ReportWire

Tag: Crime/Legal Action

  • Retailers talk a lot about rising theft. But a retail industry report finds a key metric for it hasn’t increased that much.

    Retailers talk a lot about rising theft. But a retail industry report finds a key metric for it hasn’t increased that much.

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    Retail executives over the past year have talked a lot about “shrink” — or the losses they take due to theft, fraud or employee error — amid a flood of headlines about sometimes violent organized thefts at stores. But results from a retail-industry survey released Tuesday found the metric rose only modestly last year.

    The report from the National Retail Federation, a retail industry group, found that the average shrink rate in 2022 crept higher to 1.6% from 1.4% in the prior year, when calculated as a share of sales. The figure from 2022 is in line with those seen in 2020 and 2019.

    Still, the losses amounted to billions of dollars — $112.1 billion, up from $93.9 billion in 2021 — according to the report. And the report said that retailers were increasingly concerned about the violence of those crimes.

    “Far beyond the financial impact of these crimes, the violence and concerns over safety continue to be the priority for all retailers, regardless of size or category,” David Johnston, the NRF’s vice president for asset protection and retail operations, said in a statement.

    The NRF, working with the Loss Prevention Research Council — a research group founded by some of the nation’s biggest retailers — surveyed people in the industry who work in loss-prevention and asset protection. The report contained responses or information from 177 retail brands. The survey was distributed in May, June and July.

    The report was published the same day that Target Corp.
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    said it would close nine stores across four states next month, citing theft and dangers to employees.

    “In this case, we cannot continue operating these stores because theft and organized retail crime are threatening the safety of our team and guests, and contributing to unsustainable business performance,” Target said in a statement.

    The chain joins other retailers sounding the alarm about retail theft and closing stores, amid what executives have described as a spike in organized retail theft, or theft with the intent of reselling the goods. However, executives’ takes on earnings calls have differed slightly, and retailers are contending with other issues — like the fallout from inflation — that have hit financials.

    Also see: Costco CFO says inventory ‘in good shape,’ thefts have not ‘dramatically’ increased as earnings top estimates

    The fight over theft has played out, perhaps predictably, on partisan lines, with some blaming what they say are lax crime policies in large cities. But other analysts point to changes in the flow of foot traffic through population centers since the pandemic, and say the data is often too squishy and subjective to make any hard calls about the state of crime — and whether it’s rising or falling, particularly at retailers — in a particular area.

    More than two-thirds of the retailers surveyed by the NRF “said they were seeing even more violence and aggression” from organized retail theft compared with a year ago. Twenty-eight percent reported being “forced” to close a specific store location, the report said, while 45% said they cut operating hours, and 30% said they reduced or changed an in-store product selection as a result of retail crime.

    “The types of products shoplifters are targeting may not be based solely on price point,” the National Retail Federation said.

    “Products can range from high-price, high-fashion items to everyday products that have a fast resale capability,” the group said. “While ORC groups have traditionally targeted specific items or types of goods, that list has expanded to new categories like outerwear, batteries, energy drinks, designer footwear and kitchen accessories.”

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  • A 96-year-old federal judge is fighting to keep her job

    A 96-year-old federal judge is fighting to keep her job

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    As Americans debate whether President Joe Biden, at 80, is too old to run for a second term, here comes the story of a 96-year-old federal appeals court judge fighting to keep her job.

    Pauline Newman, a judge based in Washington, D.C., was suspended from her job earlier this week under an order from the Judicial Council of the Federal Circuit.

    The order praised Newman for serving “with distinction” over her nearly 40-year tenure and for being “a highly valued and respected colleague,” especially in regards to her work relating to the U.S. patent system. But it also pointed to “evidence of memory loss, confusion, and lack of comprehension” in the judge’s work.

    “Unfortunately, earlier this year mounting evidence raised increasing doubts about whether Judge Newman is still fit to perform the duties of her office,” the order said.

    Newman, who was appointed to the job in 1984 by President Ronald Reagan, has refused “multiple requests to discuss the matter,” according to the order. It was also noted that the judge “was responsible for extensive delays in resolving cases and appeared unable to complete her opinions in a timely fashion” despite a reduced workload.

    According to ABC News, Newman has “pushed back against allegations” and has said that she wants to resolve the matter in a cooperative way. ABC News also reported that Newman’s attorney, Greg Dolin, plans to fight the issue and will file a petition for review with the Committee on Judicial Conduct and Disability.

    MarketWatch reached out to Dolin for comment but didn’t receive an immediate response.

    Newman is not the oldest person to have served as a federal judge. That honor goes to Wesley E. Brown, who was still on the bench a month before his death in 2012 at the age of 104.

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  • Sen. Menendez of New Jersey and wife indicted on bribery charges as probe finds $100,000 in gold bars, prosecutors say

    Sen. Menendez of New Jersey and wife indicted on bribery charges as probe finds $100,000 in gold bars, prosecutors say

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    U.S. Sen. Bob Menendez of New Jersey and his wife were indicted Friday on bribery charges after an investigation that turned up $100,000 in gold bars and $480,000 in hidden cash at their home, prosecutors said.

    Federal prosecutors announced the charges against the 69-year-old Democrat nearly six years after an earlier criminal case against him ended with a deadlocked jury. They said a search of Bob Menendez’s home turned up $100,000 in gold bars and $480,000 in hidden cash.

    The latest indictment is unrelated to the earlier charges that alleged Menendez accepted lavish gifts to pressure government officials on behalf of a Florida doctor.

    The Senate Historical Office says Menendez appears to be the first sitting senator in U.S. history to have been indicted on two unrelated criminal allegations.

    A lawyer for Menendez’s wife hasn’t responded to a message seeking comment. Messages were left for Menendez’s Senate spokesperson and his political consultant.

    The first time Menendez was indicted, he had been accused of using his political influence to help a Florida eye doctor who had lavished him with gifts and campaign contributions.

    The new charges follow a years-long investigation that examined, among other things, the dealings of a New Jersey businessman — a friend of Menendez’s wife — who secured sole authorization from the Egyptian government to certify that meat imported into that country meets Islamic dietary requirements.

    Investigators also asked questions about the Menendez family’s interactions with a New Jersey developer.

    Menendez’s political career had looked as though it might be over in 2015, when a federal grand jury in New Jersey indicted him on multiple charges over favors he did for a friend, Dr. Salomon Melgen.

    Menendez was accused of pressuring government officials to resolve a Medicare billing dispute in Melgen’s favor, securing visas for the doctor’s girlfriends and helping protect a contract the doctor had to provide port-screening equipment to the Dominican Republic.

    Menendez has always maintained his innocence. His lawyers said campaign contributions and gifts from Melgen — which included trips on his private jet to a resort in the Dominican Republic and a vacation in Paris — were tokens of their longtime friendship, not bribes.

    Prosecutors dropped the case after a jury deadlocked in November 2017 on charges including bribery, fraud and conspiracy, and a judge dismissed some counts.

    The Senate Ethics Committee later rebuked Menendez, finding that he had improperly accepted gifts, failed to disclose them and then used his influence to advance Melgen’s personal interests.

    But months later, New Jersey voters returned Menendez to the Senate. He defeated a well-financed challenger in a midterm election that broke a Republican lock on power in Washington.

    Melgen was convicted of health care fraud in 2017 but former President Donald Trump commuted his prison sentence.

    Menendez is widely expected to run for reelection next year.

    The son of Cuban immigrants, Menendez has held public office continuously since 1986, when he was elected mayor of Union City, New Jersey. He was a state legislator and spent 14 years in the U.S. House of Representatives. In 2006, Gov. Jon Corzine appointed Menendez to the Senate seat he vacated when he became governor.

    At least two other senators — Kay Bailey Hutchinson, R-Texas; Richard Kenney, D-Delaware — were indicted on multiple occasions while still in office, but each senator’s indictments covered overlapping allegations, according to the Senate Historical Office.

    Neither Kenney nor Hutchinson were ultimately convicted, and both went on to serve their full terms. In total, 13 senators have been indicted throughout history, of which six have been convicted, according to the Senate Historical Office. Two of those convictions were overturned.

    Menendez first publicly disclosed that he was the subject of a new federal investigation last October.

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  • A stranger in your hotel room? Kitty-litter shortages? Online attacks are causing real-world effects.

    A stranger in your hotel room? Kitty-litter shortages? Online attacks are causing real-world effects.

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    It was past midnight when Alessandra Millican and a friend entered the Bellagio hotel room that was costing them hundreds of dollars a night, but unexpected noises made them stop cold.

    “We started hearing grunts,” she said. “It’s somebody waking up — we were halfway through the room and we realized there’s somebody sleeping in here.”

    Millican…

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  • ‘Our job is not to take orders from the president, from Congress, or from anyone else’: Atty. Gen. Garland rips House Republican scolds

    ‘Our job is not to take orders from the president, from Congress, or from anyone else’: Atty. Gen. Garland rips House Republican scolds

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    WASHINGTON (AP) — Attorney General Merrick Garland on Wednesday is set to come face-to-face with his most ardent critics as House Republicans prepare to use a routine oversight hearing to interrogate him about what they claim is the “weaponization” of the Justice Department under President Joe Biden.

    Garland is appearing before the House Judiciary Committee for the first time in two years and at an unprecedented moment in the Justice Department’s history: He’s overseeing two cases against Donald Trump, the first former president to face criminal charges, and another against the sitting president’s son, Hunter Biden.

    “Our job is not to take orders from the president, from Congress, or from anyone else, about who or what to criminally investigate,” Garland will say, according to prepared remarks.

    ‘I am not the President’s lawyer. I will also add that I am not Congress’s prosecutor. The Justice Department works for the American people.’


    — Attorney General Merrick Garland in prepared remarks

    Republicans on the committee were tight-lipped about what they planned to ask Garland, telling the Associated Press on Tuesday that they wanted to keep lines of attack under wraps until the hearing.

    But Garland will likely face tense and heated questions about the Trump and Hunter Biden criminal cases, forcing him to defend the country’s largest law enforcement agency at a time when political and physical threats against agents and their families are on the rise.

    Context: ‘He’s being squeezed’: McCarthy yields to right-flank insistence on Biden impeachment inquiry amid intensifying threat to speakership

    Also see: Kevin McCarthy’s near-impossible task: to get Republicans on the same page and fund the government for another month

    “All of us at the Justice Department recognize that with this work comes public scrutiny, criticism, and legitimate oversight. These are appropriate and important given the gravity of the matters before the department,” Garland will say, according to his prepared remarks. “But singling out individual career public servants who are just doing their jobs is dangerous — particularly at a time of increased threats to the safety of public servants and their families.”

    Democrats say they plan to “act as kind of a truth squad” against what they see as Republican misinformation and their ongoing defense of Trump, who is now the Republican frontrunner to challenge Biden in next year’s election. They say Republicans are trying to detract attention from the indicted former president’s legal challenges and turn a negative spotlight on Biden.

    “I’ll be using this opportunity to highlight just how destructive that is of our system of justice and how once again, it is the GOP willing to undermine our institutions in the defense of their indefensible candidate for president,” Rep. Adam Schiff, a senior Democrat on the committee, told the AP.

    Garland’s testimony also comes just over a week after Speaker Kevin McCarthy, a Republican from inland south-central California, launched an impeachment inquiry into his boss, Biden, with a special focus on the Justice Department’s handling of Hunter Biden’s years-long case.

    The White House has dismissed the impeachment inquiry as baseless and worked to focus the conversation on policy instead. Hunter Biden’s legal team, on the other hand, has gone on the offensive against GOP critics, most recently filing suit against the Internal Revenue Service after two of its agents raised whistleblower claims to Congress about the handling of the investigation.

    Republicans contend that the Justice Department — both under Trump and now Biden — has failed to fully probe the allegations against the younger Biden, ranging from his work on the board of Ukrainian energy company Burisma to his tax filings in California and Washington, D.C.

    “I am not the President’s lawyer. I will also add that I am not Congress’s prosecutor. The Justice Department works for the American people,” Garland is expected to say.

    Democrats have said they plan to ‘act as kind of a truth squad’ at the House hearing.

    An investigation into Hunter Biden had been run by the U.S. attorney for Delaware, Trump appointee David Weiss, who Garland had kept on to finish the probe and insulate it from claims of political interference. Garland granted Weiss special counsel status last month, giving him broad authority to investigate and report his findings. He oversees the day-to-day running of the probe and another special counsel, Jack Smith, is in charge of the Trump investigation, though Garland retains final say on both as attorney general.

    Last week, Weiss used that new authority to indict Hunter Biden on federal firearms charges, putting the case on track toward a possible trial as the 2024 election looms.

    The Republican chairmen of the Oversight, Judiciary, and Ways and Means committees launched an investigation into Weiss’ handling of the case, which was first opened in 2018 after two IRS agents claimed in congressional testimony in May that the Justice Department improperly interfered with their work.

    Gary Shapley, a veteran IRS agent assigned to the case, testified to Congress that Weiss indicated in October 2022 that he was not the “deciding person whether charges are filed” against Hunter Biden.

    That testimony has been disputed by two FBI agents who were also in the room for that meeting.

    Hunter Biden has since sued the IRS, alleging that the episode has breached his right to privacy.

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  • Five American captives have flown out of Iran, U.S. officials say

    Five American captives have flown out of Iran, U.S. officials say

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    DUBAI, United Arab Emirates (AP) — Five prisoners sought by the U.S. in a swap with Iran flew out of Tehran on Monday, officials said.

    Flight-tracking data analyzed by the AP showed a Qatar Airways flight take off at Tehran’s Mehrabad International Airport, which has been used for exchanges in the past. Iranian state media soon after said the flight had left Tehran.

    Two people, including a senior Biden administration official, said that the prisoners had left Tehran. They both spoke on condition of anonymity because the exchange was ongoing.

    Context: Iran and U.S. set to exchange prisoners as $6 billion in once-frozen Iranian assets reaches Qatar

    Also see: Iran identifies prisoners it wants freed by U.S. even as President Raisi voices view of unfrozen funds at odds with Washington’s

    In addition to the five freed Americans, two U.S. family members flew out, according to the Biden administration official. of Tehran.

    The cash represents money South Korea owed Iran — but had not yet paid — for oil shipments. U.S. House Democrat Jason Crow said Monday that the Biden administration’s recent negotiations led to a situation in which those funds have more, rather than fewer, strings attached.

    Earlier, officials said that the exchange would take place after nearly $6 billion in once-frozen Iranian assets reached Qatar, a key element of the planned swap.

    Rep. Jason Crow, a Colorado Democrat, observed early Monday on MSNBC that the funds were available to Iran, and that South Korea could unilaterally have transferred them to Tehran, under terms of an arrangement struck by the Trump administration. The Biden administration’s recent negotiations led to a situation, he said, in which those funds have more, rather than fewer, strings attached.

    The U.S. Treasury holds the power to reject any requested fund transfers to Iran, U.S. officials have said, even as Iranian President Ebrahim Raisi claimed last week in an NBC interview that he was free under the deal’s terms to define the term humanitarian as he chose.

    Observers, seeking to reconcile those positions, noted that Raisi likely had a domestic audience in mind and was expressing a view that he knew did not comport with reality.

    Despite the exchange, tensions are almost certain to remain high between the U.S. and Iran, which are locked in various disputes, including over Tehran’s nuclear program.

    Iran says the program is peaceful, but it now enriches uranium closer than ever to weapons-grade levels.

    Iranian Foreign Ministry spokesman Nasser Kanaani was the first to acknowledge the swap would take place Monday. He said the cash sought for the exchange that had been held by South Korea was now in Qatar.

    Kanaani made his comments during a news conference aired on state television, but the feed cut immediately after his remarks.

    “Fortunately Iran’s frozen assets in South Korea were released and God willing today the assets will start to be fully controlled by the government and the nation,” Kanaani said.

    “On the subject of the prisoner swap, it will happen today and five prisoners, citizens of the Islamic Republic, will be released from the prisons in the U.S.,” he added. “Five imprisoned citizens who were in Iran will be given to the U.S. side.”

    He said two of the Iranian prisoners will stay in the U.S.

    Mohammad Reza Farzin, Iran’s Central Bank chief, later came on state television to acknowledge the receipt of over 5.5 billion euros — $5.9 billion — in accounts in Qatar. Months ago, Iran had anticipated getting as much as $7 billion.

    The planned exchange comes ahead of the convening of world leaders at the U.N. General Assembly this week in New York, where Iran’s hard-line President Ebrahim Raisi will speak.

    A Qatar Airways plane landed Monday morning at Mehrabad International Airport in Tehran, according to flight-tracking data analyzed by the AP. Qatar Airways uses Tehran’s Imam Khomeini International Airport for its commercial flights, but previous prisoner releases have taken place at Mehrabad.

    The announcement by Kanaani comes weeks after Iran said that five Iranian-Americans had been transferred from prison to house arrest as part of a confidence-building move. Meanwhile, Seoul allowed the frozen assets, held in South Korean won, to be converted into euros.

    The planned swap has unfolded amid a major American military buildup in the Persian Gulf, with the possibility of U.S. troops boarding and guarding commercial ships in the Strait of Hormuz, through which 20% of all oil shipments pass.

    The deal has also already opened U.S. President Joe Biden to fresh criticism from Republicans and others who say that the administration is helping boost the Iranian economy at a time when Iran poses a growing threat to American troops and Mideast allies. That could have implications in his reelection campaign as well.

    On the U.S. side, Washington has said the planned swap includes Siamak Namazi, who was detained in 2015 and was later sentenced to 10 years in prison on spying charges; Emad Sharghi, a venture capitalist sentenced to 10 years; and Morad Tahbaz, a British-American conservationist of Iranian descent who was arrested in 2018 and also received a 10-year sentence. All of their charges have been widely criticized by their families, activists and the U.S. government.

    U.S. official have so far declined to identify the fourth and fifth prisoner.

    The five prisoners Iran has said it seeks are mostly held over allegedly trying to export banned material to Iran, such as dual use electronics that can be used by a military.

    The cash represents money South Korea owed Iran — but had not yet paid — for oil purchased before the U.S. imposed sanctions on such transactions in 2019.

    The U.S. maintains that, once in Qatar, the money will be held in restricted accounts and will only be able to be used for humanitarian goods, such as medicine and food. Those transactions are currently allowed under American sanctions targeting the Islamic Republic over its advancing nuclear program.

    Iranian government officials have largely concurred with that explanation, though some hard-liners have insisted, without providing evidence, that there would be no restrictions on how Tehran spends the money.

    Iran and the U.S. have a history of prisoner swaps dating back to the 1979 U.S. Embassy takeover and hostage crisis following the Islamic Revolution. Their most recent major exchange happened in 2016, when Iran came to a deal with world powers to restrict its nuclear program in return for an easing of sanctions.

    Four American captives, including Washington Post journalist Jason Rezaian, flew home from Iran at the time, and several Iranians in the U.S. won their freedom. That same day, then-President Barack Obama’s administration airlifted $400 million in cash to Tehran.

    The West accuses Iran of using foreign prisoners — including those with dual nationality — as bargaining chips, an allegation Tehran rejects.

    Negotiations over a major prisoner swap faltered after then-President Donald Trump unilaterally withdrew America from the nuclear deal in 2018. From the following year on, a series of attacks and ship seizures attributed to Iran have raised tensions.

    Meanwhile, Iran’s nuclear program now enriches closer than ever to weapons-grade levels. While the head of the United Nations’ nuclear watchdog has warned that Iran now has enough enriched uranium to produce “several” bombs, months more would likely be needed to build a weapon and potentially miniaturize it to put it on a missile — if Iran decided to pursue one.

    Iran maintains its nuclear program is peaceful, and the U.S. intelligence community has kept its assessment that Iran is not pursuing an atomic bomb.

    Iran has taken steps in recent months to settle some issues with the International Atomic Energy Agency. But the advances in its program have led to fears of a wider regional conflagration as Israel, itself a nuclear power, has said it would not allow Tehran to develop the bomb. Israel bombed both Iraq and Syria to stop their nuclear programs, giving the threat more weight. It also is suspected in carrying out a series of killings targeting Iran’s nuclear scientists.

    Iran also supplies Russia with the bomb-carrying drones Moscow uses to target sites in Ukraine in its war on Kyiv, which remains another major dispute between Tehran and Washington.

    MarketWatch contributed.

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  • Republican Texas AG Ken Paxton is acquitted of all 16 corruption charges at impeachment trial

    Republican Texas AG Ken Paxton is acquitted of all 16 corruption charges at impeachment trial

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    Texas Attorney General Ken Paxton was acquitted Saturday of all charges at a historic impeachment trial that divided Republicans over whether to remove a powerful defender of former President Donald Trump after years of scandal and criminal charges.

    The verdict reaffirmed Paxton’s durability in America’s biggest red state and is a broader victory for Texas’ hard right after an extraordinary trial that put on display fractures within the GOP nationally heading into the 2024 elections. In the end, Paxton was fully cleared by Senate Republicans, who serve alongside his wife, state Sen. Angela Paxton.

    Angela Paxton was not allowed to vote. But she attended all two weeks of the trial, including the reading of the verdict, when all but two of her fellow 18 Republican senators consistently voted to acquit her husband on 16 impeachment articles that accused him of misconduct, bribery and corruption. Ken Paxton, who was absent for most of the proceedings, did not attend the verdict.

    It clears the way for Paxton to reclaim his role as Texas’ top lawyer, more than three months after his stunning impeachment in the Texas House forced him to temporarily step aside.

    The outcome far from ends Paxton’s troubles. He still faces trial on felony securities fraud charges, remains under a separate FBI investigation and is in jeopardy of losing his ability to practice law in Texas because of his baseless attempts to overturn the 2020 election.

    The jury of 30 senators spent about eight hours deliberating behind closed doors before emerging for the historic vote. A two-thirds majority is required to convict Paxton on any of the charges that accuse Paxton of bribery, corruption and unfitness for office.

    The trial has plunged Texas Republicans into unfamiliar waters as they confronted whether Paxton should be removed over allegations that he abused his office to protect a political donor who was under FBI investigation.

    For nearly a decade, Paxton has elevated his national profile by rushing his office into polarizing courtroom battles across the U.S., winning acclaim from Donald Trump and the GOP’s hard right.

    The case centered on accusations that Paxton misused his office to help one of his donors, Austin real estate developer Nate Paul, who was indicted in June on charges of making false statements to banks. Paul has pleaded not guilty.

    Eight of Paxton’s former deputies reported him to the FBI in 2020, setting off a federal investigation that will continue regardless of the verdict. Federal prosecutors investigating Paxton took testimony in August before a grand jury in San Antonio , according to two people with knowledge of the matter who spoke on condition of anonymity because of secrecy rules around the proceeding.

    One of the impeachment articles centered on an alleged extramarital affair Paxton had with Laura Olson, who worked for Paul. It allegeed that Paul’s hiring of Olson amounted to a bribe.

    Paxton faces an array of legal troubles beyond the impeachment. Besides the federal investigation for the same allegations that gave rise to his impeachment, he also faces a bar disciplinary proceeding over his effort to overturn the 2020 election and has yet to stand trial on state securities fraud charges dating to 2015. He pleaded not guilty in the state case, but his lawyers have said removal from office might open the door to a plea agreement.

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  • Paid off your mortgage? Be careful — you’re at risk of title theft.

    Paid off your mortgage? Be careful — you’re at risk of title theft.

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    Homeowners may be thrilled when they finally pay off their mortgage, but the accomplishment comes with risks. 

    Retirement Tip of the Week: Be vigilant in protecting your identity and assets, and be aware of how you could fall victim to various scams or theft associated with your home.

    With title theft, thieves transfer a house deed from the rightful owner to another person’s name by using the owner’s personal information. Title theft could also take the form of using equity in a home, such as by opening a home equity line of credit, known as a HELOC, according to Quicken Loans. When a house is unoccupied, thieves could go so far as to sell or rent out the property. 

    Title theft isn’t particularly common, but it does happen, and it’s another reason people should protect their identity and other sensitive information. Older Americans could be at higher risk, especially if they have a lot of equity in their home. About 11,500 people reported losing more than $350 million to real-estate scams in 2021, although that figure includes fraud pertaining to real-estate advertisements and rental agreements, according to the FBI

    Homeowners should keep on top of their documents and may even want to occasionally confirm their information with their county deeds office, the FBI said. Any mail from a mortgage lender should be checked to make sure it doesn’t pertain to your specific property.

    If you are a victim of title theft, open an identity-theft case with the Federal Trade Commission, alert creditors about the fraud and look over your title insurance, which protects homeowners’ rights and which mortgage companies often require home buyers to have, Quicken Loans said

    There are companies that offer title-protection services, although critics say it’s not the same as title insurance and only alerts a homeowner of a problem after it has occurred. 

    “Do you need this service to protect your home from property thieves? The answer is no,” the Maryland Attorney General’s office said in a consumer alert about title-protection services. “Title fraud is very rare, and hardly ever successful. If someone ever tries to transfer your deed without your permission or knowledge, like these title lock companies suggest could happen, the transfer is fraudulent and void from the outset.” 

    Instead, homeowners should monitor their identity and keep an eye on their credit scores, the office said.

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  • Google spent billions to build an illegal monopoly, Justice Department says as trial gets under way

    Google spent billions to build an illegal monopoly, Justice Department says as trial gets under way

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    Federal prosecutors opened a landmark antitrust trial against Alphabet Inc.’s Google on Tuesday with charges the search-engine giant for years intentionally snuffed competition through exclusive contracts with wireless carriers and phone makers.

    Google
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    spent billions of dollars on such contracts to cement its dominant position, a clear violation of U.S. antitrust law, prosecutors said.

    “This case is about the future of the internet, and whether Google’s search engine will ever face meaningful competition,” Justice Department lawyer Kenneth Dintzer told the court. He said Google pays more than $10 billion a year to Apple Inc.
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    and other companies to ensure Google is the default or only search engine available on browsers and mobile devices used by millions of consumers.

    Google’s search business accounted for more than half of the $283 billion in revenue Alphabet recorded in 2022. Search in large part has fueled the company’s $1.7 trillion market valuation.

    Google attorney John Schmidtlein countered that companies and consumers use Google’s popular search engine “because it delivers value to them, not because they have to.”

    The legal jousting in a Washington, D.C., federal court kicked off what is expected to be a contentious multiweek trial that could be one of the biggest domestic antitrust trials since the federal government tussled with Microsoft Corp.
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    in the 1990s. Like that case, this one involves arguments over tying together multiple proprietary products.

    To that end, Justice Department officials allege Google’s contracts ensure that Android devices come with Google apps and services, including Google search, preinstalled.

    Google Chief Executive Sundar Pichai heads a witness list of senior executives and former employees from Google, AppleMicrosoft and Samsung Electronics Co.
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    .

    “This feedback loop, this wheel has been turning for 12 years, and it always turns to Google’s advantage,” Dintzer said.

    Conversely, Schmidtlein said Apple’s decision to make Google the default search engine in its Safari browser underscores that Google’s search engine is the product consumers prefer. “Apple repeatedly chose Google as the default because Apple believed it was the best experience for its users,” he said.

    The Google case “could not be more different” from Microsoft litigation in the late 1990s and early 2000s, Schmidtlein asserted. “The evidence will show that Microsoft’s Bing search engine failed to win customers because Microsoft did not invest [and] did not innovate,” he said. “At every critical juncture, the evidence will show that they were beaten in the market.”

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  • Trouble in paradise: Shock guilty plea roils case of yoga gurus charged with stealing millions from bipolar Malibu doctor

    Trouble in paradise: Shock guilty plea roils case of yoga gurus charged with stealing millions from bipolar Malibu doctor

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    Their shared hippie spirit brought them together over a vegan potluck dinner, but the prospect of  years in federal prison for allegedly stealing millions from a mentally-ill Malibu doctor, has driven a wedge between them. 

    A federal fraud prosecution against a pair of yoga gurus accused of siphoning cash from Dr. Mark Sawusch’s $60 million fortune took a significant turn at the end of August when one pleaded guilty and agreed to testify against the other, her ex-boyfriend, according to court documents and people familiar with the matter.

    Anna Moore’s guilty plea before a federal judge in Los Angeles on Aug. 28 represents a serious legal challenge to her longtime partner, Anthony Flores, who faces decades behind bars if convicted in the case. Flores pleaded not guilty after his arrest in January. 

    Details of Moore’s agreement with federal prosecutors remain under seal, but people familiar with the matter say her ultimate sentence in the case will largely be determined after her level of cooperation is evaluated. A sentencing hearing for Moore was set for Nov. 6. 

    “We are aware of Ms. Moore’s decision to plead guilty. Obviously this changes Mr. Flores’ legal situation in the case, and we are currently reviewing our options,” Flores’ attorney Ambrosio Rodriguez said.         

    Messages left with Moore’s attorney weren’t immediately returned. A spokesman for the U.S attorney’s office for the central district of California declined to comment.

    The tragic end to Sawusch’s life began on June 23, 2017, when the brilliant, but troubled, ophthalmologist met Flores and Moore in a chance encounter at a vegan ice cream parlor in Venice Beach, Calif.

    Flores, who went by Anton David, was a guru-esque figure with long, flowing hair and a beard. He worked as a hair stylist on film shoots. Moore, a pixie-like blond, was an actress and singer. The couple had met years earlier at a vegan potluck dinner and had fallen in love over what they described as a shared hippie spirit. Together, they ran a yoga center in Fresno, Calif., while going back-and-forth to L.A.  

    Their spiritual vibe cast a spell on Sawusch, who had just days earlier been released from a mental health facility, where he had been committed after suffering a breakdown, court filings said. Within a week, Flores and Moore had moved into Sawusch’s multi-million dollar beachfront home in Malibu, Calif., federal prosecutors said. 

    Over the next year, the pair gained increasingly firm control over the doctor’s life and finances, with Flores establishing power of attorney over Sawusch’s vast fortune while plying him with a steady diet of marijuana and LSD as he also underwent experimental ketamine treatments for his bipolar disorder that left him addled, investigators said. 

    Sawusch later died in May 2018 of a lethal mixture of ketamine and alcohol, according to a coroner’s report. The Los Angeles County medical examiner’s office ruled the death an accident.

    In her guilty plea, Moore said she was not immediately aware of the scope of Flores’ alleged efforts to steal the doctor’s money, but admitted that following Sawusch’s death she participated in a later effort in probate court to keep the stolen money. Prosecutors have alleged that this was a separate fraud.

    When Sawusch’s family sought to take control of his estate, they discovered that almost $3 million had been transferred from his accounts to ones controlled by Flores in the days before and after the doctor’s death, federal prosecutors said.   

    Sawusch’s family launched a civil lawsuit against the yogi couple and convinced a California state judge to issue a restraining order freezing Flores’ and Moores’ accounts, and order they return the money. Instead, federal prosecutors say, the two engaged in a second fraud by making false claims in probate court that Sawusch had verbally told them he would give them a third of his fortune plus his Malibu beach house.

    The couple claimed that the doctor had given them the money in return for them taking care of him and as part of an effort to protect his fortune from his family, from whom he was estranged. The family said those claims were untrue and that the pair had kept Sawusch isolated from his friends and family.  

    Eventually, the couple returned around $2 million of the doctor’s money, but around $1 million remained unaccounted for, according to federal prosecutors.  

    Flores and Moore broke up during the pandemic after nearly a decade together. Moore moved to Mexico while Flores remained in Fresno, where he was arrested in late January. Moore was arrested at George Bush Intercontinental Airport in Houston upon her return to the U.S. around the same time. Both have been held without bail since.  

    Read the series:

    Part 1: Death and deceit in Malibu: How yogi couple befriended and stole millions from vulnerable rich doctor

    Part 2: Rich Malibu doctor’s final days defined by fight between family and suspect yogis over declining mental health

    Part 3: A star-crossed trade: Yogis offered friendship to a rich Malibu doctor in exchange for a third of his $60 million fortune

    Part 4: Money, mania and LSD: A Malibu doctor’s tragic final weeks under yoga gurus’ sway

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  • Intuit braces for negative FTC ruling on free tax prep advertising, vows appeal

    Intuit braces for negative FTC ruling on free tax prep advertising, vows appeal

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    More than a year ago, the Federal Trade Commission sued Intuit Inc., the maker of TurboTax, for allegedly tricking people into thinking they could file their income taxes for free with the tax-preparation giant.

    Now, an administrative judge inside the agency has ruled against Intuit — and the company said in a Friday afternoon SEC filing that it’s going to keep fighting the case, even if that means incurring “significant costs.”

    “We expect to appeal this decision to the FTC Commissioners and, if necessary, then to a federal court of appeals. We intend to continue to defend our position on the merits of this case,” the company said in its 10-K filing.

    “There is no monetary penalty, and Intuit expects no significant impact to its business,” Intuit spokesman Rick Heineman said in a statement. The company will appeal “this groundless and seemingly predetermined decision by the FTC to rule in its own favor,” he said.

    Intuit already reached a $141 million settlement with state attorneys general about the allegations of deceptive advertising. The company says it has been clear and upfront with customers about costs. It did not admit liability in the settlement.

    The FTC could not be immediately reached for comment Friday afternoon.

    In March 2022, the regulator sued Intuit in federal court to immediately stop commercials that repeated “free” over and over. Intuit pulled some of the advertising and after filing season ended, a San Francisco federal judge said the FTC bid for emergency halts didn’t need to happen under the circumstances.

    FTC lawyers also lodged an internal administrative complaint. “Intuit widely disseminated ads on television, on the radio, and online that gave consumers the impression that they could use TurboTax for free, even though two-thirds of taxpayers don’t qualify for Intuit’s free TurboTax offerings,” they wrote in administrative complaint proceedings.

    The ongoing legal fight is happening while the broader fight over of free tax preparation is heating up. The Internal Revenue Service is planning to test its own pilot program in the upcoming filing season where taxpayers can file their taxes directly with the IRS instead of through tax preparation companies or individual preparers.

    TurboTax and the tax software industry oppose the proposed IRS direct file system. So do Congressional Republicans.

    One sticking point in the looming government shutdown is how much money the IRS should be getting in its budget. The House appropriations bill would forbid the IRS from using any money to build the direct file system.

    Intuit Inc.
    INTU,
    +1.44%

    shares closed 1.4% higher Friday, at $549.60, and the disclosure didn’t seem to be having much effect on the shares in after-hours trading. Shares are up 41% year to date, while the Dow Jones Industrial Average
    DJIA
    is up 5% and the S&P 500
    SPX
    is up 17.6%.

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  • 3M Nears Roughly $5.5 Billion Earplugs Settlement

    3M Nears Roughly $5.5 Billion Earplugs Settlement

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    3M Nears Roughly $5.5 Billion Earplugs Settlement

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  • Donald Trump’s mug shot, the new face of American political scandal

    Donald Trump’s mug shot, the new face of American political scandal

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    Former President Donald Trump has been charged with a litany of crimes over the past several months, but his status as defendant-in-chief has now been immortalized by a mug shot. 

    For those who believe Trump broke the law by arranging hush-money payments to a porn star, stealing classified documents, instigating a riot and trying to steal the 2020 election, the photo serves as a symbol of his criminal behavior. To the people who see Trump as the victim of politically-motivated prosecutions, the image signals that the nation’s legal system has been compromised by partisanship. 

    Either way, Trump’s mug shot marks a new era for American political scandal.   

    Read more: Trump surrenders, is booked in Georgia election-interference case

    Of course, Trump joins a long list of American politicians who have found themselves facing prosecution.

    From the founding of the republic to the current day, politicians being accused of wrongdoing has been an American tradition. The scope of cases runs across the political spectrum and the charges have ranged from sex scandals to bribery.

    Trump’s summer of scandal began in New York, where Manhattan District Attorney Alvin Bragg charged him with campaign-finance violations, claiming the former president made hush-money payments to a porn star and Playboy bunny to bury their stories of having had affairs with him. He was then hit with federal charges of illegally withholding classified documents at his Florida mansion after leaving office and for illegally working to disrupt the formal counting of the votes in Congress that confirmed his loss in the 2020 election.

    But it took until Trump’s fourth indictment on state charges in Georgia, alleging that he and 18 others conspired to illegally overturn the 2020 election in which he narrowly lost the state to Biden, for a mugshot to formally appear.

    Here’s a list of some recent, well-known politicians who have been arrested:

    Rod Blagojevich 

    (U.S. Marshals Service)

    Blagojevich served as the Democratic governor of Illinois from 2003 until 2009 when he was arrested, impeached and eventually sentenced to 14 years in prison for corruption.

    The case revolved around a “pay-for-play” scandal in which Blagojevich solicited a bribe in return for appointing someone to fill the U.S. Senate seat vacated by Barack Obama after he’d been elected president.

    Blagojevich was released in 2020 after Trump commuted his sentence.

    John Edwards

    (U.S. Marshals Service)

    The former Democratic vice presidential and presidential candidate was indicted in 2011 on charges that he used campaign money to cover up an extramarital affair and to pay to support a child that was born as a result. Edwards wasn’t convicted but the revelation that he had an affair while his wife was dying of cancer ended his political career.

    Tom DeLay

    (Harris County Sheriff’s Office)

    The onetime Republican House majority leader was indicted in 2005 by a Texas grand jury on campaign-finance and money-laundering charges. He stepped down as House speaker and opted not to seek reelection the following year. He was eventually convicted and sentenced to three years in prison but had the case overturned on appeal.

    John Mitchell

    (U.S. Marshals Service)

    The U.S. attorney general under President Richard Nixon served 19 months in prison for his role in helping plan and orchestrate the break-in of the Democratic Party’s national headquarters at the Watergate Hotel. The scandal would lead to Nixon’s resignation in 1974.

    Dennis Hastert

    (Lake County Sheriff’s Office)

    The Republican speaker of the House of Representatives from 1999 until 2007 was later sentenced to 15 months in prison for sexually abusing young boys while working as a high school teacher and coach in his home state of Illinois. At the time of his conviction in 2015, Hastert was the highest-ranking U.S. politician to ever be sentenced to prison time.

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  • Trump surrenders, is booked in Georgia election-interference case

    Trump surrenders, is booked in Georgia election-interference case

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    Former President Donald Trump turned himself in at Georgia’s Fulton County jail on Thursday evening, with this latest move in his numerous legal fights standing out in part because it’s expected to yield a mug shot.

    See: Donald Trump’s mug shot could become ‘the most famous in the world’

    Trump’s private plane landed in Atlanta around 7 p.m. Eastern, and a motorcade took him directly to the Fulton County jail in Atlanta. After about 20 minutes of processing inside the jail, the motorcade then took him back to his plane for his return to New Jersey.

    Trump made a brief statement before boarding his plane, calling his indictment a “travesty of justice.”

    Fulton County’s booking system recorded Trump as having “blonde or strawberry” hair, a height of 6-foot-3 and weighing 215 pounds.

    Former President Donald Trump poses for his booking photo at the Fulton County Jail on Thursday.


    Fulton County Sheriff’s Office via Getty Images

    Trump was quickly released on a $200,000 bond and will now wait until an arraignment next month to enter pleas in this election-interference case. Fulton County District Attorney Fani Willis is seeking an Oct. 23 trial date for Trump and the other 18 defendants in the case, but Trump is opposing that start date.

    Earlier in the day, Trump replaced his lead counsel, Drew Findling, with veteran criminal attorney  Steven Sadow, who is known for defending a number of prominent rappers in high-profile criminal cases. The New York Times reported Trump used a commercial bail bondsman, Charles Shaw of Foster Bail Bonds, to post his bond, and paid him a $20,000 fee, or 10% of his bail amount.

    The former president was indicted last week by a grand jury in Fulton County over his efforts to overturn Georgia’s results in the 2020 presidential election, which he lost to Democrat Joe Biden. He faces 13 criminal counts, including racketeering, filing false documents, conspiracy to commit forgery and solicitation of violation of oath by a public officer.

    Thursday’s proceedings in Atlanta mark the fourth time that the 45th president has surrendered this year following an indictment.

    Trump, the frontrunner in the undefined, also is dealing with a Manhattan case over hush-money payments, a Miami case over classified documents and a Washington, D.C., case over his efforts to overturn the 2020 election, including his role in the Jan. 6, 2021, attack on the U.S. Capitol.

    He has denied wrongdoing and argued all of the cases are politically motivated. Many Republican voters have agreed with his take and rallied around Trump in the past few months, leaving him with 55.4% support in primary polls, according to a RealClearPolitics moving average of surveys as of Thursday.

    See: Trump calls his four indictments ‘nonsense’ during Tucker Carlson interview airing opposite the GOP debate

    The Fulton County prosecutor’s case was spurred in part by a recording of a Jan. 2, 2021, phone call between Trump and Georgia Secretary of State Brad Raffensperger in which Trump said Raffensperger, a Republican, should “find 11,780 votes,” or enough to erase Biden’s edge in the state.

    In a post on his Truth Social platform Thursday afternoonu, Trump reiterated his assertion that the phone call was “perfect,” and he repeated his criticisms of Willis, describing her as a “Radical Left, Lowlife District Attorney.”

    Willis, a Democrat, has set a Friday deadline for defendants to turn themselves, and Trump associates Rudy Giuliani and Mark Meadows are among the high-profile individuals who have met that deadline.

    Now read: Trump would have to wait years if he were to be pardoned in Georgia case — with no president or governor able to deliver

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  • Trump says he will surrender Thursday on Georgia election-interference charges

    Trump says he will surrender Thursday on Georgia election-interference charges

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    Former President Donald Trump says he will surrender to authorities in Georgia on Thursday to face charges in the case accusing him of illegally scheming to overturn his 2020 election loss.

    “Can you believe it? I’ll be going to Atlanta, Georgia, on Thursday to be ARRESTED,” Trump wrote on his social media network Monday night, hours after court papers said his bond was set at $200,000.

    The Fulton County Sheriff’s Office said in a news release Monday afternoon that when Trump surrenders there will be a “hard lockdown” of the area surrounding the main county jail.

    Trump, according to the papers, is also barred from intimidating co-defendants, witnesses or victims in the case — including on social media — according to the bond agreement signed by Fulton County District Attorney Fani Willis, Trump’s defense attorneys and the judge. It explicitly includes “posts on social media or reposts of posts” made by others.

    Trump has repeatedly used social media to attack people involved in the criminal cases against him as he campaigns to reclaim the White House in 2024. He has been railing against Willis since before he was indicted, and singled out Georgia Gov. Brian Kemp — a Republican who rebuffed his efforts to overturn the election — by name in a social media post Monday morning.

    The agreement prohibits the former president from making any “direct or indirect threat of any nature” against witnesses or co-defendants, and from communicating in any way about the facts of the case with them, except through attorneys.

    The order sets Trump’s bond for the Racketeer Influenced and Corrupt Organizations — or RICO — charge at $80,000, and adds $10,000 for each of the 12 other counts he is facing. Bond is the amount defendants must pay as a form of collateral to ensure they show up in court ahead of trial.

    Willis has set a deadline of noon Friday for Trump and his 18 co-defendants to turn themselves in to be booked. The prosecutor has proposed that arraignments for the defendants follow during the week of Sept. 5. She has said she wants to try the defendants collectively, and bring the case to trial in March of next year, which would put it in the heat of the presidential nominating season.

    In Fulton County, when defendants are not in custody, their lawyers and the district attorney’s office will often work out a bond amount before arraignment and the judge will sign off on it. The defendants will generally be booked at the Fulton County jail. During the booking process, they are typically photographed and fingerprinted and then they provide certain personal information. Since Trump’s bond has already been set, he will be released from custody once the booking process is complete.

    A Trump spokesman did not immediately respond to a request for comment. A phone message seeking comment was also left for an attorney for the former president.

    Trump was charged last week in the case alongside a slew of allies, who prosecutors say conspired to subvert the will of voters in a desperate bid to keep the Republican in the White House after he lost to Democrat Joe Biden.

    Trump has denied any wrongdoing, and he characterizes the case — and three others he is facing — as efforts to hurt his 2024 presidential campaign. He has regularly used his Truth Social platform to single out prosecutors and others involved in his cases, and to continue to spread falsehoods that the 2020 election was stolen from him.

    In a post on Monday, Trump called the Fulton County district attorney “crooked, incompetent, & highly partisan.” He also attacked Kemp, whom he has long targeted for the governor’s refusal to intervene after the 2020 election. Kemp has been outspoken in pushing back against Trump, writing in social media last week: “The 2020 election in Georgia was not stolen.”

    Bond was also set Monday for three lawyers who were indicted along with Trump. For each of them, the bond for the RICO charge was set at $20,000, with varying amounts for the other charges they face. John Eastman and Kenneth Chesebro each had a bond set at $100,000.

    Bail bondsman Scott Hall, who was accused of participating in a breach of election equipment in rural Coffee County, had his bond set at $10,000. Another defendant, Georgia-based attorney Ray Smith, has been assessed a $50,000 bond. Smith is charged with helping organize fake electors for Trump and trying to sway Georgia lawmakers with false statements alleging election fraud.

    Other defendants include former White House chief of staff Mark Meadows; Trump attorney and former New York City Mayor Rudy Giuliani, and a Trump administration Justice Department official, Jeffrey Clark, who aided the then-president’s efforts to undo his election loss in Georgia.

    The Georgia indictment comes just two weeks after the Justice Department special counsel charged Trump in a separate case in a vast conspiracy to overturn the election. Besides the two election-related cases, Trump faces a federal indictment accusing him of illegally hoarding classified documents as well as a New York state case charging him with falsifying business records.

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  • Palo Alto Networks earnings, outlook top Street expectations as SEC cyberattack reporting rule drives demand

    Palo Alto Networks earnings, outlook top Street expectations as SEC cyberattack reporting rule drives demand

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    Palo Alto Networks Inc. shares rallied Friday after hours as the cybersecurity company topped expectations with its latest earnings, as well as with its forecasts for profit and billings, outlining that new reporting rules and AI-backed adversaries are driving adoption.

    The stock
    PANW,
    +1.02%

    was rallying more than 9% in the extended session, following a 1% gain in the regular session to close at $209.69.

    Palo Alto Networks forecast first-quarter adjusted earnings of $1.15 to $1.17 a share on revenue of $1.82 billion to $1.85 billion and billings of $2.05 billion to $2.08 billion. Analysts were estimating $1.11 a share on revenue of $1.93 billion and billings of $2.04 billion for the first quarter.

    For the year, the company expects $5.27 to $5.40 a share on revenue of $8.15 billion to $8.2 billion on billings of $10.9 billion to $11 billion. Analysts tracked by FactSet had been projecting $4.98 a share on revenue of $8.38 billion and billings of $10.81 billion for the year.

    The company defines billings as “total revenue plus the change in total deferred revenue, net of acquired deferred revenue, during the period,” and is a metric used to account for subscriptions.

    On the extended call with analysts, Nikesh Arora, the company’s chairman and chief executive, said that while strong fourth-quarter results did not come as a surprise, what did come as a surprise was the speed of adoption of its Cortex XSIAM AI-driven security platform, especially now that regulators are going to start requiring quick disclosures for material cyberattacks.

    Palo Alto Networks reported fiscal fourth-quarter net income of $227.7 million, or 64 cents a share, compared with $3.3 million, or a penny a share, in the year-ago period. Adjusted earnings, which exclude stock-based compensation expenses and other items, were $1.44 a share, compared with 80 cents a share in the year-ago period.

    Revenue rose to $1.95 billion from $1.55 billion in the year-ago quarter, while billings rose 18% to $3.2 billion. Analysts surveyed by FactSet had forecast $1.29 a share in adjusted earnings on revenue of $1.96 billion and billings of $3.18 billion.

    The company launched XSIAM in October, and set a goal of booking more than $100 million in the first year. Arora said that in less than a year, XSIAM has already brought in $200 million, indicating that interest in applying AI to enhance security is “very high.”

    In late July, the Securities and Exchange Commission adopted new rules requiring companies to disclose cyberattacks within four days of making the determination the intrusion has a material effect on results.

    “Our customers have told us loud and clear that the legacy products powering their stacks are no longer working and they need to reduce by an order of magnitude,” Arora told analysts. “This becomes increasingly important with the new SEC rules detailing that all public companies will be required to report material breaches within four business days.”

    On the call, Lee Klarich, Palo Alto Networks chief product officer, told analysts that it wasn’t long ago that the average time between an initial hack and stealing data was about 44 days. Now, that can happen in a matter of hours, which is a huge problem, Klarich said, noting that attackers are adopting AI to perform attacks.

    “On average the industry is able to respond and remediate attacks in about six days: That doesn’t work,” Klarich said. “And even more challenging now with the SEC new rules of being able to disclose within four days, none of the math adds up.”

    Five years ago, Palo Alto Networks was already in the middle of an M&A spree to transform itself from a firewall company to a multiproduct security platform, and showed no signs of slowing down until August 2021, when the company decided to report earnings without announcing an M&A deal, after having acquired 14 companies over the previous three-and-a-half years.

    Nvidia Corp.
    NVDA,
    -0.10%
    ,
    which also has a huge stake in AI, reports results after the bell on Wednesday.

    Palo Alto Networks is a new entrant to the S&P 500 index
    SPX,
    having gotten the nod in June. As of Friday’s close, Palo Alto Networks shares have gained 50.3% year to date, compared with a 12.4% gain on the ETFMG Prime Cyber Security exchange-traded fund
    HACK,
    a 13.8 % gain on the S&P 500, and a 27% rise on the tech-heavy Nasdaq Composite
    COMP.

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  • Appeals court rules to restrict abortion-pill access, but it will remain widely available for now

    Appeals court rules to restrict abortion-pill access, but it will remain widely available for now

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    A federal appeals court ruled Wednesday that access to the abortion pill mifepristone should be restricted, although the pill will remain widely available for now as the case moves through the appeals process.

    The opinion from a three-judge panel of the U.S. Fifth Circuit Court of Appeals said that mifepristone should remain available but with increased restrictions, effectively barring patients from accessing the pill by mail.

    In…

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  • Hawaiian Electric’s stock slides 26% as S&P downgrades credit to junk on risk from Maui wildfire lawsuits

    Hawaiian Electric’s stock slides 26% as S&P downgrades credit to junk on risk from Maui wildfire lawsuits

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    Hawaiian Electric Industries Inc.’s stock added to losses Tuesday, tumbling 26% after S&P Global Ratings downgraded its rating on the utility company to junk.

    S&P Global Ratings cut its rating on the company HE to BB- and placed it on CreditWatch negative, meaning the rating agency could downgrade it again in the near term.

    The devastating…

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  • Donald Trump indicted in Georgia election-interference case

    Donald Trump indicted in Georgia election-interference case

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    Former President Donald Trump was criminally indicted by a grand jury in Georgia’s Fulton County on Monday night in connection with a probe into his efforts to overturn the state’s results in the 2020 presidential election.

    The 41-count indictment against Trump and 18 of his associates, including Trump attorney Rudy Giuliani, then-White House chief of staff Mark Meadows and Trump adviser John Eastman, was handed to a judge in Atlanta around 9 p.m. Eastern after a daylong session by the Fulton County grand jury, and the details…

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  • Founder of failed crypto exchange FTX, Bankman-Fried, jailed in New York

    Founder of failed crypto exchange FTX, Bankman-Fried, jailed in New York

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    FTX founder Sam Bankman-Fried was sent to jail Friday to await trial after a bail hearing for the fallen cryptocurrency wiz left a judge convinced that he had repeatedly tried to influence witnesses against him.

    U.S. District Judge Lewis A. Kaplan ordered Bankman-Fried’s bail revoked after prosecutors said he’d tried to harass a key witness in his fraud case last month when he showed a journalist her private writings and in January when he reached out to the general counsel for FTX with an encrypted communication.

    His lawyers insisted he shouldn’t be jailed for trying to protect his reputation against a barrage of unfavorable news stories.

    Kaplan said he had concluded there was probable cause to believe Bankman-Fried had tried to “tamper with witnesses at least twice” since his December arrest.

    A defense lawyer said an appeal of the incarceration order would be filed and asked for an immediate stay of the order.

    The 31-year-old has been under house arrest at his parents’ home in Palo Alto, California, since his December extradition from the Bahamas on charges that he defrauded investors in his businesses and illegally diverted millions of dollars’ worth of cryptocurrency from customers using his FTX exchange.

    Bankman-Fried’s $250 million bail package severely restricts his internet and phone usage.

    Two weeks ago, prosecutors surprised Bankman-Fried’s attorneys by demanding his incarceration, saying he violated those rules by giving The New York Times the private writings of Caroline Ellison, his former girlfriend and the ex-CEO of Alameda Research, a cryptocurrency trading hedge fund that was one of his businesses.

    Prosecutors maintained he was trying to sully her reputation and influence prospective jurors who might be summoned for his October trial.

    Ellison pleaded guilty in December to criminal charges carrying a potential penalty of 110 years in prison. She has agreed to testify against Bankman-Fried as part of a deal that could lead to a more lenient sentence.

    Bankman-Fried’s lawyers argued he probably failed in a quest to defend his reputation because the article cast Ellison in a sympathetic light. They also said prosecutors exaggerated the role Bankman-Fried had in the article.

    They said prosecutors were trying to get their client locked up by offering evidence consisting of “innuendo, speculation, and scant facts.”

    Since prosecutors made their detention request, Kaplan has imposed a gag order barring public comments by people participating in the trial, including Bankman-Fried.

    David McCraw, a lawyer for the Times, had written to the judge, noting the First Amendment implications of any blanket gag order, as well as public interest in Ellison and her cryptocurrency trading firm.

    Ellison confessed to a central role in a scheme defrauding investors of billions of dollars that went undetected, McGraw said.

    “It is not surprising that the public wants to know more about who she is and what she did and that news organizations would seek to provide to the public timely, pertinent, and fairly reported information about her, as The Times did in its story,” McGraw said.

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