the banner of spending reform at a time when restrictions have come under fire both in the courts and at the embattled Federal Election Commission. McCain (R-Ariz.) and Feingold (D-Wis.) announced this week that they were blocking the appointment of Democratic union lawyer John Sullivan to the FEC until President Obama agrees to fill two other open panel seats. Washington Post

DEA Experience An Aid In Jackson Probe
The Los Angeles Police Department’s request for federal drug agents to join the investigation of Michael Jackson’s death indicates that illegal activity may be suspected in the dispensing of painkillers, sedatives, antidepressants, or other medications to the 50-year-old entertainer, according to a law enforcement official. Some of Jackson’s friends, family, and confidants have come forward to say that he was abusing painkillers and other prescription drugs over a long period of time, and that perhaps others in his ever-changing entourage kept him supplied, which could be illegal. The DEA is investigating various possibly related activities, said the official, who spoke on the condition of anonymity because the investigation is ongoing. Boston Globe

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Cancer Victim Who Told Sad Story To Obama Is Democrat Party Volunteer
President Barack Obama wanted to put a human face on his plans to overhaul health care, and a Virginia supporter did just that Wednesday. Fighting back tears, Debby Smith, 53, told Obama of her kidney cancer and her inability to obtain health insurance or hold a job. The president hugged her -- she's a volunteer for his political operation -- and called her "exhibit A" in an unsustainable system that is too expensive and complex for millions of Americans. CNS News
VOA VIEW: Exhibit "A" is unrealistic promises.

U.S. Home Prices Seen Down Over 40 Percent
U.S. housing prices will fall by a double-digit percentage from already beaten-down levels, resulting in an overall 40 percent plunge by the time foreclosures peak in the second half of 2010, Barclays Capital economist Michelle Meyer said. Meyer issued her forecast two days after the Standard & Poor's/Case-Shiller Home Price Indexes showed for April an 18.1 percent year-to-year decline, compared with 18.7 percent in March, in the rate of home price declines in 20 major U.S. metropolitan areas. The indexes have tracked the prices of U.S. single-family homes since 1987. Reuters

U.S. Won’t Close CIA ‘Black Sites’ For Now
The government will not dismantle overseas locations where a former Guantanamo detainee claims he was interrogated by the CIA before he was brought to the United States for trial on terrorism charges, a prosecutor said Thursday. David Raskin told U.S. District Judge Lewis Kaplan that the United States would preserve the locations for now even though it does not plan to use at trial any statements Ahmed Ghailani made while he was in the custody of any other government agencies. MSNBC

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VA Silent On Compensating For Endoscopic Mistakes
An attorney for veterans potentially exposed to HIV and other infections by colonoscopies at three Department of Veterans Affairs hospitals said his clients are waiting to hear if they will be compensated for mistakes that led to congressional hearings and new VA spending on patient safety. A spokeswoman for the VA declined to comment about prospects for compensation. Katie Roberts said the more than 10,000 veterans who have been getting follow-up blood checks since February have the option of filing a complaint in a claim just like other VA patients. Las Vegas Sun

FDIC Says Buyers Should Hold Banks For Three Years
The Federal Deposit Insurance Corp. said private-equity firms acquiring failed banks should hold them for three years, double the time imposed in the latest transaction, to prevent “flipping” them for short-term profit. The proposal was among a half-dozen announced today by the FDIC as buyout firms such as Blackstone Group LP and Carlyle Group seek a bigger role in the banking industry. Bloomberg

Jackson Memorial Set For Tuesday In Los Angeles
The question of when and where a public memorial service will be held for Michael Jackson has finally been answered. But how city officials will handle the likelihood of a massive crowd remains to be settled. A public memorial for the late singer has been set for 10 a.m. Tuesday at the Staples Center in downtown Los Angeles, according to a press release from the office of the Jackson family's publicist. A press conference to announce further details was planned for Friday. Kansas City Star
VOA VIEW: It's amazing what interests Americans.

Purity Of Federal 'Organic' Label Is Questioned
Three years ago, U.S. Department of Agriculture employees determined that synthetic additives in organic baby formula violated federal standards and should be banned from a product carrying the federal organic label. Today the same additives, purported to boost brainpower and vision, can be found in 90 percent of organic baby formula. The government's turnaround, from prohibition to permission, came after a USDA program manager was lobbied by the formula makers and overruled her staff. Washington Post

Iranian Cleric: British Embassy Staff To Be Tried
Ayatollah Ahmad Jannati, who is close to Iran's supreme leader, has made the announcement in a Friday prayer sermon. He says the detained staffers "made confessions." Jannati does not say how many staffers will be tried or on what charges. Earlier Iranian officials said all but one of the eight embassy personnel arrested on June 27 had been released, but European Union officials said they believed more than one was still being held. Houston Chronicle

New White House Office To Redefine What Urban Policy Encompasses
Once upon a time, when cities were poor and suburbs were rich, "urban policy" meant programs to alleviate poverty. But in the last few decades, the cities and suburbs turned inside out. Poverty spread in the aging suburbs, as many encountered rising immigration, unemployment and crime. Wealth flooded once again to the cities, as urban living and enterprise came back in vogue. City and suburb started to look economically alike. Now President Obama has created the Office of Urban Affairs, which seeks to redefine the word "urban." Miami Herald
VOA VIEW: Immigration, unemployment and crime work hand and hand.

Washington Post Cancels Lobbyist-Funded Mixers
For generations, the Washington Post has been a scrupulous watchdog over the capital's cozy world of power networking. For a short time, it almost became the network's host. The Post decided Thursday to cancel plans to charge lobbyists and trade groups $25,000 or more to sponsor private, off-the-record dinner parties at the home of its publisher, Katharine Weymouth, events that promised to bring together lobbyists, business leaders, Post journalists and officials from the Obama administration and Congress. SF Gate

Missing U.S. Soldier Sold To Clan
A missing U.S. soldier thought to have been captured in southeastern Afghanistan has been sold to a militant clan, a U.S. military official said Thursday. The unidentified senior military official told CNN the soldier, whose name was not released, was captured along with three Afghan soldiers and then sold to a militant group led by warlord Siraj Haqqani. UPI

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Biden Makes Surprise Trip To Iraq
Vice President Joe Biden has landed in Iraq for an unannounced, two-day visit with U.S. troops and the Iraqi leadership. According to a pool report, Biden plans to "try to reestablish contact with Iraqi leaders and try to help foster efforts at political reconciliation" during the trip. Biden will meet with Iraqi President Jalal Talabani, Prime Minister Nouri al-Maliki and Speaker of the Council of Representatives Ayad al-Samarrai. CBS

Treasury Seizes Assets Of Extremist Organization
The Obama administration on Thursday authorized the seizure of assets belonging to an extremist organization in Iraq and an Iranian backer of insurgents, saying both are responsible for deadly attacks in Iraq. The Treasury Department is targeting Abu Mahdi al-Muhandis and the Iraq-based group Kata'ib Hizballah for committing, directing or supporting acts of violence in Iraq against U.S. and Iraqi forces. In a separate move Thursday, the State Department designated Kata'ib Hizballah as a foreign terrorist organization. Newsday

Congressional Travel Tab Swells In Recent Years
Spending by lawmakers on taxpayer-financed trips abroad has risen sharply in recent years, a Wall Street Journal analysis of travel records shows, involving everything from war-zone visits to trips to exotic spots such as the Galápagos Islands. The spending on overseas travel is up almost tenfold since 1995, and has nearly tripled since 2001, according to the Journal analysis of 60,000 travel records. Hundreds of lawmakers traveled overseas in 2008 at a cost of about $13 million. That's a 50 percent jump since Democrats took control of Congress two years ago. Fox News
VOA VIEW: Democrats like to spend taxpayer's money on anything.

U.S. 'Hits The Pause Button' On Aid To Honduras
The United States put some teeth in its diplomatic signals to Honduras Thursday, stopping some aid programs temporarily to the Latin American country as it grapples with its two-president crisis.State Department spokesman Ian Kelly said the United States already "hit the pause button" on some aid programs, even before State Department lawyers make a final ruling on whether to halt assistance. CNN

COMPTROLLER PUTS FREEZE ON CLOWN POLS' PAYCHECKS
State Comptroller Thomas DiNapoli announced yesterday he was cutting off the paychecks of feuding state senators who haven't passed any significant legislation in nearly a month. The salary freeze, which takes effect next Wednesday, comes more than a week after Gov. Paterson demanded such action as a way to force a resolution to the leadership fight. NY Post

Energy Job Losers Could Get Windfall
Workers who lose their jobs if the pending climate change legislation becomes law could get a weekly paycheck for up to three years, subsidies to find new work and other generous benefits -- all courtesy of Uncle Sam -- under a little-noticed provision of the bill. Touted by its House Democratic authors as a jobs engine, the bill offers extraordinary compensation for those who would lose their paycheck as a consequence of its passage. Washington Times

17 Die In US Missile Strike In Pakistan
U.S. missiles struck a training facility operated by Pakistani Taliban leader Baitullah Mehsud and a militant communication center Friday, killing 17 people and wounding 27 others, intelligence officials said. The two attacks by drone aircraft took place in South Waziristan, a Mehsud stronghold close to the Afghan border where Pakistani troops are gearing up for a military offensive, two officials said on condition of anonymity because they were not authorized to speak to the media. They took place as U.S. Homeland Security Secretary Janet Napolitano met government officials in the Pakistani capital, Islamabad. Indy Star

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Judge Dismisses Case Against Cyber Bully
A federal judge in Los Angeles Thursday dismissed charges against Lori Drew, the Missouri woman whose online deception had been blamed for a teenager's suicide. U.S. District Judge George Wu said the three misdemeanor counts Drew was convicted of would apply to anyone who violated a Web site's terms of service statement, the St. Louis Post-Dispatch reported. UPI

In Possible Signal To Iran, Israel Sends Subs Through Suez Canal
After a long hiatus, the Israeli Navy has returned to sailing through the Suez Canal, recently sending one of its advanced Dolphin-class submarines through the waterway to participate in naval maneuvers off the Eilat coast in the Red Sea. IDF sources said the decision to allow navy vessels to sail through the canal was made recently and was a definite "change of policy" within the service. In 2005, then OC Navy Adm. David Ben-Bashat decided to stop sending Israeli ships through the canal due to growing threats in the area. Jerusalem Post

Obama 'Not Reconciled' To Iranian Nukes
"I'm not reconciled with [Iran's possession of nuclear weapons], and I don't think the international community is reconciled with that," US President Barack Obama said Thursday in an interview with the Associated Press, ahead of a trip to Moscow. Scheduled to depart next week on a trip to Russia, Italy and Ghana, the US leader praised Moscow for its cooperation in attempting to persuade North Korea and Iran to abandon their nuclear development programs. Jerusalem Post

WHO Warns Swine Flu 'Unstoppable'
 The UN's top health official has opened a forum in Mexico on combating swine flu by saying that the spread of the virus worldwide is now unstoppable. World Health Organization head Margaret Chan added that the holding of the meeting in Cancun showed confidence in Mexico, which has been hard hit. The WHO says most H1N1 cases are mild, with many people recovering unaided. As the summit opened, the UK alone was projecting more than 100,000 new cases of H1N1 a day by the end of the summer. BBC

US Urges Russian Break From Past
President Barack Obama has said Russia must understand that "old Cold War approaches" to relations with the US belong in the past. The president said he would convey this to Vladimir Putin during talks in Moscow next week. Mr Obama said the former Russian president - now prime minister - "still has sway" in Russia. Earlier Russian President Dmitry Medvedev said he was hopeful of finding new ways to co-operate with the US. BBC

Brown Finally Admits That There Will Be Cuts In Public Spending
Gordon Brown changed his tune on public spending last night, admitting Labour would have to cut Government programmes, as he tried to refocus his attack on the Conservatives. The Prime Minister insisted that Labour would secure economic growth, efficiency savings, asset sales and public-sector reforms to protect frontline services which would be at risk under a Tory Government. But he said it would be "fine" for other programmes to be "cut" and that Labour would face "hard choices". Independent

Britain's Banks Are On Life Support, Says Miles
News of modest improvements in the availability of credit in the economy were accompanied yesterday by warnings from Bank of England policymakers about the fragility of the recovery, and the success of the Bank's policy of quantitative easing. David Miles, a recent appointment to the Bank's Monetary Policy Committee and a former adviser to the Government on housing, told the Treasury Select Committee that any economic growth was likely to be "anaemic" and that the banks were on "life support". Independent

US Marines Pour Into Helmand In Biggest Offensive Against Taliban For Five Years
The US poured 4,000 marines into Afghanistan's Helmand province today in its biggest operation for five years to try to wrest the poppy-filled river valley permanently from the Taliban. In helicopters, armoured vehicles and on foot, the marines fanned out to Afghan villages in two districts previously dominated by insurgents in a mission codenamed Operation Khanjar (Sword Strike). Guardian

Russia Plays Checkbook Diplomacy In Own Backyard
Russia is using its energy wealth to shore up influence abroad, pouring billions of dollars in loans and grants into former Soviet states and long-standing allies — even as it faces its own severe economic downturn. Faced with its own economic crisis, the Kremlin could have downplayed its drive to reclaim its former status as a "great power" and fight fires at home. Sun Sentinel

Israel Mulling Easing Gaza Embargo
Israel's Defense Ministry has recommended a partial lifting of the embargo on Gaza as a goodwill gesture toward the Palestinians to spur along talks to free a long-held captive soldier, an Israeli news site reported Friday. Israel has been linking the opening of Gaza's borders to the release of Sgt. Gilad Schalit, an Israeli soldier held by Hamas militants for three years. Hamas has been pushing for a deal to trade him for hundreds of Palestinian prisoners in Israeli jails. Atlanta Journal

U.N. Chief Seeks Release Of Aung San Suu Kyi
The United Nations secretary general, Ban Ki-moon, arrived in Myanmar on Friday for a journey he has said will be difficult as he seeks the release of the jailed pro-democracy leader Daw Aung San Suu Kyi, or at least a meeting with her. Shortly after he arrived the Burmese authorities said the current trial of Ms. Aung San Suu Kyi, who has been under house arrest for 13 of the past 19 years, would be adjourned for one week until July 10, The Associated Press reported. NY Times

Japan's Royal Couple Head To Canada, Hawaii
Japan's Emperor Akihito and Empress Michiko hope to reach out to Americans and Canadians of Japanese ancestry during a two-week tour that began Friday, but they won't be going to Pearl Harbor. "Both Canada and the state of Hawaii are home to many people of Japanese ancestry," Akihito said in a statement ahead of the trip. "We are looking forward to meeting these people in various places during our trip and further deepen our understanding of the paths they have taken to this day." Charlotte Observer

Interim Honduras Leader Hints Open To Early Vote
Honduras' interim leader said he was open to early elections if it resolves an impasse with the world community, as a top diplomat headed to the Central American nation to demand he restore the president ousted by a coup. With time running out on a Saturday deadline by the Organization of American States to return President Manuel Zelaya to power, OAS chief Jose Miguel Insulza was to arrive in Honduras Friday to push for his reinstatement. San Diego Union

Obama's Hardline Stance On Settlements Could Be A Game Changer For Israel
Barack Obama chose his battleground carefully. Americans may seem to instinctively support what they regard as plucky little Israel besieged by terrorism, and Congress may still be the Jewish state's best political shield. But even in the US there are not many who are prepared to publicly defend the ever-expanding Jewish colonies annexing chunks of the West Bank and sealing off East Jerusalem from the rest of the occupied territories as Israel seeks to put its control of the city beyond negotiation. Guardian

Anger Really Does Cause A Rush Of Blood To The Head
The claim that anger provokes a rush of blood to the head is more than just an old wives' tale, according to new research.  Blood flow to the brain increased significantly in people experiencing mental stress, according to a series of experiments at the University of Southern California. During the experiments, 58 volunteers were put through a series of tasks designed to cause mental strain, including recalling moments where they felt anger, reading and arithmetic tests. Ultrasound imaging techniques showed that arteries in and around the brain dilated when volunteers became stressed, causing a rush of blood to the head. Telegraph

US Says North Korean Missile Launches Are 'Provocative Act'
"The North Koreans said they were going to launch these missiles. I don't I don't think that's surprising that they've launched these missiles," Robert Gibbs, the White House spokesman. said. "I take the North Koreans at their word that they're going to continue their provocative actions." North Korea fired a barrage of short-range missiles off its east coast on Thursday, a possible prelude to the launch of a long-range missile toward Hawaii over the US Independence Day holiday. Telegraph

New Class Of Black Holes Discovered
Only two sizes of black holes have ever been spotted: small and super-massive. Scientists have long speculated that an intermediate version must exist, but they’ve never been able to find one until now. Astrophysicists identified what appears to be the first-ever medium-sized black hole, pictured in an artist’s rendition above, with a mass at least 500 times that of our Sun. Researchers from the Centre d’Etude Spatiale des Rayonnements in France detected the middling hole in a galaxy about 290 million light-years from Earth. Wired

Japanese Official Chosen To Head UN Atomic Watchdog
A Japanese diplomat with a lengthy record of working on disarmament and non-proliferation issues will be the next chief of the United Nations nuclear watchdog after winning a secret ballot today against two other candidates. The Board of Governors of the International Atomic Energy Agency, meeting at the IAEA’s headquarters in Vienna, chose Yukiya Amano as Director General to succeed Mohammed ElBaradei when he steps down at the end of November. UN News

Human Rights Experts Join Chorus Of UN Condemnation Over Coup In Honduras
Four independent United Nations human rights experts today voiced serious concern over the situation in Honduras following last weekend’s coup d’état, calling for the immediate restoring of democracy in the Central American country and the lifting of curbs on fundamental freedoms. The experts said they were especially disturbed by reported arrests, threats and acts of harassment against human rights defenders, journalists and social leaders. UN News

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