An unlikely player in L.A. County assessor scandal

Scott Schenter sat in a small cubicle and dreamed big.

In his late 40s, he was a property appraiser at the assessor's office who ached to be known as an international entrepreneur.

"My current job is working for Los Angeles County, I don't like to admit it," he wrote in a 2009 email to The Times. "I would rather be known for my expertise in my marketing and finance ventures."

But he needed money, and investigators say he knew where to find it.

Schenter was the first and lowest-level county employee arrested in a wide-ranging corruption scandal at the assessor's office. His odd business dreams appear to have inspired a scheme to sell property tax breaks for cash that spread to the agency's highest level.

The investigation has also resulted in the arrests of county Assessor John Noguez, his deputy Mark McNeil and private tax consultant Ramin Salari, all of whom have pleaded not guilty and deny any wrongdoing.

Together, they shaved hundreds of millions from the county tax rolls by manipulating assessed property values, investigators and county officials say, saving millions of dollars for Salari's clients. Schenter took at least $275,000 in bribes for his efforts, according to court records.

Schenter, who has pleaded not guilty to 60 felony counts including fraud, has spent hours with The Times and investigators from the L.A. County district attorney's office this year discussing details of the alleged conspiracy and is expected to be the prosecution's star witness.

In an odd but related twist, he is also at the center of an NCAA investigation into USC's athletic program that could result in yet another post-season ban for the school.

Former co-workers in the assessor's office are still scratching their heads over how Schenter could have been at the center of such conspiracies.

"He was like a scatterbrained Walter Mitty," said a colleague who asked not to be identified because assessor's office policy prohibits employees from speaking with the media. "He was not a slick guy at all."

Acquaintances described him as an office "goofball" who arrived at work in a gold Mazda Miata, incongruously equipped with customized gull-wing doors.

He chattered constantly about his entrepreneurial aspirations. One colleague described how Schenter taught him to pump and dump penny stocks.

Schenter didn't do much to hide his dual life as an appraiser and an international man of business.

Colleagues in the Culver City office remember him having two or three private cellphones ringing in his cubicle at any given time.

Mostly, he searched for the big break that never seemed to come. "He always had another iron in the fire, he was always talking about the next big thing," said one co-worker.

Schenter's county emails from 2004 to 2011, released to The Times after a public records request, contained relatively few messages pertaining to his duties as an $85,000-per-year property appraiser. The vast majority concerned his fledgling start-ups.

He fired off dozens of messages tweaking designs, preparing presentations and negotiating small orders with manufacturers in China for solar-powered signs.

He had little in common with his alleged co-conspirators.

Salari was one of the most successful property tax agents in Los Angeles. He had a $9-million Calabasas home and drove a Ferrari to the county Hall of Administration downtown. McNeil was a graduate of Princeton University and had a law degree. And Noguez was a rising star in the local Democratic Party, seen by some as a future state legislator or congressman.

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IHT Rendezvous: European Union Plans to Accentuate the Positive in 2013

LONDON — With the prospect of more troubles ahead for the European Union in 2013, officials have launched a campaign to remind its 500 million citizens of the benefits of belonging to the 27-nation alliance.

Next year has been designated the European Year of Citizens by the decision-makers in Brussels, who have highlighted a range of advantages, from freer cross-border travel to cheaper cross-border phone calls, to convince a sometimes skeptical public that membership has been worthwhile.

It might seem like a hard sell after a year in which the Union limped from crisis to crisis over a debt mountain that threatened the survival of the euro, the currency shared by 17 E.U. states.

Action by European leaders eventually succeeded in keeping Greece within the eurozone amid fears that a Greek exit — a “Grexit” — could spark the collapse of the single currency.

But that is only partial consolation for a European population facing another year of the kind of tough austerity programs that sparked strikes and protests in the most indebted states in 2012.

The Brussels bureaucrats offer a longer-term view, pointing out that tangible progress has been made in the 20 years since the creation of European Union citizenship that has improved the lives of millions.

“Nowadays traveling abroad entails cheaper travel costs, hassle-free border crossings, package holiday guarantees, access to healthcare systems and cheaper calls when you phone home,” according to the European Commission. “These are just some of the benefits derived from E.U. citizenship.”

Large numbers of Europeans have certainly taken advantage of free movement between member states to improve their job prospects outside their home nations. More than 12 million Europeans lived in a member state other than their own, according to data from 2010, before austerity began to bite.

Anecdotal evidence is that growing numbers of Europeans are now on the move, including French millionaires escaping tax hikes at home and young jobless Spaniards heading to find work in Germany.

Europe may have escaped a “Grexit” in 2012 but a new crisis is looming with the prospect of a “Brexit”, as Britain’s Conservative-led government prepares to spell out its position on its future relations with its European partners.

Prime Minister David Cameron, under pressure from the Euroskeptic wing of his party, is expected next month to reaffirm that he will seek to claw back powers that have been passed to Europe and that he is prepared to hold a national referendum on continued E.U. membership after the next British election.

Herman Van Rompuy, president of the European Council, which brings together the alliance’s political leaders, has warned that the British move threatens the future of the Union.

“If every member state were able to cherry-pick those parts of existing policies that they most like, and opt out of those that they least like, the union in general, and the single market in particular, would soon unravel,” he told The Guardian.

Is Europe over the worst? Or will continuing economic weakness and a potential “Brexit” threaten its prospects in 2013? Tell us what you think. And, if you’re a European, let us know if E.U. membership has proved to be a benefit or a hindrance.

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Matthew McConaughey & Wife Camila Welcome Baby No. 3

By Elizabeth Leonard

12/28/2012 at 06:10 PM EST

Camila and Matthew McConaughey

Gary Miller/FilmMagic

It's a very merry holiday week for Matthew McConaughey and his wife Camila.

The couple welcomed their third child together in Austin, Texas, on Friday, sources confirm to PEOPLE.

The pair, who are also parents to Vida, who turns 3 next month, and Levi, 4, announced the pregnancy just one month after their June nuptials in Texas.

Camila, 29, joked that even as she put on pregnancy pounds, her actor husband, 43, was losing weight – dramatically – for The Dallas Buyers Club, in which he plays the real-life Ron Woodruff, who contracted HIV.

"We have gone the complete opposite direction eating wise, but we're navigating it," she said last summer. "But I don't really have cravings yet."

McConaughey's latest movie, Mud, will be released April. 26,

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Kenya hospital imprisons new mothers with no money

NAIROBI, Kenya (AP) — The director of the Pumwani Maternity Hospital, located in a hardscrabble neighborhood of downtown Nairobi, freely acknowledges what he's accused of: detaining mothers who can't pay their bills. Lazarus Omondi says it's the only way he can keep his medical center running.

Two mothers who live in a mud-wall and tin-roof slum a short walk from the maternity hospital, which is affiliated with the Nairobi City Council, told The Associated Press that Pumwani wouldn't let them leave after delivering their babies. The bills the mothers couldn't afford were $60 and $160. Guards would beat mothers with sticks who tried to leave without paying, one of the women said.

Now, a New York-based group has filed a lawsuit on the women's behalf in hopes of forcing Pumwani to stop the practice, a practice Omondi is candid about.

"We hold you and squeeze you until we get what we can get. We must be self-sufficient," Omondi said in an interview in his hospital office. "The hospital must get money to pay electricity, to pay water. We must pay our doctors and our workers."

"They stay there until they pay. They must pay," he said of the 350 mothers who give birth each week on average. "If you don't pay the hospital will collapse."

The Center for Reproductive Rights, which filed the suit this month in the High Court of Kenya, says detaining women for not paying is illegal. Pumwani is associated with the Nairobi City Council, one reason it might be able to get away with such practices, and the patients are among Nairobi's poorest with hardly anyone to stand up for them.

Maimouna Awuor was an impoverished mother of four when she was to give birth to her fifth in October 2010. Like many who live in Nairobi's slums, Awuor performs odd jobs in the hopes of earning enough money to feed her kids that day. Awuor, who is named in the lawsuit, says she had saved $12 and hoped to go to a lower-cost clinic but was turned away and sent to Pumwani. After giving birth, she couldn't pay the $60 bill, and was held with what she believes was about 60 other women and their infants.

"We were sleeping three to a bed, sometimes four," she said. "They abuse you, they call you names," she said of the hospital staff.

She said saw some women tried to flee but they were beaten by the guards and turned back. While her husband worked at a faraway refugee camp, Awuor's 9-year-old daughter took care of her siblings. A friend helped feed them, she said, while the children stayed in the family's 50-square-foot shack, where rent is $18 a month. She says she was released after 20 days after Nairobi's mayor paid her bill. Politicians in Kenya in general are expected to give out money and get a budget to do so.

A second mother named in the lawsuit, Margaret Anyoso, says she was locked up in Pumwani for six days in 2010 because she could not pay her $160 bill. Her pregnancy was complicated by a punctured bladder and heavy bleeding.

"I did not see my child until the sixth day after the surgery. The hospital staff were keeping her away from me and it was only when I caused a scene that they brought her to me," said Anyoso, a vegetable seller and a single mother with five children who makes $5 on a good day.

Anyoso said she didn't have clothes for her child so she wrapped her in a blood-stained blouse. She was released after relatives paid the bill.

One woman says she was detained for nine months and was released only after going on a hunger strike. The Center for Reproductive Rights says other hospitals also detain non-paying patients.

Judy Okal, the acting Africa director for the Center for Reproductive Rights, said her group filed the lawsuit so all Kenyan women, regardless of socio-economic status, are able to receive health care without fear of imprisonment. The hospital, the attorney general, the City Council of Nairobi and two government ministries are named in the suit.

___

Associated Press reporter Tom Odula contributed to this report.

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Army Corps of Engineers clear-cuts lush habitat in Valley

An area that just a week ago was lush habitat on the Sepulveda Basin's wild side, home to one of the most diverse bird populations in Southern California, has been reduced to dirt and broken limbs — by the U.S. Army Corps of Engineers.

Audubon Society members stumbled upon the barren landscape last weekend during their annual Christmas bird count. Now, they are calling for an investigation into the loss of about 43 acres of cottonwood and willow groves, undergrowth and marshes that had maintained a rich inventory of mammals, reptiles and 250 species of birds.

Much of the area's vegetation had been planted in the 1980s, part of an Army Corps project that turned that portion of the Los Angeles River flood plain into a designated wildlife preserve.

Tramping through the mud Friday, botanist Ellen Zunino — who was among hundreds of volunteers who planted willows, coyote brush, mule fat and elderberry trees in the area — was engulfed by anger, sadness and disbelief.

"I'm heartbroken. I was so proud of our work," the 66-year-old said, taking a deep breath. "I don't see any of the usual signs of preparation for a job like this, such as marked trees or colored flags," Zunino added. "It seems haphazard and mean-spirited, almost as though someone was taking revenge on the habitat."

In 2010, the preserve had been reclassified as a "vegetation management area" — with a new five-year mission of replacing trees and shrubs with native grasses to improve access for Army Corps staffers, increase public safety and discourage crime in an area plagued by sex-for-drugs encampments.

The Army Corps declared that an environmental impact report on the effort was not necessary because it would not significantly disturb wildlife and habitat.

By Friday, however, nearly all of the vegetation — native and non-native — had been removed. Decomposed granite trails, signs, stone structures and other improvements bought and installed with public money had been plowed under.

In an interview, Army Corps Deputy District Cmdr. Alexander Deraney acknowledged that "somehow, we did not clearly communicate" to environmentalists and community groups the revised plan for the area 17 miles northwest of downtown Los Angeles. He added that the corps would "make the process more transparent in the future."

But Kris Ohlenkamp, conservation chairman of the San Fernando Valley Audubon Society, asserted that the corps had misrepresented its intent all along.

Walking Friday through what once had been a migratory stop for some of the rarest birds in the state — scissor-tailed flycatchers, yellow-billed cuckoos, least Bell's vireos, rose-breasted grosbeaks — Ohlenkamp said: "We knew that the corps had a new vision for this area, but we never thought it would ever come to this."

Frequent catastrophic floods prompted civic leaders in the 1930s to transform the river into a flood-control channel. Nearly the entire 51-mile river bottom was sheathed in concrete, except in a few spots such as the Sepulveda Basin.

Over the decades, awareness of the river's recreational potential grew. And with pressure from environmental groups, Los Angeles County and corps officials in the 1980s made major changes. The waterway and surrounding flood plain were slowly transformed into a greenbelt of parks, trees and bike paths, courtesy of bond measures approved by voters.

Then in 2010, the Environmental Protection Agency deemed the entire river to be navigable and therefore subject to protections under of the Clean Water Act.

A year ago, Army Corps of Engineers District Cmdr. Col. Mark Toy issued a license allowing the Los Angeles Conservation Corps to operate a paddle-boat program in the Sepulveda Basin, along a 1.5-mile stretch of river shaded by trees teeming with herons, egrets and cormorants.

This summer, paying customers will disembark a hundred yards from the corps' recent clear-cuts.

"Environmental stewardship is critical for us," Deraney said. "But assuring public safety and access to infrastructure designed to deal with flooding are paramount."

As he spoke, a Cooper's hawk swooped down and landed on a nearby tree stump.

louis.sahagun@latimes.com

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China Toughens Its Restrictions on Use of the Internet

HONG KONG — The Chinese government issued new rules on Friday requiring Internet users to provide their real names to service providers, while assigning Internet companies greater responsibility for deleting forbidden postings and reporting them to the authorities.

The decision came as government censors have sharply stepped up restrictions on China’s international Internet traffic in recent weeks. The restrictions are making it harder for businesses to protect commercial secrets and for individuals to view overseas Web sites that the Chinese Communist Party deems politically sensitive.

The new regulations, issued by the Standing Committee of the National People’s Congress, allow Internet users to continue to adopt pseudonyms for their online postings, but only if they first provide their real names to service providers, a measure that could chill some of the vibrant discourse on the country’s Twitter-like microblogs. The authorities periodically detain and even jail Internet users for politically sensitive comments, such as calls for a multiparty democracy or allegations of impropriety by local officials.

Any entity providing Internet access, including over fixed-line or mobile phones, “should when signing agreements with users or confirming provision of services, demand that users provide true information about their identities,” the Standing Committee ordered.

In recent weeks, Internet users in China have exposed a series of sexual and financial scandals that have led to the resignations or dismissals of at least 10 local officials. International news media have also published a series of reports in recent months on the accumulation of wealth by the family members of China’s leaders, and some Web sites carrying such reports, including Bloomberg’s and the English- and Chinese-language sites of The New York Times, have been assiduously blocked, while Internet comments about them have been swiftly deleted.

The regulations issued Friday build on a series of similar administrative guidelines and municipal rules issued over the past year. China’s mostly private Internet service providers have been slow to comply with them, fearing the reactions of their customers. The Standing Committee’s decision has much greater legal force, and puts far more pressure on Chinese Internet providers to comply more quickly and more comprehensively, Internet specialists said.

In what appeared to be an attempt to make the decision more palatable to the Chinese public, the Standing Committee also included a mandate for businesses in China to be more cautious in gathering and protecting electronic data.

“Nowadays on the Internet there are very serious problems with citizens’ personal electronic information being recklessly collected, used without approval, illegally disclosed, and even traded and sold,” Li Fei, a deputy director of the Standing Committee’s legislative affairs panel, said at a news conference in Beijing on Friday. “There are also a large number of cases of invasive attacks on information systems to steal personal electronic information, as well as lawbreaking on the Internet through swindles and through defaming and slandering others.”

Mr. Li denied that the government was seeking to prevent the exposure of corruption.

“When citizens exercise these rights according to the law, no organization or individual can use any reason or excuse to interfere, and cannot suppress them or exact revenge,” he said. “At the same time, when citizens exercise their rights, including through use of the Internet, they should stay within the bounds of the Constitution and the laws, and must not harm the legitimate rights and interests of the state, society, the collective or of other citizens.”

A spokesman for the National People’s Congress said that that 145 members of the Standing Committee voted in favor of the new rules, with 5 abstaining and 1 voting against them.

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Apple loses another copyright lawsuit in China: Xinhua

SHANGHAI (Reuters) – A Chinese court has fined Apple Inc 1 million yuan ($ 160,400) for hosting third-party applications on its App Store that were selling pirated electronic books, the official Xinhua news agency reported on Friday.

Apple is to pay compensation to eight Chinese writers and two companies for violating their copyrights, the Beijing No.2 Intermediate People’s Court ruled on Thursday, Xinhua said.

Earlier in the year, a group of Chinese authors filed the suit against Apple, saying an unidentified number of apps on its App Store sold unlicensed copies of their books. The group of eight authors was seeking 10 million yuan in damages.

“We are disappointed at the judgment. Some of our best-selling authors only got 7,000 yuan. The judgment is a signal of encouraging piracy,” Bei Zhicheng, a spokesman for the group, told Reuters.

Apple said in a statement that it takes copyright infringement complaints “very seriously”.

“We’re always updating our service to better assist content owners in protecting their rights,” Apple spokeswoman Carolyn Wu said.

China has the world’s largest Internet and mobile market by number of users, but piracy costs software companies billions of dollars each year.

Apple, whose products enjoy great popularity in China, has faced a string of legal headaches this year. In July, Apple paid 60 million yuan to a Chinese firm, Proview Technology, to settle a long-running lawsuit over the iPad trademark in China.

($ 1 = 6.2360 Chinese yuan)

(Reporting by Shanghai Newsroom and Melanie Lee; Editing by Kazunori Takada and Matt Driskill)

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Gen. Norman Schwarzkopf, Commander in Persian Gulf War, Dies at 78

By Mike Fleeman

12/27/2012 at 08:10 PM EST

H. Norman Schwarzkopf, the Army general who commanded coalition forces in the Persian Gulf War against Saddam Hussein, died Thursday in Tampa, Fla., at age 78.

The cause of death was not immediately known. His death was confirmed to the Associated Press by a source.

Known as "Stormin' Norman" for his volcanic temper, the decorated Vietnam War combat soldier became a familiar face from his many press conferences during Operation Desert Storm in 1991.

Under his leadership during the presidency of George H.W. Bush, coalition forces drove Hussein's troops out of Kuwait, which Iraq had invaded, with relatively few coalition casualties, but the Iraqi leader remained in power.

Hussein would ultimately be left for Bush's presidential son, George W. Bush, to contend with.

After the Gulf War, Schwarzkopf became a television military analyst and went into a quiet retirement in Florida to write his memoirs.

The elder Bush, now hospitalized in intensive care, said in a statement that Schwarzkopf was a "true American patriot and one of the great military leaders of his generation."

"More than that, he was a good and decent man – and a dear friend," says Bush. "Barbara and I send our condolences to his wife Brenda and his wonderful family."

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Media may argue against redactions in church files, judge rules

Media organizations will be allowed to argue against redactions in secret church files that are due to be made public as part of a historic $660-million settlement between the Los Angeles Archdiocese and alleged victims of sexual abuse by priests, a Los Angeles County Superior Court judge ruled Thursday.

Pursuant to Judge Emilie Elias' order, The Times and the Associated Press will be allowed to intervene in the case, in which attorneys are gearing up for the release of internal church personnel documents more than five years after the July 2007 settlement. The judge's ruling came after attorneys for the church and the plaintiffs agreed to the news organizations' involvement in the case.

The Times and the AP object to a portion of a 2011 decision by a retired judge overseeing the file-release process. Judge Dickran Tevrizian had ruled that all names of church employees, including Cardinal Roger M. Mahony and other top archdiocese officials, should be blacked out in the documents before they were made public. In a hearing, Tevrizian said he did not believe the documents should be used to "embarrass or to ridicule the church."

Attorneys for the news organizations argued in court filings that the redactions would "deny the public information that is necessary to fully understand the church's knowledge about the serial molestation of children by priests over a period of decades." The personnel files of priests accused of molestation, which a church attorney has said were five or six banker's boxes of documents, could include internal memos about abuse claims, Vatican correspondence and psychiatric reports.

Contending that the secrecy was motivated by "a desire to avoid further embarrassment" for the church rather than privacy concerns, the media attorneys wrote: "That kind of self-interest is not even remotely the kind of 'overriding interest' that is needed to overcome the public's presumptive right of access, nor does it establish 'good cause' for ongoing secrecy."

An archdiocese attorney said Thursday that the church had spent a "great deal of effort" in redacting the files to comply with Tevrizian's order, and said the media attorneys misunderstand the legal process that both parties in the settlement agreed would be binding.

"We agree with Judge Tevrizian that enough time has passed and enough reforms have been made that it's time to get off this and move onto another subject," attorney J. Michael Hennigan said.

An attorney representing the victims also filed papers Thursday arguing that the church was "too broadly construing" Tevrizian's redaction orders, and asking Elias to release the files with church officials' names unredacted.

"Each of the higher-ups in the Los Angeles Archdiocese who recklessly endangered generations of this community's children by protecting pedophile priests will themselves be protected," wrote Ray Boucher, lead attorney for the plaintiffs.

A hearing on the release of church documents is scheduled for Jan. 7. At the hearing, Elias will also hear objections from an attorney representing individual priests, who contend that their constitutional privacy rights will be violated if the files are made public. In a court filing this month, the priests' attorney, Donald Steier, said Tevrizian was "dead wrong" to rule that the documents can be disclosed because the public interest outweighs the clerics' rights.

"Under California law, it is the employees who own the information in the files, and the Archdiocese is merely the custodian who has a legal duty to defend the contents of the files and has no legal right to agree to disclose them," Steier wrote.

victoria.kim@latimes.com

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Kenya hospital imprisons new mothers with no money

NAIROBI, Kenya (AP) — The director of the Pumwani Maternity Hospital, located in a hardscrabble neighborhood of downtown Nairobi, freely acknowledges what he's accused of: detaining mothers who can't pay their bills. Lazarus Omondi says it's the only way he can keep his medical center running.

Two mothers who live in a mud-wall and tin-roof slum a short walk from the maternity hospital, which is affiliated with the Nairobi City Council, told The Associated Press that Pumwani wouldn't let them leave after delivering their babies. The bills the mothers couldn't afford were $60 and $160. Guards would beat mothers with sticks who tried to leave without paying, one of the women said.

Now, a New York-based group has filed a lawsuit on the women's behalf in hopes of forcing Pumwani to stop the practice, a practice Omondi is candid about.

"We hold you and squeeze you until we get what we can get. We must be self-sufficient," Omondi said in an interview in his hospital office. "The hospital must get money to pay electricity, to pay water. We must pay our doctors and our workers."

"They stay there until they pay. They must pay," he said of the 350 mothers who give birth each week on average. "If you don't pay the hospital will collapse."

The Center for Reproductive Rights, which filed the suit this month in the High Court of Kenya, says detaining women for not paying is illegal. Pumwani is associated with the Nairobi City Council, one reason it might be able to get away with such practices, and the patients are among Nairobi's poorest with hardly anyone to stand up for them.

Maimouna Awuor was an impoverished mother of four when she was to give birth to her fifth in October 2010. Like many who live in Nairobi's slums, Awuor performs odd jobs in the hopes of earning enough money to feed her kids that day. Awuor, who is named in the lawsuit, says she had saved $12 and hoped to go to a lower-cost clinic but was turned away and sent to Pumwani. After giving birth, she couldn't pay the $60 bill, and was held with what she believes was about 60 other women and their infants.

"We were sleeping three to a bed, sometimes four," she said. "They abuse you, they call you names," she said of the hospital staff.

She said saw some women tried to flee but they were beaten by the guards and turned back. While her husband worked at a faraway refugee camp, Awuor's 9-year-old daughter took care of her siblings. A friend helped feed them, she said, while the children stayed in the family's 50-square-foot shack, where rent is $18 a month. She says she was released after 20 days after Nairobi's mayor paid her bill. Politicians in Kenya in general are expected to give out money and get a budget to do so.

A second mother named in the lawsuit, Margaret Anyoso, says she was locked up in Pumwani for six days in 2010 because she could not pay her $160 bill. Her pregnancy was complicated by a punctured bladder and heavy bleeding.

"I did not see my child until the sixth day after the surgery. The hospital staff were keeping her away from me and it was only when I caused a scene that they brought her to me," said Anyoso, a vegetable seller and a single mother with five children who makes $5 on a good day.

Anyoso said she didn't have clothes for her child so she wrapped her in a blood-stained blouse. She was released after relatives paid the bill.

One woman says she was detained for nine months and was released only after going on a hunger strike. The Center for Reproductive Rights says other hospitals also detain non-paying patients.

Judy Okal, the acting Africa director for the Center for Reproductive Rights, said her group filed the lawsuit so all Kenyan women, regardless of socio-economic status, are able to receive health care without fear of imprisonment. The hospital, the attorney general, the City Council of Nairobi and two government ministries are named in the suit.

___

Associated Press reporter Tom Odula contributed to this report.

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