Exclusive: Microsoft and Symantec disrupt cyber crime ring

BOSTON (Reuters) - Software makers Microsoft Corp and Symantec Corp said they disrupted a global cyber crime operation by shutting down servers that controlled hundreds of thousands of PCs without the knowledge of their users.

The move made it temporarily impossible for infected PCs around the world to search the web, though the companies offered free tools to clean machines through messages that were automatically pushed out to infected computers.

Technicians working on behalf of both companies raided data centers in Weehawken, New Jersey, and Manassas, Virginia, on Wednesday, accompanied by U.S. federal marshals, under an order issued by the U.S. District Court in Alexandria, Virginia.

They seized control of one server at the New Jersey facility and persuaded the operators of the Virginia data center to take down a server at their parent company in the Netherlands, according to Richard Boscovich, assistant general counsel with Microsoft's Digital Crimes Unit.

Boscovich told Reuters that he had "a high degree of confidence" that the operation had succeeded in bringing down the cyber crime operation, known as the Bamital botnet.

"We think we got everything, but time will tell," he said.

The servers that were pulled off line on Wednesday had been used to communicate with what Microsoft and Symantec estimate are between 300,000 and 1 million PCs currently infected with malicious software that enslaved them into the botnet.

HIJACKING SEARCHES

The companies said that the Bamital operation hijacked search results and engaged in other schemes that the companies said fraudulently charge businesses for online advertisement clicks.

Bamital's organizers also had the ability to take control of infected PCs, installing other types of computer viruses that could engage in identity theft, recruit PCs into networks that attack websites and conduct other types of computer crimes.

Now that the servers have been shut down, users of infected PCs will be directed to a site informing them that their machines are infected with malicious software when they attempt to search the web.

Microsoft and Symantec are offering them free tools to fix their PCs and restore access to web searches via messages automatically pushed out to victims.

The messages warn: "You have reached this website because your computer is very likely to be infected by malware that redirects the results of your search queries. You will receive this notification until you remove the malware from your computer."

It was the sixth time that Microsoft has obtained a court order to disrupt a botnet since 2010. Previous operations have targeted bigger botnets, but this is the first where infected users have received warnings and free tools to clean up their machines.

Microsoft runs a Digital Crimes Unit out of its Redmond, Washington, headquarters that is staffed by 11 attorneys, investigators and other staff who work to help law enforcement fight financial crimes and exploitation of children over the web.

Symantec approached Microsoft about a year ago, asking the maker of Windows software to collaborate in trying to take down the Bamital operation. Last week they sought a court order to seize the Bamital servers.

The two companies said they conservatively estimate that the Bamital botnet generated at least $1 million a year in profits for the organizers of the operation. They said they will learn more about the size of the operation after they analyze information from infected machines that check in to the domains once controlled by Bamital's servers.

Their complaint identified 18 "John Doe" ringleaders, scattered from Russia and Romania to Britain, the United States and Australia, who registered websites and rented servers used in the operation under fictitious names. The complaint was filed last week with a federal court in Alexandria and unsealed on Wednesday.

The complaint alleges that the ringleaders made money through a scheme known as "click fraud" in which criminals get cash from advertisers who pay websites commissions when their users click on ads.

Bamital redirected search results from Google, Yahoo and Microsoft's Bing search engines to sites with which the authors of the botnet have financial relationships, according to the complaint.

The complaint also charges that Bamital's operators profited by forcing infected computers to generate large quantities of automated ad clicks without the knowledge of PC users.

Symantec researcher Vikram Thakur said Bamital is just one of several major botnets in a complex underground "click fraud ecosystem" that he believes generates at least tens of millions of dollars in revenue.

He said that researchers at will comb the data on the servers in order to better understand how the click fraud ecosystem works and potentially identify providers of fraudulent ads and traffic brokers.

"This is just the tip of the iceberg in the world of click fraud," said Thakur.

Boscovich said he believes the botnet originated in Russia or Ukraine because affiliated sites install a small text file known as a cookie that is written in Russian on infected computers.

The cookie file contains the Russian phrase "yatutuzebil," according to the court filing. That can loosely be translated as "I was here," he said.

Microsoft provided details on the takedown operation on its blog: http://blogs.technet.com/b/microsoft_blog/archive/2013/02/06/microsoft-and-symantec-take-down-bamital-botnet-that-hijacks-online-searches.aspx

(Reporting By Jim Finkle; Editing by Claudia Parsons and Leslie Gevirtz)

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Migrant workers at Sochi Olympic sites face abuses

SOCHI, Russia (AP) — One year ahead of the Winter Olympics in Sochi, the roads in the Black Sea resort and its surrounding mountains are lined with migrants from Central Asia doing the grunt work that Russians find too low-paid and physically demanding.

Tens of thousands of migrant workers from Uzbekistan, Tajikistan and Kyrgyzstan are a key element in Russia's intense drive to build facilities for the 2014 Sochi Games. The event is viewed as the country's biggest construction project and a matter of national pride — for President Vladimir Putin, in particular.

But many migrants, whose pay typically provides for their entire families back home, complain that Russian contractors are cheating them and withholding their wages. Most of the foreign laborers speak poor Russian and many are afraid to assert their rights.

Human Rights Watch on Wednesday released a report drawing a vivid picture of the routine abuse faced by Sochi migrant workers: underpayment, withheld wages and the absence of employment contracts. The report came out a day before Putin and Olympic officials mark the one-year countdown to the games with a spectacular ice show.

For Eshkobil Ashurov of Tajikistan, working in Sochi has been a boon and a bane. The 27-year-old steel-fitter has been able to send money home to his wife, children, parents and sisters in his impoverished homeland — but that's only when his employers actually pay him.

In December, he said, he walked off his previous job after going 40 days without pay. He said 40 of the 100 men in his work group also weren't paid and most of them left Sochi.

Ashurov found another construction job in the mountain area where the outdoor Olympic competitions will be held, but it's still a difficult life. He typically works 10 hours a day, seven days a week and earns about 30,000 rubles ($1,000 a month). He sends 27,000 rubles of that home, leaving him little to live on besides his employer-provided accommodation and food.

"We're here to work," he said in an interview. "You get back, spend some time at home and go back here to work."

Ashurov's situation is common, according to Semyon Simonov, who runs a two-man advocacy group for migrants in Sochi that provides free legal help. But it's hard to tell how many workers truly are affected.

Federal Migration Service chief Konstantin Romodanovsky recently said that out of 74,000 people involved in construction in Sochi, only 16,000 are foreigners.

But the actual figure of foreign laborers in Sochi is likely much higher. According to Simonov, who contrasted official statistics on work permits with data on foreigners registered in the area, about 50,000 people may be working in Sochi without work permits.

Simonov and Human Rights Watch list the withholding of wages, the failure to provide employment contracts and excessive working hours as the most common rights violations that migrants in Sochi face.

In the HRW report, researcher Jane Buchanan said millions will be watching the 2014 Games unaware that "many migrants toiled in exploitative, abusive conditions to build these shimmering facades and luxurious interiors." The rights group called on the International Olympic Committee to set up a working group to monitor and prevent the mistreatment of workers.

Olympstroi, the Russian state company responsible for building the Olympic venues, said in a statement it has carried out more than 1,300 work inspections since 2011 but has identified only five cases of "wage irregularities."

The IOC reiterated its "long-standing commitment" to follow up cases of mistreatment or abuse and said it has been in contact with Human Rights Watch. In a statement, the IOC said it brought the issue of migrant workers to the attention of the Sochi organizing committee and had received information on the topic from Olympstroi.

"We can confirm that Olympstroi has carried out more than 1,300 work inspections since 2011 and that a small number of cases regarding wage irregularities were identified and dealt with satisfactorily," the IOC said. "'We would continue to urge HRW to furnish us with the details of cases that allow us to deal with them on a case-by-case basis and to push for action when necessary.'"

Simonov said his group was collecting complaints and documenting rights abuses about the migrants.

"The most sensitive thing for them is when they don't get paid," he said. "They don't mind the miserable conditions they live in. They're willing to put up with this as long as they get paid."

Up in the mountains in the Krasnaya Polyana area where Ashurov works, 37-year-old Dilya Saipova from Kyrgyzstan was meeting with a potential employer, hoping for a better position than her odd jobs cleaning and working in a kitchen, which she said was strenuous and underpaid.

Local employers "can't pull these things off" with Russians, Saipova said, because "Russians have a law and they can assert their rights using that law."

Workers in Sochi "consistently" spoke about employers failing to pay full wages and in some cases failing to pay workers at all, the HRW report said.

The Olympic venues where workers interviewed by Human Rights Watch reported abuse are the Olympic Stadium, the Olympic Village and the media center in the coastal cluster. Simonov's group is working on a complaint concerning the media center filed by 20 Uzbek workers seeking back wages worth a total of 1 million rubles ($33,000) from a subcontractor.

Dmitry Chernyshenko, head of the Sochi organizing committee, has denied any mistreatment of workers at Olympic sites.

"If there are some violations and people go to prosecutors — believe me in Russia the law is always on the side of laborers, not on the side of the employer," he said in an interview.

Sochi Mayor Anatoly Pakhomov also dismissed the claims of rights abuses in his city, saying that "conflicts like this are very few."

"If the violations of labor laws were widespread, the online community would be all over it. We don't see anything big in the Internet," he said.

Simonov meets with migrant workers at his one-room office in a dilapidated Sochi neighborhood overlooking the construction site of a new railway terminal. He believes that Sochi authorities and contractors do not realize how important the migrants are to the games.

"At the end of the day, it's only thanks to them that we're getting the Olympic venues built," he said. "No one else will be building them, where would you get so many workers from? Locals don't want these jobs."

Interviewed by Simonov, Ashurov smiles when he is asked if he would like to attend the opening of the 2014 Sochi Games, which run from Feb. 7-23.

"I don't know. I would rather go home and see my family," he said.

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New whooping cough strain in US raises questions

NEW YORK (AP) — Researchers have discovered the first U.S. cases of whooping cough caused by a germ that may be resistant to the vaccine.

Health officials are looking into whether cases like the dozen found in Philadelphia might be one reason the nation just had its worst year for whooping cough in six decades. The new bug was previously reported in Japan, France and Finland.

"It's quite intriguing. It's the first time we've seen this here," said Dr. Tom Clark of the Centers for Disease Control and Prevention.

The U.S. cases are detailed in a brief report from the CDC and other researchers in Thursday's New England Journal of Medicine.

Whooping cough is a highly contagious disease that can strike people of any age but is most dangerous to children. It was once common, but cases in the U.S. dropped after a vaccine was introduced in the 1940s.

An increase in illnesses in recent years has been partially blamed on a version of the vaccine used since the 1990s, which doesn't last as long. Last year, the CDC received reports of 41,880 cases, according to a preliminary count. That included 18 deaths.

The new study suggests that the new whooping cough strain may be why more people have been getting sick. Experts don't think it's more deadly, but the shots may not work as well against it.

In a small, soon-to-be published study, French researchers found the vaccine seemed to lower the risk of severe disease from the new strain in infants. But it didn't prevent illness completely, said Nicole Guiso of the Pasteur Institute, one of the researchers.

The new germ was first identified in France, where more extensive testing is routinely done for whooping cough. The strain now accounts for 14 percent of cases there, Guiso said.

In the United States, doctors usually rely on a rapid test to help make a diagnosis. The extra lab work isn't done often enough to give health officials a good idea how common the new type is here, experts said.

"We definitely need some more information about this before we can draw any conclusions," the CDC's Clark said.

The U.S. cases were found in the past two years in patients at St. Christopher's Hospital for Children in Philadelphia. One of the study's researchers works for a subsidiary of Johnson & Johnson, which makes a version of the old whooping cough vaccine that is sold in other countries.

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JournaL: http://www.nejm.org

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Chris Brown returns to court for probation issues

LOS ANGELES (AP) — Chris Brown, accompanied by Rihanna, briefly returned to court Wednesday to face allegations he failed to complete his community labor sentence for Rihanna's 2009 beating, but the judge asked for more information and scheduled another hearing in two months.

Rihanna blew Brown a kiss as he entered the courtroom, and they left together after the short proceeding in which Superior Court Judge James Brandlin set the next hearing for April 5.

Prosecutors alleged this week that investigators could not find credible evidence he completed his community labor.

A motion filed Tuesday also raised for the first time in Brown's felony assault case several incidents that prosecutors said demonstrate Brown has ongoing anger management issues.

Brandlin noted during the brief session that a prosecution filing did not request revocation of Brown's probation and he, therefore, would not revoke it.

They cited a Jan. 27 fight between Brown and fellow R&B star Frank Ocean, and a 2011 outburst in which Brown threw a chair through a window after he was asked about the Rihanna attack on "Good Morning America."

The filing represents a dramatic shift in the case against Brown, who was repeatedly praised by the judge overseeing his case for his completion of domestic violence courses and his community service work in his home state of Virginia. That changed in September, when prosecutors raised concerns about Brown's community service after he logged 701 hours in seven months — an amount that had previously taken him more than two years to achieve.

Los Angeles investigators traveled to Richmond, Va., to investigate Brown's service, which was only described in broad strokes by Richmond Police Chief Bryan Norwood, who was overseeing the singer's community labor.

"This inquiry provided no credible, competent or verifiable evidence that defendant Brown performed his community labor as presented to this court," Deputy District Attorney Mary Murray wrote.

Brown's attorney Mark Geragos blasted the court filing, saying the prosecutor ignored interviews "where sworn peace officers stated unequivocally that Mr. Brown was supervised and did all of the community service."

"I plan on asking for sanctions from the DA's office for filing in frivolous, scurrilous and frankly defamatory motion," he said Tuesday.

It will be up to a new judge to evaluate the prosecutor's allegations; Brown's case was transferred to Brandlin after a recent shuffling of judicial assignments.

After pleading guilty to the Rihanna attack, Brown was given permission to serve 180 days of community labor in his home state of Virginia, but only as long as he performed manual labor such as graffiti removal and roadside cleanup.

Given problems with documentation and statements from some witnesses who contradict Brown's claims of work, prosecutors asked Brandlin to order Brown to repeat his service in Los Angeles.

Brown spent one-third of the hours he logged in Virginia working night shifts at a day care center in rural Virginia where his mother once served as director and where the singer spent time as a child.

A detective who checked on Brown's work nine times at the Tappahannock Children's Center found the singer, his mother and a bodyguard at the center on each visit.

The records said Brown waxed floors or performed "general cleaning" at the center.

A professional floor cleaner contracted to work at the daycare center told investigators he had been cleaning the floors during the months Brown reported working at the facility.

"Claims that the defendant cleaned, stripped and waxed floors at that location have been credibly contradicted," prosecutors said in the filing.

Brown's mother, Joyce Hawkins, no longer had a formal role at day care center but had her own set of keys and coordinated her son's work at the facility, prosecutors said.

Murray stated in her filing that Norwood's report on Brown's service was "at best sloppy documentation and at worst fraudulent reporting."

Richmond police spokesman Gene Lepley declined to discuss the allegations.

"We believe it would inappropriate to comment on a matter that's before the court," Lepley said.

According to the motion, officials with Virginia's probation office told investigators that Brown's arrangement to be supervised by Norwood was "extremely unusual" and had not been approved by the agency. No one from Virginia's probation department oversaw Brown's hours, prosecutors said.

The motion noted that the only records the department has to indicate Brown was supervised were officers' overtime sheets. Five of 21 days that officers logged overtime for Brown were spent providing security for the singer's concerts.

The allegations are the latest pre-Grammy controversy for Brown, who was arrested shortly after the 2009 ceremony for his attack on Rihanna. He has since returned to the awards show by performing and winning an award in 2011 for his album "F.A.M.E."

Brown and Ocean are competing against one other for the Best Urban Contemporary Album category at Sunday's Grammys.

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AP writers Anthony McCartney and Ryan Pearson contributed to this report.

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Chicago sees surge in foreclosure auctions

More than 35,000 homes and small multifamily buildings in the Chicago area completed the foreclosure process last year, the highest number since the housing crisis began, and the vast majority of them became bank-owned.

An increase in foreclosure auctions was expected since lenders shelved many foreclosure cases while state and federal authorities investigated allegations of faulty foreclosure processes. Still, the heightened level of auctions — 35,244 in 2012, compared with 20,281 in 2011 — along with an increase in initial foreclosure filings, shows the local housing market has a long road to recovery, according to the Woodstock Institute.

"There's going to be pain in the housing market in the short term," said Katie Buitrago, senior policy and communications associate at Woodstock. "There's still high levels of filings. Five years into it, there is still work to be done to help people save their homes."

The Chicago-based public policy and research group is expected to release its report on 2012 foreclosure activity Wednesday.

The year-end numbers show that, with few exceptions, all Chicago neighborhoods and suburban communities saw high double-digit percentage gains in auctions last year. Across the six-county area, 91.3 percent of the foreclosed properties were repossessed by lenders. At the same time, notices of initial default sent to homeowners, the first step in the foreclosure process, increased by 2.9 percent last year, to 66,783.

Real estate agents have worried for more than two years about a glut of foreclosed properties — a shadow inventory — that banks would list for sale en masse and cause home values to plunge. That largely has not happened, but the vast number of distressed properties in the market has kept a lid on local home values.

On Tuesday, for instance, Fannie Mae and Freddie Mac's websites listed 2,415 Cook County homes for sale that the two agencies had repossessed.

Chicago-area home prices, including distressed sales, fell 2.3 percent in December from a year ago, housing analytics firm CoreLogic said Tuesday. Illinois was one of only four states to see home-price depreciation.

The increase in auctions "is a mixed blessing," Buitrago said. "We've been having a lot of trouble in the region with vacant properties that have been languishing for years. The longer they're vacant, the more likely they are to be a destabilizing force in their communities."

Woodstock found that within the city of Chicago, there were 20 communities where more than 1 in 10 owner-occupied one- to four-unit residential buildings and condos went through foreclosure from 2008 to 2012. Five of those neighborhoods are included in the city's 18-month-old Micro-Market Recovery Program, a coordinated effort to stabilize neighborhoods and property values hit hard by foreclosures and vacant buildings.

Also designed to benefit hard-hit areas are the recent establishment of a Cook County Land Bank and legislation waiting for Gov. Pat Quinn's signature that will fast-track the foreclosure process for vacant, abandoned homes while providing financial resources to foreclosure prevention efforts.

mepodmolik@tribune.com

Twitter @mepodmolik

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Te'o, Cutler make top five in poll of most-disliked athletes

Manti Te'o listens to a question during an off-camera interview with ESPN's Jeremy Schaap. (Reuters Photo / February 5, 2013)

4:15 p.m. CST, February 5, 2013

Forbes.com reports: The dead girlfriend hoax that engulfed Manti Te'o didn't do much for his popularity: The former Notre Dame linebacker placed second only to disgraced cyclist Lance Armstrong in a survey that ranked America's most disliked athletes.

Both were new additions this year to list, as was Chicago Bears quarterback Jay Cutler, who placed fourth.

Get the full story: Forbes.com

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Dell to go private in landmark $24.4 billion deal

SAN FRANCISCO/NEW YORK (Reuters) - Michael Dell will take Dell Inc private for $24.4 billion in the biggest leveraged buyout since the financial crisis, a deal that allows the billionaire chief executive to attempt a revival of his struggling computer company without Wall Street scrutiny.

The deal, which requires shareholder approval, would end a 24-year run on public markets for a company that was conceived in a college dorm room and quickly rose to the top of the global personal computer business - only to be rendered an also-ran over the past decade as PC prices crumbled and customers moved to tablets and smartphones.

Dell executives said on Tuesday that the company will stick to a strategy of expanding its software and services offerings for large companies, with the goal of becoming a full-service provider of corporate computing services in the mold of the highly profitable IBM. They downplayed speculation that Dell might spin off the low-margin PC business on which it made its name.

Dell did not give specifics on what it would do differently as a private entity to convince skeptics who say it missed the big industry shift to tablet computers, smartphones and high-powered consumer elections devices such as music players and gaming consoles. Sources with knowledge of the matter said Dell's board had considered everything from a recapitalization to a breakup of the company before going the leveraged buyout route, but did not elaborate.

"A private Dell is likely to more aggressively cut costs, in our view. But we think merely restructuring only postpones the inevitable, creating a value trap," said Discern Inc analyst Cindy Shaw. "Dell needs to do more than reduce its cost structure. It needs to innovate."

The deal will be financed with cash and equity from Michael Dell, cash from private equity firm Silver Lake, a $2 billion loan from Microsoft Corp, and debt financing from a consortium of banks. The price of $13.65 per share represents a 25 percent premium over Dell's stock price before news of a pending deal leaked in January.

The company will now conduct a 45-day "go-shop" process in which others might make higher offers.

"Though we were hoping for a higher price, we trust that the Dell board has properly done its job by conducting a process open to any third party offers and reviewing all strategic options," said Bill Nygren, who manages the $7.3 billion Oakmark Fund and $3.2 billion Oakmark Select Fund, which have a $250 million position in Dell. "Should we hear evidence to the contrary, we'll raise a ruckus."

Some of Dell's rivals took pot shots at the deal, in unusually pointed comments that reflect how bitter the struggle is in a commoditized PC industry that has wrestled to reverse a decline in sales globally.

Hewlett-Packard Co, which itself has suffered years of turmoil in the face of challenges in the PC business, said in a statement that Dell's deal would "leave existing customers and innovation at the curb," and vowed to exploit the opportunity.

Lenovo, which consists largely of the former IBM PC unit, referred to the "distracting financial maneuvers and major strategic shifts," of its rival while emphasizing its own stability and strong financial position.

Dell was regarded as a model of innovation as recently as the early 2000s, pioneering online ordering of custom-configured PCs and working closely with Asian component suppliers and manufacturers to assure rock-bottom production costs. But as of 2012's fourth quarter, Dell's share of the global PC market had slipped to just above 10 percent from 12.5 percent a year earlier as its shipments dived 20 percent, according to research house IDC.

Michael Dell returned to the company as CEO in 2007 after a brief hiatus, but has been unable to engineer a turnaround thus far. Dell's focus on corporate computing in recent years has yet to yield results - and critics note competing successfully against incumbents, including IBM and HP, will not be easy no matter what the corporate structure.

Sales of PCs still make up the majority of Dell's revenues. Analysts say continued restructuring to focus on the corporate market may entail job cuts and more costly acquisitions. The company has acquired several large software and services companies in recent years as it seeks to reconfigure itself as a broad-based supplier of technology for big companies.

"We recognize this process will take more time," Chief Financial Officer Brian Gladden told Reuters. "We will have to make investments, and we will have to be patient to implement the strategy. And under a new private company structure, we will have time and flexibility to really pursue and realize the end-to-end solutions strategy."

Gladden said the company's strategy would "generally remain the same" after the deal closed, but "we won't have the scrutiny and limitations associated with operating as a public company."

Michael Dell, who has quietly built a highly successful investment firm even as the fortunes of his namesake company have waned, will contribute his 16 percent share of Dell's equity to the deal, along with cash from his MSD Capital. Bank of America Merrill Lynch, Barclays, Credit Suisse and RBC Capital Markets will offer debt financing.

Shares of Dell were up 1.2 percent at $13.43 in morning trading.

RECORD BUYOUT

Analysts said Dell could be more nimble as a private company, but it will still have to deal with the same difficult market conditions. IBM's famously successful transition from hardware vendor to corporate IT partner took place while it was trading on public markets.

There is little history to suggest whether going private makes such a transition easier. Freescale, formerly the semiconductor division of Motorola, was taken private in 2006 for $17.6 billion by a group of private equity firms including Blackstone Group LP, Carlyle Group and TPG Capital LP. Analysts say the resulting debt load hurt its ability to compete in the capital-intensive chip business. Freescale cut just under 5 percent of its work force last year as it continued to restructure.

The Dell deal would be the biggest private equity-backed, leveraged buyout since Blackstone Group LP's takeout of the Hilton Hotels Group in July 2007 for more than $20 billion, and is the 11th-largest on record.

The parties expect the transaction to close before the end of Dell's 2014 second quarter, which ends in July. News of the talks first emerged on January 14, although they reportedly started in the latter part of 2012. Michael Dell had previously acknowledged thinking about going private as far back as 2010.

Microsoft's involvement in the deal piqued much speculation about a renewed strategic partnership, but the software company is providing only debt financing and Dell said there were no specific business terms attached to the transaction. Dell has long been loyal to Microsoft's Windows operating system, which has been at the heart of its PC business since its inception.

Microsoft's loan will take the form of a 10-year subordinated note that will be the "closest thing to equity," with roughly 7 percent to 8 percent interest, a source close to the matter told Reuters.

Banking sources said the debt financing package for the deal will total between $11 billion and $12 billion to back the leveraged buyout. The final size of the financing depends on what portion of the company's existing notes remain outstanding, sources added. The banks are expected to begin reaching out to other lenders to begin syndicating the loans as early as Tuesday.

J.P. Morgan and Evercore Partners were financial advisers, and Debevoise & Plimpton LLP was the legal adviser to the special committee of Dell's board. Goldman Sachs was financial adviser, and Hogan Lovells was legal adviser to Dell.

Wachtell, Lipton, Rosen & Katz was legal adviser to Michael Dell. BofA Merrill Lynch, Barclays, Credit Suisse and RBC Capital Markets were financial advisers to Silver Lake, and Simpson Thacher & Bartlett LLP was its legal adviser.

(Additional reporting by Greg Roumeliotis; Writing by Ben Berkowitz and Edwin Chan; Editing by Tiffany Wu and Leslie Gevirtz)

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World Peace suspended, Howard out for Lakers

NEW YORK (AP) — Forward Metta World Peace has been suspended for one game because he hit Detroit's Brandon Knight in the face, and the Los Angeles Lakers also will be without Dwight Howard again when they face the Brooklyn Nets on Tuesday.

World Peace grabbed Knight around the neck and struck him in the jaw with the knuckles of his mostly open hand on Sunday with 1:43 left in the first half of the Lakers' 98-97 win over the Pistons.

Howard missed that game with a sore right shoulder that remains painful. He says he will miss his third straight game.

Pau Gasol will start at center in Howard's place, and the Lakers will have to move someone into World Peace's starting forward spot.

The former Ron Artest was also suspended seven games in April after an elbow to the head of Oklahoma City's James Harden. He is notorious for his 86-game suspension in 2004 for his role in the brawl with Pistons fans in Detroit.

World Peace also served a seven-game suspension in 2007 for his no-contest plea on a domestic violence charge.

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Critics seek to delay NYC sugary drinks size limit

NEW YORK (AP) — Opponents are pressing to delay enforcement of the city's novel plan to crack down on supersized, sugary drinks, saying businesses shouldn't have to spend millions of dollars to comply until a court rules on whether the measure is legal.

With the rule set to take effect March 12, beverage industry, restaurant and other business groups have asked a judge to put it on hold at least until there's a ruling on their lawsuit seeking to block it altogether. The measure would bar many eateries from selling high-sugar drinks in cups or containers bigger than 16 ounces.

"It would be a tremendous waste of expense, time, and effort for our members to incur all of the harm and costs associated with the ban if this court decides that the ban is illegal," Chong Sik Le, president of the New York Korean-American Grocers Association, said in court papers filed Friday.

City lawyers are fighting the lawsuit and oppose postponing the restriction, which the city Board of Health approved in September. They said Tuesday they expect to prevail.

"The obesity epidemic kills nearly 6,000 New Yorkers each year. We see no reason to delay the Board of Health's reasonable and legal actions to combat this major, growing problem," Mark Muschenheim, a city attorney, said in a statement.

Another city lawyer, Thomas Merrill, has said officials believe businesses have had enough time to get ready for the new rule. He has noted that the city doesn't plan to seek fines until June.

Mayor Michael Bloomberg and other city officials see the first-of-its-kind limit as a coup for public health. The city's obesity rate is rising, and studies have linked sugary drinks to weight gain, they note.

"This is the biggest step a city has taken to curb obesity," Bloomberg said when the measure passed.

Soda makers and other critics view the rule as an unwarranted intrusion into people's dietary choices and an unfair, uneven burden on business. The restriction won't apply at supermarkets and many convenience stores because the city doesn't regulate them.

While the dispute plays out in court, "the impacted businesses would like some more certainty on when and how they might need to adjust operations," American Beverage Industry spokesman Christopher Gindlesperger said Tuesday.

Those adjustments are expected to cost the association's members about $600,000 in labeling and other expenses for bottles, Vice President Mike Redman said in court papers. Reconfiguring "16-ounce" cups that are actually made slightly bigger, to leave room at the top, is expected to take cup manufacturers three months to a year and cost them anywhere from more than $100,000 to several millions of dollars, Foodservice Packaging Institute President Lynn Dyer said in court documents.

Movie theaters, meanwhile, are concerned because beverages account for more than 20 percent of their overall profits and about 98 percent of soda sales are in containers greater than 16 ounces, according to Robert Sunshine, executive director of the National Association of Theatre Owners of New York State.

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Follow Jennifer Peltz at http://twitter.com/jennpeltz

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Prosecutors move to revoke Chris Brown's probation

LOS ANGELES (AP) — Prosecutors have asked a judge to revoke Chris Brown's probation, saying there is no credible evidence he completed his community service sentence for beating Rihanna, and citing several other incidents that they say point to anger management issues.

The motion filed Tuesday by the Los Angeles County district attorney's office focuses heavily on issues with Brown's community labor in Virginia, citing numerous discrepancies and claiming the R&B singer essentially was unsupervised.

Brown's attorney Mark Geragos blasted the filing, telling The Associated Press that it was frivolous and defamatory and he planned to seek sanctions against prosecutors.

The prosecution's motion also notes several incidents in which Brown has lost his temper, including throwing a chair through a window after a "Good Morning America" interview in which he was asked about his beating of Rihanna on the eve of the 2009 Grammy Awards. The report also cites Brown's Jan. 27 fight with R&B singer Frank Ocean, including Ocean's claim that Brown threatened to shoot him in the brawl over a parking space.

Sheriff's officials have said they are unlikely to seek charges against Brown for the recent fight with Ocean, since Ocean has posted online that he does not intend to seek criminal or civil penalties. Ocean told investigators that Brown shouted that he and his entourage "can bust on you too," which authorities wrote was a street slang term for shooting someone.

Brown is due in court Wednesday for a probation hearing.

"The motion filed by the DA's office is shameful and a disgrace," Geragos said. "In essence, it calls everyone a liar in the Richmond Police Department and the Virginia Probation Department."

He claimed prosecutors ignored interviews "where sworn peace officers stated unequivocally that Mr. Brown was supervised and did all of the community service."

"I plan on asking for sanctions from the DA's office for filing in frivolous, scurrilous and frankly defamatory motion," he said. A spokeswoman for the district attorney's office declined to comment on Geragos' statements.

Brown's time serving community service in Virginia has been under scrutiny for months, and Tuesday's motion asked a judge to order the singer to repeat his entire 180-day service sentence in Los Angeles. Brown had been given permission to perform cleanup and manual labor duties in Virginia, but LA prosecution investigators found no evidence that he completed his work as ordered.

Richmond, Va., Police Chief Bryan Norwood was supposed to be supervising Brown and submitted paperwork last year indicating the singer had completed his sentence. But prosecutors cite numerous shortcomings and possible misstatements in those records, which show the singer performing double shifts in the city and at a day care center where his mother once worked.

"This inquiry provided no credible, competent or verifiable evidence that defendant Brown performed his community labor as presented to this court," Deputy District Attorney Mary Murray wrote.

The records submitted by Norwood are "at best sloppy documentation and at worst fraudulent reporting."

Richmond police spokesman Gene Lepley declined to discuss the allegations.

"We believe it would inappropriate to comment on a matter that's before the court," Lepley said.

According to the motion, officials with Virginia's probation office told investigators that Brown's arrangement to be supervised by Norwood was "extremely unusual" and had not been approved by the agency. No one from Virginia's probation department oversaw Brown's hours, the filing states.

The motion notes that the only records the department has to indicate Brown was supervised were officers' overtime sheets. Five of 21 days that officers logged overtime for Brown were spent providing security for the singer's concerts.

One-third of Brown's hours were logged at a daycare center where the singer spent time as a child and where his mother once served as director, an analysis performed by The Associated Press in September showed.

The center is an hour's drive from Richmond, and the prosecution motion says a detective checked on Brown on only nine occasions when he was working there. Each time, the singer was found at the center, accompanied by his mother and a bodyguard but no law enforcement personnel.

The hours Brown recorded as working at the center were done overnight when children were not present. Some of the records stated Brown waxed floors or did "general cleaning."

"Claims that the defendant cleaned, stripped and waxed floors at that location have been credibly contradicted," the prosecution motion states. A professional floor cleaner contracted to work at the daycare center told investigators he had been cleaning the floors throughout the months Brown reported working at the facility.

Brown's mother, Joyce Hawkins, no longer had a formal role at the Tappahannock Children's Center but had her own set of keys and coordinated her son's work at the facility, the motion states.

The filing also alleges Brown violated his probation with several violent outbursts that haven't resulted in arrests or charges. In addition to the fight between Brown and Ocean, the motion cites a 2012 incident in Miami in which Brown was accused of taking a woman's cellphone and the March 2011 incident in which Brown threw a chair through a window after appearing on "Good Morning America."

Brown and Ocean are both nominated for the Best Urban Contemporary Album category at Sunday's Grammys. Ocean, who has said his first love was a man, told authorities that someone may have shouted a gay slur during the fight, but he wasn't sure.

Ocean suffered cuts on his right index finger and minor cuts to his left temple.

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Anthony McCartney can be reached at http://twitter.com/mccartneyAP .

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