November 1, 2002

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World & Nation

1, 2002

NEWS BRIEFS

Louisiana murder linked to sniper slayings

Authorities charged sniper suspects John Muhammed and John Malvo Thursday with the fatal Sept. 23 shooting of a Louisiana beauty shop worker and said they had definitively linked the two men to an Alabama killing two days earlier. •

Sharon appoints new defense minister

Israeli Prime Minister Ariel Sharon recruited Shaul Mofaz as his defense minister Thursday, a former army chief of staff who advocated aggressive measures against Palestinians. •

NASA faces future staffing problem at ISS

NASA may be unable to staff the International Space Station between 2006 and 2010 because it has fallen behind on the development of a “lifeboat” to ferry astronauts from the orbital base in an emergency. •

Smallpox study engenders concern

Researchers have proposed to begin the first studies of the effects of a risky smallpox vaccine on toddlers and preschoolers, raising questions about safety and ethics posed by the government •

Study finds meeting energy needs difficult

A research effort as intense as the Manhattan Project will be required if officials are to meet the world’s rising energy needs in ways that do not worsen global warming, a team of scientists has found. News briefs compiled from wire reports.

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The Chronicle

Former Enron executive charged Counts involve wire transfers totaling $4 million, obstruction of justice By MARY FLOOD and MICHAEL HEDGES Houston Chronicle

HOUSTON Andrew Fastow, who prosecutors say enriched himself while devising the schemes that obscured Enron’s shaky finances, was indicted Thursday on 78 counts of fraud, money laundering and other felonies. The indictment echoed the broader charges originally filed against Fastow Oct. 2, but added one count of obstruction of justice. “We will use every appropriate measure to recover the ill-gotten gains of these corporate schemers. Justice demands it,” said Deputy Attorney General Larry Thompson, head of President George W. Bush’s

Corporate Fraud Task Force. But Fastow’s lead attorney, San Francisco-based John Keker, countered, “These charges are full ofsound and fury, but the truth about Enron has yet to be told. When that truth is told to a jury of 12 honest Americans Andy Fastow will be set free.” Fastow was not in court Thursday, but is scheduled to appear Wednesday and enter a plea, most likely of not guilty. His case was assigned to U.S. District Judge Kenneth Hoyt. Enron Task Force prosecutor Andrew Weissmann said Thursday that Fastow is still not cooperating with the investigation, but suggested that could change when he weighs the details ofthe indictment and a possible

lengthy prison term. Legal experts have said Fastow’s biggest incentive to cooperate would be the possible involvement of his wife, Lea, who received some of . the funds prosecutors have said are proceeds of criminal acts. Also, she cannot claim to lack financial expertise because she earned an MBA at Northwestern University and rose to become assistant treasurer at Enron before departing in 1997. The new charge of obstruction of justice is an allegation that Fastow sought to cover up Enron-related crimes beginning in August of 2001, before the full extent of the company’s problems were widely known. See FASTOW on page 9

Earthquake in south Italy kills at least 15 The yellow schoolhouse in San Giuliano di Puglia collapsed entirely on itself, as 56 children and their teach-

By PETER MAYER The Associated Press

SAN GIULIANO DI PUGLIA, Italy An earthquake jolted south-central Italy Thursday, sending a nursery school roof crashing down on a class of preschoolers during a lunchtime Halloween party. At least 13 children in the school and two women in nearby homes were killed. Driven on by faint voices coming from the rubble, frantic rescuers worked into the night to save more than a dozen children who remained trapped after the 5.4 magnitude quake struck the Molise region, shaking the town of Campobasso and surrounding villages northeast ofNaples. San Giuliano di Puglia, a village of 1,195 people, was the hardest hit, with several buildings damaged. The ANSA news agency said 3,000 people in the region were left homeless, unable or unwilling to sleep in their damaged homes.

ers celebrated Halloween.

Anguished parents kept a vigil outside the wreckage, bundled in blankets to guard against the evening chill, with temperatures around 52 degrees. So far, 26 children and three teachers have been rescued. Italian news reports said more than a dozen children and one adult remained in the rubble 12 hours after the quake struck. The bodies of 13 children and two adults were being housed in a makeshift morgue at the town’s sports center, where family members came to identify the dead, officials outside the center said. See EARTHQUAKE on page 10

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