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NewsCorp shareholders make another bid to democratize the Murdoch family empire

The traditional shareholder revolt at NewsCorp (owner of Fox, Fox News, Sky, Harper Collins, the NY Post, the Wall Street Journal, the Sun) is back for another run, and this time it's gathering steam and may indeed make it. Rupert Murdoch and his family own a minority of the shares in NewsCorp, but their shares are in a special class of voting stock that means that they effectively get to do whatever they want with the majority investors' money. Effectively, Murdoch's initial pitch to investors was, "I'll take your money, but I'm not interested in your advice -- just cough up, shut up, and let me run this thing and I'll pay you some fat dividends."

But it's all gone rather wrong. Murdoch's ideological projects and nepotism have cost the business millions -- between a sweetheart deal that saw the company buying his daughter Elisabeth's startup Shine for £413M of the shareholders' money, and his son James's presiding over a phone-hacking scandal that destroyed News of the World, the bestselling newspaper (sic) in Britain, the investors are getting a bit tired of Murdoch running NewsCorp like his own personal fiefdom. It's one thing to play Colonel Kurtz in the jungle when it's making the shareholders rich, but when you start frittering away titanic assets like the NotW because you need to give your idiot son a job, well, that's another story.

As I said, this isn't the first time the shareholders have taken a swing at Rupert and his spawn, but this is a bigger, more multi-pronged, and better coordinated approach that any to date. Fingers crossed.

Dissident shareholders are pressing once more for the media mogul Rupert Murdoch to step down as chairman of News Corporation.

Shareholders from the US, UK and Canada filed a resolution on Tuesday, calling for News Corp to appoint an independent chairman. A similar resolution attracted strong support at the media company's annual shareholder meeting last year.

The proposal was introduced by Christian Brothers Investment Services (CBIS), which manages $4.6bn for Catholic institutions worldwide. It is backed by the UK's Local Authority Pension Fund Forum, with assets of £115bn ($178.9bn), and British Columbia Investment Management Corporation, one of Canada's largest institutional investors.

In a separate resolution, Nathan Cummings Foundation, an ethical investment group, has called on News Corp to end the dual-class share structure that allows the Murdoch family to control its media empire despite owning a minority of shares.

Rupert Murdoch must step down as News Corporation chair – shareholders [Dominic Rushe/The Guardian]

EFF updates the Takedown Hall of Shame

The Electronic Frontier Foundation has published its latest "Takedown Hall of Shame" installment, listing three companies that used baseless and stupid legal threats to censor the Internet. The current crop includes Kern's Kitchen in Louisville, which claims a trademark on the common term "Derby Pie" and threatens bloggers who post their family recipes for the classic desert -- they also target WordPress.com for their threats (one victim changed the name of the recipe to "Mean Spirited Censorship Pie").

Another inductee is Time Warner Cable, who went after a critic who put up a site making fun of the company's terrible customer service, trying to get its YouTube, Twitter and other social media sites taken down.

Finally, there's Fox, which earned a place in the Hall of Shame by sending out fraudulent takedown notices over my bestselling novel Homeland, swearing on pain of perjury that it represented me (it doesn't).

Takedown Hall of Shame Inductions, May 2013

Mozilla to FinSpy: stop disguising your "lawful interception" spyware as Firefox


The Mozilla Foundation has sent a legal threat to Gamma International, a UK company that makes a product called "FinSpy" that is used by governments, including brutal dictatorships to spy on dissidents. FinSpy allows these governments to hijack their citizens' screens, cameras, hard-drives and keyboards. Gamma disguises this spyware as copies of Firefox, Mozilla's flagship free/open browser.

Gamma International markets its software as a “remote monitoring” program that government agencies can use to take control of computers and snoop on data and communications. In theory, it could be legitimately used for surveillance efforts by crime fighting agencies, but in practice, it has popped up as a spy tool unleashed against dissident movements operating against repressive regimes.

Citizen Lab researchers have seen it used against dissidents from Bahrain and Ethiopia. And in a new report, set to be released today, they’ve found it in 11 new countries: Hungary, Turkey, Romania, Panama, Lithuania, Macedonia, South Africa, Pakistan, Nigeria, Bulgaria, and Austria. That brings the total number of countries that have been spotted with FinFisher to 36.

To date, Citizen Lab researchers have found three samples of FinSpy that masquerades as Firefox, including a “demo” version of the spyware according to Morgan Marquis-Boire, a security researcher at the Citizen Lab, who works as a Google Security Engineer. Marquis-Boire says his work at Citizen Lab is independent from his day job at Google.

Mozilla Takes Aim at Spyware That Masquerades as Firefox [Robert McMillan/Wired]

Rumored Statue of Liberty face-recognition supplier harasses and threatens journalist

Slate's Ryan Gallagher caught wind of a new face recognition software being rolled out at the Statue of Liberty. He interviewed a rep from Total Recall, who were reported to be representing Cognitec, the German company whose product, FaceVACS was going in on Liberty Island. Halfway through the interview, Total Recall's director of business development Peter Millius terminated the call, saying that the project was on hold, or possibly cancelled, "vetoed" by the Park Police.

Then it got weird. Cognitec and its lawyers began to barrage Gallagher with emails and letters warning him that if he wrote about this, they'd sue him. When he asked Total Recall for clarification, they threatened to sue him, personally, for harassment. The National Park Service didn't have much to say about the bid, saying "I'm not going to show my hand as far as what security technologies we have." Go, security-through-obscurity! Hurrah for spending tax dollars without any transparency!

Gallagher reported the whole story, including the threats. Whatever merits or demerits Total Recall and Cognitec have as companies, turning into weird, opaque legal-threat-generating machines in the middle of an interview and harassing and intimidating journalists sounds like the kind of thing that should disqualify them from getting any of the American public's money.

“We do work with Cognitec, but right now because of what happened with Sandy it put a lot of different pilots that we are doing on hold,” Peter Millius, Total Recall’s director of business development, said in a phone call. “It’s still months away, and the facial recognition right now is not going to be part of this phase.” Then, he put me hold and came back a few minutes later with a different position—insisting that the face-recognition project had in fact been “vetoed” by the Park Police and adding that I was “not authorized” to write about it.

That was weird, but it soon got weirder. About an hour after I spoke with Total Recall, an email from Cognitec landed in my inbox. It was from the company’s marketing manager, Elke Oberg, who had just one day earlier told me in a phone interview that “yes, they are going to try out our technology there” in response to questions about a face-recognition pilot at the statue. Now, Oberg had sent a letter ordering me to “refrain from publishing any information about the use of face recognition at the Statue of Liberty.” It said that I had “false information,” that the project had been “cancelled,” and that if I wrote about it, there would be “legal action.” Total Recall then separately sent me an almost identical letter—warning me not to write “any information about Total Recall and the Statue of Liberty or the use of face recognition at the Statue of Liberty.” Both companies declined further requests for comment, and Millius at Total Recall even threatened to take legal action against me personally if I continued to “harass” him with additional questions.

Lady Liberty’s Watching You (via Reddit)

(Image: Statue of Liberty Paris, a Creative Commons Attribution (2.0) image from francehousehunt's photostream)

SOPA's daddy is now in charge of government science funding, and he hates peer-review

Lamar Smith (R-TX) is the goon who brought SOPA to the nation. Now he's in charge of science funding in the House, and he's got some spectacularly stupid ideas for science as a whole.

Stuart sez, "The new chair of the House of Representatives science committee has drafted a bill that, in effect, would replace peer review at the National Science Foundation (NSF) with a set of funding criteria chosen by Congress. For good measure, it would also set in motion a process to determine whether the same criteria should be adopted by every other federal science agency."

Smith's request to NSF didn't sit well with the top Democrat on the science committee, Representative Eddie Bernice Johnson (D-TX). On Friday, she sent a blistering missive to Smith questioning his judgment and his motives.

"In the history of this committee, no chairman has ever put themselves forward as an expert in the science that underlies specific grant proposals funded by NSF," Johnson wrote in a letter obtained by ScienceInsider. "I have never seen a chairman decide to go after specific grants simply because the chairman does not believe them to be of high value."

In her letter, Johnson warns Smith that "the moment you compromise both the merit review process and the basic research mission of NSF is the moment you undo everything that has enabled NSF to contribute so profoundly to our national health, prosperity, and welfare." She asks him to "withdraw" his letter and offers to work with him "to identify a less destructive, but more effective, effort" to make sure NSF is meeting that mission.

U.S. Lawmaker Proposes New Criteria for Choosing NSF Grants (Thanks, Stuart!)

(Image: Congressman Lamar Smith visits JWST @ SXSW, a Creative Commons Attribution (2.0) image from nasawebbtelescope's photostream)

Suburban Express bus-line sends bullying, cowardly legal threat to Reddit, discovers Streisand Effect


A convicted cybersquatter named Dennis Toeppen now runs the Suburban Express bus service that is used to take students home from university in Illinois, Indiana, and Iowa to Chicago. Suburban Express attracts many online complaints from riders who object to the company's policy of fining riders $100 (charged automatically to their ticket-purchase credit-card) if they present the wrong ticket when they board, and other, similar policies -- and who allege that the company hunts down its online critics and bans them from riding.

But Toeppen and Suburban Express went too far when it threatened a volunteer Reddit moderator with a defamation suit for failing to police the company's critics on the University of Illinois Urbana-Champaign subreddit, where a banner read, "Don't ride Suburban Express! They're likely to sue you, have terrible reviews, and also this." The banner implied that an anonymous Reddit commenter who accused Suburban Express critics of of being "lonely virgins" was run by Toeppen or his representatives.

The ensuing negative publicity (and a stern note from Ken "Popehat" White) frightened the bullying, cowardly company into withdrawing its threat. But with any luck, the company's public conduct will warn its potential customers away and make the offers presented by its rivals more attractive. If I was running a competing bus service, I'd be buying ad space on the subreddit in question, running ads that say, "Ride with us, we don't fine you, we don't ban you for complaining, and we won't threaten to sue you if you aren't happy!"

The company has developed a bad reputation online, with reviewers on Yelp and commenters on reddit sharing stories of what they claim are the company’s cutthroat business practices. For example, the company's ticket policy includes a "ticket fraud" clause that hits riders who hand the wrong ticket to a driver with a $100 fine, charged to the credit card used to purchase their ticket. "In the event that ticket is used to obtain transportation on another day or at another time," the company's policy statement reads, "or to or from a Chicago area stop other than printed on your ticket, you will be charged full fare for the trip you actually rode PLUS $100 penalty. You will also be permanently banned." The company also has a history of suing passengers for violating its terms and conditions—it has filed 125 tort and contract damage lawsuits against passengers this year alone, according to a report from a student newspaper.

The terms of service don't include not speaking ill of the company online, but apparently they might as well. Some commenters have accused the company's owner, Dennis Toeppen, of hunting down negative reviewers and banning them from the company's buses.

The Internet cauldron of opinion boiled over for Suburban Express after an incident on March 31. University of Illinois Urbana-Champaign graduate student Jeremy Leval took to Facebook, describing a driver he saw make derogatory comments to an international student who was having difficulty understanding him—“If you don’t understand English, you don’t belong at the University of Illinois or any ‘American’ University," he reportedly told her.


Update: Aaand here it is: a rival company, Peoria Charter, is advertising to Suburban Express customers with a campaign that stresses that they don't sue their customers. They're offering $2 off if you book tickets on their coaches with the promo code "nolawsuits" -- thanks, Murph!

Express to Internet Hate: Bus company threatens redditor with lawsuit [Sean Gallagher/Ars Technica]

Paul Ryan intern charged with sextortion (he may have also dressed up as Newt's elephant)

The FBI has indicted Adam Paul Savader for "sextortion," alleging that he hacked women's computers, plundered compromising photos of them, and then threatened them with public embarrassment unless they performed private sex shows for him over their webcams. Savader was Paul Ryan's sole campaign intern in the 2012 elections, and Gawker reports that he also served on the 2011 Gingrich campaign, dressing up as Ellis the Elephant, a mascot for the campaign.

Paul Ryan's Campaign Intern Indicted for Cyberstalking (via Super Punch)

No, universal daycare doesn't destroy the national character

The Brit papers have been full of news about the Swedish daycare expert brought in to address Conservative MPs about the iron-clad, data-driven link between Sweden's universal daycare and the rise of teen mental health issues there. Jonas Himmelstrand was there to warn Britain that sending mothers to work and kids to daycare was bad for the family and the nation. Only one problem: he has no formal qualifications to speak on the subject, and the scientist whose research he cited says he got it all wrong. Cory

San Diego cop smashes phone & beats up suspect: "Phones can be converted to a weapon. Look it up online."

A San Diego cop beat up a man whom he was ticketing for illegal smoking, after the man refused to stop video-recording the experience. The cop told the man that he feared the phone might actually be a gun disguised as a phone, before smashing the phone and tackling the man and smashing his face into the boardwalk. He was taken away in an ambulance.

It all seemed pretty civil until the cop writing the citation told him to stop recording, which Pringle refused to do.

“Phones can be converted into weapons …. look it up online,” the cop told him.

Last month, a South Florida cop confiscated a man’s phone citing the same reason, so maybe this is a new trend.

When Pringle tried to talk sense into the cop, the cop slapped the phone out of his hand where it fell onto the boardwalk and broke apart.

The other cop then pounced on him, slamming him down on the boardwalk where he ended up with a laceration on his chin.

“Blood was everywhere,” Pringle said. “I was laying on my stomach and he had one knee on my back and the other knee on the side of my face.

“They kept telling me ‘to calm down,’ that ‘you’re making this worse for yourself,’ that ‘you have no right to record us.’”

He didn't get the cop's name, and the SDPD won't give it to him.

San Diego Police Attack and Arrest Man Video Recording Them, Claiming Phone Could be a Weapon (Updated) 294 (via Techdirt)

Rep Steve Israel trying to score points with 3D printed gun hysteria

Michael Weinberg from Public Knowledge sez "Last week, Rep. Steve Israel introduced a bill designed to regulate firearms that cannot be found by metal detectors. The bill makes a passing reference the 3D printing, which is fine. But the rhetoric that Rep. Israel is using to promote the bill is both muddled and overblown, and focuses almost exclusively on 3D printing. He sent a letter to his fellow Members of Congress titled 'Co-Sponsor Legislation to Ban 3D Printed Guns.' This is a problem." Cory

Med Express uses broken Ohio law to silence critics who say true things

Are you a lawyer in Ohio? If so, your pro-bono services are urgently needed to defeat a trollish, bullying legal action from Med Express, a company that sells refurb medical equipment on eBay. The company is suing one of its customers for providing accurate, negative feedback on eBay's comment system, trying to establish a precedent that saying true things on the Internet should be illegal if it harms your business. They're relying on the fact that Ohio has no anti-SLAPP laws -- laws designed to protect people against the use of litigation threats to extort silence from critics -- and have admitted that, while they have no case, they believe that they can use the expense of dragging their victims into an Ohio court to win anyway. Ken from Popehat has more:

This is the ugly truth of the legal system: litigants and lawyers can manipulate it to impose huge expense on defendants no matter what the merits of their complaint. Censors can abuse the system to make true speech so expensive and risky that citizens will be silenced. Regrettably, Ohio does not have an anti-SLAPP statute, so Med Express and James Amodio can behave in this matter with relative impunity. If Ms. Nicholls has to incur ruinous legal expenses to vindicate her rights, the bad guys win, whatever the ultimate outcome of the case.

Unless, that is, you will help Amy Nicholls stand up — not for $1.44, but for the freedom to speak the truth without being abused by a broken legal system.

If you are an attorney practicing in Medina County, Ohio, please consider offering pro bono assistance. Mr. Levy will be coordinating assistance, and I can tell you from personal experience that it is a privilege to work with him. Help give Med Express and James Amodio the legal curb-stomping they so richly deserve. Justice, karma, and the esteem of free speech supporters everywhere will be your reward.

If you aren't an attorney, you can help, too. Med Express should not be permitted to act in this manner without consequence. The natural and probable consequence is widespread publication of their conduct. Help by publicizing the case on Facebook, Twitter, on your blog, on forums, and on every other venue available to you. Ask yourself — would you want to do business with a company that abuses the legal system to extract revenge against customers who leave truthful negative feedback?

The Popehat Signal: Stand Against Rank Thuggery In Ohio

Pat Robertson: "simple, humble" foreigners get miracles because they aren't corrupted by education and science

Pat Robertson scores a "Christ, what an asshole" prize here, in which he explains that the reason that "simple, humble" Africans and other foreigners experience miracles is that they are free from the sin of over-education. As Charles Johnson has it, this is "the wingnut trifecta... anti-intellectual, anti-science and patronizingly racist."

Pat Robertson: Simple Africans More Likely to Experience Miracles Than Over-Educated Americans (via Skepchick)

Notorious porno copyright trolls Prenda Law have a very bad day in court

Today marked the long-awaited courtroom showdown of notorious copyright porno trolls Prenda Law (previous posts) and United States District Judge Otis D. Wright II, the judge who figured out that Prenda was running something that looked a blackmail racket that involved systematic fraud against courts around the country. After stalling and fum-fuhing, Prenda's lawyers and principals were dragged before Judge Wright, where they sat for a hearing that ran for 12 whole minutes before Wright furiously banished them from his courtroom. Ken "Popehat" White was there, and sent tantalizing tweets about the total trainwreck he'd witnessed, which he has now had a chance to write up in full.

In a nutshell, the Prendateers showed up and took the Fifth, refusing to speak. Their lawyer tried to enter some argument into the record, but the judge didn't allow it. Prenda had filed no briefs, and had been called to answer basic, factual questions about lawsuits. Wright wasn't happy about it. Ken has written up a list of likely consequences Prenda will now face. It's not pretty. At very least, the firm and its activities are at an end. At most (though not likely), this could end in prison for the principals here.

Judge Wright grew steadily and visibly more outraged. "I want to know if some of my conjecture is accurate — and the only way to know is to have the principals here and ask them questions. This is an opportunity for them to protect themselves," he said. But Steele's lawyer confirmed his client would exercise his right to remain silent. Attorneys for Paul Hansmeier, Paul Duffy, and Angela Van Den Hemel confirmed their clients, too, would invoke their rights to remain silent. Judge Wright did not — unless I missed it — confirm whether Peter Hansmeier or Mark Lutz would answer questions.

An Opportunity To Be Heard

Heather Rosing, appearing for Paul Duffy, Angela Van Den Hemel, and Prenda Law, rose and asked Judge Wright for an opportunity to present "about a half hour" of argument on the points in his Order to Show Cause. Look: when you are a lawyer, representing a client, you have to stand up. You have to hold your ground even in the face of a furious federal judge. When a judge is yelling at you, however unsettling it is, you have to hold fast and remember you are there to represent the interests of your client against the terrible power of the court. Heather Rosing stood up, and has my admiration, whatever I think of her clients.

Judge Wright was uninterested in hearing legal argument, as opposed to testimony or evidence. "My clients have a right to a reasonable opportunity to be heard," Ms. Rosing protested. "Excuse me?" thundered Judge Wright, probably thinking — not unreasonably — that Ms. Rosing's clients could have filed briefs in advance to address any legal arguments they had, and that Ms. Rosing's clients have been evading questions for months. Judge Wright began to count off the questions he wanted answered. "I'm looking for facts," he said. He wanted to know who directs Prenda Law's litigation efforts, who makes its decisions, whether there is another Alan Cooper, and what happens with the money Prenda Law makes from settlements. Ms. Rosing answered (wisely, and properly) that she could not personally testify to those things. Why, Judge Wright demanded, did Prenda Law conceal its attorneys' financial interest in the cases? "There's no evidence that they have an interest," Ms. Rosing protested. "Excuse me?" Judge Wright boomed even louder. Were there windows, they would have rattled. "Have you read Paul Hansmeier's deposition?" he demanded, referring to the bizarre deposition in which Paul Hansmeier failed to explain Prenda Law's shadowy owners or flow of funds. "I have," Ms. Rosing said, but stood her ground.

Prenda Law's Attorneys Take The Fifth Rather Than Answer Judge Wright's Questions

Group whose Wikipedia entry was deleted for non-notability threatens lawsuit against Wikipedian who participated in the discussion

Benjamin Mako Hill writes, "Last year, I participated in a discussion on Wikipedia that led to the deletion of an article about the "Institute for Cultural Diplomacy." Because I edit Wikipedia using my real name, the ICD was able to track me down. Over the last month or so, they threated me with legal action and have now gotten their lawyers involved. I've documented the whole sad saga on my blog. I think the issue raises some important concerns about Wikipedia in general."

Donfried has made it very clear that his organization really wants a Wikipedia article and that they believe they are being damaged without one. But the fact that he wants one doesn’t mean that Wikipedia’s policies mean he should have one. Anonymous editors in Berlin and in unknown locations have made it clear that they really want a Wikipedia article about the ICD that does not include criticism. Not only do Wikipedia’s policies and principles not guarantee them this, Wikipedia might be hurt as a project when this happens.

The ICD claims to want to foster open dialogue and criticism. I think they sound like a pretty nice group working toward issues I care about personally. I wish them success.

But there seems to be a disconnect between their goals and the actions of both their leader and proponents. Because I used my real name and was skeptical about the organization on discussion pages on Wikipedia, I was tracked down and threatened. Donfried insinuated that I was motivated to “sabotage” his organization and threatened legal action if I do not answer his questions. The timing of his first letter — the day after the ICD page was recreated — means that I was unwilling to act on my commitment to Wikipedia and its policies.

The Institute for Cultural Diplomacy and Wikipedia

Toronto Mayor Rob Ford about to lose his job coaching high-school football?

Critics of Rob Ford, Toronto's laughable bumblefuck of a mayor, will tell you that at least he's good at teaching high-school football (maybe the only thing he truly enjoys). So it's newsworthy that the schools for which he coaches are considering firing him, and he won't show up to meetings to discuss his misconduct.

The school board is examining a Sun interview in which Ford made disparaging comments about the school community that have been called inaccurate by the board, parent council members, teachers and even one of Ford’s assistant coaches. The mayor asserted that Don Bosco players come from “broken homes” and would be dead or in jail if not for football.

Some parents have called for Ford’s removal.

“We haven’t made any decision whatsoever,” board spokesman John Yan said Thursday. “We’re trying to meet with the mayor, because we have to have an opportunity as part of the process to discuss his comments.

“Part of that process is for Mr. Ford to provide us with either with an explanation or a commentary on what transpired on the March 1 interview.

Rob Ford: Mayor cancels meeting with Toronto Catholic board to discuss his coaching future (Thanks, Gord!)

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