Vatican’s “Monsignor 500” Re-Arrested Amid Money Laundering Allegations

Monsignor Nunzio Scarano – dubbed “Monsignor 500” after his favorite bank-notewho is already on trial for allegedly plotting to smuggle 20 million euros from Switzerland to Italy, was arrested Tuesday in a separate case for allegedly using his Vatican accounts to launder a further 7 million euros. As AP reports, police said they seized 6.5 million euros in real estate and bank accounts Tuesday, including Scarano’s luxurious Salerno apartment, filled with gilt-framed oil paintings, ceramic vases and other fancy antiques. A local priest was also placed under house arrest and a notary public was suspended for alleged involvement in the money-laundering plot. Police said in all, 52 people were under investigation. Have no fear though, for his lawyer, “has good faith that the money came from legitimate donations.”

 

Via AP,

Scarano’s lawyer, Silverio Sica, said his client merely took donations from people he thought were acting in good faith to fund a home for the terminally ill. He conceded, however, that Scarano used the money to pay off a mortgage.

 

We continue to strongly maintain the good faith of Don Nunzio Scarano and his absolute certainty that the money came from legitimate donations,” Sica told The Associated Press.

 

The Salerno investigation was already under way when Scarano was arrested in June in Rome on the smuggling accusations.

 

 

 

Police and Sica described the laundering plot as follows: Scarano allegedly withdrew 555,248 euros from his Vatican account in cash in 2009 and brought it into Italy. Since he couldn’t deposit it in an Italian bank without drawing suspicion, he selected 50 friends to accept 10,000 euros apiece in cash in exchange for a check or wire transfer in that same amount.

 

The money then went to pay off a mortgage on a Salerno property held in the name of a company Scarano partly owned.

 

 

The Vatican’s top prosecutor said last week that the Holy See had responded to two official requests from Italy for information about Scarano’s accounts, while making its own request to Italian authorities for help in its own money-laundering investigation of him.

 

The Vatican’s own investigation into Scarano’s banking activity showed that some 7 million euros had come into and out of his Vatican accounts over the past decade.

 

The Vatican’s documentation arrived on Salerno prosecutors desks in recent weeks, leading to his re-arrest on Tuesday, Italian media reported.

 

 

Scarano’s initial arrest in the smuggling case was reduced to house arrest because of his ailing health. Sica said the prelate would serve the new arrest warrant also under house arrest.

 

In the Rome smuggling case, prosecutors say Scarano, a financier and a carabinieri officer devised an elaborate plot to transport 20 million euros in a private jet from Switzerland to Italy avoid paying customs duties. The plot fell apart because the financier reneged at the last minute.

 

Sica has said Scarano in that case was merely acting as a middleman.

So now we are losing faith and trust in our priests? Wht next – losing faith in central bankers?


    



via Zero Hedge http://ift.tt/1aJeo2E Tyler Durden

Protect Firefox Browser From the U.S. Government, Says Mozilla Exec

FirefoxAmong the issues
that President Obama did not address in his
lukewarm call
for “reform” of NSA spying practices are
allegations that U.S. government officials have used their clout to

compromise encryption technology and strongarm companies
into
inserting backdoors into their technology. That’s not a small
issue, because it gives the NSA and other agencies access to vast
quantities of information at least as sensitive as what they gather
from sucking up phone meta data. Last week, even before the
president’s speech, Brendan
Eich
, the Chief Technology Officer of Mozilla, the organization
behind the Firefox Web browser, called on the public to help resist
such threats.

Wrote Eich in a blog
post
:

As a result of laws in the US and elsewhere, prudent users must
interact with Internet services knowing that despite how much any
cloud-service company wants to protect privacy, at the end of the
day most big companies must comply with the law. The government can
legally access user data in ways that might violate the privacy
expectations of law-abiding users. Worse, the government may force
service operators to enable surveillance (something that seems to
have happened in the
Lavabit case
).

Worst of all, the government can do all of this without users
ever finding out about it, due to gag orders.

This creates a significant predicament for privacy and security
on the Open Web. Every major browser today is distributed
by an organization within reach of surveillance laws
. As
the Lavabit case suggests, the government may request that browser
vendors secretly inject surveillance code into the browsers they
distribute to users. We have no information that any browser vendor
has ever received such a directive. However, if that were to
happen, the public would likely not find out due to gag orders.

The unfortunate consequence is that software vendors —
including browser vendors — must not be blindly trusted
.
Not because such vendors don’t want to protect user privacy.
Rather, because a law might force vendors to secretly violate their
own principles and do things they don’t want to do.

His proposed solution? Since Mozilla and its products are all
open source, he wants tech savvy users around the world to:

  • regularly audit Mozilla source and verified builds by all
    effective means;
  • establish automated systems to verify official Mozilla builds
    from source; and
  • raise an alert if the verified bits differ from official
    bits.

That way, no matter what Mozilla is ordered to do by a a
government body, and forbidden to reveal, any compromises stand a
good chance of being discovered—and even attempting them might
deterred.

Talk about watching the watchers.

Eich is right—open source does have an inherent advantage over
proprietary technology because it’s open to public scrutiny, and it
stands to grow in importance for just that reason.

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Anti-Pot Group Regrets the Repeal of Alcohol Prohibition

The anti-pot
group Project SAM was not pleased by President Obama’s
recent observation
 that marijuana is less dangerous than
alcohol. “We take issue with the President’s comparisons between
marijuana and alcohol,” says Project SAM Chairman Patrick J,
Kennedy in a press
release
. He does not argue that Obama’s statement was
inaccurate—just that it was unhelpful to the prohibitionist cause.
Kennedy explains that “two wrongs don’t make a right: just because
our already legal drugs may have very dangerous impacts on society
it does not mean that other drugs should follow the same path.”
Note that the first “wrong,” according to Kennedy, was making
alcohol legal.  

Despite that decision, which Kennedy evidently considers a
mistake, the U.S. government has managed to keep marijuana illegal
for 77 years. Yet Kennedy worries that “the legalization of
marijuana leads quickly to a slippery slope that could open the
gates to legalization—and commercialization—of other addictive
substances for recreational use.” After all, “several of today’s
largest pro-marijuana-legalization groups have been advocating for
the full-scale legalization of all recreational drugs, including
psychedelics and cocaine.” I’m not sure which groups Kennedy has in
mind. The most prominent ones, such as the Marijuana Policy Project
and the Drug Policy Alliance, either do not address other drugs or
take a position that falls well short of “full-scale
legalization.”

In any case, I wish American politicians and voters were as
philosophically consistent as Kennedy suggests. But surveys find a
huge gap between support for legalizing marijuana—a step backed by

most Americans
, according to several recent polls—and support
for legalizing other drugs. A
YouGov poll
conducted in November, for instance, put support
for legalizing heroin at 9 percent and support for legalizing
cocaine at 11 percent. A 2012 Rasmussen poll got
similar results
.

Kennedy seems to think those gaps will be bridged soon:

Our country hasn’t asked important questions about how far is
too far with drug legalization. As parts of the United States
plunge headlong into ill-informed drug policies rooted in opinions,
political agendas and corporate greed, the President astutely notes
that it is a matter of time before we’re also asked to consider the
legalization of a “negotiated dose of cocaine” or “a finely
calibrated dose of meth.” That is the nature of addiction and
substance abuse. It leads to the next problem, and the next problem
and the next—and many times, the damage is irreversible and
irreparable.

According to Kennedy, the buzz from legalizing marijuana will
soon fade, causing Americans to crave legalization of other
psychoactive substances. History suggests that is the pattern
followed by prohibition: A little is never enough. If legalization
also works that way, I will be pleasantly surprised. 

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Pinewood Atlanta Studios officially arrives in Fayette

Studio CEO Ivan Dunleavy addresses Fayette C of C Annual Luncheon; Pace details genesis of landing a studio

By BEN NELMS — The banquet room at the Dolce Atlanta-Peachtree Hotel in Peachtree City was packed Jan. 17 for the Fayette County Chamber of Commerce 2014 Annual Meeting and Awards Luncheon. Chick-fil-A CEO and prime mover of the Pinewood Atlanta Studio project Dan Cathy was the scheduled keynote speaker, but Cathy was taken ill after a trip out of the country.

read more

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Bad News for the Gays: One Less Route to Get Out of Jury Duty

Not guilty by reason of government needs to mind its own business.During a lawsuit between
pharmaceutical companies about the price of HIV medications, one
side struck a juror from the pool because he was gay. Stereotype
much? Today a federal appeals court ruled the behavior
inappropriate
. Via BuzzFeed:

A federal appeals court Tuesday held that lawyers cannot exclude
potential jurors from a jury based on their sexual orientation — a
ruling whose underlying rationale could have broad implications
outside of the case.

The 9th Circuit Court of Appeals, in a unanimous decision, held
that discrimination based on sexual orientation is subject to
heightened scrutiny — a decision the court concluded has been made
in action, though not in word, by the Supreme Court itself.

In describing the reason for applying the new standard, Judge
Stephen Reinhardt examined the Supreme Court’s June decision in
Edith Windsor’s case challenging the Defense of Marriage Act.
Although equal protection claims brought based on sexual
orientation have previously been judged under the lowest level of
review, called rational basis, the 9th Circuit held that a higher
standard now applies.

Read more at BuzzFeed
here
about how the DOMA ruling contributed to the decision.
Apparently I’m supposed to treat this as a victory, but it will be
short-lived once lawyers hear my position on jury
nullification.

Follow this story and more at Reason
24/7
.

Spice up your blog or Website with Reason 24/7 news and
Reason articles. You can get the
widgets
here
. If you have a story that would be of
interest to Reason’s readers please let us know by emailing the
24/7 crew at 24_7@reason.com, or tweet us stories
at 
@reason247.

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Shaken baby suspect goes free

DA drops murder charge in shaken baby case; dad, 21, avoids prison time after prosecutor admits evidence made case unwinnable

By JOHN MUNFORD — Jamal Rashad Thomas walked away from the Fayette County Justice Center a free man Tuesday morning after prosecutors dropped murder charges against him for allegedly shaking his 9-week-old son to death in February 2012.

read more

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Guest Post: A System Doomed To Fail

Submitted by mickeyman via The World Complex blog,

In the broadest sense, there are three types of systems in the world.

The first are simple systems which are characterized by only a few variables or agents, and which can be described by perhaps a handful of equations (or even one).

The second are systems which are characterized by disorganized complexity. These may consist of huge numbers of agents or variables, and their interactions cannot be described by simple equations; yet the overall system is well-described statistically through averages and can be described as being stochastic. Such systems are typically characterized by a stable equilibrium, provided there are no external shocks to the system. They are incapable of generating internal shocks or surprises. For example, you might consider the distribution of air molecules in a room. You may not be able to predict the motion of any particular air molecule, but you can be reasonable certain that the global population won't do anything unexpected (like all move into one side of the room leaving a vacuum on the other side).

The third type of system is characterized by organized complexity. As the systems above, one may consist of many variables or agents, each of which is simple, but the system's behaviour does not lend itself to statistical description because instead of the activities of each component dissolving into a background equilibrium, large-scale (even global scale) structure "emerges" instead of seething chaos. Along with these "emergent properties", common features of such a system include multiple equilibria, adaptive behaviour, and feedbacks. There is no simple way to describe its behaviour, as much of the system's history is bound up in its behaviour (what economists call "long memory").

Complex systems, for all their unpredictability are remarkably resilient. The resilience arises from the way in which this type of system interacts with its environment–through the individual actions of its simple components, the system is able to gather information about its environment and modify its operations to adapt. Yet this adaptation and evolution all occur in the absence of central control.

The above descriptions–and characterizations of three types of systems–go back to 1948. Unfortunately it appears that Dr. Weaver was too optimistic when he recommended science develop an understanding of the third type of system "over the next 50 years". Here we are 65 years later and we have made only basic improvements in our understanding of such systems.

What has gone wrong? I think it is partly due to the limitations of the Newtonian paradigm on which science has rested over the past few hundred years.

Back to Weaver. He asks,

How can currency be wisely and effectively stabilized? To what extent is it safe to depend on the free interplay of such forces as supply and demand? To what extent must systems of economic control be employed to prevent the wide swings from prosperity to depression? These are also obviously complex problems, and they too involve analyzing systems which are organic wholes, with their parts in close interrelation.

The Fed has answered.

Sixty-five years ago, economics was known to be a complex, organized system. Yet today, the Fed continues to set policy as if the economy were a stochastic system that could be sledgehammered into whatever equilibrium state is deemed politically expedient. I would further argue that the Fed has not managed to succeed even in hammering the economy into a desirable equilibrium, but rather has mastered the ability to create artificial statistics to "justify" its actions.

The system is doomed to fail, because the resilience of natural complex systems requires freedom of action for its individual components. We do not observe resilient complex systems with central control. Yet central control is the dominant ideology of our present political and economic systems. Total control, with a vanishingly thin veneer of democracy, ephemeral as the morning dew.


    



via Zero Hedge http://ift.tt/KB4LNc Tyler Durden

Banks are Running Scared – Wells Fargo Bans Staff from P2P Loans

It’s extremely amusing to observe the welfare baby, bailout dependent, “Too Big to Jail,” parasitic legacy banking system squirm in the face of advancements in peer-to-peer financial technologies; whether they be Bitcoin, P2P lending or crowdfunding. It is becoming increasingly clear that humanity would do much better without this gigantic cancerous tumor on our backs, and we finally have the tools to move on. 

In fact, the largest bank in the U.S. is so concerned about peer-to-peer lending, it has banned its staff from participating.

We find out from CNBC that:

Wells Fargo has banned its employees from lending their own money through peer-to-peer loan platforms, in a sign of growing tensions between new “P2P” lenders and the largest U.S. bank by market value.

“Ethics administrators” at Wells Fargo decided to forbid staff from P2P lending after concluding “that for-profit peer-to-peer lending is a competitive activity that poses a conflict of interest.”

continue reading

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