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Submission + - House Subcommittee Holds Hearing on TSA's 'Scanner Shuffle' (

OverTheGeicoE writes: The Homeland Security Subcommittee on Transportation Security held a hearing on TSA's recent decision to move X-ray body scanners from major airports to smaller ones, which the subcommitte refers to as a 'Scanner Shuffle.' John Sanders, TSA's assistant administrator for security capabilities, testified that 91 scanners recently removed from major airports were now in storage due to 'privacy concerns.' Although TSA originally planned to relocate the scanners to smaller airports, those plans have been shelved because smaller airports don't have room for them. The subcommittee is also investigating allegations that the machines' manufacturer, Rapiscan, 'may have falsified tests of software intended to stop the machines from recording graphic images of travelers' (VIDEO). Coincidentally, shares of Rapiscan's parent company, OSI Systems Inc., dropped in value almost 25% today, its biggest intraday decline in about 12 years. If wrongdoing is proven, Rapiscan could face fines, prison terms and a ban on government contracting, according to a former head of federal procurement.
United States

Submission + - Full Tilt Poker a Ponzi Scheme? (

OverTheGeicoE writes: The US Government's battle against online poker is escalating. The US Justice Department on Tuesday accused poker celebrities Howard 'The Professor' Lederer and Christopher 'Jesus' Ferguson and other executives of Full Tilt Poker of defrauding poker players out of more than $300 million. Their Web site was allegedly a Ponzi scheme: 'the government alleges Full Tilt executives misrepresented to the website's players that the money the company was supposed to be holding in player accounts was safely held when it was actually being used for other purposes, including owner profits.'

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