Deportations of illegal immigrants in 2012 reach new US record

The Obama administration deported at least 400,000 illegal immigrants in fiscal year 2012, a new record. It emphasizes deporting 'criminal aliens' to protect public safety, but the high figure serves to remind Latinos of the president's unfilled pledge to reform immigration policy.

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Existing home sales rise to fastest pace in three years

Home resales rose sharply in November to their fastest pace in three years, a sign the recovery in the housing market is gaining steam.
The National Association of Realtors said on Thursday that existing home sales climbed 5.9 percent last month to a seasonally adjusted annual rate of 5.04 million units.
That was the fastest since November 2009, when a federal tax credit for home buyers was due to expire. Sales were well above the median forecast of a 4.87 million-unit rate in a Reuters poll.
The U.S. housing market tanked on the eve of the 2007-09 recession and has yet to fully recover, but steady job creation has helped the housing sector this year, when it is expected to add to economic growth for the first time since 2005.
NAR economist Lawrence Yun said superstorm Sandy, which slammed in the U.S. East Coast in late October and disrupted the regional economy for weeks, had only a slight negative impact on home resales.
The NAR expects some purchases delayed by the storm to add a slight boost to resales over the next few months, Yun said.
Nationwide, the median price for a home resale was $180,600 in November, up 10.1 percent from a year earlier as fewer people sold their homes under distressed conditions compared to the same period in 2011. Distressed sales include foreclosures.
The nation's inventory of existing homes for sale fell 3.8 percent during the month to 2.03 million, the lowest level since December 2001.
At the current pace of sales, inventories would be exhausted in 4.8 months, the lowest rate since September 2005.
Distressed sales fell to 22 percent of total sales from 29 percent a year ago.
The share of distressed sales, which also include those where the sales price was below the amount owed on the home, was also down from 24 percent in October.

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New York City should hike taxes on big business-comptroller

 New York City's top financial officer and possible contender for mayor in 2013, John Liu, proposed on Thursday tax hikes for big businesses and an end to Madison Square Garden's $15 million annual property tax exemption.
The proposals by New York City Comptroller John Liu include tax hikes on private equity firms, which would help offset his plan for $500 million in tax breaks and lowered fines for 90 percent of the city's small businesses.
Liu is expected to vie for the Democratic mayoral nomination for the election in November 2013.
The city could end tax breaks for big companies - more than $250 million of which were handed out last year, Liu said.
The city could also eliminate its $15 million annual property tax exemption for Madison Square Garden, the indoor arena in midtown Manhattan that's home to the New York Knicks basketball team. Madison Square Garden has been exempt from paying taxes on real property since 1982 under New York state law.
The arena is owned by The Madison Square Garden Co, which also owns the Knicks and other professional sports teams. The company also owns Radio City Music Hall, the Beacon Theatre and others venues, as well as television networks.
Liu also proposed examining tax breaks for special interests. Insurance companies, for instance, have not paid the general corporation tax since 1974, at a cost of $300 million annually to the city, he said.
Private equity firms could also start paying the unincorporated business tax for carried interest or gains from assets being held for investment. The exemption costs New York City about $200 million a year, Liu said.
Liu's package would use the revenue generated by those measures to offset his plan to ease the tax burden for small businesses.
He proposed ending the city's general corporation tax for all businesses with liabilities under $5,000 -- about 240,000 business in the city, or 85 percent of those that currently pay the tax.
His plan would also reduce some fines, as well as exempt businesses that make less than $250,000 in annual income from the city's unincorporated business tax.
The proposals would have to be approved by the governor and state legislature after a request by the city council.
The city is facing a possible $2.7 billion gap in fiscal 2014 that could grow to $3.8 billion the following year, Liu said.

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Republicans push own "fiscal cliff" plan; talks frozen

 Republicans in the Congress pushed ahead on Thursday with a "fiscal cliff" plan that stands no chance of becoming law as time runs short to reach a deal with President Barack Obama to avert a Washington-induced economic recession.
House of Representatives Speaker John Boehner's "Plan B" to limit income-tax increases to the wealthiest sliver of the population appeared likely to pass the House on Thursday evening after it narrowly cleared a procedural hurdle in the afternoon.
However, Obama has vowed to veto the plan, and Senate Majority Leader Harry Reid said he will not bring it up for a vote in the Democratic-controlled chamber. White House spokesman Jay Carney called it a "multi-day exercise in futility."
Still, passage of Plan B could give Boehner the political cover he needs to strike a deal that would break with decades of Republican anti-tax orthodoxy.
"Time's running short. I'm going to do everything I can to protect as many Americans from an increase in taxes as I can," Boehner told a news conference.
Though it does not raise taxes on as many affluent Americans as Obama wants, the bill would put Republicans on record as supporting a tax increase on those who earn more than $1 million per year - a position the party opposed only weeks ago.
That could make it easier eventually to split the difference with Obama, who wants to lower the threshold to households that earn more than $400,000 annually. Obama also faces resistance on his left flank from liberals who oppose cuts to popular benefit programs, which Republicans say must be part of any deal.
Obama and Boehner will need to engage in more political theater to get lawmakers in both parties to sign on to the painful concessions that will have to be part of any deal to avert the cliff and rein in the national debt, analysts say.
"They are now in the mode where they have to demonstrate how hard they're trying to get everything they can," said Joe Minarik, a former Democratic budget official now with the Committee For Economic Development, a centrist think tank.
Even as he pressured Obama and the Democratic Senate to approve his plan, Boehner indicated that he was not willing to walk away from the bargaining table.
"The country faces challenges, and the president and I, in our respective roles, have a responsibility to work together to get them a result," Boehner said.
TIME RUNNING OUT
Obama and Boehner aim to reach a deal before the end of the year, when taxes will automatically rise for nearly all Americans and the government will have to scale back spending on domestic and military programs. The $600 billion hit to the economy could push the U.S. economy into recession, economists say.
Investors so far have assumed the two sides will reach a deal, but concerns over the fiscal cliff have weighed on markets in recent weeks. The S&P 500 index of U.S. stocks was up 0.4 percent in Thursday trading, despite a round of strong data on economic growth and housing.
"The closer we get to the end of the year without a deal, the more optimism is going to evaporate," said Todd Schoenberger, managing partner at LandColt Capital in New York.
Shares crept up after Boehner said he was prepared to work with Obama to prevent the fiscal cliff from kicking in.
Lawmakers are eager to wrap up their work and return home for the Christmas holiday, but congressional leaders kept the door open for last-minute action.
The Senate was expected to leave town on Thursday or Friday, but Reid said it could return next week to vote on any deal.
Boehner indicated the House would stay in session after Thursday's vote, scheduled for 7:45 p.m. EST (0045 GMT on Friday).
Several influential conservative groups have condemned Plan B, and some Republicans are expected to vote against it. But passage appeared likely after the House narrowly voted by 219 to 197 to bring the bill to the floor for debate.
The U.S. Chamber of Commerce, an influential business group that has often tangled with the Obama administration, offered grudging support.
"We are not comfortable allowing tax increases on anyone in this environment. However, we understand that, at times, politics requires compromise," the Chamber's top lobbyist, Bruce Josten, wrote in a letter to lawmakers.
To placate conservatives, Boehner also scheduled a vote on legislation that would shift $55 billion in scheduled defense cuts to cuts in food and health benefits for the poor and other domestic programs.
That measure also would roll back some of the Dodd-Frank financial regulation reforms of 2010. It is not expected to become law.

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Canada's seven-month budget gap narrows to C$10.6 billion

Canada's federal budget deficit narrowed in the first seven months of the fiscal year to C$10.57 billion ($10.68 billion) from C$13.90 billion in the same period last year as personal and corporate income tax revenues rose and debt charges were lower.
The monthly shortfall in October was C$1.68 billion, compared with a gap of C$2.13 billion a year earlier, the Department of Finance said in a report on Friday.
The Conservative government in October pushed back by one year, to 2016-17, the date it expects to eliminate the deficit. Most economists believe that if the economy continues to grow, the books could be balanced sooner.
Ottawa has estimated a 2012-13 deficit of C$26 billion, including a C$1 billion cushion for risk.
In the April-October period, revenues increased by 3.6 percent, or C$4.9 billion, from the same period in 2011, pushed up by personal income tax and corporate income tax. Program expenses rose by 2 percent, or C$2.7 billion, on increases in elderly benefits and direct program expenses.
Public debt charges decreased 6.1 percent, or C$1.1 billion, on a lower effective interest rate.

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"Fiscal cliff" creates waiting game for payrolls firms

At payroll processing businesses across the United States, the "fiscal cliff" stalemate in Washington means uncertainty over tax-withholding tables just days before the start of 2013.
The U.S. Internal Revenue Service still has not issued the tables for next year that show how much money employers should hold back from workers' paychecks to cover federal income taxes.
Payroll processors need the tables to get their systems geared up for the new year. The tables are set by many factors, including tax rates and annual inflation adjustments.
In anticipation of late-breaking developments, Rochester, New York-based Paychex Inc will be serving Buffalo chicken wings for staffers working late on New Year's Eve, said Frank Fiorille, an executive at the payroll processing giant.
"Our systems are flexible enough that we can wait almost up until the last minute and still make changes," he said.
The IRS appreciates of the impact of Congress' inaction.
"Since Congress is still considering changes to the tax law, we continue to closely monitor the situation," IRS spokesman Terry Lemons said in a statement. "We intend to issue guidance by the end of the year on appropriate withholding for 2013."
Tax rates are slated to rise sharply for most Americans if Congress and President Barack Obama fail to reach an agreement that averts the "fiscal cliff" approaching at year-end.
"The political process will determine one way or the other what" the IRS must do, said Scott Hodge, president of the Tax Foundation, a business-oriented tax research group.
For now, he said, from the tax-collection agency's viewpoint, "doing nothing is probably the best course." This would be because withholding tables distributed now might only have to be revised if Congress acts in the next few days.
Some payroll servicers are not waiting for formal IRS guidance. The American Payroll Association, which represents about 23,000 payroll professionals, told members on Friday to rely on 2012 withholding tables until the IRS releases the new forms for 2013.
The association said its decision was based on a statement earlier this month from an IRS official.
The agency would not confirm that policy on Friday.
Tax preparer H&R Block Inc said it will use 2012 tax-withholding tables if the 2013 tables are not issued.
Executives said they were frustrated with the uncertainty in Washington, but were doing their best to cope.
"We are not doctors or surgeons and this is not life threatening," said Rob Basso with Advantaged Payroll Services, an Auburn, Maine-based payroll processor that serves 30,000 businesses. "It is annoying and disruptive to people's lives, but we will get through it.

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Meeting delay a sign of cooling US-Vietnam ties

The U.S. and Vietnam, former enemies who share concerns about China's rise, are finding that one issue — human rights — is keeping them from becoming closer friends.
Stress between the nations is clear from a delay in an annual meeting between Washington and Hanoi on human-rights concerns. Such consultations have been held every year since 2006, but the last ones in November 2011 produced little, and a senior State Department official said the two sides were still working to "set the parameters" of the next round so it would yield progress.
The U.S. is frustrated over Vietnam's recent crackdown on bloggers, activists and religious groups it deems a threat to its grip on power, and over the detention of an American citizen on subversion charges that carry the death penalty.
"We have not seen the improvements that we would like," the State Department official said last week on condition of anonymity because he was not authorized to comment publicly. "We would very much like to see concrete actions."
The delay in holding the meeting, to be hosted by Hanoi, could just be a matter of weeks. But it underscores how Vietnam's worsening treatment of dissidents over the last two years has complicated efforts to strengthen its ties with the U.S.
Vietnam's foreign affairs ministry spokesman Luong Thanh Nghi said the human rights dialogues had "contributed to enhancing trust" between the two countries and that both sides were in discussion on the timing of the next round. A U.S. Embassy spokesman also said the countries were discussing when to hold the talks.
Like Washington, Vietnam wants deeper trading and security relations, but the U.S. says it must be accompanied by improvements in human rights. Some influential members of Congress are also pressing the Obama administration to get tougher on Hanoi's suppression of dissent and religious freedom.
Vietnam's relationship with the U.S. has improved greatly in recent years, largely because of shared concerns over China's increasing assertiveness in Southeast Asia. Their shared strategic interests are reflected most clearly in U.S. diplomacy in the South China Sea, where Beijing's territorial claims clash with those of Vietnam and four other countries in the region.
Since the fall of the Soviet Union, Vietnam has opened its economy but has been unwilling to grant religious or political freedom to its 87 million people. The U.S. and Vietnam restored diplomatic relations in 1995, 20 years after the end of the Vietnam War, and their rapprochement has accelerated as President Barack Obama has prioritized stronger ties with Southeast Asia.
Vietnam's crackdown on dissent follows a downturn in its once-robust economy. Analysts say Hanoi's leadership is defensive about domestic criticism of its economic policies, corruption scandals and infighting, much of it being spread on the Internet, out of their control.
Last year, Vietnam locked up more than 30 peaceful activists, bloggers and dissidents, according to Human Rights Watch. This year, 12 activists have been convicted in short, typically one-day trials, and sentenced to unusually long prison terms. Seven others are awaiting trial. The country is also preparing laws to crackdown on Internet freedoms.
"The internal party ructions have trumped everything," said Carl Thayer, an expert on Vietnam from the University of New South Wales. "They are so paranoid about criticism they don't care about the U.S."
The detention and looming trial of American democracy activist Nguyen Quoc Quan may be the clearest example of Hanoi's unwillingness to listen to American concerns over human rights.
Quan, 59, was arrested at Ho Chi Minh City airport in April soon after arriving on a flight from the United States, where he has lived since fleeing Vietnam by boat as a young man. Quan's family and friends say he is a leading member of Viet Tan, a nonviolent pro-democracy group that the Vietnamese authorities have labeled a terrorist outfit. He was detained in 2007 in Vietnam for six months.
Authorities initially accused Quan of terrorism, but he is now charged with subversion against the state, which carries a punishment ranging from 12 years in prison to death.
With the investigation now complete, his trial could be near. Court dates are typically released only a few days in advance.
According to a copy of the indictment obtained by The Associated Press, Quan met with fellow Vietnamese activists in Thailand and Malaysia between 2009 and 2010 and discussed Internet security and nonviolent resistance. The indictment said he traveled to Vietnam under a passport issued under the name of Richard Nguyen in 2011, when he recruited four other members of Viet Tan.
His wife doesn't deny that Quan wants to change Vietnam's political system.
"He wanted to talk to the young people and bring up the idea of democracy in Vietnam," Huong Mai Ngo, said in an interview with The Associated Press by phone from Sacramento. "He has lived in the U.S., he has had freedom here and he wants them to have the same."
Congress members with large Vietnamese-American constituencies are pressuring the Obama administration.
Rep. Frank Wolf, a leading critic, maintains the government has neglected human rights as it looks to forge economic and security ties. With three Republican colleagues, the Virginia congressman has demanded the sacking of U.S. Ambassador David Shear, accusing him of failing to invite democracy and rights activists to the July 4 celebration at the U.S. Embassy in Hanoi after giving assurances he would.
"The administration's approach has been a disaster. All they care about are economic and defense issues," said Wolf, who also took aim at Shear for failing to visit Quan in prison. "Human rights and religious freedom should be the number one priority."
U.S. officials have visited Quan five times in jail, mostly recently in late September.
"We believe no one should be imprisoned for peacefully expressing their political views or their aspirations for a freer, more democratic and prosperous future," embassy spokesman Christopher Hodges said. "We continue to call on the government of Vietnam to quickly and transparently resolve this case."
Wolf and other lawmakers interested in Vietnam do not have much say in setting policy, but can make life awkward for the Obama administration. Wolf hinted that he could propose amendments to budget legislation to put more pressure on the administration over its Vietnam policy. Wolf is a senior member of the powerful House Appropriations Committee, which oversees much of the federal budget.
The U.S. has some leverage if it wishes to try and get Vietnam to improve its human rights record: Vietnam is one of the largest recipients of American aid in Asia and is currently negotiating a free trade deal with Washington and seven other countries.
The Vietnamese government declined to comment on the charges against Quan, but Hanoi is aware of U.S. sensitivities in this case. Many observers say Quan is likely to be convicted but sentenced to time served and quickly expelled, though even that is likely to raise congressional pressure on the White House to tie the trade deal and aid to progress on human rights.
"It would be a disaster for Vietnam if they come down on U.S. citizen with an extreme sentence for peacefully advocating human rights," said Linda Malone, a professor at William and Mary Law School who is advising Quan's local counsel on his defense. "They will lose tremendous ground on what they seek to advance themselves."

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Court OKs sale of U.S. government-backed A123 to Chinese firm

China's largest auto parts maker got court approval on Tuesday for its controversial purchase of A123 Systems Inc, a bankrupt maker of electric car batteries, but the judge said he was troubled that a U.S. rival might be working to kill the deal.
A123, which was partly funded with U.S. government money, was sold at an auction on Saturday for $256.6 million to Wanxiang Group of China, which outbid Johnson Controls Inc of Milwaukee.
The auction result prompted outcry from U.S. politicians who objected to A123's taxpayer-financed lithium-ion technology ending up in the hands of an economic rival. Johnson Controls has said it remains interested in A123 if Wanxiang fails to get approval from the U.S. government, which is coming under pressure to block the deal.
"I'm troubled by suggestions that someone who participated in the auction may in fact already be working against it," said Delaware Bankruptcy Judge Kevin Carey at the end of Tuesday's hearing.
Carey ordered into escrow a $5.5 million fee from the sale that was earmarked for Johnson Control's in return for it being the lead bidder to support the A123 auction. The money will be released when the sale closes or after an investigation by A123 creditors.
William Baldiga of Brown Rudnick, who represents the official committee of unsecured creditors, had told Carey he had a confidential letter that suggested Johnson Controls planned to undermine Wanxiang if the Chinese company won the auction.
Johnson Controls attorney, Joshua Feltman of Wachtell, Lipton, Rosen & Katz, said the company should not be punished "because we sympathize with Michigan Congressional delegation."
A123 has several facilities in Michigan and its politicians have been vocal in opposing the sale to Wanxiang.
A123 has never turned a profit and received a $249 million grant from the U.S. Department of Energy to develop lithium-ion batteries.
A Department of Energy official said on Monday the grant, which has about $120 million remaining, would not be transferred to Wanxiang.
Opposition to the deal will now shift to Committee on Foreign Investment in the United States (CFIUS).
Pressure has been building on Treasury Secretary Timothy Geithner, the head of the panel, to block the takeover.
Chinese firms have been pouring cash into overseas investments, and with that money has come concerns around the globe that firms with ties to Beijing may not play by free-market rules.
CFIUS recently rejected a bid to build wind farms in Oregon by Ralls Corp, owned by two executives of China's Sany Group, and has blocked multiple deals by Huawei Technologies Co, a Chinese telecom equipment manufacturer.
China's state-owned oil company CNOOC Ltd received approval on Monday for the country's biggest foreign takeover, a $15.1 billion acquisition of Nexen Inc after intense scrutiny. CNOOC withdrew its bid for California-based Unocal Corp in 2005 in the face of political opposition.
Wanxiang has tried to blunt some of the political opposition by excluding A123's defense contracts from its bid.
A123 filed for bankruptcy in October as demand for electric vehicles did not live up to expectations and it was forced to recall defective car batteries. Its customers include Fisker Automotive, General Motors Co and BMW.
If the foreign investment committee does not approve the sale in the coming weeks, Wanxiang could walk away, although it would forfeit a $25 million deposit that would go toward repaying A123's creditors.
If that were to happen, A123 could then go back on the block. Johnson Controls and NEC Corp of Japan made a final runner-up bid of about $251 million, according to Alex Molinaroli, president of Johnson Controls Power Solutions.
The only other company that qualified for the auction, Siemens AG of Germany, does not appear to have made a bid, according to a transcript of the auction.
If the foreign investment committee has not approved the sale by January 15, the deal could still close by transferring A123 to a trust controlled by U.S. citizens, which would not need CFIUS approval.
Wanxiang's money would then be turned over to repay the creditors of A123, which filed for bankruptcy with $376 million in liabilities.
The Chinese company is no stranger to investing in the United States.
Wanxiang generates about $1 billion in revenue in the United States by supplying parts to GM and Ford Motor Co and has bought or invested in more than 20 U.S. companies, many of them in bankruptcy, said a congressional report published in October.
The case is A123 Systems Inc, Delaware Bankruptcy Court, No. 12-12859.

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Google explains cause of massive Gmail, Chrome outages

Users took to social networks on Monday to vent their displeasure with Google (GOOG) following a 40-minute disruption of service affecting the company’s Chrome Web browser and Gmail service. It was previously unclear what caused the services to simultaneously crash and some suspected the company was hit with a denial-of-service attack. Google engineer Tim Steele took to the company’s developer forums to clear up the confusion and confirmed what some developers had already suspected: The reason for the crash had to do with the Google Sync servers getting overwhelmed following a change in the code, not a DDoS attack.
“It’s due to a backend service that sync servers depend on becoming overwhelmed, and sync servers responding to that by telling all clients to throttle all data types,” he said, noting that the “throttling” messed things up in the browser and caused it to crash.
Google Sync keeps bookmarks, extensions, apps and settings in the Chrome browser synchronized across a variety of devices and services. Along with Chrome and Gmail, the worldwide outage also affected Google Docs, Drive and Apps, all of which rely heavily on Google Sync.

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Facebook helps FBI bust cybercriminals blamed for $850 million losses

 Investigators led by the Federal Bureau of Investigation and aided by Facebook Inc, have busted an international criminal ring that infected 11 million computers around the world and caused more than $850 million in total losses in one of the largest cybercrime hauls in history.
The FBI, working in concert with the world's largest social network and several international law enforcement agencies, arrested 10 people it says infected computers with "Yahos" malicious software, then stole credit card, bank and other personal information.
Facebook's security team assisted the FBI after "Yahos" targeted its users from 2010 to October 2012, the U.S. federal agency said in a statement on its website. The social network helped identify the criminals and spot affected accounts, it said.
Its "security systems were able to detect affected accounts and provide tools to remove these threats," the FBI said.
According to the agency, which worked also with the U.S. Department of Justice, the accused hackers employed the "Butterfly Botnet". Botnets are networks of compromised computers that can be used in a variety of cyberattacks on personal computers.
The FBI said it nabbed 10 people from Bosnia and Herzegovina, Croatia, Macedonia, New Zealand, Peru, the United Kingdom, and the United States, executed numerous search warrants and conducted a raft of interviews.
It estimated the total losses from their activities at more than $850 million, without elaborating.
Hard data is tough to come by, but experts say cybercrime is on the rise around the world as PC and mobile computing become more prevalent and as more and more financial transactions shift online, leaving law enforcement, cybersecurity professionals and targeted corporations increasingly hard-pressed to spot and ward off attacks.

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