Chinese Hackers Infiltrate New York Times Computers

SAN FRANCISCO — For the last four months, Chinese hackers have persistently attacked The New York Times, infiltrating its computer systems and getting passwords for its reporters and other employees.

The New York Times published an article in October about the wealth of the family of China's prime minister, Wen Jiabao, in both English and Chinese.

After surreptitiously tracking the intruders to study their movements and help erect better defenses to block them, The Times and computer security experts have expelled the attackers and kept them from breaking back in.

The timing of the attacks coincided with the reporting for a Times investigation, published online on Oct. 25, that found that the relatives of Wen Jiabao, China’s prime minister, had accumulated a fortune worth several billion dollars through business dealings.

Security experts hired by The Times to detect and block the computer attacks gathered digital evidence that Chinese hackers, using methods that some consultants have associated with the Chinese military in the past, breached The Times’s network. They broke into the e-mail accounts of its Shanghai bureau chief, David Barboza, who wrote the reports on Mr. Wen’s relatives, and Jim Yardley, The Times’s South Asia bureau chief in India, who previously worked as bureau chief in Beijing.

“Computer security experts found no evidence that sensitive e-mails or files from the reporting of our articles about the Wen family were accessed, downloaded or copied,” said Jill Abramson, executive editor of The Times.

The hackers tried to cloak the source of the attacks on The Times by first penetrating computers at United States universities and routing the attacks through them, said computer security experts at Mandiant, the company hired by The Times. This matches the subterfuge used in many other attacks that Mandiant has tracked to China.

The attackers first installed malware — malicious software — that enabled them to gain entry to any computer on The Times’s network. The malware was identified by computer security experts as a specific strain associated with computer attacks originating in China. More evidence of the source, experts said, is that the attacks started from the same university computers used by the Chinese military to attack United States military contractors in the past.

Security experts found evidence that the hackers stole the corporate passwords for every Times employee and used those to gain access to the personal computers of 53 employees, most of them outside The Times’s newsroom. Experts found no evidence that the intruders used the passwords to seek information that was not related to the reporting on the Wen family.

No customer data was stolen from The Times, security experts said.

Asked about evidence that indicated the hacking originated in China, and possibly with the military, China’s Ministry of National Defense said, “Chinese laws prohibit any action including hacking that damages Internet security.” It added that “to accuse the Chinese military of launching cyberattacks without solid proof is unprofessional and baseless.”

The attacks appear to be part of a broader computer espionage campaign against American news media companies that have reported on Chinese leaders and corporations.

Last year, Bloomberg News was targeted by Chinese hackers, and some employees’ computers were infected, according to a person with knowledge of the company’s internal investigation, after Bloomberg published an article on June 29 about the wealth accumulated by relatives of Xi Jinping, China’s vice president at the time. Mr. Xi became general secretary of the Communist Party in November and is expected to become president in March. Ty Trippet, a spokesman for Bloomberg, confirmed that hackers had made attempts but said that “no computer systems or computers were compromised.”

Signs of a Campaign

The mounting number of attacks that have been traced back to China suggest that hackers there are behind a far-reaching spying campaign aimed at an expanding set of targets including corporations, government agencies, activist groups and media organizations inside the United States. The intelligence-gathering campaign, foreign policy experts and computer security researchers say, is as much about trying to control China’s public image, domestically and abroad, as it is about stealing trade secrets.

This article has been revised to reflect the following correction:

Correction: January 31, 2013

An earlier version of this article misstated the year that the United States and Israel were said to have started a cyber attack that caused damage at Iran’s main nuclear enrichment plant, and the article misstated the specific type of attack. The attack was a computer worm, not a virus, and it started around 2008, not 2012.

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L.A. city workers' union doesn't endorse Garcetti or Greuel

An influential union representing City Hall workers failed to reach a consensus Tuesday evening on whether and whom to endorse in Los Angeles' mayoral campaign, labor officials said.

Members of six locals of the Service Employees International Union questioned City Controller Wendy Greuel and City Councilman Eric Garcetti, two top contenders in the race, for at least half an hour. Neither was recommended for an endorsement, even though Greuel was ranked higher on a scoring sheet prepared by union officials.

The rating was prepared in December and ranked Greuel 4.3 out of 5 on issues important to the union. Garcetti was rated a 3.5, and consistently was graded lower on issues such as furloughs — the unpaid days imposed on civilian city workers — and on retirement benefits, according to the document, a copy of which was obtained by The Times.

Favel Jens, political coordinator for SEIU Local 721, which represents 10,000 city workers, said the scoring sheet was prepared by the political directors of six SEIU locals in December, after the candidates responded to written questionnaires.

Lowell Goodman, communications director for SEIU Local 721, said the heads of the union locals still could decide in the next few weeks to issue separate endorsements. "Or they could decide to go together and endorse the same candidate," Goodman said.

The union locals held a town hall-style gathering Tuesday evening so they could, for a second time, consider making an endorsement in the March 5 election to replace Mayor Antonio Villaraigosa.

Filing out of the meeting at union headquarters, attendees who described themselves as members of SEIU Local 99 — which represents school district employees — said their local decided not to pick either candidate. Employees with SEIU's United Service Workers West, which represents security guards, airport workers and others, said they too had decided not to endorse. But Myran Cotton, a city employee represented by SEIU Local 721, said her local recommended Greuel.

SEIU's backing is considered important because Los Angeles is a heavily Democratic, generally labor-friendly city. Also, SEIU has shown its support can mean a significant number of get-out-the-vote campaign volunteers and financial donations to pay for mailers and advertising.

But some of Greuel's and Garcetti's opponents are suggesting the next mayor needs to be more independent of public employee unions.

Greuel and Garcetti, the only two invited back for additional interviews Tuesday, were on the council when it voted for a package of raises for civilian city workers that totaled roughly 25%. Greuel moved on to citywide office by 2010, and did not have to vote when the council ordered unpopular layoffs, furloughs, employee transfers and reductions in an array of services.

In the competition for union support, those decisions have put Garcetti, who was then City Council president, at a disadvantage this election year. Greuel sought to sow doubt about Garcetti during the initial interview sessions with SEIU members last month. She cited his involvement in employee layoffs, telling workers they needed someone who would be with them "every step of the way."

City officials are grappling with a $220-million budget shortfall and trying to persuade the public to hike taxes.

Greuel already has the backing of the Department of Water and Power employees' union, which has given $250,000 to a committee supporting her candidacy and is expected to spend hundreds of thousands of dollars more. She has also picked up the support of the rank-and-file police officers' union, which spent nearly $750,000 to elect City Atty. Carmen Trutanich in 2009.

The SEIU did not invite three other leading candidates — Councilwoman Jan Perry, former radio host Kevin James and tech executive Emanuel Pleitez — to Tuesday's event. All three have been more critical than Greuel and Garcetti of the city's handling of its budget crisis.

The union employees "clearly don't want someone independent making decisions at City Hall," said James, shortly before Tuesday's SEIU session began.

Perry said earlier this week that she lost out on the endorsement because she said she had no plans to remove City Administrative Officer Miguel Santana, the budget official who recommended layoffs and reductions in pension benefits for new hires. Union officials asked the candidates last month to say whether they would keep Santana.

SEIU Local 721 has been at odds with Santana and Villaraigosa over their successful push to raise the retirement age and to roll back pensions for new hires. That pension measure was approved by the council last fall, but does not apply to DWP hires, or any current city employees.

The union also has been fighting efforts to turn the zoo and city Convention Center over to private management entities.

david.zahniser@latimes.com

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7 Massive Ideas That Could Change the World

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Charlize Theron’s ‘Hatfields & McCoys’ Update Gets NBC Pickup

NEW YORK (TheWrap.com) – NBC has ordered the drama pilot “Hatfields & McCoys,” a modern-day tale of the famously warring families from a team that includes executive producer Charlize Theron.

The series bears no relation to History’s hit miniseries of the same name, which aired last year. But it does trade on the same legend of feuding West Virginia families.

In the new version, the families have moved to nearby Pittsburgh, where a startling death rekindles the feud. The blue-collar McCoys battle the wealthy Hatfields for control of the city.

And no, they aren’t fighting over which family gets to not be in charge of Pittsburgh, which is a lovely place, if you’ve ever been.

The series is written and executive produced by John Glenn, with Theron, A.J. Dix, Dawn Olmstead, and Beau Flynn also executive producing. It comes from ABCS, Denver & Delilah,Tower Hill, Beau Flynn Productions and Grady Girl.

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Well: Helmets for Ski and Snowboard Safety

Recently, researchers from the department of sport science at the University of Innsbruck in Austria stood on the slopes at a local ski resort and trained a radar gun on a group of about 500 skiers and snowboarders, each of whom had completed a lengthy personality questionnaire about whether he or she tended to be cautious or a risk taker.

The researchers had asked their volunteers to wear their normal ski gear and schuss or ride down the slopes at their preferred speed. Although they hadn’t informed the volunteers, their primary aim was to determine whether wearing a helmet increased people’s willingness to take risks, in which case helmets could actually decrease safety on the slopes.

What they found was reassuring.

To many of us who hit the slopes with, in my case, literal regularity — I’m an ungainly novice snowboarder — the value of wearing a helmet can seem self-evident. They protect your head from severe injury. During the Big Air finals at the Winter X Games in Aspen, Colo., this past weekend, for instance, 23-year-old Icelandic snowboarder Halldor Helgason over-rotated on a triple back flip, landed head-first on the snow, and was briefly knocked unconscious. But like the other competitors he was wearing a helmet, and didn’t fracture his skull.

Indeed, studies have concluded that helmets reduce the risk of a serious head injury by as much as 60 percent. But a surprising number of safety experts and snowsport enthusiasts remain unconvinced that helmets reduce overall injury risk.

Why? A telling 2009 survey of ski patrollers from across the country found that 77 percent did not wear helmets because they worried that the headgear could reduce their peripheral vision, hearing and response times, making them slower and clumsier. In addition, many worried that if they wore helmets, less-adept skiers and snowboarders might do likewise, feel invulnerable and engage in riskier behavior on the slopes.

In the past several years, a number of researchers have attempted to resolve these concerns, for or against helmets. And in almost all instances, helmets have proved their value.

In the Innsbruck speed experiment, the researchers found that people whom the questionnaires showed to be risk takers skied and rode faster than those who were by nature cautious. No surprise.

But wearing a helmet did not increase people’s speed, as would be expected if the headgear encouraged risk taking. Cautious people were slower than risk-takers, whether they wore helmets or not; and risk-takers were fast, whether their heads were helmeted or bare.

Interestingly, the skiers and riders who were the most likely, in general, to don a helmet were the most expert, the men and women with the most talent and hours on the slopes. Experience seemed to have taught them the value of a helmet.

Off of the slopes, other new studies have brought skiers and snowboarders into the lab to test their reaction times and vision with and without helmets. Peripheral vision and response times are a serious safety concern in a sport where skiers and riders rapidly converge from multiple directions.

But when researchers asked snowboarders and skiers to wear caps, helmets, goggles or various combinations of each for a 2011 study and then had them sit before a computer screen and press a button when certain images popped up, they found that volunteers’ peripheral vision and reaction times were virtually unchanged when they wore a helmet, compared with wearing a hat. Goggles slightly reduced peripheral vision and increased response times. But helmets had no significant effect.

Even when researchers added music, testing snowboarders and skiers wearing Bluetooth-audio equipped helmets, response times did not increase significantly from when they wore wool caps.

So why do up to 40 percent of skiers and snowboarders still avoid helmets?

“The biggest reason, I think, is that many people never expect to fall,” says Dr. Adil H. Haider, a trauma surgeon and associate professor of surgery at Johns Hopkins University in Baltimore and co-author of a major new review of studies related to winter helmet use. “That attitude is especially common in people, like me, who are comfortable on blue runs but maybe not on blacks, and even more so in beginners.”

But a study published last spring detailing snowboarding injuries over the course of 18 seasons at a Vermont ski resort found that the riders at greatest risk of hurting themselves were female beginners. I sympathize.

The takeaway from the growing body of science about ski helmets is in fact unequivocal, Dr. Haider said. “Helmets are safe. They don’t seem to increase risk taking. And they protect against serious, even fatal head injuries.”

The Eastern Association for the Surgery of Trauma, of which Dr. Haider is a member, has issued a recommendation that “all recreational skiers and snowboarders should wear safety helmets,” making them the first medical group to go on record advocating universal helmet use.

Perhaps even more persuasive, Dr. Haider has given helmets to all of his family members and colleagues who ski or ride. “As a trauma surgeon, I know how difficult it is to fix a brain,” he said. “So everyone I care about wears a helmet.”

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DealBook: Top Federal Prosecutor of Corporate Crime Will Resign

Lanny A. Breuer, the federal prosecutor who led the Justice Department’s response to corporate crime in the wake of the financial crisis, will announce on Wednesday that he is stepping down after nearly four years in the post.

As head of the Justice Department’s criminal division, one of the most senior roles at the agency, Mr. Breuer tackled corporate bribery and public corruption. But it was his focus on Wall Street that received the most attention, from supporters and critics alike.

While he has come under fire for a dearth of prosecutions on Wall Street in response to the crisis, Mr. Breuer also oversaw an aggressive crackdown on money-laundering and interest-rate manipulation at some of the world’s biggest banks. In two weekslast month, he joined a nearly $2 billion case against HSBC for money-laundering and a $1.5 billion settlement with UBS for rate-rigging. Next week, he is expected to take a similar rate-rigging action against the Royal Bank of Scotland.

“I think the criminal division is a fundamentally different place than it was four years ago,” Mr. Breuer said in an interview. “It’s the highlight of my professional career.”

His departure, effective March 1, was widely expected. Mr. Breuer had told friends for weeks that he was ready to leave the public sector. While he has not announced his next step, it is expected that he will return to private practice. He was previously a partner at Covington & Burling, a white-shoe law firm.

By virtue of his perch at the Justice Department in Washington, Mr. Breuer became the face of Wall Street prosecutions in the aftermath of the financial crisis. But when few such cases materialized, critics like the Occupy Wall Street protesters turned on him, portraying him as an apologist for banks at the center of the mortgage mess.

In contrast, he drew praise for the sweeping crackdown on rate-rigging in the banking industry, which has largely involved international benchmark rates.

In a rate manipulation case last month, Mr. Breuer’s team secured a major payout from UBS and a guilty plea from the bank’s Japanese unit, making UBS the first big global bank in more than two decades to have a subsidiary plead guilty to fraud. Mr. Breuer, who announced the action after rejecting a last-minute plea from the bank’s chairman, also filed criminal charges against two former employees at the bank.

The deal sent a strong signal that the authorities wanted to hold banks responsible for their wrongdoing.

Following the UBS model, the Justice Department is now pursuing a guilty plea from a Royal Bank of Scotland subsidiary in Asia over its role in the interest rate manipulation scandal, people briefed on the matter said. That settlement, which could come as soon as next week, is likely to include more than $650 million in fines imposed by American and British authorities, two other people with direct knowledge of the matter said.

In an interview, Mr. Breuer said the rate-rigging case amounted to “egregious criminal conduct.” He struck a similar tone about two other major financial cases — the convictions of executives from Taylor, Bean & Whitaker, a now-defunct mortgage lender, and the 110-year prison term imposed on R. Allen Stanford for his Ponzi scheme.

Mr. Breuer has also focused on money-laundering, creating a task force in 2010 that has levied more than $3 billion in fines from banks, including the record fine against HSBC. He stopped short of indicting HSBC after some regulators warned that doing so could destabilize the global financial system.

Mr. Breuer argued that the charges he did not bring — for example, against Goldman Sachs and other banks suspected of fraud after selling toxic mortgage securities to investors — could not have been proved. It was not for a lack of trying, he said, noting that United States attorneys across the country, after reviewing the same evidence he did, also declined to act.

“It’s important for me to hold the financial institutions accountable,” he said. “There’s never been a time that a prosecutor said we should bring a securitization case and I said no.”

Under Mr. Breuer, the division has also increasingly used a 1977 law, the Foreign Corrupt Practices Act, to prosecute corporate bribery.

He also helped run the Justice Department’s investigation of the BP oil spill in the Gulf of Mexico, resulting in the company paying $4.5 billion in fines and other penalties and pleading guilty to 14 criminal charges related to the rig explosion in 2010.

In a statement, Attorney General Eric H. Holder Jr. praised Mr. Breuer. “Lanny has led one of the most successful and aggressive criminal divisions in the history of the Department of Justice,” he said.

Mr. Holder stood behind Mr. Breuer when questions arose about his involvement in the botched gun-trafficking case known as Operation Fast and Furious. The pair, who were both largely cleared after an inspector general investigation, worked together at Covington.

For years, Mr. Breuer moved in and out of government. The son of Holocaust survivors who fled Europe and settled in Queens, he landed at the Manhattan district attorney’s office after graduating from Columbia Law School. In between stints at Covington, he worked as a White House special counsel, defending President Bill Clinton amid federal investigations and impeachment proceedings.

In the interview on Tuesday, Mr. Breuer reflected on his unusual path to the Justice Department.

“The fact that I got to go from Elmhurst, Queens, to the criminal division is remarkable,” he said.

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Doctor fatally shot near Hoag Hospital in Newport Beach

A doctor was shot and killed Monday in a building near Hoag Hospital in Newport Beach, police said.

Multiple people have identified the victim as a doctor at Orange Coast Urology, but police have not released the victim's name pending notification of relatives. An outgoing phone message said the office had to close Monday because of an emergency.

Workers in the building said the shooting occurred in the doctor's exam room.

Newport Beach Police Department Deputy Chief David McGill confirmed that the slain man was a doctor but had no other details about him or a suspect who was taken into custody without incident at the scene, which was on the second floor of an office building at 520 Superior Ave.

"I sit right at the front desk. I would have caught the first bullet," said Becky Calderwood, who works two doors down from the office where the shooting occurred. "This is nuts. People are just shooting everyone all the time."

Calderwood said the gunman was a 70-year-old patient. Shortly after the shooting, police led a handcuffed older man wearing a baseball cap out of the building.

Authorities received a call about 2:45 p.m. that six or seven shots had been fired, according to police spokeswoman Kathy Lowe.

"We won't know a motive until our detectives have a chance to interview the suspect later" Monday night, Lowe said.

A source with knowledge of the shooting said the building was a medical office affiliated with Hoag. The shooting occurred in an office portion of the building, Lowe said.

Kristin Crotty works directly above the office. She said she heard gunshots but "blew it off as construction."

She said what she heard sounded like a nail gun and she didn't know what was going on until she called building services and was told to lock her door.

A sign outside says the three-story medical building houses Hoag outpatient services and lists the Allen Diabetes Center, physicians' offices and a CHOC diabetes center as occupants.

lauren.williams@latimes.com

jeremiah.dobruck@latimes.com

jill.cowan@latimes.com

Times staff writers Rick Rojas and Sam Quinones contributed to this report.

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Supernova Remnants: Dazzling Entrails of Violent Stellar Death

Even in death, there can be great beauty. Consider supernova remnants, the results of massive stars dying in great explosions, creating some of the most spectacular cosmic objects around.

Every 50 years or so, a star in our galaxy with more than 10 times the mass of our sun will expire. When such stars die, they go supernova, one of the most violent events in our universe. These explosions shoot off tons of material from the central star at up to 10 percent the speed of light.

Though the area surrounding stars seems empty, it is usually home to vast amounts of interstellar gas and dust. The supernova’s outburst runs into this surrounding material, creating a shockwave and heating it to temperatures greater than 10,000 Celsius. Over thousands of years, the local structure of the gas and dust shapes the stellar outpouring into shells, filaments, and other diffuse forms. Astronomers call these objects supernova remnants.

Supernova explosions and the remnants they leave behind have wide-ranging effects. They heat up the interstellar medium, creating complex chemistry out in space, and are responsible for accelerating protons and other atomic nuclei, which go zipping around the universe as cosmic rays. Perhaps most importantly, supernova explosions generate and liberate heavy elements, such as oxygen, carbon, and all metals, distributing them out into the wider cosmos. These elements eventually find their way into planetary systems, making life possible on at least one world that we know of.

Here, we take a look at some of the most famous and beautiful supernova remnants, giving you a chance to contemplate life, death, and cycles of renewal in the universe.

Above:

The supernova remnant N186 D appears as a bright pink spot at the top of this new image released by NASA on Jan. 28, spewing off tremendous amounts of X-rays. Located in the Large Magellanic Cloud about 160,000 light-years away, the remnant is blowing a huge bubble (the giant structure below the bright spot) as hot wind carves out a shock wave in the surrounding material.

Image: X-ray: NASA/CXC/Univ of Michigan/A.E.Jaskot, Optical: NOAO/CTIO/MCELS

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IFC Films acquires David Lowery’s “Ain’t Them Bodies Saints”

NEW YORK (TheWrap.com) – IFC Films has acquired domestic distribution rights to David Lowery‘s “Ain’t Them Bodies Saints,” which premiered Sunday at the Sundance Film Festival.

The film stars Rooney Mara and Casey Affleck as married bandits in 1970s Texas who set their sights on a local sheriff, played by Ben Foster.

IFC paid in the low seven figures for the rights, an individual with knowledge of the deal told TheWrap.

“Coming into Sundance, this was one of the biggest titles on our list and probably on many buyers lists, and so we ecstatic about this acquisition for our company,” Jonathan Sehring, president of Sundance Selects/IFC Films, said in a statement. “This is a beautiful and exquisitely crafted romantic American drama, with superlative performances across the board. We are honored to now be able to say we get to work with David Lowery, a remarkable new voice in filmmaking, as we take this film to audiences.”

This is just the second film directed by Lowery, a Texan with numerous editing credits to his name, including another film that premiered at Sundance – Shane Carruth’s “Upstream Color.” Toby Sailor Bear’s Toby Halbrooks and James M. Johnston produced the movie with Parts & Labor’s Jay Van Hoy and Lars Knudsen and Primary Productions’ Amy Kaufman and Cassian Elwes.

Elwes and WME made the deal with IFC.

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Rescuer Appears for New York Downtown Hospital

Manhattan’s only remaining hospital south of 14th Street, New York Downtown, has found a white knight willing to take over its debt and return it to good health, hospital officials said Monday.

NewYork-Presbyterian Hospital, one of New York City’s largest academic medical centers, has proposed to take over New York Downtown in a “certificate of need” filed with the State Health Department. The three-page proposal argues that though New York Downtown is projected to have a significant operating loss in 2013, it is vital to Lower Manhattan, including Wall Street, Chinatown and the Lower East Side, especially since the closing of St. Vincent’s Hospital after it declared bankruptcy in 2010.

The rescue proposal, which would need the Health Department’s approval, comes at a precarious time for hospitals in the city. Long Island College Hospital, just across the river in Cobble Hill, Brooklyn, has been threatened with closing after a failed merger with SUNY Downstate Medical Center, and several other Brooklyn hospitals are considering mergers to stem losses.

New York Downtown has been affiliated with the NewYork-Presbyterian health care system while maintaining separate operations.

“We are looking forward to having them become a sixth campus so the people in that community can continue to have a community hospital that continues to serve them,” Myrna Manners, a spokeswoman for NewYork-Presbyterian, said.

Fred Winters, a spokesman for New York Downtown, declined to comment.

Presbyterian’s proposal emphasized that it would acquire New York Downtown’s debt at no cost to the state, a critical point at a time when the state has shown little interest in bailing out failing hospitals.

The proposal said that if New York Downtown were to close, it would leave more than 300,000 residents of Lower Manhattan, including the financial district, Greenwich Village, SoHo, the Lower East Side and Chinatown, without a community hospital. In addition, it said, 750,000 people work and visit in the area every day, a number that is expected to grow with the construction of 1 World Trade Center and related buildings.

The proposal argues that New York Downtown is essential partly because of its long history of responding to disasters in the city. One of its predecessors was founded as a direct result of the 1920 terrorist bombing outside the J. P. Morgan Building, and the hospital has responded to the 1975 bombing of Fraunces Tavern, the 1993 and 2001 attacks on the World Trade Center, and, this month, the crash of a commuter ferry from New Jersey.

Like other fragile hospitals in the city, New York Downtown has shrunk, going to 180 beds, down from the 254 beds it was certified for in 2006, partly because the more affluent residents of Lower Manhattan often go to bigger hospitals for elective care.

The proposal says that half of the emergency department patients at New York Downtown either are on Medicaid, the program for the poor, or are uninsured.

NewYork-Presbyterian would absorb the cost of the hospital’s maternity and neonatal intensive care units, which have been expanding because of demand, but have been operating at a deficit of more than $1 million a year, the proposal said.

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