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| Bangladesh Bank exposed to hackers by cheap switches, no firewall - police | |  By Serajul Quadir DHAKA (Reuters) - Bangladesh's central bank was vulnerable to hackers because it did not have a firewall and used second-hand, $10 switches to network computers connected to the SWIFT global payment network, an investigator into one of the world's biggest cyber heists said. The shortcomings made it easier for hackers to break into the Bangladesh Bank system earlier this year and attempt to siphon off nearly $1 billion using the bank's SWIFT credentials, said Mohammad Shah Alam, head of the Forensic Training Institute of the Bangladesh police's criminal investigation department. The lack of sophisticated switches, which can cost several hundred dollars or more, also means it is difficult for investigators to figure out what the hackers did and where they might have been based, he added.
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| China blames Taiwan criminals for surge in telephone scams | | | By Michael Martina and J.R. Wu BEIJING/TAIPEI (Reuters) - China is battling an explosion of telecoms fraud that has cost billions of dollars in financial losses and driven some victims to suicide, according to authorities in Beijing who say criminal gangs based in rival Taiwan are behind many of the scams. Chinese state media has blamed weak punishments in the self-ruled island, and reported that Chinese-speaking fraudsters recruited in Taiwan were increasingly setting up operations in East Africa or Southeast Asia. Despite political tensions, the two sides have in recent years cooperated on investigating such scams, but Taiwan says mainland authorities sometimes do not provide enough evidence for them to do anything. |
| VW forges U.S. deal arising from diesel emissions scandal | |  By Alexandria Sage and David Shepardson SAN FRANCISCO/WASHINGTON (Reuters) - Volkswagen AG, driving to move beyond a scandal that has disrupted its global business and sullied its reputation, announced a sweeping U.S. deal on Thursday to buy back or potentially fix about a half million polluting diesel cars and set up environmental and consumer compensation funds. The settlement, which sources and analysts said could cost VW at least $10 billion, is not likely to end the Dieselgate controversy that began last September when the world's No. 2 automaker admitted using sophisticated secret software in its cars to cheat exhaust emissions tests. Despite the potentially big price tag, Volkswagen shares rose 6 percent on Thursday after rising nearly 7 percent on Wednesday on news of the agreement, which must be finalised by June 21.
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| Trump, Cruz spar as Republican Party rejects rules change | |  By Amanda Becker and Steve Holland WASHINGTON/HOLLYWOOD, Fla. (Reuters) - Republican presidential contenders Donald Trump and Ted Cruz vied on Thursday for the support of party leaders who view them as outsiders, and turned a national controversy over a law on transgender bathroom use into a campaign issue. Saying the law, passed by the Republican-controlled legislature, was unnecessary, Trump said North Carolina was "paying a big price" because of reaction from businesses that have halted or cancelled plans to expand in the state unless it is repealed. Cruz, a U.S. senator from Texas who is a staunch social and fiscal conservative, expressed support for the law, and said the Republican front-runner had caved to political correctness as he seeks to lock down the party nomination and broaden his appeal ahead of the Nov. 8 election.
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| Mapuche group claims responsibility for Chile arson attacks | | | A resistance group formed by the indigenous Mapuche people claimed responsibility on Thursday for arson attacks in southern Chile that have once again cast the country's long-simmering Mapuche conflict into public view. The group, calling itself 'Weichan Auka Mapu' in the Mapudungun tongue, which means 'Fight of the Rebel Territory,' said it had burned five churches since March 1. The Weichan Auka Mapu group has said it is attempting to regain land lost during Chile's nineteenth century expansion southward into Mapuche-held territory. |
| Guantanamo shrinking but Obama goal of closing prison still elusive | |  By Matt Spetalnick GUANTANAMO BAY U.S. NAVAL BASE, Cuba (Reuters) - Observed from behind a one-way mirror and heavy chain-link fence, a handful of bearded detainees in baggy t-shirts mill around inside a communal cellblock at the Guantanamo Bay military prison, vastly outnumbered by U.S. troops guarding them. This is the shrinking world of America's notorious offshore prison, a scene that underscores how U.S. President Barack Obama is running out of time - and options - to meet his pledge to close the compound before he leaves office in January. Obama has whittled down the number of prisoners to 80, the lowest since shortly after his predecessor George W. Bush opened the facility to hold terrorism suspects rounded up overseas following the Sept. 11, 2001, attacks.
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| European drivers bristle as VW reaches U.S. diesel deal | |  By Edward Taylor and Kirstin Ridley FRANKFURT/LONDON (Reuters) - European owners of Volkswagen cars read the details of a deal to compensate U.S. drivers for the diesel emissions scandal with frustration as their wait for settlement enters its eighth month. European lawyers say their clients deserve a similar offer to the one that was announced by a U.S. judge on Thursday and includes buybacks or possible fixes at an estimated cost to VW of more than $10 billion. VW has said about 11 million cars worldwide were fitted with software to cheat diesel emissions tests that are designed to limit car fumes blamed for respiratory diseases and global pollution.
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| Legal hurdles remain for Volkswagen in U.S. clean-diesel cases | |  By Jessica Dye NEW YORK (Reuters) - Volkswagen AG faces further legal fights on several fronts in the United States despite its announcement on Thursday it reached a preliminary deal to resolve consumers' and regulators' claims over vehicles outfitted with software to cheat on diesel-emissions tests. The U.S. Department of Justice said its criminal investigation into the conduct of Volkswagen remained ongoing, and a multi-state probe into consumer and environmental violations will continue, according to New York Attorney General Eric Schneiderman, whose office is among those leading the investigation. It also remains unclear whether the consumers behind the 600 class actions filed over the scandal will ultimately accept Volkswagen's offer, or choose to keep litigating.
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| Journalists will not share Panama Papers with U.S. Justice Department | |  By Julia Harte WASHINGTON (Reuters) - The media group that coordinated the Panama Papers investigation into offshore companies said on Thursday it would not participate in a criminal probe by the U.S. Department of Justice. Preet Bharara, the U.S. Attorney for Manhattan, wrote to the International Consortium of Investigative Journalists seeking additional information from the group to aid his investigation into tax avoidance claims, the Guardian reported on Tuesday. "ICIJ, and its parent organisation the Center for Public Integrity, are media organizations shielded by the First Amendment and other legal protections from becoming an arm of law enforcement," said Gerard Ryle, director of the consortium, in a press release on the group's website.
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| Exclusive - Egyptian police detained Italian student before his murder: sources | |  (Reuters) - An Italian student who was tortured and murdered in Egypt had been detained by police and then transferred to a compound run by Homeland Security the day he vanished, intelligence and police sources say. The claims contradict the official Egyptian account that security services had not arrested him. Giulio Regeni, a 28-year-old postgraduate student, disappeared on Jan. 25, friends say.
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| With climate deal, activists seeks land rights for native people | |  By Sebastien Malo NEW YORK (Thomson Reuters Foundation) - With world leaders converging in New York to sign a landmark climate deal, activists along with actor Alec Baldwin called on Thursday for a halt to deforestation, a contributor to global warming, by giving indigenous people rights to their land. Keeping indigenous tribes from being pushed off their land would help protect forests that absorb planet-warming greenhouse gasses, they told reporters in New York City. The climate change agreement, which commits world nations to lower greenhouse emissions, is slated to be signed by leaders and key officials of more than 150 nations on Friday.
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| In major shift, Mexico president proposes relaxing marijuana laws | |  By Gabriel Stargardter MEXICO CITY (Reuters) - Mexican President Enrique Pena Nieto on Thursday proposed legalising marijuana-based medicines, raising the amount users can carry and freeing inmates on minor weed charges, in a major shift amid regional efforts to reboot drug policy. Pena Nieto, who is grappling with deadly drug cartel violence, said he will send to Congress a proposal to permit the use and importation of marijuana-based medicines, and raise the amount that weed users can legally carry to 28 grams from 5 grams. Growing and selling marijuana is illegal in Mexico and a mainstay business of violent drug gangs.
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| U.S. prisoner in Bahrain says he has been freed via royal pardon | | | By Yara Bayoumy WASHINGTON (Reuters) - A U.S. citizen who had been sentenced in Bahrain to 10 years in jail in 2013 has been granted a royal pardon and was freed on Thursday after paying a fine, he and his lawyer said. Tagi al-Maidan was born in the United States to a Bahraini mother and Saudi father and his status as a U.S. national had thrown a spotlight on the complex relationship between Washington and Bahrain, a U.S. ally in the volatile Gulf region that has long provided a base for the U.S. Navy's Fifth Fleet. Mohammed al-Jishi, Maidan's lawyer, said he had received an official document that referred to the royal pardon in Maidan's case. |
| Serbia protests to Croatia over minister's war crimes comment | |  Serbia lodged a diplomatic protest on Thursday after Croatia's foreign minister was quoted as saying it was "an historical perversion" for Belgrade to claim the right to judge war crimes committed anywhere in the former Yugoslavia in the 1990s. The protest marked an escalation of a row between the neighbours over Croatia's attempt to set conditions for Serbia to make progress in its talks on joining the European Union. Croatia, which fought a 1991-95 war against Belgrade-backed Serb rebels to forge its independence from Yugoslavia, wants Serbia to drop its claim - enshrined in a 2003 law - to jurisdiction over war crimes committed on the entire territory of the former Yugoslavia.
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