Court blocks Ala. from checking student status

Court Watch 2011/10/17 10:00   Bookmark and Share
Armando Cardenas says he has thought about leaving Alabama because of the possibility of being arrested as an illegal immigrant and the hostility he feels from residents.

But now that a federal appeals court has sided with the Obama administration and dealt a blow to the state's toughest-in-the-nation immigration law, Cardenas said he will stay for at least a while longer.

"It's not easy to leave everything you have worked so hard for," Cardenas said after the appeals court blocked public schools from checking the immigration status of students.

The decision from the 11th U.S. Circuit Court of Appeals also said police can't charge immigrants who are unable to prove their citizenship, but it let some parts of the law stand, giving supporters a partial victory. The decision was only temporary and a final ruling isn't expected for months, after judges can review more arguments.

Unlike in other states where immigration crackdowns have been challenged in the courts, Alabama's law was left largely in effect for about three weeks, long enough to frighten Hispanics and drive them away from the state. Construction businesses said Hispanic workers had quit showing up for jobs and schools reported that Latino students stopped coming to classes.
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Airline attack suspect sought martyrdom

Court Watch 2011/10/11 09:37   Bookmark and Share
A young Nigerian allegedly on a terrorist mission for al-Qaida prayed, washed and put on perfume moments before trying to detonate a bomb in his underwear to bring down an international jetliner on Christmas 2009, a prosecutor told jurors as the man's trial opened Tuesday.

Virtually everyone aboard Northwest Airlines Flight 253 had holiday plans, but Umar Farouk Abdulmutallab believed his calling was martyrdom, Assistant U.S. Attorney Jonathan Tukel said.

In the plane's bathroom, "he was engaging in rituals. He was preparing to die and enter heaven," Tukel said. "He purified himself. He washed. He brushed his teeth. He put on perfume. He was praying and perfuming himself to get ready to die."

After returning to his seat, Abdulmutallab pushed a small plunger on the chemical bomb in his underwear, an action that produced a "pop," the prosecutor told jurors.

The bomb didn't work as planned but Abdulmutallab was engulfed in flames, said Tukel, who displayed the flight's seating chart on a screen to show jurors where things happened on the plane.

Opening statements began after an unexplained 70-minute recess requested by Abdulmutallab and his attorney, Anthony Chambers, shortly after they entered the courtroom.
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Fannie Mae ignored misconduct

Court Watch 2011/10/04 01:24   Bookmark and Share
Mortgage giant Fannie Mae knew about allegations of improper foreclosure practices by law firms in 2003 but did not act to stop them, a government watchdog says.

Similar allegations are the subject of a probe by state attorneys general into how lenders and law firms ignored proper procedures to handle a crush of foreclosure paperwork.

An unnamed shareholder warned Fannie Mae of alleged foreclosure abuses in 2003, the inspector general for the agency that regulates Fannie says in a report being released Tuesday.

Fannie Mae responded by hiring a law firm to investigate the claims in 2005. The law firm reported in 2006 that it had found foreclosure attorneys in Florida "routinely filing false pleadings and affidavits."

Fannie officials said they told a government official about the law firm's findings in 2006. That unnamed official, who now works for Fannie's regulator, the Federal Housing Finance Agency, said he couldn't recall the conversation, the report says.

Fannie began using a network of attorneys in 1997 to help handle foreclosures, evictions and bankruptcies. In 2008, the network grew to 140 law firms. And the number of foreclosures in Fannie's portfolio reached historic highs. Foreclosures more than doubled from 2007 to 2008. They grew 50% in 2009.
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Court rules that UBS trader should stay in custody

Court Watch 2011/09/21 13:43   Bookmark and Share
An alleged rogue trader accused of losing Swiss banking giant UBS about $2.3 billion is "sorry beyond words," his lawyer said Thursday, as a judge ordered him to be held in jail until a hearing next month.

Kweku Adoboli, 31, is charged with four offenses of fraud and false accounting dating back to 2008 and accused of racking up losses in authorized trades. His arrest a week ago has heaped pressure on UBS Chief Executive Oswald Gruebel and stoked speculation that the bank could get rid of its investment banking operations.

At a court hearing in London, prosecuting lawyer David Levy added a new fraud offense to the three previous charges laid against Adoboli, and confirmed that authorities had revised upward the amount allegedly gambled away by the trader to around $2.3 billion. A previous hearing was told the trader was accused of losing $2 billion.

Patrick Gibbs, defending Adoboli, said his client ? who wore a gray suit, white shirt and dark blue tie ? was truly sorry for his actions.

"He is sorry beyond words for what has happened here, he went to UBS and told them what he had done, and stands now appalled at the scale of the consequences of his disastrous miscalculations," Gibbs said.

Adoboli, who appeared confident and nodded in acknowledgment to a handful of supporters attending the hearing, spoke only to confirm his name, birth date and address. He did not enter any pleas to the charges.


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BofA sued over $1.75 billion mortgage trust

Court Watch 2011/08/30 09:29   Bookmark and Share
Bank of America Corp was sued by the trustee of a $1.75 billion mortgage pool, which seeks to force the largest bank to buy back all of the loans in the trust because of alleged misrepresentations.

The banking unit of US Bancorp said Countrywide Financial Corp, which issued the loans in the HarborView Mortgage Loan Trust 2005-10, breached its obligations by misrepresenting the quality of its underwriting and loan documentation.

It said that because of this material breach, Bank of America, which bought Countrywide in 2008, was obligated to buy back all the loans in the mortgage pool.

The lawsuit was filed in the New York State Supreme Court in Manhattan.





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RI 'Survivor' winner won't get free lawyer

Court Watch 2011/08/25 10:07   Bookmark and Share
A Rhode Island judge is refusing to grant free legal counsel to help the winner of the first season of the CBS reality show "Survivor" appeal a nine-month prison sentence.

Judge William Smith on Thursday rejected 50-year-old Richard Hatch's request for a court-appointed attorney to help him fight the sentence handed down in March for violating the terms of his supervised release by failing to settle his tax bill.

Hatch, of Newport, spent more than three years in prison for not paying taxes on his $1 million "Survivor" winnings. He was released in 2009 and ordered to refile his 2000 and 2001 taxes and pay what he owed. Smith ruled he never did and returned him to prison.

Hatch, who claims he is "destitute," is scheduled to be released in December.


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