Taliban Claim Responsibility for Fatal Bombing in Pakistan





DERA ISMAIL KHAN, Pakistan (AP) — A bombing claimed by the Taliban killed at least six people and wounded about 90 others in a religious procession in northwestern Pakistan on Sunday, the police said, as Shiite Muslims observed the annual Ashura holiday.




Since Wednesday, at least 31 people have been killed in bombings aimed at Pakistani Shiites and claimed by the Taliban, who espouse an extremist interpretation of Sunni Islam. More than 100 people were wounded in the attacks just before the holiday, which commemorates the death of the Prophet Muhammad’s grandson in the seventh century. The schism between Sunnis and Shiites dates back to that time.


Sunday’s explosion went off as hundreds of Shiites were passing through the main intersection of the city of Dera Ismail Khan, the police said, where food and water stalls were set up to serve the crowd. An initial investigation suggested that a bomb was planted near a shop along the procession route. “The bomb contained about eight kilograms of explosives and steel balls, and was detonated with a remote-control device,” said the city’s police chief, Sohail Khalid.


Several of the wounded were in serious condition, said Dr. Faridullah Mahsud, an official at the city’s hospital, who added that three members of a paramilitary unit providing security for the procession were among the wounded.


Dr. Khalid Aziz, the top official at the hospital, put the death toll at six.


Read More..

Building Start-Ups Using Stars’ Social Media Ties to Fans


You might have heard Jessica Alba on daytime TV talking about her new e-commerce company, which sells diapers and other baby supplies, or seen Kim Kardashian pitching her online shoe store in the tabloids.


The man behind the companies, Brian Lee, is far from a household name. Yet in the world of tech start-ups, he is an emerging force.


Mr. Lee, a lawyer turned entrepreneur, has a simple formula: partner with a celebrity that fans associate with a certain product, whether stilettos or baby supplies. He first did it in 1999, when he cold-called Robert Shapiro, O.J. Simpson’s lawyer, and persuaded him to join him at his first start-up, LegalZoom, for creating your own legal documents.


Hiring a famous face to represent your brand is the oldest marketing trick in the book. But Mr. Lee is doing it with an Internet twist. He uses celebrities’ social media connections with fans, coupled with recent innovations in e-commerce, to sell things in ways that were not possible just a few years ago.


The Honest Company, Ms. Alba’s start-up selling eco-friendly baby supplies, has raised $27 million from investors, including Lightspeed Venture Partners. ShoeDazzle, Ms. Kardashian’s shoe company, has raised $66 million from Andreessen Horowitz, Lightspeed and others. But despite this investment, it has recently struggled, replacing its chief executive, laying off employees and raising bigger questions about the new breed of subscription e-commerce companies.


E-commerce is going through a shift, as retailers move beyond publishing print catalogs online to creating new business models for the Web. According to the National Venture Capital Association, venture capitalists invested $2.2 billion in e-commerce start-ups last year, almost three times as much as the year before and more than they have invested since the first Internet boom, which created Amazon.com and eBay.


Mr. Lee’s companies tap the latest e-commerce trends, including selling monthly subscriptions, using software algorithms to determine personal style suggestions and eliminating middlemen by designing products in-house and selling them directly to consumers.


“Given the choice between shopping at a boutique or warehouse, if the styles were right, which would my wife choose?” Mr. Lee said, describing the strategy behind ShoeDazzle and Honest. “A large group of women would choose that kind of curated boutique.”


At Honest, customers sign up for monthly deliveries of diapers festooned with anchors or hearts as well as items like shampoo and detergent, each formulated in-house to reduce chemicals. Ms. Alba conceived the idea, along with Christopher Gavigan, former chief of the nonprofit Healthy Child Healthy World, and turned to Mr. Lee for a business model.


When ShoeDazzle was founded in 2009, it was the first of a flurry of subscription e-commerce start-ups. The shoes, generally $39.95, are suggested based on the results of a style quiz the customer takes. They are designed by ShoeDazzle and manufactured at the same factories that big shoe brands use.


But ShoeDazzle has been struggling with that model, and analysts say that could foreshadow problems for its many imitators, which, in addition to Honest, include Birchbox for cosmetics, Wittlebee for children’s clothing, JustFab for shoes and handbags, and BeachMint, which has sites for jewelry, T-shirts, skin care, shoes, home décor and lingerie. Earlier this month, Walmart joined the trend, introducing a monthly subscription box of food called The Goodies Company.


“Subscriptions were the hot trend in the last year, but I think some of that energy has really flattened,” said Sucharita Mulpuru, an e-commerce analyst at Forrester.


While subscriptions have worked well at companies like Amazon.com and Diapers.com for necessities like toilet paper and diapers, shoppers might find it harder to justify a recurring credit-card charge for colorful suede booties.


ShoeDazzle switched to a nonsubscription model this year, so shoppers log on whenever they are in the mood to shop instead of receiving monthly boxes. In September, the company replaced its chief executive, Bill Strauss, with Mr. Lee. He laid off 20 of its 220 employees and cut expenses like corporate apartments. Both Honest and ShoeDazzle are capital-intensive because they design, store and ship their own inventory.


“We lost our way,” said Jeremy Liew, managing director of Lightspeed Venture Partners. “But there’s real value in this company and customers love the product.”


Mr. Lee said ShoeDazzle would approach $100 million in revenue this year and become profitable next year. Honest is not yet a year old, but its founders say it has proved popular with shoppers. Mr. Lee is the right person for the job, Mr. Liew said, because he has a Hollywood sensibility that Bay Area executives lack.


Read More..

Chia Seeds Gain Popularity for Nutritional Benefits





First there were Chia Pets; now there are chia people.




Ubiquitous in television ads that began 30 years ago, Chia Pets were called “the pottery that grows.” Mixing chia seeds and water on the outside of an animal-shaped terra-cotta figurine produces a plant resembling green hair almost overnight.


Now, chia is having a second life as a nutritional “it” item. Whole and ground chia seeds are being added to fruit drinks, snack foods and cereals and sold on their own to be baked into cookies and sprinkled on yogurt. Grown primarily in Mexico and Bolivia, chia, like fish, is rich in omega-3 fatty acids, though of a different sort. It also has antioxidants, protein and fiber. Recognition of its nutritional value can be traced as far back as the Aztecs.


Companies like Dole and Nature’s Path have introduced chia products, which have begun showing up on shelves in mainstream grocery stores like Ralphs, Vons and Albertsons. Mintel, a market research firm, counted 100 products containing chia in a presentation it did in March on the potential of increasing the use of the seeds in dairy products.


“About two years ago, our retailers came to us and said, ‘We need you to be in this business everyone is talking about, the business of chia seeds,’ ” said Michael P. Hirsch, vice president of Joseph Enterprises, which sells Chia Pets and other novelty products and has now added chia seeds and milled chia called — what else? — Ch-Ch-Ch-Chia Omega.


Last spring, high demand collided with weather patterns that depressed production, raising prices and the awareness that chia had moved beyond the realm of health food stores into the broader market.


Janie Hoffman, founder of Mamma Chia fruit juices, was one of the first people to recognize chia’s potential as a food. She was complaining about flax seed — “I hate how you have to grind it and then it goes rancid” — to a friend, who asked why she wasn’t using chia instead. “She said it had no taste, it’s high in antioxidants, huge in omega-3, a far superior seed,” Ms. Hoffman said. “In short, she made me feel like an idiot — no one was using flax seed anymore.”


So she bought some chia seeds online and was quickly sold on their benefits. “I started incorporating it into everything I was eating,” she said. “Stir fries, yogurt, beverages — there really wasn’t anything in my kitchen that didn’t have chia in it.”


In 2009, Ms. Hoffman developed fruit juices with chia seeds suspended in them. (Exposure to liquid gives the seeds a sticky, gelatinous coating, which is how they bond to the terra-cotta pets.)


“My first sales call a year and a half later was to Whole Foods in the southern Pacific region,” she said. “I walked in to meet the buyer and presented this chia beverage and said I would like it to go into a few stores. She said, ‘No, I want you in all of them’ ” — about 40 stores — “and that was that.”


Within 11 months, Mamma Chia products were in Whole Foods stores across the nation, as well as in hundreds of bodegas and health and natural foods stores. They are now sold in Ralphs and Vons stores and will soon be in Albertsons.


“I personally think demand for it will grow for sure, though how big it will get is still a question,” said Brad C. Bartlett, president of Dole Food Company’s packaged foods business.


Dole chose chia as the first ingredient it would promote in its new Nutrition Plus line of products, which aim to provide a functional benefit to consumers. It won out over other candidates, Mr. Bartlett said, because of its long history as a source of nutrition — the Aztecs used it for many purposes — and because it does not require much processing to confer its benefits.


The company does independent clinical testing on each product in the Nutrition Plus line to back up claims it makes about their health benefits, and it was surprised by one finding: significantly more alpha-linolenic acid in omega-3 reached the bloodstream and was converted into eicosapentaenoic acid, a long-chain fatty acid considered good for the heart, when the seeds were milled rather than whole.


“That came as quite a surprise, and we stopped the rollout and reformulated our clusters to use milled chia instead of whole seeds,” Mr. Bartlett said, referring to Dole’s Chia & Fruit Clusters.


Nature’s Path, an organic cereal company, introduced its first chia-laced cereal, Apple Crumble Love Crunch, last December, and now has eight products that include the seed in some form. “Business has been great with these products — overwhelmingly positive and, perhaps surprisingly, not just in health food stores but also in regular grocery stores,” said Arjan Stephens, executive vice president of sales and marketing at Nature’s Path.


Mr. Stephens said chia’s nutritional attributes, along with its many uses in food processing, could turn it into a staple. “It can be used in gluten-free breads or waffles to add fluffiness or to replace eggs in vegan products,” he said. “It offers an alternative to those with nut allergies.”


Mr. Hirsch, the Joseph Enterprises vice president, was less certain that chia would be a blockbuster, even though his company is adding protein bars to its line of edible chia products, which are sold in Walgreens, CVS and other drugstores. He said he was concerned about the supply of chia seeds, which are harvested once a year and grown in rotation, usually with corn.


Australia has recently joined Mexico and Bolivia in the chia-production act with its own type of seed that is grown somewhat differently, Mr. Hirsch said. But it is a difficult crop to grow outside of the traditional areas, and the market is tiny, about $70 million.


“Everybody is looking at this because everybody is always looking for something new,” Mr. Hirsch said. “I also know from the sales at this point it’s a niche market still, and we don’t know how big the niche is yet.”


If that niche fails to expand, there will always be another Chia Pet. This year, Chia Hello Kitty is joining the lineup.


Read More..

Chia Seeds Gain Popularity for Nutritional Benefits





First there were Chia Pets; now there are chia people.




Ubiquitous in television ads that began 30 years ago, Chia Pets were called “the pottery that grows.” Mixing chia seeds and water on the outside of an animal-shaped terra-cotta figurine produces a plant resembling green hair almost overnight.


Now, chia is having a second life as a nutritional “it” item. Whole and ground chia seeds are being added to fruit drinks, snack foods and cereals and sold on their own to be baked into cookies and sprinkled on yogurt. Grown primarily in Mexico and Bolivia, chia, like fish, is rich in omega-3 fatty acids, though of a different sort. It also has antioxidants, protein and fiber. Recognition of its nutritional value can be traced as far back as the Aztecs.


Companies like Dole and Nature’s Path have introduced chia products, which have begun showing up on shelves in mainstream grocery stores like Ralphs, Vons and Albertsons. Mintel, a market research firm, counted 100 products containing chia in a presentation it did in March on the potential of increasing the use of the seeds in dairy products.


“About two years ago, our retailers came to us and said, ‘We need you to be in this business everyone is talking about, the business of chia seeds,’ ” said Michael P. Hirsch, vice president of Joseph Enterprises, which sells Chia Pets and other novelty products and has now added chia seeds and milled chia called — what else? — Ch-Ch-Ch-Chia Omega.


Last spring, high demand collided with weather patterns that depressed production, raising prices and the awareness that chia had moved beyond the realm of health food stores into the broader market.


Janie Hoffman, founder of Mamma Chia fruit juices, was one of the first people to recognize chia’s potential as a food. She was complaining about flax seed — “I hate how you have to grind it and then it goes rancid” — to a friend, who asked why she wasn’t using chia instead. “She said it had no taste, it’s high in antioxidants, huge in omega-3, a far superior seed,” Ms. Hoffman said. “In short, she made me feel like an idiot — no one was using flax seed anymore.”


So she bought some chia seeds online and was quickly sold on their benefits. “I started incorporating it into everything I was eating,” she said. “Stir fries, yogurt, beverages — there really wasn’t anything in my kitchen that didn’t have chia in it.”


In 2009, Ms. Hoffman developed fruit juices with chia seeds suspended in them. (Exposure to liquid gives the seeds a sticky, gelatinous coating, which is how they bond to the terra-cotta pets.)


“My first sales call a year and a half later was to Whole Foods in the southern Pacific region,” she said. “I walked in to meet the buyer and presented this chia beverage and said I would like it to go into a few stores. She said, ‘No, I want you in all of them’ ” — about 40 stores — “and that was that.”


Within 11 months, Mamma Chia products were in Whole Foods stores across the nation, as well as in hundreds of bodegas and health and natural foods stores. They are now sold in Ralphs and Vons stores and will soon be in Albertsons.


“I personally think demand for it will grow for sure, though how big it will get is still a question,” said Brad C. Bartlett, president of Dole Food Company’s packaged foods business.


Dole chose chia as the first ingredient it would promote in its new Nutrition Plus line of products, which aim to provide a functional benefit to consumers. It won out over other candidates, Mr. Bartlett said, because of its long history as a source of nutrition — the Aztecs used it for many purposes — and because it does not require much processing to confer its benefits.


The company does independent clinical testing on each product in the Nutrition Plus line to back up claims it makes about their health benefits, and it was surprised by one finding: significantly more alpha-linolenic acid in omega-3 reached the bloodstream and was converted into eicosapentaenoic acid, a long-chain fatty acid considered good for the heart, when the seeds were milled rather than whole.


“That came as quite a surprise, and we stopped the rollout and reformulated our clusters to use milled chia instead of whole seeds,” Mr. Bartlett said, referring to Dole’s Chia & Fruit Clusters.


Nature’s Path, an organic cereal company, introduced its first chia-laced cereal, Apple Crumble Love Crunch, last December, and now has eight products that include the seed in some form. “Business has been great with these products — overwhelmingly positive and, perhaps surprisingly, not just in health food stores but also in regular grocery stores,” said Arjan Stephens, executive vice president of sales and marketing at Nature’s Path.


Mr. Stephens said chia’s nutritional attributes, along with its many uses in food processing, could turn it into a staple. “It can be used in gluten-free breads or waffles to add fluffiness or to replace eggs in vegan products,” he said. “It offers an alternative to those with nut allergies.”


Mr. Hirsch, the Joseph Enterprises vice president, was less certain that chia would be a blockbuster, even though his company is adding protein bars to its line of edible chia products, which are sold in Walgreens, CVS and other drugstores. He said he was concerned about the supply of chia seeds, which are harvested once a year and grown in rotation, usually with corn.


Australia has recently joined Mexico and Bolivia in the chia-production act with its own type of seed that is grown somewhat differently, Mr. Hirsch said. But it is a difficult crop to grow outside of the traditional areas, and the market is tiny, about $70 million.


“Everybody is looking at this because everybody is always looking for something new,” Mr. Hirsch said. “I also know from the sales at this point it’s a niche market still, and we don’t know how big the niche is yet.”


If that niche fails to expand, there will always be another Chia Pet. This year, Chia Hello Kitty is joining the lineup.


Read More..

DealBook: S.E.C. Chief Who Overhauled Agency to Step Down

11:42 a.m. | Updated

Mary L. Schapiro, who overhauled the Securities and Exchange Commission after the financial crisis, announced Monday that she was stepping down as chairwoman of the agency.

In recent days, the S.E.C. informed the White House and Treasury Department that Ms. Schapiro planned to leave Dec. 14, becoming the first major departure from the Obama administration’s team of financial regulators. Ms. Schapiro will also relinquish her position as one of the five members of the agency’s commission, the group that oversees Wall Street and the broader financial markets.

The White House announced on Monday that President Obama was naming Elisse B. Walter, a commissioner at the S.E.C., as the new chairwoman. In a somewhat surprising move, Ms. Walter will not step into an interim post, but will take over the top spot for the foreseeable future.

Ms. Walter’s appointment does not require Congressional approval because the Senate previously confirmed her as a commissioner. Eventually, the White House is expected to nominate another agency chief, according to a person briefed on the matter.

Ms. Schapiro’s departure, which follows a bruising four-year tenure, was widely telegraphed. Ms. Schapiro, 57, has confided in staff members for more than a year that she was exhausted and hoped to leave after the November elections.

“It has been an incredibly rewarding experience to work with so many dedicated S.E.C. staff who strive every day to protect investors and ensure our markets operate with integrity,” Ms. Schapiro said in a statement. “Over the past four years we have brought a record number of enforcement actions, engaged in one of the busiest rule-making periods, and gained greater authority from Congress to better fulfill our mission.”

In 2008, Mr. Obama nominated Ms. Schapiro, a political independent, to head the S.E.C. at a time when extreme economic turmoil had shaken investor confidence in the country’s securities regulators.

The agency was faulted for its lax oversight of brokerage firms like Lehman Brothers, which failed in 2008 and contributed to the worst economic downturn since the Great Depression. Just weeks before Ms. Schapiro started as chairwoman, the Wall Street investor Bernard L. Madoff was accused of running a large Ponzi scheme, further damaging the credibility of regulators like the S.E.C., which missed crucial warning signs about the fraud.

“When Mary agreed to serve nearly four years ago, she was fully aware of the difficulties facing the S.E.C. and our economy as a whole,” Mr. Obama said in a statement. “But she accepted the challenge, and today, the S.E.C. is stronger and our financial system is safer and better able to serve the American people – thanks in large part to Mary’s hard work.”

Ms. Schapiro, a lifelong regulator who previously ran the Commodity Futures Trading Commission and the Financial Industry Regulatory Authority, quickly gained a reputation as a consensus builder determined to repair the agency’s reputation. A tireless preparer and self-described pragmatist, Ms. Schapiro overhauled the agency’s management ranks, revived the enforcement unit and secured more money and technology at a time when other agencies were being asked to cut back. She also helped craft new rules for Wall Street oversight, as part of the Dodd-Frank regulatory overhaul.

“The S.E.C. came back from the brink,” said Harvey L. Pitt, a former chairman of the agency under President George W. Bush. “I give her enormous credit for that.”

Consumer advocates and other critics, however, say she failed to grab the bully pulpit at a time the country needed a vocal critic of Wall Street. Since the financial crisis, the agency brought few enforcement cases against the Wall Street executives at the center of the crisis.

The S.E.C. notes it has brought a record number of cases over the last two years. While no top banking executives have been charged, the agency has filed actions against 129 people and firms tied to the crisis.

Ms. Walter, a Democrat who became an S.E.C. commissioner in 2008 and briefly served as the agency’s acting leader a year later, is a longtime ally of Ms. Schapiro. They overlapped at the Commodity Futures Trading Commission and Finra, where Ms. Walter was a senior regulator and lawyer. At the S.E.C., Ms. Walter was often the only reliable vote for Ms. Schapiro’s rule-making efforts and is now expected to carry out a similar agenda as chairwoman.

While Ms. Walter will take over, she may not serve the whole term. Among the other people that Mr. Obama may consider naming as agency chief include Mary J. Miller, a senior Treasury Department official, a person briefed on the matter said. Sallie L. Krawcheck, a former top executive at Citigroup and Bank of America, is also in the running, according to people with knowledge of the matter. The agency’s enforcement chief, Robert Khuzami, is a long-shot contender.

As for Ms. Schapiro, few expect her to follow her predecessors and move into private legal practice, where she would defend the banks she has spent years regulating. Instead, they say she is more likely to seek out a position at a university or research group.

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Opinion: India Shrugs at Another Gandhi






Kapil Sethi/Associated Press

Rahul Gandhi, center, waves during an event organized by the National Students Union of India in Chandigarh, India, on Oct. 11, 2012.







A WELL-KNOWN Indian fashion designer, who had recently flown home from New York, said to me at a dinner in Delhi: “For the first time in a long time, I didn’t feel like coming back. I felt like it used to be in the old days, when we would go abroad and didn’t want to come back.”


The designer was referring to the malaise that has settled over this once hopeful country. People in India will give you many reasons for it. They will cite the growth rate — once nearing 10 percent, now barely 5 — they will talk of the corruption, in every sector from telecom to land to coal, that has totally discredited Prime Minister Manmohan Singh’s government; they will mention the reforms that never happened. And they are not wrong to talk of these things. But these are only symptoms. Not the cause of the gloom, but emanations from it.


What really ails the world’s largest democracy, and what has caused it to lose its footing at this crucial moment in its development, is that its oldest party, its ruling party, the party that invented dynastic democracy, the Congress Party, has found, in the person of Rahul Gandhi, an abysmal mediocrity for an heir. It makes for such sad reading, this tale of the failed crown prince, that it hardly bears telling, were it not for the fact that it has derailed the aspirations of a billion people.


The story began in 2009, when the Congress Party was re-elected at the head of an alliance of parties. At that point, Mr. Singh, the distinguished architect of India’s economic reforms, had been prime minister for five years. Although there are no term limits on the post, he was already in his late 70s. And his party, which had for so long sought legitimacy in the cult of the Gandhi family, felt it was time to put in place a succession plan: a restoration, after a gap of some two decades, of a Gandhi to the office of prime minister. Mr. Singh was set up as the able regent, Rahul Gandhi — grandson of Indira Gandhi — as the 42-year-old prince in waiting.


Of course — this being a democracy — the heir had to prove himself at the polls. The party, though careful to protect him from having to take full responsibility for an election, wanted him, at the very least, to increase the party’s showing in a major state election or two. They wanted him to display some of that old Gandhi charisma, so that a media only too keen to anoint him anyway would be able to report that the people of India were keener still.


Mr. Gandhi has always come across as a diffident politician. He has turned down the prime minister’s repeated pleas to join the cabinet; he has shied away from projecting himself as his party’s choice for prime minister in 2014; as its general secretary, he has spoken out against dynasty and tried to make his party fairer, less sycophantic. He has, at times, even seemed like a crusader against the very power structure that has bestowed such tremendous unelected power upon him.


All this noblesse oblige would have served as a charming and tasteful backdrop to his rise — an unwilling heir accepting his heavy mantle with a heavy heart. But there was one small problem. In dress rehearsal after dress rehearsal, it became clear that, if anyone was more reluctant to see Rahul Gandhi become prime minister than Rahul Gandhi himself, it was the Indian electorate.


THE party machinery slaved away in state after state. But they could not find a single major election in which Rahul Gandhi was, on the back of his own effort, granted anything resembling a face-saving success. Everywhere he went and, unluckily for him, he went everywhere, he managed to leave the political fortunes of his party either damaged or unchanged.


In Bihar, a state with almost three times the population of California, he succeeded in 2010 in reducing the party’s toehold in an assembly of 243 from 9 seats to 4. Two years later, in Uttar Pradesh, the country’s most populous state, the result was even worse. He toured many of the state’s 400 or so seats, making excited speeches in labored Hindi (never his strong suit) and lavishly promising more handouts, more populist schemes. And yet the Congress Party finished last among the big parties. It lost even in places like Amethi and Rae Bareli, Gandhi family strongholds for decades.


The prince was decent; he was hardworking; he was sincere. But he was, as far as the ballot box went, an unmitigated and un-photo-shoppable disaster.


The author of the memoir “Stranger to History: A Son’s Journey Through Islamic Lands.”



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Lobbying, a Windfall and a Leader’s Family


The New York Times


Ping An, one of China’s largest financial services companies, is building a 115-story office tower in Shenzhen. The company is a $50 billion powerhouse now worth more than A.I.G., MetLife or Prudential.







SHENZHEN, China — The head of a financially troubled insurer was pushing Chinese officials to relax rules that required breaking up the company in the aftermath of the Asian financial crisis.




The survival of Ping An Insurance was at stake, officials were told in the fall of 1999. Direct appeals were made to the vice premier at the time, Wen Jiabao, as well as the then-head of China’s central bank — two powerful officials with oversight of the industry.


“I humbly request that the vice premier lead and coordinate the matter from a higher level,” Ma Mingzhe, chairman of Ping An, implored in a letter to Mr. Wen that was reviewed by The New York Times.


Ping An was not broken up.


The successful outcome of the lobbying effort would prove monumental.


Ping An went on to become one of China’s largest financial services companies, a $50 billion powerhouse now worth more than A.I.G., MetLife or Prudential. And behind the scenes, shares in Ping An that would be worth billions of dollars once the company rebounded were acquired by relatives of Mr. Wen.


The Times reported last month that the relatives of Mr. Wen, who became prime minister in 2003, had grown extraordinarily wealthy during his leadership, acquiring stakes in tourist resorts, banks, jewelers, telecommunications companies and other business ventures.


The greatest source of wealth, by far, The Times investigation has found, came from the shares in Ping An bought about eight months after the insurer was granted a waiver to the requirement that big financial companies be broken up.


Long before most investors could buy Ping An stock, Taihong, a company that would soon be controlled by Mr. Wen’s relatives, acquired a large stake in Ping An from state-owned entities that held shares in the insurer, regulatory and corporate records show. And by all appearances, Taihong got a sweet deal. The shares were bought in December 2002 for one-quarter of the price that another big investor — the British bank HSBC Holdings — paid for its shares just two months earlier, according to interviews and public filings.


By June 2004, the shares held by the Wen relatives had already quadrupled in value, even before the company was listed on the Hong Kong Stock Exchange. And by 2007, the initial $65 million investment made by Taihong would be worth $3.7 billion.


Corporate records show that the relatives’ stake of that investment most likely peaked at $2.2 billion in late 2007, the last year in which Taihong’s shareholder records were publicly available. Because the company is no longer listed in Ping An’s public filings, it is unclear if the relatives continue to hold shares.


It is also not known whether Mr. Wen or the central bank chief at the time, Dai Xianglong, personally intervened on behalf of Ping An’s request for a waiver, or if Mr. Wen was even aware of the stakes held by his relatives.


But internal Ping An documents, government filings and interviews with bankers and former senior executives at Ping An indicate that both the vice premier’s office and the central bank were among the regulators involved in the Ping An waiver meetings and who had the authority to sign off on the waiver.


Only two large state-run financial institutions were granted similar waivers, filings show, while three of China’s big state-run insurance companies were forced to break up. Many of the country’s big banks complied with the breakup requirement — enforced after the financial crisis because of concerns about the stability of the financial system — by selling their assets in other institutions.


Ping An issued a statement to The Times saying the company strictly complies with rules and regulations, but does not know the backgrounds of all entities behind shareholders. The company also said “it is the legitimate right of shareholders to buy and sell shares between themselves.”


In Beijing, China’s foreign ministry did not return calls seeking comment for this article. Earlier, a Foreign Ministry spokesman sharply criticized the investigation by The Times into the finances of Mr. Wen’s relatives, saying it “smears China and has ulterior motives.”


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Morsi Urged to Retract Edict to Bypass Judges in Egypt


Tara Todras-Whitehill for The New York Times


A demonstrator takes a breather during protests in downtown Cairo on Saturday.







CAIRO — Egyptian judges and prosecutors struck back on Saturday against an attempt by President Mohamed Morsi to place his decrees above judicial review, vowing to challenge his edict in court and reportedly going on strike in Alexandria.




Abdel Meguid Mahmoud, a prosecutor whom Mr. Morsi is seeking to fire, declared to a crowd of cheering judges at Egypt’s high court that the presidential decree was “null and void.” Mr. Mahmoud, who was appointed by Mr. Morsi’s predecessor, Hosni Mubarak, denounced “the systematic campaign against the country’s institutions in general and the judiciary in particular.”


Outside the court, the police fired tear gas at protesters who were denouncing Mr. Morsi and trying to force their way into the building.


The judicial backlash widened a power struggle over the drafting of a new constitution that has raised alarms about a return to autocracy 22 months after the ouster of Mr. Mubarak.


Mr. Morsi, the Islamist who became Egypt’s first elected president in June, is seeking to assert an authority unchecked by judicial review to forestall a court ruling expected on Dec. 2 that could disband the constitutional assembly and extend by two months the year-end deadline for that body to finish its work.


A high court dissolved an earlier assembly that was to draft a constitution last spring, and Mr. Morsi’s supporters accuse their secular opponents and judges appointed by Mr. Mubarak of trying to delay or derail the transition to democracy to prevent the Islamist majority from taking power.


The president’s opponents, in turn, accuse Mr. Morsi of seizing unchecked authority, noting that he holds executive and legislative power under a vague patchwork of interim constitutional declarations put in place by the military leaders who managed the first 18 months of Egypt’s post-Mubarak transition. The Supreme Constitutional Court dissolved the Islamist-dominated Parliament on the eve of Mr. Morsi’s election.


A council that oversees the judiciary on Saturday denounced Mr. Morsi’s decree, which was issued Thursday, as “an unprecedented attack” on its authority, and urged the president to retract the aspects of the decree circumscribing judicial oversight. State news media reported that judges and prosecutors walked out in Alexandria, and there were other news reports of walkouts in Qulubiya and Beheira, but those could not be confirmed.


In Cairo on Saturday, a coalition of secular opposition leaders and parties called for Mr. Morsi to withdraw his decree and disband the constituent assembly. The groups have long complained about the body’s domination by Islamists.


On Friday night their supporters set up a tent city for an open-ended sit-in in Tahrir Square, the center of the Egyptian revolt, and the groups have called for a demonstration there on Tuesday.


The Muslim Brotherhood, the Islamist group allied with Mr. Morsi, has called for demonstrations Sunday and Tuesday to support his moves as an effort to speed up Egypt’s transition to a constitutional democracy.


Near the square, a few hundred young men engaged in an unrelated battle with the police that has been going on for more than five days. They are demanding retribution against security officers who killed more than 40 people and blinded others with birdshot in clashes a year ago.


The protesters had hung a yellow banner across the street declaring “No Entry to the Brotherhood.” They blame the Muslim Brotherhood for failing to back them during last year’s protests.


On Saturday, most appeared unconcerned, if cynical, about Mr. Morsi’s decree, though some approved of his efforts to fire the Mubarak-appointed prosecutor and retry officials previously acquitted in the killings. “A drop of honey in a pool of poison,” said Hassan el-Masry, 19, who lost an eye during last year’s clashes.


Nevine Ramzy and Mai Ayyad contributed reporting.



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Gadgetwise Blog: Having a Beer With a Smartphone





Drinking beer used to be simple. But the exploding popularity of craft beer over the past several years has changed that, giving beer drinkers a new world of possibilities — and a range of hard decisions.




Predictably, the ever-expanding roster of oatmeal stouts and vanilla porters has been accompanied by the creation of dozens of beer-related apps. These include local guides to the best pints, inane games, beery social networks and recommendation engines that determine which beers you might like based on what you have enjoyed in the past.


An app released this month, Craft Beer New York, gives local connoisseurs an excellent guide to the city’s bars, breweries and bottle shops ($1.99 for iPhones and other iOS devices; you must be 17 years old to download this and the other Apple beer apps). Its developer, Blue Crow Media, also makes attractive apps focused on coffee. The content for this app comes from Joshua M. Bernstein, a beer writer living in Prospect Heights, Brooklyn, and the author of Brewed Awakening, a book about the craft beer movement.


The app rates 122 bars, 34 shops and 22 breweries. I first tested it out in Astoria, Queens, where I live, and it seemed to get things right without just picking the most obvious places to drink. There were short entries on half a dozen establishments, including specific recommendations on which beers to order.


It is worth noting that this app is different from a guide to bars. Good spots will not show up if they have pedestrian beer selections. At the same time, bars do not automatically get good ratings for having lots of choices. Mr. Bernstein acknowledges that the Beer Authority, a 70-tap bar that recently opened on a stretch of Eighth Avenue in Midtown Manhattan, is “a life preserver for folks working around the Port Authority.” But the app still sticks it with a 2 out of 5 rating because of its unimaginative décor, high prices and a tendency to play lame music.


Mr. Bernstein updates the app with newly opened establishments, and it also has a news tab that includes bulletins on things like how to ensure that an I.P.A. is fresh, or how to help out beer-related businesses affected by Hurricane Sandy. An Android version is due out in early 2013.


One of the more popular beer apps is Untappd, a location-based social-networking app for beer drinkers (free and available for Android and iOS). The app is designed to get people to share their impressions of beers, keeping track of what they liked while also guiding friends and strangers to good bars and brews. The app has an active community, but like any crowdsourced project there is a lot to sift through to find anything useful.


Another way to find new beers to try is to tell an algorithm what you drink and have it determine what else you might like. BrewGene is a nice version of this idea (free and available for Android, iOS or on the Web). It has a truly extensive database. I recently ordered a Goose Island I.P.A. from a bar, but when I went to enter it into the app found that there were five different beers with that name. I rated a few beers from the app’s top 100 list, and it began generating credible suggestions for me. The app’s ability to point me toward an establishment that would serve me these beers is lacking, however. Its “Places” function pulled in a seemingly random selection of nearby bars, bodegas and restaurants. There’s supposed to be a beer menu for each establishment, but all the ones I got were blank.


Have a favorite New York City app? Send tips via e-mail to appcity@nytimes.com or via Twitter to @joshuabrustein.



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Indian Prostitutes’ New Autonomy Imperils AIDS Fight





MUMBAI, India — Millions once bought sex in the narrow alleys of Kamathipura, a vast red-light district here. But prostitutes with inexpensive mobile phones are luring customers elsewhere, and that is endangering the astonishing progress India has made against AIDS.




Indeed, the recent closings of hundreds of ancient brothels, while something of an economic victory for prostitutes, may one day cost them, and many others, their lives.


“The place where sex happens turns out to be an important H.I.V. prevention point,” said Saggurti Niranjan, program associate of the Population Council. “And when we don’t know where that is, we can’t help stop the transmission.”


Cellphones, those tiny gateways to modernity, have recently allowed prostitutes to shed the shackles of brothel madams and strike out on their own. But that independence has made prostitutes far harder for government and safe-sex counselors to trace. And without the advice and free condoms those counselors provide, prostitutes and their customers are returning to dangerous ways.


Studies show that prostitutes who rely on cellphones are more susceptible to H.I.V. because they are far less likely than their brothel-based peers to require their clients to wear condoms.


In interviews, prostitutes said they had surrendered some control in the bedroom in exchange for far more control over their incomes.


“Now, I get the full cash in my hand before we start,” said Neelan, a prostitute with four children whose side business in sex work is unknown to her husband and neighbors. (Neelan is a professional name, not her real one.)


“Earlier, if the customer got scared and didn’t go all the way, the madam might not charge the full amount,” she explained. “But if they back out now, I say that I have removed all my clothes and am going to keep the money.”


India has been the world’s most surprising AIDS success story. Though infections did not appear in India until 1986, many predicted the nation would soon become the epidemic’s focal point. In 2002, the C.I.A.’s National Intelligence Council predicted that India would have as many as 25 million AIDS cases by 2010. Instead, India now has about 1.5 million.


An important reason the disease never took extensive hold in India is that most women here have fewer sexual partners than in many other developing countries. Just as important was an intensive effort underwritten by the World Bank and the Bill and Melinda Gates Foundation to target high-risk groups like prostitutes, gay men and intravenous drug users.


But the Gates Foundation is now largely ending its oversight and support for AIDS prevention in India, just as efforts directed at prostitutes are becoming much more difficult. Experts say it is too early to identify how much H.I.V. infections might rise.


“Nowadays, the mobility of sex workers is huge, and contacting them is very difficult,” said Ashok Alexander, the former director in India of the Gates Foundation. “It’s a totally different challenge, and the strategies will also have to change.”


An example of the strategies that had been working can be found in Delhi’s red-light district on Garstin Bastion Road near the old Delhi railway station, where brothels have thrived since the 16th century. A walk through dark alleys, past blind beggars and up narrow, steep and deeply worn stone staircases brings customers into brightly lighted rooms teeming with scores of women brushing each other’s hair, trying on new dresses, eating snacks, performing the latest Bollywood dances, tending small children and disappearing into tiny bedrooms with nervous men who come out moments later buttoning their trousers.


A 2009 government survey found 2,000 prostitutes at Garstin Bastion (also known as G. B.) Road who served about 8,000 men a day. The government estimated that if it could deliver as many as 320,000 free condoms each month and train dozens of prostitutes to counsel safe-sex practices to their peers, AIDS infections could be significantly reduced. Instead of broadcasting safe-sex messages across the country — an expensive and inefficient strategy commonly employed in much of the world — it encircled Garstin Bastion with a firebreak of posters with messages like “Don’t take a risk, use a condom” and “When a condom is in, risk is out.”


Surprising many international AIDS experts, these and related tactics worked. Studies showed that condom use among clients of prostitutes soared.


“To the credit of the Indian strategists, their focus on these high-risk groups paid off,” said Dr. Peter Piot, the former executive director of U.N.AIDS and now director of the London School of Hygiene and Tropical Medicine. A number of other countries, following India’s example, have achieved impressive results over the past decade as well, according to the latest United Nations report, which was released last week.


Sruthi Gottipati contributed reporting in Mumbai and New Delhi.



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