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US Asks Pakistani Bank to Shut Operations in New York for Alleged Fund Transfers to Terrorists

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Habib Bank

Bank regulators slaps $ 255 million fine

Facing isolation on the issue of supporting terrorism, Pakistan, has on Thursday, faced another US action against its flagship bank. The bank regulators have ordered Habib Bank to close its New York office for “repeatedly failing to heed concerns” over possible terrorist financing and money laundering. Bank has also to pay a sum of $255 million as fine.

The move has come in less than twenty days after President Donald Trump tore into Pakistan over its stand on the issue of counter terrorism. He advised Islamabad that “It’s time for Pakistan to demonstrate its commitment to fight terror.”

According to Associated France Press, Habib, the largest private Pakistani bank, neglected to watch for compliance problems and red flags on transactions that potentially could have prompted terrorism, money laundering or other illicit ends. Habib Bank was operating its office in New York for last 40 years.

The Department of Financial Services (DFS), which regulates foreign banks, has also slapped a $ 255 million fine on the bank. The regulators had, in 2006, ordered to tighten its oversight of potentially illegal transactions. But bank had failed to comply with the instructions.

The US regulators said that Habib bank facilitated transactions of billions of dollars with Saudi private Al Rajhi Bank, which allegedly has links with Al-Qaeda. Habib has also failed to do enough that the funds were not laundered or used for terrorism.

The Pakistani bank had reportedly permitted at least 13,000 transactions without sufficient screening.

“DFS will not tolerate inadequate risk and compliance functions that open the door to the financing of terrorist activities that pose a grave threat to the people of this State and the financial system as a whole,” DFS Superintendent Maria Vullo said in a news release.

Habib company secretary Nausheen Ahmad, in a letter to Pakistan Stock Exchange, in August, had called the initially proposed penalty of $ 626.6 million “outrageous” and “capricious.” He said that the bank has decided to close its New York operations “in an orderly manner.”

The DFS has asked Habib to surrender its licence after meeting the agency’s requirements saying it will not  stand by and let Habib sneak out of the US.

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Salwan Momika, who burnt Quran in 2023, shot dead in Sweden

The controversy surrounding Momika extended beyond the immediate reactions to his acts. His actions sparked a broader debate regarding freedom of speech, religious tolerance, and the potential for such acts to incite hatred and violence.

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Salwan Momika, a 38-year-old Iraqi immigrant residing in Sweden, became a controversial figure in 2023 due to his repeated public burning of the Quran. These actions, filmed and widely circulated online, ignited fierce condemnation and protests across the Muslim world. He has been shot dead in Sweden, according to reports.

The desecration of Islam’s holy book prompted outrage and unrest in numerous countries, with demonstrations ranging from peaceful protests to violent riots. Governments and religious leaders issued strong statements of disapproval, highlighting the deeply offensive nature of Momika’s actions to billions of Muslims globally.

The controversy surrounding Momika extended beyond the immediate reactions to his acts. His actions sparked a broader debate regarding freedom of speech, religious tolerance, and the potential for such acts to incite hatred and violence.

While Sweden, like many Western democracies, upholds freedom of expression as a fundamental right, the line between this right and the potential for incitement to hatred and violence remains a complex and contentious issue. Critics argued that Momika’s actions crossed this line, deliberately provoking religious sensibilities and contributing to a climate of hostility. Conversely, proponents of his right to protest emphasized the importance of protecting free speech, even when the content is deeply offensive to others.

At the time of his death, Momika was awaiting a court ruling on charges of inciting ethnic hatred. This legal case further highlighted the complex legal and ethical ramifications of his actions. The Swedish judicial system was tasked with navigating the delicate balance between safeguarding free speech and preventing incitement to violence.

The outcome of the trial, which was ultimately postponed following his death, would have had significant implications for the interpretation and application of hate speech laws in Sweden and potentially beyond.

The shooting death of Salwan Momika adds another layer to this already complex and controversial situation. While the circumstances surrounding his death remain under investigation, it is undeniably a significant event with potential ramifications for the ongoing debate surrounding freedom of speech, religious sensitivities, and the prevention of religiously motivated violence.

The incident highlights the volatile nature of the issues at stake and the ongoing challenges in balancing individual rights with the need for social harmony and respect for different religious beliefs.

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ChatGPT outage affects thousands of users globally, OpenAI reacts

OpenAI swiftly acknowledged the outage, publishing updates on their dedicated status page. This transparency, while offering little in the way of immediate solutions, served to reassure users that the company was actively addressing the situation.

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On January 23, OpenAI’s popular AI chatbot, ChatGPT, suffered a significant global outage, leaving millions of users unable to access the service. The disruption affected multiple access points, including the web interface, the mobile application, and even integrations on social media platforms like X (formerly Twitter). This widespread failure quickly drew significant attention, with reports flooding in from users worldwide.

The outage tracking website, Downdetector, registered a surge in user reports, exceeding a thousand complaints within a short period. This volume underscored the scale of the disruption and the significant impact on ChatGPT’s user base.

The majority of these reports indicated a complete inability to use the chatbot, highlighting the severity of the problem. A smaller percentage of users reported encountering difficulties with the website or API, suggesting a less comprehensive but still noticeable impact.

OpenAI swiftly acknowledged the outage, publishing updates on their dedicated status page. This transparency, while offering little in the way of immediate solutions, served to reassure users that the company was actively addressing the situation.

The official statements consistently described the problem as “degraded performance” and “elevated error rates” within the API, hinting at underlying technical issues that required investigation. However, specific details regarding the root cause remained undisclosed, pending a more thorough examination.

According to reports, the outage commenced around 5 PM IST and persisted for several hours. The lack of a definitive timeline and the ongoing nature of the disruption underlined the complexity of the problem and the challenges faced by OpenAI’s engineering teams in resolving the issue.

As of the latest updates, the exact cause of the outage remains under investigation by OpenAI. The company is actively working to restore full functionality and provide a more comprehensive explanation once the underlying problem has been identified and rectified.

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Prince Harry, Rupert Murdoch’s UK group reach settlement in surveillance case

The relentless media attention, he has claimed, also contributed to the intense pressure that led him and his wife, Meghan Markle, to step back from royal duties and relocate to the United States in 2020.

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Prince Harry has reached a settlement with Rupert Murdoch’s News Group Newspapers (NGN), bringing an abrupt end to a high-profile lawsuit alleging widespread phone hacking and unlawful surveillance.

The settlement, announced just as the trial was about to commence, includes substantial financial compensation for the Duke of Sussex and a formal, unequivocal apology from NGN. This marks a significant victory for Harry, who had accused the media giant of years of intrusive and illegal activities targeting his private life.

The apology, issued directly to Harry’s legal team, explicitly acknowledged the serious breach of privacy inflicted by both The Sun and the defunct News of the World. It detailed unlawful actions perpetrated between 1996 and 2011, including phone hacking, surveillance, and the use of private investigators to obtain sensitive information.

The statement specifically addressed the intrusive activities carried out by private investigators employed by The Sun, emphasizing the severity of the intrusion into Harry’s private life during his formative years. The apology extended to the distress caused to his late mother, Princess Diana, highlighting the impact of the media’s actions on the young prince.

This settlement represents one of three lawsuits filed by Harry against British media outlets, all stemming from accusations of privacy violations. He has consistently blamed the media for the relentless pursuit of his mother, Princess Diana, ultimately leading to her tragic death in a car crash in Paris while being chased by paparazzi.

The relentless media attention, he has claimed, also contributed to the intense pressure that led him and his wife, Meghan Markle, to step back from royal duties and relocate to the United States in 2020.

The case underscores the wider issue of phone hacking and media intrusion, exemplified by the notorious scandal that forced the closure of News of the World in 2011. The hacking of murdered schoolgirl Milly Dowler’s phone, during the police investigation into her disappearance, remains a particularly egregious example of the unethical practices employed by some sections of the British press.

Harry’s legal battle has brought renewed focus to this issue and the need for greater accountability within the media industry. The settlement, while ending this particular legal chapter, leaves a lasting legacy concerning media responsibility and the rights of public figures to privacy.

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