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Movies

Netflix Doc Accused of Using AI To Manipulate True Crime Story 8

Earlier this week, Netflix found itself embroiled in an AI scandal when Futurism spotted AI-generated images used in the Netflix documentary What Jennifer Did.. The movie's credits do not mention any uses of AI, causing critics to call out the filmmakers for "potentially embellishing a movie that's supposed to be based on real-life events," reports Ars Technica. An executive producer of the Netflix hit acknowledged that some of the photos were edited to protect the identity of the source but remained vague about whether AI was used in the process. From the report: What Jennifer Did shot to the top spot in Netflix's global top 10 when it debuted in early April, attracting swarms of true crime fans who wanted to know more about why Pan paid hitmen $10,000 to murder her parents. But quickly the documentary became a source of controversy, as fans started noticing glaring flaws in images used in the movie, from weirdly mismatched earrings to her nose appearing to lack nostrils, the Daily Mail reported, in a post showing a plethora of examples of images from the film. [...]

Jeremy Grimaldi -- who is also the crime reporter who wrote a book on the case and provided the documentary with research and police footage -- told the Toronto Star that the images were not AI-generated. Grimaldi confirmed that all images of Pan used in the movie were real photos. He said that some of the images were edited, though, not to blur the lines between truth and fiction, but to protect the identity of the source of the images. "Any filmmaker will use different tools, like Photoshop, in films," Grimaldi told The Star. "The photos of Jennifer are real photos of her. The foreground is exactly her. The background has been anonymized to protect the source." While Grimaldi's comments provide some assurance that the photos are edited versions of real photos of Pan, they are also vague enough to obscure whether AI was among the "different tools" used to edit the photos.
The Almighty Buck

Software Glitch Saw Aussie Casino Give Away Millions In Cash 16

A software glitch in the "ticket in, cash out" (TICO) machines at Star Casino in Sydney, Australia, saw it inadvertently give away $2.05 million over several weeks. This glitch allowed gamblers to reuse a receipt for slot machine winnings, leading to unwarranted cash payouts which went undetected due to systematic failures in oversight and audit processes. The Register reports: News of the giveaway emerged on Monday at an independent inquiry into the casino, which has had years of compliance troubles that led to a finding that its operators were unsuitable to hold a license. In testimony [PDF] given on Monday to the inquiry, casino manager Nicholas Weeks explained that it is possible to insert two receipts into TICO machines. That was a feature, not a bug, and allowed gamblers to redeem two receipts and be paid the aggregate amount. But a software glitch meant that the machines would return one of those tickets and allow it to be re-used -- the barcode it bore was not recognized as having been paid.

"What occurred was small additional amounts of cash were being provided to customers in circumstances when they shouldn't have received it because of that defect," Weeks told the inquiry. Local media reported that news of the free cash got around and 43 people used the TICO machines to withdraw money to which they were not entitled -- at least one of them a recovering gambling addict who fell off the wagon as the "free" money allowed them to fund their activities. Known abusers of the TICO machines have been charged, and one of those set to face the courts is accused of association with a criminal group. (The first inquiry into The Star, two years ago, found it may have been targeted by organized crime groups.)
Privacy

Hackers Are Threatening To Publish a Huge Stolen Sanctions and Financial Crimes Watchlist (techcrunch.com) 28

An anonymous reader shares a report: A financially motivated criminal hacking group says it has stolen a confidential database containing millions of records that companies use for screening potential customers for links to sanctions and financial crime. The hackers, which call themselves GhostR, said they stole 5.3 million records from the World-Check screening database in March and are threatening to publish the data online.

World-Check is a screening database used for "know your customer" checks (or KYC), allowing companies to determine if prospective customers are high risk or potential criminals, such as people with links to money laundering or who are under government sanctions.The hackers told TechCrunch that they stole the data from a Singapore-based firm with access to the World-Check database, but did not name the firm. A portion of the stolen data, which the hackers shared with TechCrunch, includes individuals who were sanctioned as recently as this year.

AI

UK To Deploy Facial Recognition For Shoplifting Crackdown (theguardian.com) 113

Bruce66423 shares a report from The Guardian, with the caption: "The UK is hyperventilating about stories of shoplifting; though standing outside a shop and watching as a guy calmly gets off his bike, parks it, walks in and walks out with a pack of beer and cycles off -- and then seeing staff members rushing out -- was striking. So now it's throwing technical solutions at the problem..." From the report: The government is investing more than 55 million pounds in expanding facial recognition systems -- including vans that will scan crowded high streets -- as part of a renewed crackdown on shoplifting. The scheme was announced alongside plans for tougher punishments for serial or abusive shoplifters in England and Wales, including being forced to wear a tag to ensure they do not revisit the scene of their crime, under a new standalone criminal offense of assaulting a retail worker.

The new law, under which perpetrators could be sent to prison for up to six months and receive unlimited fines, will be introduced via an amendment to the criminal justice bill that is working its way through parliament. The change could happen as early as the summer. The government said it would invest 55.5 million pounds over the next four years. The plan includes 4 million pounds for mobile units that can be deployed on high streets using live facial recognition in crowded areas to identify people wanted by the police -- including repeat shoplifters.
"This Orwellian tech has no place in Britain," said Silkie Carlo, director of civil liberties at campaign group Big Brother Watch. "Criminals should be brought to justice, but papering over the cracks of broken policing with Orwellian tech is not the solution. It is completely absurd to inflict mass surveillance on the general public under the premise of fighting theft while police are failing to even turn up to 40% of violent shoplifting incidents or to properly investigate many more serious crimes."
Bitcoin

Terraform Labs and Founder Do Kwon Found Liable In US Civil Fraud Trial (reuters.com) 12

Terraform Labs and its founder Do Kwon have been found liable on civil fraud charges on Friday by a jury in Manhattan. The jury agreed with the SEC that the two misled investors before their stablecoin's 2022 collapse shocked crypto markets around the world. Reuters reports: The SEC accused the company and Kwon of misleading investors in 2021 about the stability of TerraUSD, a stablecoin designed to maintain a value of $1. The regulator also accused them of falsely claiming Terraform's blockchain was used in a popular Korean mobile payment app. SEC attorney Laura Meehan said during closing arguments that the platform's success story was "built on lies." "If you swing big and you miss, and you don't tell people that you came up short, that is fraud," Meehan said.

Louis Pellegrino, an attorney for Terraform, told the jury on Friday the SEC's case relied on statements taken out of context and that Terraform and Kwon had been truthful about their products and how they worked, even when they failed. "Terraform is still out there, trying to rebuild and make purchasers whole," he said. The regulator is seeking civil financial penalties and orders barring Kwon and Terraform from the securities industry. Kwon, who was arrested in Montenegro in March 2023, did not attend the trial, which began March 25. Both the U.S. and South Korea, where Kwon is a citizen, have sought his extradition on criminal charges.

Network

Hospital Network Admin Used Fake Identity For 35 Years (thegazette.com) 88

An anonymous reader writes: Could you imagine discovering that your identity had been used to take out fraudulent loans and when you tried to resolve the issue by providing your state ID and Social Security card you were instead arrested, charged with multiple felonies, jailed for over a year, incarcerated in a mental hospital and given psychotropic drugs, eventually to be released with a criminal record and a judge's order that you could no longer use your real name? As dystopian as this might sound, it actually happened. And it was only after the victim learned his oppressor worked for The University of Iowa Hospital and contacted their security department was the investigation taken seriously leading to the perpetrator's arrest. The Gazette reports: Matthew David Keirans, 58, was convicted of one count of false statement to a National Credit Union Administration insured institution -- punishable by up to 30 years in federal prison -- and one count of aggravated identity theft -- punishable by up to two years in federal prison. Keirans worked as a systems architect in the hospital's IT department from June 28, 2013 to July 20, 2023, when he was terminated for misconduct related to the identity theft investigation. Keirans worked at the hospital under the name William Donald Woods, an alias he had been using since about 1988, when he worked with the real William Woods at a hot dog cart in Albuquerque, N.M. [...] By 2013, Keirans had moved to eastern Wisconsin. He started his IT job with UI Hospitals and worked remotely. He earned more than $700,000 in his 10 years working for the hospital. In 2023, his salary was $140,501, according to the hospital.

In 2019, the real William Woods was homeless, living in Los Angeles. He went to a branch of the national bank and explained that he recently discovered someone was using his credit and had accumulated a lot of debt. Woods didn't want to pay the debt and asked to know the account numbers for any accounts he had open at the bank so he could close them. Woods gave the bank employee his real Social Security card and an authentic California Identification card, which matched the information the bank had on file. Because there was a large amount of money in the accounts, the bank employee asked Woods a series of security questions that he was unable to answer. The bank employee called Keirans, whose the phone number was connected to the accounts. He answered the security questions correctly and said no one in California should have access to the accounts. The employee called the Los Angeles Police Department, and officers spoke with Woods and Keirans. Keirans faxed the Los Angeles officers a copy of Woods' Social Security card and birth certificate, as well as a Wisconsin driver's license Keirans had acquired under Woods' name. The driver's license had the name William David Woods -- David is Keirans' real middle name -- rather than William Donald Woods. When questioned, Keiran told an LAPD officer he sometimes used David as a middle name, but his real name was William Donald Woods. The real Woods was arrested and charged with identity theft and false impersonation, under a misspelling of Keirans' name: Matthew Kierans.

Because Woods continued to insist, throughout the judicial process, that he was William Woods and not Matthew Kierans, a judge ruled in February 2020 that he was not mentally competent to stand trial and he was sent to a mental hospital in California, where he received psychotropic medication and other mental health treatment. In March 2021, Woods pleaded no contest to the identity theft charges -- meaning he accepted the conviction but did not admit guilt. He was sentenced to two years imprisonment with credit for the two years he already served in the county jail and the hospital and was released. He was also ordered to pay $400 in fines and to stop using the name William Woods. He did not stop. Woods continued to attempt to regain his identity by filing customer disputes with financial organizations in an attempt to clear his credit report. He also reached out to multiple law enforcement agencies, including the Hartland Police Department in Wisconsin, where Keirans lived. Woods eventually discovered where Keirans was working, and in January 2023 he reached out to the University of Iowa Hospitals' security department, who referred his complaint to the University of Iowa Police Department.

University of Iowa Police Detective Ian Mallory opened an investigation into the case. Mallory found the biological father listed on Woods' birth certificate -- which both Woods and Keirans had sent him an official copy of -- and tested the father's DNA against Woods' DNA. The test proved Woods was the man's son. On July 17, 2023, Mallory interviewed Keirans. He asked Keirans what his father's name was, and Keirans accidentally gave the name of his own adoptive father. Mallory then confronted Keirans with the DNA evidence, and Keirans responded by saying, "my life is over" and "everything is gone." He then confessed to the prolonged identity theft, according to court documents.
The full story can be ready via The Gazette.
Youtube

YouTube Inspires 'True Crime Junkies' to Buy Sonar-Equipped Boat and Solve Cold-Case Mysteries (tampabay.com) 35

Described as a "non profit volunteer search team" on its official site, Sunshine State Sonar "found more than 350 cars in canals, ponds and waterways across Florida" in just the last two years, according to the Tampa Bay Times.

It's owned by two half brothers — "weekend fishermen turned amateur underwater detectives." [T]he true-crime junkies dive into cold cases, searching for the disappeared. Sometimes, they choose the cases themselves, following threads online. Other times, law enforcement asks for their help.

They have discovered remains of 11 missing people inside cars, giving answers to relatives who had spent years agonizing. One family, who thought their mom had left them, learned that she had driven off the road. Relatives of a missing teacher suspected his girlfriend — then found out he had been submerged in a canal for three years. And the son of a young mother who thought she had been murdered was relieved when her death proved a watery accident...

"It all started with YouTube," [Mike] Sullivan says. "I kinda got obsessed." A couple of years ago, he got into bingeing Adventures with Purpose, videos of a volunteer dive team in Oregon that searches for missing people. "Florida has so much water!" he told his wife. "I really need to do this...."

He didn't know how to scuba dive. He'd never longed to float through crystal water or over schools of colorful fish. But he got certified so he could swim through muddy channels and search waterlogged crime scenes. He bought a shallow-draft boat and outboard motor, rigged it with the latest fish-finding technology: a Lowrance SideScan sonar, a DownScan imaging device and a Garmin LiveScope. The machines send sound waves pulsing through the water, then record them as they bounce back to create a blurry image on a monitor — like a sonogram... The equipment cost Sullivan $21,000. It took him a year to be able to interpret the images, to tell a rock from a Volkswagen.

Thanks to Slashdot reader Hectar for sharing the article.
Crime

Sam Bankman-Fried Sentenced To 25 Years in Prison (washingtonpost.com) 143

Crypto entrepreneur Sam Bankman-Fried was sentenced Thursday to 25 years [non-paywalled link] in prison for a massive fraud that unraveled with the collapse of FTX, once one of the world's most popular platforms for exchanging digital currency. From a report: Bankman-Fried, 32, was convicted in November of fraud and conspiracy -- a dramatic fall from a crest of success. U.S. District Judge Lewis A. Kaplan imposed the sentence in the same Manhattan courtroom where, four months ago, Bankman-Fried testified that his intention had been to revolutionize the emerging cryptocurrency market with his innovative and altruistic ideas, not to steal.

Kaplan said the sentence reflected "that there is a risk that this man will be in position to do something very bad in the future. And it's not a trivial risk at all." He added that it was "for the purpose of disabling him to the extent that can appropriately be done for a significant period of time." Prior to sentencing, Bankman-Fried had said, "My useful life is probably over. It's been over for a while now, from before my arrest."

Crime

Nigerian Woman Faces Jail Time For Facebook Review of Tomato Sauce (techdirt.com) 72

An anonymous reader quotes a report from Techdirt: Nigeria doesn't exactly have a stellar reputation when it comes to respecting the speech rights of its own citizens, nor the rights of platforms that its citizens use. But I will admit that even with that reputation in place, I'm a bit at a loss as to why the country decided to arrest and charge a woman for violating those same laws because she wrote an unkind review of a can of tomato puree on Facebook: "A Nigerian woman who wrote an online review of a can of tomato puree is facing imprisonment after its manufacturer accused her of making a 'malicious allegation' that damaged its business. Chioma Okoli, a 39-year-old entrepreneur from Lagos, is being prosecuted and sued in civil court for allegedly breaching the country's cybercrime laws, in a case that has gripped the West African nation and sparked protests by locals who believe she is being persecuted for exercising her right to free speech."

By now you're wondering what actually happened here. Well, Okoli got on Facebook after having tried a can of Nagiko Tomato Mix, made by local Nigerian company Erisco Foods. Her initial post essentially complained about it being too sugary. So pretty standard fair for a review-type post on Facebook. When she started getting some mixed replies, some of them told her to stop trying to ruin the company and just buy something else, with one such message supposedly coming from a relative of the company's ownership. To that, she replied: "Okoli responded: 'Help me advise your brother to stop ki***ing people with his product, yesterday was my first time of using and it's pure sugar.'"

By the way, you can see all of this laid out by Erisco Foods itself on its own Facebook page. The company also claims that she exchanged messages with others talking about how she wanted to trash the product online so that nobody would buy it and that sort of thing. Whatever the truth about that situation is, this all stems from a poor review of a product posted online, which is the kind of speech countries with free speech laws typically protect. In Okoli's case, she was arrested shortly after those posts. [...] Okoli is pregnant and was placed in a cell during her arrest that had water leaking into it, by her account. She was also forced to apologize to Erisco Foods as part of her bond release, which she then publicly stated was done under duress and refused to apologize once out of holding. Okoli is also countersuing both Erisco Foods and the police, arguing for a violation of her speech rights.

Bitcoin

Binance Executive Detained In Nigeria Escapes Custody (apnews.com) 19

A top executive from the crypto exchange Binance has escaped custody in Nigeria after being arrested for allegedly destabilizing the country's national currency. The Associated Press reports: Nadeem Anjarwalla, the regional manager for Binance in Africa, "fled Nigeria using a smuggled passport," the office of Nigeria's National Security Adviser said in a statement, calling for "whatever information that can assist law enforcement agencies to apprehend the suspect." Anjarwalla, who holds dual British and Kenyan citizenship, had been detained in Nigeria along with another colleague since Feb. 26 when they arrived in the country following a crackdown on the crypto platform. Tigran Gambaryan, the colleague who is an American citizen, remains in captivity.

Nigeria is Africa's largest crypto economy in terms of trade volume with many citizens using crypto to hedge their finances against surging inflation and the declining local currency. Binance stopped all trading with the Nigerian naira currency on its platform in early March after authorities accused it of being used for money laundering and terrorism financing -- without providing evidence publicly. It was not clear how Anjarwalla fled custody. The Abuja-based Premium Times newspaper, which broke the news of his escape, reported that he fled from a guest house in the capital city after guards led him to a nearby mosque for prayers.
"The personnel responsible for the custody of the suspect have been arrested, and a thorough investigation is ongoing to unravel the circumstances that led to his escape from lawful detention," Zakari Mijinyawa, spokesman for the office of Nigeria's National Security Adviser said in a statement.
Crime

SWAT Team Raids Innocent Family Over Stolen AirPods, Inaccurate 'FindMy' App Tracking (boingboing.net) 164

A SWAT team in St. Louis County mistakenly raided the home of Brittany Shamily and her family, based on the inaccurate tracking of stolen AirPods by the "FindMy" app. The family is suing for damages stemming from embarrassment, unreasonable use of force, loss of liberty, and other factors. The Riverfront Times reports: Around 6:30 p.m. on May 26, Brittany Shamily was at home with her children, including an infant, when police used a battering ram to bust in her front door. "What the hell is going on?" she screamed, terrified for herself and her family. "I got a three-month-old baby!" Body camera footage from the scene shows Shamily come to the front door, her hands up, her face a mix of fright and utter confusion at the heavily armed folly making its way from her front porch into her foyer. "Oh my god," she says. The SWAT team was looking for guns and other material related to a carjacking that had occurred that morning. Their search didn't turn up any of that -- though it has led to a lawsuit, filed Friday, that may lead to a better public understanding of how county police decide whether to deploy a SWAT team or serve a search warrant in a less menacing manner. Because in this case, the police clearly made the wrong call.

The carjacking that led to the raid happened about 12 hours prior, 16 miles away, in south county. Around 6 a.m., two brothers were leaving the Waffle House on Telegraph Road near Jefferson Barracks when a group of six people pulled up outside the restaurant and carjacked them. Two of the carjackers took off in the brothers' Dodge Charger while the other four fled the scene in their own vehicles. St. Louis County Police were summoned to the scene. As part of their investigation, a friend of the carjacked brothers told police that his AirPods were in the stolen car and that he could track them using the "FindMy" application, a feature that lets users locate one Apple device using another. Police did just that and, according to the lawsuit, the app showed the AirPods to be at Shamily's house.

There was just one problem. "FindMy is not that accurate," says the family's lawyer, Bevis Schock. "I actually went to my house with my co-counsel and played around with it for an hour. It's just not that good." Yet based on the "FindMy" result, an officer signed an application for a search warrant saying he had reason to believe that "firearms, ammunition, holsters" and other "firearm-related material" were inside. That evening, police showed up in full combat gear carrying a battering ram. [...] While the family was detained outside, the SWAT team "ransacked" their house, the lawsuit says. One SWAT team member punched a basketball-sized hole in the drywall. Another broke through a drop ceiling. They turned over drawers and left what had been an orderly house in disarray. After this had gone on for more than half an hour, the AirPods were located -- on the street outside the family's home.
Unfortunately, this isn't the first time something like this has happened. In January 2022, SWAT teams in Denver raided an elderly woman's home after the "FindMy" app falsely pinged her home as the location of a stolen iPhone. The woman was recently awarded $3.76 million in compensation and damages.
The Courts

Judge Orders YouTube to Reveal Everyone Who Viewed A Video (mashable.com) 169

"If you've ever jokingly wondered if your search or viewing history is going to 'put you on some kind of list,' your concern may be more than warranted," writes Mashable : In now unsealed court documents reviewed by Forbes, Google was ordered to hand over the names, addresses, telephone numbers, and user activity of Youtube accounts and IP addresses that watched select YouTube videos, part of a larger criminal investigation by federal investigators.

The videos were sent by undercover police to a suspected cryptocurrency launderer... In conversations with the bitcoin trader, investigators sent links to public YouTube tutorials on mapping via drones and augmented reality software, Forbes details. The videos were watched more than 30,000 times, presumably by thousands of users unrelated to the case. YouTube's parent company Google was ordered by federal investigators to quietly hand over all such viewer data for the period of Jan. 1 to Jan. 8, 2023...

"According to documents viewed by Forbes, a court granted the government's request for the information," writes PC Magazine, adding that Google was asked "to not publicize the request." The requests are raising alarms for privacy experts who say the requests are unconstitutional and are "transforming search warrants into digital dragnets" by potentially targeting individuals who are not associated with a crime based simply on what they may have watched online.
That quote came from Albert Fox-Cahn, executive director at the Surveillance Technology Oversight Project, who elaborates in Forbes' article. "No one should fear a knock at the door from police simply because of what the YouTube algorithm serves up. I'm horrified that the courts are allowing this."

Thanks to long-time Slashdot reader schwit1 for sharing the article.
Bitcoin

Woman With $2.5 Billion In Bitcoin Convicted of Money Laundering (bbc.co.uk) 70

mrspoonsi shares a report from the BBC: A former takeaway worker found with Bitcoin worth more than $2.5 billion has been convicted at Southwark Crown Court of a crime linked to money laundering. Jian Wen, 42, from Hendon in north London, was involved in converting the currency into assets including multi-million-pound houses and jewelry. On Monday she was convicted of entering into or becoming concerned in a money laundering arrangement. The Met said the seizure is the largest of its kind in the UK.

Although Wen was living in a flat above a Chinese restaurant in Leeds when she became involved in the criminal activity, her new lifestyle saw her move into a six-bedroom house in north London in 2017 which was rented for more than $21,000 per month. She posed as an employee of an international jewelry business and moved her son to the UK to attend private school, the Crown Prosecution Service (CPS) said. That same year, Wen tried to buy a string of expensive houses in London, but struggled to pass money-laundering checks and her claims she had earned millions legitimately mining Bitcoin were not believed. She later travelled abroad, buying jewelry worth tens of thousands of pounds in Zurich, and purchasing properties in Dubai in 2019.

Another suspect is thought to be behind the fraud but they remain at large. The Met said it carried out a large scale investigation as part of the case - searching several addresses, reviewing 48 electronic devices, and examining thousands of digital files including many which were translated from Mandarin. The CPS has obtained a freezing order from the High Court, while it carries out a civil recovery investigation that could lead to the forfeiture of the Bitcoin. The value of the Bitcoin was worth around $2.5 billion at the time of initial estimates -- but due to the fluctuation in the currency's value, it has since increased to around $4.3 billion.

Technology

Researcher Who Oversaw Flock Surveillance Study Now Questions How It Was Done (404media.co) 12

samleecole writes: Last month, the surveillance company Flock Safety published a study and press release claiming that its automated license plate readers (ALPR) are "instrumental in solving 10 percent of reported crime in the U.S." The study was done by Flock employees, and given legitimacy with the "oversight" of two academic researchers whose names are also on the paper. Now, one of those researchers has told 404 Media that "I personally would have done things much differently" than the Flock researchers did.

The researcher, Johnny Nhan of Texas Christian University, said that he has pivoted future research on Flock because he found "the information that is collected by the police departments are too varied and incomplete for us to do any type of meaningful statistical analysis on them." Flock is one of the largest vendors of ALPR cameras and other surveillance technologies, and is partially responsible for the widespread proliferation of this technology. It markets its cameras to law enforcement, homeowners associations, property managers, schools, and businesses. It regularly publishes in-house case studies and white papers that it says shows Flock is instrumental in solving and reducing crime, then uses those studies to market its products.

United Kingdom

Nicholas Hawkes, 39, Becomes First in England To Be Jailed for Cyber Flashing (sky.com) 159

A man has been sentenced for cyber flashing in England for the first time. From a report: Nicholas Hawkes, 39, from Basildon in Essex, was jailed for 66 weeks at Southend Crown Court today after he sent unsolicited photos of his erect penis to a 15-year-old girl and a woman on 9 February. The older victim took screenshots of the offending image on WhatsApp and reported Hawkes to the police the same day.

Cyber flashing became a criminal offence in England with the passage of the Online Safety Act on 31 January. It has been a crime in Scotland since 2010. The offence covers the sending of an unsolicited sexual image to people via social media, dating apps, text message or data-sharing services such as Bluetooth and AirDrop. Victims of cyber flashing get lifelong anonymity from the time they report the offence, as it also falls under the Sexual Offences Act.

Government

Why Oregon's Drug Decriminalization Failed (msn.com) 194

In 2020 Oregon passed Measure 110, decriminalizing possession of small amounts of drugs.

But now "America's most radical experiment with drug decriminalization has ended," writes the Atlantic, "after more than three years of painful results." Oregon Governor Tina Kotek has pledged to sign legislation repealing the principal elements of the ballot initiative... Possessing hard drugs is again a crime in Oregon, and courts will return to mandating treatment for offenders. Oregonians had supported Measure 110 with 59 percent of the vote in 2020, but three years later, polling showed that 64 percent wanted some or all of it repealed...

More than $260 million were allocated to services such as naloxone distribution, employment and housing services, and voluntary treatment... Once drugs were decriminalized and destigmatized, the thinking went, those who wanted to continue using would be more willing to access harm-reduction services that helped them use in safer ways. Meanwhile, the many people who wanted to quit using drugs but had been too ashamed or fearful to seek treatment would do so. Advocates foresaw a surge of help-seeking, a reduction in drug-overdose deaths, fewer racial disparities in the health and criminal-justice systems, lower rates of incarceration, and safer neighborhoods for all...

Measure 110 did not reduce Oregon's drug problems. The drug-overdose-death rate increased by 43 percent in 2021, its first year of implementation — and then kept rising. The latest CDC data show that in the 12 months ending in September 2023, deaths by overdose grew by 41.6 percent, versus 2.1 percent nationwide. No other state saw a higher rise in deaths... Neither did decriminalization produce a flood of help-seeking. The replacement for criminal penalties, a $100 ticket for drug possession with the fine waived if the individual called a toll-free number for a health assessment, with the aim of encouraging treatment, failed completely. More than 95 percent of people ignored the ticket, for which — in keeping with the spirit of Measure 110 — there was no consequence. The cost of the hotline worked out to about $7,000 per completed phone call, according to The Economist. These realities, as well as associated disorder such as open-air drug markets and a sharp rise in violent crime — while such crime was falling nationally — led Oregonians to rethink their drug policy.

The article notes that Oregon was the first U.S. state to decriminalize marijuana back in 1973, and had long shown low rates of imprisonment for non-violent crimes (diverting offenders into so-called "drug courts" which could mandate treatment or order court-directed supervision). "However, after Measure 110 was passed and the threat of jail time eliminated, the flow of people into these programs slowed."

But "One thing Measure 110 got right, at least in principle, is that Oregon's addiction-treatment system was grossly underfunded," the article concludes. And it adds that the newly-passed law now "provides extensive new funding for immediate needs, including detox facilities, sobering centers, treatment facilities, and the staff to support those services."

They recommend other states adopt "adequately funded, evidence-based prevention and treatment" — and instead of punitive incarcerations, "use criminal justice productively to discourage drug use."
Crime

Sam Bankman-Fried Deserves 40-50 Years in Prison For FTX Fraud, Prosecutors Say (cnbc.com) 85

Sam Bankman-Fried should spend between 40 and 50 years in prison after being convicted for stealing $8 billion from customers of his now-bankrupt FTX cryptocurrency exchange, prosecutors said on Friday. From a report: "His life in recent years has been one of unmatched greed and hubris; of ambition and rationalization; and courting risk and gambling repeatedly with other people's money," federal prosecutors in Manhattan wrote. "And even now Bankman-Fried refuses to admit what he did was wrong." A jury found Bankman-Fried, 32, guilty in November on seven counts of fraud and conspiracy.

Lawyers for the former billionaire told U.S. District Judge Lewis Kaplan that a 5-1/4 to 6-1/2 year prison term would be appropriate. They said FTX clients would get most of their money back, and that Bankman-Fried did not set out to steal. Kaplan is scheduled to sentence Bankman-Fried on March 28 in Manhattan federal court. Bankman-Fried plans to appeal his conviction and sentence.

Bitcoin

Binance Executives Were Arrested In Nigeria For Allegedly Destabilizing Its Currency (qz.com) 31

Two top executives from the crypto exchange Binance have been arrested in Nigeria for allegedly destabilizing the national currency. Quartz reports: According to a Wall Street Journal report, Tigran Gambaryan, head of financial-crime compliance at Binance who previously worked at the U.S. Internal Revenue Service (IRS), and Nadeem Anjarwalla, a British-Kenyan national and Binance's regional manager for Africa, have been held against their will for the past two weeks in the country. As per reports, Nigerian government officials invited Binance executives to discuss an ongoing dispute about the world's largest crypto exchange allegedly driving down the value of their national currency. Gambaryan and Anjarwalla arrived in Nigeria on February 25th; after their meeting with government officials, both were taken to their hotels. Later, they were instructed to pack their belongings and move to a guesthouse run by Nigeria's National Security Agency, as stated by their families, per reports.

The Nigerian government has accused Binance of exacerbating the country's foreign exchange challenges through rate manipulation for profit. The authorities have also accused the crypto exchange of illegal operations and have restricted access to the company's website. There are also reports that Nigeria sought a $10 billion penalty from Binance for processing around $26 billion in untraceable funds in the country. [...] The reason why and how Nigeria's economic crisis is linked with Binance is yet to be found out. Binance is hoping to resolve the matter soon, according to CoinDesk.
The report notes that Nigeria is experiencing its worst economic crisis in recent years due to inflation and the devaluation of their currency, the naira.
The Media

Mock 'News' Sites With Russian Ties Pop Up in U.S. (rawstory.com) 199

An anonymous reader shared this story from the New York Times: Into the depleted field of journalism in America, a handful of websites have appeared in recent weeks with names suggesting a focus on news close to home: D.C. Weekly, the New York News Daily, the Chicago Chronicle and a newer sister publication, the Miami Chronicle. In fact, they are not local news organizations at all. They are Russian creations, researchers and government officials say, meant to mimic actual news organizations to push Kremlin propaganda by interspersing it among an at-times odd mix of stories about crime, politics and culture.

While Russia has long sought ways to influence public discourse in the United States, the fake news organizations — at least five, so far — represent a technological leap in its efforts to find new platforms to dupe unsuspecting American readers. The sites, the researchers and officials said, could well be the foundations of an online network primed to surface disinformation ahead of the American presidential election in November...

The Miami Chronicle's website first appeared on Feb. 26. Its tagline falsely claims to have delivered "the Florida News since 1937."

Amid some true reports, the site published a story last week about a "leaked audio recording" of Victoria Nuland, the U.S. under secretary of state for political affairs, discussing a shift in American support for Russia's beleaguered opposition after the death of the Russian dissident Aleksei A. Navalny. The recording is a crude fake, according to administration officials who would speak only anonymously to discuss intelligence matters.

From the Raw Story: The network was discovered by Clemson University's Media Forensics Hub by researchers Patrick Warren and Darren Linvill, who tell the Times that its websites are designed to lend journalistic credibility to slickly produced propaganda. "The page is just there to look realistic enough to fool a casual reader into thinking they're reading a genuine, U.S.-branded article," Linvill told the Times.
Transportation

America's Justice Department Opens Criminal Investigation Into Boeing's Window Blowout Incident (apnews.com) 64

America's Department of Justice "has launched a criminal investigation into the Boeing jetliner blowout that left a gaping hole on an Alaska Airlines plane," reports the Associated Press, citing a report from the Wall Street Journal.

"As part of the new investigation, the Justice Department has interviewed pilots and flight attendants on the flight..." the Journal reports. "Investigators have taken steps to begin notifying Alaska passengers on board during the Jan. 5 accident that they are potential crime victims in the case, according to a document viewed by The Wall Street Journal." The probe would inform the Justice Department's review of whether Boeing complied with an earlier settlement that resolved a federal investigation following two fatal 737 MAX crashes in 2018 and 2019. Investigations don't always result in formal charges of wrongdoing.

Separately, investigators with the Transportation Department's Inspector General's office in recent weeks have been seeking to interview Federal Aviation Administration officials in the Seattle area who oversee Boeing's manufacturing...

If the Justice Department finds that Boeing violated the terms of the 2021 settlement, the company could face prosecution on the original count of defrauding the U.S. Alternatively, the government could seek to extend the probationary, three-year agreement that requires Boeing to update the Justice Department on its compliance improvements.

In a related development, Boeing "has acknowledged in a letter to Congress that it cannot find records for work done on the door panel of the Alaska Airlines plane," reports the Associated Press: "We have looked extensively and have not found any such documentation," Ziad Ojakli, Boeing executive vice president and chief government lobbyist, wrote to Sen. Maria Cantwell on Friday. The company said its "working hypothesis" was that the records about the panel's removal and reinstallation on the 737 MAX final assembly line in Renton, Washington, were never created, even though Boeing's systems required it.
Not having the documents "raises concerns about quality assurance, quality management safety management systems within Boeing," said the chair of the National Transportation Safety Board earlier this week.

"This is a serious, potentially illegal, lapse in standard aviation manufacturing quality processes," reports the Seattle Times.

Meanwhile, America's National Transportation Safety Board is also investigating a United Airlines Boeing 737-8 flight "that last month experienced 'stuck' rudder pedals," reports Axios, "after touching down in Newark, per a preliminary report released Thursday." The captain reported that during the landing rollout, which is after touchdown but before the plane slows to taxi speed, the pedals did not respond to foot pressure and remained stuck. "The captain used the nosewheel steering tiller to keep the airplane near the runway centerline while slowing to a safe taxi speed before exiting the runway onto a high-speed turn-off," the report states.

Shortly after, the rudder pedals began to operate normally, the captain said. There were no injures and the airplane was removed from service for maintenance and troubleshooting. An inspection found no obvious malfunctions, said the National Transportation Safety Board. After removing the rudder system components, United conducted a second flight test and found the rudder controls operated normally, per the report. "With coordination with United, the issue was successfully resolved with the replacement of three parts and the airplane returned to service last month," Boeing said in a statement, adding that this is the only report of such an issue that they've received for the 737 MAX fleet.

The investigation is ongoing.

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