Health Care Bill Will Fund State Vaccine Teams to Conduct ‘Interventions’ in Private Homes

July 16th, 2009

Via: CNSNews:

There is a knock at the front door. Peeking through the window, a mother sees a man and a woman, both in uniform. They are agents of health-care reform.

“Excuse me, ma’am,” says the man. “Our records show that your eleven-year-old daughter has not been immunized for genital warts.”

“And your four-year-old still needs the chicken-pox vaccine,” says the woman.

“He will not be allowed to start kindergarten unless he gets that shot, you know,” says the man—smiling from ear to ear.

“So, can we please come in?” asks the woman. “We have the vaccines right here,” she says, lifting up a black medical bag. “We can give your kids the shots right now.”

“We are from the government,” says the man, “and we’re here to help.”

Is this a scene from the over-heated imagination of an addlepated conspiracy theorist? Or is it something akin to what is actually envisioned by the health-care reform bill approved this week by the Senate Health, Education, Labor and Pension Committee.

The committee’s official summary of the bill says: “Authorizes a demonstration program to improve immunization coverage. Under this program, CDC will provide grants to states to improve immunization coverage of children, adolescents, and adults through the use of evidence-based interventions. States may use funds to implement interventions that are recommended by the Community Preventive Services Task Force, such as reminders or recalls for patients or providers, or home visits.”

Home visits? What exactly is the state going to do when it sends people to “implement interventions” in private homes designed “to improve immunization coverage of children”?

The draft of the bill posted on the committee Web site provides more details.

Title III of the bill is entitled, “Improving the Health of the American People.” It includes four subtitles. They are: “Subtitle A: Modernizing Disease Prevention of Public Health Systems,” “Subtitle B: Increasing Access to Clinical Preventive Services,” “Subtitle C: Creating Healthier Communities,” and “Subtitle D: Support for Prevention and Public Health Information.”

The program authorizing home “interventions” to promote immunizations falls under “Subtitle C: Creating Healthier Communities.” This subtitle directs the secretary of health and human services to “establish a demonstration program to award grants to states to improve the provision of recommended immunizations for children, adolescents, and adults through the use of evidence-based, population-based interventions for high-risk populations.”

The bill lists eight specific ways that states may use federal grant money to carry out immunization-promoting “interventions.” Method “E” calls for “home visits” which can include “provision of immunizations.”


British Health Minister Quits

July 16th, 2009

I wouldn’t want to be associated with the upcoming H1N1 vaccine debacle either. (Of course, it doesn’t say anything about the upcoming H1N1 vaccine debacle.)

Via: BBC:

Top surgeon Lord Darzi, one of several non-political figures brought into Gordon Brown’s government, is to resign as health minister.

Downing Street confirmed he will remain as a government adviser but quit as a minister “to devote more time to his clinical role and academic research”.


Another Russian Human Rights Activist Murdered

July 15th, 2009

Via: BBC:

A prominent Russian human rights activist, Natalia Estemirova, has been found dead in the North Caucasus.

She was bundled into a van and abducted as she left her home in Chechnya on Wednesday morning, a colleague said. Her body was found in Ingushetia.

The Russian President Dmitry Medvedev expressed “outrage” at the murder, and ordered a top-level investigation.

Ms Estemirova had been investigating human rights abuses in Chechnya for the independent Memorial group.

Memorial is one of Russia’s best known rights groups, working to document Soviet-era abuses and those taking place more recently, especially in Chechnya.

In recent months, she had been gathering evidence of a campaign of house-burnings by government-backed militias.

Forcefully taken

Ms Estemirova, a single mother in her 40s, had worked in the past with the activists Anna Politkovskaya, who was shot dead in 2006, and Stanislav Markelov, who was killed in January this year.

In 2007 she was awarded the inaugural Anna Politkovskaya Prize, and had also received awards from the Swedish and European parliaments, Memorial said.

In a statement the group said she “was forcefully taken from her house into a car and shouted that she was being kidnapped” at about 0830 local time (0430 GMT).

Her body was found in woodland near Nazran, the main city in neighbouring Ingushetia, about nine hours later. She had bullet wounds to the head and chest.

Dangerous work

The New-York based human rights group Human Rights Watch (HRW) said Ms Estemirova had been working on “extremely sensitive” cases of human rights abuses in Chechnya.

“There is no shred of doubt that she was targeted due to her professional activity,” said Tanya Lokshina, HRW’s Russian researcher in Moscow.

Ms Estemirova was engaged in very important and dangerous work, says the BBC’s Rupert Wingfield-Hayes in Moscow, investigating hundreds of cases of alleged kidnapping, torture and extra-judicial killings by Russian government troops or militias in Chechnya.

Memorial says it believes that government security services of some nature must be involved in her killing.

Our correspondent says no evidence of that has emerged so far, but that it was the government sponsored militias that had most to fear from her work.

She is the most recent in a long line of human rights activists and lawyers to have been killed or attacked in Russia. The history of these sorts of cases over many years is that very rarely are their killers ever brought to justice, our correspondent says.


India to Issue all 1.2 Billion Citizens with Biometric ID Cards

July 15th, 2009

Via: Times Online:

It is surely the biggest Big Brother project yet conceived. India is to issue each of its 1.2 billion citizens, millions of whom live in remote villages and possess no documentary proof of existence, with cyber-age biometric identity cards.

The Government in Delhi recently created the Unique Identification Authority, a new state department charged with the task of assigning every living Indian an exclusive number. It will also be responsible for gathering and electronically storing their personal details, at a predicted cost of at least £3 billion.

The task will be led by Nandan Nilekani, the outsourcing sage who coined the phrase “the world is flat”, which became a mantra for supporters of globalisation. “It is a humongous, mind-boggling challenge,” he told The Times. “But we have the opportunity to give every Indian citizen, for the first time, a unique identity. We can transform the country.”

If the cards were piled on top of each other they would be 150 times as high as Mount Everest — 1,200 kilometres.

India’s legions of local bureaucrats currently issue at least 20 proofs of identity, including birth certificates, driving licences and ration cards. None is accepted universally and moving from one state to the next can easily render a citizen officially invisible — a disastrous predicament for the millions of poor who rely on state handouts to survive.

It is hoped that the ID scheme will close such bureaucratic black holes while also fighting corruption. It may also be put to more controversial ends, such as the identification of illegal immigrants and tackling terrorism. A computer chip in each card will contain personal data and proof of identity, such as fingerprint or iris scans. Criminal records and credit histories may also be included.

Mr Nilekani, who left Infosys, the outsourcing giant that he co-founded, to take up his new job, wants the cards to be linked to a “ubiquitous online database” accessible from anywhere.

The danger, experts say, is that as one of the world’s largest stores of personal information, it will prove an irresistible target for identity thieves. “The database will be one of the largest that ever gets built,” Guru Malladi, a partner at Ernst & Young who was involved in an earlier pilot scheme, said. “It will have to be impregnable.”


It’s a Very Nice House in the Country (But Not for an Orgy)

July 15th, 2009

This is probably several rungs down from the top of the pyramid, but worth noting anyway.

Via: Independent:

Nestled in the rolling Somerset countryside and surrounded by 17 acres of meticulously kept gardens, Halswell House is the sort of quintessentially English retreat that would make an ideal backdrop for a romantic period drama. It is also a perfect venue if you happen to be a member of a shady European party circle which indulges in the very un-English pastime of mass orgies.

Last weekend, employees at the 17th-century manor house, which is accustomed to hosting corporate dos and chocolate-box weddings for well-heeled clients, were left speechless when 350 masked guests stripped off at the stroke of midnight and engaged in group sex of bacchanalian proportions.

According to those who witnessed the spectacle, security guards gave up trying to persuade copulating couples to go to their rooms because almost every guest at the party was “otherwise engaged” with a fellow reveller.

Grahame Bond, the hotel’s multimillionaire owner, had hired his 30-room house out for £9,000 to a Dutch company who planned to host a private party, charging guests £65 a ticket. When a convoy of BMWs, Aston Martins and Porsches swept up the driveway on Saturday evening and disgorged their masked occupants, staff assumed they were dealing with a fabulously well-attired fancy-dress party.

But at the stroke of midnight, the atmosphere suddenly changed. “We began the evening by serving the guests Kir Royals and the champagne flowed,” Mr Bond recalled yesterday. “There was a man – the party organiser – telling guests in a loud voice that they were all under a spell. Then, at the stroke of midnight, he told them that if they kissed a guest the spell would be broken. I couldn’t believe my eyes. It suddenly turned into a scene from Eyes Wide Shut.”

Wherever Mr Bond and his dumbfounded staff looked, they could see revellers indulging in group sex. “Everywhere there were couples having sex,” he said. “Over the banisters alone I counted four couples at it.”

Exclusive swinging parties have long been a staple for the debauched doyens of Mayfair, but locals from the nearby village of Goathurst were flabbergasted. “My staff were astonished and it wasn’t long before word got out,” admitted Mr Bond, a property developer who acquired Halswell House in 2004 and has since spent more than £5m renovating the building.

The Independent has discovered that the party was hosted by Little Sins, a Dutch company which specialises in throwing luxury swingers parties for Europe’s wealthy élite. Known as an “Eyes Wide Sin” party, anyone attending must be over the age of 21 and men can only join if they are part of a couple. The dress code is strictly monitored by a “doorbabe”, who makes sure that anyone attending the party has obeyed the sartorial requirements. Once inside, pretty much anything goes.


Why the NSA-Twitter Rumor Is Dumb

July 15th, 2009

The NSA wouldn’t have to ask Twitter for permission to install a dump feed because NSA already has it. It’s very safe to assume that NSA is already splitting everything off from NTT/Verio, Twitter’s hosting provider. In other words, the NSA had the capability in place long before Twitter was even a glimmer. There’s no mystery about where the traffic is going. Maybe the people at ValleyWag have amnesia and don’t remember terms like Mark Klein and NarusInsight Intercept Suite.

Besides, check this out: U.S. State Department speaks to Twitter over Iran:

The U.S. State Department said on Tuesday it had contacted the social networking service Twitter to urge it to delay a planned upgrade that would have cut daytime service to Iranians who are disputing their election.

Confirmation that the U.S. government had contacted Twitter came as the Obama administration sought to avoid suggestions it was meddling in Iran’s internal affairs as the Islamic Republic battled to control deadly street protests over the election result.

And if you believe that the U.S. State Department thought up the idea to call Twitter over the Iran thing all by themselves, I’ve got a bridge to sell you.

Finally, here’s a bit of interesting history on NTT/Verio. NTT is, of course, Nippon Telegraph and Telephone, the largest telecom company in Japan (and all of Asia, for that matter). When NTT was looking to buy Verio back in 2000, it was a serious national security matter. Cryptome has some of the old articles archived. This was what the tone was like back then:

In an agreement with broad implications for the future of the Internet, the Federal Bureau of Investigation has resolved U.S. national-security concerns over a Japanese phone company’s $5.5 billion plan to buy the U.S. Web-hosting company Verio Inc.

The agreement, aspects of which still need to be finalized, was crafted over weeks of intense negotiations between Nippon Telegraph & Telephone Corp. and officials from the FBI and the Justice Department, U.S. officials said. The Clinton administration has struggled for months to allay worries that the NTT purchase of Verio could present a foreign-espionage risk by giving the Japanese-government-controlled company access to U.S. wiretapping activity.

The FBI’s handling of the NTT-Verio transaction will set an important precedent for law-enforcement involvement in the growing, but largely unregulated Internet. U.S. officials have long scrutinized foreign acquisitions in the aerospace, defense and telecommunications sectors, but this is the first time they have weighed an Internet deal for national-security implications.

The NTT negotiations highlight growing law-enforcement fears that the entry of foreign companies into the booming U.S. telephone and Internet markets could undermine the FBI’s ability to investigate criminals by tapping into their digital communications.

FBI. HA. *wink* Get it?

Remember, these were the days before it was publicly admitted that the NSA had its tentacles all over the show. The handful of us who read books like Puzzle Palace and Secret Power were able to parse that NTT/Verio drama for what it actually was back then. In the post Mark Klein ATT case era, we have confirmation about what’s happening at the network provider level.

Via: ValleyWag:

The Twitterati are only too happy to take their private moments public. But Silicon Valley’s technical wizards are whispering to one another over lunch that the the federal intelligence apparatus wants more, and is taking it. (Update: Twitter denies)

Whoever is seeding the restaurant gossip is being fairly specific. A source tells us that a loose-lipped Twitter staffer recently dished at a lunch that the company has allowed a federal agency to set up a tap to monitor a “firehose” of its data, including private details on users, presumably including private “direct messages,” IP addresses and account information. The Feds — the NSA would seem the most logical agency —then analyze the data to mine for information they deem of interest.

Twitter, it is said, is one of only a handful of internet companies large enough for the Feds to bother setting up such monitoring.

We called and emailed Twitter’s PR department and the company’s director of operations, and have not yet heard back. (Update: See below.) But it’s hard to imagine the microblogging company would be happy about such an arrangement. The San Francisco company’s top two executives, Evan Williams and Biz Stone, live in SF and Berkeley, respectively, and show every sign of having absorbed the Bay Area’s left-field, anti-establishment culture.


Fox: How Madoff Will Be Killed In Jail

July 15th, 2009


SOLDIER REFUSES TO DEPLOY TO AFGHANISTAN ON ORDER OF FOREIGN BORN PRESIDENT, U.S. ARMY REVOKES ORDER RATHER THAN FORCE THE ISSUE IN COURT

July 15th, 2009

UPDATE: Federal Judge Dismisses Reservist’s Suit Questioning Obama’s Presidency

“Federal court only has authority of actual cases and controversies,” Land said. “The entire action is dismissed for lack of subject matter jurisdiction.”

I think that because the additional plaintiffs weren’t facing orders to deploy, the court decided to end it. Major Stefan Frederick Cook’s issue became moot when his deployment orders were revoked after this lawsuit began.

This doesn’t resolve the primary question and it’s only a matter of time before more military personnel pick up the phone and call Orly Taitz.

Welcome to the Twilight Zone.

Via: Ledger Enquirer:

A federal judge this morning dismissed the suit filed here by a U.S. Army reservist who says he shouldn’t have to go to Afghanistan because he believes Barack Obama was never eligible to be president.

Judge Clay Land sided with the defense, which claimed in its response to Maj. Stefan Frederick Cook’s suit, filed July 8 with the U.S. District Court for the Middle District of Georgia, that Cook’s suit is “moot” in that he already has been told he doesn’t have to go to Afghanistan, so the relief he is seeking has been granted.

“Federal court only has authority of actual cases and controversies,” Land said. “The entire action is dismissed for lack of subject matter jurisdiction.”

—End Update—

UPDATE: Retired Army Two Star General and Air Force Lieutenant Colonel Now Involved

From the revised injunction with the new plaintiffs added:

Plaintiff Major Stefan Frederick Cook previously received from the Defendants in this cause what appear to be facially valid orders from Colonel Wanda L. Good mobilizing him to active duty with the United States Army in Afghanistan on July 15-18, 2009 (Exhibit A). Plaintiff filed his Original Application for TRO on Friday July 10, 2009, and on Tuesday, July 14, 2009 his deployment to Afghanistan was revoked by order of Colonel Louis B. Wingate, apparently Col. Good’s successor at Army Human Resources Command in St. Louis (Exhibit B). This unexpected action does not in any way, shape or form, “moot” the application for TRO, which is here amended and resubmitted as an Application for Preliminary Injunction, covering both the possibility of future orders and to prevent negative collateral consequences such as retaliation against Major Stefan Frederick Cook (which have already begun) including possible violations of the general Federal and specific military whistleblower acts, as well as the First and Ninth Amendment civil rights of Major Stefan Frederick Cook to challenge the chain of command in the U.S military. It is obvious that this case has the potential to be converted into a class action on behalf of all military servicemen and women who require the means of establishing the legality of their orders with certainty.

This Court has the authority to hear cases which might otherwise be moot so long as they present: 1) an unsettled legal issues of public interest and importance and 2) an issue of a recurring nature that will escape review unless the Court exercises its discretionary jurisdiction. Major General Carol Dean Childers retired but subject to lifetime recall, and Lt. Col David Earl Graeff – Medical Surgeon in US Airforce Active Reserves, subject to recall any day, join in this Application for Preliminary Injunction because it is a matter of unparalleled public interest and importance and because it is clearly a matter arising from issues of a recurring nature that will escape review unless the Court exercises its discretionary jurisdiction.

Via: Ledger Enquirer:

A controversial suit brought by a U.S. Army reservist has been joined by a retired Army two-star general and an active reserve Air Force lieutenant colonel.

…

In a pleading revised after the revocation of Cook’s orders, Taitz argues that the application for preliminary injunction is not moot and that retired Maj. Gen. Carol Dean Childers and active U.S. Air Force reservist Lt. Col. David Earl Graeff have joined the suit “because it is a matter of unparalleled public interest and importance and because it is clearly a matter arising from issues of a recurring nature that will escape review unless the Court exercises its discretionary jurisdiction.”

Cook’s resubmitted Application for Preliminary Injunction is meant to encompass the possibility of Cook receiving future orders for deployment as well as to address and prevent “negative collateral consequences such as retaliation against Major Stefan Frederick Cook …”

—End Update—

UPDATE: Fired from Civilian Job

The fun is just beginning for Stefan Frederick Cook.

Via: WorldNetDaily:

The Department of Defense has compelled a private employer to fire a U.S. Army Reserve major from his civilian job after he had his military deployment orders revoked for arguing he should not be required to serve under a president who has not proven his eligibility for office.

According to the CEO of Simtech Inc., a private company contracted by the Defense Security Services, an agency of the Department of Defense, the federal government has compelled the termination of Maj. Stefan Frederick Cook.

Cook’s attorney, Orly Taitz, wrote in her blog that Simtech CEO Larry Grice said he would try to find another position within the company for Cook, but nothing is currently available.

The Department of Defense does contracting in the general field of information technology/systems integration, at which Cook, a senior systems engineer and architect, was employed until taking a military leave of absence on July 10 in preparation for his deployment to Afghanistan.

“Grice told plaintiff, in essence, that the situation had become ‘nutty and crazy,’ and that plaintiff would no longer be able to work at his old position,” Taitz wrote.

Grice made clear that it was Defense Security Services that had compelled Simtech to fire Cook, Taitz wrote.

According to the report, Grice told Cook “there was some gossip that ‘people were disappointed in’ the plaintiff because they thought he was manipulating his deployment orders to create a platform for political purposes.”

The Simtech CEO then discussed Cook’s expectation of final paychecks, without any severance pay, and wished the soldier well.

Messages left with Grice’s office had not been returned at the time of this report.

“A federal agency (such as the Department of Defense, acting through the Defense Security Services Agency) clearly violates the Whistleblower Protection Act if it takes or fails to take (or threatens to take or fail to take) a personnel action with respect to any employee or applicant because of any disclosure of information by the employee or applicant that he or she reasonably believes evidences a violation of a law, rule or regulation; gross mismanagement; gross waste of funds; an abuse of authority; or a substantial and specific danger to public health or safety,” Taitz wrote.

“What has happened in the present case of Stefan Frederick Cook is that a federal agency appears to have taken action against Stefan Frederick Cook’s private employer, Simtech, Inc., which is a closely held corporation owned and operated by members of a single family, who are as much victims of the Department of Defense’s heavy-handed interference with plaintiff Cook’s private-sector employment as is plaintiff Cook himself.”

As WND reported, Taitz confirmed to WND the military rescinded Maj. Cook’s impending deployment orders.

—End Update—

Bush was a de facto president and he had two terms in office. The difference here is that the military never revoked any deployment orders under Bush because of questions about his illegal presidency.

It would appear to me that the situation in the U.S. just became much more dangerous and unpredictable because, with this case, the mask is off.

What’s to stop tens of thousands of military personnel from obtaining the exact same outcome as Major Stefan Cook? Not much, apparently.

This is an extremely serious development.

Via: WorldNetDaily:

A U.S. Army Reserve major from Florida scheduled to report for deployment to Afghanistan within days has had his military orders revoked after he argued that he should not be required to serve under a president who has not proven his legitimacy for office.

His attorney, Orly Taitz, confirmed to WND the military has rescinded his impending deployment orders.

“We won! We won before we even arrived,” she said with excitement. “It means that the military has nothing to show for Obama. It means that the military has directly responded by saying Obama is illegitimate – and they cannot fight it. Therefore, they are revoking the order!”

She continued, “They just said, ‘Order revoked.’ No explanation. No reasons – just revoked.”

…

Cook said without a legitimate president as commander-in-chief, members of the U.S. military in overseas actions could be determined to be “war criminals and subject to prosecution.”

He said the vast array of information about Obama that is not available to the public confirms to him that “something is amiss.”

“That and the fact the individual who is occupying the White House has not been entirely truthful with anybody,” he said. “Every time anyone has made an inquiry, it has been either cast aside, it has been maligned, it has been laughed at or just dismissed summarily without further investigation.

“You know what. It would be so simple to solve. Just produce the long-form document, certificate of live birth,” he said.

He said he was scheduled to report for duty tomorrow, on July 15, to deploy to Afghanistan as part of President Obama’s plan to increase pressure of insurgent forces there.

…

The military courts offer no option for raising the question, so he turned to civilian courts to consider “a question of paramount constitutional and legal importance: the validity of the chain of command under a president whose election, eligibility, and constitutional status appear open to serious question.”

“Barack Hussein Obama, in order to prove his constitutional eligibility to serve as president, basically needs only produce a single unique historical document for the Plaintiff’s inspection and authentication: namely, the ‘long-form’ birth certificate which will confirm whether Barack Hussein Obama was in fact born to parents who were both citizens of the United States in Honolulu, Hawaii, in or about 1961,” explains the complaint.

Taitz said she will attend the hearing to amend the temporary restraining order to an injunction because more members of the military have joined the cause.

“We are going to be asking for release of Obama’s records because now this completely undermines the military. It revoked this order, but it can come up with another order tomorrow. It can come up with orders for other people,” she said. “Am I going to be flying around the country 1,000 times and paying the fees every time they issue an order?”

Taitz said the issue “must be resolved immediately,” and she will continue working to ensure Obama proves he is eligible for office.

“We’re going to be asking the judge to issue an order for Obama to provide his vital records to show he is legitimately president,” she said. “We’re going to say, we have orders every day, and we’ll have revocations every day. This issue has to be decided.”

She said there cannot be any harm to the president if he is legitimately holding office.

“If he is legitimate, then his vital records will prove it,” Taitz said. “If he is illegitimate, then he should not have been there in the first place.”

Asked what this decision means for every other serviceman who objects to deployment under a president who has not proven he is eligible for office, Taitz responded:

“Now, we can have each and every member of the military – each and every enlistee and officer – file something similar saying ‘I will not take orders until Obama is legitimately vetted.'”


Where and When You Use Credit Cards Could Hurt Your Credit Rating

July 15th, 2009

Cash kills credit card companies.

Via: Concord Monitor:

Here’s a word to the wise: Think twice before whipping out that credit card to pay for purchases at the Salvation Army or a discount store, have tires re-treaded or even buy a late-night round of drinks. Credit card companies see those purchases, and a slew of others, as a sign of real or impending financial trouble and they’ll quickly cut the credit limit, raise the interest rate or even cancel the card with no warning. Once that happens the credit score that determines who is worthy of a loan and at what rate usually plummets.

In May, President Obama signed a bill that will limit some of the worst practices of credit card companies that have been raising rates with little reason and without notice and charging obscene late fees. The bill also requires that banking regulators study the practice of using information about where a person shops to assessing credit worthiness. That means credit card companies, which are already raising rates and cutting credit limits before the new law goes into effect in January, are likely to continue keep track of where and how their customers spend money until at least 2011.

Credit card companies purchase their customer’s spending record from reporting companies like Equifax, which gather it by using sophisticated computer programs to “data mine” spending by individuals. The practice allows companies to develop a disturbingly complete picture of people based on not just their buying habits but also specific purchases.

Here are a few other activities that experts say could trigger a hard look from credit card issuers.

* Using a card to bail out that no-good brother-in-law, to get a massage or to employ the services of an escort.

* Charging items at auto parts or grocery stores. Both are seen as a sign of financial distress.

* Charging items at pawn shops, drug stores and shoe repair shops. All can be a warning of someone down at the heels.

* Paying for court costs, child support or alimony with a credit card.

* Charging medical care and child care.

* Charging beer, wine or liquor.

Lenders have a responsibility to assess the creditworthiness of borrowers and debtors. The failure to do that was one of the reasons the housing market collapsed and took the rest of the economy down with it. When lenders – typically an officer at a hometown bank – knew their customers that was easy to do. Today, in most cases, that’s know longer possible, and like all modern lenders, credit card companies are right to make an effort to assess risk. It’s also in every credit-card user’s interest that they do so, since everyone pays a bit more when borrowers default on their loans.

The problem is in the ham-handed, one-size-fits-all way credit card companies and their computer programs use spending information. It makes no sense to penalize frugality. Someone who shops regularly at thrift stores despite earning a good income is certainly a better credit risk than someone who regularly runs a balance on a department store card.

Similarly, there can be lots of reasons for someone to charge groceries or use a card to pay to have a favorite pair of shoes resoled.

Depending on what federal regulators find, the use of data mining and shopping analysis could be refined, limited or perhaps even prohibited in the future. In the meantime, to protect both their privacy and their credit rating, smart shoppers, when making any purchase that might alarm lenders, should use a debit card or good old cash.


Moody’s Downgrades Status of California Bonds

July 15th, 2009

Via: AP:

Gov. Arnold Schwarzenegger told state employee unions Tuesday his administration would cut another 2,000 jobs to help close California’s $26.3 billion budget deficit.

Meanwhile, Moody’s Investor Services downgraded California bonds to near-junk status, from A2 to Baa1, and placed the state’s credit rating on watch for possible further reductions.

Moody’s said the budget deadlock had put constitutionally required payments to bond holders at risk.

“If the state gets to a position where it is unable to make priority payments, a multi-notch downgrade may result,” Moody’s said in a statement.

The state’s cash crisis has forced state Controller John Chiang to issue nearly 130,000 IOUs worth a total of $436 million to state vendors so far.

The administration previously sent layoff notices to 4,600 state employees, but it was unclear how many workers will actually lose their jobs because many still have an opportunity to move into special-fund posts that weren’t covered by the layoffs.

The layoffs won’t take effect until September, said Lynelle Jolley, a spokeswoman for the Department of Personnel Administration.


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