Ex-Dixon comptroller pleads guilty in $53 million scam

A former longtime treasurer of Dixon pleaded guilty today to fraud in federal court in Rockford for stealing $53 million from the coffers of the small northwestern Illinois city over two decades.

Rita Crundwell will remain free on her own recognizance until her sentencing on Feb. 14.

When asked her plea to the one count of wire fraud, Crundwell responded quietly, “Guilty.”

Crundwell admitted to stealing the $53 million since 1990 and using the money to finance her championship quarter-horse business and a lavish lifestyle.

As part of her guilty plea, she also admitted she engaged in illegal money laundering.

Under federal sentencing guidelines, prosecutors believe Crundwell faces up to 19 ½ years in prison, while Crundwell’s lawyers contend she faces no more than 15 ½ years.

Federal prosecutors had sought to have Crundwell taken into custody.

In arguing to keep her free pending sentencing, her attorney, Paul Gaziano said, “She’s worked hard with the government.”

But the 25-page plea agreement gave no indication that Crundwell was officially cooperating with federal authorities.

Crundwell still faces 60 fraud counts in Lee County criminal court. Gaziano said he did not know how those charges would be handled in light of Crundwell’s guilty plea on the lone federal count.

Since her arrest in April, Crundwell has agreed to the sale of her assets so that some of the lost money can be repaid to Dixon, bext known as the boyhood home of President Ronald Reagan.

So far, about $7.4 million has been raised by auctioning off about 400 quarter horses, a luxury motor home  and other equipment. Additional auctions are planned.

After court, Gaziano said that, with her guilty plea, Crundwell is “saving the government the burden and the expense of a lengthy trial.”

“Rita since the day of her arrest has worked with the government to accomplish the sale of her assets including her beloved horses all with the goal of hoping to recoup the losses for the city of Dixon,” Gaziano added as he wrapped his arm around Crundwell outside the courthouse. “I think the people of the city of Dixon ought to know that.”

Gaziano wouldn't take questions from a throng of reporters, and Crundwell had nothing to say before entering a black truck and being driven off.

Crundwell served as comptroller of Dixon since 1983, handling all of its finances. To conceal the scheme, Crundwell told other city officials that budgetary shortfalls were due to late payments of tax revenue from the state.

Dixon’s mayor reported Crundwell to law enforcement authorities in the fall of 2011 after another city employee filled in for Crundwell during an extended unpaid vacation and discovered a secret account she had been using to funnel the money.

Read More..

Actor Channing Tatum dubbed People’s sexiest man alive

NEW YORK (Reuters) – Actor Channing Tatum, who set female hearts fluttering in the summer movie hit “Magic Mike”, was named the sexiest man alive by People magazine on Wednesday.

“My first thought was, ‘Y’all are messing with me,” Tatum told the magazine after hearing the news.

The 32-year-old actor, who is married to actress Jenna Dewan-Tatum, is training to play an Olympic athlete in his upcoming film, “Foxcatcher”.

The couple, who have been married since 2009, are ready to start a family, according to People.

“The first number that pops into my head is three, but I just want one to be healthy and then we’ll see where we go after that,” he told the magazine.

Tatum joins a long list of Hollywood heartthrobs who also have also received the “sexiest man” title from the magazine including Brad Pitt, Johnny Depp, Ryan Reynolds, George Clooney and Matt Damon.

(Reporting by Patricia Reaney; Editing by Maureen Bavdek)

Celebrity News Headlines – Yahoo! News

Read More..

Drug Compounders Get Help on Capitol Hill

WASHINGTON — Despite two decades of dire health warnings and threats of federal intervention, the specialty drugmakers at the center of the nation’s deadly meningitis outbreak have repeatedly staved off tougher federal oversight with the help of powerful allies in Congress.

Over the years, industry friends like Tom DeLay, the former House Republican leader from Texas, have come to its defense. Even Senator Edward M. Kennedy, regarded as the strongest health care advocate in Congress in recent times, dropped efforts to impose new safeguards.

But the pharmacists known as compounders are now facing their biggest regulatory threat as they confront questions on Wednesday and Thursday at Congressional hearings on the deadly outbreak. The question is whether Congress will move to oversee the niche industry more aggressively.

“A lot of the blame for the meningitis situation lies at Congress’s door,” said Larry D. Sasich, a research pharmacist who has written about compounders’ safety record. For specially mixed drugs that fall into a gray area of federal law, he said, “the protections for your cat or dog are stronger than for your wife and children.”

By Washington standards, the industry’s financial clout is not terribly large. The main trade group, the International Academy of Compounding Pharmacists, has spent $1.1 million on lobbying in the past decade, while major players in the business have given at least $300,000 to candidates since 2008, according to data from the Center for Responsive Politics, a research group in Washington.

But by positioning itself as a more affordable, community-based alternative to huge drug manufacturers, compounders have attracted broad support from politicians. They have become popular among proponents of hormone therapy to slow aging and advocates for the autistic, who often distrust the traditional pharmaceutical industry, and rely on compounders’ tailor-made blends.

If history is a guide, it often takes a disaster to get real change in the law.

In 1938, Congress passed the Food, Drug and Cosmetic Act after a drug company mixed an antibiotic with a toxic solvent and more than 100 people were killed, many of them children. In 1962, it amended that act to effectively create the modern drug approval system after thalidomide, a German drug intended to treat morning sickness in pregnant women, caused severe birth defects in Europe, said Kevin Outterson, an associate professor of law at Boston University.

Experts say the magnitude of the current crisis, in which more than 400 people have been sickened with meningitis and 32 have died, may finally spur action. This week’s hearings are expected to include testimony from the head of the Food and Drug Administration and the head of the Massachusetts pharmacy that produced the tainted drug.

Much of the scrutiny has focused on lax oversight by state boards and the Food and Drug Administration. But public health and drug industry experts say Congress is partly to blame for failing to clearly define the F.D.A.’s authority to police the practice.

A familiar cycle has played out in Washington since the 1990s: Publicity over illnesses or deaths from compounding drugs prompts outrage. Expert witnesses warn of the dangers of an unregulated industry. Proposals to fix the system follow. Then nothing happens.

“The public is at risk, an alarming great risk,” one pharmacist warned in 2003 Senate testimony after one person died and five more fell ill from contaminated medicine in 2002 produced by a South Carolina pharmacy.

Compounding, the practice of mixing medicines for individual patients, has grown in recent decades, helping fill gaps during drug shortages and offering cheaper versions of commercial drugs. But it has also become prone to abuse, with some pharmacies becoming, in effect, mini-drug manufacturers.

While the F.D.A. has clear authority to regulate drug manufacturers, state authorities have the main jurisdiction over pharmacies. Determining which category a company falls into is difficult because compounders are not required to give the F.D.A. access to their books.

Ultimately, stronger regulation has been stymied by sharp opposition from the industry and its defenders in Congress, both Democrats and Republicans, many of whom have compounders in their districts.

In 2008, the F.D.A. challenged what it said were misleading claims by compounders that their hormone therapy for older women was safer and more natural than that of big drug makers; it was met with staunch opposition, including objections from Suzanne Somers, the celebrity anti-aging advocate. The agency eventually prevailed.

Hundreds of members of Congress have attended conferences or taken part in charitable events and letter-writing campaigns organized by the International Academy of Compounding Pharmacists. The trade group said recently that its Congressional supporters had surged in recent years and that compounding had “gone from being a little-known practice to having a strong and steady presence in Washington.”

Texas, home to many compounding pharmacies and their main trade lobbying group, has been an important base of support, producing industry allies like Mr. DeLay and Representative Joe L. Barton, a Texas Republican.

Read More..

Microsoft executive exits at a shaky time

Turns out Microsoft Corp.'s radical overhaul of its Windows operating system last month wasn't the only big change in store for the company.

The abrupt departure of Steven Sinofsky, president of Windows and Windows Live, is being called poor timing for the tech behemoth. It's also seen as a sign that longtime Chief Executive Steve Ballmer has no plans to step down anytime soon.

Sinofsky's exit, just weeks after the company rolled out the Windows 8 operating system, "doesn't necessarily reflect well on the company," said Kirk Materne, managing director at Evercore Partners.

"I think if you're Steve, having this happen right after creates a level of distraction that you don't want in the first place," he said. "It's never great when you've had this much turnover at the senior level of a company that is really trying to gain its footing in markets like tablet and mobile."

Shares of Microsoft slid 90 cents, or 3.2%, to $27.09 on Tuesday. Its stock has languished in the last decade — virtually unchanged — while shares of rival Apple Inc. have climbed more than 6,700%.

Microsoft is under pressure to impress consumers and investors with its latest offerings, which include Windows 8 and its new Surface device, a hybrid tablet-laptop that launched last month.

But both products have been met with lackluster interest. Windows 8 debuted to low investor expectations, and reviews for the revamped operating system have been mixed, with some users saying it's at times confusing to use.

The Surface, meanwhile, was buzz-worthy when it was first unveiled, but analysts seem unconvinced that it will make a dent in a market currently dominated by Apple's iPad. Although the hardware is sleek, the Surface lacks applications compared with the iPad, and its highly touted snap-on keyboard that doubles as a cover is difficult to accurately type on, reviewers have said.

The Windows 8 launch was said to be the biggest revamp of the operating system in nearly two decades. The latest update includes a new interface called the Start screen that was designed for tablets and touch-screen computers and features moving tiles similar to those on Windows Phone devices. Microsoft wants the new Start screen interface to be the future of Windows.

"The general conclusion of Win 8 is on the surface, it's a solid first start," Materne said. "It's not mind-blowing, it's not going to immediately recapture market share, but it gets them back in the ballgame to a certain degree."

Sinofsky, a 23-year Microsoft veteran, was in charge of the Windows 8 and Surface efforts at the Redmond, Wash., company. He was a polarizing figure in the office with a tough management style and was rumored to be in line to succeed Ballmer, who has been chief executive since 2000.

In an employee memo Monday, the day Microsoft announced his departure, Sinofsky said he had decided to leave to seek "new opportunities."

"With the general availability of Windows 8/RT and Surface, I have decided it is time for me to take a step back from my responsibilities at Microsoft," he said. "I've always advocated using the break between product cycles as an opportunity to reflect and to look ahead, and that applies to me too."

Now that Sinofsky has left, analysts — some of whom speculated there had been a rift between Sinofsky and Ballmer — say they expect a new direction for the Windows division.

"Sinofsky was a highly talented operator who hit product release dates, got delivery in Windows to be more reliable, and was pivotal to successful Office and Win 7 releases," Morgan Stanley analyst Adam Holt said in a note to investors. "While he is a loss for Microsoft, Windows has entered a different phase where cultivation of developers, collaboration between product groups, integration with the mobile operating system and a focus on applications become more important."

Sinofsky will be replaced by Julie Larson-Green, who has been with the company since 1993 and oversaw program management, user interface design and research for Windows 7 and 8. She will lead all Windows software and hardware engineering.

Tami Reller, Windows chief financial officer and chief marketing officer, also will assume responsibility for the business of Windows.

There could be a bit of a learning curve in the meantime, said equity analyst Angelo Zino of S&P Capital IQ.

"We are surprised by the announcement, given Sinofsky's recent success as well as a belief by many that he could eventually have been the successor to CEO Steve Ballmer," he said. "While we are confident in the abilities of both individuals, we see the change increasing product development risk to future Windows releases."

andrea.chang@latimes.com

Read More..

Father of 3 killed in West Rogers Park hit-and-run

A 44-year-old man is dead and another man seriously injured after a hit-and-run in West Rogers Park.

Tsering Dorjee had spent the day Monday helping his brother-in-law find an apartment for his family, due here from India next month.

As it turned evening, Dorjee and Dakpa Jorden went to get food and were crossing the street in the 6400 block of North Maplewood Avenue around 6 p.m. when they were struck by a dark blue Volkswagen that kept on driving, police said.

Dorjee, 44 and the father of three small children, was taken to Saint Francis Hospital in Evanston, where he was pronounced dead at 10:27 p.m. from head injuries, according to the medical examiner's office.

Jorden suffered a broken leg and was taken to the same hospital.

“I don’t know what to do," Dorjee's wife, Kalsang Wangmo. "I don’t know what to do now.’’

"My boys are asking, 'Where’s daddy? Where's daddy?' " she said. They are 6, 3 and 1.

Wangmo said she started getting worried when her husband wasn’t home by 7 p.m.  "Normally he comes home before 6:30 p.m," she said.

Wangmo said she called his cell phone several times but got no answer. Finally, the hospital called her at 8 p.m. "They said, ‘Your husband is in critical condition, can you come now,' " Wangmo said, her voice choking with emotion.
 
She frantically called a relative to watch her boys and got to the hospital before he died. "His eyes were all swollen," Wangmo said, and he could not talk.

As she sat by her husband side, Wangmo said she thought of their children and how she would face life without him. “I don’t know, I don’t know…I have three children,’’ she said, sobbing.

She said her husband had the day off Monday and was helping her brother find an apartment. He has been living with them, and the rest of his family was coming from India to live in Chicago next month.

Dorjee worked in the Cook County Clerk's office and was the president of the Rogers Park Chamber of Commerce.

Wangmo said she and her husband are both from India and went to same high school there. She is from Bangalore, in the Indian state of Karnataka, and her husband was from Himachal in northern India.

Cook County Clerk David Orr released a statement saying Dorjee "was a much-loved member of my Vital Records staff since 1998. Tsering was an incredibly kind soul and dedicated public servant. News of his death this morning brought his coworkers to tears. Our deepest condolences go to his wife, children and family. He will be dearly missed."

The car was described as a dark blue Volkswagen Beetle with the Illinois license plate P121817. Police asked anyone with information to call 312-745-4521.

chicagobreaking@tribune.com

Twitter: @chicagobreaking

Read More..

New Lumia phones seen winning Nokia more time

HELSINKI (Reuters) – Nokia‘s new Lumia smartphones are trickling into the market and early signs suggest they may sell well enough to give the handset maker more time in its fight against industry leaders Samsung and Apple.

But investors shouldn’t expect a quick turnaround for the struggling Finnish cellphone maker, with rival gadgets like mini tablet computers vying for consumers’ attention, analysts said.

“Positive reviews are a great start but as we have seen many times before these won’t deliver strong sales volumes on their own,” said Pete Cunningham, an analyst at research firm Canalys.

Successful sales of the latest Lumia 920 and 820 models are crucial for Nokia’s survival. The former market leader is burning through cash while it loses share in both high-end smartphones and cheaper handsets.

FIM Securities analyst Michael Schroder forecast Nokia will sell 1-3 million of the new models this quarter. It sold 2.9 million older Lumia models in the third quarter, compared to Apple’s sales of around 26.6 million iPhones in the same period.

“In any case the uptake will not be massive,” he predicted.

Lumia’s sales could serve a verdict on Chief Executive Stephen Elop‘s decision in February 2011 to partner with Microsoft instead of using Google‘s Android or continuing to develop Nokia’s own operating system.

Investors had feared poor reviews and weak sales could bring an end to the company’s smartphone business early next year.

So far, consumer reviews seem to favor the feel and look of the new models, which include high-definition cameras and the latest Microsoft Windows Phone 8 software.

“It (the Lumia 920) is very similar in appearance to the Lumia 900, but has curved glass, rounded edges, and curved back so it feels great in your hand. It is a dense device, but if you look at all the pros and cons the heft is worth it,” said a reviewer for tech website ZDNet.

That’s an improvement from the market’s reaction when the new model was first unveiled. The shares slumped 13 percent that day with investors citing a lack of a “wow” factor.

MAKE OR BREAK

Nokia is taking a gradual approach to launching the phones, and availability is expected to vary by market for the next few weeks, compared with Apple’s iPhone models which usually go on sale on the same day to global fanfare.

“While we are very impressed with the hardware features of the Lumia 920 and the improved software functionality of Windows Phone 8, we believe a focused launch to drive steady sales growth is necessary,” said Canaccord Genuity analyst Michael Walkley.

In Canada, one of the earliest launch markets, carrier Rogers Communications has trained its sales staff more to sell the latest Lumias than the previous models, said John Boynton, Rogers’ executive vice president of marketing.

He predicted the phones would be popular with first-time smartphone users, thanks to homescreens with tile-like icons designed to help users navigate applications and functions.

“They’re a little nervous at some of the more complex smartphones that are out there,” he said. “The tile format is a really, really simplified way for people to get comfortable using smartphones.”

In France, retail staff have become more confident in explaining Windows Phones to their customers, according to Laurent Lame, devices marketing chief at SFR which is the country’s second-biggest mobile operator.

“They know the product better after six months of good sales of the Lumia 610,” Lame said, adding he was now more optimistic about the Nokia-Microsoft partnership. “For once, with Windows 8, we are not starting from zero.”

Telefonica Deutschland Chief Executive Rene Schuster said he was “very, very pleased” with the early progress of Lumia sales.

Some retailers were more cautious, however, and in some cities there were no demonstration models for customers to test.

A salesman in an O2 store at the Zeil, Frankfurt’s busiest shopping area, said the store could take orders for the phone but could not show it. Demand was “okay, but not huge,” he said.

Analysts also expect tough competition during the pre-Christmas shopping season from the likes of Samsung’s Galaxy S III and Apple’s iPhone 5. Taiwan’s HTC has also introduced smartphones running Windows Phone 8 software.

Other rival gadgets include Apple’s iPad mini as well as cheaper tablets from Google and Amazon.

The stakes could not be higher for Nokia’s Elop, who said in February 2011 the company’s transition would take two years.

“This is absolutely a make-or-break phone for the Windows Phone strategy,” FIM Securities’ Schroder said. “If it fails, they have to take a whole new course.” (Additional reporting by Allison Martell in Toronto, Leila Abboud in Paris, Harro Ten Wolde in Frankfurt and Tarmo Virki in Helsinki; Editing by Mark Potter)

Gadgets News Headlines – Yahoo! News

Read More..

Day-Lewis heeded inner ear to find Lincoln’s voice

LOS ANGELES (AP) — A towering figure such as Abraham Lincoln, who stood 6 feet 4 and was one of history’s master orators, must have had a booming voice to match, right? Not in Daniel Day-Lewis‘ interpretation.

Day-Lewis, who plays the 16th president in Steven Spielberg‘s epic film biography “Lincoln,” which goes into wide release this weekend, settled on a higher, softer voice, saying it’s more true to descriptions of how the man actually spoke.

“There are numerous accounts, contemporary accounts, of his speaking voice. They tend to imply that it was fairly high, in a high register, which I believe allowed him to reach greater numbers of people when he was speaking publicly,” Day-Lewis said in an interview. “Because the higher registers tend to reach farther than the lower tones, so that would have been useful to him.”

“Lincoln” is just the fifth film in the last 15 years for Day-Lewis, a two-time Academy Award winner for best actor (“My Left Foot” and “There Will Be Blood”). Much of his pickiness stems from a need to understand characters intimately enough to feel that he’s actually living out their experiences.

The soft, reedy voice of his Lincoln grew out of that preparation.

“I don’t separate vocal work, and I don’t dismember a character into its component parts and then kind of bolt it all together, and off you go,” Day-Lewis said. “I tend to try and allow things to happen slowly, over a long period of time. As I feel I’m growing into a sense of that life, if I’m lucky, I begin to hear a voice.

“And I don’t mean in a supernatural sense. I begin to hear the sound of a voice, and if I like the sound of that, I live with that for a while in my mind’s ear, whatever one might call it, my inner ear, and then I set about trying to reproduce that.”

Lincoln himself likely learned to use his voice to his advantage depending on the situation, Day-Lewis said.

“He was a supreme politician. I’ve no doubt in my mind that when you think of all the influences in his life, from his childhood in Kentucky and Indiana and a good part of his younger life in southern Illinois, that the sounds of all those regions would have come together in him somehow.

“And I feel that he probably learned how to play with his voice in public and use it in certain ways in certain places and in certain other ways in other places. Especially in the manner in which he expressed himself. I think, I’ve no doubt that he was conscious enough of his image.”

Entertainment News Headlines – Yahoo! News

Read More..

Q & A: Weighing the Evidence

Q. My husband weighs twice as much as I do, yet we take the same dose of over-the-counter medications, as recommended on the packaging. Shouldn’t weight be a factor?

A. There is little information about using weight as a factor in adjusting doses of either prescription or over-the-counter medications, said Dr. Steven A. Kaplan, director of the Iris Cantor Men’s Health Center at NewYork-Presbyterian/Weill Cornell hospital.

“We are beginning to study different responses by weight,” he said, but he and other researchers have reached no conclusions on recommendations for therapy.

“In my own field, urology,” he added, “my opinion is that it is more likely for the recommended dose to be ineffective in a larger person rather than to be toxic in a thinner adult.”

Some prescription drugs, like chemotherapy agents, already have their dosages adjusted for weight because of their highly toxic nature. As for over-the-counter drugs, recommended doses generally tend to be weighted in favor of safety rather than efficacy, Dr. Kaplan said.

He and other doctors emphasized the importance of following package directions. For example, acetaminophen (like Tylenol) can present a life-threatening risk if the liver cannot process a high dose. If you find that the recommended dose does not work for you, Dr. Kaplan said, speak to your doctor.

C. CLAIBORNE RAY

Readers may submit questions by mail to Question, Science Times, The New York Times, 620 Eighth Avenue, New York, N.Y. 10018, or by e-mail to question@nytimes.com.

Read More..

Chicago's top employers named

The Chicago Tribune released its annual Top Workplaces survey Monday, with a broad cross section of companies -- and dozens of new names -- earning recognition as the best places to work in Chicago. 

Abt Electronics and Coyote Logistics repeated as the top large and midsize employers, respectively, with iD Commerce + Logistics making the list for the first time as the top-ranked small company.  

This is the third year the Tribune has partnered with Workplace Dynamics to rank the top 100 companies as judged by their own employees, using criteria ranging from clued-in managers to flexible work schedules. More than 1,600 companies were invited to participate, with a record 254 completing the survey.

Pennsylvania-based Workplace Dynamics partnered with 32 newspapers and surveyed 1.5 million employees nationwide last year as part of its research efforts into what environments are best for employees. 

"We all spend an awful lot of time at work," said Doug Claffey, CEO of Workplace Dynamics. "Creating a really great workplace for employees is something that I think businesses have an obligation to do.  In addition to making money, you need create an environment where your people want to be."

Beyond Glenview electronics retailer Abt,  the top five large companies were Hyatt Hotels, Baird & Warner, ATI Physical Therapy and FedEx -- all new to this category this year.

Chicago-based Coyote Logistics was followed by kCura, Slalom Consulting, Edward Jones and Mercy Home for Boys & Girls among companies with 250 to 999 employees.  

Wood Dale-based id Commerce topped Webster Dental, 2011 winner Red Frog Events, Assurance Agency and LeasePlan USA among small companies.

Full survey results and a variety of top workplace profiles will be published in a magazine insert included in Tuesday's Chicago Tribune.

rchannick@tribune.com | Twitter @RobertChannick

Read More..

Cutler skipping radio show, awaits evaluations after concussion

Brad Biggs and David Haugh recap Sunday's Chicago Bears game against the Houston Texans.

By Fred Mitchell, Tribune reporter

10:16 a.m. CST, November 12, 2012

Chicago Bears quarterback Jay Cutler won't be doing his weekly radio show Monday after suffering a concussion late in the first half of Sunday night's 13-6 loss to the Houston Texans.

The "Jay Cutler Show," which had been scheduled to be broadcast live from the Joe's on Weed restaurant at noon as part of the "Waddle & Silvy Show" on WMVP-AM 1000, has been canceled, the station said.

Cutler's availability for next Monday night's game in San Francisco also is in question. Backup quarterback Jason Campbell played the second half against the Texans.

Cutler will need to be cleared by team doctors as well as an independent neurological consultant before he is cleared to return to the field.

Cutler missed one game when he suffered a concussion in 2010, and the concussion protocol remains the same. It's something 49ers quarterback Alex Smith also will have to go through this week as he was knocked out of Sunday's tie against the Rams with a concussion.

NFL protocol mandates players be completely asymptomatic and have normal neurological results at rest and after physical exertion before returning. That means Cutler will be evaluated after running or doing other non-football exercises.

Redskins quarterback Robert Griffin III suffered a concussion earlier this season and returned to play the following week. Lions running back Jahvid Best has missed more than a year after suffering two concussions last season. This is the third concussion Cutler has suffered in the NFL, including one with the Broncos, and he had at least one documented concussion at Vanderbilt.

Contributing: Brad Biggs

fmitchell@tribune.com

Twitter@kicker34

Read More..