First health law appeal rejected

WASHINGTON -- The U.S. Supreme Court on Monday refused to revive a challenge to President Barack Obama's health care overhaul, leaving intact a ruling that said a California man and an interest group filed their lawsuit prematurely.

The case marks the first time that the high court has been called upon to act on the health care law, which is also being challenged by 20 states in 2 lawsuits.

In rejecting the appeal, the justices dropped a hint that all 9 of them will take part if they ultimately consider the law's constitutionality. Two justices whose participation has been the subject of discussion -- Elena Kagan and Clarence Thomas -- both took part in Monday's action.

Justice Kagan, who served as Mr. Obama's top courtroom lawyer before he appointed her to the Supreme Court, was pressed by Republican senators considering her nomination this year to say whether she would disqualify herself from disputes over the health care law.

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Supreme Court is told human law should reflect God's law

WASHINGTON (AP) - 5 of the 9 U.S. Supreme Court justices have been told at the annual Red Mass for the legal profession that they're subject to a higher law.

On the eve of their new term, Chief Justice John Roberts and justices Antonin Scalia, Samuel Alito Clarence Thomas and Stephen Breyer sat in the front row of St. Matthew's Cathedral in Washington, along with Vice President Joseph Biden.

In the homily, Vatican Archbishop J. Augustine Di Noia indirectly denounced abortion, euthanasia and same-sex marriage. He said laws must reflect divine principles, including what he called "the inviolability of innocent life from conception to natural death" and "the sanctity of marriage."

He said the legal profession is charged with protecting rights that come from God, not from government.

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At Hearing, a Dispute Over Banking Provision in Reform Law

WASHINGTON — The unity of regulators who have to put the Dodd-Frank financial reform law into effect was put to the test at a Congressional hearing Thursday as squabbling emerged over a provision affecting lenders.

The disagreement involved a measure requiring lenders to keep at least 5 % of the credit risk when they bundle and sell debt.

Before the housing market collapsed in 2007, many mortgage originators made reckless loans, in part because they were able to quickly sell them to other investors to lay off the risk. The new law required regulators to change that.

So on Monday, the board of the Federal Deposit Insurance Corporation voted 4 to 1 to approve a rule that makes “risk retention” by banks a condition for any bank that wants protection under new accounting rules if the bank were to fail.

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U.S. Is Working to Ease Wiretaps on the Internet

 

WASHINGTON — Federal law enforcement and national security officials are preparing to seek sweeping new regulations for the Internet, arguing that their ability to wiretap criminal and terrorism suspects is “going dark” as people increasingly communicate online instead of by telephone.

Essentially, officials want Congress to require all services that enable communications — including encrypted e-mail transmitters like BlackBerry, social networking sites like Facebook and software that allows direct “peer to peer” messaging like Skype — to be technically capable of complying if served with a wiretap order. The mandate would include being able to intercept and unscramble encrypted messages.

The bill, which the Obama administration plans to submit to lawmakers next year, raises fresh questions about how to balance security needs with protecting privacy and fostering innovation. And because security services around the world face the same problem, it could set an example that is copied globally.

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