Some new information on the prosecution of Aaron Swartz...

CNET News:

State prosecutors who investigated the late Aaron Swartz had planned to let him off with a stern warning, but federal prosecutor Carmen Ortiz took over and chose to make an example of the Internet activist, according to a report in Massachusetts Lawyers Weekly.

Middlesex County's district attorney had planned no jail time, "with Swartz duly admonished and then returned to civil society to continue his pioneering electronic work in a less legally questionable manner," the report (alternate link) said. "Tragedy intervened when Ortiz's office took over the case to send 'a message.'"
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The Massachusetts Lawyers Weekly report was written by Harvey Silverglate, a prominent Cambridge criminal defense lawyer whose clients have included Michael Milken and Leona Helmsley. Silverglate, the author of Three Felonies A Day: How the Feds Target the Innocent, is of counsel to the firm that initially represented Swartz in his attempts to defend himself against 13 felony charges brought by Ortiz's office. Those charges carried a maximum penalty of 50 years in prison.

Silverglate told CNET today that:

"Continuance without a finding" was the anticipated disposition of the case were the charge to remain in state court, with the Middlesex County District Attorney to prosecute it. Under such a disposition, the charge is held in abeyance ("continued") without any verdict ("without a finding"). The defendant is on probation for a period of a few months up to maybe a couple of years at the most; if the defendant does not get into further legal trouble, the charge is dismissed, and the defendant has no criminal record. This is what the lawyers expected to happen when Swartz was arrested for "trespassing at MIT." But then the feds took over the case, and the rest is tragic history.

Be sure to also read the mention of the efforts by Ortiz to seize a family-owned motel, that failed -- thankfully -- and the stinging rebuke she received from the judge in the case. The case screams "Abuse of power!"

Up with Chris Hayes talked about the ongoing legacy of Aaron Swartz on Saturday:

Hacktivists claiming to be from the group Anonymous threatened early Saturday to release sensitive information about the U.S. Department of Justice as a response to the prosecution and death of Aaron Swartz.

They claimed to have one such file on multiple servers ready for immediate release.

The hacktivist collective had previously knocked the DOJ and MIT's websites offline as a form of "tribute" to Aaron.

The website of the U.S. government agency responsible for federal sentencing guidelines was hijacked, and a message demanding the United States reform its justice system or face incriminating leaks to select news outlets:

Two weeks ago today, a line was crossed. Two weeks ago today, Aaron Swartz was killed. Killed because he faced an impossible choice. Killed because he was forced into playing a game he could not win — a twisted and distorted perversion of justice — a game where the only winning move was not to play.

Anonymous immediately convened an emergency council to discuss our response to this tragedy. After much heavy-hearted discussion, the decision was upheld to engage the United States Department of Justice and its associated executive branches in a game of a similar nature, a game in which the only winning move is not to play.

The "game" mentioned in the video involves releasing a file ("warhead") containing sensitive information about the Justice Department. Anonymous isn't saying just what the information is:

The contents are various and we won't ruin the speculation by revealing them. Suffice it to say, everyone has secrets, and some things are not meant to be public. At a regular interval commencing today, we will choose one media outlet and supply them with heavily redacted partial contents of the file. Any media outlets wishing to be eligible for this program must include within their reporting a means of secure communications.

The hacked site also contained links to "warheads" each named after one of the Supreme Court justices, and each linked to a website containing a "503 service unavailable" error message.

The U.S. Sentencing Commission took its website down for several hours before restoring it later Saturday, although it still didn't seem to be quite fully functional at last check.

A full transcript of Anonymous' message after the jump.

Continue reading »

Rep. Zoe Lofgren (D-CA) introduced “Aaron’s Law” on Tuesday night, announcing it via the user-generated site Reddit. The piece of legislation would modify the the Computer Fraud and Abuse Act to exclude terms of service violations. “There’s no way to reverse the tragedy of Aaron’s death, but we can work to prevent a repeat of the abuses of power he experienced,” Lofgren wrote. “The government was able to bring such disproportionate charges against Aaron because of the broad scope of the Computer Fraud and Abuse Act (CFAA) and the wire fraud statute.” Read the full bill here.

Meanwhile, The Hill reports that federal prosecutors came under fire yesterday by lawmakers for their "ridiculous and trumped-up" charges against Aaron Swartz:

“The charges were ridiculous and trumped-up,” Rep. Jared Polis (D-Colo.) told The Hill. “It's absurd that he was made a scapegoat. I would hope that this doesn't happen to anyone else.”

Polis called Swartz — a co-creator of Reddit who was accused of stealing articles from a computer archive at the Massachusetts Institute of Technology — a "martyr" for why Congress should limit the discretion of prosecutors.

Rep. Zoe Lofgren (D-Calif.) said the government's handling of the case was “pretty outrageous.”

“Based on what I know, I think the Department of Justice was way out of line on the case,” she told The Hill.

Rep. Darrell Issa (R-Calif.) has said that his Oversight panel will take a look at the case to determine if the federal prosecutors acted inappropriately:

Issa expressed sympathy with some of Swartz’s goals. While “cybercrime and hacking has to be taken seriously,” he said, Congress should take up Swartz's cause of making more information freely available to the public.

“We're looking at the real question of open government,” Issa said. “Has the government or even MIT been holding back materials that the public has a right to know?”

Issa said he wanted to make sure “that what is paid for is as widely available as possible to the American people.”

Many materials on JSTOR are funded by public universities or government research grants. Subscriptions to JSTOR cost thousands of dollars.

He also said “whether or not there was excessive prosecution is something we’ll look at.”

All three lawmakers -- Issa, Polis, and Lofgren -- serve on the House Judiciary Committee, which has jurisdiction over the Justice Department. They also worked with Swartz and his group "Demand Progress" in 2012 to defeat online piracy legislation that was backed by the entertainment industry.

Aaron Swartz keynote - "How we stopped SOPA" at F2C:Freedom to Connect 2012, Washington DC on May 21 2012.

The websites of the U.S. Department of Justice and the Massachusetts Institute of Technology (MIT) were knocked offline on Sunday, and the work is being attributed to the hacktivist collective, Anonymous.

DOJ.gov and MIT.edu were both back online Monday morning.

The action was taken as a tribute to the late Aaron Swartz, a co-founder of the site Reddit.com and at the age of 14, co-developed the RSS web protocol that is the key component of much of the internet's publishing infrastructure.

In another tribute, hundreds of academics worldwide have begun tweeting links to their copyright-protected research in Swartz's honor, using the hastag #pdftribute. Links from Twitter posts with the hashtag are being collected at Pdftribute.net. The links appear to be to academic papers.

In a statement about his death, Aaron’s family and partner wrote in part:

"Aaron’s insatiable curiosity, creativity, and brilliance; his reflexive empathy and capacity for selfless, boundless love; his refusal to accept injustice as inevitable—these gifts made the world, and our lives, far brighter. We’re grateful for our time with him, to those who loved him and stood with him, and to all of those who continue his work for a better world..."

"Aaron’s death is not simply a personal tragedy. It is the product of a criminal justice system rife with intimidation and prosecutorial overreach. Decisions made by officials in the Massachusetts U.S. Attorney’s office and at MIT contributed to his death...Today, we grieve for the extraordinary and irreplaceable man that we have lost.”

Aaron’s funeral will be held at 10 a.m. on Tuesday, January 15th at Central Avenue Synagogue, 874 Central Avenue, Highland Park, Illinois 60035. Announcements about memorial services in other cities will be posted here in coming weeks.

If you ever have thoughts of suicide please speak to someone, in the USA call 1-800-273-8255 or find numbers for your country here.

Brought to you by hip-hop superproducer Pharrell Williams, i am OTHER is a new channel and cultural movement dedicated to Thinkers, Innovators and Outcasts. Programs explore the pursuit of individuality, the defiance of expectations and the arrival of a new class of visionaries.

In this short film, "Voice of Art - The Tax Dodgers Part I," Gan Golan, street theater artist and co-author of best-sellers "Goodnight Bush" and "The Adventures of Unemployed Man," leads a mock baseball team called "The Tax Dodgers." Golan's guerrilla art tactics developed through his student-activist years at MIT, battling the World Trade Organization in Cancun, Mexico, and eventually taking on powerful corporations alongside Occupy Wall Street.

JPMorgan Chase has disclosed $2 billion in lossesfrom a trading group’s credit investments, causing the bank’s share price to plummet in after-hours trading.

Via:

Jamie Dimon, the chief executive of JPMorgan, blamed “errors, sloppiness and bad judgment” for the loss, which stemmed from a hedging strategy that backfired.

The trading in that hedge roiled markets a month ago, when rumors started circulating of a JPMorgan trader in London whose bets were so big that he was nicknamed “the London Whale” and “Voldemort,” after the Harry Potter villain.

The losses are expected to take a toll on the bank’s larger earnings, with the corporate group expected to lose $800 million in the second quarter, the company said today in its quarterly securities filings. JPMorgan had previously estimated that it would report a net income of roughly $200 million. The final report will depend on if the company can recover, though Dimon said things could “easily get worse.”

Via:

Given Dimon’s resistance to the ban and new regulations, “he’s got a lot of egg on his face right now,” said Craig Pirrong, a finance professor at the University of Houston. “Any chance they had of getting a relative loosening of Volcker rule, anything of that nature, that’s out the window.”
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“It’s classic Wall Street hubris, which we’ve seen so many times before,” said Simon Johnson, a former chief economist at the International Monetary Fund who now teaches at the Massachusetts Institute of Technology. “What’s particularly ironic here is that Jamie presents himself, and is believed by others to be, the king of risk management.”

In an emailed correspondence, Senator Carl Levin, D-Mich., chairman of the Senate Permanent Subcommittee on Investigations and co-author of the Merkley-Levin language establishing the Volcker Rule, issued the following statement Thursday in reaction to news that JP Morgan had suffered a $2 billion trading loss:

“The enormous loss JP Morgan announced today is just the latest evidence that what banks call ‘hedges’ are often risky bets that so-called ‘too big to fail’ banks have no business making. Today’s announcement is a stark reminder of the need for regulators to establish tough, effective standards to implement the Merkley-Levin language to protect taxpayers from having to cover such high-risk bets.”