Terra Firma loses EMI court case

Lily AllenEMI is home to a number of well-known artists, including Lily Allen
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A US jury has ruled that investment bank Citigroup did not trick UK private equity firm Terra Firma into paying an inflated price for music group EMI.

Terra Firma, led by Guy Hands, paid £4.2bn ($6.7bn) for EMI in 2007.

Mr Hands argued Citi led him to believe other parties were interested in EMI, and that the company is worth only three-quarters of what he paid for it.

He may now be forced to hand ownership over to Citi, who provided £2.6bn in loans for the deal.

Following the New York jury’s decision, Terra Firma said it believed “this was an important action to bring and that we had a repsonsibility to our investors to bring it”.

Key to the outcome of the case were a series of phone calls between Mr Hands and David Wormsley, Citi’s main financial adviser on the deal.

Mr Hands had accused of Mr Wormsley of misleading him concerning other bidders for EMI.

While testifying in court last week, Mr Wormsley said he did not remember the calls.

Following the verdict, Citigroup’s lawyer Theodore Wells said: “I think Mr Wormsley was put through a terrible ordeal and he was totally innocent… It was a travesty he had to be put through this”.

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Many die in Costa Rica landslide

Volunteers search for landslide victims in the San Antonio de Escazu districtParts of Costa Rica have seen three times the average rainfall for the whole of November in just a few days
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A landslide in Costa Rica caused by heavy rain has killed at least 20 people in a suburb of the capital, San Jose, officials say.

A number of people are still missing following the landslide in the western district of San Antonio de Escazu.

A hillside gave way, sending tons of rock and earth onto the houses below.

The Costa Rican government is considering declaring a national emergency.

Rescuers were searching for survivors in the district, where poor people live in shanty dwellings alongside much more upmarket homes.

The area is popular with hikers and rock climbers.

President Laura Chinchilla requested help from neighbouring countries to reach remote areas of the country that have been flooded by the storm.

She said the downpour was likely to continue into Friday.

“The important thing now is to be thinking of the victims’ families,” she told a news conference.

Hundreds of people in the capital and along the Pacific coast have been moved to temporary accommodation because of the flooding.

National Emergency Commission President Vanessa Rosales said the rains may have had damaged several major coffee-growing areas in Costa Rica’s highlands.

The National Meteorological Institute said that since Tuesday the equivalent of three times the average rainfall for the whole of November had been recorded in the Pacific area.

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Jet searched after Mumbai landing

Delta Airlines jet. File picDelta requested a rescreening of cargo on landing at Mumbai

A Delta Airlines flight from Amsterdam has been evacuated and searched after landing at Mumbai airport in western India.

Flight 70 was taken to a secure area after reports of suspicious cargo in the hold.

The flight was reportedly carrying 244 passengers.

A Delta employee in Amsterdam had informed the pilot about the unidentified object in the cargo hold, officials said.

The plane touched down at 2300 local time (0530GMT).

A Delta spokesman said: “Upon landing in Mumbai, we requested a precautionary rescreening of a cargo shipment on board flight 70. All passengers were safely deplaned and we are cooperating with authorities in their assessment.”

Airport spokesman Manish Kalghatgi told Associated Press news agency the plane was being inspected by bomb squads and airport security officials.

Mumbai (Bombay) airport is continuing to operate normally, he said.

Airports remain on high alert following the discovery of two parcel bombs sent from Yemen last week.

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Police arrest Mexican drug ring

Map The cell is believed to have smuggled drugs from Michoacan to Atlanta
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Police in the United States have arrested 45 people they accuse of belonging to the Mexican drug cartel La Familia Michoacana.

Agents also seized cash, guns and drugs as part of their operation against the cell, based in Atlanta, Georgia.

Police said the city had become a major drug distribution centre, from where drugs were being shipped to neighbouring states.

But they said the arrests would disrupt the cartel’s operation in Atlanta.

Justice officials said those arrested would be charged with conspiracy to traffic drugs, money laundering and possession of firearms, among other things.

The agents said they seized 23kg (50lb) of methamphetamine, 43kg of cocaine and more than 2,000kg of marijuana, amounting to a street value of $10m (£6.14m).

Senior agent in the US Drug Enforcement Administration John Comer warned that while the operation to dismantle this particular cell had been successful, it was just one of many operating in the Atlanta area.

“Mexican cartels such as La Familia Michoacana have collectively become the most powerful drug trafficking organisations in the world, and have an impact on the United States,” he said.

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Bonfire Night strike called off

A picket line during Monday's fire strikeThere were two strikes in two weeks by fire crews at the end of October and start of November
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A 47-hour strike by London firefighters, which was to include Bonfire Night, has been called off, London Fire Brigade (LFB) has said.

But Fire Brigades’ Union (FBU) General Secretary Matt Wrack said he could not yet confirm it had been cancelled.

Both the FBU and LFB managers will attend an independently chaired panel on 16 November to discuss their differences.

The walkout was due to run from 1000 GMT on Friday until 0900 GMT on Sunday.

The FBU had put a plan to the LFB which it said would allow the industrial action to be averted.

The union said its offer followed fears about public safety on Bonfire Night and the abilities of stand-in crews employed to cover for striking staff.

More than 5,500 firefighters were due to take part in the strike.

The original compromise agreement of an 11-hour day shift and a 13-hour nightshift has been agreed by both parties as a possible way forward.

This will be discussed in more detail during the talks.

The FBU has been claiming its members face the sack unless they agree to sign new contracts in which their shift patterns are changed.

On Thursday afternoon it called on the LFB to put back its deadline on the contracts and make a decision in the new year, rather than later this month as had been planned.

“We have listened to the concerns about public safety and we have watched the work of the private contractors who are supposed to protect Londoners with mounting concern,” said Matt Wrack, the FBU’s general secretary.

Earlier on Thursday, LFB was granted a High Court injunction so contract firefighters could work unhindered.

The court order would let stand-in crews employed by private firm AssetCo enter and leave fire stations without being stopped by picketers.

The LFB said during Monday’s eight-hour strike, contract staff had been obstructed at the nine stations they were using.

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Carrier costs revealed in letter

Computer generated image of aircraft carrier The future of the carriers contract had been under review by the UK government
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The Treasury has published a letter which confirms that cancelling one of two aircraft carriers would have cost hundreds of millions of pounds more than building both ships.

It would also have led to the closure of the last two shipyards on the Clyde with thousands of job losses.

The letter, from BAE Systems to David Cameron, was written during negotiations over the defence review.

Both carriers will cost £5.2bn but just one would have cost almost £5.5bn.

The letter outlines cancellation costs and penalty clauses.

BAE also warned the prime minister that cancellation would have led to the closure of three shipyards – including the last two on the Upper Clyde – by 2013, with the loss of more than 5,000 jobs.

MPs have criticised the original deal.

The SNP said Labour ministers allowed the UK to “sleepwalk” into a contract.

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£100k ‘found in dissident search’

Mark SimpsonBy Mark Simpson

Newtownhamilton bomb sceneThe report discussed dissident republican activity
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A report into paramilitary violence in Northern Ireland has revealed that police found £100,000 in a County Armagh house being used by dissident republicans.

The details are in an Independent Monitoring Commission (IMC) report.

On Thursday the British and Irish governments announced on that the commission will stop its work after its next report.

The IMC was set up six years ago to monitor paramilitary groups in NI.

The latest report covers the six-month period from March to August this year and is the 25th report by the IMC.

The report said that in May, the police discovered £100,000 in a house in Lurgan which the IMC said they believe “was meant for dissident use”.

The report notes that the threat from dissident republican groups is said to be “substantial” given the range and frequency of their violence in the past six months.

The number of improvised explosive devices used by dissidents has doubled compared to last year. And four times as many have detonated.

The IMC said: “Of the groups the two factions of RIRA (Real IRA) especially Oglaigh na hEireann (ONH), were by far the most active and dangerous.

“It is however essential to keep things in perspective. It remains our view, as we said in our report six months ago, that in terms of weapons, money, personnel and support, the present dissident campaign in no way matches the range and tempo of the PIRA campaign of the Troubles.

“The high level of dissident activity would undoubtedly have led to many more deaths, injuries and destruction had it not been for the operations of the law enforcement and security agencies north and south and their ever close cross-border co-operation.

“In the north and south combined, some three times the number of dissidents have been charged with terrorist offences including membership, from January to October 2010 as in the whole of 2009, and the number of arrests nearly doubled.”

The report also said that dissidents have been:

training new members in a variety of skills, including bomb-makingrecruiting new members, mostly young malesseeking to acquire more weapons

The latest analysis gives a positive report of the IRA and said that rather than being involved in violence it has been trying to stop it.

The IMC notes the efforts of senior figures in the republican mvoesment to try to control the disorder which took place in north Belfast during the Twelfth of July parades this year.

In terms of loyalist groups, the IMC found that the UDA has continued recruitment even though it remains committed to the peace process.

The report states: “We are aware of attempts to justify this on the basis that it would be better to draw such people in than to leave them outside the organisation, where they might be attracted to other loyalist affiliations.

Dissident fund-raising activitiescigarette smugglingrobberiesextortionfuel laundering’tiger kidnapping’

“However, any recruitment to the UDA is inconsistent with an organisation which is going out of business as a paramilitary group.”

As for the UVF, there is evidence of some continued paramilitary activity.

The report states: “During the period under review we believe that there has been some gathering of intelligence about people believed to be dissident republicans and that this has been with the sanction of the leadership.

“Some members have discussed the acquisition of weapons, though this is without sanction and not part of any plan.”

Their next IMC report is due to be released in the spring of next year and will be its last.

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Siege ‘lyrics’ officer suspended

Mark SaundersMark Saunders died after a five-hour stand off at his home in Chelsea in May 2008
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A Metropolitan Police firearms officer has been suspended while an inquiry considers claims he included song lyrics in his testimony at an inquest.

The officer, known only as “AZ8”, gave evidence to the inquest into the shooting of barrister Mark Saunders in an armed siege in west London in 2008.

The officer is accused of littering his testimony with song titles by acts such as George Michael and Duran Duran.

Mr Saunders, 32, died after he fired shots from his home in Chelsea.

The Independent Police Complaints Commission (IPCC) is leading the investigation.

The officer was reprimanded when evidence of his actions emerged during the inquest at Westminster Coroner’s Court, which came to a conclusion on 7 October when a jury ruled Mr Saunders’ death was lawful.

A spokesman for the Met said: “On 28 October, 2010, the matter came to the attention of senior officers who felt a reprimand was insufficient.

“The Metropolitan Police Service takes this matter extremely seriously as we expect the highest standards of all of our staff.”

The IPCC said it would now manage a further police inquiry into what effect this had on the officer’s testimony, on proceedings overall and how the Metropolitan Police dealt with it.

AZ8 used the phrases “point of no return”, which is also the title of a song by Duran Duran, and “line of fire”, the name of a song recorded by rock band Journey.

He also said “first time”, the title of a 1988 number one by Robin Beck, “enough is enough”, the subtitle of hit single No More Tears by Barbra Streisand and Donna Summer, and “you have got to have faith”, a line from the chorus of Faith, a George Michael hit from 1987.

But the IPCC said it would not confirm if it was looking into specific phrases as part of its investigation.

The matter was referred to the IPCC on 29 October, a month after the officer gave evidence under oath.

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YouTube removes ‘terror videos’

Anwar al-AwlakiMr Awlaki is said to be a particularly effective al-Qaeda recruiter
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YouTube has removed videos by a radical American-born Yemeni Islamist cleric after complaints from the US and UK.

The site said hundreds of clips of Anwar al-Awlaki’s calls to jihad violated a ban on hate speech and incitement to violence, media reported.

The move came less than a week after authorities intercepted air cargo bombs sent from Yemen to the US in a plot linked to Mr Awlaki.

The US has named Mr Awlaki a “specially designated global terrorist”.

Investigators have linked Mr Awlaki to the US army base killings in Fort Hood, Texas, last year’s Christmas airline bomb attempt, and the failed Times Square bombing in New York.

US officials say he is a leader of al-Qaeda in the Arabian Peninsula, an offshoot of the militant network based in Saudi Arabia and Yemen.

A YouTube spokeswoman told the New York Times the company tried to balance its commitment to free speech with the need to prevent calls to violence.

“These are difficult issues,” Victoria Grand wrote in an e-mail, “and material that is brought to our attention is reviewed carefully.

“We will continue to remove all content that incites violence according to our policies. Material of a purely religious nature will remain on the site.”

Last month, investigators working for New York Congressman Anthony Weiner, a Democrat, reported finding more than 700 videos in which Mr Awlaki appeared. The clips had garnered more than 3.5m hits.

Mr Weiner said there was no reason why Awlaki and others should be given “access to one of the world’s largest bully pulpits so they can inspire more violent acts within our borders, or anywhere else in the world”.

UK Security minister Baroness Neville-Jones is said recently to have told Washington officials that American websites hosting al-Qaeda videos inciting murder would be banned in the UK.

‘Sermons inspired’

Mr Awlaki, an American-born cleric of Yemeni descent, is said to be a on CIA hit list authorised by President Barack Obama. In July, the US Treasury Department put Mr Awlaki on its terrorism blacklist and imposed financial sanctions on him.

US officials say Mr Awlaki helped recruit Umar Farouk Abdulmutallab, the Nigerian accused of attempting to blow up an airliner as it flew into Detroit on 25 December 2009.

Maj Nidal Hasan, the US Army psychiatrist accused of killing 13 comrades in the Fort Hood shooting last year, sought religious advice from Mr Awlaki and saw him preach in the US state of Virginia in 2001, US officials say.

A student found guilty of attempting to murder MP Stephen Timms in east London was said to have been inspired by Mr Awlaki’s online sermons.

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France wins Chinese deals bonanza

Hu Jintao (file picture)French officials say Hu Jintao will commit billions of euros to contracts
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France’s President Nicolas Sarkozy is set to honour his Chinese counterpart with extravagant state events as he arrives to seal huge business deals.

Hu Jintao is expected to sign billions of euros-worth of contracts with Airbus and French firms including oil firm Total and nuclear engineer Areva.

France will roll out the red carpet with full military honours and a state dinner.

But activists complain that China’s human rights record will be ignored.

Unusually, for a three-day state visit, there will not even be a joint press conference between the presidents, giving Western journalists the opportunity to question Mr Hu on issues like Tibet, press freedom and the imprisonment of dissidents.

Business deals are the firm focus of the trip.

A presidential aide told the AFP news agency that the total value of the deals signed would be massive – “far greater than during any previous visit by European leaders to Beijing or by Chinese leaders abroad”.

France has made great efforts to patch up its relationship with China after they nosedived two years ago.

Following a crackdown on Tibetan protesters in March 2008, President Sarkozy came close to boycotting the opening ceremony of the 2008 Beijing Olympics.

Tibet activists protest in Paris, 2008China’s crackdown in Tibet sparked protests in France in 2008

He eventually decided to attend, but incensed Beijing later that year when he met the Tibetan spiritual leader, the Dalai Lama.

China called off a summit with the EU and high-level contacts with France in protest.

But the two countries patched up ties last year and Mr Sarkozy seems determined to give Mr Hu a warm welcome, meeting him personally at Orly airport.

Then the two men will inspect a military guard and drive through Paris with a mounted military escort. There will be a state dinner with their wives on Thursday evening, a visit to the Arc de Triomphe, and then a cosy Provencal meal at a restaurant in Nice on Friday.

Between all these events there will be several meetings with business leaders and contract-signing ceremonies.

On Thursday morning the Franco-American telecoms giant Alcatel-Lucent said it was to sign a 770m-euro (£680m) deal with three Chinese operators – China Mobile, China Telecom and China Unicom.

The Chinese are also expected to purchase Airbus aircraft, and finalise a contract between French insurance firm Axa and the Industrial and Commercial Bank of China.

Mr Sarkozy will also be keen to address the issue of trade imbalances, amid rising concern around the world that China is keeping its currency artificially low.

Mr Sarkozy is hoping to negotiate a deal on currency reform during France’s presidency of the G20, which begins next week.

From France, Mr Hu will travel on to Portugal on Saturday.

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