Friday, 30 September 2011

Brussels threatens to sue Britain to let in 'benefit tourists'

 Ministers fear the move could leave taxpayers handing out as much as £2.5  billion to EU nationals, including out-of-work “benefit tourists”, a new cost that could wreck Coalition plans for welfare reform. The commission’s threat, on the eve of the Conservative Party conference, has raised the political temperature on Europe still further. In an outspoken attack today, Iain Duncan Smith, the Work and Pensions Secretary, says the commission’s move is part of a “wider movement” by the “unelected and unaccountable” European authorities to extend their power over the UK. “This kind of land grab from the EU has the potential to cause mayhem to nation states, and we will fight it,” he writes in The Daily Telegraph. The commission is objecting to Britain’s rules on welfare, claiming they discriminate...

Legal warning to UK over benefits for EU nationals

 The European Commission has threatened legal action against the UK, saying a test of eligibility for benefits discriminates against foreigners. It says it is easier for UK citizens to prove their "right to reside" - a test imposed by the UK for certain benefits - than EU nationals. The commission says it may refer the case to the European Court of Justice. Ministers say it is a "fundamental challenge" to the UK's right to decide its own social security arrangements. The Commission says it has been in talks with the UK for several years over the issue and is responding to a "huge number" of complaints from EU citizens living in the UK. Residence tests On Thursday it announced that it was giving the UK two months to explain how it was going to bring its legislation into line with...

Ferronats, a company formed by Spanish construction firm, Ferrovial and British air traffic controllers, Nats, has won 10 of the 13 tenders to run control towers at Spanish airports

 Ferronats, a company formed by Spanish construction firm, Ferrovial and British air traffic controllers, Nats, has won 10 of the 13 tenders to run control towers at Spanish airports as AENA privatises 49% of the company. It will control Alicante, Valencia, Ibiza, Sabadell, Sevilla, Jerez, Melilla, Cuatro Vientos, Vigo and A Coruña. The remaining three towers on the Canary Islands at Lanzarote, Fuerteventura and La Palma have been awarded to the Sacerco company. AENA estimates savings of 46.6% as a result, with Ferronats bidding 70.4 million, and Sacerco bidding 20 milli...

Iberia to launch new low cost airline next week

 Iberia is planning to launch a new low cost airline next week. The Iberia board is expected to approve the project on Tuesday 4 October, to launch the low cost airline for the company’s short and medium distance services. The new airline is expected to take up 37 of the 69 A-320 aircraft the airline currently has in service. Iberia is now merged with British Airways to create the IAG, the International Airline Group, and the IAG board would have to ratify the decision on Thursday. Iberia has been holding talks with the pilots’ union SEPLA on the conditions for them in the new airline. The airline contends that it needs a structural reorganisation, but the union considers that all the flights should remain under the Iberia brand, and considers maintenance would be cheaper with a single...

Belgian couple spot the men who stole their car in Belgium on a Spanish beach

 Sometimes it a very small world. A Belgian couple who had their car stolen at gunpoint in Belgium some months ago could not believe it when they recognised their attackers when on holiday in Alicante. They saw them on the beach in Guardamar, Alicante last Monday, and made no hesitation in calling the Spanish police. While they were waiting for the police to arrive, the couple found their own car parked nearby, and the owner decided to puncture the tyres to ensure that the thieves could not take it again. After the police arrived a search of the car revealed a simulated pistol. The two men, 47 year old L.J. and 20 year old G.C.D., were taken into custody and it’s now known that there was an international search and capture order in force against them. One of them has served time for...

Thursday, 29 September 2011

Rio hit with £500k bill after losing court battle

The England and Manchester United star will now be saddled with paying the estimated £500,000 legal bills incurred by the Sunday Mirror in defence of the lawsuit.Ferdinand sued the newspaper for misuse of private information after they published details of his 13-year relationship with interior designer Carly Storey, who accepted £16,000 for telling the tale of her liaisons with the defender.But Mr Justice Nicol dismissed the case at London's high court on Thursday, and refused Ferdinand's legal team permission to appeal."Overall, in my judgment, the balancing exercise favours the defendant's right of freedom of expression over the claimant's right of privacy," he said.The judge was not swayed by Ferdinand's claims that he had not tried to meet Storey after being made England captain,...

Paramedics Who Tried To Save Singer's Life Give Evidence

 Alberto Alvarez was in charge of back stage during Jackson's final rehearsal on June 24, 2009. He described Jackson as "happy and in good spirits" during the performance. "He was doing very well for the most part," he told the Los Angeles court. He explained that he later drove Jackson back to his rented Holmby Hills home and saw Dr Murray's car parked there. He said the last time he saw Jackson alive was when he said "good night" to the singer. Mr Alvarez was the first person who went into Jackson's bedroom after Dr Murray telephoned for help as he was trying to resuscitate the singer. He said Jackson was lying on his back, with his hands extended out to his side, and his eyes and mouth open. "When I came into the room, Dr Murray said 'Alberto, hurry, we have to get to hospital, we...

Raids in 7 countries in $200M investment fraud

 Dutch authorities say raids have been conducted in seven countries in connection with an alleged $200 million investment fraud scheme, and four men have been arrested. The country's financial crime prosecutors say they suspect hundreds of investors were conned into fraudulent investments in U.S. life insurance policies by a firm called Quality Investments BV. Prosecutors said Wednesday four Dutch men have been arrested, two in the Netherlands and one each in Switzerland and Turkey. Raids were also conducted in Spain, Dubai, England and the United States, in which millions of euros in assets were seized in hopes of recovering some money for duped investo...

Monday, 26 September 2011

Tony Blair is unaccountable over business interests, adviser says

 More questions have been raised over Tony Blair's lucrative business activities after an adviser in his role as a Middle East peace envoy said the former Prime Minister continued to operate outside a defined code of conduct. Channel 4's Dispatches, due to be broadcast tonight, claims that Mr Blair is not required publicly to disclose his commercial interests as he would if he were an MP. Mr Blair combines a £2m-a-year consultancy with the US investment bank JP Morgan with his unpaid post in Jerusalem, where he is heading international efforts in preparation for a future Palestinian state. He also advises the insurance group Zurich Financial, while his company Tony Blair Associates signed a reported £27m-deal advising the Kuwaiti government. They are among a string of globetrotting...

Friday, 23 September 2011

EU Keeps Bulgaria, Romania Out Of Schengen Free Travel Zone

 The Netherlands and Finland have blocked the entry of new members of the European Union, Bulgaria and Romania, to the Schengen zone, where travel for citizens are allowed without passports. The decision not to allow Bulgaria and Romania came at the EU interior ministers meeting without a vote, with the main objections from the Netherlands and Finland. The issue of Bulgaria and Romania could possibly be discussed in the summit meeting of EU next month, with the two countries planning to appeal against the decision. Nevertheless, no decision is expected soon until reports show progress on issues raised against the two nations. The Netherlands and Finland believe the new members need to do much more to qualify for inclusion into the Schengen zone, specifically on corruption and judicial...

Palestinian leader Mahmoud Abbas makes UN statehood bid

 Palestinian leader Mahmoud Abbas has submitted his bid to the UN for recognition of a Palestinian state. To rapturous applause in the General Assembly, he urged the Security Council to back a state with pre-1967 borders. He said the Palestinians had entered negotiations with Israel with sincere intentions, but blamed the building of Jewish settlements for their failure. Israeli PM Benjamin Netanyahu said he was reaching out to Palestinians and blamed them for refusing to negotiate. "I continue to hope that President Abbas will be my partner in peace," he said in his speech in New York. "Let's meet here today in the United Nations....

Tuesday, 20 September 2011

Gadhafi spotted as rebels capture parts of south Libya town

 Fugitive Libyan leader Muammar Gadhafi was spotted in the southern city of Sabha a few days ago, the regional daily Asharq al-Awsat reported on Tuesday, citing an eyewitness. The witness claimed that Gadhafi was living in the city, located around 750 kilometers south of the capital Tripoli. Anti-Gadhafi fighters firing a cannon near Sirte, the hometown of deposed leader Muammar Gadhafi, September 17, 2011. Photo by: Reuters Gadhafi's whereabouts have been unknown since rebels took over Tripoli in August. However, he continues to send statements and voice messages through the Syria-based al-Rai channel. The report comes after the...

Sunday, 18 September 2011

UBS raises rogue equity trade losses to $2.3 billion

 Swiss bank UBS on Sunday increased the amount it said it had lost on rogue equity trades to $2.3 billion and alleged a trader concealed his risky deals by creating fictitious hedging positions in internal systems. UBS stunned markets on Thursday when it announced unauthorised trades had lost it some $2 billion. London trader Kweku Adoboli was charged on Friday with fraud and false accounting dating back to 2008. "The loss resulted from unauthorised speculative trading in various S&P 500, DAX, and EuroStoxx index futures over the last three months," UBS said in a brief statement. "The loss arising from this matter is $2.3 billion....

Saturday, 17 September 2011

Central control of Europe's borders proposed

 The European Union's executive branch proposed Friday that national borders in Europe's visa-free travel zone be controlled by officials in Brussels, the EU capital, rather than by individual governments -- a plan already opposed by Germany, France and Spain. The proposal by the European Commission follows a call for stronger economic governance within the area that uses the euro currency, and reflects a push toward more centralized decision-making to protect the European Union's two proudest achievements, the free movement of both people and capital. It is unclear at this point whether either of those achievements will survive, said Paul de Grauwe, an economics professor and EU expert at the Catholic University of Leuven, in Belgium. "I would say we are at a road, and suddenly there...

Thursday, 15 September 2011

UBS Has $2 Billion Trading Loss; Police Arrest Man in London

 UBS AG, Switzerland’s biggest bank, may be unprofitable in the third quarter after a $2 billion loss from unauthorized trading at its investment bank. London police arrested a 31-year-old man on suspicion of fraud. UBS management aims to “get to the bottom of the matter as quickly as possible, and will spare no effort to establish exactly what has happened,” the bank’s group executive board, led by Chief Executive Officer Oswald Gruebel, said in a memo to employees today. “While the news is distressing, it will not change the fundamental strength of our firm.” The bank tumbled as much as 9.6 percent in Swiss trading following the announcement, which deals a blow to Gruebel’s attempts to revive the investment bank after the division recorded 57.1 billion Swiss francs ($65 billion) in...

Tuesday, 13 September 2011

Euro zone banks in the grip of funding squeeze

 Funding through interbank markets remained scarce and expensive for euro zone banks on Tuesday as concerns about a Greek default and rising pressure on Italian bonds increased the focus on heavily exposed French institutions. The cost of insuring senior French bank debt against default rose according to data from Markit, while a media article suggesting BNP Paribas had no access to dollar funding was cited by equity and currency market participants. Money market traders said that while access to dollar loans remained difficult for French banks -- under close scrutiny owing to their large holdings of peripheral government bonds -- the situation was not one of rapid deterioration. "The stress levels have always been there and they're certainly not getting any less... but there's no...

Friday, 9 September 2011

Millions of Hotmail users cut off by Microsoft 'cloud' failure

 As well as Hotmail, the outage affected Office 365 and the Skydrive online storage service. Microsoft said the cause appeared to be related to the Domain Name System, the computer network that ensures that web addresses are connected to websites. “Preliminary root cause suggests a DNS issue,” the firm said on its office 365 Twitter feed. The problems lasted for at least two-and-a-half hours, beginning at around 4AM British Summer Time. On a company blog, Microsoft said it had fixed the problem at 5.45AM, but the repairs took some time to “propagate” through the DNS network.  "We are working on propagating the DNS configuration changes and so it will take some time to restore service to everyone. Again we appreciate your patience," the firm said. For Office 365, Microsoft’s subscription-only...

The alleged killers of a British teenager stabbed to death at a holiday resort in the Costa Brava have been extradited to face justice in Spain.

Andrew Milroy, 15, died of a single knife wound to the chest in the seaside town of Lloret de Mar on July 17.Police named the suspects only as Remi Romai A. and Jeremy P. - a plumber and a mechanic both aged 21.Andrew Milroy and two friends had tried to break up a 3.30am brawl between a gang of young French tourists. But instead, the youths turned on them in a shopping centre in the resort popular with thousands of British holidaymakers every year, it is alleged.A nearby hotel security guard called police after being alerted by the boys' friends. When ambulance workers arrived, they found Mr Milroy lying in a pool of blood in an alleyway...

Monday, 5 September 2011

Ailing Spanish bank CAM posts massive first-half loss

 Spain's struggling Caja Mediterraneo (CAM), under state control since in July, Monday posted first-half losses of 1.136 billion euros ($1.602 billion). It also reported a non-performing loan ratio of 19 percent, far above the average of 6.416 percent for the sector in June. The Bank of Spain announced on July 22 that it would take control of the CAM through an injection of 2.8 billion euros and the opening of a 3.0 billion euro line of credit. It now plans to sell-off the ailing savings bank. On Friday, the business daily Cinco Dias said the CAM may need about 1.0 billion euros in additional public funds. The CAM was one of five Spanish banks that failed new European stress tests on July 15 to see if they can survive a major crisis. Spain's lenders, especially its regional savings banks...

Eurozone woe fuels fresh market chaos as banks bear the brunt of a global stock rout

 Britain's banks bore the brunt of a global stock market rout amid escalating concerns over the eurozone debt crisis and further signs of strain in wholesale money markets. More than £10bn was wiped off the value of Britain’s five biggest lenders as key inter-bank borrowing costs climbed to levels not seen since the height of the 2008 crash. Royal Bank of Scotland lost an eighth of its value, tumbling 3.06p to 21.78p, amid fears that it could be facing a bill of as much as £3.7bn from US sub-prime mortgage lawsuits. Plunge: More than £10bn was wiped off the value of Britain’s five big banks Lloyds slumped 2.47p or 7.5pc to 30.65p while Barclays tumbled 11.05p to 154.15p. Following yesterday’s bloodbath, taxpayers are now sitting on a £37.6bn paper loss from their 83pc and 40pc stakes...

Athens, Rome Hold Europe to Ransom

 Europe is engaged in a high-stakes game of brinkmanship that poses grave risks to the global economy. At last weekend's Villa d'Este Forum in Italy, European policy makers didn't hide their fury at Greece's back-sliding over promised structural reforms and spending cuts. At the same time, Italian ministers undermined the remaining credibility of Silvio Berlusconi's government with a series of complacent speeches. Given such a dangerous breakdown in trust within Europe, investors are right to fear the worst. Germany and its Northern European allies believe only intense market pressure can force weak economies to cut spending and improve competitiveness. But Greece has learned that whenever the crisis in Europe's periphery threatens to overwhelm the core, Europe will ignore previous broken...

US recession fears savage world financial markets

 World stock markets took a beating Monday over fears that the U.S. economy was heading back into a recession just as the European debt crisis was heating up and the eurozone's economic indicators were slumping. A trader works on the floor of the New York Stock Exchange on Friday, Sept. 2, 2011 in New York. The jobs report was the weakest in almost a year. It renewed fears that the U.S. might slip back into recession. (AP Photo/Jin Lee) A man looks at an electronic stock board of a securities firm in Tokyo, Monday, Sept. 5, 2011. Asia-Pacific stocks took a beating early Monday after jobs data out of the U.S. last week revived fears of a recession in the world's largest economy. (AP Photo/Koji Sasahara) More business news In tough economy, multi-job holders grateful for balancing act...

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