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An Anne Arundel County police vehicle (Courtesy Anne Arundel County Facebook)
Breaking NewsMaryland NewsPolice Blotter

Drugs, gun seized after police spot vehicle wanted for previous eluding incidents

by Jeff Jones March 21, 2023
By Jeff Jones

GLEN BURNIE, MD – Vigilant officers with the Anne Arundel County Police Department were on alert after spotting a vehicle known by police as a repeat offender regarding previous incidents of fleeing from police.

On Monday, at around 9:30 pm, detectives from the Eastern District Tactical Patrol Unit and Tactical Narcotics Team observed a stolen 2020 white Honda Pilot on Mountain Road near Catherine Avenue in Pasadena.

“The vehicle had recently fled from police on several occasions,” the department said in a statement. “Officers observed the vehicle until it was parked at a residence in the 100 block of Glen Road in Glen Burnie. Three occupants were taken into custody.”

During their investigation, officers found 40 gel caps of suspected heroin, 3 tied baggies containing suspected crack cocaine and a loaded 9mm polymer 80 semi-automatic handgun that had no serial number.

Ka’ron Jayden Fitzgerald Tolson, 19; Joshua James McNeil, 20; and Malcolm Xavier Cager, 20 were all arrested and charged.

March 21, 2023 0 comments
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US and World News

Candida auris fungus spreading in U.S. hospitals – CDC

by Reuters March 21, 2023
By Reuters

(Reuters) – Potentially deadly fungal infections with Candida auris are spreading rapidly in U.S. healthcare facilities, with cases nearly doubling between 2020 and 2021, the Centers for Disease Control and Prevention said.

The number of cases rose by 44% to 476 in 2019, up from 330 in 2018, and subsequently 59% to 756 in 2020 and by an additional 95% to 1,471 in 2021, the agency’s researchers reported on Monday in Annals of Internal Medicine.

Also concerning was a tripling in 2021 of the number of cases that were resistant to echinocandins, the class of drugs most often recommended for treatment of the disease.

A high fever with chills that does not get better after taking antibiotics may be a sign of Candida auris infection.

People who are very sick, have invasive medical devices such as mechanical ventilators, or have long or frequent hospital stays are at particular risk for the infections, the report said.

“The rapid rise and geographic spread of cases is concerning and emphasizes the need for continued surveillance, expanded lab capacity, quicker diagnostic tests, and adherence to proven infection prevention and control,” study leader Dr. Meghan Lyman said in a statement.

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The CDC noted that spread of the infections in 2021 may have been exacerbated as the healthcare system was hit by pandemic-related stressors, such as staff and equipment shortages.

The report did not include data from 2022, but the CDC’s website shows 2,377 cases of confirmed Candida auris infections in the U.S. last year, a sharp increase from 53 in 2016, the year in which cases were first reported in the country.

Although it was initially limited primarily to the New York City and Chicago metropolitan areas, Candida auris has now been detected in more than half of U.S. states, with recent cases mostly reflecting local transmission of the disease, according to the report.

Other countries have also reported increased spread of the fungus, the researchers said.

(Reporting by Leroy Leo in Bengaluru; editing by Caroline Humer, Nancy Lapid and Jonathan Oatis)

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March 21, 2023 0 comments
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Breaking NewsPolice Blotter

Police spot suspects in ski masks pushing stolen motorcycle behind Glen Burnie shopping center

by Jeff Jones March 21, 2023
By Jeff Jones

GLEN BURNIE, MD – Police officers on patrol in Glen Burnie were called to the Sun Valley Shopping Center on Baltimore Annapolis Boulevard after a witness saw three suspicious males pushing a motorcycle behind the building.

“The complainant advised that they observed a group of male subjects with black clothes and ski masks walking/pushing a motorcycle behind the Sun Valley Shopping Center,” the Anne Arundel County Police Department reported. “As officers arrived, they made contact with four subjects behind the business. The group discarded the motorcycle and fled on foot. Officers pursued the group on foot and apprehended one of them. During their investigation, officers learned that the motorcycle was stolen from a shed in the 100 block of Herbert Court.”

The suspect, 22-year-old Carlos Gabriel Paguada-Gomez was arrested and charged accordingly.

March 21, 2023 0 comments
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Business News

Vietnam seeks new investor incentives as cross-border tax rules loom

by Reuters March 21, 2023
By Reuters

HANOI (Reuters) – Vietnam has set up a special panel to find ways to stay competitive for investors when new OECD cross-border tax rules take effect, its central bank said on Tuesday, amid concerns it could negate the benefits of its current tax incentives.

With its low labour costs, improving infrastructure and growing free trade access, Vietnam has become a regional manufacturing hub for global electronics makers that have been offered attractive tax rates.

The Organisation for Economic Cooperation and Development is shepherding what will from next year be the biggest overhaul of cross-border taxes in a generation, with 140 countries signing up to the plan, which seeks a global minimum corporate tax rate of 15%.

The rules would allow governments to apply a top-up tax to that level on any profits booked in a country with a lower rate.

Vietnam’s corporate income tax is set at 20%, but it can offer a rate as low as 5% as well as lengthy grace periods in “special cases” to attract foreign investors.

“The central bank will closely cooperate with the Ministry of Finance and the working group to work out supportive policies and measures to attract foreign investment while sticking to its international commitments,” the State Bank of Vietnam said in a statement.

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Among the beneficiaries of Vietnam’s incentives has been Samsung Electronics, its largest single foreign investor, which employs 160,000 people locally.

Deputy central bank governor Pham Thanh Ha on Tuesday met Samsung Vietnam’s chief executive, Choi Joo Ho, to discuss the new tax rules, the SBV statement said.

Choi presented “some measures for Vietnam to maintain the competitiveness of its investment environment,” it said, without elaborating.

(Reporting by Khanh Vu; Editing by Martin Petty)

March 21, 2023 0 comments
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US and World News

US FDA to take steps to help gene therapies get accelerated approval

by Reuters March 21, 2023
By Reuters

(Reuters) -The U.S. Food and Drug Administration is moving to optimize the development of gene therapies, including encouraging the use of biomarkers to help get accelerated approval of therapies for serious conditions, an agency official said.

Biomarkers, such as pulse and blood pressure, are characteristics of the body that you can measure. The FDA will support using biomarkers as substitutes for other biological indicators in gene-therapy clinical trials to help clinch “accelerated approval”, the agency’s Peter Marks said on Monday.

The U.S. health regulator grants the so-called accelerated approval mainly for drugs and therapies targeted at rare diseases or small patient populations that have had no effective treatments available to them. Companies are still required to conduct studies to confirm the anticipated clinical benefit.

“The FDA views gene therapy as an excellent opportunity to expedite the delivery of potentially life-saving therapies to patients with rare diseases,” said Marks, who heads the FDA’s Center for Biologics Evaluation and Research, in a statement.

For certain gene therapies, there may be a need to “accept some level of uncertainty” at the time of approval around questions like side-effects over long-term and safety during administration, the statement said, adding that post-marketing tools such as safety monitoring and the possible use of extra clinical trials are going to be key.

The comments from the FDA come days after Sarepta Therapeutics Inc said that the agency planned to hold a panel meeting to review its gene therapy for Duchenne muscular dystrophy, less than a month after saying it would not do so.

The company is seeking approval for its gene therapy under the FDA’s accelerated pathway.

(Reporting by Raghav Mahobe in Bengaluru; Editing by Shilpi Majumdar and Devika Syamnath)

March 21, 2023 0 comments
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US and World News

Moderna expects to price its COVID vaccine at about $130 in the US

by Reuters March 21, 2023
By Reuters

By Patrick Wingrove

(Reuters) -Moderna Inc expects to price its COVID-19 vaccine at around $130 per dose in the U.S. going forward as purchases move to the private sector from the government, the company’s president Stephen Hoge said in an interview on Monday.

“There are different customers negotiating different prices right now, which is why it’s a little bit complicated,” Hoge said ahead of a Congressional hearing run by Democratic U.S. Senator Bernie Sanders on Moderna’s pricing plans.

Moderna previously said it was considering pricing its COVID vaccine in a range of $110 to $130 per dose in the United States, similar to the range Pfizer Inc said in October it was considering for its rival COVID shots sold in partnership with BioNTech.

Hoge said the government’s Medicare health plan for seniors pays $70 per dose for the seasonal influenza vaccine. That there were two to three times more hospitalizations and deaths from COVID in the past three months alone than from the flu went into the company’s pricing reasoning, Hoge said.

The Biden Administration has said the pandemic public health emergency will end in May, shifting price negotiations to insurers and other purchasers instead of just the federal government.

Sanders, chair of the Senate’s powerful Health, Education, Labor and Pensions Committee, has said Moderna should not raise the price of its vaccine because of the government funding it received. He plans to question Moderna Chief Executive Stephane Bancel on the price increase at the hearing on Wednesday.

Hoge said the company had more than paid back that federal support by selling a similar number of mRNA COVID vaccines as Pfizer to the government for around $3 billion less, and that Moderna had paid to ramp up its vaccine manufacturing itself.

Moderna in February forecast significantly declining 2023 COVID-19 vaccine sales, which reached $18.4 billion in 2022.

Demand for the shots has declined sharply this year due to built up product inventories around the world and increased population immunity from high rates of vaccination and previous infections.

(Reporting by Patrick WingroveEditing by Caroline Humer and Bill Berkrot)

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March 21, 2023 0 comments
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US and World News

Biden signs bill requiring declassification of COVID origins information

by Reuters March 21, 2023
By Reuters

By Patricia Zengerle

WASHINGTON (Reuters) -U.S. President Joe Biden on Monday signed a bill that requires declassification of information related to the origins of the coronavirus that causes COVID-19, the White House said.

Biden said he shared Congress’ goal of releasing as much information as possible about the origin of COVID-19.

“In implementing this legislation, my administration will declassify and share as much of that information as possible, consistent with my constitutional authority to protect against the disclosure of information that would harm national security,” Biden said in a statement. 

The bill sailed through the Senate and House of Representatives without opposition before being sent to the White House.

Washington has been conducting a highly politicized debate about the origins of the coronavirus pandemic almost since the first human cases were reported in the Chinese city of Wuhan in late 2019, amid calls from both Biden’s fellow Democrats and Republicans to push back harder against a rising China.

The debate was refueled last month, when the Wall Street Journal reported that the U.S. Energy Department had assessed with that the pandemic likely arose from a Chinese laboratory leak, an assessment Beijing denies.

The department made its judgment with “low confidence” in a classified intelligence report. The FBI has also assessed that the pandemic likely originated from a lab leak. Four other U.S. agencies still judge that COVID-19 was likely the result of natural transmission, while two are undecided.

Many U.S. officials have said the pandemic’s origins may never be known. China said claims that a laboratory leak likely caused the pandemic have no credibility.

Biden noted that he had directed intelligence agencies to investigate COVID-19’s origins in 2021, that work is ongoing and his administration would continue to review all classified information, including potential links to the Wuhan Institute of Virology.

“We need to get to the bottom of COVID-19’s origins to help ensure we can better prevent future pandemics,” he said.

(Reporting by Patricia Zengerle; additional reporting by Kanishka Singh and Costas Pitas; Editing by Tim Ahmann and Bill Berkrot)

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March 21, 2023 0 comments
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US and World News

FDA staff says safety issues with Biogen’s ALS drug to not prevent approval

by Reuters March 21, 2023
By Reuters

By Bhanvi Satija

(Reuters) -The U.S. health regulator’s staff said on Monday safety issues with Biogen Inc’s drug to treat an ultra-rare form of amyotrophic lateral sclerosis or ALS, also known as Lou Gehrig’s disease, should not prevent its accelerated approval.

A panel of outside advisers to the U.S. Food and Drug Administration on Wednesday will closely scrutinize mixed efficacy data from the drug’s late-stage trial and vote on the drug’s effectiveness, and if reduction of a key protein related to the disease is enough to conclude that it may benefit ALS patients.

The drug, tofersen, failed to meet its main goal of reducing symptoms but reduced protein neurofilament levels during a late-stage study.

“Our regulations allow for regulatory flexibility to expedite the … marketing of new therapies intended to treat persons with life-threatening and severely debilitating illnesses,” the FDA’s staff said in briefing documents.

The risks related to Biogen’s drug, such as spinal cord inflammation and optic nerve swelling, observed in trial patients “are acceptable to the patient population”, the staff said.

They added that a majority of these risks may be related to the way in which the drug is administered, rather than the drug itself.

Biogen has also submitted data from an extension study to support the drug’s approval.

If approved under the FDA’s accelerated approval pathway, the drug will have to show that it provides a clinical benefit in a confirmatory trial.

The company is seeking approval for the drug in ALS patients with mutation in a gene known as superoxide dismutase 1.

(Reporting by Raghav Mahobe and Bhanvi Satija in Bengaluru; Editing by Krishna Chandra Eluri and Shinjini Ganguli)

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March 21, 2023 0 comments
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Breaking NewsPolice Blotter

Columbus police searching for two armed robbery suspects

by Ryan Dickinson March 21, 2023
By Ryan Dickinson

COLUMBUS, OH – Police in Columbus are searching for two men involved in an armed robbery outside a convenience store on Bixby Road last week.

According to police, the two men planned the robbery and waited outside the store for the victim as he exited.

“The victim walked into a convenience store while one of the suspects was standing at the counter,” detectives with the Columbus Police Department said in a statement. “Moments later, the suspect walked out to the parking lot where a second suspect was sitting in a dark-colored vehicle and handed him a gun. The victim was confronted by the armed suspect outside who demanded money as he left the business.”

Police are now asking the public to assist in identifying the two suspects.

Columbus police searching for two armed robbery suspects

One of the suspects was described as a black male, 18 to 25 years old, 5’10”, 150 pounds, wearing a black jacket, grey hoody, ripped jeans, and light blue shoes. The second suspect was described as a black male, 18 to 25 years old, 5’9″, 150 pounds, wearing a grey hoody, grey sweat pants, and red and white shoes.

If you can identify either of these suspects, please get in touch with the Columbus Police Robbery Unit at 614-645-4665. Tips can also be made to Central Ohio Crime Stoppers at 614-461-TIPS.

March 21, 2023 0 comments
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US and World News

U.S. seeks to prevent China from benefiting from $52 billion chips funding

by Reuters March 21, 2023
By Reuters

By David Shepardson

WASHINGTON (Reuters) -The U.S. Commerce Department on Tuesday released proposed rules to prevent $52 billion in semiconductor manufacturing and research funding from being used by China and other countries deemed of concern.

The proposal limits recipients of U.S. funding from investing in the expansion of semiconductor manufacturing in foreign countries of concern such as China and Russia, and limits recipients of incentive funds from engaging in joint research or technology licensing efforts with a foreign entity of concern.

It also classifies some semiconductors as critical to national security – defining these chips as not considered to be a legacy chip and therefore subject to tighter restrictions. This measure covers chips “including current-generation and mature-node chips used for quantum computing, in radiation-intensive environments, and for other specialized military capabilities.”

Commerce Secretary Gina Raimondo said “these guardrails will help ensure we stay ahead of adversaries for decades to come.”

The Commerce Department plans to begin accepting applications in late June for a $39-billion semiconductor manufacturing subsidy program. The law also creates a 25% investment tax credit for building chip plants, estimated to be worth $24 billion.

In October, the department issued new export controls to cut China off from certain semiconductor chips made anywhere in the world with U.S. equipment, vastly expanding its reach in its bid to slow Beijing’s technological and military advances.

The rules built on restrictions sent in letters last year to top toolmakers KLA Corp, Lam Research Corp and Applied Materials Inc, effectively requiring them to halt shipments of equipment to wholly Chinese-owned factories producing advanced logic chips.

The Commerce Department on Tuesday said it would reinforce those controls by aligning prohibited technology thresholds for memory chips between export controls and CHIPS national security guardrails and include “a more restrictive threshold for logic chips than is used for export controls.”

(Reporting by David Shepardson; Editing by Chizu Nomiyama and Mark Potter)

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March 21, 2023 0 comments
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Breaking NewsMonmouth County NewsSchools

Firefighters investigating alarm at Wall Intermediate School

by Phil Stilton March 21, 2023
By Phil Stilton

WALL TOWNSHIP, NJ – Wall Township Intermediate School was evacuated early Tuesday morning after a fire alarm went off inside the building.

Police arrived on the scene as students and staff were evacuated.

Wall Township Fire Department units are on the scene investigating the cause of the alarm.

“Police and Fire Departments are on scene at the Wall Intermediate School for a fire alarm activation. All students and staff have safely evacuated the building,” the Wall Township Police Department reported. “The Fire Department is determining the cause now. Updates will follow when we know more. Again, all students and staff are safe at this time.”

At 10 am, the Wall Police Department reported fire officials had determined the cause of the alarm activation to be a faulty fan motor in one of the classrooms. The building was deemed safe, and students and staff were allowed to re-enter and return to normal activities.

March 21, 2023 0 comments
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Baltimore NewsBreaking NewsLottery WinnersMaryland News

Baltimore woman wins $50k prize on lottery scratch-off ticket

by Jeff Jones March 21, 2023
By Jeff Jones

BALTIMORE, MD – A Baltimore woman playing her daily Pick 4 numbers at the Parkway Exxon added a scratch-off ticket to her purchase and ended up winning $50,000.

The woman, whose name is not being published in this article, said it was the biggest lottery win of her life.

She intends to use the money to pay for some of the expenses on her two planned Caribbean trips this year. One to Jamaica and one to Aruba.

She said her win does not mean she will give up playing Pick 4 in favor of scratch-off games, but she says she’ll probably add scratch-offs to her routine.

March 21, 2023 0 comments
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Breaking NewsLottery WinnersMaryland News

Bel Air restaurant owner wins $2 million on lottery scratch-off ticket

by Jessica Woods March 21, 2023
By Jessica Woods

BEL AIR, MD – A Bel Air restaurant owner who infrequently plays the lottery hit it big when he won $2 million on a lottery scratch-off ticket.

Last Wednesday, the man, who wished to remain anonymous, stopped into Wawa on Bel Air Road for gas and a coffee and decided to buy a lottery ticket.

A Harford County man arrived at Lottery headquarters with a winner’s story that serves as a reminder that we can never know when hard times are going to improve or when a seemingly unimportant decision can change your life.

“I buy a ticket every once in a while,” he said. “It’s never a planned thing, usually, it’s just when I see a sign or notice the machine.”

This time, he noticed the machine was off and asked the clerk about it. The clerk said the machine was being repaired, so he left the store. But, he couldn’t stop thinking if he had let a chance to win get away from him.

He returned to the store later in the day and this time bought a $30 Cash is King ticket from the machine.

“Maybe it’s because I couldn’t get it earlier, but for some reason, I really wanted that Lottery ticket. I promise you, though, that I had no thought that it would be a winner and certainly not what it turned out to be,” he said.

At first, he was excited, thinking he won $2,000, but quickly realized his winnings were $2,000,000.

After scratching off a $30 Cash Is King instant ticket he picked from the now-repaired machine, the lucky player was sure that he was seeing things. “I counted the zeros and was amazed that I’d won $2,000. Then, I counted the zeros again.” The magnitude of the $2 million top-prize win struck him immediately.

He’s now hoping to use the money to open a new restaurant after his went out of business during the COVID-19 lockdowns. He said he wants to hire his former employees who were also put out by the closures.

Based on information provided by the Maryland Lottery.

March 21, 2023 0 comments
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Breaking NewsNew York City NewsNew York NewsPolice Blotter

Man found dead with gunshot wound to head inside Brooklyn housing project

by Adam Devine March 21, 2023
By Adam Devine

NEW YORK, NY – A 37-year-old man was found shot inside the Nostrand Houses, a New York City Housing Authority project in the Sheepshead Bay section of Brooklyn.

According to police, on Monday, at around 11 pm, officers responded to the complex on Batchelder Street after receiving a 911 call regarding an unconscious male bleeding inside the building.

When police arrived, the located a 37-year-old male victim with a single gunshot wound to the head inside the stairwell on the first floor.

FDNY EMS arrived on the scene for treatment, but the victim was pronounced dead at the scene.

At this time, no suspects have been identified, and no arrests have been made.

The identity of the deceased is pending proper family notification.

Anyone with information in regard to this incident is asked to call the NYPD’s Crime Stoppers Hotline at 1-800-577-TIPS (8477) or for Spanish, 1-888-57-PISTA (74782). The public can also submit their tips by logging onto the Crime Stoppers website at https://crimestoppers.nypdonline.org/, or on Twitter @NYPDTips.

March 21, 2023 0 comments
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Business News

Business costs soar as Russia sanctions bite – survey

by Reuters March 21, 2023
By Reuters

By Jonathan Saul

LONDON (Reuters) – Insurance and compliance costs for transport companies are set to stay high after Western countries imposed trade restrictions on Russia with the prospect of broader sanctions putting more pressure on global trade, a survey showed.

Russia has faced multiple sanctions since last year from Western countries including the United States, the European Union and the UK due to its invasion of Ukraine.

These measures have added to existing sanctions on countries such as Iran and Venezuela, which have increased commercial burdens for companies.

In a first study by law firm DWF, which canvassed leading transport companies in the road, rail, sea and air sectors, 64% expected increased insurance costs, and that number also saw international sanctions becoming more common in future.

The survey, which polled executives from companies with revenues ranging from $1 billion to $100 billion – also found that 56% believed that a world with more sanctions would be riskier for their businesses.

“Russia sanctions are adding to the considerable burden of compliance costs for businesses,” Jonathan Moss, DWF’s global head of transport sector, told Reuters.

“The risk of non-compliance is serious as custodial sentences and large fines are a constant threat and enforcement actions are likely to be instigated more regularly in the coming months.”

Moss said there had been notable rises in insurance premiums in aviation, marine, energy, political risk and cyber security.

“A rise in claims with jets stranded in Russia and vessels stuck in Black Sea ports, together with expected future losses, a collapse in investment returns, reduced capacity and recessionary pressures have contributed to unprecedented high premiums in some lines of business,” he said.

“A perfect storm is brewing. The inability for insureds to access their asset with insurers unable to investigate claims, send in loss adjusters and transfer payment to experts because of sanctions rules are also contributing to upward pressure on rates.”

The survey – which was conducted between October and November last year – canvassed 50 senior executives with transport companies including the container and dry bulk shipping sectors, air and road cargo and freight forwarding.

(Editing by Ed Osmond)

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March 21, 2023 0 comments
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Breaking NewsNew York City NewsNew York NewsPolice Blotter

70-year-old man assaulted after asking suspect to stop smoking weed in apartment stairwell

by Adam Devine March 21, 2023
By Adam Devine

NEW YORK, NY – A female suspect assaulted a 70-year-old man after he asked her and her friends to stop smoking marijuana inside the stairwell of his Fulton Houses apartment in Chelsea on Monday.

Police said the man approached the group of teens at around noon on Monday and asked them to leave the area.

At that time, the female suspect, a suspected teenager, sprayed the man in his face with pepper spray. The group then fled the building.

The elderly man was treated at the scene by EMS.

The suspect was described as a female, approximately in her teens, with a light complexion, medium build and black hair. She was last seen wearing eyeglasses, a black jacket, black pants, and white sneakers.

No arrests have been made. People are asking the public to assist in identifying the suspect.

70-year-old man assaulted after asking suspect to stop smoking weed in apartment stairwell

Anyone with information in regard to this incident is asked to call the NYPD’s Crime Stoppers Hotline at 1-800-577-TIPS (8477) or for Spanish, 1-888-57-PISTA (74782). The public can also submit their tips by logging onto the Crime Stoppers website at https://crimestoppers.nypdonline.org/, on Twitter @NYPDTips.

March 21, 2023 0 comments
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Business News

Instant view: Canada annual inflation rate slows to 5.2% in February

by Reuters March 21, 2023
By Reuters

TORONTO (Reuters) – Canada’s annual inflation rate fell to 5.2% in February, largely on the base year effect, as higher mortgage interest offset lower energy prices, Statistics Canada said on Tuesday.

Analysts polled by Reuters had expected the annual rate to fall to 5.4% in February from January.

STORIES:

Market reaction: CAD/

Link:

COMMENTARY

MICHAEL GREENBERG, SVP AND PORTFOLIO MANAGER, FRANKLIN TEMPLETON INVESTMENT SOLUTIONS

“I think the Bank of Canada will be a little bit happy to see some of those core measures that they like to look at, come down off their highs from the middle or late last year. So that that’s good news, still elevated from an absolute sense, but in the right direction.”

“Our view is probably that with this banking stress that we’re seeing now, which obviously is not in the data yet, we should eventually see inflation continue to cool back down. The banking stresses probably crimps lending and all else equal economic growth a little bit.”

“That should probably keep the Bank of Canada on hold at the next meeting, assuming that the banking system continues to calm, but inflation is still quite elevated and a major concern.”

ANDREW KELVIN, CHIEF CANADA STRATEGIST AT TD SECURITIES

“I think the Bank (of Canada) is probably happy to see it. It’s in-line with the market’s expectation very broadly. It’s a very modest downside surprise. You get the broader trends here. You look at core inflation that is decelerating by about two-tenths year-over-year on average. And I think importantly, this also brings headline inflation tracking for Q1 below the BOCs forecast from January. So it just makes it easier for them to maintain their hold. Ultimately, there is more work that needs to be done if the BOC is going to stay at 4.5%. But it is certainly a step on the path towards the 2% inflation that the BOC has in their forecast. So they’ll welcome this.”

“I will say it’s all a little bit secondary given some of the volatility in the financial sector. But in an environment where policymakers are able to ring-fence some of the financial contagion, and we go back to an environment where we’re just looking at the fundamentals, this sort of CPI print is consistent with the BOC staying at 4.5% for all of 2023.”

JAY ZHAO-MURRAY, MARKET ANALYST AT MONEX CANADA

“While the Bank of Canada’s last rate statement was mildly hawkish, following the latest global banking troubles and this February inflation undershoot, the odds of another hike this cycle have dropped sharply. While the market seems a bit overzealous in pricing two cuts by year-end, we agree that the balance now tilts dovish. The instant USD-CAD rally off the back of the data reflects this, although it’s pulled back from the highs.”

(Reporting by Fergal Smith, Steve Scherer; Editing by Denny Thomas)

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March 21, 2023 0 comments
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Business News

Mercedes-Benz site searched over suspected corruption – newspaper

by Reuters March 21, 2023
By Reuters

BERLIN (Reuters) -German prosecutors are investigating two Mercedes-Benz employees for suspected corruption and conducted searches late last week at the carmaker’s factory in Sindelfingen as part of their investigation, the Bild newspaper reported on Tuesday.

Authorities seized a mobile phone and a computer during the searches at the plant southwest of Stuttgart, the report said.

The company confirmed to Reuters that the search had taken place.

“We are injured parties in the case and have filed a complaint,” a Mercedes-Benz spokesperson said, adding that the company was working with authorities and would not comment further on the case.

The Stuttgart prosecutor said the premises of a carmaker had been searched, without specifying which one.

Two suspects are under investigation for bribery in business transactions, the prosecutor said.

(Reporting by Christina Amann and Victoria Waldersee, Writing by Rachel More, Editing by Friederike Heine and Miranda Murray)

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MIsc. News

Mercedes-Benz site searched over suspected corruption – newspaper

by Reuters March 21, 2023
By Reuters

BERLIN (Reuters) – German prosecutors are investigating two employees of Mercedes-Benz for suspected corruption and conducted searches late last week at the carmaker’s factory in Sindelfingen as part of their investigation, the Bild newspaper reported on Tuesday.

Authorities seized a mobile telephone and a computer during the searches at the plant south west of Stuttgart, the report said.

Bild said two people were under investigation on suspicion of bribery and bribery in business transactions, citing Stuttgart prosecutor Aniello Ambrosio.

“We are injured parties in the case and have filed a complaint,” Bild cited a Mercedes-Benz spokesperson as saying.

(Writing by Rachel More, Editing by Friederike Heine)

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Debt-stricken Sri Lanka to get first tranche of IMF bailout funds in two days

by Reuters March 21, 2023
By Reuters

By Uditha Jayasinghe and Swati Bhat

COLOMBO (Reuters) – Sri Lanka will get the first $330 million tranche of an International Monetary Fund bailout in the next two days, the global lender said on Tuesday, putting the onus on the cash-strapped country to rein in its debt to sustainable levels.

Economic mismanagement coupled with the impact of the COVID-19 pandemic left Sri Lanka severely short of dollars for essential imports at the beginning of last year, tipping the island nation into its worst financial crisis in seven decades.

The IMF’s executive board on Monday approved a nearly $3 billion bailout with the endorsement expected to catalyse additional support to the tune of $3.75 billion from the likes of the World Bank, the Asian Development Bank and other lenders.

This was the 17th IMF bailout for Sri Lanka and the third since its decades-long civil war ended in 2009.

Graphic: IMF to Sri Lanka’s rescue again – https://www.reuters.com/graphics/SRI%20LANKA-CRISIS/IMF/gkvlwblgxpb/chart.png

The office of President Ranil Wickremesinghe said the programme would enable it to access up to $7 billion in overall funding.

“Sri Lanka is no longer deemed bankrupt by the world,” Wickremesinghe said in a video statement. “The loan facility serves as an assurance from the international community that Sri Lanka has the capacity to restructure its debt and resume normal transactions.”

Getting financial assurance from China, its largest bilateral creditor, was the last remaining hurdle for Sri Lanka in securing the IMF bailout. Once China confirmed its backing this month, the IMF went ahead with the deal.

Sri Lanka, which also needed support from other major lenders like India and Japan, thanked the international community, including the United States, for talking to the Chinese government to back its debt restructuring plan.

NO IMMEDIATE RELIEF

The IMF funding will, however, not immediately help millions of Sri Lankans, who are being squeezed by soaring costs of living, higher income taxes and a 66% increase in power tariffs.

Half of Sri Lanka’s families have been forced to reduce portions they feed their children, according to a survey by Save the Children released this month.

Citizens waking up on Tuesday to news of the IMF approval, said they hoped the funds would reduce some of their burden.

“It must be spent to solve the country’s problems,” said vegetable seller Amilanath Jayatilake, 35, in Colombo. “If they reduce the price of fuel and food items and give people some relief, then it’s good.”

The IMF deal clears the way for Sri Lanka to restructure about $58 billion debt owned by bilateral and private bond holders, according to latest government data. The IMF expects the economy to expand by 3% in 2026 after contracting by 3% during the current year.

Graphic: Sri Lanka’s growth card – https://www.reuters.com/graphics/SRI%20LANKA-CRISIS/IMF/lbvggjloyvq/chart.png

Shehan Semasinghe, state minister of finance, said the IMF bailout was “absolutely essential”.

“But now we have to patiently focus on very difficult reforms going ahead,” he said in a statement late on Monday.

The Colombo Stock Exchange All-Share index ended down 1%, while the Sri Lankan rupee was up about 6.5% against the dollar.

Bonds were up by 0.79 cents to 1.67 cents across tenors, with the March 2029 bond leading the gains.

TOUGH ROAD AHEAD

Peter Breuer, senior IMF mission chief for Sri Lanka, Asia and Pacific Department, said debt sustainability was one of the key criteria for the IMF to approve a bailout for any economy.

Sri Lanka’s disbursements from the bailout package would be tied to reviews every six months, Breuer said, adding that the IMF had not set any growth target but had put in place an inflation band of 12%-18% for the country to achieve by end of 2023.

Sri Lanka’s retail prices have eased from last year’s peaks but still hovered at over 53% in February, data showed on Tuesday.

Graphic: No respite from price rise – https://www.reuters.com/graphics/SRI%20LANKA-CRISIS/INFLATION/zdvxdqxxrvx/chart.png

Sri Lanka aims to announce a debt-restructuring strategy in April and step up talks with commercial creditors ahead of the next IMF review in six months, its central bank governor told Reuters this month.

“We need to keep in mind that it’s still going to be a difficult road no matter how much potential funds or support is being thrown at Sri Lanka,” Katrina Ell, senior economist at Moody’s Analytics, told Reuters.

“Ultimately, it comes down to them being able to successfully address some of the systemic problems in terms of economic management, fiscal management.”

(Additional reporting by Sudipto Ganguly, Shilpa Jamkhandikar and Dharamraj Dhutia; Editing by Muralikumar Anantharaman, Christian Schmollinger, Raju Gopalakrishnan and Ed Osmond)

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Telecom Italia in talks with unions on up to 2,000 job cuts in Italy

by Reuters March 21, 2023
By Reuters

MILAN (Reuters) – Telecom Italia (TIM) is seeking to cut as many as 2,000 jobs in Italy through a voluntary early retirement scheme as part of the former phone monopoly efforts to streamline its domestic operations, sources familiar with the matter said.

Fresh plans aimed at reducing a workforce which numbers some 40,000 in Italy were discussed at a meeting with unions on Tuesday, the sources said.

Debt-crippled TIM is seeking an ambitious overhaul of its operations, which have been under pressure for years due to intense price competition in its key domestic market.

Last week the company formally launched a bidding process to sell its prized landline network assets and its submarine cable unit Sparkle.

(Reporting by Elvira Pollina; Editing by Keith Weir)

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India hunts Sikh preacher who has revived calls for homeland

by Reuters March 21, 2023
By Reuters

By Krishn Kaushik

NEW DELHI (Reuters) – Indian police have launched a hunt for a Sikh preacher who has revived talk of an independent Sikh homeland and stoked fears of a return to violence that killed tens of thousands of people in 1980s and early 1990s.

Police in the northwestern state of Punjab, where Sikhs are in the majority, said they had arrested 114 supporters of the preacher, Amritpal Singh, 29, and seized 10 guns and 430 rounds of ammunition and other equipment.

Police said they had stepped up their presence and suspended mobile internet services to prevent unrest.

Police have accused Singh and his supporters of attempted murder, obstruction of law enforcement and creating disharmony and said he had been on the run since Saturday when officers tried to block his motorcade and arrest him.

Top Punjab police officer Sukhchain Gill told Reuters that Singh had set up a militia called Anandpur Khalsa Fauj. Its logos were found on the gate of his house and on the rifles and bullet-proof jackets recovered there, Gill said.

Singh’s father, Tarsem Singh, told reporters the hunt for his son was a “conspiracy”, adding that Amritpal was only working to fight drug addiction.

At a rally in September, Singh said in a speech that every drop of his blood was dedicated to “freedom for the community”.

“We all are still slaves … We have to fight for freedom,” Singh said in the home village of Jarnail Singh Bhindranwale, the Sikh insurgent leader killed in a 1984 Indian army operation.

Singh has said striving for a separate country, that Sikhs call Khalistan, was not an anti-democratic and should not be taboo.

Sikh militants complaining of unfair treatment on the part of the central government began agitating for a separate homeland in the 1970s.

India’s then prime minister, Indira Gandhi, sent the military into the Golden Temple, the holiest shrine for Sikhs, in 1984 to root out Bhindranwale and his supporters in a bloody episode that infuriated Sikhs around the world.

A few months later, Gandhi was assassinated by her Sikh bodyguards at her home in Delhi.

While the Sikh insurgency was suppressed in the 1990s, authorities have been wary of any revival of agitation, with a particular focus on small groups of Sikhs in Canada, Britain, the United States and Australia, who support the separatist demand and occasionally stage protests outside Indian embassies.

The Indian foreign ministry has complained about the protests and sought better security for its missions.

‘DIRECT LINK’

While many Sikh community leaders say the demand for a separate Khalistan has little support in Punjab, some security officials warn that trouble could again brew if activists like Singh are not stopped.

Media reported that Singh had spent a decade in Dubai working in his family’s transport business before returning to India in September and taking over the leadership of a Sikh group Waris Punjab De, or heirs of Punjab.

Singh had become popular through social media during drawn protests in 2020-21 by thousands of farmers from Punjab, many of them Sikh, against agricultural reforms.

Another Indian security officer said while Singh had only a few tens of thousands of supporters in India, he had a extensive social media reach, especially abroad, which the officer linked to the embassy protests.

“Surely what’s going on at missions abroad is a reaction to the operation against him. There is a direct link,” said the officer who declined to be identified.

The Sikh insurgency of the 1980s and 1990s killed some 30,000 people. Sikh militants were blamed for the 1985 bombing of an Air India Boeing 747 flying from Canada to India in which all 329 people on board were killed.

(Reporting by Krishn Kaushik; editing by Y.P. Rajesh, Robert Birsel)

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Energy bill support pushes UK budget deficit to February record

by Reuters March 21, 2023
By Reuters

By Andy Bruce and Sachin Ravikumar

LONDON (Reuters) -Britain’s government borrowed more than expected in February, official data showed on Tuesday, but finance minister Jeremy Hunt may still hope that falling energy costs and inflation will offer leeway later this year for a pre-election tax cut.

The Office for National Statistics said public sector net borrowing, excluding state-owned banks, was 16.7 billion pounds ($20.4 billion) last month, the largest February deficit since monthly records began in 1993.

The reading was above all predictions in a Reuters poll of economists, which had a median forecast for 11.4 billion pounds in borrowing.

The figures are not adjusted for the time of year – so comparisons are usually only made against the same month in previous years – and nor do they account for the impact of inflation over time.

The ONS said February’s borrowing data reflected “substantial” spending on energy bill support programmes.

The higher-than-expected borrowing underlines the dilemma facing Hunt, who must fund expensive support for households and businesses in the near term while working out a way to cut taxes before the next election, likely to be in 2024.

Hunt said last week the energy subsidies would be extended until June, but would cease thereafter as wholesale energy prices are forecast to fall below the level at which the government deems consumer subsidies to be necessary.

“The news on the public finances may have raised the Chancellor’s hopes that he will be able to announce a pre-election giveaway later this year,” said Ruth Gregory, deputy chief UK economist at Capital Economics.

“But the big risk is that a further escalation in the banking crisis causes a deterioration in the fiscal outlook as the hit to the public finances from weaker economic growth is only partially cushioned by lower gilt yields.”

Spending on energy support schemes totalled 9.3 billion pounds in February alone, the ONS said.

Published with his annual budget last week, forecasts from the Office for Budget Responsibility (OBR) showed an improved outlook for the public finances compared with its previous report in November, with borrowing averaging 10 billion pounds lower in each future financial year than previously predicted.

While the OBR said this reflected a less pessimistic economic outlook than four months ago, borrowing is still likely to run about 50 billion pounds higher each year compared against its March 2022 forecasts, before the full scale of the energy shock was apparent.

Tuesday’s data showed cumulative borrowing from April 2022 through February 2023 stood at 132.2 billion pounds.

Last week the OBR forecast borrowing for 2022/23 as a whole would reach 152.4 billion pounds, or 6.1% of economic output – a target that looks likely to be met.

January’s surplus in the public finances was revised up by almost 3 billion pounds.

Britain’s debt interest bill was 6.9 billion pounds in February, 1.3 billion pounds less than a year earlier, reflecting changed payments on inflation-linked government bonds, the ONS said.

($1 = 0.8163 pounds)

(Reporting by Sachin Ravikumar and Andy Bruce, Editing by Kylie MacLellan, Sarah Young, Christina Fincher and Catherine Evans)

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Brazil’s Americanas submits reorganization plan

by Reuters March 21, 2023
By Reuters

SAO PAULO (Reuters) -Brazilian retailer Americanas SA has presented to a court its post-bankruptcy reorganization plan, it said late on Monday, marking potential progress to recovery after disclosing billions of dollars in accounting irregularities.

Americanas, which entered bankruptcy protection after disclosing accounting “inconsistencies” worth 20 billion reais ($3.78 billion), presented the first draft of a legal recovery plan to a court in Rio de Janeiro state.

Under the plan, the retailer’s ‘reference shareholders’, the billionaire trio that founded 3G Capital, would inject 10 billion reais into the company through a capital increase, a measure Americanas had confirmed in early March.

Within 60 days of the capital increase, the retailer would hold a reverse auction to settle debts with unsecured and financial creditors who “opt to receive full settlement of all or part of their claims at a discount of not less than 70% of the claim amount,” it said.

The firm also proposed a repurchase of unsecured credits, as well as the issuance of simple debentures, among other debt restructuring options.

Americanas will put up for sale assets including Hortifruti/Natural da Terra, Grupo Uni.co as well as its airplane, aiming to use at least 2 billion reais from the proceeds to reduce its remaining debt.

“With this the company intends to reduce its market debt, post-restructuring, to 4.9 billion reais,” it said, far below the 42 billion reais previously acknowledged during the bankruptcy proceedings.

(Reporting by Rodrigo Viga Gaier, Carolina Pulice and Andre Romani;Editing by Chris Reese, David Gregorio, Sonali Paul and Louise Heavens)

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German investor morale tumbles on bank concerns – ZEW

by Reuters March 21, 2023
By Reuters

BERLIN (Reuters) – German investor sentiment tumbled in March as concerns about a new financial crisis ended a five-month streak of consecutive increases, the ZEW economic research institute said on Tuesday.

The institute’s index assessing the outlook for the economy over the next six months fell by 15.1 points to a reading of 13.0 in March, below the 17.1 forecast of analysts polled by Reuters.

“The international financial markets are under strong pressure,” and the high level of uncertainty is reflected in the economic expectations, said ZEW President Achim Wambach.

The market spillover from the collapse of U.S. mid-sized lenders Silicon Valley Bank (SVB) and Signature Bank this month triggered the demise of 167-year-old Credit Suisse, and investors are concerned about potential bombs ticking elsewhere in the financial system.

Investors’ concerns about banking sector turbulence weighing on the economy are not unjustified, said VP Bank chief economist Thomas Gitzel. “The focus is less on the fear of further bank failures than on the question of whether banks on both sides of the Atlantic will now become even more restrictive,” he said.

Hauck Aufhaeuser Lampe private bank chief economist Alexander Krueger downplayed the drop in expectations as an obvious reaction to recent developments. “If the bank worries are not confirmed, there is great potential for recovery,” he said.

The persistently poor assessment of the economic conditions was more meaningful in economic terms, added Krueger.

The assessment of the economic situation in Germany fell deeper into negative territory in March, dropping to -46.5 from -45.1 the month before and below analysts’ prediction of -44.3.

(Reporting by Friederike Heine, Rene Wagner and Klaus Lauer, Writing by Miranda Murray, Editing by Rachel More, Matthias Williams and Tomasz Janowski)

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