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Legal news from Monday, October 18, 2004 |
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Corporations and securities brief ~ SEC investigating pension records at Delphi
Amit Patel on October 18, 2004 5:03 PM ET

In Monday's corporations and securities law news, the SEC is reportedly investigating pension records at six big companies, including Delphi Corp. The Commission is focusing on whether the companies manipulated earnings by using inaccurate estimates to calculate pension costs. The SEC is also examining "cookie jar" reserves, said to be created when a company makes changes in pension plans to set aside artificially large cash reserves which can be dipped into during less profitable times. Delphi announced that regulators have requested documents from the company on its accounting related to pensions and retiree health benefits. Read the Delphi SEC filing here. AP has more.
In other news, Thomson Financial has announced that the SEC is investigating a division in the company which collects information on stock ownership. The company, which is cooperating in the probe, received a subpoena from regulators for documents related to its Capital Markets Intelligence business. Read Thomson Financial's press release here. AP has more.... Kmart announced Aylwin Lewis, a fast-food industry veteran, as the company's new president and CEO. Read the Kmart press release here. AP has more.... Former Statoil executive, Richard Hubbard, will not contest the fine levied by the Norwegian economic crime police for his role in a business deal with an Iranian consulting company. Hubbard will pay a fine of 200,000 kroner or $30,300. AP has more.... MCI Inc. has announced it will record non-cash impairment charges of $3.5 billion for the third-quarter to show the declining value of its assets. Read the MCI press release announcing the charge here. Bloomberg has more.... Star Gas Partners LP, owner of the biggest US heating-oil distributor, has announced that the company may seek bankruptcy protection due to high fuel prices. Read the Star Gas press release here. Bloomberg has more. click for previous corporations and securities law news


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International brief ~ UN nuclear regulators visit Brazil
D. Wes Rist on October 18, 2004 11:11 AM ET

Inspectors for the UN International Atomic Energy Agency are visiting Brazil (official site in Portuguese) Monday to examine the country's efforts to enrich uranium. The Brazilian government has a nuclear plant in Resende, near Rio de Janeiro, that it claims is being used solely to produce energy. The IAEA mandate requires that any country producing nuclear materials that might be used for nuclear weapons submit to inspections by the Agency to ensure that none of the material is being used for that purpose. Brazil had been stonewalling the Agency, claiming that trade secrets would be violated if it allowed inspectors onto the property. An agreement was apparently reached last month that would keep the inner workings of the plant secret, while allowing the inspectors access to the areas where nuclear material might be appropriated for use in nuclear weapons. JURIST's Paper Chase has background on the tension between the IAEA and Brazil. BBC News has more on the IAEA visit to Brazil here.... Reversing an earlier position, Zimbabwe's Minister of Justice, Patrick Chinamasa, has now said that the Zimbabwe government will accept a court finding that Morgan Tsvangirai (BBC News profile here), leader of the Movement for Democratic Change (MDC) was not guilty of attempting to assassinate President Robert Mugabe prior to the 2002 elections. Chinamasa had stated Friday that the government was considering an appeal of the court's ruling as an unlawful conviction. Tsvangirai's spokesman has said that Tsvangirai is considering a civil suit against the Zimbabwean government for wrongful detention that occurred prior to the trial. Tsvangirai still faces another trial for treason on charges of calling for street riots in 2003 to oust Mugabe. JURIST's Paper Chase has background on the acquittal here. The Zim Observer has more on the civil suit here. News24 has more on the acceptance of the ruling here.... The UN Human Rights Committee began its eighty-second session Monday in Geneva by reviewing the periodic reports of the governments of Finland, Albania, Benin, Morocco and Poland. The Human Rights Committee is responsible for overseeing countries' compliance with the International Covenant on Civil and Political Rights. The Committee will meet until 5 November and has the power to consider individual complaints of human rights abuses in nations party to the ICCPR. Read the offical press release from the Office of the UN High Commission on Human Rights here.... On Monday the African Union began its First Conference on African Human Rights Institutions in Addis Ababa, Ethiopia. The conference is designed to facilitate cooperation between human rights groups currently working in the African continent and to allow nations considering the creation of a governmental human rights monitoring body to gain access to helpful information. The conference will run until 21 October and is being organized by the Commission of the African Union, the UN High Commissioner for Human Rights, and the Secretariat of the Coordinating Committee of the African National Human Rights Institutions. More information on the conference is available on the AU homepage here.


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Legal agenda and live webcasts ~ Monday, October 18
Jeannie Shawl on October 18, 2004 6:10 AM ET

Here's a run-down of law-related events, expected developments and live webcasts on JURIST's docket for Monday, October 18.
Early voting begins today in Arkansas, Colorado, Florida, North Dakota and Texas. AP has more on early voting in Florida.... Today is the deadline for voter registration in California, Kansas and South Dakota.... In Washington DC, the National Press Club is hosting a forum on issues surrounding election technology. Presentations will be made on the status of election technology upgrades mandated by the Help Americans Vote Act and the prospects of litigation over election technology following the general election in November. The NPC has more.
The US House and Senate are in recess until Tuesday, November 16.
The UN Security Council will hold closed consultations at 3 PM ET on the situation in the Middle East.
The trial of former Yugoslav President Slobodan Milosevic resumes at 9 AM local time today at the International Criminal Tribunal for the Former Yugoslavia at The Hague. Watch a webcast beginning at 9:30 AM local time (3:30 AM ET); for witness protection, the webcast is on a 30-minute tape delay. The ICTY has background on the case. BBC News has more.... Also today at the ICTY, the defense case will start in the trial of Enver Hadzihasanovic and Amir Kubara. Watch a webcast beginning at 2:45 PM local time (8:45 PM ET); for witness protection, the webcast is on a 30-minute tape delay. The ICTY has case information.


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