Finmeccanica ex-CEO denies knowing kin of former air chief

NEW DELHI: Former Finmeccanica CEO Giuseppe Orsi has denied knowing the family of Air Chief Marshal S P Tyagi in the ongoing investigations in Italy into the alleged payment of kickbacks of Rs 362 for supplying 12 VVIP choppers to India.

Orsi was arrested earlier this week by the Italian investigators in connection with the Rs 3,600 crore deal. Appearing before an Italian magistrate there, Orsi said "three Nos" to queries about any mandate to the Swiss-American Guido Hashcke for "any type of manoeuvre" for the Indian operations, knowing the Tyagi family and about adopting "illegal manoeuvres for the deal", Orsi's lawyer Ennio Amodio was quoted as saying by Italian news agency ANSA.

Haschke has been alleged to be one of the middlemen acting on behalf of Orsi for swinging the deal in favour of AgustaWestland. Amodio said Haschke's statement about Orsi's role in the deal "may have been inspired by someone" as he has "radically changed compared to the initial version". Orsi's lawyer also denied that his client had in any way tried to pressurize the Italian court looking into the matter and getting the prosecutor changed.

Orsi resigned on Friday as the chairman and director of the firm. India has already initiated steps to cancel the helicopter deal and issued a show cause notice. pti

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UN warns risk of hepatitis E in S. Sudan grows

GENEVA (AP) — The United Nations says an outbreak of hepatitis E has killed 111 refugees in camps in South Sudan since July, and has become endemic in the region.

U.N. refugee agency spokesman Adrian Edwards says the influx of people to the camps from neighboring Sudan is believed to be one of the factors in the rapid spread of the contagious, life-threatening inflammatory viral disease of the liver.

Edwards said Friday that the camps have been hit by 6,017 cases of hepatitis E, which is spread through contaminated food and water.

He says the largest number of cases and suspected cases is in the Yusuf Batil camp in Upper Nile state, which houses 37,229 refugees fleeing fighting between rebels and the Sudanese government.

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Meteor Blast 'Something We Only Saw in Movies'

A day after a massive meteor exploded over this city in central Russia, a monumental cleanup effort is under way.

Authorities have deployed around 24,000 troops and emergencies responders to help in the effort.

Officials say more than a million square feet of windows -- the size of about 20 football fields -- were shattered by the shockwave from the meteor's blast. Around 4,000 buildings in the area were damaged.

The injury toll climbed steadily on Friday. Authorities said today it now stands at more than 1,200. Most of those injuries were from broken glass, and only a few hundred required hospitalization.

According to NASA, this was the biggest meteor to hit Earth in more than a century. Preliminary figures suggest it was 50 feet wide and weighed more than the Eiffel Tower.

SEE PHOTOS: Meteorite Crashes in Russia

NASA scientists have also estimated the force of the blast that occurred when the meteor fractured upon entering Earth's atmosphere was approximately 470 kilotons -- the equivalent of about 30 Hiroshima bombs.

Residents said today they still can't believe it happened here.

"It was something we only saw in the movies," one university student said. "We never thought we would see it ourselves."

Throughout the city, the streets are littered with broken glass. Local officials have announced an ambitious pledge to replace all the broken windows within a week. In the early morning hours, however, workers could still be heard drilling new windows into place.

Authorities have sent divers into a frozen lake outside the city, where a large chunk of the meteor is believed to have landed, creating a large hole in the ice. By the end of the day they had not found anything.

They are not the only ones looking for it.

Meteor hunters from around the world are salivating at what some are calling the opportunity of a lifetime. A small piece of the meteor could fetch thousands of dollars and larger chunks could bring in even hundreds of thousands.

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Exclusive: North Korea tells China of preparations for fresh nuclear test - source

BEIJING (Reuters) - North Korea has told its key ally, China, that it is prepared to stage one or even two more nuclear tests this year in an effort to force the United States into diplomatic talks, said a source with direct knowledge of the message.

Further tests could also be accompanied this year by another rocket launch, said the source, who has direct access to the top levels of government in both Beijing and Pyongyang.

North Korea conducted its third nuclear test on Tuesday, drawing global condemnation and a stern warning from the United States that it was a threat and a provocation.

"It's all ready. A fourth and fifth nuclear test and a rocket launch could be conducted soon, possibly this year," the source said, adding that the fourth nuclear test would be much larger than the third, at an equivalent of 10 kilotons of TNT.

The tests will be undertaken, the source said, unless Washington holds talks with North Korea and abandons its policy of what Pyongyang sees as attempts at regime change.

North Korea also reiterated its long-standing desire for the United States to sign a final peace agreement with it and establish diplomatic relations, he said. North Korea remains technically at war with both the United States and South Korea after the Korean war ended in 1953 with a truce.

In Washington, U.S. State Department spokeswoman Victoria Nuland urged North Korea to "refrain from additional provocative actions that would violate its international obligations" under three different sets of U.N. Security Council resolutions that prohibit nuclear and missile tests.

North Korea "is not going to achieve anything in terms of the health, welfare, safety, future of its own people by these kinds of continued provocative actions. It's just going to lead to more isolation," Nuland told reporters.

The Pentagon also weighed in, calling North Korea's missile and nuclear programs "a threat to U.S. national security and to international peace and security."

"The United States remains vigilant in the face of North Korean provocations and steadfast in our defense commitments to allies in the region," said Pentagon spokeswoman Major Catherine Wilkinson.

Initial estimates of this week's test from South Korea's military put its yield at the equivalent of 6-7 kilotons, although a final assessment of yield and what material was used in the explosion may be weeks away.

North Korea's latest test, its third since 2006, prompted warnings from Washington and others that more sanctions would be imposed on the isolated state. The U.N. Security Council has only just tightened sanctions on Pyongyang after it launched a long-range rocket in December.

Pyongyang is banned under U.N. sanctions from developing missile or nuclear technology after its 2006 and 2009 nuclear tests.

North Korea worked to ready its nuclear test site, about 100 km (60 miles) from its border with China, throughout last year, according to commercially available satellite imagery. The images show that it may have already prepared for at least one more test, beyond Tuesday's subterranean explosion.

"Based on satellite imagery that showed there were the same activities in two tunnels, they have one tunnel left after the latest test," said Kune Y. Suh, a nuclear engineering professor at Seoul National University in South Korea.

Analysis of satellite imagery released on Friday by specialist North Korea website 38North showed activity at a rocket site that appeared to indicate it was being prepared for a launch (http://38north.org/2013/02/tonghae021413/).

NORTH 'NOT AFRAID' OF SANCTIONS

President Barack Obama pledged after this week's nuclear test "to lead the world in taking firm action in response to these threats" and diplomats at the U.N. Security Council have already started discussing potential new sanctions.

North Korea has said the test was a reaction to "U.S. hostility" following its December rocket launch. Critics say the rocket launch was aimed at developing technology for an intercontinental ballistic missile.

"(North) Korea is not afraid of (further) sanctions," the source said. "It is confident agricultural and economic reforms will boost grain harvests this year, reducing its food reliance on China."

North Korea's isolated and small economy has few links with the outside world apart from China, its major trading partner and sole influential diplomatic ally.

China signed up for international sanctions against North Korea after the 2006 and 2009 nuclear tests and for a U.N. Security Council resolution passed in January to condemn the latest rocket launch. However, Beijing has stopped short of abandoning all support for Pyongyang.

Sanctions have so far not discouraged North Korea from pursuing its nuclear ambitions.

"It is like watching the same movie over and over again," said Lee Woo-young, a professor at Seoul's University of North Korean Studies. "The idea that stronger sanctions make North Korea stop developing nuclear programs isn't effective in my view."

The source with ties to Beijing and Pyongyang said China would again support U.N. sanctions. He declined to comment on what level of sanctions Beijing would be willing to endorse.

"When China supported U.N. sanctions ... (North) Korea angrily called China a puppet of the United States," he said. "There will be new sanctions which will be harsh. China is likely to agree to it," he said, without elaborating.

He said however that Beijing would not cut food and fuel supplies to North Korea, a measure it reportedly took after a previous nuclear test.

He said North Korea's actions were a distraction for China's leadership, which was concerned that the escalations could inflame public opinion in China and hasten military build-ups in the region.

The source said he saw little room for compromise under North Korea's youthful new leader, Kim Jong-un. The third Kim to rule North Korea is just 30 years old and took over from his father in December 2011.

He appears to have followed his father, Kim Jong-il, in the "military first" strategy that has pushed North Korea ever closer to a workable nuclear missile at the expense of economic development.

"He is much tougher than his father," the source said.

(Additional reporting by Arshad Mohammed and Phillip Stewart in WASHINGTON; Writing by David Chance; Editing by Raju Gopalakrishnan, David Brunnstrom and Jackie Frank)

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Mexico to slaughter 486,000 chickens over bird flu

CELAYA, Mexico: Mexico will slaughter 486,000 chickens after an outbreak of bird flu was detected in the central state of Guanajuato, officials said Friday.

Poultry producer Bachoco reported a possible case of H7N3 influenza in five breeder farms late Wednesday, which agriculture ministry officials confirmed on Friday.

Authorities launched preventive measures, testing nearby farms to check if the outbreak had spread elsewhere.

Last year, a bird flu outbreak in the western state of Jalisco forced farmers to slaughter 22 million hens, sparking an egg crisis in Mexico, the world's top consumer of eggs per capita.

- AFP/fa

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Police nab Suryanelli absconder Dharmarajan

KOTTAYAM: Dharmarajan, the absconding convict in the Suryanelli sex scandal, over which Rajya Sabha deputy chairman P J Kurien is facing the heat, was arrested on Friday by Kerala police from a hotel at Sagar in Karnataka.

The third accused in the 17-year-old case, Dharmarajan, a former lawyer, was arrested by a five-member special team of Kerala police, said C Rajagopal, superintendent of police, Kottayam. The accused will be presented before the Kottayam special court on Saturday.

Dharmarajan's hideout was located around 11am on Friday by tracking signals from his cellphone. At the time of arrest, Dharmarajan was found with his head tonsured and wearing a cap. He told the police that he stood by whatever he had said about the case so far. The phone he was using was in the name of Sasikumar of Chickmagalur.

Dharmarajan had told a television channel from an undisclosed location a few days ago that P J Kurien was involved in the case as charged by the victim. Thereafter, the special court here had issued a warrant to arrest him. This is the second time that Dharmarajan is being arrested in the case. The police first arrested him in 2000 from a village in Udupi district, where he was working in a rock quarry.

In 2002, the special court awarded life term to all the accused in the case, including Dharmarajan. In 2005, the high court set aside this verdict and freed all the accused, except Dharmarajan. However, his life term was reduced to five years. He was out on bail in April 2005 and was to report back on May 20. Since then he was absconding.

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States' choices set up national health experiment

WASHINGTON (AP) — President Barack Obama's health care overhaul is unfolding as a national experiment with American consumers as the guinea pigs: Who will do a better job getting uninsured people covered, the states or the feds?

The nation is about evenly split between states that decided by Friday's deadline they want a say in running new insurance markets and states that are defaulting to federal control because they don't want to participate in "Obamacare." That choice was left to state governments under the law: Establish the market or Washington will.

With some exceptions, states led by Democrats opted to set up their own markets, called exchanges, and Republican-led states declined.

Only months from the official launch, exchanges are supposed to make the mind-boggling task of buying health insurance more like shopping on Amazon.com or Travelocity. Millions of people who don't have employer coverage will flock to the new markets. Middle-class consumers will be able to buy private insurance, with government help to pay the premiums in most cases. Low-income people will be steered to safety net programs like Medicaid.

"It's an experiment between the feds and the states, and among the states themselves," said Robert Krughoff, president of Consumers' Checkbook, a nonprofit ratings group that has devised an online tool used by many federal workers to pick their health plans. Krughoff is skeptical that either the feds or the states have solved the technological challenge of making the purchase of health insurance as easy as selecting a travel-and-hotel package.

Whether or not the bugs get worked out, consumers will be able to start signing up Oct. 1 for coverage that takes effect Jan. 1. That's also when two other major provisions of the law kick in: the mandate that almost all Americans carry health insurance, and the rule that says insurers can no longer turn away people in poor health.

Barring last-minute switches that may not be revealed until next week, 23 states plus Washington, D.C., have opted to run their own markets or partner with the Obama administration to do so.

Twenty-six states are defaulting to the feds. But in several of those, Republican governors are trying to carve out some kind of role by negotiating with federal Health and Human Services Secretary Kathleen Sebelius. Utah's status is unclear. It received initial federal approval to run its own market, but appears to be reconsidering.

"It's healthy for the states to have various choices," said Ben Nelson, CEO of the National Association of Insurance Commissioners. "And there's no barrier to taking somebody else's ideas and making them work in your situation." A former U.S. senator from Nebraska, Nelson was one of several conservative Democrats who provided crucial votes to pass the overhaul.

States setting up their own exchanges are already taking different paths. Some will operate their markets much like major employers run their health plans, as "active purchasers" offering a limited choice of insurance carriers to drive better bargains. Others will open their markets to all insurers that meet basic standards, and let consumers decide.

Obama's Affordable Care Act remains politically divisive, but state insurance exchanges enjoy broad public support. Setting up a new market was central to former Republican presidential candidate Mitt Romney's health care overhaul as governor of Massachusetts. There, it's known as the Health Connector.

A recent AP poll found that Americans prefer to have states run the new markets by 63 percent to 32 percent. Among conservatives the margin was nearly 4-1 in favor of state control. But with some exceptions, including Idaho, Nevada and New Mexico, Republican-led states are maintaining a hands-off posture, meaning the federal government will step in.

"There is a sense of irony that it's the more conservative states" yielding to federal control, said Sandy Praeger, the Republican insurance commissioner in Kansas, a state declining to run its own exchange. First, she said, the law's opponents "put their money on the Supreme Court, then on the election. Now that it's a reality, we may see some movement."

They're not budging in Austin. "Texas is not interested in being a subcontractor to Obamacare," said Lucy Nashed, spokeswoman for Gov. Rick Perry, who remains opposed to mandates in the law.

In Kansas, Praeger supported a state-run exchange, but lost the political struggle to Gov. Sam Brownback. She says Kansans will be closely watching what happens in neighboring Colorado, where the state will run the market. She doubts that consumers in her state would relish dealing with a call center on the other side of the country. The federal exchange may have some local window-dressing but it's expected to function as a national program.

Christine Ferguson, director of the Rhode Island Health Benefits Exchange, says she expects to see a big shift to state control in the next few years. "Many of the states have just run out of time for a variety of reasons," said Ferguson. "I'd be surprised if in the longer run every state didn't want to have its own approach."

In some ways, the federal government has a head start on the states. It already operates the Medicare Plan Finder for health insurance and prescription plans that serve seniors, and the Federal Employees Health Benefits Program. Both have many of the features of the new insurance markets.

Administration officials are keeping mum about what the new federal exchange will look like, except that it will open on time and people in all 50 states will have the coverage they're entitled to by law.

Joel Ario, who oversaw planning for the health exchanges in the Obama administration, says "there's a rich dialogue going on" as to what the online shopping experience should look like. "To create a website like Amazon is a very complicated exercise," said Ario, now a consultant with Manatt Health Solutions.

He thinks consumers should be able to get one dollar figure for each plan that totals up all their expected costs for the year, including premiums, deductibles and copayments. Otherwise, scrolling through pages of insurance jargon online will be a sure turn-off.

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Carnival Cruise Ship Hit With First Lawsuit

The first lawsuit against Carnival Cruise Lines has been filed and it is expected to be the beginning of a wave of lawsuits against the ship's owners.

Cassie Terry, 25, of Brazoria County, Texas, filed a lawsuit today in Miami federal court, calling the disabled Triumph cruise ship "a floating hell."

"Plaintiff was forced to endure unbearable and horrendous odors on the filthy and disabled vessel, and wade through human feces in order to reach food lines where the wait was counted in hours, only to receive rations of spoiled food," according to the lawsuit, obtained by ABCNews.com. "Plaintiff was forced to subsist for days in a floating toilet, a floating Petri dish, a floating hell."

Click Here for Photos of the Stranded Ship at Sea

The filing also said that during the "horrifying and excruciating tow back to the United States," the ship tilted several times "causing human waste to spill out of non-functioning toilets, flood across the vessel's floors and halls, and drip down the vessel's walls."

Terry's attorney Brent Allison told ABCNews.com that Terry knew she wanted to sue before she even got off the boat. When she was able to reach her husband, she told her husband and he contacted the attorneys.

Allison said Terry is thankful to be home with her husband, but is not feeling well and is going to a doctor.

Carnival's Triumph Passengers: 'We Were Homeless' Watch Video

Girl Disembarks Cruise Ship, Kisses the Ground Watch Video

Carnival Cruise Ship Passengers Line Up for Food Watch Video

"She's nauseated and actually has a fever," Allison said.

Terry is suing for breach of maritime contract, negligence, negligent misrepresentation and fraud as a result of the "unseaworthy, unsafe, unsanitary, and generally despicable conditions" on the crippled cruise ship.

"Plaintiff feared for her life and safety, under constant threat of contracting serious illness by the raw sewage filling the vessel, and suffering actual or some bodily injury," the lawsuit says.

Despite having their feet back on solid ground and making their way home, many passengers from the cruise ship are still fuming over their five days of squalor on the stricken ship and the cruise ship company is likely to be hit with a wave of lawsuits.

"I think people are going to file suits and rightly so," maritime trial attorney John Hickey told ABCNews.com. "I think, frankly, that the conduct of Carnival has been outrageous from the get-go."

Hickey, a Miami-based attorney, said his firm has already received "quite a few" inquiries from passengers who just got off the ship early this morning.

"What you have here is a) negligence on the part of Carnival and b) you have them, the passengers, being exposed to the risk of actual physical injury," Hickey said.

The attorney said that whether passengers can recover monetary compensation will depend on maritime law and the 15-pages of legal "gobbledygook," as Hickey described it, that passengers signed before boarding, but "nobody really agrees to."

One of the ticket conditions is that class action lawsuits are not allowed, but Hickey said there is a possibility that could be voided when all the conditions of the situation are taken into account.

One of the passengers already thinking about legal action is Tammy Hilley, a mother of two, who was on a girl's getaway with her two friends when a fire in the ship's engine room disabled the vessel's propulsion system and knocked out most of its power.

"I think that's a direction that our families will talk about, consider and see what's right for us," Hilley told "Good Morning America" when asked if she would be seeking legal action.

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Key U.S. general backs keeping Afghan forces at peak strength

WASHINGTON (Reuters) - The U.S. general nominated to oversee a vast region that includes Afghanistan on Thursday backed keeping Afghan forces at a peak strength of 352,000, contrary to current plans to shrink them after NATO declares the war over next year.

General Lloyd Austin, nominated to lead the U.S. military's Central Command, said at his Senate confirmation hearing that a more robust Afghan force, while more costly, would "hedge against any Taliban mischief" following America's longest war.

"Keeping the larger-size force would certainly reassure the Afghans, it would also reassure our NATO allies that we remain committed," Austin said.

The comments came two days after President Barack Obama announced in his State of the Union address that 34,000 U.S. troops - roughly half of the current U.S. force in Afghanistan - would be withdrawn by early 2014.

Obama reassured Americans that the costly, unpopular war was coming to an end, but he left unanswered bigger questions about America's exit strategy, including how many U.S. troops would stay in the country beyond 2014 to help train and advise the Afghans and to battle remnants of al Qaeda.

Obama also did not discuss the future size of the Afghan forces, although a White House fact sheet sent out after his address noted they would remain at 352,000 until "at least" early 2015.

Austin warned the Taliban would be waiting to test them.

"You could reasonably expect that an enemy that's been that determined, that agile, will very soon after we transition begin to try to test the Afghan security forces," Austin said.

Under current plans, the United States and its NATO allies will help build up the Afghan armed forces to 352,000 personnel, a number they are approaching, but the size of the force - which the allies will continue to fund - will be trimmed to 230,000 after 2015.

ECHOES OF IRAQ

The hearing frequently moved away from questions about the Afghan war and other current events to questions about Austin's past role as commander in Iraq, when a failure to strike an immunity deal for U.S. troops led to their total withdrawal in 2011.

Obama administration officials have warned that failure to strike an immunity deal with Afghanistan would also result in a pullout, but Afghan President Hamid Karzai and U.S. officials have expressed confidence a deal can be reached.

Republicans, who have criticized Obama's drawdown strategy in Afghanistan, noted that the president would have left a much smaller force in Iraq than Austin recommended, even if a deal had been struck.

Senator John McCain of Arizona lamented the lack of a U.S. presence in Iraq.

Pressed by Republicans, Austin acknowledged that the situation in Iraq was trending in a "problematic" direction, and agreed that a continued U.S. role would have helped bolster Iraqi forces.

When it came to Afghanistan, Senator Lindsay Graham of South Carolina warned Austin that if Obama sought an insufficient force for the post-2014 mission, he would refuse to vote for funding the war effort.

"It can be as low as 9 or 10,000, that I will stand with them," Graham said.

"If they overrule the commanders and create a force that cannot in my view be successful, I cannot in good conscience vote to continue this operation."

Graham said he would vote for Austin's confirmation once Austin spoke with the former commander of the Afghan mission, General John Allen, about his recommendations to Obama and reported back to the committee about his opinion.

(Reporting by Phil Stewart; Editing by David Brunnstrom)

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Capriles says Venezuela lying about Chavez health

CARACAS: Venezuelan opposition leader Henrique Capriles on Thursday again accused the government of lying about the health of cancer-stricken President Hugo Chavez, who is convalescing in Cuba.

"Most probably, they have lied to us about the condition of the president of the republic during the past two months," Capriles told a press conference.

He said authorities in Caracas had already "lied" to the people by saying the national currency would not be devalued -- only to announce the devaluation of the bolivar by more than 30 per cent, which went into effect Wednesday.

"If a person can sign documents, then why can't that person speak to the nation? Therefore, they are lying -- the president is not really speaking or signing anything," Capriles said.

Chavez, 58, has not been seen or heard from since his last cancer operation on December 11 in Havana.

Vice President Nicolas Maduro said Wednesday that the firebrand leftist leader was undergoing "extremely tough and complex" treatment in the Cuban capital.

Declining to provide details about the course of treatment, Maduro insisted that Chavez was facing his medical travails with a "fighting spirit."

Capriles, who lost to Chavez in October's presidential election, however said the president could be in a condition that is "totally different" from what government ministers have described.

The governor of Miranda state refused to say whether he would again run for the presidency should a special election be called if Chavez -- who has been in power since 1999 -- is unable to carry on.

Chavez was too sick to attend his own inauguration on January 10, prompting the government to delay the swearing-in indefinitely under an interpretation of the constitution that was heavily criticized by the opposition.

Throughout his illness, first detected in June 2011, Chavez has refused to relinquish the powers of the presidency.

- AFP/jc

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