Medicare paid billions to sub-par nursing homes: HHS

SAN FRANCISCO Medicare paid billions in taxpayer dollars to nursing homes nationwide that were not meeting basic requirements to look after their residents, government investigators have found.

The report, released Thursday by the Department of Health and Human Services' inspector general, said Medicare paid about $5.1 billion for patients to stay in skilled nursing facilities that failed to meet federal quality of care rules in 2009, in some cases resulting in dangerous and neglectful conditions.

One out of every three times patients wound up in nursing homes that year, they landed in facilities that failed to follow basic care requirements laid out by the federal agency that administers Medicare, investigators estimated.

By law, nursing homes need to write up care plans specially tailored for each resident, so doctors, nurses, therapists and all other caregivers are on the same page about how to help residents reach the highest possible levels of physical, mental and psychological well-being.

Not only are residents often going without the crucial help they need, but the government could be spending taxpayer money on facilities that could endanger people's health, the report concluded. The findings come as concerns about health care quality and costs are garnering heightened attention as the Obama administration implements the nation's sweeping health care overhaul.

"These findings raise concerns about what Medicare is paying for," the report said.

Investigators estimate that in one out of five stays, patients' health problems weren't addressed in the care plans, falling far short of government directives. For example, one home made no plans to monitor a patient's use of two anti-psychotic drugs and one depression medication, even though the drugs could have serious side effects.

In other cases, residents got therapy they didn't need, which the report said was in the nursing homes' financial interest because they would be reimbursed at a higher rate by Medicare.

In one example, a patient kept getting physical and occupational therapy even though the care plan said all the health goals had been met, the report said.

The Office of Inspector General's report was based on medical records from 190 patient visits to nursing homes in 42 states that lasted at least three weeks, which investigators said gave them a statistically valid sample of Medicare beneficiaries' experiences in skilled nursing facilities.

That sample represents about 1.1 million patient visits to nursing homes nationwide in 2009, the most recent year for which data was available, according to the review.

Overall, the review raises questions about whether the system is allowing homes to get paid for poor quality services that may be harming residents, investigators said, and recommended that the Centers for Medicare & Medicaid Services tie payments to homes' abilities to meet basic care requirements. The report also recommended that the agency strengthen its regulations and ramp up its oversight. The review did not name individual homes, nor did it estimate the number of patients who had been mistreated, but instead looked at the overall number of stays in which problems arose.

In response, the agency agreed that it should consider tying Medicare reimbursements to homes' provision of good care. CMS also said in written comments that it is reviewing its own regulations to improve enforcement at the homes.

"Medicare has made significant changes to the way we pay providers thanks to the health care law, to reward better quality care," Medicare spokesman Brian Cook said in a statement to The Associated Press. "We are taking steps to make sure these facilities have the resources to improve the quality of their care, and make sure Medicare is paying for the quality of care that beneficiaries are entitled to."

CMS hires state-level agencies to survey the homes and make sure they are complying with federal law, and can require correction plans, deny payment or end a contract with a home if major deficiencies come to light. The agency also said it would follow up on potential enforcement at the homes featured in the report.

Greg Crist, a Washington-based spokeswoman for the American Health Care Association, which represents the largest share of skilled nursing facilities nationwide, said overall, nursing home operators are well regulated and follow federal guidelines, but added that he could not fully comment on the report's conclusions without having had the chance to read it.

"Our members begin every treatment with the individual's personal health needs at the forefront. This is a hands-on process, involving doctors and even family members in an effort to enhance the health outcome of the patient," Crist said.

Virginia Fichera, who has relatives in two nursing homes in New York, said she would welcome a greater push for accountability at skilled nursing facilities.

"Once you're in a nursing home, if things don't go right, you're really a prisoner," said Fichera, a retired professor in Sterling, N.Y. "As a concerned relative, you just want to know the care is good, and if there are problems, why they are happening and when they'll be fixed."

Once residents are ready to go back home or transfer to another facility, federal law also requires that the homes write special plans to make sure patients are safely discharged.

Investigators found the homes didn't always do what was needed to ensure a smooth transition.

In nearly one-third of cases, facilities also did not provide enough information when the patient moved to another setting, the report found.

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Arias Prosecutor Too Combative, Experts Say












He has barked, yelled, been sarcastic and demanded answers from accused murderer Jodi Arias this week.


And in doing so, prosecutor Juan Martinez and his aggressive antics may be turning off the jury he is hoping to convince that Arias killed her ex-boyfriend Travis Alexander in June 2008, experts told ABCNews.com today.


"Martinez is his own worst enemy," Mel McDonald, a prominent Phoenix defense attorney and former judge, told ABC News. "He takes it to the point where it's ad nauseam. You have difficulty recognizing when he's driving the point home because he's always angry and pushy and pacing around the courtroom. He loses the effectiveness, rather than build it up."


"He's like a rabid dog and believes you've got to go to everybody's throat," he said.


"If they convict her and give her death, they do it in spite of Juan, not because of him," McDonald added.


Martinez's needling style was on display again today as he pestered Arias to admit that she willingly participated in kinky sex with Alexander, though she previously testified that she only succumbed to his erotic fantasies to please him.


Arias, now 32, and Alexander, who was 27 at the time of his death, dated for a year and continued to sleep together for another year following their break-up.


Arias drove to his house in Mesa, Ariz., in June 2008, had sex with him, they took nude photos together and she killed him in his shower. She claims it was in self-defense. If convicted, Arias could face the death penalty.








Jodi Arias, Prosecutor Butt Heads in Cross-Examination Watch Video









Jodi Arias Maintains She 'Felt Like a Prostitute' Watch Video









Jodi Arias Admits to Killing Man, Lying to Police Watch Video





Martinez also attempted to point out inconsistencies in her story of the killing, bickering with her over details about her journey from Yreka, Calif., to Mesa, Ariz., including why she borrowed gas cans from an ex-boyfriend, when she allegedly took naps and got lost while driving, and why she spontaneously decided to visit Alexander at his home in Mesa for a sexual liaison.


"I want to know what you're talking about," Arias said to Martinez at one point.


"No, I'm asking you," he yelled.


Later, he bellowed, "Am I asking you if you're telling the truth?"


"I don't know," Arias said, firing back at him. "Are you?"


During three days of cross examining Arias this week, Martinez has spent hours going back and forth with the defendant over word choice, her memory, and her answers to his questions.


"Everyone who takes witness stand for defense is an enemy," McDonald said. "He prides himself on being able to work by rarely referring to his notes, but what he's giving up in that is that there's so much time he wastes on stupid comments. A lot of what I've heard is utterly objectionable."


Martinez's behavior has spurred frequent objections of "witness badgering" from Arias' attorney Kirk Nurmi, who at one point Tuesday stood up in court and appealed to the judge to have a conference with all of the attorneys before questioning continued. Judge Sherry Stephens at one point admonished Martinez and Arias for speaking over one another.


Andy Hill, a former spokesperson for the Phoenix police department, and Steven Pitt, a forensic psychiatrist who has testified as an expert witness at many trials in the Phoenix area, both said that despite his aggressive style, Martinez would likely succeed in obtaining a guilty verdict.


"When it comes to cross examination, one size does not fit all," said Pitt. "But if you set aside the incessant sparring, what the prosecutor I believe is effectively doing is pointing out the various inconsistencies in the defendant's version of events."






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Australian cyclone crossing Western Australian coast






SYDNEY: A tropical cyclone hit Australia's resource-rich northwest coast Wednesday, bringing winds of up to 165 kilometres (102 miles) an hour as it crossed the shore near the tiny community of Pardoo.

Severe tropical cyclone Rusty had been sitting offshore for several days, slowly intensifying as it edged towards the Pilbara coast and bringing heavy rain and gale-force winds to the iron ore region.

"It is in the process of crossing," Neil Bennett from Australia's Bureau of Meteorology told AFP just after 0700 GMT, adding it was too soon to say whether it had caused any damage.

"Wind gusts in excess of 165 kilometres an hour are in that area."

Bennett said the storm had been downgraded from a category 4 storm, just one notch short of the top category, to a category 3.

The bureau had expected Rusty to make landfall close to Port Hedland, 1,300 kilometres (800 miles) north of Perth, but Bennett said the major iron ore port appeared to have escaped the full brunt of the storm.

"It looks as if Hedland has dodged the bullet, so to speak, because the worst of the winds are away from Hedland," he said.

"Hedland though has been experiencing a constant period of gale-force winds for over 36 hours now. And that's unprecedented (for that area)."

While the storm has been downgraded, its eye has also contracted from being about 80 kilometres wide on Tuesday to about 50 kilometres by the time it crossed land.

Authorities had warned residents to move out of the storm's path or seek shelter. Resident Ian Badger said he was seeking refuge at the Pardoo Roadhouse, about 120 kilometres from Port Hedland.

"It's just a matter of hanging on," he told the Australian Broadcasting Corporation.

"The amount of water that's around is a bit worrying. The ground is very sodden, very soft. As soon as you get a get a bit of strong wind, trees start going over."

The weather bureau expects the cyclone to move slowly in a south-southeasterly direction, gradually downgrading to a category 1 storm by Thursday afternoon and a tropical low the following day.

Australia's major iron ore export ports have been shut for several days anticipating Rusty's approach. Hundreds of people have been forced to evacuate their homes in the sparsely populated but cyclone-prone area.

Global iron ore giants including BHP Billiton, Rio Tinto and Fortescue Metals Group have all shut down or scaled back operations due to the storm.

-AFP/fl



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Why you should wait for the Samsung Galaxy S4


It was only about nine months ago that Samsung introduced its flagship Galaxy S3 to the world.



There's no question the device set a new standard for the high-end
Android smartphone. It has also been one of Samsung's hottest selling smartphones. And now it looks like Samsung is about to do it again with the
Galaxy S4, set for introduction March 14.


So what is a smartphone shopper to do? In this edition of Ask Maggie, I explain why, even if you still want to get the Samsung S3, it's still better to wait for the launch of the Galaxy S4. I also help another reader make sure her older Android device is really connecting to Wi-Fi instead of eating up her expensive data plan.


Buy the Samsung Galaxy S3 or wait for the Galaxy S4?


Dear Maggie,
I just realized I am eligible for a new two-year contract on AT&T. I have been considering getting a new Samsung Galaxy S3. But now I am wondering if I should just wait for the Samsung Galaxy S4. Are there any discounts on the Galaxy S3 now? Will there be discounts on that phone if I wait? Or will the new Galaxy S4 be so much better, I'll just want that one?


Thanks
Andrew


Dear Andrew,
The short answer to your question is to simply wait. If you aren't in dire need of a new smartphone right now, you should wait just a little while longer. This week Samsung sent out invitations to an event in New York City on March 14 where it will debut the new Galaxy S4. The device won't likely go on sale until April, but considering, it's already the end of February, that isn't too long to wait.



It's hard to say how the new Galaxy S4 will stack up against the Galaxy S3 since specifications haven't been released. But there have been plenty of rumors swirling around that give us an idea of what is likely coming. And there is no question that the Galaxy S4 will be an improvement over the S3.


For example, the Galaxy S4 is rumored to have an eight-core Exynos processor, a separate eight-core graphics processing unit, a 4.99-inch SuperAmoled display, 2GB of RAM, a 13-megapixel rear camera with 1080p video capability, a 2-megapixel front-facing camera, and the latest version of Android, known as 4.2.2 Jelly Bean.


My colleague Roger Cheng, who was in Barcelona, Spain, this week for Mobile World Congress, talked to Samsung execs there who said that the new Galaxy S4 may also sport Samsung's new security software, Knox.


These specs are an improvement over the Galaxy S3, which has a 4.8-inch screen and a 1.4GHz quad-core processor, 2GB of RAM and an 8-megapixel rear-facing camera.


This doesn't mean that you should not consider the Galaxy S3. In fact, regardless of what new specs for the new Galaxy S4 are, the Galaxy S3 is still a very good smartphone. And if you are on a budget, the Galaxy S3 could be a great fit for you.



That said, I still think you need to wait until the Galaxy S4 is closer to its launch or until after it launches. Why wait? That's when you are likely to see the best deals on the older Galaxy S3.


Right now, you can get discounts on the Galaxy S3 if you are willing to switch wireless providers. On Amazon Wireless, you can get the the S3 for $79.99 from AT&T if you're a new subscriber. Existing AT&T subscribers, such as yourself, can still get a discount, but it's not as big. Existing AT&T customers can get the Galaxy S3 for $129.99 with a two-year contract if the device is bought through Amazon.



Samsung's Galaxy S3 helped Android win more sales in the U.S.

Samsung's Galaxy S3 helped Android win more sales in the U.S.



(Credit:
Josh Miller/CNET)


Also on Amazon, Verizon is offering the brown version of the Galaxy S3 for $49.99. It's $149.99 for existing Verizon customers through the Amazon site.


But the best deal by far is from Sprint, which is offering the Galaxy S3 for 1 cent to new subscribers via Amazon. (Keep in mind these deals do not apply if you buy the device directly from the wireless carrier's store or Web site.)


My guess is that prices will continue to drop as the release of the Galaxy S4 approaches. And even after the new phone is on the market, you can bet that carriers are going to look for ways to get rid of their existing Galaxy S3 inventory. Who knows, the carriers may even offer the Galaxy S3 free even to existing customers renewing contracts. Carriers also like offer two-for-one deals too. So there is a chance that the Galaxy S3 could be used in one of those promotions.


The bottom line is that even if you are not sure whether you will buy the Samsung Galaxy S4 or the Galaxy S3, you should still wait. That way you will either get the newest flagship Samsung Android smartphone on the market or you'll get the best deal possible on the slightly older version of the product. Either way, it's a win-win for you.


I hope this answered your question. And good luck!



Help! I don't know if I'm really using Wi-Fi on my smartphone!


Dear Maggie,
I have been reading some of your answers to folks about smartphones and data usage. I don't use a cell phone much except for emergencies, so I bought an AT&T GoPhone plan ($100 per year at 25 cents a minute.) I love technology (a bit like the aunt you mentioned in one of your recent columns) so I recently purchased an AT&T Fusion GoPhone. My minutes roll over so I had about $220 in my account. We have Wi-Fi available in our home, so I thought I could simply utilize that. I did sign-up for a small data plan after I used over $100 of my minutes to download a few things on my phone. Sad to say, I do not understand data vs. Wi-Fi on my phone. I was able to use my old SIM card on my new phone, but you mentioned something about turning off the data on a phone and using your WiFi instead. How does one do that? Seemingly, having downloaded a couple of games and a document or two to my phone, I can use those without incurring any charges. Then I got a charge of over $30 for something I did (I downloaded a ringtone and a
Kindle app), and I am not sure why. Any help you might have would be appreciated.

Thanks,
Sherry

Dear Sherry,
I'm sorry that this is confusing for you. But believe me when I say that you are not alone. I think there are a lot of people out there who get confused about this. Let's see if I can help.

The AT&T Fusion GoPhone is an Android smartphone. It uses an older version of the Google Android OS, known as Android 2.3 Gingerbread.

The first thing you need to make sure Wi-Fi is turned on. Here's how you do that.

  • Press Home key
  • Press Menu button
  • Touch settings
  • Touch Wireless networks> Wi-Fi
  • Check the Wi-Fi box to turn on Wi-Fi
  • Touch a network to connect to that network

If you have secured your home Wi-Fi network, you will be asked to log-in to your network using your username and password. From this time forward, you should always connect to your home Wi-Fi network every time you enter it. You shouldn't have to go into settings and connect to this network. It should do it automatically after the first time.

But since you aren't certain that you are connecting, before you download something, you may want to double check you're connected to Wi-Fi. You can do this by repeating these steps to make sure that you're connected.

There is a chance that your home Wi-Fi network isn't working properly. For example, the wireless router may be operating, but the connection to your wired broadband connection to your house may be having problems. So if you're having trouble connecting to the home Wi-Fi network, I would check your connection to your broadband service.

Another way to check whether you are on Wi-Fi is to look at the Wi-Fi icon in the top right of your screen. If you see the symbol lit up, you are connected to a Wi-Fi network. And all data should be transmitting over Wi-Fi. But if you see a question mark through the Wi-Fi signal, you are not connected and when you download stuff it will go over the carrier data network.

If you really aren't sure about whether you're on Wi-Fi, you can go into the settings of your phone and put the phone into Airplane mode. This will turn off the cellular radio on your phone. You won't be able to receive or make phone calls over the AT&T network when this radio is turned off. But you can leave Wi-Fi on in the airplane setting, which will allow you to connect to your home Wi-Fi network. There should be no question at all if you are in airplane which network you are using since the carrier data network is turned off.

If you do this and are still getting charged for data, then you may want to into an AT&T store and ask the salesperson to help you. There is a chance that you may have some apps running in the background of your phone that are downloading things when you're not in Wi-Fi. Hopefully, a store rep can help you sort this out. Otherwise, it may be a problem with your phone. And the store rep should be able to help you with that or at least credit your account.

I hope this answer was helpful. And good luck!

Ask Maggie is an advice column that answers readers' wireless and broadband questions. The column now appears twice a week on CNET offering readers a double dosage of Ask Maggie's advice. If you have a question, I'd love to hear from you. Please send me an e-mail at maggie dot reardon at cbs dot com. And please put "Ask Maggie" in the subject header. You can also follow me on Facebook on my Ask Maggie page.

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Two cops, suspect dead in Calif. shootings

Updated 1:50 a.m. EST

SANTA CRUZ, Calif. Two police officers were shot and killed Tuesday while investigating a sexual assault, and a suspect was also fatally shot, authorities said.

Santa Cruz police Chief Kevin Vogel says Sgt. Loren Butch Baker and Detective Elizabeth Butler were gunned down in mid-afternoon Tuesday as they followed up on a sexual assault investigation. He says Baker was a 28-year veteran of the department and Butler had been with the department 10 years. Vogel says Baker was married and the father of two daughters, while Butler leaves behind two young sons.

A suspect, identified as 35-year-old Jeremy Goulet, was shot and killed a short time later while authorities were pursuing the gunman, the Santa Cruz County sheriff's office said.

Residents on the adjoining streets where the shootings occurred received an automatic police call warning them to stay locked inside. About half an hour later, more than a dozen semi-automatic shots echoed down the streets in a brief shootout that killed the suspect.

Witnesses described hearing a "multitude of gunfire" - with 20 or more shots fired during that gun battle between the suspect and law enforcement, reports CBS San Francisco station station KPIX-TV.

Police were going door-to-door in the neighborhood, searching homes, garages, even closets, although the sheriff said authorities didn't know if another suspect remained at large.

Police, sheriff's deputies and FBI agents filled intersections, some with guns drawn, in what is ordinarily a quiet, residential neighborhood in the community about 60 miles south of San Francisco.

A store clerk a few buildings away from the shooting said the barrage of gunfire was "terrifying."

"We ducked. We have big desks, so under the desks we went," said the clerk, who spoke on condition of anonymity and asked that her store not be identified because she feared for her safety.

She said she remained locked in her store hours after the shooting and was still scared.

Two schools were locked down during the shooting. The students were later evacuated by bus to the County Government Center about half a mile away.

As darkness fell, helicopters and light aircraft patrolled above the neighborhood, which is about a mile from downtown Santa Cruz and the Santa Cruz Beach Boardwalk. The campus of University of California, Santa Cruz, is about five miles away.

The city's mayor, Hilary Bryant, said in a statement that the city was shocked over the shootings.

"Tonight we are heartbroken at the loss of two of our finest police officers who were killed in the line of duty, protecting the community we love," the statement said. "This is an exceptionally shocking and sad day for Santa Cruz and our Police Department."

Santa Cruz has faced a recent spate of violence, and community leaders had scheduled a downtown rally Tuesday to speak out against shootings. That and a city council meeting were canceled after teary-eyed city leaders learned of the deaths.

Those shootings include the killing of Pauly Silva, a 32-year-old martial arts instructor who was shot outside a popular downtown bar and restaurant on Feb. 9.

Two days later, a UC Santa Cruz student waiting at a bus stop was shot in the head during a robbery. She is recovering from her injuries.

Then on Feb. 17, a 21-year-old woman was raped and beaten on the UC Santa Cruz campus. Four days later, a Santa Cruz couple fought off two men who came in their home before dawn and threatened them with a sword.

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Inside Organized Retail Crime Raids












We used to call it shoplifting, but these days the foot soldiers of retail crime rings are known as boosters. Police even have an acronym for these operations: ORC, which stands for Organized Retail Crime.


"It's just like a Fortune 500 company," said Sergeant Eric Lee of the Gardena Police Department in Gardena, Calif. "All of this is just organized."


Watch the full story on "Nightline" TONIGHT at 12:35 a.m. ET


Police say big retail stores, from Walgreens to J.C. Penny, are getting hit by highly sophisticated shoplifting networks that steal and resell everything from underwear to razors to milk. According to the National Retail Federation, theft can amount to annual losses as high as a $37 billion for retail businesses.


"Every store in every city has to go through this," Lee said. "They wait until no one's paying attention and they walk out."


Tide detergent is currently a hot target because it is compact, expensive and easy to sell on the streets for profit, police said. The Street name: "liquid gold."


"Sometimes we get rings that just do alcohol," Lee said. "And then we get some that do just meat and seafood."


Investigators say boosters move the loot for cents on the dollar to fencing operations -- the black market resellers of the stolen goods -- which sell the stolen merchandise in plain sight in stores. Boosters, fencers, Mr. Bigs, all of those involved in these shoplifting operations can potentially make millions a year from boosting and re-selling stolen goods.








Craigslist Crackdown: Cops Go After Thieves Watch Video







And Mike Swett is on the case. A former Riverside County sheriff's deputy in Los Angeles, Swett was badly injured in a car wreck and now works as a full-time private investigator on the ORC beat who has worked with Target, Marshalls, T.J. Maxx. Stores hire him to do his own undercover police work, catching thieves before involving local law enforcement.


"Kind of like working a narcotics case, it's like you've got low-level, mid-level and then top dog," Swett said. "We like to go after the top dog and the only way to get to the top dog is mid-level first."


At his command center -- his apartment -- Swett showed off the boxes upon boxes of tapes and photographs he has collected, the fruits of countless silent stake-out hours.


Swett said he has been casing two joints in L.A. for months, both alleged to be mid-level fencing operations. "Nightline" was invited to ride along with him when he sent undercover agents in for a final reconnaissance mission.


At some stores and shopping malls, clerks do little to stop shoplifters and often let them run, which has contributed to the growing fencing operations.


"[The stores] don't want their employees to get injured," Swett said. "So oftentimes they will call the police, but by the time we get there they are already in their car and they are gone."


This leaves professional investigators like Swett to put the pieces together and bust open the gangs to lead over-stretched police departments to the prey.


When raid day arrived, a motorcade of squad cars departed from the Gardena, Calif., police department and pulled up to one fencing operation. Swett said the merchandise being sold was boosted goods.


"There is Victoria's Secret, expensive Victoria's Secret, the gift sets," he said, pointing down a line of tables. "J.C. Penny, Miramax, its real stuff not counterfeit."


He spotted a bottle of Katy Perry brand perfume, which usually retails for around $90 but one seller had it priced at $59.






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Asian markets mostly slip on Italy uncertainty






HONG KONG: Asian markets mostly fell on Tuesday, with dealers spooked by an election in Italy that left no clear winner, leading to political uncertainty and fresh fears about eurozone stability.

The dollar and euro extended the losses suffered in US trade as investors absorbed the Italian results, while there was also concern about the lack of progress in Washington to avoid spending cuts due to take effect on Friday.

Tokyo tumbled 2.26 percent, or 263.71 points, to 11,398.81, with profit-takers also moving in after the index enjoyed a big surge on Monday.

Sydney shed 1.03 percent, or 52.2 points, to 5,003.6, and Seoul lost 0.47 percent, or 9.51 points, to close at 2,000.01.

Shanghai tumbled 1.40 percent, or 32.48 points, to 2,293.34, while Hong Kong fell 1.32 percent, or 300.39 points, to 22,519.69.

Italy Tuesday looked headed for political deadlock as results from Sunday's election indicated there would be no clear winner, while the biggest gainer was a protest party run by a popular comedian.

The polls show that while the leftists won the lower house, the party run by former prime minister Silvio Berlusconi had more seats in the upper house.

Investors fear the outcome will lead to political stalemate in the country and a possible return to the dark days of the region's financial crisis if austerity measures introduced to cut Rome's huge debt pile are reversed.

The developments in Italy sent a shiver through forex markets in New York, with the euro tumbling to $1.3065 and 120.12 yen.

In Asia, the single currency sat at $1.3045 and 119.70 yen, well down from the $1.3197 and 124.24 yen in Tokyo on Monday.

The dollar fetched 91.76 yen against 91.92 yen in New York, far off the 94.77 yen high seen Monday in Asia.

The split vote in Italy wiped out the yen's Monday losses that were fuelled by reports Japan's government is likely to nominate a man to run the central bank who is in favour of more aggressive monetary easing.

On Wall Street, the Dow tumbled 1.55 percent in its biggest single-day drop since November, while the S&P 500 dived 1.83 percent and the Nasdaq sank 1.44 percent.

Traders are also keeping an eye on US lawmakers to see if they can muster an agreement to avoid the imposition of $85 billion in budget cuts -- known as the sequester -- that will come in on Friday.

Analysts have warned that if less drastic cuts are not agreed, the still-fragile economy could slip back into recession.

Oil prices fell, with New York's main contract, light sweet crude for delivery in April, dropping 85 cents to $92.26 a barrel in the afternoon and Brent North Sea crude for delivery in April shedding 85 cents to $113.59.

Gold was at $1,593.60 at 0805 GMT compared with $1,593.30 late Monday.

In other markets:

-- Taipei fell 0.84 percent, or 66.78 points, to 7,880.9.

Taiwan Semiconductor Manufacturing Co shed 1.43 percent to NT$103.5 while leading smartphone maker HTC was 0.36 percent higher at NT$276.5.

-- Manila closed 1.35 percent lower, giving up 90.66 points to 6,630.67.

SM Investments shed 1.37 percent to 1,010 pesos and Ayala Corp. fell 1.02 percent to 584 pesos, while SM Prime Holdings slid 1.60 percent to 18.50 pesos.

-- Wellington closed 0.30 percent, or 12.47 points, higher at 4,238.92.

Telecom rose 1.1 percent to NZ$2.32, Sky City added 0.5 percent to NZ$4.10 and Air New Zealand was up 4.7 percent at NZ$1.33.

- AFP/xq



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Trendnet's first 802.11ac router now shipping




Trendnet AC1750 Dual Band Wireless Router, model TEW-812DRU

Trendnet AC1750 Dual Band Wireless Router, model TEW-812DRU



(Credit:
Dong Ngo/CNET)



Power users now have another option for their home Wi-Fi networks.


Trendnet announced today the availability of the AC1750 Dual Band Wireless Router (model TEW-812DRU). This router was first showcased at CES 2013 and is the first from Trendnet to support the new 802.11ac Wi-Fi standard.



The TEW-812DRU router is a true dual-band router that offers a maximum wireless speed of up to 450Mbps on the 2.4GHz frequency band, while at the same time offering up to 1,300Gbps speed on the 5GHz band. To take advantage of the new and much faster speed, the wireless clients also need to support 802.11ac. Nonetheless, the new router works with all existing Wi-Fi clients on the market, at the speed of their respective Wi-Fi standards.


In addition, the AC1750 supports Gigabit Ethernet, guest network, and WPS, and a network storage feature when coupled with an external hard drive.>

The AC1750 Dual Band Wireless Router is now available for purchase at a suggested price of $230. Check back soon for an in-depth review.


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At least 19 tourists die in hot air balloon crash in Egypt

Updated 2:30 a.m. EST

LUXOR, Egypt A hot air balloon flying over Egypt's famed ancient city of Luxor caught fire and crashed into a sugar cane field on Tuesday, killing at least 19 foreign tourists, a security official said.

It was one of the worst crashes involving tourists in the country already struggling with a decimated tourism industry, two years after the 2011 uprising that ousted former leader Hosni Mubarak.

According to an Egyptian security official, the balloon carrying 21 tourists caught fire, which triggered an explosion in its gas canister, then plunged at least 1,000 feet from the sky. It crashed into a sugar cane field outside al-Dhabaa village just west of the city of Luxor, 320 miles south of Cairo, the official said, speaking on condition of anonymity as he was not authorized to talk to the media.

The casualties included French, British, Chinese and Japanese nationals, the official said. Two survivors of the crash were taken to a local hospital with critical injuries. Local media reports say the survivors included the pilot.

Bodies of the dead tourists were scattered across the field around the remnants of the balloon. An Associated Press reporter at the crash site counted eight bodies as they were put into body bags and taken away.

Hot air ballooning, usually at sunrise over the Karnak and Luxor temples as well as the Valley of the Kings, is a popular pastime for tourists visiting Luxor.

Tourism is one of Egypt's economic pillars and main revenue of foreign currency.

The site of the accident has seen accidents in the past. In 2009, 16 tourists were injured when their balloon stuck a cell phone transmission. A year earlier, seven tourists were injured in a similar crash.

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Americans Targeted for Allegedly Running Underage Prostitution in Philippines












Arthur Benjamin is sitting at the edge of a small stage, wearing a lavender Hawaiian shirt and nursing a bottle of San Miguel Light beer. The 6-foot-6 mustachioed Texan lazily watches the half dozen or so girls dancing rather unenergetically around the stage's pole.


"I forgot your gift again, it's in the car," Benjamin says to one of the girls on stage, shouting above the pop music blaring from the speaker system.


The small, dingy bar, which Benjamin says he owns, is called Crow Bar. It's in a rundown part of the picturesque Subic Bay in the western Philippines, about a three hour drive from the capital, Manila. Home for 50 years to a United States naval base, Subic Bay has become synonymous with foreigners looking for sex in the long string of bars that line the main road along the coast.


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The bars in this area are often packed with older foreign men ogling the young Filipina women available for the night for a "bar fine" of around 1,500 Filipino pesos, or just over $35. Many of the bars are owned and operated by Americans, often former military servicemen who either served on the base or whose ships docked here until the base was shuttered under political pressure in 1992.








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Most of the prostitutes working in the bars are indeed 18 or older. But in the Philippines, just a small scratch to the surface can reveal a layer of young, underage girls who have mostly come from impoverished rural provinces to sell their bodies to help support their families.


Benjamin, 49, is, according to his own statements, one of the countless foreigners who has moved beyond just having sex with underage girls to owning and operating a bar where girls in scantily-clad outfits flaunt their bodies for patrons.


"My wife recently found out that I have this place," he tells an ABC News "Nightline" team, unaware they are journalists and recording the conversation on tiny hidden cameras disguised as shirt buttons.


Benjamin said that a "disgruntled waitress" had written his wife on Facebook, detailing his activities in Subic Bay.


"She sent her this thing saying that I have underage girls who stayed with me, that I [have anal sex with them], I own a bar, I've got other girls that I'm putting through high school, all this other crap," he said.


"All of which is true," he laughed. "However, I have to deny."


He sends a text message summoning his current girlfriend, a petite dark-skinned girl called Jade, who he said is just 16 years old. Benjamin says he bought the bar for her about a year ago and while most still call it Crow Bar, he officially re-named it with her last name.


"She needed a place to stay, I needed a place to do her. I bought a bar for her," he says, explaining that she lives in a house out back by the beach.


"You're not going to find anything like this in the States, not as a guy my age," he said as he looked down at Jade. "Ain't going to happen."


Benjamin is the latest target of Father Shay Cullen, a Catholic priest with a thick Irish brogue and fluency in the local language, Tagalog. Through his non-profit center called Preda, he's been crusading against underage sex trafficking in the Philippines for 40 years.




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