Robo-Signing Fraud Case Is Settled





The mortgage servicing company Lender Processing Services agreed to pay $35 million to resolve a federal criminal investigation into foreclosure fraud, the Justice Department said on Friday.


The settlement resolves allegations over the company’s involvement in what the government called a six-year scheme to prepare and file more than 1 million fraudulently signed and notarized mortgage documents in property recorders’ offices nationwide from 2003 to 2009. The practice became known as robo-signing.


The accord also follows a guilty plea last November by Lorraine Brown, the former chief executive of the company’s now-closed DocX unit, to a felony charge of conspiracy to commit mail and wire fraud over the scheme.


Prior to DocX’s closure in 2010, Lender Processing Services had handled more than half of the nation’s foreclosures.


The company entered into a two-year non-prosecution agreement that requires it to meet many conditions, including cooperating in federal investigations, and alerting the government to any abuses in mortgage or foreclosure documentation services at the company.


The company said on Friday that it has a $223 million reserve that covers the Justice Department accord and prior settlements.


Foreclosure abuse became notorious in 2010 as borrowers, politicians and regulators accused lenders of pursuing cases that were based on defective or fraudulent documentation.


Many documents were found to have been signed systematically without being read.


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Former Bell official says he voted for pay raise out of fear









One of the former Bell city leaders accused of plundering the town's treasury by taking oversized salaries testified Thursday that the fat paychecks and other extraordinary benefits that came with the job were all but forced on him.


George Cole, a former steelworker, returned to the witness stand for a second day and testified that he voted for a 12% annual pay raise for a City Council board in 2008 only because he feared retribution from then-City Manager Robert Rizzo.


"He had shown himself to be very vindictive if you crossed him at that time," Cole said. "I was worried that if I didn't vote for this, if I voted against it, he would do whatever he could to destroy the work that was important to me and the community. I knew that was his character."





Cole said it was the most difficult decision he ever made while on the council but was in the best interest of Bell — a city, he said, where he had devoted decades to advocating for new schools and programs for at-risk youths and senior citizens.


Cole, along with Luis Artiga, Victor Bello, Oscar Hernandez, Teresa Jacobo and George Mirabal, is accused of drawing an inflated salary from boards and authorities that rarely met and did little work.


The pay increases for the authorities were placed on the consent calendar — a place for routine and non-controversial items that are voted on without discussion. Cole defended the practice and said the agendas, minutes and staff reports were always available to the public at City Hall and at the library.


"I never tried to hide what we were doing," Cole said.


He also testified that the minutes did not reflect work done for those authorities.


Cole justified his vote for previous City Council pay raises to allow for a more diverse pool of council candidates who could use the money. And when he voted for a council salary increase in 2005, Cole noted that Bell was in a "very strong financial position."


The 63-year-old also told jurors that when he discovered $15,500 had been deposited into a 401(k)-style account for him, he complained. Cole said Rizzo refused to remove the money.


Initially, Cole said, Rizzo was a first-rate city administrator, making improvements such as repairing and keeping streets clean and erecting a protective fence around the city's largest park.


"From the time he started, he was able to accomplish things other managers previous to him said couldn't be done or were unable to do," Cole said.


Cole said the two would sometimes meet for breakfast to discuss city matters. "It was business," he said. "It wasn't two chums getting together."


But when Cole decided to give up his salary during his last year in office, he said it fractured his relationship with Rizzo. When he learned about Rizzo's near-$800,000 salary from a story published in The Times in 2010, he said he felt sick.


"I just felt like the dumbest person in the world that this guy had just pulled one of the biggest cons I've ever seen on, not just me, but on the city of Bell," Cole testified.


Rizzo faces 69 felony corruption charges. He and his former assistant, Angela Spaccia, are expected to go on trial later this year.


Cole's top annual salary was $67,000, his attorney said. At the time, he was earning nearly $95,000 a year as chief executive of the Steelworkers Old Timers Foundation.


In 2004, the city paid the state pension system $36,648 to buy Cole an additional five years of service time. Cole was one of 11 Bell administrators for whom the city bought service time.


CalPERS — the state's largest public pension program — has disallowed the service time the city bought, saying the buy-ins were not council-approved and that a municipality cannot pay for them.


Cole also was among the 40 or so Bell employees who were scheduled to receive additional payments through Bell's own supplemental retirement plan, established in 2003. In combination with the CalPERS pension, the payout was among the best retirement plans for non-safety employees in the state. The council never approved the plan.


jeff.gottlieb@latimes.com


corina.knoll@latimes.com





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Never Tell Me the Odds: A Look at <cite>Star Wars</cite> Tabletop Gaming's Past and Present

Before J.J. Abrams was a twinkle in George Lucas' eye, Star Wars fans had another outlet for the continued adventures of their favorite characters: the tabletop. Whether playing with board games, miniatures, or pen-and-paper role-playing games, Star Wars has been a setting of choice for three decades and counting.


Throughout this gallery, you'll find both hidden gems from Star Wars' past as well as recent hits, proving that the franchise is anything but running out of steam. In fact, when put into the hands of creative game designers, Star Wars has continuously led to some truly engaging experiences.


Above:



As if the combination of Star Wars and Angry Birds was not enough to drive fans wild, Hasbro rolled the combo into its own Jenga game. Rather than plucking pieces with a steady hand, you'll be flinging those iconic birds to knock out as many Jenga blocks as possible. The destruction doesn't end there, though. An entire line of Star Wars Angry Birds games was launched last year, with six other titles featuring everything from Jabba's Palace to the ice planet Hoth.


Image courtesy of Hasbro

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Emmett Till’s family reacts to Lil Wayne lyric






NASHVILLE, Tenn. (AP) — A cousin of the late Emmett Till wonders if Lil Wayne understands just how damaging it was when he rapped a vulgar reference to the black U.S. teen whose death in 1955 became a significant moment in the civil rights movement.


Airickca Gordon-Taylor says Till’s family would like an apology from Lil Wayne for the brief but disturbing lyric on Future’s “Karate Chop” remix. But more than that, she’d like the platinum-selling New Orleans rapper to understand how his comparison of a sex act to the 14-year-old Chicago native’s torture death in Mississippi is hurtful to the black community.






“It was a heinous murder,” Gordon-Taylor said in a phone interview Thursday from Chicago. “He was brutally beaten and tortured, and he was shot, wrapped in barbed wire and tossed in the Tallahatchie River. The images that we’re fortunate to have (of his open casket) that ‘Jet’ published, they demonstrate the ugliness of racism. So to compare a woman’s anatomy — the gateway of life — to the ugly face of death, it just destroyed me. And then I had to call the elders in my family and explain to them before they heard it from some another source.”


The Future remix with Weezy guesting was leaked on the internet over the weekend. Epic Records said Wednesday it regretted the unauthorized remix version and that it was employing “great efforts” to pull it down. The brief reference — just seven words — will be stricken from the song when it’s officially released later.


The rapper made a crude reference to rough sex and used an obscenity. He indicated he wanted to do as much damage as had been done to Till.


Gordon-Taylor says Epic Chairman and CEO LA Reid personally reached out to her on a conference call Wednesday evening that included the Rev. Jesse Jackson to explain and apologize. Jackson said in a phone interview Thursday that Reid said on the call that Future and Lil Wayne were cooperative.


“Once he got the point he realized this was beyond the zone and he immediately pulled it,” Jackson said. “And he talked with both artists, who agreed.”


Weezy has made no comment, nor has he addressed the issue on his Twitter account. Gordon-Taylor says there’s been no attempt to apologize so far.


Till was in Mississippi visiting family when he was killed for allegedly flirting with a white woman. He was beaten, had his eyes gouged out and was shot in the head before his assailants tied a cotton gin fan to his body with barbed wire and tossed his body into the Tallahatchie River. Two white men, including the woman’s husband, were acquitted of the killing by an all-white jury.


Till’s body was recovered and returned to Chicago where his mother, Mamie Till, insisted on having an open casket at his funeral. The pictures of his battered body helped push civil rights into the cultural conversation in the U.S. Bob Dylan even wrote a song about it: “The Death of Emmett Till.”


Gordon-Taylor, founding director of the Mamie Till Mobley Memorial Foundation, said Lil Wayne’s lyric was devastating to her family. Simeon Wright, Till’s cousin who shared a bed with his relative the night he was taken by the killers, heard the lyric for the first time Wednesday night.


“And he said the Ku Klux Klan would be very proud of Lil Wayne,” Gordon-Taylor said. “And as tough a man as he is, I could see the hurt and the anger in his eyes. It just demonstrates to our family just how lost are our youth.”


Both Gordon-Taylor and Jackson believe the 30-year-old rapper could help with that problem if he chose. Jackson has met Wayne, whose real name is Dwayne Carter, before and said, “I respect his art.”


Jackson says the issue of a negative portrayal of the black community comes up from time to time, citing The Rolling Stones’ “Some Girls,” for instance: “We just felt they could make their point without grossly insulting people.”


Music also has the power to uplift, he noted. Harry Belafonte opened eyes to conditions in Africa and the Caribbean, for instance. Marvin Gaye’s “What’s Going On” helped Americans see the war in Vietnam in a new light. And Stevie Wonder’s “Happy Birthday” helped clear the way for a national holiday honoring Dr. Martin Luther King Jr.


“We want artists who have considerable power to use their power to uplift and redirect,” Jackson said. “It’s not a matter of free speech, it’s also speech that matters. … These artists have culturally transforming power. Either they hurt or they help.”


___


Online:


http://epicrecords.com


___


Follow AP Music Writer Chris Talbott: http://twitter.com/Chris_Talbott


Entertainment News Headlines – Yahoo! News





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Well: Ask Well: Swimming to Ease Back Pain

Many people find that recreational swimming helps ease back pain, and there is research to back that up. But some strokes may be better than others.

An advantage to exercising in a pool is that the buoyancy of the water takes stress off the joints. At the same time, swimming and other aquatic exercises can strengthen back and core muscles.

That said, it does not mean that everyone with a case of back pain should jump in a pool, said Dr. Scott A. Rodeo, a team physician for U.S.A. Olympic Swimming at the last three Olympic Games. Back pain can have a number of potential causes, some that require more caution than others. So the first thing to do is to get a careful evaluation and diagnosis. A doctor might recommend working with a physical therapist and starting off with standing exercises in the pool that involve bands and balls to strengthen the core and lower back muscles.

If you are cleared to swim, and just starting for the first time, pay close attention to your technique. Work with a coach or trainer if necessary. It may also be a good idea to start with the breaststroke, because the butterfly and freestyle strokes involve more trunk rotation. The backstroke is another good option, said Dr. Rodeo, who is co-chief of the sports medicine and shoulder service at the Hospital for Special Surgery in New York.

“With all the other strokes, you have the potential for some spine hyperextension,” Dr. Rodeo said. “With the backstroke, being on your back, you don’t have as much hyperextension.”

Like any activity, begin gradually, swimming perhaps twice a week at first and then progressing slowly over four to six weeks, he said. In one study, Japanese researchers looked at 35 people with low back pain who were enrolled in an aquatic exercise program, which included swimming and walking in a pool. Almost all of the patients showed improvements after six months, but the researchers found that those who participated at least twice weekly showed more significant improvements than those who went only once a week. “The improvement in physical score was independent of the initial ability in swimming,” they wrote.

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DealBook: S.E.C. Is Said to Be Investigating Trading Before Heinz Deal

Regulators are scrutinizing unusual trading surrounding the planned $23 billion takeover of the food company H. J. Heinz, raising questions about potential illegal activity in one of the biggest deals in recent memory, a person briefed on the matter said.

The Securities and Exchange Commission opened an insider trading inquiry on Thursday as Berkshire Hathaway and the investment firm 3G Capital agreed to pay $72.50 a share for Heinz, this person said. Regulators first noticed a suspicious spike in trading on Wednesday.

If the S.E.C.’s preliminary inquiry turns into a broader investigation, it could cast a shadow over the deal. As part of the process, authorities would turn their focus toward the limited universe of insiders who could have tipped off traders about the deal.

The agency’s inquiry is expected to be centered on options trading in Heinz, activity that soared this week as news of the deal circulated Wall Street. In what is known as a call option, investors can place a bullish bet on a stock, without actually committing to buy the shares. Instead, investors have the opportunity to buy at a given price and future date.

As recently as Tuesday, there was scant activity in Heinz options. But by Wednesday, as the companies were putting the finishing touches on the deal, options trading jumped, data from Bloomberg shows.

The price of Heinz’s stock soared after the deal was announced. The stock finished up nearly 20 percent on Thursday to close at $72.50, matching the offer price.

The S.E.C. is focusing on the sudden leap in options trading Wednesday, building on a related case it filed last year that also involved 3G, a company with Brazilian roots. In September, the agency obtained an emergency court order to freeze the assets of a Brazilian man suspected of insider trading around 3G Capital’s takeover of Burger King. The trader, a Brazilian citizen who worked at Wells Fargo in Miami, reportedly received the tip from a 3G investor.

Neither the company nor any individual at 3G has been accused of any wrongdoing in that case or in the Heinz inquiry.

While the inquiry is in its early stages, the person briefed on the matter said that regulators could take relatively prompt action. If it is concerned that traders might move the money overseas, the S.E.C. could ask a federal court to freeze the traders’ assets.

The S.E.C. routinely opens inquiries into trading activity after major mergers are announced, but often does not bring charges. The agency, however, has renewed its focus on insider trading, mounting dozens of cases in recent years.

An S.E.C. spokesman declined to comment. Bloomberg News earlier reported that S.E.C. investigators were reviewing the surge in Heinz options trading.

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Federal appeals court weighs overturning Barry Bonds' conviction









SAN FRANCISCO —A federal appeals court wrestled Wednesday with whether to overturn slugger Barry Bonds' felony conviction for obstruction of justice.


The three-judge panel of the U.S. 9th Circuit Court of Appeals weighed whether Bonds broke the law by being evasive in a 52-word answer he gave a federal grand jury in 2003. The grand jury was investigating illegal distribution of performance-enhancing drugs.


Bonds was asked in the grand jury session whether his personal trainer had ever given him a substance that required a syringe to inject. In his response, Bonds rambled on about his childhood and his friendship with the trainer before finally telling the grand jury that he had not received an injectable substance.





The grand jury eventually indicted Bonds, and he was tried in 2011 on three counts of perjury and one count of obstruction. The trial jury convicted him of obstruction of justice, based on that meandering answer, but it deadlocked on the perjury charges.


How the three-judge panel was leaning after Wednesday's hearing was nearly as difficult to parse as Bonds' answer. Judge Michael Daly Hawkins appeared troubled by the fact that Bonds eventually answered the grand jury query: "Can a grand jury witness obstruct justice by giving a series of evasive answers and then giving a direct answer that is not evasive?" Hawkins asked.


Assistant U.S. Atty. Merry Jean Chan, however, said Bond's rambling response was intended to deceive. She argued that the obstruction conviction was not limited to those 52 words but reflected evasion throughout Bonds' testimony.


Hawkins then questioned why prosecutors, if they thought Bonds was being evasive, did not go before a judge to ask that Bonds be ordered to answer the grand jury's questions.


Dennis Riordan, an attorney for Bonds, told the court that the grand jury was not troubled by the 52-word passage that led to the trial jury's conviction years later.


"There is one thing we know for sure," Riordan said. "This grand jury did not consider those 52 words were criminal activity.... That is a dagger in the heart of this conviction."


Chan countered that Bonds' testimony was "littered with multiple examples" of misleading testimony.


Bonds' conviction came at the end of a 12-day trial. He was sentenced to two years probation, 250 hours of community service, a $4,000 fine and a month of monitored home confinement, all of which have been put on hold pending his appeal.


The 9th Circuit panel, which included Judges Mary Schroeder and Mary Murguia, did not indicate when it might rule.


maura.dolan@latimes.com





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Overkill: If You Want to Stop Gun Violence, Start With Bullets

.223 Remington

The assault rifles used in mass shootings in Newtown, Connecticut, and Aurora, Colorado, were loaded with .223 cartridges. As with most bullet types, hundreds of .223 choices are available; Cheaperthandirt.com, for example, sells 172 kinds that vary by weight, muzzle velocity, and form factor (e.g., full metal jacket, soft-point, jacketed hollow point).

Our immense appetite for bullets—and expertise in producing them—drives the entire global market, in which the US is the biggest importer and exporter. Between 2005 and 2009 alone, US imports quadrupled, in large part because the military, waging wars in Afghanistan and Iraq, was sapping domestic production. This map shows official US exports from, and imports to, its top 10 partners in bullet sales. Unofficially, US bullets also find their way into bloodshed from Mexico (via smuggling to cartels) to Norway (where mass murderer Anders Breivik ordered his online from a US seller).


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Josh Groban beats Tim McGraw to top of Billboard 200 album chart






LOS ANGELES (Reuters) – Singer Josh Groban scored his third No. 1 on Wednesday as his latest album shot to the top of the Billboard 200 album chart, edging out new entries from Tim McGraw and rock band Coheed and Cambria.


“All That Echoes,” Groban’s sixth studio album, sold 145,000 copies in its first week, according to figures from Nielsen SoundScan, making it the singer’s third chart-topping album since 2007′s holiday set, “Noel.”






Country crooner McGraw debuted at No. 2 with his 12th studio album, “Two Lanes of Freedom,” selling 107,000 copies. McGraw and his country singer wife, Faith Hill, were also presenters at Sunday’s Grammy Awards.


“Now 45,” the latest installment of the “Now Music” compilations featuring chart hits by One Direction, Maroon 5 and Pink, landed at No. 3 this week.


British folk band Mumford & Sons’ album “Babel” climbed the chart from No. 7 to No. 4, following the band’s big Grammy night win on Sunday for Album of the Year.


The album is likely to get a bigger boost from the Grammy Awards win, to be reflected in next week’s chart, which accumulates all sales from a Monday to Sunday weekly cycle.


Other new entries on this week’s top 10 include Nashville rock band Red with their fourth studio album, “Release the Panic,” at No. 7 and New York rockers Coheed and Cambria at No. 9 with their latest set, “The Afterman: Descension.”


(Reporting By Piya Sinha-Roy; Editing by Eric Beech)


Music News Headlines – Yahoo! News





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To Lower Suicide Rates, New Focus Turns to Guns


Larry Mayer for The New York Times


Craig and Cara Reichert and their daughter, Kassidy, in Dayton, Wyo. “I will always believe in guns,” Mr. Reichert said. Kameron Reichert killed himself with a family heirloom.







DAYTON, Wyo. — Craig Reichert found his son’s body on a winter morning, lying on the floor as if he were napping with his great-uncle’s pistol under his knee. The 911 dispatcher told him to administer CPR, but Mr. Reichert, who has had emergency training, told her it was too late. His son, Kameron, 17, was already cold to the touch.




Guns are like a grandmother’s diamonds in the Reichert family, heirlooms that carry memory and tradition. They are used on the occasional hunting trip, but most days they are stored, forgotten, under a bed. So when Kameron used one on himself, his parents were as shocked as they were heartbroken.


“I beat myself up quite a bit over not having a gun safe or something to put them in,” Mr. Reichert said. But he said even if he had had one, “There would have been two people in the house with the combination, him and me.”


The gun debate has focused on mass shootings and assault weapons since the schoolhouse massacre in Newtown, Conn., but far more Americans die by turning guns on themselves. Nearly 20,000 of the 30,000 deaths from guns in the United States in 2010 were suicides, according to the most recent figures from the Centers for Disease Control and Prevention. The national suicide rate has climbed by 12 percent since 2003, and suicide is the third-leading cause of death for teenagers.


Guns are particularly lethal. Suicidal acts with guns are fatal in 85 percent of cases, while those with pills are fatal in just 2 percent of cases, according to the Harvard Injury Control Research Center.


The national map of suicide lights up in states with the highest gun ownership rates. Wyoming, Montana and Alaska, the states with the three highest suicide rates, are also the top gun-owning states, according to the Harvard center. The state-level data are too broad to tell whether the deaths were in homes with guns, but a series of individual-level studies since the early 1990s found a direct link. Most researchers say the weight of evidence from multiple studies is that guns in the home increase the risk of suicide.


“The literature suggests that having a gun in your home to protect your family is like bringing a time bomb into your house,” said Dr. Mark Rosenberg, an epidemiologist who helped establish the C.D.C.’s National Center for Injury Prevention and Control. “Instead of protecting you, it’s more likely to blow up.”


Still, some dispute the link, saying that it does not prove cause and effect, and that other factors, like alcoholism and drug abuse, may be driving the association. Gary Kleck, a professor of criminology at Florida State University in Tallahassee, contends that gun owners may have qualities that make them more susceptible to suicide. They may be more likely to see the world as a hostile place, or to blame themselves when things go wrong, a dark side of self-reliance.


Health officials in a number of states are trying to persuade families to keep guns away from troubled relatives or to lock the weapons up so teenagers cannot get them. Some of those same officials say the inflamed national gun control debate is actually making progress harder because the politics put gun owners on the defensive.


“You just bump up against that glass wall, and barriers go up and the conversations break down,” said B. J. Ayers, a suicide prevention specialist in southeast Wyoming.


Seeking to lower death rates, health departments in Missouri, Wyoming and North Carolina are giving out gunlocks. In New Hampshire, about half the gun shops put up posters and give out fliers alerting gun owners to the warning signs for suicide and suggesting ways to keep guns from loved ones at risk of harming themselves. A coalition of firearm dealers in Maryland is now planning a similar program.


“This is an issue whose time has come,” said Keith Hotle, state suicide prevention team leader for Wyoming, the state with the highest suicide rate. A state advisory council recently bumped firearms safety to the top priority in a new report to the governor on suicide prevention. But Mr. Hotle cautioned that in Wyoming, where guns are like cars — just about everybody has one — direct arguments against them simply will not work.


“The framing is important,” he said. “It’s not about taking away people’s guns. It’s about how to deal with folks in a temporary crisis.”


Kameron’s crisis was, by all accounts, temporary. He was a popular football player with adoring parents and no history of depression. He worked after school at the only corner grocery store in Dayton, a tiny town in northeastern Wyoming with tidy, tree-lined streets and a park at the base of Bighorn National Forest. He liked to drive students around in his Pontiac Grand Prix, and he always bought multipacks of gum at Costco so he could give out sticks in pretty blue wrappers to girls at school.


“If someone had a hankering for a hamburger, he’d be off,” said his mother, Cara Reichert, an administrator in the local school system.


The event that preceded his death in 2008 seems like the mischievous scrape of a teenage boy. Out one night in the town park, he was caught with a package of cigars by local police officers.


His parents are still tormented over the bad luck that followed. The officers searched him because they were training a new colleague. Then a clerk at the local court told him — incorrectly — that his parents had to be present to pay the fine. His parents punished him by taking away his cellphone, though they left him his car.


“If just one little piece of this story would not have fallen into place,” Mr. Reichert said, his voice breaking.


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