Oil spill in Alaska closes 800 miles of pipeline

Wednesday, May 26, 2010

800 miles of the Trans-Alaska Pipeline System were closed down following a spill of thousands of barrels of crude oil south of Fairbanks, Alaska. A power failure following a routine fire-command system test caused relief valves to open and crude oil overflowed near the Fort Greely pump station 9. The valves opening allowed a pressure release for the system and oil flowed on a pad to a tank that can hold 55,000 barrels (2.3 million gallons). As of Wednesday afternoon, the tank vents were still leaking probably from thermal expansion inside the tank. Another secondary containment area below the tanks capable of holding 104,500 barrels was not yet filled to capacity.

The spill coordinator for the Department of Environmental Conservation, Tom DeRuter, said that the oil spill contamination should be confined to the graveled oil containment liner. “Safety is their No. 1 objective right now. As soon as it is safe to move in, then they’ll get the power on and try to empty that tank out. As long as everything is in that liner, it gives us time,” DeRuter explained.

40 people had been evacuated from the Fort Greely site, and the Prudhoe Bay station has been reduced by 84%. “We’re going to take as long as we need to make sure the site is safe before we start back up,” said Alyeska Pipeline Service Company spokesperson Michele Egan. There is capacity in reserve tanks for 48 hours during this slow down of production.

About 650,000 barrels per day run through the Trans-Alaska Pipeline between Prudhoe Bay to the Port of Valdez oil tankers. The majority of shares in Alyeska are held by BP Exploration, Alaska (BPXA) which is also currently addressing the Deepwater Horizon oil spill in the Gulf of Mexico.

BP addressed a 267,000 gallon crude oil spill in Prudhoe Bay, Alaska in 2006 resulting in a lawsuit against BP Exploration.

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Cleveland, Ohio clinic performs US’s first face transplant

Thursday, December 18, 2008

A team of eight transplant surgeons in Cleveland Clinic in Ohio, USA, led by reconstructive surgeon Dr. Maria Siemionow, age 58, have successfully performed the first almost total face transplant in the US, and the fourth globally, on a woman so horribly disfigured due to trauma, that cost her an eye. Two weeks ago Dr. Siemionow, in a 23-hour marathon surgery, replaced 80 percent of her face, by transplanting or grafting bone, nerve, blood vessels, muscles and skin harvested from a female donor’s cadaver.

The Clinic surgeons, in Wednesday’s news conference, described the details of the transplant but upon request, the team did not publish her name, age and cause of injury nor the donor’s identity. The patient’s family desired the reason for her transplant to remain confidential. The Los Angeles Times reported that the patient “had no upper jaw, nose, cheeks or lower eyelids and was unable to eat, talk, smile, smell or breathe on her own.” The clinic’s dermatology and plastic surgery chair, Francis Papay, described the nine hours phase of the procedure: “We transferred the skin, all the facial muscles in the upper face and mid-face, the upper lip, all of the nose, most of the sinuses around the nose, the upper jaw including the teeth, the facial nerve.” Thereafter, another team spent three hours sewing the woman’s blood vessels to that of the donor’s face to restore blood circulation, making the graft a success.

The New York Times reported that “three partial face transplants have been performed since 2005, two in France and one in China, all using facial tissue from a dead donor with permission from their families.” “Only the forehead, upper eyelids, lower lip, lower teeth and jaw are hers, the rest of her face comes from a cadaver; she could not eat on her own or breathe without a hole in her windpipe. About 77 square inches of tissue were transplanted from the donor,” it further described the details of the medical marvel. The patient, however, must take lifetime immunosuppressive drugs, also called antirejection drugs, which do not guarantee success. The transplant team said that in case of failure, it would replace the part with a skin graft taken from her own body.

Dr. Bohdan Pomahac, a Brigham and Women’s Hospital surgeon praised the recent medical development. “There are patients who can benefit tremendously from this. It’s great that it happened,” he said.

Leading bioethicist Arthur Caplan of the University of Pennsylvania withheld judgment on the Cleveland transplant amid grave concerns on the post-operation results. “The biggest ethical problem is dealing with failure — if your face rejects. It would be a living hell. If your face is falling off and you can’t eat and you can’t breathe and you’re suffering in a terrible manner that can’t be reversed, you need to put on the table assistance in dying. There are patients who can benefit tremendously from this. It’s great that it happened,” he said.

Dr Alex Clarke, of the Royal Free Hospital had praised the Clinic for its contribution to medicine. “It is a real step forward for people who have severe disfigurement and this operation has been done by a team who have really prepared and worked towards this for a number of years. These transplants have proven that the technical difficulties can be overcome and psychologically the patients are doing well. They have all have reacted positively and have begun to do things they were not able to before. All the things people thought were barriers to this kind of operations have been overcome,” she said.

The first partial face transplant surgery on a living human was performed on Isabelle Dinoire on November 27 2005, when she was 38, by Professor Bernard Devauchelle, assisted by Professor Jean-Michel Dubernard in Amiens, France. Her Labrador dog mauled her in May 2005. A triangle of face tissue including the nose and mouth was taken from a brain-dead female donor and grafted onto the patient. Scientists elsewhere have performed scalp and ear transplants. However, the claim is the first for a mouth and nose transplant. Experts say the mouth and nose are the most difficult parts of the face to transplant.

In 2004, the same Cleveland Clinic, became the first institution to approve this surgery and test it on cadavers. In October 2006, surgeon Peter Butler at London‘s Royal Free Hospital in the UK was given permission by the NHS ethics board to carry out a full face transplant. His team will select four adult patients (children cannot be selected due to concerns over consent), with operations being carried out at six month intervals. In March 2008, the treatment of 30-year-old neurofibromatosis victim Pascal Coler of France ended after having received what his doctors call the worlds first successful full face transplant.

Ethical concerns, psychological impact, problems relating to immunosuppression and consequences of technical failure have prevented teams from performing face transplant operations in the past, even though it has been technically possible to carry out such procedures for years.

Mr Iain Hutchison, of Barts and the London Hospital, warned of several problems with face transplants, such as blood vessels in the donated tissue clotting and immunosuppressants failing or increasing the patient’s risk of cancer. He also pointed out ethical issues with the fact that the procedure requires a “beating heart donor”. The transplant is carried out while the donor is brain dead, but still alive by use of a ventilator.

According to Stephen Wigmore, chair of British Transplantation Society’s ethics committee, it is unknown to what extent facial expressions will function in the long term. He said that it is not certain whether a patient could be left worse off in the case of a face transplant failing.

Mr Michael Earley, a member of the Royal College of Surgeon‘s facial transplantation working party, commented that if successful, the transplant would be “a major breakthrough in facial reconstruction” and “a major step forward for the facially disfigured.”

In Wednesday’s conference, Siemionow said “we know that there are so many patients there in their homes where they are hiding from society because they are afraid to walk to the grocery stores, they are afraid to go the the street.” “Our patient was called names and was humiliated. We very much hope that for this very special group of patients there is a hope that someday they will be able to go comfortably from their houses and enjoy the things we take for granted,” she added.

In response to the medical breakthrough, a British medical group led by Royal Free Hospital’s lead surgeon Dr Peter Butler, said they will finish the world’s first full face transplant within a year. “We hope to make an announcement about a full-face operation in the next 12 months. This latest operation shows how facial transplantation can help a particular group of the most severely facially injured people. These are people who would otherwise live a terrible twilight life, shut away from public gaze,” he said.

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Eight men and several Spinka charities charged with tax fraud in Los Angeles

Monday, December 24, 2007

Eight men and five Brookyln-based Spinka charitable organizations have been charged with tax fraud and money laundering. Six have been arrested, and two are still at large.

The men charged are Naftali Tzi Weisz, 59, a Grand Rabbi from Brooklyn; Gabbai Moseh E. Zigelman, 60, also from Brooklyn and Weisz’ assistant; Yaacov Zeivald, 43, of Valley Village; Yosef Nachum Naiman, 55, of Los Angeles; Alan Jay Friedman, 43, of Los Angeles; Joseph Roth, 66, an international accounts manager at a bank in Israel from Tel Aviv; diamond merchant Moshe Arie Lazar, 60; and Jacob Ivan Kantor, 71, an attorney from Tel Aviv. The first six were arrested last Wednesday, and four of them have been released on bail. The FBI believes Lazar to be in Israel. Kantor is also believed to be in Israel according to other reports.

The charitable organizations named as defendants in the charges are Yeshiva Imrei Yosef, Yeshivath Spinka, Central Rabbinical Seminary, Machne Sva Rotzohn, and Mesivta Imrei Yosef Spinka. The FBI alleges that these charities issued fraudulent receipts for bogus charitable contributions and were the beneficiaries of fees charged for transfers of funds as part of a money laundering conspiracy.

By a 37-count grand jury indictment that was unsealed on Wednesday morning, Weisz and Zigelman are charged with one count of conspiracy to defraud the Internal Revenue Service and other crimes, 19 counts of mail fraud, one money laundering conspiracy count, 11 counts of international money laundering, and one count of operating an illegal money remitting business. Zigelman is in addition charged with two counts of aiding in the preparation of fraudulent income tax returns. Zeivald, Lazar, Naiman, and Friedman are charged in the main conspiracy count and with operating an illegal money remitting business. Zeivald is in addition charged with one count of mail fraud. Roth is charged in both conspiracy counts; several mail fraud counts; and several international money laundering counts. Kantor is charged in both of the conspiracy counts and several international money laundering counts.

The charges laid are that over a period of 10 years the conspirators solicited USD8.7 million in contributions to these charitable organizations, promising to secretly refund to the donors up to 95%, allowing the donors to claim the full amounts of the donations as tax deductions on their federal income tax returns. According to the FBI, this was done in two ways: Some donors received cash payments through an underground money transfer network involving Zeivald, Naiman, Friedman, and Lazar, some of whom operated businesses in and around the Los Angeles jewelry district. Other donors were reimbursed via loans made from the United States branch of an Israeli bank, organized by Roth and Kantor and secured on funds secretly held in that bank in Israel, to which the donations had been sent via wire transfer.

Several of the Brooklyn charitable organizations are schools. One such is Yeshiva Imrei Yosef, a private Orthodox Jewish school for boys in grades PK–12 with 312 students, which is one of 5000 such organizations approved for charitable donations by the Jewish Community Endowment Fund of the Jewish Community Federation of San Francisco. The Jewish Journal of Greater Los Angeles draws a parallel between these charges and the creation of bogus schools in the case of New Square, quoting Jonathan Sarna, a professor of American Jewish history at Brandeis University, as saying “I think that in Eastern Europe, especially where corruption was rampant, it was very common for Jews to engage in, shall we say, ‘extra-legal activities’ when they believed they were doing so not for their personal gain but for the good of the community or for some higher purpose.”

His observation is that defrauding a corrupt government is part of the culture that has sometimes been carried in to the United States, and that people justify it when they believe that the money is going towards Jewish education. “I think the idea is that Jewish education is so important and so expensive and the folks say to themselves, ‘we’re forced to pay for public education which we don’t use’, and they manage to sometimes justify in their own minds these kinds of activities that are for the sake of a holy end.”

Sarna states that violating the law is not condoned by Jewish communities in the U.S., a sentiment that has been echoed in reactions from the Los Angeles Jewish community, such as that by Rabbi Meyer H. May, president of the Rabbinical Council of California: “One thing is clear: The Orthodox community deplores any attempt to defraud the government of the United States, and there is no excuse for it, and there’s no rationalizations that are acceptable. […] It’s against the Torah and it’s against our moral foundation. At the same time, regarding these specific individuals, they should be allowed to have a fair trial, as everyone is innocent until proven guilty.”

The FBI’s press release contains a similar reminder of the presumption of innocence.

Calls by the New York Times were unable to obtain any comments on the case from the defendants.

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Traveling To Music City, Usa

Submitted by: John Parks

Nashville, Tennessee, the state capital, is located in the north central part of the state, nearly equidistant from Knoxville to the east and Memphis to the west. I-65 runs north to south through the city; I-40 crosses it east to west; I-24 slices through it on the diagonal from northwest to southeast; Briley Parkway circles the north side of town; and I-440 loops around south side of the metropolitan area, connecting with all three of these interstates.

In addition, U.S. Highway 265 branches off from I-40 just west of Lebanon and swings south almost to Murfreesboro before turning back north to connect with I-40 between Fairview and Pomona. Nashville International Airport is immediately south of I-40 on the east side of town; the downtown area can easily be reached from there via the interstates.

[youtube]http://www.youtube.com/watch?v=0fN8PlXRG2g[/youtube]

Nashville is with justice called Music City, U.S.A. It is home to the thriving country music industry, the Ryman Auditorium, the Grand Ole Opry, the Country Music Hall of Fame, and a lively after-hours music scene in many lounges and saloons all over town. There are two visitor information centers, one at Fifth Avenue South and Broadway and a second at Fourth Avenue North and Commerce, where visitors can get maps, brochures, directions, and more information about things to do and see in Nashville.

A visitor with even a passing interest in country music should not miss the opportunity to investigate the Nashville music scene. The Ryman Auditorium in downtown originally was a church, and became the home of the Grand Ole Opry in 1943, when it was christened The Mother Church of Country Music. The Opry has since moved to the Gaylord Opryland Resort and Convention Center, but the Ryman has been reopened as a music venue. Regular concerts are held there, and tours, both self-guided and backstage, are on offer.

Also downtown, the Country Music Hall of Fame and Museum is the perfect place to immerse yourself in all the history of this distinctively American style of music.

The Gaylord Opryland Resort and Convention Center, off the Briley Parkway north of the airport, is a world unto itself, with a big hotel, stores, a spa, restaurants from pubs to steakhouses to fine dining establishments, and lounges and nightclubs, all under one roof. The resort is immediately adjacent to the Grand Ole Opry, where visitors can take in the famous country music extravaganza.

If music isn t your main interest, Nashville has many other experiences to offer, from a zoo and aquariums to amusement parks and rides on paddle-wheelers on the river. If you d like to sample a little Southern history, visit Belle Meade Plantation or take a tour of The Hermitage, home of Andrew Jackson. You can tour the historic battlefield of the Civil War battle of Franklin and visit the cemetery where fallen soldiers were laid to rest. A little more than an hour east of Nashville, Loretta Lynn s Hurricane Mills has a restored Southern mansion, a camp ground and RV park, a museum, and shops. Horseback riding and fishing are popular pastimes there, as well.

About the Author: For more information on Nashville, Tennessee visit

nashvillevacations.travel

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Category:July 26, 2010

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Mysterious power failure takes down Wikipedia, Wikinews

This article mentions the Wikimedia Foundation, one of its projects, or people related to it. Wikinews is a project of the Wikimedia Foundation.

Wednesday, February 23, 2005

On Monday, at 10.14 pm UTC, the Wikimedia server cluster experienced a total power failure, taking down Wikipedia, Wikinews, and all other Wikimedia websites.

The servers are housed in a colocation facility (colo) in Tampa, Florida, USA. They occupy two racks, with each rack receiving electricity from two independent supplies. However, both supplies have circuit-breakers in them, and both opened at the same time, leading to a total power failure. All computers immediately went down. It’s normal for fire safety regulations to prohibit uninterruptible power supplies in colos, with the colo providing its own UPS and generator instead. The circuit breakers were on the computer side of this emergency power system, so none of the computers continued to receive power to survive the breaker trip or shut down safely.

The actual reason why the circuit breakers tripped is currently unknown.

When power was restored, it was discovered that most of the MySQL databases that store the data which makes up Wikipedia et al had been corrupted. The main database and the four slaves had all damaged the data on their hard disk drives beyond the ability of the auto-correction to repair. Only one copy survived safely, on a machine that is used for report generation and maintenance tasks, which remained 31 hours backlogged while catching up after an unusually heavy update load during the previous week.

Volunteer Wikimedia engineers worked through the night rebuilding the databases from the sole good copy onto the other servers. The Wikipedia database is over 180Gb in size, making the copying process last 1.5 – 2 hours for every server it was performed upon.

Regular back-ups of the database of Wikipedia projects are maintained – the encyclopedia in its entirety was not at risk. The last database download was made on February 9; all edits since then could only have been laboriously rebuilt from logs and recovered from the damaged database requiring much more time and effort.

Limited read-only service was established late Tuesday afternoon, with editing becoming possible 24 hours after the power failure. Final repairs continue now, as well as upgrades to prevent similar issues in the future. Server-intensive features, such as categories and ‘watchlists’ that display recent changes to selected articles to registered users, remain disabled to ease the load on the recovering systems.

The process which led to the damage originated with the operating system, disk controllers, or hard drives failing to flush the data correctly.

If the power to a database server is cut mid-write, the database may be corrupted and unreadable, however the operating system, hardware, and software are designed to make this very unlikely. In a previous incident in 2004 power was also lost to a server but the database was undamaged.

To avoid such damage, each database server saves a copy of an edit to be applied to the database on a separate storage system before making the actual update to the database itself. This so-called ‘write-ahead logging’ should ensure that in the event of a system crash, the database can be rebuilt from a ‘last-good’ state by replaying the edits saved in the log.

Earlier this year popular blogging site LiveJournal suffered a similar power failure when another customer at their colocation facility pressed an Emergency Power Off button, intended for use only by firefighters. The company suffered database corruption similar to that seen at Wikimedia.

LiveJournal are now fitting UPS to their servers to ensure that they have time to shut down safely in the event of a power failure. Wikimedia was said to be investigating the possibility of fitting similar equipment at the time of this failure.

Several pundits have suggested that the use of another database, such as the proprietary database Oracle or the free PostgreSQL, would have avoided the database corruption seen at the server cluster. A post-mortem of the incident show the failure was in the operating system, or the hardware, or some combination of the two. LiveJournal, which also uses MySQL, reported similar database corruption after their power cut.

The Wikimedia foundation only allows the use of free software on its systems, and future versions of the Mediawiki software will support the PostgreSQL database.

Users are reminded that during times of system failure or excessive demand, they can still search Wikipedia using Google. The articles may be viewed using Google’s cache.

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Finding The Right Dentist For Your Child

byAlma Abell

It’s tough to get your children to the dentist, especially if they don’t like the dentist that they go to. It’s important to remember that just because you like the dentist that you go to does not mean that your children are going to like them as well. There are plenty of dentists out there who offer great service to adults but don’t exactly know how to handle children. It is like a fine balancing act when you are dealing with children at a dentist; while you want to give them the best cleaning and inspection possible, you also need to know how to properly treat them when they are in the chair as well. In addition, you need plenty of distractions to make sure that the child is able to stay still both when they are sitting in the waiting room, and when they are in the chair. With all of this in mind, you might need to ditch your regular dentist for your child and instead go with a professional in Childrens Dentistry that is going to be able to take on the job.

[youtube]http://www.youtube.com/watch?v=hwmEU9RO-8I[/youtube]

One of the most important things that you can do when it comes to your child is to get them in a comfortable environment right off when it comes to a dentist. This means having a waiting room that is full of things that they like to do. May it be coloring books or televisions with their favorite movies and television shows on them, you want them to be able to focus on something else rather than the appointment that is coming up in a couple of minutes.

When they do make it in for the appointment, you want a professional in children’s dentistry who has the perfect bedside manner for your child, and knows the best way to make them forget about the inspection and cleaning. If there is a television in site with more movies and TV shows, that is a great distraction as well. When you are looking for a child’s dentist, you want to take the time to find what Antoine Wakim D.D.S. can do for them. You can find out more info at Wakimdentistry.com.

US swimmer Phelps suspended over ‘pot pipe’

Friday, February 6, 2009

United States swimmer Michael Phelps has been banned from competition and his training stipend revoked for three months by USA Swimming after Phelps was photographed smoking from a glass pipe, often used for smoking cannabis. The picture was published last Sunday by British tabloid News of the World.

USA Swimming, which is the governing body of swimming in the United States, however said that no “anti-doping” rules had been violated.

“This is not a situation where any anti-doping rule was violated, but we decided to send a strong message to Michael because he disappointed so many people, particularly the hundreds of thousands of USA Swimming member kids who look up to him as a role model and a hero,” it stated. “Michael has voluntarily accepted this reprimand and has committed to earn back our trust.”

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The suspension will end in time for Phelps to train for the US Championships, which are to be held on the 7th of July.

Phelps has also lost sponsor Kellogg, who said that it would not renew its deal with the swimmer next month.

Phelps won a record eight gold medals at the 2008 Olympic Games in Beijing last year, and has since become one of the world’s most famous athletes.

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Anna Nicole Smith dies

Thursday, February 8, 2007

Anna Nicole Smith, who was born as Vickie Lynn Hogan, was found unconscious in the Seminole Hard Rock Hotel and Casino in Hollywood, Florida in her 6th floor hotel room. One of her attorneys has confirmed that she was pronounced dead at a hospital less than an hour later. She was 39.

Paramedics are reported to have performed CPR on the actress and had to have breathing equipment inserted into her chest after a nurse found her passed out in her hotel room and witnesses say that Smith was receiving CPR while the ambulance took her to the hospital around 2:00 p.m. [EST]. Smith’s bodyguard is reported to have given Smith “cardiopulmonary resuscitation” before paramedics arrived.

“I can confirm that she is deceased. It’s as shocking to me as to you guys. I don’t know what the cause was. This is just tragic and that’s all you can say right now and I don’t know anything further,” said one of Anna Nicole’s lawyers, Ron Rale.

Smith was taken by ambulance to Memorial Regional Hospital and “checked in Monday [to the hotel] at 8 p.m. as a guest. She was due to check out tomorrow,” said cafe spokeswoman, Danielle Giordaano.

“Our rescue crews got there, and they were escorted to a bedroom, where they found a female alone in her room and unresponsive. We then began our normal protocol for dealing with a non-breathing individual. The victim never regained consciousness and we continued with CPR and all life-support methods right up until the time we delivered her to the hospital and then the hospital takes over,” said a spokesman for the responding paramedics team. Smith was pronounced dead at the hospital at 2:49 p.m. [EST].

According to Broward County Medical Examiner’s Office investigator, Edwina Johnson, an autopsy will be performed on Smith on Friday and that her death is currently being investigated. Authorities are not yet treating her death as a crime.

One of Smith’s attorneys, Howard K. Stern, is reported to have been staying with Smith in her room, but authorities have yet to locate Mr. Stern. Mr. Stern is identified by TRIMSPA as Smith’s husband.

“He was here with her. I don’t know where he’s at right now,” said Charlie Tiger the chief of the Seminole Police Department also adding that Smith’s 5 month old baby was not with them.

Smith was a spokeswoman for the company TRIMSPA when she passed, and TrimSpa has removed all content from their site for now, shutting it down and posting only a message in response to her death.

“Today, Anna Nicole Smith’s grief stricken and tumultuous personal life came to an end. Anna came to our Company as a customer, but she departs it as a friend. While life for Anna Nicole was not easy these past few months, she held dear her husband, Howard K. Stern, her daughter, Dannielynn Hope, her most cherished friends, beloved dogs, and finally, her work with TRIMSPA. Anna knew both the joy of giving life, and the heartache of losing a child. We pray that she is granted the peace that eluded her more recent days on earth, and that she find comfort in the presence of her son, Daniel,” said the statement on TRIMSPA’s website posted by Alex Goen, CEO and Founder of TRIMSPA.

Smith was rushed to the hospital in November of 2006 after she was suffering from symptoms of pneumonia. Smith’s son, Daniel Smith, died on September 10, 2006 shortly after Anna gave birth to a baby girl 5 months ago.

Smith was shopping for a new boat in Florida and reports say she felt ill and had a fever for at least a day.

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Market maker Bernard L. Madoff arrested in $50B ‘giant Ponzi scheme’

 Correction — January 10, 2009 This article incorrectly states that Mr Madoff attended Hofstra University Law School. His education was actually with Hofstra College, which he graduated from in 1960. 

Friday, December 12, 2008

Top broker and Wall Street adviser Bernard L. Madoff, aged 70, was arrested and charged by the FBI on Thursday with a single count of securities fraud, also known as stock fraud and investment fraud. He allegedly told senior employees of his firm on Wednesday that his $50 billion business “is all just one big lie” and that it was “basically, a giant Ponzi scheme (since at least 2005).” Mr. Madoff faces up to 20 years imprisonment and a fine of up to $5 million. FBI agent Theodore Cacioppi said Mr. Madoff’s investment advisory business had “deceived investors by operating a securities business in which he traded and lost investor money, and then paid certain investors purported returns on investment with the principal received from other, different investors, which resulted in investors’ losses of approximately $50 billion dollars.”

The former chairman of the Nasdaq Stock Market is also the founder and primary owner of Bernard L. Madoff Investment Securities LLC, the closely-held market-making firm he launched in 1960. The firm is one of the top market maker firms on Wall Street. He founded his family firm with an initial investment of $5,000, after attending Hofstra University Law School. He saved the money earned from a job lifeguarding at Rockaway Beach in Queens and a part time job installing underground sprinkler systems.

A force in Wall Street trading for nearly 50 years, he has been active in the National Association of Securities Dealers (NASD), a self-regulatory organization for the U.S. securities industry. His firm was one of the five most active firms in the development of the NASDAQ, having been known for “paying for order flow,” in other word paying a broker to execute a customer’s order through Madoff. He argued that the payment to the broker did not alter the price that the customer received. He ran the investment advisory as a secretive business, however.

Dan Horwitz, counsel of Mr. Madoff, in an interview, said that “he is a longstanding leader in the financial-services industry with an unblemished record; he is a person of integrity; he intends to fight to get through this unfortunate event.” Mr. Madoff was released on his own recognizance on the same day of his arrest, after his 2 sons turned him in, and posting $10 million bail secured by his Manhattan apartment. Without entering any plea, the Court set the preliminary hearing for January 12.

Madoff’s hedge fund scheme may rank among the biggest fraud in history. When former energy trading giant Enron filed for bankruptcy in 2001, one of the largest at the time, it had $63.4 billion in assets. The scheme would dwarf past Ponzis, and it would further be nearly five times the telecommunication company WorldCom fraud and bankruptcy proceedings in 2002.

The Securities and Exchange Commission filed a separate civil suit on Thursday against Bernard L. Madoff Investment Securities and its eponymous founder Mr. Madoff. It was docketed as “U.S. v. Madoff,” 08-MAG-02735, by the U.S. District Court for the Southern District of New York (Manhattan). SEC, New York associate director of enforcement, Andrew M. Calamari, asked the judge to issue seizure orders on the firm and its assets, and appoint a receiver. The SEC pleads, among others, that “it was an ongoing $50 billion swindle; our complaint alleges a stunning fraud that appears to be of epic proportions.” It further accused the defendant of “paying returns to certain investors out of the principal received from other, different investors” for years. Madoff’s hedge fund business had previously claimed to have served between 11 and 25 clients and had $17.1 billion in assets under management. But virtually all of the assets were missing.

United States District Court for the Southern District of New York Louis L. Stanton on Thursday appointed Lee Richards, a Manhattan lawyer, as the firm’s receiver. A hearing is set for Friday, for a ruling on the SEC’s petition to grant plenary powers to the receiver over the entire firm, and an absolute asset sequestration.

Doug Kass, president of hedge fund Seabreeze Partners Management said that “this is a major blow to confidence that is already shattered — anyone on the fence will probably try to take their money out.”

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