Australian cyclone crossing Western Australian coast

SYDNEY: A tropical cyclone hit Australia's resource-rich northwest coast Wednesday, bringing winds of up to 165 kilometres (102 miles) an hour as it crossed the shore near the tiny community of Pardoo.

Severe tropical cyclone Rusty had been sitting offshore for several days, slowly intensifying as it edged towards the Pilbara coast and bringing heavy rain and gale-force winds to the iron ore region.

"It is in the process of crossing," Neil Bennett from Australia's Bureau of Meteorology told AFP just after 0700 GMT, adding it was too soon to say whether it had caused any damage.

"Wind gusts in excess of 165 kilometres an hour are in that area."

Bennett said the storm had been downgraded from a category 4 storm, just one notch short of the top category, to a category 3.

The bureau had expected Rusty to make landfall close to Port Hedland, 1,300 kilometres (800 miles) north of Perth, but Bennett said the major iron ore port appeared to have escaped the full brunt of the storm.

"It looks as if Hedland has dodged the bullet, so to speak, because the worst of the winds are away from Hedland," he said.

"Hedland though has been experiencing a constant period of gale-force winds for over 36 hours now. And that's unprecedented (for that area)."

While the storm has been downgraded, its eye has also contracted from being about 80 kilometres wide on Tuesday to about 50 kilometres by the time it crossed land.

Authorities had warned residents to move out of the storm's path or seek shelter. Resident Ian Badger said he was seeking refuge at the Pardoo Roadhouse, about 120 kilometres from Port Hedland.

"It's just a matter of hanging on," he told the Australian Broadcasting Corporation.

"The amount of water that's around is a bit worrying. The ground is very sodden, very soft. As soon as you get a get a bit of strong wind, trees start going over."

The weather bureau expects the cyclone to move slowly in a south-southeasterly direction, gradually downgrading to a category 1 storm by Thursday afternoon and a tropical low the following day.

Australia's major iron ore export ports have been shut for several days anticipating Rusty's approach. Hundreds of people have been forced to evacuate their homes in the sparsely populated but cyclone-prone area.

Global iron ore giants including BHP Billiton, Rio Tinto and Fortescue Metals Group have all shut down or scaled back operations due to the storm.

-AFP/fl

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Peru: 'Missing' U.S. couple found, but family wants proof

STORY HIGHLIGHTS

• Peru's tourism minister say Jamie Neal and Garrett Hand were found in the Amazon


• Hand's mother says she won't believe the news until she hears directly from her son


• Family and friends have not been able to reach the couple since January


• Some areas they planned to visit are out of cell phone and Internet reach

(CNN) -- An American couple that went missing on a bike trek through Peru has been spotted "safe and sound," the South American country's top tourism official said Tuesday.

Jamie Neal and Garrett Hand are heading upstream in a small boat on a jungle river, said Jose Luis Silva, Peru's minister of tourism and commerce.

"They're currently in a remote, paradise-like region of the Peruvian Amazon, which is difficult to access," he told CNN.

But even as authorities trumpeted the news, Hand's mother said in a statement that she won't believe it until she hears directly from her son.

"We have not heard from them since January 25, nor have they accessed bank accounts since that time," mother Francine Fitzgerald said. "We have only the worst to consider as to why."

The couple, who hail from the San Francisco area, left last November and began a series of social media posts chronicling the trip of their dreams -- a four-month bike adventure through South America.

"Will be riding my bike in other countries and out of contact for 4 months!" Neal wrote in a November Facebook post before flying with Hand to Buenos Aires, Argentina.

But for weeks, the couple shared photos online from their trek through Argentina, Chile and Peru, showing themselves posing beside their bikes on remote mountain roads, camping out in tents and smiling at the beach.

In late January, however, their Internet postings stopped and calls to their cell phones went unanswered. Family members say no one has been able to get in touch with them since then.

Fitzgerald said both the U.S. Embassy in Peru and the country's interior ministry have called to say that Neal and Hand were spotted.

But that's not enough, she said.

"Let me reiterate, until we have PROOF OF LIFE, we cannot celebrate these rumors and sightings," she wrote on a Facebook page set up to facilitate a search for the couple. "Proof of life is my son's voice on the phone and a picture of him holding the missing poster."

Silva told CNN that the tourism ministry learned of the couple's location from police, who received a report from a clinic in the town of Angoteros after sending out a nationwide alert about the missing couple.

The ministry will send a hydroplane tomorrow to shoot video of the couple and provide proof they're doing OK, he said.

"They have no idea of the commotion they have caused in the media," he said, "because they simply can't communicate with family from where they currently are."

Neal and Hand, both 25, according to a family flyer, were last seen in Lima, the Peruvian capital. But some of the areas they planned to visit are out of cell phone and Internet reach.

The Peruvian National Police earlier told CNN that the manager of a hostel in Pucallpa, where the couple stayed, confirmed to a police investigator they reached the jungle city in early February.

The manager of Arco Iris Amazonica, a small hotel in the rain forest city of Iquitos, told police the couple stayed there on February 16 and told him they planned to travel to the town of Naplo, a 15-day trek.

Peru is known for the Inca ruins of Machu Picchu, located in the Cusco region, which attract hundreds of thousands of international travelers each year.

Two weeks ago, the U.S. Embassy in Lima issued a security message warning Americans of "a potential kidnapping threat in the Cusco area."

"The Embassy has received information that members of a criminal organization may be planning to kidnap U.S. citizen tourists in the Cusco and Machu Picchu area," the message said.

But it also clarified that "thousands of U.S. citizens routinely travel to the Cusco region without undue incident. The U.S. Embassy remains confident of the Peruvian government's efforts to ensure the safety of all tourists in the region."

Peru's tourism minister said Tuesday that he was "deeply concerned" about the negative impact of reports of the missing American couple.

The reason the couple has been out of touch for so long has nothing to do with any crime, he said.

"These two young people have fallen in love with Peru," Silva said. "They have visited off-the-beaten-path places and it seems like they're having a blast -- so much so that they have forgotten to communicate with their families."

CNN's Catherine E. Shoichet and Tom Watkins contributed to this report.

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Two cops, suspect dead in Calif. shootings

Updated 1:50 a.m. EST

SANTA CRUZ, Calif. Two police officers were shot and killed Tuesday while investigating a sexual assault, and a suspect was also fatally shot, authorities said.

Santa Cruz police Chief Kevin Vogel says Sgt. Loren Butch Baker and Detective Elizabeth Butler were gunned down in mid-afternoon Tuesday as they followed up on a sexual assault investigation. He says Baker was a 28-year veteran of the department and Butler had been with the department 10 years. Vogel says Baker was married and the father of two daughters, while Butler leaves behind two young sons.

A suspect, identified as 35-year-old Jeremy Goulet, was shot and killed a short time later while authorities were pursuing the gunman, the Santa Cruz County sheriff's office said.

Residents on the adjoining streets where the shootings occurred received an automatic police call warning them to stay locked inside. About half an hour later, more than a dozen semi-automatic shots echoed down the streets in a brief shootout that killed the suspect.

Witnesses described hearing a "multitude of gunfire" - with 20 or more shots fired during that gun battle between the suspect and law enforcement, reports CBS San Francisco station station KPIX-TV.

Police were going door-to-door in the neighborhood, searching homes, garages, even closets, although the sheriff said authorities didn't know if another suspect remained at large.

Police, sheriff's deputies and FBI agents filled intersections, some with guns drawn, in what is ordinarily a quiet, residential neighborhood in the community about 60 miles south of San Francisco.

A store clerk a few buildings away from the shooting said the barrage of gunfire was "terrifying."

"We ducked. We have big desks, so under the desks we went," said the clerk, who spoke on condition of anonymity and asked that her store not be identified because she feared for her safety.

She said she remained locked in her store hours after the shooting and was still scared.

Two schools were locked down during the shooting. The students were later evacuated by bus to the County Government Center about half a mile away.

As darkness fell, helicopters and light aircraft patrolled above the neighborhood, which is about a mile from downtown Santa Cruz and the Santa Cruz Beach Boardwalk. The campus of University of California, Santa Cruz, is about five miles away.

The city's mayor, Hilary Bryant, said in a statement that the city was shocked over the shootings.

"Tonight we are heartbroken at the loss of two of our finest police officers who were killed in the line of duty, protecting the community we love," the statement said. "This is an exceptionally shocking and sad day for Santa Cruz and our Police Department."

Santa Cruz has faced a recent spate of violence, and community leaders had scheduled a downtown rally Tuesday to speak out against shootings. That and a city council meeting were canceled after teary-eyed city leaders learned of the deaths.

Those shootings include the killing of Pauly Silva, a 32-year-old martial arts instructor who was shot outside a popular downtown bar and restaurant on Feb. 9.

Two days later, a UC Santa Cruz student waiting at a bus stop was shot in the head during a robbery. She is recovering from her injuries.

Then on Feb. 17, a 21-year-old woman was raped and beaten on the UC Santa Cruz campus. Four days later, a Santa Cruz couple fought off two men who came in their home before dawn and threatened them with a sword.

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Inside Organized Retail Crime Raids

We used to call it shoplifting, but these days the foot soldiers of retail crime rings are known as boosters. Police even have an acronym for these operations: ORC, which stands for Organized Retail Crime.

"It's just like a Fortune 500 company," said Sergeant Eric Lee of the Gardena Police Department in Gardena, Calif. "All of this is just organized."

Watch the full story on "Nightline" TONIGHT at 12:35 a.m. ET

Police say big retail stores, from Walgreens to J.C. Penny, are getting hit by highly sophisticated shoplifting networks that steal and resell everything from underwear to razors to milk. According to the National Retail Federation, theft can amount to annual losses as high as a $37 billion for retail businesses.

"Every store in every city has to go through this," Lee said. "They wait until no one's paying attention and they walk out."

Tide detergent is currently a hot target because it is compact, expensive and easy to sell on the streets for profit, police said. The Street name: "liquid gold."

"Sometimes we get rings that just do alcohol," Lee said. "And then we get some that do just meat and seafood."

Investigators say boosters move the loot for cents on the dollar to fencing operations -- the black market resellers of the stolen goods -- which sell the stolen merchandise in plain sight in stores. Boosters, fencers, Mr. Bigs, all of those involved in these shoplifting operations can potentially make millions a year from boosting and re-selling stolen goods.

Craigslist Crackdown: Cops Go After Thieves Watch Video

And Mike Swett is on the case. A former Riverside County sheriff's deputy in Los Angeles, Swett was badly injured in a car wreck and now works as a full-time private investigator on the ORC beat who has worked with Target, Marshalls, T.J. Maxx. Stores hire him to do his own undercover police work, catching thieves before involving local law enforcement.

"Kind of like working a narcotics case, it's like you've got low-level, mid-level and then top dog," Swett said. "We like to go after the top dog and the only way to get to the top dog is mid-level first."

At his command center -- his apartment -- Swett showed off the boxes upon boxes of tapes and photographs he has collected, the fruits of countless silent stake-out hours.

Swett said he has been casing two joints in L.A. for months, both alleged to be mid-level fencing operations. "Nightline" was invited to ride along with him when he sent undercover agents in for a final reconnaissance mission.

At some stores and shopping malls, clerks do little to stop shoplifters and often let them run, which has contributed to the growing fencing operations.

"[The stores] don't want their employees to get injured," Swett said. "So oftentimes they will call the police, but by the time we get there they are already in their car and they are gone."

This leaves professional investigators like Swett to put the pieces together and bust open the gangs to lead over-stretched police departments to the prey.

When raid day arrived, a motorcade of squad cars departed from the Gardena, Calif., police department and pulled up to one fencing operation. Swett said the merchandise being sold was boosted goods.

"There is Victoria's Secret, expensive Victoria's Secret, the gift sets," he said, pointing down a line of tables. "J.C. Penny, Miramax, its real stuff not counterfeit."

He spotted a bottle of Katy Perry brand perfume, which usually retails for around $90 but one seller had it priced at $59.

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Today on New Scientist: 25 February 2013

First fruits of a groundbreaking art-science tie-up

A pioneering collaboration between two of London's most prestigious cultural institutions shows that sci-art has come of age

The great illusion of the self

Your mind's greatest trick is convincing you of your own reality. Discover the elaborate illusions involved and what they mean in our special feature

Stunning seeds: a biological meteor wreathed in flames

Some seeds have a look that evokes all-consuming fire, says an artist who captures their portraits with a flatbed scanner

Armband adds a twitch to gesture control

The Myo band turns electrical activity in the muscles of a user's forearm into gestures for controlling computers and other devices

Treat malware as biology to know it better

Treating computer viruses as a biological puzzle could help computer scientists get a better handle on the wide world of malware

Take my taxi to the moon

Susmita Mohanty, the founder of India's first private space company, Earth2Orbit, wants India to claim bigger piece of the space-launch pie

How electrodes in the brain block obsessive behaviour

Why deep brain stimulation can help people with OCD was a mystery, but now it seems the treatment fixes brain signalling well beyond the stimulated area

Ancient continent hides beneath Indian Ocean

The sands on Mauritius's beaches are older than the island itself, suggesting a hidden continent is the source

New blood test finds elusive fetal gene problem

Take parents' DNA and make a computer model of their fetus's genome - comparison with the real thing will show up problems that other tests miss

Amazon to open market in second-hand MP3s and e-books

A new market for second-hand digital downloads could let us hold virtual yard sales of our ever-growing piles of intangible possessions

People in a vegetative state may feel pain

Scans have revealed activity in areas of the brain responsible for the emotional aspects of pain in people thought to have no subjective awareness

Sewage solutions: Six alternative toilet technologies

Two-and-a-half billion people don't have access to sanitary toilets, but standard designs aren't an option without a sewer network. See some alternatives here

Rusty rocks reveal ancient origin of photosynthesis

Iron oxide in the world's oldest sedimentary rocks suggest photosynthesis evolved 370 million years earlier than we thought, not long after life began

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Asian markets mostly slip on Italy uncertainty

HONG KONG: Asian markets mostly fell on Tuesday, with dealers spooked by an election in Italy that left no clear winner, leading to political uncertainty and fresh fears about eurozone stability.

The dollar and euro extended the losses suffered in US trade as investors absorbed the Italian results, while there was also concern about the lack of progress in Washington to avoid spending cuts due to take effect on Friday.

Tokyo tumbled 2.26 percent, or 263.71 points, to 11,398.81, with profit-takers also moving in after the index enjoyed a big surge on Monday.

Sydney shed 1.03 percent, or 52.2 points, to 5,003.6, and Seoul lost 0.47 percent, or 9.51 points, to close at 2,000.01.

Shanghai tumbled 1.40 percent, or 32.48 points, to 2,293.34, while Hong Kong fell 1.32 percent, or 300.39 points, to 22,519.69.

Italy Tuesday looked headed for political deadlock as results from Sunday's election indicated there would be no clear winner, while the biggest gainer was a protest party run by a popular comedian.

The polls show that while the leftists won the lower house, the party run by former prime minister Silvio Berlusconi had more seats in the upper house.

Investors fear the outcome will lead to political stalemate in the country and a possible return to the dark days of the region's financial crisis if austerity measures introduced to cut Rome's huge debt pile are reversed.

The developments in Italy sent a shiver through forex markets in New York, with the euro tumbling to $1.3065 and 120.12 yen.

In Asia, the single currency sat at $1.3045 and 119.70 yen, well down from the $1.3197 and 124.24 yen in Tokyo on Monday.

The dollar fetched 91.76 yen against 91.92 yen in New York, far off the 94.77 yen high seen Monday in Asia.

The split vote in Italy wiped out the yen's Monday losses that were fuelled by reports Japan's government is likely to nominate a man to run the central bank who is in favour of more aggressive monetary easing.

On Wall Street, the Dow tumbled 1.55 percent in its biggest single-day drop since November, while the S&P 500 dived 1.83 percent and the Nasdaq sank 1.44 percent.

Traders are also keeping an eye on US lawmakers to see if they can muster an agreement to avoid the imposition of $85 billion in budget cuts -- known as the sequester -- that will come in on Friday.

Analysts have warned that if less drastic cuts are not agreed, the still-fragile economy could slip back into recession.

Oil prices fell, with New York's main contract, light sweet crude for delivery in April, dropping 85 cents to $92.26 a barrel in the afternoon and Brent North Sea crude for delivery in April shedding 85 cents to $113.59.

Gold was at $1,593.60 at 0805 GMT compared with $1,593.30 late Monday.

In other markets:

-- Taipei fell 0.84 percent, or 66.78 points, to 7,880.9.

Taiwan Semiconductor Manufacturing Co shed 1.43 percent to NT$103.5 while leading smartphone maker HTC was 0.36 percent higher at NT$276.5.

-- Manila closed 1.35 percent lower, giving up 90.66 points to 6,630.67.

SM Investments shed 1.37 percent to 1,010 pesos and Ayala Corp. fell 1.02 percent to 584 pesos, while SM Prime Holdings slid 1.60 percent to 18.50 pesos.

-- Wellington closed 0.30 percent, or 12.47 points, higher at 4,238.92.

Telecom rose 1.1 percent to NZ$2.32, Sky City added 0.5 percent to NZ$4.10 and Air New Zealand was up 4.7 percent at NZ$1.33.

- AFP/xq

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Family fights $474K hospital bill

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At least 19 tourists die in hot air balloon crash in Egypt

Updated 2:30 a.m. EST

LUXOR, Egypt A hot air balloon flying over Egypt's famed ancient city of Luxor caught fire and crashed into a sugar cane field on Tuesday, killing at least 19 foreign tourists, a security official said.

It was one of the worst crashes involving tourists in the country already struggling with a decimated tourism industry, two years after the 2011 uprising that ousted former leader Hosni Mubarak.

According to an Egyptian security official, the balloon carrying 21 tourists caught fire, which triggered an explosion in its gas canister, then plunged at least 1,000 feet from the sky. It crashed into a sugar cane field outside al-Dhabaa village just west of the city of Luxor, 320 miles south of Cairo, the official said, speaking on condition of anonymity as he was not authorized to talk to the media.

The casualties included French, British, Chinese and Japanese nationals, the official said. Two survivors of the crash were taken to a local hospital with critical injuries. Local media reports say the survivors included the pilot.

Bodies of the dead tourists were scattered across the field around the remnants of the balloon. An Associated Press reporter at the crash site counted eight bodies as they were put into body bags and taken away.

Hot air ballooning, usually at sunrise over the Karnak and Luxor temples as well as the Valley of the Kings, is a popular pastime for tourists visiting Luxor.

Tourism is one of Egypt's economic pillars and main revenue of foreign currency.

The site of the accident has seen accidents in the past. In 2009, 16 tourists were injured when their balloon stuck a cell phone transmission. A year earlier, seven tourists were injured in a similar crash.

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Americans Targeted for Allegedly Running Underage Prostitution in Philippines

Arthur Benjamin is sitting at the edge of a small stage, wearing a lavender Hawaiian shirt and nursing a bottle of San Miguel Light beer. The 6-foot-6 mustachioed Texan lazily watches the half dozen or so girls dancing rather unenergetically around the stage's pole.

"I forgot your gift again, it's in the car," Benjamin says to one of the girls on stage, shouting above the pop music blaring from the speaker system.

The small, dingy bar, which Benjamin says he owns, is called Crow Bar. It's in a rundown part of the picturesque Subic Bay in the western Philippines, about a three hour drive from the capital, Manila. Home for 50 years to a United States naval base, Subic Bay has become synonymous with foreigners looking for sex in the long string of bars that line the main road along the coast.

Watch the full story on "Nightline" TONIGHT at 12:35 a.m. ET

The bars in this area are often packed with older foreign men ogling the young Filipina women available for the night for a "bar fine" of around 1,500 Filipino pesos, or just over $35. Many of the bars are owned and operated by Americans, often former military servicemen who either served on the base or whose ships docked here until the base was shuttered under political pressure in 1992.

Alleged Underage Prostitution in Philippines Watch Video

Authorities Raid Philippines Bar Suspected of Underage Prostitution Watch Video

Innocence for Sale: US Dollars Fund Philippines Sex Trade Watch Video

Most of the prostitutes working in the bars are indeed 18 or older. But in the Philippines, just a small scratch to the surface can reveal a layer of young, underage girls who have mostly come from impoverished rural provinces to sell their bodies to help support their families.

Benjamin, 49, is, according to his own statements, one of the countless foreigners who has moved beyond just having sex with underage girls to owning and operating a bar where girls in scantily-clad outfits flaunt their bodies for patrons.

"My wife recently found out that I have this place," he tells an ABC News "Nightline" team, unaware they are journalists and recording the conversation on tiny hidden cameras disguised as shirt buttons.

Benjamin said that a "disgruntled waitress" had written his wife on Facebook, detailing his activities in Subic Bay.

"She sent her this thing saying that I have underage girls who stayed with me, that I [have anal sex with them], I own a bar, I've got other girls that I'm putting through high school, all this other crap," he said.

"All of which is true," he laughed. "However, I have to deny."

He sends a text message summoning his current girlfriend, a petite dark-skinned girl called Jade, who he said is just 16 years old. Benjamin says he bought the bar for her about a year ago and while most still call it Crow Bar, he officially re-named it with her last name.

"She needed a place to stay, I needed a place to do her. I bought a bar for her," he says, explaining that she lives in a house out back by the beach.

"You're not going to find anything like this in the States, not as a guy my age," he said as he looked down at Jade. "Ain't going to happen."

Benjamin is the latest target of Father Shay Cullen, a Catholic priest with a thick Irish brogue and fluency in the local language, Tagalog. Through his non-profit center called Preda, he's been crusading against underage sex trafficking in the Philippines for 40 years.

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Take my taxi to the moon

Susmita Mohanty, the founder of India’s first private space company, Earth2Orbit, wants India to claim bigger piece of the space-launch pie

How active is India's space programme?
The Indian Space Research Organization (ISRO), which was founded in 1969, launches rockets, builds and uses satellites extensively for earthly applications and has recently started planetary exploration. It tested its first astronaut capsule for atmospheric re-entry in 2007, and is planning to build a residential astronaut training facility. ISRO is also planning a lunar lander mission for 2014 and will launch a mission to Mars this year.

How does your company, Earth2Orbit, fit in with this programme?
We want to commercialise India's space capabilities, in particular the Polar Satellite Launch Vehicle. It is one of the world's most reliable in its class. I want to make it the rocket of choice for international satellite-makers looking to get to low Earth or sun-synchronous orbits. India could build and launch up to six each year, but currently launches only two. We need to step up to full throttle. The same goes for satellites and ground equipment. Over the next decade or two, I think India should be aiming for at least a quarter of the multibillion-dollar global space market, if not more.

What do you think of the way spacecraft for carrying humans are currently designed?
The way the world aerospace industry is set up, it is closely linked to the defence sector – they share the technology, the tooling and the cumbersome contractual processes. Unlike commercial automobile or consumer-product companies, where the end user is the primary design driver, aerospace companies tend to please government customers. As a result, we often end up with over-engineered, under-designed crew craft with an exorbitant price tag.

How can we improve on these designs?
I want us to push the boundaries of technology and design and build intelligent spaceships – spaceships that think. Imagine if an international consortium of companies such as Apple, Samsung, Pininfarina, Space X and MIT Media Lab got together to design and build a spaceship! What would it look like? Could it think? Could it self-repair or self-clean? Would it challenge the crew?

The private sector is changing how we get into space. How has the X Prize contributed?
It created a tectonic shift in mindsets and showed how we can accelerate innovation in space exploration without having to spend taxpayer money. The first X Prize led to the first privately funded and designed spaceplane built by Burt Rutan. Then Richard Branson seized the opportunity: if all goes well, Virgin Galactic could fly more people to space in a year than the Russians or Americans have over the past 50 years!

What is next for space travel?
It barely takes 10 minutes to reach low Earth orbit. It probably takes longer for most urbanites to commute to work. I want to be able to "cab it" to low Earth orbit. I am dreaming of private astronaut taxis. The first generation will take paying passengers into orbit. The second generation will ferry us to the moon and Mars.

This article appeared in print under the headline "One minute with... Susmita Mohanty"

Profile

Susmita Mohanty is CEO of Earth2Orbit, which recently launched its first client satellite. She has worked at NASA and Boeing, and holds a PhD in aerospace architecture

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