Issue 347
September 30, 2005

INDEX

Articles


Fear Exceeded Crime's Reality in New Orleans

By JIM DWYER and CHRISTOPHER DREW

NEW ORLEANS, Sept. 25 - After the storm came the siege. In the days after Hurricane Katrina, terror from crimes seen and unseen, real and rumored, gripped New Orleans. The fears changed troop deployments, delayed medical evacuations, drove police officers to quit, grounded helicopters. Edwin P. Compass III, the police superintendent, said that tourists - the core of the city's economy - were being robbed and raped on streets that had slid into anarchy.

 

The mass misery in the city's two unlit and uncooled primary shelters, the convention center and the Superdome, was compounded, officials said, by gangs that were raping women and children.

 

A month later, a review of the available evidence now shows that some, though not all, of the most alarming stories that coursed through the city appear to be little more than figments of frightened imaginations, the product of chaotic circumstances that included no reliable communications, and perhaps the residue of the longstanding raw relations between some police officers and members of the public.

 

Beyond doubt, the sense of menace had been ignited by genuine disorder and violence that week. Looting began at the moment the storm passed over New Orleans, and it ranged from base thievery to foraging for the necessities of life.

 

Police officers said shots were fired for at least two nights at a police station on the edge of the French Quarter. The manager of a hotel on Bourbon Street said he saw people running through the streets with guns. At least one person was killed by a gunshot at the convention center, and a second at the Superdome. A police officer was shot in Algiers during a confrontation with a looter.

 

It is still impossible to say if the city experienced a wave of murder because autopsies have been performed on slightly more than 10 percent of the 885 dead.

 

On Wednesday, however, Dr. Louis Cataldie, the state's medical incident commander for Hurricane Katrina victims, said that only six or seven deaths appear to have been the result of homicides. He also said that people returning to homes in the damaged region have begun finding the bodies of relatives.

 

Superintendent Compass, one of the few seemingly authoritative sources during the days after the storm, resigned Tuesday for reasons that remain unclear. His departure came just as he was coming under criticism from The New Orleans Times-Picayune, which had questioned many of his public accounts of extreme violence.

 

In an interview last week with The New York Times, Superintendent Compass said that some of his most shocking statements turned out to be untrue. Asked about reports of rapes and murders, he said: "We have no official reports to document any murder. Not one official report of rape or sexual assault."

 

On Sept. 4, however, he was quoted in The Times about conditions at the convention center, saying: "The tourists are walking around there, and as soon as these individuals see them, they're being preyed upon. They are beating, they are raping them in the streets."

 

Those comments, Superintendent Compass now says, were based on secondhand reports. The tourists "were walking with their suitcases, and they would have their clothes and things taken," he said last week. "No rapes that we can quantify."

 

Rumors Affected Response

 

A full chronicle of the week's crimes, actual and reported, may never be possible because so many basic functions of government ceased early in the week, including most public safety record-keeping. The city's 911 operators left their phones when water began to rise around their building.

 

To assemble a picture of crime, both real and perceived, The New York Times interviewed dozens of evacuees in four cities, police officers, medical workers and city officials. Though many provided concrete, firsthand accounts, others passed along secondhand information or rumor that after multiple tellings had ossified into what became accepted as fact.

 

What became clear is that the rumor of crime, as much as the reality of the public disorder, often played a powerful role in the emergency response. A team of paramedics was barred from entering Slidell, across Lake Pontchartrain from New Orleans, for nearly 10 hours based on a state trooper's report that a mob of armed, marauding people had commandeered boats. It turned out to be two men escaping from their flooded streets, said Farol Champlin, a paramedic with the Acadian Ambulance Company.

On another occasion, the company's ambulances were locked down after word came

that a firehouse in Covington had been looted by armed robbers of all its water - a report that proved totally untrue, said Aaron Labatt, another paramedic.

 

A contingent of National Guard troops was sent to rescue a St. Bernard Parish deputy sheriff who radioed for help, saying he was pinned down by a sniper. Accompanied by a SWAT team, the troops surrounded the area. The shots turned out to be the relief valve on a gas tank that popped open every few minutes, said Maj. Gen. Ron Mason of the 35th Infantry Division of the Kansas National Guard.

 

"It's part of human nature," General Mason said. "When you get one or two reports, it echoes around the community."

 

Faced with reports that 400 to 500 armed looters were advancing on the town of Westwego, two police officers quit on the spot. The looters never appeared, said the Westwego police chief, Dwayne Munch.

 

"Rumors could tear down an entire army," Chief Munch said.

 

During six days when the Superdome was used as a shelter, the head of the New Orleans Police Department's sex crimes unit, Lt. David Benelli, said he and his officers lived inside the dome and ran down every rumor of rape or atrocity. In the end, they made two arrests for attempted sexual assault, and concluded that the other attacks had not happened.

 

"I think it was urban myth," said Lieutenant Benelli, who also heads the police union. "Any time you put 25,000 people under one roof, with no running water, no electricity and no information, stories get told."

 

Crimes of Opportunity

 

The actual, serious crime began, in the recollection of many, before the catastrophic failure of the levees flooded the city, and much of it consisted of crimes of opportunity rather than assault. On the morning of Monday, Aug. 29, in the half hour or so that the eye of Hurricane Katrina fell on the city - an illusory moment of drawn breath, sunshine and fair breezes - the looters struck, said Capt. Anthony W. Canatella, the police commander in the Sixth District.

 

Using a chain hitched to a car, they tore open the steel doors at the back of a pawn shop called Cash America on Claiborne Avenue. "Payday Advances to 350," read a sign where the marquee would have been.

 

"There was nothing in there you could sustain your life with," Captain Canatella said. "There's nothing in there but guns and power tools."

 

The Sixth District - like most of New Orleans, a checkerboard of wealth and poverty - was the scene of heavy looting, with much of the stealing confined to the lower-income neighborhoods. A particular target was a Wal-Mart store on Tchoupitoulas Street, bordering the city's elegant Garden District and built on the site of a housing project that had been torn down.

 

The looters told a reporter from The Times that they followed police officers into the store after they broke it open, and police commanders said their officers had been given permission to take what they needed from the store to survive. A reporter from The Times-Picayune said he saw police officers grabbing DVD's.

 

A frenzy of stealing began, and the fruits of it could be seen last week in three containers parked outside the Sixth District police station. Inside were goods recovered from stashes placed by looters in homes throughout the neighborhood, said Captain Canatella, most but not all still bearing Wal-Mart stickers.

 

"Not one piece of educational material was taken - the best-selling books are all sitting right where they were left," Captain Canatella said. "But every $9 watch in the store is gone."

 

One of the officers who went to the Wal-Mart said the police did not try to stop people from taking food and water. "People sitting outside the Wal-Mart with groceries waiting for a ride, I just let them sit there," said Sgt. Dan Anderson of the Sixth District. "If they had electronics, I just threw it back in there."

 

Three auto parts stores were also looted. In a house on Clara Street, Sergeant Anderson picked his way through a soggy living room, where car parts, still in their boxes, were strewn about. On the wall above a couch, someone had written "Looters" with spray paint.

 

"The nation's realizing what kind of criminals we have here," Sergeant Anderson said.

 

Among the evacuees, there was gratitude for efforts by the police and others to help them get out of town, but it was clear that some members of the public did not have a high opinion of the New Orleans Police Department, with numerous people citing cases of corruption and violence a decade ago.

 

"Don't get me wrong, there was bad stuff going on in the streets, but the police is dirty," said Michael Young, who had worked as a waiter in the Riverwalk development.

 

French Quarter Is Spared

 

As the storm winds died down that Monday, small groups that had evacuated from poor neighborhoods as far away as the Lower Ninth Ward passed through the historic French Quarter, heading for shelter at the convention center.

 

"Some were pushing little carts with their belongings and holding onto their kids," said Capt. Kevin B. Anderson, the French Quarter's police commander. He said his officers gave food, water and rides. "That also served another purpose," he said. "That when they came through, they didn't cause any problems."

 

The jewelry and antique shops in the French Quarter were basically left untouched, though squatters moved into a few of the hotels. Only a small grocery store and drugstores at the edge of the quarter were hit by looters, he said. From behind the locked doors of the Royal Sonesta hotel on Bourbon Street, Hans Wandfluh, the general manager, said he had watched passers-by who seemed to be up to no good. "We heard gunshots fired," Mr. Wandfluh said. "We saw people running with guns."

 

At dusk on Aug. 29, looters broke windows along Canal Street and swarmed into drugstores, shoe stores and electronics shops, Captain Anderson said. Some tried, without success, to break into banks, and others sought to take money from A.T.M.'s.

 

The convention center, without water, air-conditioning, light or any authority figures, was recalled by many as a place of great suffering. Many heard rumors of crime, and saw sinister behavior, but few had firsthand knowledge of violence, which they often said they believed had taken place in another part of the half-mile-long center.

 

"I saw Coke machines being torn up - each and every one of them was busted on the second floor," said Percy McCormick, a security guard who spent four nights in the convention center and was interviewed in Austin, Tex.

 

Capt. Jeffrey Winn, the commander of the SWAT team, said its members rushed into the convention center to chase muzzle flashes from weapons to root out groups of men who had taken over some of the halls. No guns were recovered.

 

State officials have said that 10 people died at the Superdome and 24 died around the convention center - 4 inside and 20 nearby. While autopsies have not been completed, so far only one person appears to have died from gunshot wounds at each facility.

 

In another incident, Captain Winn and Lt. Dwayne Scheuermann, the assistant SWAT commander, said they both shot and wounded a man brandishing a gun near people who had taken refuge on an Interstate highway. Captain Winn said the SWAT team also exchanged gunfire with looters on Tchoupitoulas Street.

 

The violence that seemed hardest to explain were the reports of shots being fired at rescue and repair workers, including police officers and firefighters, construction and utility workers.

 

Cellphone repair workers had to abandon work after shots from the Fischer housing project in Algiers, Captain Winn said. His team swept the area three times. On one sweep, federal agents found an AK-47 semiautomatic rifle, Captain Winn said.

 

For military officials, who flew rescue missions around the city, the reports that people were shooting at helicopters turned out to be mistaken. "We investigated one incident and it turned out to have been shooting on the ground, not at the helicopter," said Maj. Mike Young of the Air Force.

 

 

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EDITORIAL

Fighting for our values

 

THE CONVICTION OF Pvt. Lynndie R. England for abusing Iraqi inmates was a foregone conclusion. What remains an open question, unfortunately, is the extent of the damage done to America's image abroad by the continued allegations of cruelty and mistreatment at the hands of U.S. soldiers.

 

The pictures of England holding a prisoner on a leash and grinning at naked detainees who were forced to form a pyramid at Abu Ghraib prison were as sickening as they were powerful. England's conviction Monday on six of seven counts of conspiracy and mistreatment of Iraqi prisoners makes her the ninth reservist to plead guilty or be convicted of crimes at Abu Ghraib. She was sentenced to three years in prison.

 

Pentagon officials blamed a few rogue soldiers when the pictures were published last year. But the Army has since investigated hundreds of charges of abuse of prisoners in Iraq and Afghanistan. More than a "few bad apples" were involved.

 

We now know, for example, that Abu Ghraib was not the only venue for mistreating prisoners. Men freed from custody at Guantanamo Bay have provided credible tales of abuse. Last week, Human Rights Watch released a report containing firsthand reports that members of the 82nd Airborne Division routinely tortured detainees in 2003 and early 2004 near the Iraqi city of Fallouja. Capt. Ian Fishback and two sergeants, formerly of the elite 82nd Airborne, said prisoners taken during the hard-fought siege of Fallouja were kicked and beaten, their bones broken and eyes doused with irritants. Equally disturbing, Fishback said his reports of wrongdoing were ignored by higher-ranking officers.

 

That refusal to act, and the conclusion of an earlier Army inquiry that top generals in Iraq were innocent of leadership lapses that allowed the Abu Ghraib crimes, argue for an independent investigation into the treatment of detainees. Congress should be demanding one, if not conducting one itself.

 

There are encouraging signs of congressional unease, even within the president's own party, with the administration's policies. Several U.S. senators who are military veterans — including Republicans John McCain of Arizona, Lindsey O. Graham of South Carolina and John W. Warner of Virginia — understand the damage the detainee abuse charges have caused, especially in the Muslim world.

 

McCain said Sunday that he and the other two senators support an amendment to a defense bill specifically requiring the military to abide by the Geneva Convention, which outlaws torture. The Bush administration has always said it supports the Geneva Convention, but it has clouded the issue with the appalling claim that the convention does not apply to some prisoners, including the "unlawful combatants" it claims are held at Guantanamo Bay.

 

The Geneva Convention protects U.S. military men and women when they are captured — one reason many generals protested the administration's original rules on the mistreatment of prisoners. There is also a more idealistic reason to oppose the administration's lax policy on torture: It abrogates American values.

 

The Abu Ghraib photographs and subsequent detailing of wrongdoing by military and civilian interrogators and guards at Guantanamo and in Iraq and Afghanistan are among the most shameful chapters of this war on terror. Winning this war will require time and perseverance. Success demands clearer rules for prosecution and better training of those we ask to enforce those rules.

 

 

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Parmalat founder fraud trial opens

 

MILAN, Italy (CNN) -- The founder and former boss of Parmalat has appeared in a Milan court in the first major trial over the Italian dairy giant's collapse almost two years ago in one of Europe's biggest corporate fraud scandals.

 

Calisto Tanzi and 15 others face charges of market rigging, false auditing and misleading Italy's stock market regulator and investors.

 

Dozens of those investors gathered outside the Milan courthouse hearing the trial as the proceedings opened. Tanzi arrived one hour late and assumed a seat in the front row.

     

One of his lawyers said he had been caught in traffic. After about an hour in court, Tanzi left.

 

The trial was adjourned to December 2 to allow the court time to consider a request from investors to join a civil suit linked to the criminal case.

 

Also on trial are three bank executives and two auditors from the Italian branch of Deloitte & Touche and the former Italian branch of Grant Thornton.

 

One of the defendants, Giovanni Bonici -- former chairman of Parmalat Venezuela and the Cayman Islands-based subsidiary at the center of the bankruptcy -- was one of the few of the other accused to appear in the court.

 

"I am as much of a victim as the investors," he was quoted as saying by the ANSA news agency.

 

The defendants face up to 10 years in prison if found guilty.

 

Defense lawyers said on Tuesday that Tanzi would cooperate during the trial.

 

"He knows what his responsibilities are," Giampiero Biancolella, one of Tanzi's attorneys, told the Associated Press.

 

"What we want is to help reconstruct faithfully what happened at Parmalat so the judge can make a decision based on that reconstruction."

 

The Parmalat scandal, dubbed "Europe's Enron", erupted in December 2003 when the company admitted that an account worth nearly euro 4 billion ($4.8 billion) it claimed it held in a Bank of America account in the Cayman Islands did not exist.

 

Months of investigation followed, uncovering a tangle of offshore companies and accounts.

 

Prosecutors said Parmalat's old management created them to paper over a gaping debt of nearly euro14 billion ($16.9 billion).

     

Authorities declared the company bankrupt and overnight, tens of thousands of stocks and bonds holders were left holding worthless paper.

 

Italian Prime Minister Silvio Berlusconi called an emergency cabinet meeting in the wake of the collapse, but measures agreed then have still not been passed into law.

     

Blame

 

As the trial began, Tanzi's lawyers submitted a list of witnesses to Judge Luisa Ponti which included the heads of such banks as Capitalia and Mediobanca, as well as market regulators Consob and the Bank of Italy.

 

Reports had claimed Tanzi would try to shift blame for the scandal on to the banks, but Biancolella denied that.

 

"We cannot transform ourselves from the accused into accusers," he said.

 

The banks have denied any wrongdoing.

 

Earlier this year Tanzi asked for forgiveness from those who suffered as a result of the scandal. But Paolo Vivian, a pensioner who lost euro 25,000, was not impressed.

 

"It is ridiculous, he should have thought about it before the fraud," he said. "He could have spared us his apology because no-one has accepted it."

 

As compensation, Vivian received shares in the new Parmalat worth around 10 percent of his original investment.

 

In June, 11 others including three of Parmalat's former chief financial officers, accepted plea bargains that saw them sentenced to two-and-a-half years in prison for their parts in the fraud.

 

A fast track trial of two accountants from Grant Thornton began in January.

 

A government-appointed administrator, Enrico Bondi, now runs Parmalat. He has launched a series of lawsuits against banks aimed at recouping some of the investors' money lost in the crash.

 

He also instigated a tough restructuring of the company that has seen it shake off the scandal and remain a prime player in the Italian dairy market.

 

Gabriel Kahn, Rome correspondent of the Wall Street Journal, told CNN:

 

"Parmalat has come back stronger than many people might have expected.

 

"The real hit was when the scandal broke two years ago so I'm not sure putting Tanzi on trial now will hurt the brand. It may even help by putting it back in the news."

     

Shares in Parmalat were suspended shortly after the collapse, but are due to be relisted next month. Anaylsts said they would be indicated to open between euro 2.38 and euro 2.45.

 

 

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Anna Nicole's Case Goes to Supreme Court

By THE ASSOCIATED PRESS

 

WASHINGTON (AP) -- The Supreme Court shed its staid image Tuesday, giving stripper-turned Playboy model Anna Nicole Smith a new chance at a piece of the fortune of her 90-year-old late husband.

 

The court said it would hear arguments early next year as part of Smith's effort to collect as much as $474 million from the estate of J. Howard Marshall II. The oil tycoon married her in 1994 when he was 89 and she was 26.

 

The case promises to be the sexiest of the nine-month term which begins next week.

 

''She's very excited. She will be attending arguments, there's no question about that,'' Smith's lawyer, Howard K. Stern, said in a telephone interview from Vermont where the television reality star is filming a movie.

 

At issue for the court is a relatively mundane technical issue: when may federal courts hear claims that are also involved state probate proceedings. But the facts are eye-catching.

 

The 1993 Playmate of the Year and self-described ''blonde bombshell'' claims her husband promised her millions but that his scheming son cut her out of the estate.

 

The son, E. Pierce Marshall, said that a Texas court had found Smith's claim frivolous and that a jury determined he did nothing wrong. ''This is one small step in a process and we intend to prevail so that my father's wishes can be honored,'' he said in a statement.

 

His father, one of Texas' wealthiest men, died in 1995, setting off a nasty legal fight.

 

An initial $474 million award for Smith was reduced to about $89 million, then thrown out altogether by the 9th U.S. Circuit Court of Appeals in San Francisco. The appeals court said that a Texas probate court's decision that the oilman's son was his sole heir should stand.

 

The appeals court decision, that federal courts in California never had jurisdiction, erased a lower court finding that she was entitled to compensatory and punitive damages on grounds that Marshall's son tried to keep her from receiving money from his father's estate.

 

Smith, whose real name is Vickie Lynn Marshall, had received more than $6 million in gifts from her late husband, but was not included in his will, justices were told by E. Pierce Marshall's attorneys.

 

Smith's attorneys told justices in a filing that Marshall's son ''devotes nearly half his brief to manipulating the record to cast (Vickie) in a bad light,'' and that J. Howard Marshall intended to provide for his wife throughout her life.

 

The Supreme Court agreed to hear the case without awaiting the opinion of the new chief justice. The Senate is expected to vote on John Roberts' nomination later this week. The eight justices, including retiring Justice Sandra Day O'Connor, picked that case to hear out of about 1,900 appeals.

 

The case is Vickie Lynn Marshall v. E. Pierce Marshall, 04-1544.

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