Van Nuys debt collectors pay $1.1 million to settle federal case

WASHINGTON — A Van Nuys debt collection operation and the people who ran it agreed to pay $1.1 million to settle federal allegations that they improperly bullied consumers to get them to pay overdue bills and deceived clients about fees.

The settlement ends a case in which a federal judge in Los Angeles found the defendants liable for $33.8 million in fines and penalties. The defendants, however, had no more money to pay the judgment, the Federal Trade Commission said Thursday.

The deal, stemming from a 2011 case against Forensic Case Management Services Inc., owner David M. Hynes II and other officers, permanently bars the operators from the debt collection business.

The case was part of an FTC crackdown on abusive debt-collection practices, especially as the sluggish recovery from the Great Recession pushed more consumers into debt.

Employees of the company, which did business as Rumson, Bolling & Associates, among other names, violated federal law by berating and threatening people in pursuit of old debts and improperly disclosing information about those debts to employers, co-workers and others, the FTC said.

"Several consumers reported that defendants even threatened to dig up the bodies of consumers' deceased relatives for alleged nonpayment of funeral bills," the agency said.

The company also allegedly deceived its clients, reneging on a "no recovery, no fee" pledge in its collection of old debts. In many cases, the company kept more of the money it collected than it was entitled to, and in some instances added fees, the FTC said.

In 2011, a federal judge halted the company's operations.

Under the settlement, Forensic Case Management, Specialized Recovery Inc. and Commercial Receivables Acquisition Inc., along with Hynes and former executive Lorena Quiroz-Hynes, will be required to pay $700,000 because they cannot afford to pay the rest, the FTC said.

Two others connected to the companies, James S. Hynes and Heather True, agreed to smaller judgments that were suspended because of their inability to pay.

None of them admitted any wrongdoing, said their attorney, Christopher L. Pitet of Newport Beach.

"From Day One, we have denied doing anything wrong," Pitet said. "We had extensive training and policies in place to prevent abusive debt-collection practices, and to the extent any employees engaged in those practices … it was against company policy."

In a separate settlement, three companies controlled by David Hynes — Vesper Collins, Ramillies, both of Sherman Oaks, and Innsbruck — agreed to pay $403,487. The companies weren't involved in the alleged debt-collection violations, but profited from them, the FTC said.

jim.puzzanghera@latimes.com

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Kaspersky Lab reports major malware discovery

MOSCOW — In what is being called a new hunt for Red October, a Russian cyber-security company says it has discovered a major international malware system that has attacked and compromised the computers of government agencies, diplomatic consulates, research centers and defense installations, among other sensitive institutions.

The malware has siphoned off terabytes' worth of information, much of it classified, researchers with Moscow-based Kaspersky Lab said in a report this week. The origin of the program and the motives of the attackers remain elusive, but there are hints that the programmers are Russian, the report says.

"Last October we first received from our clients samples of something we soon gathered was not just a malware program but a multi-component attack platform, initially targeting embassies around the world," Vitaly Kamlyuk, a senior anti-virus expert at Kaspersky, said in an interview Wednesday. "We called the virus 'Red October' because we detected it in October and because it required a level of red-alert attention to tackle."

Similar to the Flame virus, a now-defunct spyware program Kaspersky thwarted last year, the new virus usually infiltrates computers through an email attachment camouflaged to mimic ordinary business correspondence, the expert said.

"One embassy was looking to buy a car and received the virus in a car sale proposal they soon found in their inbox," Kamlyuk said.

Kaspersky, a leading developer of commercial anti-virus software, said it found victims of the malware with IP addresses in 39 countries, led by Switzerland, Kazakhstan and Greece. The most common targets included embassies, government agencies and research institutes, as well as aerospace and energy companies.

Kaspersky said the malware was probably being operated by a government or criminal organization large enough to employ at least two dozen highly trained programmers.

Independent experts in the United States offered differing views on who might be responsible.

"The two primary suspects for this operation would have been either Russia or China, just based on some of the data," said John Bumgarner, research director for the U.S. Cyber Consequences Unit, a nongovernmental think tank.

But researcher Jeffrey Carr, author of "Inside Cyber Warfare," theorized that the malware was the work of the foreign intelligence service of a NATO or European Union country, and that the intent was to spy on Russian embassies.

"It's a pretty good guess" that Russia's spy service, the FSB, approached Kaspersky and asked the firm to investigate, Carr said. "One of the indications was that they were specifically looking for Russian documents."

Kaspersky researchers said the spyware, when first installed, might be only several hundred kilobytes in size, minuscule by modern computer standards. But as it gets established and communicates with its controllers, it may grow to several megabytes.

The virus records the names of the users, their IP addresses, information stored on their processors and local disks, the history of browsers, logins and passwords, and the records of devices plugged into USB ports, including smartphones, according to the report.

Like the Flame program, the new virus can record screen shots, as well as keystrokes.

Evidence of the Red October virus dates to May 2007, Kamlyuk said. The program was embedded in Microsoft Excel and Word documents that had been used by Chinese hackers against Asian companies and Tibetan political activists, Kamlyuk said.

"But soon enough," he said, "we realized that, despite its obvious Chinese roots and the fact that no agencies in China were in fact targets of the new malicious program, the Chinese hackers had nothing to do with Red October."

The language used in the malware was primarily English, but not that of a native English speaker. It included Cyrillic symbols and transliterations of terms from Russian computer jargon, the researchers said.

For instance, Kamlyuk said, the malware sometimes uses the Russian word "zakladka" for "bookmark" or "marker" and "proga" for "programs."

"Many domain names of the malware were registered under fake Russian names and addresses too," he said.

"Now we have come to the realization that we are dealing with something programmed by Russian-speaking experts, based on Chinese hackers' exploit documents and mostly aimed at embassies of and other targets in Russia and its former Soviet satellites," Kamlyuk said.

Sergei Karaganov, honorary chairman of the Council on Foreign and Defense Policy, a Moscow-based think tank, said in an interview that such cyber-espionage is increasingly common and that Russia and other countries have attempted to create international protocols to combat it.

"But every time, their attempts have been thwarted by the stiff resistance on the part of the United States, which probably counts too much on its supremacy in this sphere," he said. "On the other hand, I wouldn't rule out the possibility of this being an ingenious trick on the part of Kaspersky Lab to boost their trade."

sergei.loiko@latimes.com

Times staff writer Ken Dilanian in Washington contributed to this report.

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NVIDIA’s ‘Project SHIELD’ Console Faces Three Challenges

Despite being announced at last week’s Consumer Electronics Show, NVIDIA’s Project SHIELD isn’t the first game-console-in-a-controller to be announced this year. That honor goes to the GameStick, an indie project being funded on Kickstarter. As relative newcomers to the gaming scene, GameStick‘s creators face an uphill battle for acceptance, from both potential buyers and game developers.

But despite NVIDIA‘s established position as a gaming hardware company, it may have a struggle ahead of it, too. Here are three problems which may hinder Project SHIELD‘s adoption.

The size

Unlike GameStick, which is sort of like a classic NES gamepad with a detachable memory stick that plugs into the TV, Project SHIELD is a completely self-contained console. It’s thick and bulky, enormous compared to any of today’s controllers, or even Nintendo’s 3DS XL game console. The closest thing it compares to is an original Xbox controller, before the redesign, but with a flip-up multitouch screen that’s five inches across and has 720p resolution.

You’re not going to be able to just toss Project SHIELD in your pocket, like a smartphone or iPod or very small tablet. It’ll be portable in roughly the same sense that an iPad or netbook is portable, in that you’ll need a handbag or carrying case to put it in. This puts it in a separate size category from most of its competitors, and makes it less convenient to carry around.

The cost

Project SHIELD’s Tegra 4 processor will let it play Tegra-enhanced HD Android games straight from the Google Play store, as well as stream PC games from gaming PCs running Steam and equipped with certain types of NVIDIA graphics cards. Besides that, it’s a full-fledged Android device running Jelly Bean.

But at what cost? Google’s $ 199 Nexus 7 tablet lacks a built-in game controller, doesn’t have a much bigger screen, and uses a less powerful Tegra 3 processor. Dedicated game consoles like the 3DS XL and PlayStation Vita are priced in the same ballpark as the Nexus 7. NVIDIA has yet to announce how much Project SHIELD will cost, or even when it will be on store shelves.

The Tegra-enhanced HD graphics

For many, this will be a plus. There are a lot of Tegra HD (or “THD”) games on the Google Play store right now which boast improved graphics over the versions that run on other graphics processors.

It complicates things for game developers, though, who have to write a separate version just for Tegra processors. Unlike normal ARM processors and Android itself, Tegra is owned solely by NVIDIA, which means there are a lot of tablets and smartphones out there which can’t run those versions of these games. It also means gamers may have to repurchase certain games for Project SHIELD, in order to get the enhanced versions.

Looking towards the future

Things aren’t all gloomy. So far, NVIDIA’s managed to keep developer interest in the Tegra platform, and has gotten a lot of people excited about Project SHIELD. Its partnership with Valve also puts it in position to take advantage of the excitement surrounding Big Picture mode, and the upcoming gaming PCs (like Piston) designed to work with it and connect to a television.

Finally, a wireless game controller can cost upward of $ 50 by itself, so seen in that light Project SHIELD may not turn out to be so expensive — assuming gamers buy Tegra HD titles and NVIDIA graphics cards to use it with.

Jared Spurbeck is an open-source software enthusiast, who uses an Android phone and an Ubuntu laptop PC. He has been writing about technology and electronics since 2008.

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Obama calls for research on media in gun violence

NEW YORK (AP) — Hollywood and the video game industry received scant attention Wednesday when President Barack Obama unveiled sweeping proposals for curbing gun violence in the wake of the Newtown, Conn., school shooting.

The White House pressed most forcefully for a reluctant Congress to pass universal background checks and bans on military-style assault weapons and high-capacity ammunition magazines like the ones used in the Sandy Hook Elementary massacre.

No connection was suggested between bloody entertainment fictions and real-life violence. Instead, the White House is calling on research on the effect of media and video games on gun violence.

Among the 23 executive measures signed Wednesday by Obama is a directive to the Centers for Disease Control and Prevention and scientific agencies to conduct research into the causes and prevention of gun violence. The order specifically cited "investigating the relationship between video games, media images and violence."

The measure meant that media would not be exempt from conversations about violence, but it also suggested the White House would not make Hollywood, television networks and video game makers a central part of the discussion. It's a relative footnote in the White House's broad, multi-point plan, and Obama did not mention violence in entertainment in his remarks Wednesday.

The White House plan did mention media, but suggested that any effort would be related to ratings systems or technology: "The entertainment and video game industries have a responsibility to give parents tools and choices about the movies and programs their children watch and the games their children play."

The administration is calling on Congress to provide $10 million for the CDC research.

The CDC has been barred by Congress to use funds to "advocate or promote gun control," but the White House order claims that "research on gun violence is not advocacy" and that providing information to Americans on the issue is "critical public health research."

Since 26 were killed by a gunman at Sandy Hook in December, some have called for changes in the entertainment industry, which regularly churns out first-person shooter video games, grisly primetime dramas and casually violent blockbusters.

The Motion Picture Association of America, the National Association of Broadcasters, National Cable & Telecommunications Association and the Independent Film & Television Alliance responded to Wednesday's proposal in a joint statement:

"We support the president's goal of reducing gun violence in this country. It is a complex problem, and as we have said, we stand ready to be a part of the conversation and welcome further academic examination and consideration on these issues as the president has proposed."

After the Newtown massacre, Wayne Pierre, vice-president of the National Rifle Association, attacked the entertainment industry, calling it "a callous, corrupt and corrupting shadow industry that sells and sows violence against its own people." He cited a number of video games and films, most of them many years old, like the movies "American Psycho" and "Natural Born Killers," and the video games "Mortal Kombat" and "Grand Theft Auto."

President Obama's adviser, David Axelrod, had tweeted that he's in favor of gun control, "but shouldn't we also question marketing murder as a game?"

Others have countered that the same video games and movies are played and watched around the world, but that the tragedies of gun violence are for other reasons endemic to the U.S.

The Entertainment Software Association, which represents video game publishers, referenced that argument Wednesday in a statement that embraced Obama's proposal.

"The same entertainment is enjoyed across all cultures and nations, but tragic levels of gun violence remain unique to our country," said the ESA. "Scientific research an international and domestic crime data point toward the same conclusion: Entertainment does not cause violent behavior in the real world."

Several R-rated films released after Newton have been swept into the debate. Arnold Schwarzenegger, the former California governor and action film star, recently told USA Today in discussing his new shoot-em-up film "The Last Stand": "It's entertainment. People know the difference."

Quentin Tarantino, whose new film "Django Unchained" is a cartoonish, bloody spaghetti western set in the slavery-era South, has often grown testy when questioned about movie violence and real-life violence. Speaking to NPR, Tarantino said it was disrespectful to the memory of the victims to talk about movies: "I don't think one has to do with the other."

In 2011, the Supreme Court rejected a California law banning the sale of violent video games to children. The decision claimed that video games, like other media, are protected by the First Amendment. In dissent, Justice Stephen G. Breyer claimed previous studies showed the link between violence and video games, concluding "the video games in question are particularly likely to harm children."

In the majority, Justice Antonin Scalia wrote that the government can't regulate depictions of violence, which he said were age-old, anyway: "Grimm's Fairy Tales, for example, are grim indeed."

___

AP Entertainment Writer Derrik J. Lang contributed to this report from Los Angeles

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Study Confirms Benefits of Flu Vaccine for Pregnant Women

While everyone is being urged to get the flu vaccine as soon as possible, some pregnant women avoid it in the belief that it may harm their babies. A large new study confirms that they should be much more afraid of the flu than the vaccine.

Norwegian researchers studied fetal death among 113,331 women pregnant during the H1N1 flu pandemic of 2009-2010. Some 54,065 women were unvaccinated, 31,912 were vaccinated during pregnancy, and 27,354 were vaccinated after delivery. The scientists then reviewed hospitalizations and doctor visits for the flu among the women.

The results were published on Thursday in The New England Journal of Medicine.

The flu vaccine was not associated with an increased risk for fetal death, the researchers found, and getting the shot during pregnancy reduced the risk of the mother getting the flu by about 70 percent. That was important, because fetuses whose mothers got the flu were much more likely to die.

Unvaccinated women had a 25 percent higher risk of fetal death during the pandemic than those who had had the shot. Among pregnant women with a clinical diagnosis of influenza, the risk of fetal death was nearly doubled. In all, there were 16 fetal deaths among the 2,278 women who were diagnosed with influenza during pregnancy.

Dr. Marian Knight, a professor at the perinatal epidemiology unit of the University of Oxford, who was not involved in the research, called it “a high-quality national study” that shows “there is no evidence of an increased risk of fetal death in women who have been immunized. Clinicians and women can be reassured about the safety of the vaccine in the second and third trimesters of pregnancy.”

The Norwegian health system records vaccinations of individuals and maintains linked registries to track effects and side effects. The lead author, Dr. Camilla Stoltenberg, director of the Norwegian Institute of Public Health, said that there are few countries with such complete records.

“This is a great study,” said Dr. Denise J. Jamieson, an obstetrician and a medical officer at the Centers for Disease Control and Prevention, who was not involved in the work. “It’s nicely done, with good data, and it’s additional information about the importance of the flu vaccine for pregnant women. It shows that it’s effective and might reduce the risk for fetal death.”

In Norway, the vaccine is recommended only in the second and third trimesters, so the study includes little data on vaccination in the first trimester. The C.D.C. recommends the vaccine for all pregnant women, regardless of trimester.

“We knew from other studies that the vaccine protects the woman and the newborn,” Dr. Stoltenberg said. “This study clearly indicates that it protects fetuses as well. I seriously suggest that pregnant women get vaccinated during every flu season.”

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Container traffic at L.A., Long Beach ports up slightly in 2012

The ports of Los Angeles and Long Beach, which together make up one of Southern California's most important job engines, held their own against spirited competition from smaller harbors in 2012.

The two ports handled slightly more cargo than they moved in 2011 despite an eight-day strike that shut down most of the Los Angeles port and half of the cargo terminals in neighboring Long Beach.

The two ports also dodged a potential blow to their reputations for reliability that could have haunted them well into this year and beyond because of that strike, trade experts said.

"In 2012, we had a hurricane shut down the nation's third-busiest port, New York-New Jersey, and shippers have been worried about strikes affecting many other ports," said Paul Bingham, economics practice leader at consulting firm CDM Smith Inc. "That means Los Angeles and Long Beach don't stand out as being unusual."

The nation's big retail chains, manufacturers, shoe and apparel companies, farmers and others are still worried about the state of ongoing labor negotiations affecting 14 Eastern and Gulf Coast ports and the possibility of a potentially crippling strike.

The International Longshoremen's Assn. and the United States Maritime Alliance Ltd., a group of shipping lines, cargo terminal operators and port associations, have been negotiating on a new six-year contract since March. A Feb. 6 deadline looms, which represents the end of the latest contract extension.

International trade grew slightly in 2012, with the 10 biggest U.S. ports handling 34.2 million cargo containers, or about 800,000 more than they did in 2011, an increase of 2.4%. Some ports posted strong gains, including Savannah, the nation's fourth-largest port, which rose an estimated 9%; Hampton Roads, Va., No. 7, up an estimated 10.4% and Tacoma, Wash., No. 9, up an estimated 12.7%.

Overall, Los Angeles and Long Beach captured a 40.9% share of the volume of container cargo moving through the nation's 10 biggest ports in 2012, down slightly from the 41.9% share they held in 2011.

Experts anticipate that 2013 will bring overall slow gains in trade.

"In the past 12 months there have been strikes at the ports, hurricanes and shifts in manufacturing," said Paul Rasmussen, chief executive of Zepol Corp., which tracks trade data. "Not to mention that in a post-recession economy, U.S. companies are running their businesses much more conservatively."

"It's no wonder that 2012 imports were less than dramatic and certainly not back to the massive consumption seen in 2007," Rasmussen said.

Los Angeles and Long Beach together moved 14.1 million containers in 2012, slightly more than they did in 2011, but there were positive signs for both ports. That is good news for the Southern California economy because the two ports are directly responsible for about 595,000 jobs in Southern California and indirectly support an additional 648,500 jobs, said John Husing, principle of Redlands firm Economics & Politics Inc.

For Los Angeles, which handled 8.12 million containers, it was the best post-recession year to date and its third-busiest ever. That was in spite of the fact that its December cargo numbers were down 9.4% compared with the same month in 2011.

It was only the third time in the port's 105-year history that dockworkers handled more than 8 million containers in a year. Those containers carried imports, mostly from Asia, as well as U.S. exports headed overseas and empties that were also headed back across the Pacific.

The mark was reached despite an eight-day strike in late November and early December by the International Longshore and Warehouse Union Local 63 Office Clerical Unit that shut down seven of the port's eight cargo terminals.

"We're pleased with 2012, but as we look forward to the next 12 months we don't see significant growth in global trade," said Geraldine Knatz, executive director of the port.

The port last topped 8 million containers in 2007, when it handled 8.4 million containers. The port's record is 8.5 million containers, reached in 2006.

Los Angeles is the only U.S. port to top 8 million containers in a year and is the 16th-busiest port worldwide.

The neighboring Port of Long Beach sustained steep declines over much of 2012 but had its strongest showing in the latter stages. It was helped in part by a shift of some business from the Port of Los Angeles by French shipping giant CMA CGM Group.

Long Beach surpassed 6 million containers in 2012, and officials there were heartened by the strong late-year numbers.

"December was the port's best month for imports ever," said Art Wong, spokesman for the Port of Long Beach. "We're pretty happy about that."

ron.white@latimes.com

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Pakistani Prime Minister Raja Pervez Ashraf ordered arrested

ISLAMABAD, Pakistan — Tahirul Qadri, the fiery Islamic cleric leading a large antigovernment protest in the heart of the capital, was in the middle of a speech denouncing President Asif Ali Zardari's administration when an aide interrupted him with news.

The Supreme Court, Qadri was told, had just ordered the arrest of Zardari's prime minister on corruption charges. As he relayed the news to the crowd Tuesday, legions of Pakistanis filling a plaza about 500 yards from the parliament exploded in a yelp of joy. Many danced in the streets. Others embraced, tears streaming down their cheeks.

"My happiness is beyond words," said Ghulam Nabi, a 28-year-old laborer from Lahore. "We thank God for giving us this victory."

For demonstrators, the ruling served as validation of Qadri's message that Pakistan's current government is corrupt and incompetent, and cannot be trusted to oversee national elections this spring. But for Zardari's ruling party and many observers, the ruling heightened suspicion that Qadri's protest is being engineered behind the scenes by a powerful entity, perhaps the military, with the possible involvement of the judiciary.

"It looks like the Supreme Court is part of this intrigue," said Asma Jehangir, a human rights activist and former Supreme Court Bar Assn. president. "This isn't coincidence. Look at the timing. I believe the Supreme Court's moral authority has vanished."

Speaking to a Pakistani television channel, Information Minister Qamar Zaman Kaira said, "This decision by the Supreme Court doesn't look like a coincidence."

The order to arrest Prime Minister Raja Pervez Ashraf in connection with a scandal from his days as water and power minister broadsides Zardari's government at the worst possible time, as he struggles to withstand pressure on his administration created by Qadri's populist movement.

An estimated 40,000 Pakistanis unhappy with Zardari continued to take part in Qadri's sit-in protest Tuesday, and many who were interviewed said they would stay put until the parliament was dissolved and Zardari stepped down, demands Qadri made Monday after leading a long caravan of demonstrators from the eastern city of Lahore to Islamabad.

Zardari's inability to remedy a host of ills, from crippling power outages to militant attacks, is cited by demonstrators as a prime reason why they joined the sit-in. Voters have the choice of electing a new government in May, but Qadri contends the electoral system is weighted unfairly toward the two most powerful parties.

The system requires the appointment of a caretaker government during the run-up to the election, and leaves the choice of appointees to Zardari's ruling Pakistan People's Party and former Prime Minister Nawaz Sharif's party, the PML-N.

Qadri has said Pakistan's powerful military should be involved in the appointment, a remark that has led many observers to speculate that the country's security establishment is behind Qadri's movement. Both Qadri and the military deny that.

Until Tuesday, Zardari's team had tried to appear confident that Qadri's movement wasn't large enough to effect change and would eventually wither. Qadri fell far short of his goal of rallying 1 million Pakistanis for the protest march.

The Supreme Court ruling, however, put Zardari's party on the defensive. Party leaders in the coalition running the parliament said they would meet Tuesday night to discuss strategy.

"We were right that [Qadri's movement] is an effort to derail democracy," said Sharjeel Memon, a PPP stalwart and information minister for Sindh province. "What's happening now is not good for democracy."

For more than a year, the high court has been investigating Ashraf's role in the issuance of licenses to so-called rental power plants, a short-term project that was supposed to help solve the country's power shortage. The government signed three-to-five-year contracts with relatively small private power stations, essentially renting them while it worked on building larger plants.

The effort did little to alleviate the country's power troubles, however, and wasted millions of dollars in government money.

The corruption allegations against Ashraf involve purported kickbacks related to bidding for the rental plants, which took place while Ashraf was water and power minister from March 2008 to February 2011.

Ashraf was appointed prime minister in June to replace Yousuf Raza Gilani, who was forced from office that month by the Supreme Court after he was convicted of contempt for ignoring the court's order to revive an old corruption case against Zardari.

Many analysts at the time warned that Ashraf's appointment was risky, given the power plant scandal hanging over him. The episode earned Ashraf the nickname "Raja Rental" in the Pakistani media.

The Supreme Court order also seeks the arrest of several other officials suspected of being linked to the scandal.

It remains unclear how Zardari's government will respond. Gilani remained in office after he was convicted of contempt in April 2012, and stepped down only when the high court ordered his dismissal weeks later.

Deep animosity has for years tainted the relationship between Zardari's government and the judiciary, led by Supreme Court Chief Justice Iftikhar Mohammed Chaudhry. The feud dates to the early days of Zardari's presidency, when he balked at reinstating Chaudhry as chief justice. Chaudhry had been ousted by Gen. Pervez Musharraf, Pakistan's leader in 2007.

Zardari reportedly feared that Chaudhry would allow old corruption charges against him to proceed. After intense political and public pressure, Zardari relented and reinstated the judge.

alex.rodriguez@latimes.com

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Why the Atlantic removed the Scientology advertorial

LOS ANGELES (TheWrap.com) – The Atlantic apologized on Tuesday for posting a sponsored advertorial from the Church of Scientology, celebrating its leader David Miscavige.

The sponsored post, which went live Monday at 9:25 a.m. PT, touted 2012 as “milestone year” for the secretive church, which has been steeped in controversy throughout the years.

It was taken down about 8:30 p.m. and replaced by a message saying the magazine had “temporarily suspended this advertising campaign pending a review of our policies that govern sponsor content and subsequent comment threads.”

“We screwed up,” Natalie Raabe, an Atlantic spokeswoman told TheWrap after the firestorm of criticism and mockery the advertisement generated on the web. “It shouldn’t have taken a wave of constructive criticism – but it has – to alert us that we’ve made a mistake, possibly several mistakes.”

The Atlantic issued the following statement:

We screwed up. It shouldn’t have taken a wave of constructive criticism – but it has – to alert us that we’ve made a mistake, possibly several mistakes. We now realize that as we explored new forms of digital advertising, we failed to update the policies that must govern the decisions we make along the way. It’s safe to say that we are thinking a lot more about these policies after running this ad than we did beforehand. In the meantime, we have decided to withdraw the ad until we figure all of this out. We remain committed to and enthusiastic about innovation in digital advertising, but acknowledge – sheepishly – that we got ahead of ourselves. We are sorry, and we’re working very hard to put things right.

The timing of the ad was no surprise. New Yorker writer Lawrence Wright’s book-length exposé on Scientology – based on his 2011 profile of former Scientologist Paul Haggis – is due out Thursday.

Sponsored content, otherwise known as native ads or advertorials, have become a popular source of revenue for online publications, including Forbes and Business Insider.

But, normally, advertisers do not want comment threads under their paid-for content, and while this has never been a problem for previous Atlantic clients, the heated feelings surrounding Scientology erupted in the comment section below the article.

The Atlantic’s marketing team was moderating the comments – about 20 in all before the post was pulled – as they were posted, Raabe said.

“In this case, where a mistake was made, where we are taking a hard look at these things, is there were comments allowed on this post,” an Atlantic official with knowledge of the situation told TheWrap. “For a subject like this where people very strong feelings, we realized there’s not a clear policy in place for things like commenting.”

The Church of Scientology told TheWrap no one was available to speak on the controversy, and its media relations team did not immediately respond to an email requesting comment.

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Oxygen halts controversial 'Babies' Mamas' project

NEW YORK (AP) — Oxygen Media has pulled the plug on "All My Babies' Mamas," a reality special the network was developing about a musician who has fathered 11 children with 10 different mothers.

The network offered no reason for curtailing the project. In a statement issued Tuesday, Oxygen said that, "as part of our development process, we have reviewed casting and decided not to move forward with the special."

The one-hour program would have featured Atlanta rap artist Shawty Lo, his children and their mothers. It was expected to air later this year on Oxygen, an NBCUniversal cable network owned by Comcast.

"All My Babies' Mamas" got a hostile public reception after Oxygen announced it last month. At least one petition calling for Oxygen to shut it down has collected more than 37,000 signatures.

The Parents Television Council called the program's concept "grotesquely irresponsible and exploitive" and pledged to contact advertisers of the show if it reached the air.

Previously, Oxygen denied charges that the show was meant to be "a stereotypical representation of everyday life for any one demographic or cross section of society," but rather would reveal "the complicated lives of one man, his children's mamas and their army of children."

On Tuesday, Oxygen said it will "continue to develop compelling content that resonates with our young female viewers and drives the cultural conversation."

___

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Well: How to Go Vegan

When I first heard former President Bill Clinton talk about his vegan diet, I was inspired to make the switch myself. After all, if a man with a penchant for fast-food burgers and Southern cooking could go vegan, surely I could too.

At the grocery store, I stocked up on vegan foods, including almond milk (that was the presidential recommendation), and faux turkey and cheese to replicate my daughter’s favorite sandwich. But despite my good intentions, my cold-turkey attempt to give up, well, turkey (as well as other meats, dairy and eggs) didn’t go well. My daughter and I couldn’t stand the taste of almond milk, and the fake meat and cheese were unappealing.

Since then, I’ve spoken with numerous vegan chefs and diners who say it can be a challenge to change a lifetime of eating habits overnight. They offer the following advice for stocking your vegan pantry and finding replacements for key foods like cheese and other dairy products.

NONDAIRY MILK Taste all of them to find your favorite. Coconut and almond milks (particularly canned coconut milk) are thicker and good to use in cooking, while rice milk is thinner and is good for people who are allergic to nuts or soy. My daughter and I both prefer the taste of soy milk and use it in regular or vanilla flavor for fruit smoothies and breakfast cereal.

NONDAIRY CHEESE Cheese substitutes are available under the brand names Daiya, Tofutti and Follow Your Heart, among others, but many vegans say there’s no fake cheese that satisfies as well as the real thing. Rather than use a packaged product, vegan chefs prefer to make homemade substitutes using cashews, tofu, miso or nutritional yeast. At Candle 79, a popular New York vegan restaurant, the filling for saffron ravioli with wild mushrooms and cashew cheese is made with cashews soaked overnight and then blended with lemon juice, olive oil, water and salt.

THINK CREAMY, NOT CHEESY Creaminess and richness can often be achieved without a cheese substitute. For instance, Chloe Coscarelli, a vegan chef and the author of “Chloe’s Kitchen,” has created a pizza with caramelized onion and butternut squash that will make you forget it doesn’t have cheese; the secret is white-bean and garlic purée. She also offers a creamy, but dairy-free, avocado pesto pasta. My daughter and I have discovered we actually prefer the rich flavor of butternut squash ravioli, which can be found frozen and fresh in supermarkets, to cheese-filled ravioli.

NUTRITIONAL YEAST The name is unappetizing, but many vegan chefs swear by it: it’s a natural food with a roasted, nutty, cheeselike flavor. Ms. Coscarelli uses nutritional yeast flakes in her “best ever” baked macaroni and cheese (found in her cookbook). “I’ve served this to die-hard cheese lovers,” she told me, “and everyone agrees it is comparable, if not better.”

Susan Voisin’s Web site, Fat Free Vegan Kitchen, offers a nice primer on nutritional yeast, noting that it’s a fungus (think mushrooms!) that is grown on molasses and then harvested and dried with heat. (Baking yeast is an entirely different product.) Nutritional yeasts can be an acquired taste, she said, so start with small amounts, sprinkling on popcorn, stirring into mashed potatoes, grinding with almonds for a Parmesan substitute or combining with tofu to make an eggless omelet. It can be found in Whole Foods, in the bulk aisle of natural-foods markets or online.

BUTTER This is an easy fix. Vegan margarines like Earth Balance are made from a blend of oils and are free of trans fats. Varieties include soy-free, whipped and olive oil.

EGGS Ms. Coscarelli, who won the Food Network’s Cupcake Wars with vegan cupcakes, says vinegar and baking soda can help baked goods bind together and rise, creating a moist and fluffy cake without eggs. Cornstarch can substitute for eggs to thicken puddings and sauces. Vegan pancakes are made with a tablespoon of baking powder instead of eggs. Frittatas and omelets can be replicated with tofu.

Finally, don’t try to replicate your favorite meaty foods right away. If you love a juicy hamburger, meatloaf or ham sandwich, you are not going to find a meat-free version that tastes the same. Ms. Voisin advises new vegans to start slow and eat a few vegan meals a week. Stock your pantry with lots of grains, lentils and beans and pile your plate with vegetables. To veganize a recipe, start with a dish that is mostly vegan already — like spaghetti — and use vegetables or a meat substitute for the sauce.

“Trying to recapture something and find an exact substitute is really hard,” she said. “A lot of people will try a vegetarian meatloaf right after they become vegetarian, and they hate it. But after you get away from eating meat for a while, you’ll find you start to develop other tastes, and the flavor of a lentil loaf with seasonings will taste great to you. It won’t taste like meat loaf, but you’ll appreciate it for itself.”

Ms. Voisin notes that she became a vegetarian and then vegan while living in a small town in South Carolina; she now lives in Jackson, Miss.

“If I can be a vegan in these not-quite-vegan-centric places, you can do it anywhere,” she said. “I think people who try to do it all at once overnight are more apt to fail. It’s a learning process.”

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What are your tips for vegan cooking and eating? Share your suggestions on ingredients, recipes and strategies by posting a comment below or tweeting with the hashtag #vegantips.

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