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Interesting News & Articles and Reviews, Feb '99

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- China tightens restrictions on Web
- Microsoft again delays Windows 2000
- New weight-loss drug called safe
- AOL pulls thesaurus after complaint
- Report: Prosecutors hiding evidence
- LOOK AT THE YEAR 1998 IN REVIEW - by ZDNET

- Car PC adjusts radio, checks e-mail
- Moscow developing new space shuttle
- China to execute cyber 'bank robbers'
- VIRUS ALERT! Picture.exe really a Trojan horse
- Feds stop sale of $5 mln moon rock
- E-Commerce Comes of Age
- Euro Rates Approved

China tightens restrictions on Web

SHANGHAI, China (AP) - China has tightened restrictions on Internet use, ordering bars that offer access to register users with the police, according to state media. The rules issued this week come amid a crackdown on Internet political activity that caused an outcry when a Shanghai man was imprisoned for giving e-mail addresses to dissidents abroad. Under the rules, bars that rent time to customers on Internet-linked computer terminals will have to be licensed by police, the Workers Daily newspaper said Thursday. Such bars and cafes, increasingly common in major Chinese cities, had been one of the few ways Chinese could receive e-mail or look at websites anonymously.

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Microsoft again delays Windows 2000

SEATTLE (AP) - Will Windows 2000 make it out in 1999? That's the question at least one analyst is raising after Microsoft Corp. said it had again pushed back the release of a new test version of its Windows 2000 operating system for business computers. In a posting Monday on its Web site, Microsoft said the third "beta" or test version of Windows 2000 is now expected out "in the April 1999 timeframe" with the final version expected to ship in late 1999. "Basically, the product's in great shape and we just want to take the extra few days to put the last final touches on it," said Ed Muth, Microsoft's group manager for enterprise marketing. Windows 2000 is Microsoft's most important new product.

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New weight-loss drug called safe

CHICAGO (AP) - An experimental diet drug scientists hope is safer than the ill-fated Redux and fen-phen helped obese people shed pounds and keep them off in a two-year study, researchers say. Orlistat, trade-named Xenical, has been judged safe and effective enough for the U.S. market by an advisory panel to the FDA. The FDA usually follows advisers' recommendations, and the drug's manufacturer, Hoffman LaRoche Inc., expects a decision soon. Redux and Pondimin - which is generically named fenfluramine and was paired with phentermine in "fen-phen" - were recalled in 1997 over concerns that they caused heart-valve damage.

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AOL pulls thesaurus after complaint

DULLES, Va. (AP) - America Online and Merriam-Webster pulled an online thesaurus after gay rights organizations complained about the synonyms given for "homosexual." The thesaurus listed the slurs "fruit," "homo" and "faggot." Deborah Burns, Merriam-Webster's director of marketing, said the company decided Monday to remove all synonyms for "homosexual" to conform with a 25-year-old policy not to offer entries for racial or ethnic groups such as Jews, Hispanics or blacks. Merriam-Webster, a leading publisher of dictionaries and language reference books, has also begun a review to check for other disparaging entries in its Collegiate Thesaurus.

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Report: Prosecutors hiding evidence

CHICAGO (AP) - Prosecutors throughout the country have hid evidence, leading to wrongful convictions, retrials and appeals that cost taxpayers millions of dollars, according to a Chicago Tribune analysis of thousands of court records in homicide cases. The records show prosecutors have won conviction against black men, hiding evidence the real killers were white. They also have prosecuted a wife, hiding evidence her husband committed suicide. And they have prosecuted parents, hiding evidence their daughter was killed by wild dogs. "Winning has become more important than doing justice. Nobody runs for the Senate saying I did justice," said Harvard University law professor Alan Dershowitz, a longtime critic of prosecutors.

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Car PC adjusts radio, checks e-mail

LAS VEGAS (AP) - Without taking their hands off the wheel or their eyes off the road, motorists can check e-mail, look up and dial phone numbers, tune the radio and find directions to the nearest gas station. It's a matter of talking to the car computer. Clarion AutoPC, the first personal computer designed for a car, was a big attraction Saturday among the 100,000 attendees at the Consumer Electronics Show. It combines software by Microsoft and hardware by Clarion. The $1,299, voice-activated units were shipped to West Coast dealers last month and are expected to be available nationally this spring.

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Moscow developing new space shuttle

MOSCOW (AP) - A Moscow company is developing a new space shuttle that can deliver cargo into orbit at a fraction of the price of existing U.S. and Russian shuttle systems, the Interfax news agency reported Saturday. Moscow's city government plans to help fund the project by purchasing 34% of the Molniya company's shares, Mayor Yuri Luzhkov said during a visit to the company. Molniya has designed a smaller copy of the Soviet Buran space shuttle. The new model can carry eight to nine tons of cargo to a satellite at about a tenth of the price, Interfax said. The original Buran, modeled after the U.S. space shuttles, was scrapped for lack of funds after its only unmanned space flight in 1988.

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China to execute cyber 'bank robbers'
Two Chinese citizens hacked $31,000 from a bank, and it will cost them their lives. - By Reuters

SHANGHAI -- Two hackers who broke into a bank computer network and stole 260,000 yuan ($31,400) have been sentenced to death by a court in eastern China, the official Wenhui Daily said on Monday.

The Yangzhou Intermediate Court in Jiangsu province also confiscated 40,000 yuan from Hao Jinglong, formerly an accountant at the Zhenjiang branch of the Industrial and Commercial Bank of China, and his brother Hao Jingwen, the newspaper said.

Fugitive hacker surfaces on the Web
Convicted hacker offline ... and may be on the run

The two opened 16 accounts under various names in a branch of the bank in September and later broke into the branch to install a controlling device in a bank computer terminal, the newspaper said.

They used the device to electronically wire 720,000 yuan in non-existent deposits into the bank accounts. Afterwards, they successfully withdrew 260,000 yuan from eight different branches of the bank, the newspaper said.

All the money had since been recovered, the newspaper said, without giving further details.

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VIRUS ALERT! Picture.exe really a Trojan horse
E-mail attachment, if opened, tries to send private information to an e-mail address originating in China.
By Bob Sullivan, MSNBC

Here's a computer virus story that's not an urban legend.

If you receive an attachment in e-mail called "picture.exe," don't open it. If you do, what happens next reads a bit like a spy novel -- this Trojan horse drops two more programs called note.exe and manager.exe which will search through your internet cache directory and, if you have one, the directory that holds your America Online username and password. It then encrypts that information, tries to establish an Internet connection, and sends it all to an e-mail address in China.

Picture.exe first surfaced right before Christmas, when some Net users were spammed with e-mail with the subject line "batty." Several postings to Usenet virus groups followed; then Network Associates engineers received several e-mail alerts to what appeared to be technically not a virus but a Trojan horse. (A Trojan horse does not replicate on its own, but a virus does.)

Network Associates has since updated its McAfee virus program to detect picture.exe (If you already have the software, an updated version can be downloaded from this site), but many questions remain about the prying program.

"This is a more interesting Trojan than normal," said Vincent Gullotto, manager of the antivirus emergency response team for Network Associates. "It actually has the capability to take information and send it someplace. This one goes further than most and if it's successful can use the information against you."

A prying program:
Network Associates received an unusually large number of e-mails from victims of picture.exe, and there are already dozens of Usenet posts with security experts warning about the danger.

Here's how it works:
Once a recipient opens picture.exe, that file expands into two other executables -- note.exe and manager.exe -- and places them into the Windows subdirectory. The following line is also added to the win.ini file: "run=note.exe." That makes note.exe run the next time Windows is started.

According to Network Associates, note.exe then gathers information, apparently looking through the temporary Internet cache directory in an attempt to determine what Web sites users have visited. It then encrypts that information into a DAT file. It also appears to look in the directory where AOL user information is stored.

Note.exe then builds a second DAT file.

"It's unclear right now what the second DAT file is for," Gulotto said.

Usenet poster David Crick, a British computer science student who received the e-mail Dec. 23 and started the Usenet discussions, said, "I thought when I started downloading a very large e-mail: 'Either someone's sent me an interesting piece of software, or it's a virus.' It turned out to be a combination of the two -- an interesting virus," he said.

Crick says the file employs a crude encryption technique, a 5-digit ASCII character shift -- where a=f, b=g, and so on. Other Usenet posters say the DAT file is full of e-mail addresses.

After note.exe does its thing, manager.exe runs, attempting to e-mail the encrypted file to a e-mail addresses with the domain of a Chinese ISP. The recipient, of course, could be anywhere.

"It appears to try to gain access to an ISP," Gulloto said. Several Usenet posts say that upon reboot, the Trojan horse opens up dial-up networking and tries to dial out of the infected PC.

There are many unanswered questions -- chief among them, why China? Gulotto said last year his firm worked on a similar Trojan horse/virus with the same M/O. Called SemiSoft, it also gathers information and tries to send it to an e-mail address hosted in China. Network Associates is continuing to study picture.exe.

America Online was not available for comment.

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Feds stop sale of $5 mln moon rock

MIAMI (AP) - Federal agents who uncovered a plan to sell a moon rock for $5 million knew they had the real thing: They just didn't realize how significant the finding was. The 3.9-billion-year-old rock was brought back by astronauts on the Apollo 17 mission that lifted off Dec. 7, 1972, officials said Monday. It apparently was given as a gift to the government of Honduras by President Richard M. Nixon. The rock was part of larger lunar sample astronauts dedicated to the people of the world just before they boarded Apollo 17 for the return to Earth. Agents nabbed Alan Rosen, 60, last month for trying to peddle the rock. Authorities said Rosen bought the tiny rock from a retired Honduran military officer.

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E-Commerce Comes of Age

Did you buy any holiday gifts online? If so, you're not alone. As the shopping season winds down, online retailers are assessing a year that saw them come into their own. While traditional retailers saw moderate growth during 1998, online sales nearly tripled. At the beginning of the year, Internet vendors only sold about $1.4 billion, but now, online sales account for over $3.5 billion in revenue. At the same time, Internet stocks are on the rise, as more customers become  accustomed to online shopping. Hear more as NPR's Elaine Korry reports for Morning Edition. Click Here for a Real Audio Feed

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Euro Rates Approved

Europe has taken an historic step toward the implementation of a single currency. European Union finance ministers on New Year’s Eve unanimously adopted the rates at which 11 national currencies will be forever pegged to the Euro, paving the way for today's launch of the currency. For now, the Euro will be used for some electronic transactions only. The nearly 300 million people living in the "Euro-zone" won't get the coins and notes for another three years. For details, listen as NPR's Edward Lifson reports from Berlin for All Things Considered. Click Here for a Real Audio Feed

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