Tag: Law

Get out your check books, folks, the Supreme Court opened the bank for the deposits of big money to flood the US political system.

The Supreme Court on Wednesday continued its abolition of limits on election spending, striking down a decades-old cap on the total amount any individual can contribute to federal candidates in a two-year election cycle.

The ruling, issued near the start of a campaign season, will very likely increase the role money plays in American politics.

The 5-to-4 decision, with the court’s more conservative members in the majority, echoed Citizens United, the 2010 decision that struck down limits on independent campaign spending by corporations and unions.

Wednesday’s decision seemed to alter campaign finance law in subtle but important ways, notably by limiting how the government can justify laws said to restrict the exercise of First Amendment rights in the form of campaign contributions.

Power Surge for Donors

By Nicholas Confessor, The New York Times

The ruling opens the door for each party’s establishment to reclaim some power from the super PACs and other independent spending groups that are now playing an outsize role in campaigns. Experts said the decision would permit party leaders to form joint fund-raising committees and solicit multimillion dollar checks on behalf of candidates. The House minority leader, Nancy Pelosi, for example, could in theory approach a donor seeking to help Democrats win control of the House of Representatives, and solicit as much as $2.3 million – $5,200 for each Democratic candidate in every House race, plus a contribution to the Democratic Congressional Campaign Committee.

A donor could also, in theory, give $5,000 per year to every political action committee currently registered with the Federal Election Committee. That would total more than $13 million, versus the $74,600 allowed under the existing aggregate cap.

The bidding is now open.

In a Federal court in New York City, the son in law of Osama bin Laden was convicted on Wednesday of conspiring to kill Americans and providing material support to terrorists. Sulaiman Abu Ghaith, the most senior advisers to bin Laden, was captured in Aman, Jordan last year after leaving Turkey on his way back to his home in Yemen. Mr Abu Ghaith’s trial was one of the first prosecutions of senior al-Qaeda leaders on US soil.

Since 9/11, 67 foreign terror suspects have been convicted in US federal courts, according to data obtained by the group Human Rights First.

Mr. Abu Ghaith, a 48-year-old Kuwaiti-born cleric known for his fiery oratory, had recorded impassioned speeches for Bin Laden after Sept. 11, in which he praised the attacks and promised that future attacks would be carried out.

His conviction on all three counts – and the lightning speed from his arrest to verdict – would seem to serve as a rejoinder to critics of the Obama administration’s efforts to try suspected terrorists in civilian court, rather than before a military tribunal. [..]

The jury returned its verdict on its second day of deliberations in the trial, which had entered its third week in United States District Court in Manhattan. Mr. Abu Ghaith was convicted of conspiracy to kill Americans, for which he could face life in prison; and providing material support to terrorists, as well as conspiring to do so, counts that each carry maximum terms of 15 years.

Mr. Abu Ghaith was asked to rise as the judge’s deputy clerk, Andrew Mohan, read the verdict aloud, and the defendant appeared impassive as the word “guilty” was repeated three times.

Mr. Abu Ghaith is being held in the Manhattan federal detention facility awaiting sentencing.

Who was it that said that terrorists should not be tried in civilian courts?

Some US lawmakers disagreed with the decision to try Mr Abu Ghaith in New York.

“When we find somebody like this, this close to Bin Laden and the senior al-Qaeda leadership, the last thing in the world we want to do, in my opinion, is put them in a civilian court,” said Republican Senator Lindsey Graham on Thursday.

“This man should be in Guantanamo Bay,” he said.

Lindsey? We can’t hear you. Oh! And crickets from fear mongering in chief Rep. Peter King (R=NY) and Sen. Chuck Schumer (D-NY) who poo-pooed the idea that any of the 9/11 terrorists should be tried in any civilian court,let alone one in New York City.

The system works. Now, close the Guantanamo detention facility and end the sham military tribunals.  

New disclosures from Edward Snowden show the NSA is massively expanding its computer hacking worldwide. Software that automatically hacks into computers – known as malware “implants” – had previously been kept to just a few hundred targets. But the news website The Intercept reports that the NSA is spreading the software to millions of computers under an automated system codenamed “Turbine.” The Intercept has also revealed the NSA has masqueraded as a fake Facebook server to infect a target’s computer and exfiltrate files from a hard drive. We are joined by The Intercept reporter Ryan Gallagher.

How the NSA Plans to Infect ‘Millions’ of Computers with Malware

By Ryan Gallagher and Glenn Greenwald, The Intercept

Top-secret documents reveal that the National Security Agency is dramatically expanding its ability to covertly hack into computers on a mass scale by using automated systems that reduce the level of human oversight in the process.

The classified files – provided previously by NSA whistleblower Edward Snowden – contain new details about groundbreaking surveillance technology the agency has developed to infect potentially millions of computers worldwide with malware “implants.” The clandestine initiative enables the NSA to break into targeted computers and to siphon out data from foreign Internet and phone networks.

The covert infrastructure that supports the hacking efforts operates from the agency’s headquarters in Fort Meade, Maryland, and from eavesdropping bases in the United Kingdom and Japan. GCHQ, the British intelligence agency, appears to have played an integral role in helping to develop the implants tactic.

In some cases the NSA has masqueraded as a fake Facebook server, using the social media site as a launching pad to infect a target’s computer and exfiltrate files from a hard drive. In others, it has sent out spam emails laced with the malware, which can be tailored to covertly record audio from a computer’s microphone and take snapshots with its webcam. The hacking systems have also enabled the NSA to launch cyberattacks by corrupting and disrupting file downloads or denying access to websites.

Mark Zuckerberg calls Obama after NSA report

By Alex Byers, Politico

Facebook CEO Mark Zuckerberg called President Barack Obama Wednesday night to complain about U.S. government actions that are undermining trust in the Internet, after a report that described how the National Security Agency posed as a Facebook server to inject malicious software into targets’ computers.

“When our engineers work tirelessly to improve security, we imagine we’re protecting you against criminals, not our own government,” Zuckerberg wrote in a Facebook post Thursday. “The U.S. government should be the champion for the internet, not a threat. They need to be much more transparent about what they’re doing, or otherwise people will believe the worst.” [..]

Zuckerberg did not make direct reference to the report in The Intercept. But he said he expressed frustration to the president about the “damage the government is creating for all of our future.” He added, “Unfortunately, it seems like it will take a very long time for true full reform.”

The NSA has denied doing any of this which flies in the face facts revealed in it’s own secret documents. Ryan Gallagher discusses those documents

A particular short excerpt from one of the classified documents, however, has taken on new significance due to the NSA’s statement. The excerpt is worth drawing attention to here because of the clarity of the language it uses about the Facebook tactic and the light it shines on the NSA’s denial. Referencing the NSA’s Quantum malware initiative, the document, dated April 2011, explains how the NSA “pretends” to be Facebook servers to deploy its surveillance “implants” on target’s computers:

It is difficult to square the NSA secretly saying that it “pretends to be the Facebook server” while publicly claiming that it “does not use its technical capabilities to impersonate U.S. company websites.” Is the agency making a devious and unstated distinction in its denial between “websites” and “servers”? Was it deliberate that the agency used the present tense “does not” in its denial as opposed to the past tense “did not”? Has the Facebook QUANTUMHAND technique been shut down since our report? Either way, the language used in the NSA’s public statement seems highly misleading – which is why several tech writers have rightly treated it with skepticism.

The same is true of the NSA’s denial that it has not “infected millions of computers around the world with malware” as part of its hacking efforts. Our report never actually accused the NSA of having achieved that milestone. Again, we reported exactly what the NSA’s own documents say: that the NSA is working to “aggressively scale” its computer hacking missions and has built a system called TURBINE that it explicitly states will “allow the current implant network to scale to large size (millions of implants).”

On September 30, 2011, President Barack Obama authorized the assassination of Anwar al-Awlaki, a U.S. citizen by virtue of his birth in New Mexico in 1971, by an American drone in Yemen along with another U.S. citizen, Samir Khan, who grew up in New York City and Charlotte, North Carolina. Two weeks later, Awlaki’s 16-year-old son, Abdulrahman, was killed by another US strike in Yemen. Jude Kenan Mohammad, alleged to have at one stage been part of an eight-man terror cell in North Carolina, was killed by a US drone strike in Pakistan later in 2011. These assassinations made Barack Obama the first president known president to have authorized the assassination of a US citizen.

Now, as was reported by the Associated Press, Pres. Obama is trying to find a way to legally justify the assassination of another American citizen living in Pakistan. The target has been accused, without evidence, of plotting attacks against America with Al Qaeda:

The CIA drones watching him cannot strike, because he’s a US citizen and the Justice Department must build a case against him, a task it hasn’t completed.

Four US officials said the American suspected terrorist is in a country that refuses US military action on its soil and that has proved unable to go after him. And President Obama’s new policy says American suspected terrorists overseas can only be killed by the military, not the CIA, creating a policy conundrum for the White House. [..]

Under new guidelines Obama addressed in a speech last year to calm anger overseas at the extent of the US drone campaign, lethal force must only be used “to prevent or stop attacks against US persons, and even then, only when capture is not feasible and no other reasonable alternatives exist to address the threat effectively.” The target must also pose “a continuing, imminent threat to US persons” – the legal definition of catching someone in the act of plotting a lethal attack.

Co-founders of the new digital magazine Jeremy Scahill and Glenn Greenwald discuss the issue of another American being targeted for assassination with [Democracy Now! ]’s Amy Goodman.

While the Associated Press had agreed to keep the name and location of Pres. Obama’s latest target, his location was disclosed by the Los Angeles Times.

Why should we, as Americans, accept that the Executive Branch can act as judge, jury and executioner without a trial in a duly recognized court of law? Where is any evidence that this person is a threat or even doing what the Obama administration charges are his alleged crimes? At FDL Dissenter, Kevin Gosztola asks why should a news organization should conceal the target’s identity and location for an administration that has touted greater transparency:

Knowing where he is currently located would help one understand this story appropriately. So, in what country would certain officials like to be able to launch an attack? [..]

It seems reasonable to question this decision by the AP to not publish. The decision bears a distinct similarity to refusing to print that a secret drone base is located in a certain country when covering the issue of drones, which US media organizations have previously done.

If it is illegal to add the person to a list and the government cannot come up with a legal way to launch a US military attack because the country opposes it, why should a media organization play the role of not “interrupting” this “ongoing counterterror operation”?

Just how many alleged American members of al Qaeda are there? This report disseminated on the Internet could now aid an “enemy” in figuring out some details on the extent to which he is being tracked and monitored for assassination in order to stop him from launching more attacks on Americans overseas. So, it would seem if AP really wants to protect counterterror operations from “interruption” they would simply not publish the story at all.

The story was given to Associated Press reporter Kimberly Dozier by four anonymous “US officials,” who were not authorized to speak, and a “senior administration official” possibly from the Department of Justice may have political undertones. Marcy Wheeler suggested that the sources may have been congressional staffers since Dozier mentioned Rep. Mike Rogers (R-MI), the chair of the House Intelligence Committee, who is upset because Obama’s new guidelines would impede the assassination of another American.

Whatever the allegations are against this person, it does not legally justify the use of a drone to target an American in a sovereign country that we are not at war with or without due process. Breaking the law under the guise of protecting America from terrorist attack is not justifiable. Regardless of who is in the Oval Office, the US should be a nation of laws and respect the constitutional rights of its citizens.

In their premier article for the new online magazine, The Intercept, co-founders Jeremy Scahill and Glenn Greenwald take an in-depth look at how the NSA mass surveillance plays an intrinsic role in President Barack Obama’s assassination program. In the article they reveal how the NSA is providing information that targets, not an individual, but a nameless SIM cards that have led to the deaths of innocent civilians:

According to a former drone operator for the military’s Joint Special Operations Command (JSOC) who also worked with the NSA, the agency often identifies targets based on controversial metadata analysis and cell-phone tracking technologies. Rather than confirming a target’s identity with operatives or informants on the ground, the CIA or the U.S. military then orders a strike based on the activity and location of the mobile phone a person is believed to be using. [..]

In one tactic, the NSA “geolocates” the SIM card or handset of a suspected terrorist’s mobile phone, enabling the CIA and U.S. military to conduct night raids and drone strikes to kill or capture the individual in possession of the device. [..]

One problem, he explains, is that targets are increasingly aware of the NSA’s reliance on geolocating, and have moved to thwart the tactic. Some have as many as 16 different SIM cards associated with their identity within the High Value Target system. Others, unaware that their mobile phone is being targeted, lend their phone, with the SIM card in it, to friends, children, spouses and family members.

As a result, even when the agency correctly identifies and targets a SIM card belonging to a terror suspect, the phone may actually be carried by someone else, who is then killed in a strike. According to the former drone operator, the geolocation cells at the NSA that run the tracking program – known as Geo Cell – sometimes facilitate strikes without knowing whether the individual in possession of a tracked cell phone or SIM card is in fact the intended target of the strike. [..]

What’s more, he adds, the NSA often locates drone targets by analyzing the activity of a SIM card, rather than the actual content of the calls. Based on his experience, he has come to believe that the drone program amounts to little more than death by unreliable metadata.

(emphasis mine)

Jeremy and Glenn joined Democracy Now!‘s Amy Goodman to discuss the NSA’s secret role in President Obama’s assassination program and, defying the threats, the launch of The Intercept.

President Barack Obama once again fell short of taking any meaningful action on reining in the NSA surveillance programs or assuring that American’s right to privacy under the Fourth Amendment be protected. He made one of his predictable speeches that attempted to placate both critics and defenders, failing to actually do anything significant, all the while lecturing the public on history and expressing his offense that anyone would think that he had done an inadequate job or had enabled surveillance state policies. FDL’s Kevin Gosztola contrasted today’s speech with NSA director Gen. Keith Alexander’s statements to Congress and his inaugural address last year:

The narrative that Obama promoted in the part of his speech building up to announcement of reforms was starkly similar to what NSA director Gen. Keith Alexander has said when addressing members of Congress at hearings held in the aftermath of Snowden’s first disclosures. The narrative he used should make Americans even more skeptical of how substantive the changes to surveillance will be. [..]

One might remember that just about one year ago Obama gave an inaugural speech after his re-election where he said a “decade of war is now ending” and later described how Americans believe there is no need for “perpetual war.” But the very premise of Obama’s speech involved a demand to recognize the value of militarized surveillance and this militarization keeps the US on a permanent war footing putting civil liberties of Americans at risk so long as this footing is maintained.

Since there were such low expectations, Mike Masnick at Techdirt thought the announced reforms were more significant than expected but stopped short of fixing the actual problems:

• A judge will have to approve each query for data on the metadata collection from Section 215 of the PATRIOT Act.
• The “three hop” dragnet will be reduced down to two hops. That does, in fact, limit how far the NSA can search by quite a bit. That last hop is quite big.
• The NSA should no longer hold all of the data, meaning that the telcos will be expected to hold onto it (though, he leaves it up to Congress and the DOJ to figure out how to do this). He calls this a “transition” away from the Section 215 program, but that’s hardly clear.
• National Security Letters (NSLs) will no longer have an unlimited gag order on them. The Attorney General will need to set up guidelines for a time in which gag orders expire, with the possibility of extending them for investigations that are still ongoing.
• Companies will be given slightly more freedom to reveal data on the NSLs they get (though I don’t think he indicated the same thing for Section 702 orders…. which is a big concern).
• The Attorney General and the Director of National Intelligence will review annually FISC rulings to figure out what can be declassified.
• He promises to “work with Congress” to look at changes to the FISA court
• He is adding some very limited restrictions on spying on people overseas. It should only be used for actual counterterrorism/crime/military/real national security efforts.
• A State Department official will be in charge of handling “diplomacy issues” related to these changes on foreign spying.
• An effort will be started with technologists and privacy experts over how to handle “big data and privacy” in both the public and private sectors.

Marcy Wheeler at emptywheel addressed what the president does not consider abuse:

• The NSA spied on the porn and phone sex habits of ideological opponents, including those with no significant ties to extremists, and including a US person.
• According to the NSA in 2009, it had a program similar to Project Minaret – the tracking of anti-war opponents in the 1970s – in which it spied on people in the US in the guise of counterterrorism without approval. We still don’t have details of this abuse.
• When the NSA got FISC approval for the Internet (2004) and phone (2006) dragnets, NSA did not turn off features of Bush’s illegal program that did not comply with the FISC authorization. These abuses continued until 2009 (one of them, the collection of Internet metadata that qualified as content, continued even after 2004 identification of those abuses).
• Even after the FISC spent 9 months reining in some of this abuse, the NSA continued to ignore limits on disseminating US person data. Similarly, the NSA and FBI never complied with PATRIOT Act requirements to develop minimization procedures for the Section 215 program (in part, probably, because NSA’s role in the phone dragnet would violate any compliant minimization procedures).
• The NSA has twice – in 2009 and 2011 – admitted to collecting US person content in the United States in bulk after having done so for years. It tried to claim (and still claims publicly in spite of legal rulings to the contrary) this US person content did not count as intentionally-collected US person content (FISC disagreed both times), and has succeeded in continuing some of it by refusing to count it, so it can claim it doesn’t know it is happening.
• As recently as spring 2012, 9% of the NSA’s violations involved analysts breaking standard operating procedures they know. NSA doesn’t report these as willful violations, however, because they’ve deemed any rule-breaking in pursuit of “the mission” not to be willful violations.
• In 2008, Congress passed a law allowing bulk collection of foreign-targeted content in the US, Section 702, to end the NSA’s practice of stealing Internet company data from telecom cables. Yet in spite of having a legal way to acquire such data, the NSA (through GCHQ) continues to steal data from some of the same companies, this time overseas, from their own cables. Arguably this is a violation of Section 702 of FISA.
• NSA may intentionally collect US person content (including Internet metadata that legally qualifies as content) overseas (it won’t count this data, so we don’t know how systematic it is). If it does, it may be a violation of Section 703 of FISA.

No, Mr. President, this is not enough.

We can’t tell you that we spied on you because it would violate your privacy??!!! This is precisely what the head of the NSA, General Keith B. Alexander told Senator Bernie Sanders (I-VT) in a letter responding to Sen. Sanders’ question about whether it collects information on members of Congress because doing so would violate the law.

“Among those protections is the condition that NSA can query the metadata only based on phone numbers reasonably suspected to be associated with specific foreign terrorist groups,” Alexander wrote. “For that reason, NSA cannot lawfully search to determine if any records NSA has received under the program have included metadata of the phone calls of any member of Congress, other American elected officials, or any other American without the predicate.” [..]

Alexander doesn’t actually say so in his letter, but it’s very possible that the NSA collects data on members of Congress just as it does on everyone else, in bulk. The NSA said in a statement earlier this month that members of Congress have the “same privacy protections” as ordinary citizens, which means that they too might be caught up in the NSA’s terrorism queries of its telephone database, which may sweep up millions of innocent people in a single search.

Seriously. I want to know what drugs they have given the heads of the DNI & NSA that they think that this is a plausible explanation of why that can’t tell a United States Senator whether or not they have spied on him. Alexander really wants us to believe that searching the NSA data base for information would violate the law

This certainly comes under the category of the most lamest excuses for abuse of power.

U.S. Appeals Court Deals Major Blow To Net Neutrality

By Reuters

A U.S. appeals court on Tuesday struck down the government’s latest effort to require internet providers to treat all traffic the same and give consumers equal access to lawful content, a policy that supporters call net neutrality.

The Federal Communications Commission did not have the legal authority to enact the 2011 regulations, which were challenged in a lawsuit brought by Verizon Communications Inc, the U.S. Court of Appeals for the District of Columbia Circuit said in its ruling. [..]

During the oral argument in September, Verizon’s lawyer said the regulations violated the company’s right to free speech and stripped control of what its networks transmit and how.

The eventual outcome of the dispute may determine whether internet providers can restrict some content by, for instance, blocking or slowing down access to particular sites or charging websites to deliver their content faster.

As Expected, Court Strikes Down FCC’s Net Neutrality Rules: Now What?

By Mike Masnick, Techdirt

Basically, this is exactly what lots of us said at the start of this whole process. I’ve seen a bunch of reports overreacting to this today, from people saying that it’s “the death of the internet.” It’s not. There are problems on both sides here. The telcos absolutely do want to abuse things to effectively double charge both sides. And that could clearly create significant issues with the basic end-to-end nature of the internet.

However, on the flip side, we should be equally concerned about the FCC overstepping its bounds and mandate in regulating the internet. Because that opens up the opportunity for the FCC to regulate all sorts of aspects of the internet in dangerous ways. So, this ruling is both good and bad. It stops the FCC from overstepping its bounds… but opens up the opportunity for the telcos to sweep in and try to upset the basic concepts of the internet. It’s what happens now that becomes interesting. The court does leave open the possibility that the FCC could use other aspects of its mandate to establish net neutrality rules — where it has a much more firm legal footing. In other words, the court is telling the FCC basically: you can establish net neutrality rules if you do it correctly.

Circuit Court Of Appeals Strikes Down FCC’s Open Internet Order, Net Neutrality Threatened

By Darrell Etherington, TechCrunch

Media watchdog and advocacy agency Free Press released the following statement about the decision via President and CEO Craig Aaron, condemning it while also acknowledging that the Open Internet Order probably wasn’t the best possible solution for enforcing net neutrality:

   We’re disappointed that the court came to this conclusion. Its ruling means that Internet users will be pitted against the biggest phone and cable companies – and in the absence of any oversight, these companies can now block and discriminate against their customers’ communications at will.

   The compromised Open Internet Order struck down today left much to be desired, but it was a step toward maintaining Internet users’ freedom to go where they wanted, when they wanted, and communicate freely online. Now, just as Verizon promised it would in court, the biggest broadband providers will race to turn the open and vibrant Web into something that looks like cable TV. They’ll establish fast lanes for the few giant companies that can afford to pay exorbitant tolls and reserve the slow lanes for everyone else.

   The FCC – under the leadership of former Chairman Julius Genachowski – made a grave mistake when it failed to ground its open Internet rules on solid legal footing. Internet users will pay dearly for the previous chairman’s lack of political will. That’s why we need to fix the problems the agency could have avoided in the first place.

   New FCC Chairman Tom Wheeler recently stated that the FCC must have the ability to protect broadband users and preserve the Internet’s fundamental open architecture. In order to do that, he must act quickly to restore reassert the FCC’s clear authority over our nation’s communications infrastructure. The agency must follow its statutory mandate to make broadband communications networks open, accessible, reliable and affordable for everyone.

   We look forward to working with Chairman Wheeler and the rest of the Commission to protect and preserve real Net Neutrality.

Take Action: Sign the Petition from Netroots Action

A federal appeals court just sided with Verizon and against you, against us, against the Internet.

If this ruling stands, the Internet as we know it will die.

Forget free and open access. Picture a system like cable TV with corporations charging for different levels of access, and blocking access to information they don’t favor!

The Internet is our tool for circumventing the corporate media, for reaching each other with a bit of truth and accuracy, for organizing each other into collective action. We cannot let this one go.

Sign this petition to the FCC, Congress, and the White House now!

Why are these two tales of fraud not the same in the eyes of the law?

Charges for 106 in Huge Fraud Over Disability

By William K. Rashbaum and James C. McKinley Jr.JAN. 7, 2014

The retired New York City police officers and firefighters showed up for their psychiatric exams disheveled and disoriented, most following a nearly identical script.

They had been coached on how to fail memory tests, feign panic attacks and, if they had worked during the Sept. 11, 2001, terrorist attacks, to talk about their fear of airplanes and entering skyscrapers, prosecutors said. And they were told to make it clear they could not leave the house, much less find a job. [..]

Former police officers who had told government doctors they were too mentally scarred to leave home had posted photographs of themselves fishing, riding motorcycles, driving water scooters, flying helicopters and playing basketball.

“The brazenness is shocking,” Cyrus R. Vance Jr., the Manhattan district attorney, said on Tuesday.

While those fraudsters were being indicted, arrested and arraigned, these fraudster were planning their next rip off of their investors.

JPMorgan Is Penalized $2 Billion Over Madoff

By Ben Protess and Jessica Silver-Greenberg

Preet Bharara, the United States attorney in Manhattan, and Jamie Dimon, the chief executive of JPMorgan Chase, gathered in Lower Manhattan as Mr. Bharara’s prosecutors were considering criminal charges against Mr. Dimon’s bank for turning a blind eye to the Ponzi scheme run by Bernard L. Madoff. Mr. Dimon and his lawyers outlined the bank’s defense in the hopes of securing a lesser civil case, according to people briefed on the meeting. [..]

Within weeks of meeting Mr. Bharara and recognizing their limited bargaining power, JPMorgan’s lawyers accepted the $1.7 billion penalty, the people briefed on the meeting said, which was within the range that prosecutors initially proposed. The bank also agreed to pay $350 million to the Office of the Comptroller of the Currency, accepting the agency’s only offer, one of the people said.

It could have been worse for the bank. At one point, prosecutors were weighing whether to demand that the bank plead guilty to a criminal charge, a move that senior executives feared could have devastating ripple effects. Rather than extracting a guilty plea, prosecutors struck a so-called deferred-prosecution agreement, suspending an indictment for two years as long as JPMorgan overhauls its controls against money-laundering. [..]

For JPMorgan, the Madoff case is the bank’s latest steep payout to the government. In November, JPMorgan paid a record $13 billion to the Justice Department and other authorities over its sale of questionable mortgage securities in the lead-up to the financial crisis. All told, after paying these settlements, JPMorgan will have paid out some $20 billion to resolve government investigations over the last 12 months. [..]

And critics of Wall Street are unsatisfied, noting that Mr. Bharara’s office opted to defer prosecution and did not charge any JPMorgan employees with wrongdoing.

“Banks do not commit crimes; bankers do,” said Dennis M. Kelleher, the head of Better Markets, an advocacy group.

A United States District Judge for the Southern District of New York, Jed Rakoff, wants to know why have no high-level executives been prosecuted for the financial crisis

Five years have passed since the onset of what is sometimes called the Great Recession. While the economy has slowly improved, there are still millions of Americans leading lives of quiet desperation: without jobs, without resources, without hope.

Who was to blame? Was it simply a result of negligence, of the kind of inordinate risk-taking commonly called a “bubble,” of an imprudent but innocent failure to maintain adequate reserves for a rainy day? Or was it the result, at least in part, of fraudulent practices, of dubious mortgages portrayed as sound risks and packaged into ever more esoteric financial instruments, the fundamental weaknesses of which were intentionally obscured?

If it was the former – if the recession was due, at worst, to a lack of caution – then the criminal law has no role to play in the aftermath. [..]

But if, by contrast, the Great Recession was in material part the product of intentional fraud, the failure to prosecute those responsible must be judged one of the more egregious failures of the criminal justice system in many years. [..]

In striking contrast with these past prosecutions, not a single high-level executive has been successfully prosecuted in connection with the recent financial crisis, and given the fact that most of the relevant criminal provisions are governed by a five-year statute of limitations, it appears likely that none will be. It may not be too soon, therefore, to ask why. [..]

But the stated opinion of those government entities asked to examine the financial crisis overall is not that no fraud was committed. Quite the contrary. For example, the Financial Crisis Inquiry Commission, in its final report, uses variants of the word “fraud” no fewer than 157 times in describing what led to the crisis, concluding that there was a “systemic breakdown,” not just in accountability, but also in ethical behavior. [..]

Without giving further examples, the point is that, in the aftermath of the financial crisis, the prevailing view of many government officials (as well as others) was that the crisis was in material respects the product of intentional fraud. In a nutshell, the fraud, they argued, was a simple one. Subprime mortgages, i.e., mortgages of dubious creditworthiness, increasingly provided the chief collateral for highly leveraged securities that were marketed as AAA, i.e., securities of very low risk. How could this transformation of a sow’s ear into a silk purse be accomplished unless someone dissembled along the way? [..]

Thus, Attorney General Eric Holder himself told Congress:

   It does become difficult for us to prosecute them when we are hit with indications that if you do prosecute-if you do bring a criminal charge-it will have a negative impact on the national economy, perhaps even the world economy.

To a federal judge, who takes an oath to apply the law equally to rich and to poor, this excuse-sometimes labeled the “too big to jail” excuse-is disturbing, frankly, in what it says about the department’s apparent disregard for equality under the law.

NSA whistleblower Thomas Drake and Jessalyn Raddack, Edward Snowden’s legal adviser appeared on Meet the Press, December 29, discussed the NSA leaks by Snowden and why they believe that he could not get a fair trial in this country.

In editorials over New Year’s Day, the New York Times and The Guardian called on President Barack Obama to grant Edward Snowden some form of clemency or a pardon to allow him to return home.

Edward Snowden, Whistle-Blower

By The New York Times Editorial Board

Considering the enormous value of the information he has revealed, and the abuses he has exposed, Mr. Snowden deserves better than a life of permanent exile, fear and flight. He may have committed a crime to do so, but he has done his country a great service. It is time for the United States to offer Mr. Snowden a plea bargain or some form of clemency that would allow him to return home, face at least substantially reduced punishment in light of his role as a whistle-blower, and have the hope of a life advocating for greater privacy and far stronger oversight of the runaway intelligence community.  [..]

The shrill brigade of his critics say Mr. Snowden has done profound damage to intelligence operations of the United States, but none has presented the slightest proof that his disclosures really hurt the nation’s security. Many of the mass-collection programs Mr. Snowden exposed would work just as well if they were reduced in scope and brought under strict outside oversight, as the presidential panel recommended.

When someone reveals that government officials have routinely and deliberately broken the law, that person should not face life in prison at the hands of the same government. That’s why Rick Ledgett, who leads the N.S.A.’s task force on the Snowden leaks, recently told CBS News that he would consider amnesty if Mr. Snowden would stop any additional leaks. And it’s why President Obama should tell his aides to begin finding a way to end Mr. Snowden’s vilification and give him an incentive to return home.

Snowden affair: the case for a pardon

The Guardian Editorial, Comment is Free

Snowden gave classified information to journalists, even though he knew the likely consequences. That was an act of courage

Mr Snowden gave classified information to journalists, even though he knew the likely consequences. That was an act of some moral courage. Presidents – from Franklin Roosevelt to Ronald Reagan – have issued pardons. The debate that Mr Snowden has facilitated will no doubt be argued over in the US supreme court. If those justices agree with Mr Obama’s own review panel and Judge Richard Leon in finding that Mr Snowden did, indeed, raise serious matters of public importance which were previously hidden (or, worse, dishonestly concealed), is it then conceivable that he could be treated as a traitor or common felon? We hope that calm heads within the present administration are working on a strategy to allow Mr Snowden to return to the US with dignity, and the president to use his executive powers to treat him humanely and in a manner that would be a shining example about the value of whistleblowers and of free speech itself.

Attorney for Julian Assange and President Emeritus of the Center for Constitutional Rights (CCR) in New York discussed how the New York Times Editorial should have also supported other whistleblowers with Real News Network’s Jaisal Noor.