Tagliabue overturns Goodell on Saints suspensions

NEW ORLEANS (AP) — In a sharp rebuke to his successor's handling of the NFL's bounty investigation, former Commissioner Paul Tagliabue overturned the suspensions of four current and former New Orleans Saints players in a case that has preoccupied the league for almost a year.

Tagliabue, who was appointed by Commissioner Roger Goodell to handle the appeals, still found that three of the players engaged in conduct detrimental to the league. He said they participated in a performance pool that rewarded key plays — including hard tackles — that could merit fines. But he stressed that the team's coaches were very much involved.

"My affirmation of Commissioner Goodell's findings could certainly justify the issuance of fines. However, this entire case has been contaminated by the coaches and others in the Saints' organization," the ruling said.

Tagliabue oversaw a second round of player appeals to the league in connection with the cash-for-hits program run by former defensive coordinator Gregg Williams from 2009-2011. The players initially opposed his appointment.

Saints linebacker Jonathan Vilma had been given a full-season suspension, while defensive end Will Smith, Cleveland linebacker Scott Fujita and free agent defensive lineman Anthony Hargrove each received shorter suspensions.

Tagliabue cleared Fujita of conduct detrimental to the league.

Saints quarterback Drew Brees offered his thoughts on Twitter: "Congratulations to our players for having the suspensions vacated. Unfortunately, there are some things that can never be taken back."

None of the players sat out any games because of suspensions. They have been allowed to play while appeals are pending, though Fujita is on injured reserve and Hargrove is not with a team.

Shortly before the regular season, the initial suspensions were thrown out by an appeals panel created by the league's collective bargaining agreement. Goodell then reissued them, with some changes, and now those have been dismissed.

Now, with the player suspensions overturned, the end could be near for a nearly 10-month dispute over how the NFL handled an investigation that covered three seasons and gathered about 50,000 pages of documents.

"We respect Mr. Tagliabue's decision, which underscores the due process afforded players in NFL disciplinary matters," the NFL said in a statement.

"The decisions have made clear that the Saints operated a bounty program in violation of league rules for three years, that the program endangered player safety, and that the commissioner has the authority under the (NFL's collective bargaining agreement) to impose discipline for those actions as conduct detrimental to the league. Strong action was taken in this matter to protect player safety and ensure that bounties would be eliminated from football."

Meanwhile, the players have challenged the NFL's handling of the entire process in federal court, but U.S District Judge Ginger Berrigan had been waiting for the latest round of appeals to play out before deciding whether to get involved.

NFL investigators found that Vilma and Smith were ring leaders of a cash-for-hits program that rewarded injurious tackles labeled as "cart-offs" and "knockouts." The NFL also concluded that Hargrove lied to NFL investigators to help cover up the program.

Goodell also suspended Williams indefinitely, while banning Saints head coach Sean Payton for a full season.

Tagliabue's ruling comes after a new round of hearings that for the first time allowed Vilma's attorneys and the NFL Players Association, which represents the other three players, to cross-examine key NFL witnesses. Those witnesses included Williams and former Saints assistant Mike Cerullo, who was fired after the 2009 season and whose email to the league, accusing the Saints of being "a dirty organization," jump-started the probe.

"We believe that when a fair due process takes place, a fair outcome is the result," the players' union said in a statement. "We are pleased that Paul Tagliabue, as the appointed hearings officer, agreed with the NFL Players Association that previously issued discipline was inappropriate in the matter of the alleged New Orleans Saints bounty program.

"Vacating all discipline affirms the players' unwavering position that all allegations the League made about their alleged 'intent-to-injure' were utterly and completely false.

"We are happy for our members."

A statement released on Vilma's behalf said the linebacker is "relieved and gratified that Jonathan no longer needs to worry about facing an unjustified suspension.

"On the other hand, Commissioner Tagliabue's rationalization of Commissioner Goodell's actions does nothing to rectify the harm done by the baseless allegations lodged against Jonathan. Jonathan has a right and every intention to pursue proving what really occurred and we look forward to returning to a public forum where the true facts can see the light of day."

Read More..

FX orders “Tyrant” from “Homeland” producers

NEW YORK (TheWrap.com) – FX has ordered the Middle Eastern drama pilot “Tyrant” from “Homeland” producers Howard Gordon and Gideon Raff, as well as “Six Feet Under” and “Lost” producer Craig Wright.

The pilot follows an American family drawn into the troubles of a turbulent Middle Eastern nation. The series, written and created by Raff, was developed by Gordon and Wright. The pilot comes from Gordon’s shingle at 20th Century Fox Television, Teakwood Lane.

Gordon, Raff and Wright are executive producers in association with Keshet Broadcasting. If “Tyrant” becomes a series, Wright will serve as showrunner.

“We are thrilled to bring ‘Tyrant’ to FX,” said Nick Grad, FX’s executive vice president of original programming. “The brilliant and wholly original concept just blew us all away. It’s pretty amazing when you read a script and can instantly imagine it becoming one of the best shows on television. We’re grateful to the producers for choosing to bring it to FX and look forward to continuing our partnership with our friends at Fox 21.”

“‘Tyrant’ is exactly the type of project we aim to do at Fox 21 – working with extremely talented writer/creators to create provocative material with big, breakout characters and themes,” said Bert Salke, president of Fox 21. “This script has excited everyone who’s read it and it’s particularly gratifying to be back working with FX, with whom we have had such a successful partnership on the fantastic ‘Sons of Anarchy.’”

Production is tentatively slated to begin in the spring.

TV News Headlines – Yahoo! News

Read More..

APNewsBreak: DA investigating Texas cancer agency

AUSTIN, Texas (AP) — The Texas prosecutor responsible for investigating public corruption among state officials said Tuesday that he has opened an investigation into the state's troubled $3 billion cancer-fighting agency.

Gregg Cox, director of the Travis County district attorney's public integrity unit, told The Associated Press that an investigation has begun into the Cancer Prevention and Research Institute of Texas. The agency also is under investigation by the Texas attorney general's office after an $11 million grant to a private company did not receive the proper review.

Cox said his unit, which prosecutes crimes related to the operation of state government, is beginning its investigation not knowing "what, if any, crime occurred" at CPRIT.

His announcement came on the same day that CPRIT said its executive director had submitted his resignation letter and amid escalating scrutiny over the management of the nation's second-biggest pot of cancer research dollars.

CPRIT has not been able to focus on fighting the disease due to "wasted efforts expended in low value activities" during the past tumultuous eight months, Executive Director Bill Gimson wrote in a resignation letter dated Monday. Gimson offered to stay on until January, and the agency's board must still approve his request to step down.

Gimson has led the state agency since it launched in 2009. But he fell under mounting criticism over the recent disclosure that an $11 million award to a private company was never reviewed. It was the second time this year that a lucrative taxpayer-funded grant instigated backlash and raised questions about oversight.

"Unfortunately, I have also been placed in a situation where I feel I can no longer be effective," Gimson wrote.

The Texas attorney general's office has said it is looking into CPRIT's $11 million grant to Dallas-based Peloton Therapeutics. An internal audit performed by the agency revealed that Peloton's proposal was approved for funding in 2010 without being reviewed by an outside panel.

Gimson said last week that Peloton's funding was the result of an honest mistake that happened when the agency was still young and in the process of installing checks and balances. Agency emails surrounding the Peloton grant are no longer available, Gimson said, and state investigators said they will work to find them.

Only the National Institutes of Health doles out more cancer research dollars than CPRIT, which has awarded more than $700 million so far. The agency's former chief science officer, Nobel laureate Alfred Gilman, resigned earlier this year over a separate $20 million award that Gilman claimed received a thin review. That led some of the nation's top scientists to accuse the agency of charting a politically-driven path.

___

Follow Paul J. Weber on Twitter: www.twitter.com/pauljweber

Read More..

Vindication for 2013 Rock Hall of Fame inductees

Randy Newman's glad he didn't have to do anything drastic to get into the Rock and Roll Hall of Fame. The members of Rush are choosing to let bygones be bygones. And Quincy Jones, well, he's still mad.

All were among inductees announced Tuesday by Flea of The Red Hot Chili Peppers at a news conference in Los Angeles. For most of this year's inductees, inclusion was a long time coming.

"I'm very happy," the 69-year-old Newman said Monday from his home in Los Angeles. "I thought I'd have to die first, but I'm glad I'm around to see it."

Newman is joined in the 2013 class by the eclectic group of rockers Rush and Heart, rap group Public Enemy, "Queen of Disco" Donna Summer and bluesman Albert King. Jones and his friend Lou Adler will enter the hall as Ahmet Ertegun Award winners for their contributions to rock beyond performance.

They will be inducted into the hall of fame April 18 in Los Angeles. The ceremony will mark the end of a long wait for fans of five of those six acts, who've been eligible for entry for some time. Public Enemy was inducted on its first ballot appearance, swelling the ranks of hip-hop entries.

In many ways, the 2013 class balances the scales, though not nearly soon enough for some new members.

"Well, it's about time, man," Jones said late Monday night in an interview from his home in Los Angeles. "But I promise you I'm not sitting around worrying about it."

Summer, who passed away at age 63 in May, gains entry after six years as a nominee. King, a deep influence on Jimi Hendrix and Stevie Ray Vaughn who died in 1992, now takes his place alongside all the other legendary blues guitarists in the hall.

Rush, one of the most-played staples of classic rock radio, gained entry following its first appearance on the ballot. But the Canadian trio became eligible in 1998 and was repeatedly left off the list, to the great consternation of its legion of fans who cried bias against prog rock. Heart also waited a decade to make it on the ballot, gaining entry during its second appearance.

After years of disappointment, then disinterest, Rush's Alex Lifeson said the band now feels "wonderful" about its entry into the hall and is especially happy for its followers.

"First of all it's all water under the bridge and it was a very tiny bridge," the 59-year-old guitarist said in a phone interview from his home in Toronto. "I think our fans are more upset than we were because they feel a real bond to this band and it's been an important part of their lives in some form, and to be snubbed was snubbing them at the same time. ... Perhaps there were times when I thought if this ever happens I'm not going to bother going, or who cares or whatever, but at the end of the day positive karma is an important thing and this is an important thing to a lot of our fans and people we know."

Jones was less forgiving of the long wait he had. The 79-year-old entertainment icon's fingerprints are all over the hall of fame. He pops up often at key moments in rock 'n' roll history and was even Ray Charles' presenter during the soul singer's induction at the inaugural 1986 ceremony. He never expected to wait so long for his own entry.

"I was pissed off about it at first because I saw how it was going down and who was going in and who wasn't," Jones said with a deep laugh. "But I'm used to it, man. I've been around a long time, and I know how it works, you know. It's still an honor, man."

The 2013 class also continues the process of opening the hall of fame's doors a little bit wider.

In many cases, the delayed entry of this year's inductees had to do with a debate among its membership over the hall of fame's direction. The rock 'n' roll family sits under a big tent, but just how big it should be has been a matter of debate for the Cleveland, Ohio, institution.

The class may signal a new direction.

"That is an eclectic group," Newman said. "Well that's nice. It seems like they're broadening what they think rock 'n' roll is. That's good. There's no point being doctrinaire about music. ... People get awful strict. It's a hell of a thing to get strict about, isn't it?"

There was clearly no debate among the hall's membership about Public Enemy, which gained membership on its 25th anniversary.

The openly militant, always angry group helped elevate and define nascent rap in the 1980s and '90s. MC Chuck D said the group's induction is about more than simple membership.

"It's a great piece of news for the genre and our intention was to spread the light that our music is as legitimate as any other music," Chuck D said as the group traveled through Wyoming on tour Monday. " ... So this is significant to be alongside Grandmaster Flash and The Furious Five, Run DMC and the Beastie Boys and just to be able to say this accomplishment, we don't think it's solely due to us."

Lifeson hopes the hall's membership keeps up with the trend.

"Maybe it should be the Music Hall of Fame and not so much the Rock and Roll Hall of Fame," Lifeson said. "But maybe it all is rock 'n' roll. It started as a little seed and grew into this great big tree with a lot of branches. That's why it's so sad the whole progressive movement, bands like Yes and King Crimson, are not included in this. ... I hope there comes a time when these other artists and bands are included because they were equally as influential as any of the ones that are being inducted today."

___

Online:

http://rockhall.com /

___

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

Read More..

HSBC to pay record $1.9B fine

British-owned bank HSBC is paying $1.9B to settle a US money-laundering probe. The bank was investigated for involvement in the transfer of funds from Mexican drug cartels and sanctioned nations like Iran. (Dec. 11)

HSBC has agreed to pay a record $1.92 billion fine to settle a multi-year probe by U.S. prosecutors, who accused Europe's biggest bank of failing to enforce rules designed to prevent the laundering of criminal cash.

The U.S. Justice Department on Tuesday charged the bank with failing to maintain an effective program against money laundering and conduct due diligence on certain accounts.

In documents filed in federal court in Brooklyn, it also charged the bank with violating sanctions laws by doing business with Iran, Libya, Sudan, Burma and Cuba.

HSBC Holdings Plc admitted to a breakdown of controls and apologised for its conduct.

"We accept responsibility for our past mistakes. We have said we are profoundly sorry for them, and we do so again. The HSBC of today is a fundamentally different organisation from the one that made those mistakes," said Chief Executive Stuart Gulliver.

"Over the last two years, under new senior leadership, we have been taking concrete steps to put right what went wrong and to participate actively with government authorities in bringing to light and addressing these matters."

The bank agreed to forfeit $1.256 billion and retain a compliance monitor to resolve the charges through a deferred-prosecution agreement.

The settlement offers new information about failures at HSBC to police transactions linked to Mexico, details of which were reported this summer in a sweeping U.S. Senate probe.

The Senate panel alleged that HSBC failed to maintain controls designed to prevent money laundering by drug cartels, terrorists and tax cheats, when acting as a financier to clients routing funds from places including Mexico, Iran and Syria.

The bank was unable to properly monitor $15 billion in bulk cash transactions between mid-2006 and mid-2009, and had inadequate staffing and high turnover in its compliance units, the Senate panel's July report said.

HSBC on Tuesday said it expected to also reach a settlement with British watchdog the Financial Services Authority. The FSA declined to comment.

U.S. and European banks have now agreed to settlements with U.S. regulators totalling some $5 billion in recent years on charges they violated U.S. sanctions and failed to police potentially illicit transactions.

No bank or bank executives, however, have been indicted, as prosecutors have instead used deferred prosecutions - under which criminal charges against a firm are set aside if it agrees to conditions such as paying fines and changing behaviour.

HSBC's settlement also includes agreements or consent orders with the Manhattan district attorney, the Federal Reserve and three U.S. Treasury Department units: the Office of Foreign Assets Control, the Comptroller of the Currency and the Financial Crimes Enforcement Network.

HSBC said it would pay $1.921 billion, continue to cooperate fully with regulatory and law enforcement authorities, and take further action to strengthen its compliance policies and procedures. U.S. prosecutors have agreed to defer or forego prosecution.

The settlement is the third time in a decade that HSBC has been penalized for lax controls and ordered by U.S. authorities to better monitor suspicious transactions. Directives by regulators to improve oversight came in 2003 and again in 2010.

Last month, HSBC told investors it had set aside $1.5 billion to cover fines or penalties stemming from the inquiry and warned that costs could be significantly higher.

Analyst Jim Antos of Mizuho Securities said the settlement costs were "trivial" in terms of the company's book value.

"But in terms of real cash terms, that's a huge fine to pay," said Antos, who rates HSBC a "buy".

Read More..

Daley nephew pleads not guilty in 2004 beating death

Chicago Tribune criminal courts reporter Jason Meisner discusses the case of Richard Vanecko, who pleaded not guilty this morning to a charge of involuntary manslaughter. (Posted on: Dec. 10, 2012)

Richard Vanecko, the nephew of former Mayor Richard Daley, pleaded not guilty this morning to a charge of involuntary manslaughter in connection with the 2004 death of David Koschman.

The case was randomly assigned today to Judge Arthur Hill, a former prosecutor when Daley was state’s attorney.

When Vanecko appeared before the judge this morning, Hill noted he had also been appointed to the board of the Chicago Transit Authority by Daley when he was mayor. He also held the No. 2 post under State’s Attorney Dick Devine, who has strong ties to Daley.

Hill told lawyers in the case that he won’t voluntarily remove himself from presiding over the case but would understood if special prosecutor Dan Webb, who charged Vanecko, asked for another judge.

“This court believes I can be fair and impartial in this case,” Hill said.

The case will be back in court next Monday to give to give time to Webb’s team to weigh whether they will seek another judge other than Hill.

As Vanecko walked out of the courthouse flanked by his attorneys, they made no comment.

Earlier, Vanecko strode into the Leighton Criminal Court Building at 26^th Street and California just after 9 a.m. dressed in a gray suit and tie and charcoal overcoat accompanied by three of his attorneys.

A crowd of TV cameramen, photographers and reporters followed him inside, shouting questions that Vanecko did not answer.

Vanecko went through the security line and into presiding Judge Paul Biebel's first-floor courtroom.

Both sides have the option to ask for a different judge if there are conflicts of interest, something that could arise since Vanecko is such a high-profile defendant and there have been allegations of police and prosecutorial misconduct surrounding the case.

Vanecko, who currently resides in Costa Mesa, Calif., turned himself in to authorities in Chicago on Friday afternoon and later posed for a mug shot in a jacket and tie.

Last week, a special grand jury found that Vanecko, who is the son of former Mayor Richard M. Daley’s sister, Mary, “recklessly performed acts which were likely to cause great bodily harm to another.”

Koschman, 21, of Mount Prospect, had been drinking in the Rush Street nightlife district early on April 24, 2004, when he and his friends quarreled with a group that included Vanecko. During the altercation, Koschman was knocked to the street, hitting the back of his head on the pavement. He died 11 days later.

Police at the time said Koschman was the aggressor and closed the case without charges. In announcing the indictment, Webb, a former U.S. attorney, noted that at 6-foot-3 and 230 pounds, Vanecko towered over Koschman, who was 5-foot-5 and 125 pounds.

Webb also said the grand jury is still probing how the original investigation was conducted.

Vanecko’s attorneys issued a statement last week saying they were disappointed by the indictment and noted that at the time of the confrontation, Koschman’s blood-alcohol content was three times the legal limit for a motorist.

Koschman “was clearly acting in an unprovoked, physically aggressive manner,” Vanecko’s legal team said. “We are confident that when all the facts are aired in a court of law, the trier of fact will find Mr. Vanecko not guilty.”

If convicted of involuntary manslaughter, Vanecko faces from probation up to 5 years in prison. 

jmeisner@tribune.com

gknue@tribune.com

Read More..

Massive HP conference draws 10,000 attendees to ogle products, speakers, presentations

By Suzy Hansen

More than 10,000 customers, partners and attendees flocked to the Hewlett-Packard Discover conference in Frankfurt, Germany, this week to learn about HP's latest products, exchange ideas, swap business cards and basically examine whether HP can improve the way their companies are run. The event was held at Messe Frankfurt, one of the world's largest trade exhibition sites.

CEO Meg Whitman acknowledged in her speech on Tuesday that HP has gone through some rough times this past year. HP's stock price has been nearly halved during her tenure. Whitman, however, pointed out that HP has $120 billion in revenue and is the 10th-largest company in the United States. In Q4, HP has generated $4.1 billion in cash flow.

"We are the No. 1 or No. 2 provider in almost every market," Whitman told the crowd in Frankfurt.

Whitman emphasized  executives' increasing concerns about security and said that it will be addressed by "a new approach": HP's security portfolio, with Autonomy and Vertica, which helps "analyze and understand the context of these events." Executive Vice President of Enterprise Dave Donatelli spoke about converged infrastructure, or bringing together server, network and storage; their software-defined data centers; and their new servers, which "change the way servers have been defined." George Kadifa, executive vice president of software, said 94 of the top 100 companies use HP software. HP is the sixth-largest software company in the world, with 16,000 employees in 70 countries, Kadifa added.

Also at the conference was Jeffrey Katzenberg, CEO of DreamWorks and an old friend of Whitman's from their Disney days, who roused the crowd with a fun speech about his long relationship with HP. Katzenberg showed an old video of himself onstage with a lion, which nearly mauled him. This time, he appeared onstage with a guy in a lion suit. The lesson was to learn from past mistakes and move on.

"If I am smart enough to say 'scalable multicorps processing,' I am smart enough to not put myself onstage with a real lion again," he joked.

The Discover conference is a key vehicle for HP to show off products it's offering in the coming year. Among them were the latest ProLiant and Integrity servers, the 3PAR StoreServ 7000 and the StoreAll and StoreOnce storage systems. At the HP Labs section of the conference, attendees could learn about the cloud infrastructure or test HP's new ElitePad 900.

Throughout the three-day event, which saw attendance grow by 30 percent this year, attendees wandered the enormous halls, milling around displays, watching videos, listening to speeches and participating in workshops. People gathered on clustered couches and chatted with new acquaintances, frequently stopping to plug in their various devices and recharge themselves with coffee. With people coming from all over the world, you could hear many languages spoken, from Arabic to French to the most bewildering of them all: the language of technology. Despite the large crowds, it was hard not to notice there were very few women among the thousands in attendance. In fact, when asked about this phenomenon, one female HP employee said, "Trust me, you aren't the first person who has come up to me asking about this."

Indeed, the Discover conference was like a forest of men in suits. The few women stood out like rays of sunlight. 

Regardless of their presence at this conference, women are making big strides in information technology. Among the leaders are HP CEO Whitman, who also led eBay; Carly Fiorina, who ran HP before Whitman; Yahoo! CEO Marissa Mayer; and Facebook COO Sheryl Sandberg. Were the women at the Discover conference surprised by the low female turnout?

"No, for IT this is standard," said Stefanie, a 30-year-old product manager from Germany. "Many are afraid of all the technical stuff, and you have to prove that you are capable of it. You get more women in retail and distribution but not in high-tech areas, at least not in Europe. In America there are more women in management positions and in general."

Americans might assume that Europe, with its generous social programs that include free daycare, enables more women to ascend the corporate ladder. But that still doesn't mean that a woman trying to balance a high-tech career and a family is always accepted in European society.

"There is still a lot of emphasis on the family," Stefanie said. "It's easier to move up in the U.S., where there is a culture of 'having it all.' It's quite a fight to get there here."

Still, the IT industry might seem inhospitable to women. Could this male-dominated profession be male-dominant because women have a hard time breaking in?

Stefanie disagreed. "No, they actually like working with women," she said. "They want to."

One male conference attendee, who asked not to be named, was less certain.

"There's a lot of ego and testosterone," he said. "It can't be easy" for women.

Read More..

Slumping Ravens fire offensive coordinator Cameron

OWINGS MILLS, Md. (AP) — Cam Cameron has been fired as offensive coordinator of the Baltimore Ravens, who have lost two straight and are still striving for consistency in the running and passing game.

Cameron ran the team's offense since the start of the 2008 season, when current coach Jim Harbaugh replaced Brian Billick. Since that time, the Ravens' attack has repeatedly taken a back seat to the team's defense.

The move came Monday.

Jim Caldwell, who was hired as quarterbacks coach before the season, will assume Cameron's duties. Caldwell was head coach of the Indianapolis Colts from 2009-11.

Baltimore (9-4) scored seven points after halftime Sunday in a 31-28 overtime loss to the Washington Redskins. Quarterback Joe Flacco passed for only 182 yards, lost a fumble and was intercepted in the third quarter.

Read More..

Surprise: New insurance fee in health overhaul law

WASHINGTON (AP) — Your medical plan is facing an unexpected expense, so you probably are, too. It's a new, $63-per-head fee to cushion the cost of covering people with pre-existing conditions under President Barack Obama's health care overhaul.

The charge, buried in a recent regulation, works out to tens of millions of dollars for the largest companies, employers say. Most of that is likely to be passed on to workers.

Employee benefits lawyer Chantel Sheaks calls it a "sleeper issue" with significant financial consequences, particularly for large employers.

"Especially at a time when we are facing economic uncertainty, (companies will) be hit with a multi-million dollar assessment without getting anything back for it," said Sheaks, a principal at Buck Consultants, a Xerox subsidiary.

Based on figures provided in the regulation, employer and individual health plans covering an estimated 190 million Americans could owe the per-person fee.

The Obama administration says it is a temporary assessment levied for three years starting in 2014, designed to raise $25 billion. It starts at $63 and then declines.

Most of the money will go into a fund administered by the Health and Human Services Department. It will be used to cushion health insurance companies from the initial hard-to-predict costs of covering uninsured people with medical problems. Under the law, insurers will be forbidden from turning away the sick as of Jan. 1, 2014.

The program "is intended to help millions of Americans purchase affordable health insurance, reduce unreimbursed usage of hospital and other medical facilities by the uninsured and thereby lower medical expenses and premiums for all," the Obama administration says in the regulation. An accompanying media fact sheet issued Nov. 30 referred to "contributions" without detailing the total cost and scope of the program.

Of the total pot, $5 billion will go directly to the U.S. Treasury, apparently to offset the cost of shoring up employer-sponsored coverage for early retirees.

The $25 billion fee is part of a bigger package of taxes and fees to finance Obama's expansion of coverage to the uninsured. It all comes to about $700 billion over 10 years, and includes higher Medicare taxes effective this Jan. 1 on individuals making more than $200,000 per year or couples making more than $250,000. People above those threshold amounts also face an additional 3.8 percent tax on their investment income.

But the insurance fee had been overlooked as employers focused on other costs in the law, including fines for medium and large firms that don't provide coverage.

"This kind of came out of the blue and was a surprisingly large amount," said Gretchen Young, senior vice president for health policy at the ERISA Industry Committee, a group that represents large employers on benefits issues.

Word started getting out in the spring, said Young, but hard cost estimates surfaced only recently with the new regulation. It set the per capita rate at $5.25 per month, which works out to $63 a year.

America's Health Insurance Plans, the major industry trade group for health insurers, says the fund is an important program that will help stabilize the market and mitigate cost increases for consumers as the changes in Obama's law take effect.

But employers already offering coverage to their workers don't see why they have to pony up for the stabilization fund, which mainly helps the individual insurance market. The redistribution puts the biggest companies on the hook for tens of millions of dollars.

"It just adds on to everything else that is expected to increase health care costs," said economist Paul Fronstin of the nonprofit Employee Benefit Research Institute.

The fee will be assessed on all "major medical" insurance plans, including those provided by employers and those purchased individually by consumers. Large employers will owe the fee directly. That's because major companies usually pay upfront for most of the health care costs of their employees. It may not be apparent to workers, but the insurance company they deal with is basically an agent administering the plan for their employer.

The fee will total $12 billion in 2014, $8 billion in 2015 and $5 billion in 2016. That means the per-head assessment would be smaller each year, around $40 in 2015 instead of $63.

It will phase out completely in 2017 — unless Congress, with lawmakers searching everywhere for revenue to reduce federal deficits — decides to extend it.

Read More..

Fla. man sues ex-Elmo puppeteer, claims sex abuse

MIAMI (AP) — Another man on Monday sued the former Elmo puppeteer who resigned amid sex abuse allegations, claiming the voice actor befriended him in Miami and promised to be a father figure before flying the teen to New York to have sex with him.

The alleged victim is now the fourth to accuse Kevin Clash, who resigned from "Sesame Street" last month after 28 years. The three legal actions filed so far have been civil cases seeking financial compensation.

But the incident with the latest victim, referred to only as S.M., could involve criminal charges because the lawsuit claims Clash transported him across state lines for the purpose of engaging in sexual activity.

Attorney Jeff Herman said he encouraged his client to report the incident to authorities but it's unclear if the now-33-year-old alleged victim has done so.

Sexual abuse allegations against Clash triggered a media frenzy last month. He quickly denied the first claim, which was recanted the next day. But Clash then resigned after a 24-year-old college student, Cecil Singleton, sued him for $5 million, saying the actor engaged in sexual behavior with him when he was 15.

Singleton claims the voice actor met him in New York a dozen years ago after trolling gay telephone chat lines and seeking underage boys for sex.

In the latest case, the plaintiff said Clash approached him on Miami Beach, complimented his appearance and struck up a friendship. Clash returned home to New York, but stayed in touch with the teen, promising to be a dad to him. The youth, who was 16 or 17 at the time, had been molested by a teacher and was considering running away from home, according to the lawsuit.

"These are all vulnerable boys. None of them had father figures in their lives and they were looking for that father figure," said Herman, who represents three of the alleged victims.

The lawsuit says Cash paid for a plane ticket from Florida to New York in 1996 and arranged for a car service to pick up the teen and bring him to his upscale apartment, where he gave him cash and showered him with "attention and affection" and ultimately engaged in numerous sexual acts.

Herman said he is poring over receipts and other documents to see if the car service was paid for by Cash's employers at Sesame Street.

Phone calls and emails to publicists for Clash and Sesame Street were not immediately returned Monday.

Herman said the alleged victims didn't come forward sooner because they were afraid, but have found courage as others have spoken up.

He said they are compliant victims who participated in the sexual acts, but didn't consent because it's illegal for a minor to do so.

"Because they participated in the sex they feel like they're doing something wrong ... they're ashamed, they're embarrassed, not something they really want to talk about," he said.

Herman said he's been contacted by several other possible victims and is vetting their cases.

Read More..