Instagram draws ire over new user rules

SAN FRANCISCO — When it comes to policy changes, Instagram could have used a filter of its own.

Its usually devoted users threatened to delete their accounts en masse Tuesday if the popular photo-sharing app did not roll back new terms of service that appeared to give the company ownership of their images. Instagram users — about 100 million now — snap the photos on their smartphones, apply digital filters to enhance the photos and then instantly share them with friends.

"Dear @Instagram, why did you think we'd just be OK with your new terms? They are NOT COOL. Signed, The Entire Internet," Jason Pollock, a Los Angeles filmmaker and social media consultant, wrote on Twitter.

Instagram founder Kevin Systrom tried to calm the uproar and reassure users in a blog post Tuesday afternoon.

"Instagram does not claim any ownership rights over your photos," he wrote. "We respect that your photos are your photos. Period."

Instagram's new terms of service announced Monday included a clause stating that Instagram had the right to turn images into advertisements without any approval from or compensation for users starting Jan. 16. — part of Facebook's drive to make money from the service it bought this year for $715 million in cash and stock.

That angered amateur and professional photographers alike — even Facebook Chief Executive Mark Zuckerberg's wedding photographer.

"Pro or not if a company wants to use your photos for advertising they need to TELL you and PAY you," Noah Kalina said on Twitter.

The effort to make money from Instagram users struck a nerve. According to the Pew Research Center's Internet & American Life Project, nearly half of Internet users post photos and videos online that they have created themselves.

Kurt Opsahl, a senior staff attorney with the Electronic Frontier Foundation, said Instagram quickly realized it had "overplayed its hand." But its mea culpa blog post still contains plenty of loopholes, he said.

"They say they don't have any plans to put your photos in an advertisement, but nevertheless that is the permission they were seeking," Opsahl said. "We will have to see what the language of the terms of service looks like after they revise it."

Jeff Lawrence, a 29-year-old DJ, graphic designer and photographer from Seattle, said he'll decide if he's dumping Instagram after he sees what the company plans to do in black and white.

"Thankfully we are all Internet savvy enough to know that people can say one thing and do another," said Lawrence, an avid Instagram user. "I am going to wait and see if Instagram takes this criticism to heart and changes the terms of service."

The backlash underscored the rising tensions between users of free social media services and the companies that are trying to profit from them. More users are asking for more control over how these companies handle their information.

Clayton Cubitt, 40, a photographer and filmmaker from Brooklyn, N.Y., quickly dubbed the new terms of service a "suicide note" from Instagram.

He urged his fellow Instagram users to revolt against the current policies at social media companies that he described as "you have a free place to post content and in exchange the company sucks the soul out of your life."

"They look at users as a herd to milk," Cubitt said.

His rants may have angered Zuckerberg, but Zuckerberg's sister Arielle Zuckerberg publicly "liked" Cubitt's Instagram snapshot of the most controversial part of Instagram's terms of service.

It's unclear if the Instagram backlash will cause lasting damage to the service.

Hacker collective Anonymous had urged its more than 780,000 Twitter followers to ditch Instagram with the hashtag #BoycottInstagram and posted screen shots from followers who had. The servers of Instaport.me, which helps users download their photos from Instagram, were overloaded Tuesday as Instagram users deleted their accounts and switched to other options such as Hipstamatic and Twitter's new photo service that has filters similar to Instagram. Yahoo said it has seen "strong interest" in its new Flickr app for iPhones.

Many Instagram users said they would give Instagram the benefit of the doubt — for now.

"I am going to rage about it, and get people to rage about it, until we change their policy," Pollock, 31, said in an interview. "There is just something so personal and beautiful about Instagram. Hopefully they don't completely ruin it."

jessica.guynn@latimes.com

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Obama makes a substantial counteroffer on fiscal deadline

WASHINGTON — President Obama trimmed his demand for tax increases on the wealthy Monday, making a substantial counteroffer as he and House Speaker John A. Boehner reconvened privately at the White House.

Crucial differences remain, but the quickened pace of the budget talks suggested the men are engaged in a serious effort to bridge the partisan divide before the holidays — and before the year-end "fiscal cliff" leads to economically dire tax increases and spending cuts.

The president offered to raise tax rates on household income above $400,000, according to a source familiar with the talks who was not authorized to speak publicly about them. The rate would rise from 35% to 39.6%. The president campaigned for reelection on a plan to require households with incomes above $250,000 to pay more, and, until recently, had emphasized that his victory and postelection polls showed that the public agreed with him.

Obama's overture came after Boehner suggested Friday in a phone call that he would be willing to raise tax rates for those earning more than $1 million — a major concession for the Ohio Republican, who had resisted any increase in the top rates. Aides on both sides were buoyed after that conversation, even though the White House rejected the offer.

After Monday's session, both sides remained optimistic. One senior administration official who requested anonymity to discuss the White House's thinking said the talks reflected "a more robust level of engagement."

Boehner panned the president's proposal, however, in an indication of the difficulty the speaker will have convincing his party's conservative flank to approve any deal with a tax rate increase.

Obama's offer "cannot be considered balanced," said Boehner spokesman Michael Steel. "We hope to continue discussions with the president so we can reach an agreement that is truly balanced and begins to solve our spending problem."

After weeks of sputtering negotiations, the two sides have substantially narrowed their differences. The latest White House offer would yield $1.2 trillion in new revenue over a decade, to be matched with a similar amount of spending reductions.

Boehner's latest proposal was for $1 trillion in new revenue, and talks at the White House earlier Monday involved $1 trillion in cuts.

Obama is now offering twice as much in cuts as he initially put on the table. His proposal includes shaving $400 billion from healthcare programs and a similar amount from other domestic spending. Safety net programs also would be reduced, a prospect making Democrats uneasy.

One change sure to face intense resistance from Obama's allies on Capitol Hill would trim the annual cost-of-living adjustment for those receiving government assistance, probably including Social Security, with protections only for the oldest and poorest Americans.

Yet Obama also proposes to continue long-term unemployment benefits, as well as added infrastructure spending, nodding to other Democratic priorities. He dropped plans to extend the expiring payroll tax break, which Democrats have backed as necessary for economic stimulus, and intends to expedite tax and spending overhauls.

Failure to reach consensus by the end of the month would result in $500 billion in federal spending cuts and tax increases that would mean an estimated $2,200 hike on the average American family.

Boehner will meet Tuesday morning with rank-and-file GOP lawmakers, where he is expected to air the latest proposals and gauge the reaction — particularly from the more conservative House members who constitute the majority of his caucus.

Republicans will almost certainly balk at how the White House calculates the value of the president's proposed deficit reduction package, rejecting the administration's approach of counting accrued savings from last year's budget agreement and from winding down the wars in Iraq and Afghanistan. Including those measures, the White House says, the president's plan would reduce the deficit by more than $4 trillion over a decade.

The GOP also may be critical of Obama's plans to halt most of the automatic spending cuts, which are scheduled to take effect next year.

One key area where stark differences remain is the nation's debt ceiling, which must rise early next year to allow the country to pay its bills.

Boehner offered to increase the federal government's borrowing capacity for another year if the White House agreed to an equal amount of spending cuts, as has been his long-stated position.

Obama's counteroffer seeks a two-year extension of the debt limit, which would be difficult for Boehner's conservative Republicans to accept with the level of cuts now on the table from the administration.

The 45-minute meeting Monday at the White House was the third direct negotiation between Obama and Boehner in little more than a week.

The House had been scheduled to start its holiday vacation Monday. Instead, it joined the Senate in Washington the week before Christmas.

christi.parsons@latimes.com

lisa.mascaro@latimes.com

Michael A. Memoli in the Washington bureau contributed to this report.

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Facebook to launch new Snapchat alternative with self-destructing messages

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Zooey Deschanel, rocker husband finalize divorce

LOS ANGELES (AP) — A judge has finalized Zooey Deschanel's divorce from her rocker husband of roughly three years.

Court records show a judge finalized the actress' divorce from Death Cab for Cutie frontman Ben Gibbard on Wednesday in Los Angeles.

Gibbard and Deschanel, who stars in Fox's "New Girl," were married in September 2009. They had no children together.

The actress filed for divorce in December 2011 after separating two months earlier.

The judgment does not provide financial details of the breakup, although it states that the former couple's marriage cannot be repaired by counseling or mediation.

Deschanel was nominated last week for a Golden Globe for her work on "New Girl."

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Recipes for Health: Not-Too-Sweet Wok-Popped Coconut Kettle Corn

Andrew Scrivani for The New York Times

Not-too-sweet coconut kettle corn.

I’m usually not a big fan of sweet kettle corn, but I wanted to make a moderately sweet version because some people love it and it is nice to be able to offer a sweet snack for the holidays. I realized after testing this recipe that I do like kettle corn if it isn’t too sweet. The trick to not burning the sugar when you make kettle corn is to add the sugar off the heat at the end of popping. The wok will be hot enough to caramelize it.

2 tablespoons coconut oil

6 tablespoons popcorn

2 tablespoons raw brown sugar

Kosher salt to taste

1. Place the coconut oil in a 14-inch lidded wok over medium heat. When the coconut oil melts add a few kernels of popcorn and cover. When you hear a kernel pop, quickly lift the lid and pour in all of the popcorn. Cover, turn the heat to medium-low, and cook, shaking the wok constantly, until you no longer hear the kernels popping against the lid. Turn off the heat, uncover and add the sugar and salt. Cover again and shake the wok vigorously for 30 seconds to a minute. Transfer the popcorn to a bowl, and if there is any caramelized sugar on the bottom of the wok scrape it out. Stir or toss the popcorn to distribute the caramelized bits throughout, and serve.

Yield: About 12 cups popcorn

Advance preparation: This is good for a few hours but it will probably disappear more quickly than that.

Nutritional information per cup: 59 calories; 3 grams fat; 2 grams saturated fat; 0 grams polyunsaturated fat; 0 grams monounsaturated fat; 0 milligrams cholesterol; 8 grams carbohydrates; 1 gram dietary fiber; 1 milligram sodium (does not include salt to taste); 1 gram protein

 

​Up Next: Granola

Martha Rose Shulman is the author of “The Very Best of Recipes for Health.”

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U.S. agency sues JPMorgan Chase unit over bad mortgage bonds

The government agency overseeing credit unions is suing J.P. Morgan Securities, the investment arm of JPMorgan Chase & Co., over the sale of $3.6 billion in mortgage bonds that collapsed in value after the 2008 financial crisis.

The suit is the largest ever filed by the National Credit Union Administration.

It stems from actions by Bear Stearns & Co., the failed bank bought by JPMorgan in early 2008. The NCUA alleges that Bear Stearns misrepresented or hid information about mortgage-backed bonds sold to four corporate credit unions, in violation of federal and state securities laws.

The complaint says that many of the mortgages backing the bonds were bound to fail because underwriting standards were "abandoned." When the bonds later dropped in price, the credit unions suffered steep losses and eventually collapsed.

"Firms like Bear Stearns acted unfairly by ignoring the rules for underwriting," NCUA board Chairman Debbie Matz said in a statement. "They packaged these securities and then told buyers the paper was sound. When the securities plunged in value, we learned the truth."

The four federal credit unions were U.S. Central, Western Corporate, Southwest Corporate and Members United Corporate. NCUA oversees their liquidation. The lawsuit was filed in a federal district court in Kansas.

A representative for JPMorgan Chase did not immediately respond to a request for comment.

The NCUA has eight similar lawsuits pending against other banks, including subsidiaries of Barclays, the Royal Bank of Scotland and UBS.

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Advocacy groups coming hat in hand to a less-strapped Sacramento

SACRAMENTO — Now that California faces a dramatically smaller deficit, advocacy groups and other interests are queuing up with wish lists totaling hundreds of millions of dollars in case the spending spigot opens even slightly.

Children's advocates want day-care centers inspected more often. Dentists want their poor patients' coverage restored. Universities want funds to prevent further tuition increases, replace old computers and perform maintenance. Cities say the state should let them keep more of the money left over from defunct redevelopment agencies.

But California still has financial problems, even after years of steep service cuts, and Gov. Jerry Brown has vowed to keep a tight rein on the budget. State finances could take a turn for the worse if the federal budget standoff sends the country into a new recession or tax revenue doesn't keep pace with spending.

Labor unions that took compensation cuts this year and then put their political muscle behind Brown's successful tax-hike campaign may also look for more money. Almost every contract involving state workers — covering about 172,000 employees from 10 unions — is set to expire this summer.

Brown has not said publicly how he would cover next year's budget gap, which the nonpartisan legislative analyst projected at $1.9 billion. The governor is expected to unveil his spending blueprint in January.

Still, many groups "feel they should be at the head of the line and get their money back next year," said Mike Herald, a lobbyist at the Western Center on Law and Poverty. "Being shy just means you'll be at the back of the line."

Herald has his own wish list, including raising monthly welfare grants and increasing aid for the disabled.

Kim Kruckel, executive director at the Child Care Law Center in San Francisco, said she's been huddling with fellow advocates to decide what to request from Brown and lawmakers. She noted that spending on subsidized child care has been cut $1 billion in four years.

"Could we start to work our way back up? Ten or 20% per year?" Kruckel said. "That sounds reasonable."

Environmental advocates hope for more resources to control hazardous waste and other dangers through the Department of Toxic Substance Control.

"It hasn't been the most effective agency," said Kathryn Phillips, director of Sierra Club California. "If we want to make it work, they're going to have to substantially increase their funding."

Advocates for dental care for the poor already have a powerful supporter in their corner, Senate President Pro Tem Darrell Steinberg (D-Sacramento). He frequently recalls his August visit to a temporary dental clinic in Sacramento, where hundreds camped overnight to get free care and volunteer dentists yanked 2,700 rotted teeth.

In a September conversation with The Times' editorial board, Steinberg said he regretted the cuts the government had made in dental coverage for the poor.

"I thought to myself, 'God, how could I have ever done that,'" he said.

More than 3 million adults lost their coverage in 2009. That saved the state $55 million annually and sacrificed an equal amount of federal money.

Anthony Wright, executive director of the advocacy group Health Access, said Sacramento should restore the money, ensuring that all adults are covered when Medi-Cal expands in 2014 to an estimated 2 million more people under President Obama's healthcare law.

Reviving dental care "could bring hundreds of millions of dollars into our healthcare system, into our economy, and help people have better health," Wright said.

The California Medical Assn. also wants more funding as the state prepares to enlarge healthcare coverage. David Ford, the group's associate director of medical and regulatory policy, said administrators will need more staff to process an influx of newly covered Californians.

"We have to be ramping up," he said.

Advocates worry that the new healthcare law will be undermined in California because the state's Medi-Cal cuts could make it harder for the poor to get care. A federal appeals court ruled Thursday that the state can reduce payments to doctors and others who care for Medi-Cal patients; provider groups say they will appeal.

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Kat Von D Accepts DJ Deadmau5′s Marriage Proposal — Via Twitter

Saturday was just another crazy day in the love life of Kat Von D – you know, marriage proposals via Tweet, etc.

After a two-month hot and heavy romance with Canadian DJ Deadmau5 (followed by a November breakup), the pair is not only back together, they’re engaged — and it all went down on Twitter.

PLAY IT NOW: Meet The Six Little McGhees

“I can’t wait for Christmas so…. Katherine Von Drachenberg, will you marry me?” Deadmau5 (Joel Zimmerman) Tweeted on Saturday, along with a photo of the engagement ring he plans to get the tattoo artist.

Click HERE to see the ring – complete with a diamond flanked by (what else?!) two skulls!

VIEW THE PHOTOS: Stars Who Got Engaged In 2012

Kat replied with a series of exclamation points, to which Deadmau5 romantically responded with, “Holy f***ing s**t. im engaged and stuff!”

The freshly-minted engaged couple then thanked their followers for their support.

“Mi corazon!!! Thank you all for the lovely congratulations!” Kat wrote. “Please excuse me while I go squeeze the hell out of my fiance!”

VIEW THE PHOTOS: Guess The Celebrity Ink!

“Thanks for the well wishes and support from the horde and everyone else!” Deadmau5 Tweeted. “brb while i spend the rest of my evening with my future wife ”

VOTE: Will Kat & Deadmau5 make it down the aisle?

VIEW THE PHOTOS: Hollywood’s Smokin’ Hot Couples

Prior to her whirlwind romance with Deadmau5, Kat was recently engaged to Sandra Bullock’s ex-husband, Jesse James, but the now-ex-couple broke it off in June, 2011.

As previously reported on AccessHollywood.com, Kat and her new fiance, dubbed “Kat and Mau5″ (mouse), were first spotted together in September, and the DJ called Kat “The love of my life” just one month later.

One month after his declaration of love, the pair broke up.

– Erin O’Sullivan

Copyright 2012 by NBC Universal, Inc. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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Hollywood hacker honed his skills for years

LOS ANGELES (AP) — Long before Christopher Chaney made headlines by hacking into the email accounts of such stars as Scarlett Johansson and Christina Aguilera, two other women say he harassed and stalked them online.

The women, who both knew Chaney, say their lives have been irreparably damaged by his actions. One has anxiety and panic attacks; the other is depressed and paranoid. Both say Chaney was calculated, cruel and creepy: he sent nude photos they had taken of themselves to their family members.

Their accounts as cybervictims serve as a cautionary tale for those, even major celebrities, who snap personal, and sometimes revealing photos.

Chaney, 35, of Jacksonville, Fla., is set to be sentenced Monday and could face up to 60 years in prison after pleading guilty to nine felony counts, including wiretapping and unauthorized access to a computer, for hacking into email accounts of Aguilera, Johansson and Mila Kunis.

Aguilera said in a statement that although she knows that she's often in the limelight, Chaney took from her some of the private moments she shares with friends.

"That feeling of security can never be given back and there is no compensation that can restore the feeling one has from such a large invasion of privacy," Aguilera said.

Prosecutors said Chaney illegally accessed the email accounts of more than 50 people in the entertainment industry between November 2010 and October 2011. Aguilera, Kunis and Johansson agreed to have their identities made public with the hopes that the exposure about the case would provide awareness about online intrusion.

The biggest spectacle in the case was the revelation that nude photos taken by Johansson herself and meant for her then-husband Ryan Reynolds were taken by Chaney and put on the Internet. The "Avengers" actress is not expected to attend the hearing, but she has videotaped a statement that may be shown in court.

Some of Aguilera's photos appeared online after Chaney sent an email from the account of her stylist, Simone Harouche, to Aguilera asking the singer for scantily clad photographs, prosecutors said.

Chaney forwarded many of the photographs to two gossip websites and another hacker, but there wasn't evidence he profited from his scheme, authorities said.

For the two women, who were only identified in court papers by their initials, their encounters with Chaney went from friendly to frightening.

One of the women, identified by the initials T.B., said she first met Chaney online in 1999 when she was 13 years old. She began talking with a girl named "Jessica" that later turned out to actually be Chaney.

Chaney figured out his victims' email passwords and security questions and set a feature to forward a copy of every email they received to an account he controlled.

The woman said that in February 2009 her friends contacted her and let her know that several nude photos of her were uploaded to a public gallery. A year later, Chaney sent a link to a photo-sharing website he created and had her nude pictures sent to her father.

She said she spends several hours a week monitoring the Internet for her personal information and breaks into a sweat whenever she receives a Google alert email notifying her that her name has been mentioned online.

In her letter to U.S. District Judge S. James Otero, she said she thinks Chaney won't stop and she still feels like he has control over her reputation, relationships and career.

Chaney was arrested in October 2011 as part of a yearlong investigation of celebrity hacking that authorities dubbed "Operation Hackerazzi." Chaney's computer hard drive contained numerous private celebrity photos and a document that compiled their extensive personal data, according to a search warrant.

Chaney has since apologized for what he has done, but prosecutors are recommending a nearly six-year prison sentence for him. They also want him to pay $150,000 in restitution, including about $66,000 to Johansson.

The second woman, identified in court papers only as T.C., said she was a close friend of Chaney's for more than a decade. As early as 2003 she noticed her passwords were being reset and email she hadn't looked at had been read by someone. She also said Chaney forwarded an invitation to an online photo gallery to her brother, who eventually saw naked pictures of her.

The woman said the night before she got married, Chaney deleted her email account and she was unable to correspond with a notary until she created a new email address.

In her letter to the judge, the woman said she's been broken by the physical and emotional toll and can no longer recall what it was like to have a private life.

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Experts Say Thimerosal Ban Would Imperil Global Health Efforts

A group of prominent doctors and public health experts warns in articles to be published Monday in the journal Pediatrics that banning thimerosal, a mercury compound used as a preservative in vaccines, would devastate public health efforts in developing countries.

Representatives from governments around the world will meet in Geneva next month in a session convened by the United Nations Environmental Program to prepare a global treaty to reduce health hazards by banning certain products and processes that release mercury into the environment.

But a proposal that the ban include thimerosal, which has been used since the 1930s to prevent bacterial and fungal contamination in multidose vials of vaccines, has drawn strong criticism from pediatricians.

They say that the ethyl-mercury compound is critical for vaccine use in the developing world, where multidose vials are a mainstay.

Banning it would require switching to single-dose vials for vaccines, which would cost far more and require new networks of cold storage facilities and additional capacity for waste disposal, the authors of the articles said.

“The result would be millions of people, predominantly in low- and middle-income countries, with significantly restricted access to lifesaving vaccines for many years,” they wrote.

In the United States, thimerosal has not been used in children’s vaccines since the early 2000s after the Food and Drug Administration and public health groups came under pressure from advocacy groups that believed there was an association between the compound and autism in children.

At the time, few, if any, studies had evaluated the compound’s safety, so the American Academy of Pediatrics called for its elimination in children’s vaccines, a recommendation that the authors argued was made under the principle of “do no harm.”

Since then, however, there has been a lot of research, and the evidence is overwhelming that thimerosal is not harmful, the authors said. Louis Z. Cooper, a former president of the academy and one of the authors, said that if the members had known then what they know now, they never would have recommended against using it. “Science clearly documented that we can’t find hazards from thimerosal in vaccines,” he said. “The preservative plays a critical role in distribution of vaccine to the global community. It was a no-brainer what our position needed to be.”

Advocacy groups have lobbied to include the substance in the ban, and some global health experts worry that because the government representatives due to vote next month are for the most part ministers of environment, not health, they may not appreciate the consequences of banning thimerosal in vaccines. The Pediatrics articles are timed to raise a warning before the meeting.

“If you don’t know about this, and you’re a minister of environment who doesn’t usually deal with health, it’s confusing,” said Heidi Larson, senior lecturer at the London School of Hygiene and Tropical Medicine, who runs the Vaccine Confidence Project.

In an open letter to the United Nations Environmental Program and the World Health Organization this year, the Coalition for Mercury-Free Drugs, a nonprofit group that supports the ban, disputed the assertion that scientific studies had offered proof that thimerosal is safe, and urged member states to include it in the ban.

That it is being used in developing countries, but not developed countries, is an “injustice,” the letter said.

The World Health Organization has also weighed in. In April, a group of experts on immunization wrote in a report that they were “gravely concerned that current global discussions may threaten access to thimerosal-containing vaccines without scientific justification.”

Dr. Larson said she believed that the efforts of pediatricians and global health experts, including the W.H.O., would influence the negotiations in Geneva and that the compound would most likely be left out of the final ban.

“You can’t just pull the plug on something without having a plan for an alternative,” she said.

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