Global markets fall after U.S. downgrade

Richard Quest on U.S. debt crisisU.S. and European markets close sharply downAsian markets fall in aftermath of U.S. credit downgradeInvestors are weighing both the downgrade and the European debt crisisG7 leaders say they are committed to taking "all necessary measures"
(CNN) -- U.S. and European markets closed sharply down Monday as investors responded to the unprecedented downgrade of U.S. debt on Friday and concerns around the ongoing eurozone crisis.
The Dow Jones industrial average plummeted more than 630 points, or 5.5%, and was pushed below 11,000 for the first time since November. The S&P 500 fell 6.6% and Nasdaq Composite was down around 6.9%.
European markets closed significantly down, with the FTSE 100 dropping by 3.39%, France's CAC index settling 4.7% lower and Germany's DAX dropping 5%.
The move from Standard & Poor's to downgrade the U.S. from AAA to AA-plus triggered heavy criticism from President Barack Obama's administration amid fears it could contribute to another recession.
Standard & Poor's John Chambers told CNN the downgrade was based on the political polarization in the U.S., following debate over raising the borrowing ceiling, and the country's high levels of debt.
Moody's, another major ratings agency, affirmed its rating of the U.S. debt at Aaa on August 2. It has said a ratings downgrade is possible before 2013 if fiscal discipline is weakened or by a significant deterioration in economic outlook.
Business 360: A wake up call for U.S. and China
In Asia key stock exchanges lost ground across the board Monday.
Tokyo's Nikkei index closed down 202 points, or 2.2%.
South Korea's KOSPI index slipped 3.8%. The Korean Stock Exchange halted trading for five minutes when the index fell 5.5%. It was the first time this year that the circuit breaker has been implemented.
In Australia, the All Ordinaries index lost 2.7%. The Shanghai composite slipped 3.8% lower.
Hong Kong's Hang Seng index tumbled 2.2%.
Besides the U.S. downgrade, investors are concerned about the debt crisis in some European nations, though actions on the part of the G7 and the European Central Bank Sunday helped to allay some of those fears.
Financial representatives of leading industrial nations said they are committed to taking "all necessary measures to support financial stability and growth in a spirit of close cooperation and confidence."
The G7 nations are the United Kingdom, France, Germany, Italy, Japan, Canada and the United States.
Similarly, the European Central Bank made a bid to calm markets Sunday. It said it would implement a bond-purchase program and welcomed announcements by Italy and Spain on new measures meant to reduce their deficits. It told the governments of those countries that a "decisive and swift implementation" of reforms is "essential."
European bond markets rallied Monday in response to the move, but it failed to calm the equity markets.
The move represents an escalation in the official response to Europe's debt crisis, which is now more than a year old and until recently was contained to smaller economies like Greece, Ireland and Portugal.
International Monetary Fund Managing Director Christine Lagarde cheered the announcements.
"I welcome the statements from the European Central Bank, from the leaders of Germany and France as well as from the G7, and their renewed commitment to take all necessary action in a coordinated way to ensure stability and liquidity in the financial markets. This cooperation will contribute to maintaining confidence and spurring global economic growth," she said in a statement.
U.S. officials are talking to a "wide range of investors" about the downgrade by the credit agency to try to "mitigate" any short-term negative impact from Friday's announcement, a Treasury official told CNN.
A Standard & Poor official said Sunday that the downgraded credit rating for the United States was both a call for political consensus on significant deficit reduction and a warning of possible further credit problems down the road.
"We have a negative outlook on the rating and that means that we think the risks currently on the rating are to the downside," said David Beers, the S&P global head of sovereign ratings, on "Fox News Sunday."
However, Beers said markets were reacting to the debt crises in some European countries and fears of a global economic slump, rather than the U.S. credit downgrade alone.
Both Beers and Bill Miller, chairman and chief investment officer at Legg Mason Capital Management, told the Fox program that they don't expect the U.S. downgrade to cause a spike in interest rates, one of the possible results of the higher risk now attached to U.S. debt.
"I don't think we'll pay more in interest," Miller said, calling the downgrade more of a symbolic event than an economic event.
A top market-watcher with HSBC agrees, saying the fear of rising interest rates is "quite sensationalist."
"AA-plus is still a good credit. The implied difference between AAA and AA-plus is exceedingly marginal and very very small," said Ben Pedley, senior director and head of investment strategy at HSBC.
"Expecting something cataclysmic to happen in the U.S. is just not the case," according to Pedley, who acknowledged that the timing of the downgrade was a surprise given the state of the markets last week.
Rating agencies such as S&P, Moody's and Fitch analyze risk and give debt a grade that is supposed to reflect the borrower's ability to repay its loans. The safest bets are stamped AAA.CNN's Tom Cohen, Kyung Lah, Ed Payne, Pamela Boykoff, Jiyeon Lee, Mark Meinero, Irene Chapple and CNNMoney staff contributed to this report.

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Syrian government website hacked

Syria's Ministry of Defense website was hacked and its content replaced by an anti-government government message.A statement on the Syrian Ministry of Defense's website is signed, "Anonymous"It says, "No outside enemy could do as much damage to Syria as Bashar Al-Assad has done"The message also praises peaceful protesters and says "the world stands with you"

(CNN) -- The Syrian Ministry of Defense's website was inaccessible early Monday morning after it was hacked and its content replaced by an anti-government message.

The work seems to be that of Anonymous, a collective of hackers that has carried out similar attacks on companies and government agencies elsewhere.

In the attack, the defense ministry's homepage content was replaced with still images from amateur anti-government videos. A Syrian flag spanning the page had, at its center, the 'Anonymous' logo -- a headless man in a suit.

The home page also included a statement praising peaceful demonstrators and denouncing President Bashar al-Assad:

"To the Syrian people: The world stands with you against the brutal regime of Bashar Al-Assad. Know that time and history are on your side - tyrants use violence because they have nothing else, and the more violent they are, the more fragile they become. We salute your determination to be non-violent in the face of the regime's brutality, and admire your willingness to pursue justice, not mere revenge. All tyrants will fall, and thanks to your bravery Bashar Al-Assad is next.

"To the Syrian military: You are responsible for protecting the Syrian people, and anyone who orders you to kill women, children, and the elderly deserves to be tried for treason. No outside enemy could do as much damage to Syria as Bashar Al-Assad has done. Defend your country - rise up against the regime! -- Anonymous."

The bottom of the website featured links to anti-government sites, such as the Facebook-based "The Syrian Revolution 2011."

Early Monday morning, the site was offline.

Protesters in Syria have been demanding reforms, including true democratic elections and an end to Assad's regime. Assad has been in power since 2000; his father, Hafez, ruled Syria for three decades. Demonstrators have been met by a government crackdown.

The Syrian Observatory for Human Rights, a London-based activist group, said more than 2,000 people -- mostly demonstrators -- have died since the uprising began in mid-March.

Anonymous has taken credit for attacks on various entities, including sheriffs' websites in the United States. It also said it carried out denial-of-service attacks on various Egyptian ministries during that country's revolution.

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U.N. sends aid flight to Somalia

A Somali father and daughter sit at the head of a queue at a registration center at the Dagahaley refugee site.NEW: Obama approves additional $105 million in aid for Horn of AfricaMonday's flight contains 31 metric tons (more than 34 U.S. tons) of suppliesThe agency is sending supplies by air due to the need for speedy reliefA devastating famine and drought has sent about 100,000 Somalis to the capital Monday night on CNN, Anderson Cooper and Dr. Sanjay Gupta report live from Somalia with more on the country's disturbing hunger situation. "AC360?" is now at 8 and 10 p.m. ET weeknights on CNN.

(CNN) -- For the first time in five years, a relief agency dedicated to refugees airlifted emergency aid into the Somali capital of Mogadishu on Monday, according to a spokesman.

The flight left from Dubai, United Arab Emirates, Monday morning with 31 metric tons (more than 34 U.S. tons) of emergency supplies and arrived in Mogadishu early Monday afternoon, said Andy Needham from the office of the United Nations High Commissioner for Refugees.

The aid flight comes just days after Islamic insurgents fled Mogadishu after a heated battle with government and African Union forces. But the trip has nothing to do with improved security, Needham said.

"We took the unprecedented decision to take the airlift for speed due to the famine," he said.

Needham said the group has warehouses across Somalia and would "normally re-stock them over land." But the agency shifted logistics in reaction to starving people flocking to Mogadishu.

Monday's plane carried almost 2,500 emergency assistance packages. Each package contains an improvised tent sheet, sleeping mats, blankets, water containers and food utensils.

"The supplies will be distributed almost immediately," Needham said.

At least two more supply flights are in the pipeline. The next, which is due to land Thursday, will be similar to Monday's delivery.

The third flight will include "high-energy biscuits."

Also Monday, the White House announced that U.S. President Barack Obama approved an additional $105 million for relief efforts in the Horn of Africa.

"U.S. assistance will continue funding the urgently needed food, health, shelter, water and sanitation assistance to those who desperately need help," White House Press Secretary Jay Carney said in a statement.

About 100,000 Somalis have flocked to Mogadishu in search of food and potable water, which have disappeared in a devastating famine and drought, according to the U.N. They join more than 370,000 internal refugees already in the capital in war-torn southern Somalia, many of whom also face hunger.

The UNHCR is calling for more private and government donations for emergency operations in the Horn of Africa, warning that a lack of funds threatens future aid.

The aid organization says it needs $145 million to cover operations through the end of the year, adding that it has received 45% of that amount so far.

The U.N. declared famine in five areas of southern Somalia in June, including Mogadishu. In all, about 12 million people in the Horn of Africa region need assistance. Somalia is the worst hit.

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Reports: Rebels hold town near Tripoli

Libyan rebels move on the town of Bir al-Ghanam on Saturday. Rebels say they have maintained control of the city.NEW: The opposition still has control of Bir al-Ghanam, reports sayThe town is 53 miles from Tripoli, with little betweenThe Libyan PM claimed Sunday the town was back in the government's controlRebels said 1,500 opposition members joined Saturday's battle
Zintan, Libya (CNN) -- Libyan rebel forces are still holding the key town of Bir al-Ghanam as of Monday night, despite the Libyan government's claims that it had retaken it Sunday, reporters say.
CNN's Michael Holmes reported no traffic jam at his location, about 43 miles from Bir al-Ghanam, which he said would be expected if rebels were fleeing the town.
Holmes added that a Reuters reporter went to Bir al-Ghanam Monday and confirmed that the rebels were still in charge.
Bir al-Ghanam is about 85 kilometers (53 miles) southwest of the Libyan capital, Tripoli. Its capture is significant because little else stands between Bir Al-Ghanam and the Libyan coastline where Tripoli is situated.
Blackouts, gas shortages in Tripoli
After rebels gained control of the town Saturday, one rebel fighter told CNN the "next step" was Tripoli.
Libyan Prime Minister Baghdadi Al-Mahmoudi had told reporters in Tripoli on Sunday that rebel forces had the town for only a few hours. Bir al-Ghanam "is now back in the hands of the honorable brave tribes, with its surface back in normal life and under the control of the legitimate government of Libya," Al-Mahmoudi said.
But Nasr Abu al Qassem, who was in Zintan, about 70 kilometers (43 miles) southwest of Bir al-Ghanam, said rebels remained at the front line in Bir Al-Ghanam and were being reinforced. The situation in the town was stable, he said.
Some Grad rockets were fired at the town from a distance Sunday morning, but no rebels were injured, he said.
Rebel commanders said 1,500 opposition members joined in Saturday's battle, which lasted five hours. Rockets and gunfire were exchanged from both sides, and rebels took on Gadhafi fighters from three fronts.
At least eight rebels were killed and dozens more were wounded, according to medical sources. Casualties inflicted on Moammar's Gadhafi forces were not immediately known.
The fighters in Saturday's attack were part of what some have dubbed a Mad Max army -- a fleet of pickup trucks modified to take heavy weapons speeding across the desert. Most of the men were civilians before the fighting broke out.
For months, rebel fighters -- who have controlled the eastern city of Benghazi and other areas -- have been trying to move closer to the capital. They are seeking the ouster of Gadhafi, who has ruled Libya for 42 years.CNN's Michael Holmes and Kareem Khadder contributed to this report.

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Syria faces three ambassador recalls

Syria continues multi-front offensiveNEW: U.S. State Department spokesman: Syrian president "has fewer and fewer friends"Bahrain recalls its ambassador to Syria for consultations amid mounting violenceKuwait and Saudi Arabia are also recalling their ambassadors for discussionsSaudi Arabia's king says there is "no justification for the bloodshed" in Syria
(CNN) -- As activists reported intense gunfire, mounting deaths and mass detentions Monday in Syria, regional leaders stepped up their criticism of the escalating violence.
Saudi Arabia, Kuwait and Bahrain said they were recalling their ambassadors from Syria to discuss the situation.
Officials announced the diplomatic moves after Saudi Arabia's King Abdullah condemned violence in Syria in a rare rebuke directed at a fellow Arab leader.
"There is no justification for the bloodshed in Syria, and what is happening has nothing to do with religion or ethics," he said in remarks broadcast on state television early Monday. "The Syrian leadership could activate comprehensive reforms quickly."
Activists inside and outside Syria said a government crackdown was continuing Monday.
Three people died after security forces opened fire at a funeral procession in Daraa, the London-based Syrian Observatory for Human Rights said. And at least 65 people died during a military operation that began Sunday in Deir Ezzor, according to the activist network Local Coordination Committees of Syria.
Tanks entered the town of Maaret al-Numan after more than a month stationed outside its borders, the Local Coordination Committees and the Syrian Observatory for Human Rights reported. Syrian forces reportedly detained dozens of residents there.
As some groups described increasing violence, Syrian state media reported that the military was pulling back in at least one city. SANA said troops were leaving Hama on Monday after accomplishing "their mission of protecting citizens."
Earlier Monday an activist based in the city said clashes were continuing, with residents describing sounds of intense gunfire in at least one neighborhood. Markets were closed, tanks surrounded some hospitals, and doctors did not have enough medicine to treat the sick and wounded, according to an activist, who asked to remain anonymous because he feared for his safety.
Syria: Understanding the unrest
Syria has restricted international journalists' access to the country, and CNN was unable to independently confirm the death toll and details of the situation.
The reported crackdowns were the latest in months of unrest, which started when Syrian forces swiftly suppressed anti-government protests in the southern city of Daraa.
Anti-government fervor caught on nationwide as more protests were met with tougher crackdowns.
The state-run Syrian Arab News Agency says government officials have pledged political reforms, and security forces are fighting dangerous armed gangs and "terrorist groups." It describes troops killed in clashes as "martyrs."
SANA, citing Syrian President Bashar al-Assad, said in a report Monday that the country is "dealing with the outlaws ... who are blocking roads, closing cities and terrorizing citizens," adding that it "is the duty of state to protect the lives of citizens."
The Syrian Observatory for Human Rights said 2,000 people, primarily demonstrators, have died in the months-long unrest.
In recent days, critical statements from regional leaders -- including the Arab League and a coalition of Gulf states -- have joined an international chorus calling on the Syrian government to end the violence.
Saudi Arabia's king said the situation in Syria was "unacceptable," announcing his country's decision to recall its ambassador "for consultation on current events."
"The brotherly Syrian government and people are aware of the Kingdom of Saudi Arabia's past support for them," Abdullah said, according to a transcript of his statement released by the Saudi government. "Today, Saudi Arabia stands up to its historical responsibility towards its brothers, demands an end to the killing machine and bloodshed, and (is) asking for reason to prevail before it is too late."
The statement from the king -- who leads a nation with significant religious authority and symbolic status among Muslims -- comes at a significant time, during the holy month of Ramadan.
Later Monday, foreign ministries in Bahrain and Kuwait announced that their countries' ambassadors to Syria also had been recalled for consultations on the situation.
"This is a steady drum beat, an increasing drum beat ... The message is becoming clearer and clearer to Assad that he has fewer and fewer friends," U.S. State Department spokesman Mark Toner said Monday.
Turkey's foreign minister's scheduled visit to Syria Tuesday will be a chance "to send send yet another strong message" demanding that al-Assad stop the violence, Toner said.
"His neighbors and other powerful countries and voices in the region need to chime in and get that message to him," Toner said.
The Arab League issued a statement calling on Syrian authorities "to stop immediately all acts of violence and security campaigns against civilians and to speed up in executing reforms."
On Sunday, the Cooperation Council for the Arab States of the Gulf, a union of countries located on the Arabian Peninsula, called on Syria "to put an end to the bloodshed and resort to wisdom, and make serious reforms necessary."
SANA, citing a Syrian official, reported that the government received the statement "with regret." The council "completely ignored the information and facts presented by Syria on the killing and sabotage acts committed by armed terrorist groups seeking to undermine the homeland's sovereignty and security," the SANA report said.
Criticism of al-Assad's government appeared to take a new form Monday when the Syrian Ministry of Defense website was apparently hacked.
For a brief period, the site showed the Syrian flag and a statement: "The world stands with you against the brutal regime of Bashar al-Assad. Know that time and history are on your side."
The statement was signed, "Anonymous" -- an apparent reference to the international hacking collective that has claimed credit for high-profile cyber-attacks in recent months targeting government websites and major corporations.
Later Monday SANA reported that al-Assad named a new minister of defense to replace Gen. Ali Habib Hamoud, whose "health condition deteriorated recently." It was unclear how the reshuffling would impact the nation's military strategy.CNN's Nada Husseini, Mohammed Jamjoom, Yousuf Basil, Christine Theodorou, Arwa Damon, Amir Ahmed, Kamal Ghattas and Salma Abdelaziz contributed to this report.

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Tropical Storm Muifa hits China, Koreas

Chinese residents spend a night at a school in China's Shandong province on August 8, 2011.Tropical storm Muifa makes landfall in North KoreaFour deaths are reported in South Korea, the Yonhap News Agency reportsAt least 490,000 people have been evacuated in China, Xinhau reports
(CNN) -- Tropical Storm Muifa made landfall in North Korea on Monday, bringing heavy rainfall and gusty winds, according to the Joint Typhoon Warning Center.
The storm, which was downgraded from typhoon status on Monday, came ashore in North Korea about 7 p.m. Monday, said CNN meteorologist Brandon Miller.
"It's quickly losing its tropical characteristics and losing strength as we speak," he said.
Four people died and two others were reported missing in Seoul, South Korea, where the storm passed Monday evening, the semi-official Yonhap News Agency reported.
In China, at least 490,000 people had been evacuated from Shandong and Liaoning provices in the eastern part of the country, Xinhua reported. No deaths or injuries were reported.
In Dalian, authorities were able to avert the spill of toxic chemicals from an industrial plant after 65-foot (20-meter) waves broke through a dike protecting the area and threatened to flood the plant, according to Xinhau. Workers dumped concrete and rocks to fill in the hole.
The plant contains cancer-causing chemicals used to make polyester film and fabrics, Xinhau said.

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Bahrain frees more than 140 detainees

Bahraini Shiite's chant slogans in the town of Sitra, situated outside the capital Manama on March 20, 2010.NEW: One of two former MPs says he, colleague were "tortured"Detainees had gone on hunger strike to protest detention without trialProtests demanding political reform began on February 14Bahrain is a strategically important nation to the United States
(CNN) -- Bahraini authorities have released more than 140 detainees, including two ranking former opposition members of Parliament and a prominent opposition lawyer, government officials said.
The two former MP's are members of the largest Shiite opposition group, Al-Wefaq, which resigned from Parliament in February over the killing of pro-reform protesters, most of whom were Shiites.
Former Al Wefaq MPs Matar Matar and Jawad Fairuz were "tortured" while in the custody of Bahraini national security forces, Matar said. Following an interrogation with a military prosecutor, Matar said he, Fairuz and a few others were taken to what he believes was a military site. They were brought to an open area outside and told to raise their hands. Approximately five men began to beat them with sticks for about 30 minutes, Matar said.
The beating took place after Matar said he had completed answering questions from a military investigator. The security forces "didn't want information." They wanted to "send a message that we have a green light," to do whatever they want, Matar said.
Nabeel Rajab, president of the Bahrain Center for Human Rights, said he believes -- based on what people previously in detention have told him -- about 98 percent of people in custody had suffered physically abuse, including beatings, elect shocks and sexual assaults. "No one was immune... very rarely will you find someone who was not abused," Rajab said. There have other been credible allegations of torture by Bahraini security forces from human rights groups, including Physicians for Human Rights.
Bahrain has not yet responded to a query regarding the treatment of the two former MPs while in Bahraini custody.
Matar also claims he was physically abused on one other occasion and he was often interrogated for long hours and denied sleep. My time in detention "was a very tough period for me and my family," he said. But he still feels like a "hostage." They have released us, but they "can come and take us at any time."
Matar, who represented the biggest constituency in Bahrain, and Fairuz, a key lawmaker for Al Wefaq, are charged with spreading lies in an attempt to help overthrow the government. Matar had been held in detention since he was taken from his car by armed men May 2. Fairuz was taken seperately on the same day. Mohamed al-Tajir, a human rights lawyer, was also among those released Sunday.
Bahrain's ruling Khalifa family is Sunni Muslim, but about two-thirds of the country's people are Shiite.
Some detainees were released for legal reasons, according to Bahrain's state media. Suspects in misdemeanor cases had already spent as much time in detention as potential sentences would amount to if convicted, Bahrain News Agency reported. Matar is not sure if he or Fairuz face further court hearings.
Scores of detainees, including at least two women, went on hunger strikes to protest their continued detention without trial, activists said.
Protests demanding political reform and greater freedoms for the Shiite majority began on February 14.
Police turned teargas and firearms on protesters, who had occupied the Pearl Roundabout, an iconic landmark.
Thirty-three people have died since the unrest began, activists say. Four policemen were also killed, according to the Interior Ministry.
A military court has handed down harsh prison sentences from two years to the death penalty for charges including murder and attempting to overthrow the regime.
More than 2,500 people have fired from their jobs for allegedly taking part in the protests, according to the Bahrain Workers' Trade Union.
Bahrain is a strategically important nation to the United States, and it is home to the U.S. Navy's 5th Fleet.Jennifer Fenton contributed to this report.

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Obama calls for political will to fixes

Obama: 'Always a triple-A country'NEW: Dow plunges 634 pointsNEW: Cantor says there will be pressure to compromise on tax hikesPresident Obama says he will propose ideas for a deficit-reduction packageThe president speaks after Friday's downgrade of the U.S. credit rating
Washington (CNN) -- President Barack Obama called Monday for political will from both parties to fix what he described as the country's "eminently solvable" economic problems in the wake of last week's downgrade of its credit rating by Standard & Poor's.
In remarks to reporters that were added to his daily schedule, Obama noted the Friday downgrade from AAA to AA+ occurred because "they doubted our political system's ability to act" following the grueling negotiations with congressional leaders that preceded last week's agreement on a debt ceiling increase.
Now it will take political will on the part of Democrats and Republicans, the president said, calling on all involved to stop refusing "to put what's best for the country ahead of self-interest or party or ideology."
"We knew from the outset that a prolonged debate over the debt ceiling, a debate where the threat of default was used as a bargaining chip, could do enormous damage to our economy and the world's," Obama said on a day the Dow plunged 634 points in reaction to the S&P downgrade.
"That threat, coming after a string of economic disruptions in Europe, Japan and the Middle East, has now roiled the markets and dampened consumer confidence and slowed the pace of recovery." he said.
Calling the situation a "legitimate source of concern," Obama said the "good news" is that "our problems are eminently solvable. And we know what we have to do to solve them.
The nation needs to tackle its budget deficits over the long term, he said, adding that he will be presenting his ideas for how to proceed in coming weeks as a special congressional committee set up under the debt-ceiling agreement begins its work. Obama offered no details of his plan, and White House Press Secretary Jay Carney also provided no additional information when questioned later by reporters.
In his remarks, Obama said the issue of the most immediate concern to most Americans and to financial markets was the slow pace of recovery from economic recession.
He renewed his call for Congress to extend into next year the payroll tax cut that took effect in January as well as funding for unemployment insurance benefits, saying both steps would spur economic activity by putting money into the hands of consumers.
Noting public concerns about the economy, Obama declared: "Markets will rise and fall, but this is the United States of America. No matter what some agency may say, we've always been and always will be a triple-A country."
To tackle the mounting federal deficits and national debt, Obama has called for a comprehensive agreement that would cut spending, reform entitlement programs and increase tax revenue.
Republicans oppose any kind of tax increase, and many reject increased tax revenue even if the tax rates remain the same or are lowered.
The tax revenue issue, as well as the scope of entitlement reforms, have been the main stumbling blocks to a major deficit reduction deal.
"Over the next several months, there will be tremendous pressure on Congress to prove that S&P's analysis of the inability of the political parties to bridge our differences is wrong," said House Majority Leader Eric Cantor said in a memo to GOP members.
"In short, there will be pressure to compromise on tax increases," he said. "We will be told that there is no other way forward. I respectfully disagree."
The special congressional committee set up under a debt ceiling deal will comprise 12 members -- six Democrats and six Republicans -- from the House and Senate. It must present its recommended package of deficit reduction steps by November 23, and Congress must vote on the package with no amendments by December 23.
Congressional leaders have until August 16 to appoint members to the special committee.CNN's Tom Cohen contributed to this report.

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London violence extends into third day

NEW: Prime minister returns to London from holidayNEW: Disturbances reported in BirminghamHome Secretary May: Those responsible will face consequencesThirty-five police officers have been injuredEditor's Note: Are you there? Send your videos, stories and photos to CNN iReport.
London (CNN) -- Violence that appears to have initially been sparked by last week's shooting death of a 29-year-old man broke out for a third consecutive day Monday -- this time in daylight -- with gangs of youths marauding through areas of London.
Street disturbances appeared to have spread to Birmingham, about 120 miles from London, where police said "several premises" in the city center had been attacked "with some shop windows smashed and property stolen in various locations." A police spokeswoman in Birmingham said extra officers were on patrol.
The office of British Prime Minister David Cameron announced that Cameron would be returning to London Monday night, cutting short a vacation in Italy, for meetings to discuss the violence.
As disturbances flared in various parts of London, an official from the London Fire Brigade told CNN: "We are now too busy now to take any calls from the media."
In the Hackney area of east London, gangs attacked a police car and shops. Video showed riot police involved in skirmishes, youths destroying a police car, smashing shop windows, a sporting goods shop being looted and the window of another shop being smashed.
In Lewisham in south London, a car was set afire. "This is just thugs wanting to intimidate people," Councillor Michael Harris told the BBC. "We've had good community relations in Lewisham and it's simply not justified." He described the people carrying out the acts as young people whose faces were covered with masks.
Several hundred people in the center of Peckham in South London threw projectiles -- stones, clay pots and bottles -- with one policeman saying, "they raided the bottle bank," CNN's Dan Rivers reported from the scene.
Large numbers of them, many with faces covered by shirts and bandannas, rushed back and forth with police -- in far fewer numbers -- standing their ground at the entrances to roads, Rivers said.
Police created a cordon around Clapham Junction, one of London's busiest train stations, with trains unable to go to or from the station. There was no obvious sign of violence at the station but a policewoman told CNN it was not safe for people to go near the station. The policewoman did not explain why.
The renewed unrest came after police announced the arrest of more than 100 people Sunday and Monday in connection with riots Saturday night in the city's Tottenham neighborhood and continued violence in isolated outbreaks elsewhere in the city on Sunday.
The violence started in the ethnically diverse, working-class suburb north of London's center whose residents are predominantly Afro-Caribbean. Saturday's riots occurred after the shooting death Thursday of Mark Duggan, a black man, as he was seated inside a cab.
Officers from Operation Trident -- the Metropolitan Police unit that deals with gun crime in London's black communities -- stopped the cab during an attempted arrest and soon afterward shots were fired, the Independent Police Complaints Commission (IPCC) said. Duggan, a father of four, was fatally shot. Shooting deaths are rare in England.
The commission divulged neither who shot Duggan nor why police had stopped the cab.
Some reports suggested that Duggan was held down by police and shot in the head, but the IPCC has denied this.
"Speculation that Mark Duggan was 'assassinated' in an execution style involving a number of shots to the head are categorically untrue," the IPCC said in a statement.
A British police watchdog group said evidence from Thursday's shooting scene, including a nonpolice firearm, was to undergo forensic testing.
The man's family and friends, who blamed police for the death, gathered Saturday night outside the Tottenham police station to protest.
The protest began peacefully but soon devolved into riots as demonstrators -- whose numbers included whites and blacks -- tossed petrol bombs, looted stores and burned police cars.
Sunday night and Monday morning's arrests were separate from 61 others made Saturday night and Sunday morning. Sixteen people were charged, and at least 17 people were released on bail, police said.
The unrest prompted Home Secretary Theresa May to cut short her summer vacation and return Monday afternoon to London.
In all, 35 police officers have been injured since the violence broke out, Metropolitan Police said.
On Monday morning, residents of the commercial center of Brixton south of London awoke to see the aftermath of Sunday night's sporadic shooting in the commercial center. A KFC's windows were smashed, a Foot Locker store was burned, and the main street was closed as police investigators combed through the area looking for evidence.
Police said they were reviewing closed-circuit television footage in an attempt to identify looters.
Looting also occurred in pockets of Enfield, next to Tottenham, in London's north end.
"The scenes of violence and destruction over the weekend are utterly appalling," said London Mayor Boris Johnson, in a statement. "People have lost their homes, businesses and livelihoods through mindless violence. I understand the need for urgent answers into the shooting incident that resulted in the death of a young local man, and I've sought reassurances that the IPCC are doing exactly that. But let's be clear these acts of sheer criminality across London are nothing to do with this incident and must stop now."
A representative of Johnson said Monday evening that he was cutting short his family holiday in North America to return to London.
Police said the rioting and looting in other parts of the capital were "copycat" events conducted by opportunists and criminals.
"This is not about the black community and the police, it's about young people and the police," said Shaun Bailey, a youth worker, in a statement circulated by the mayor's office. "And let's not beat around the bush and pretend this is some type of social justice protest -- it's sheer criminality."
The specter that such violence could arise had been a concern to David Lammy long before the weekend. The Labour MP for Tottenham told a reporter in March that Tottenham could become a scene of violence as cuts to social-service programs for youths were implemented.
"It's heartbreaking," he told the Tottenham & Wood Green Journal. "I'm really worried that the social experiment that we're seeing from the Tory-led coalition will lead to scenes akin to something that we see in some of the inner-city areas of America and that's why we need to bring this government down."
But the leader of Enfield Council, Doug Taylor, was unmoved. "There can be no justification for the violence and the looting," the Labour Party member told a reporter.
Deputy Prime Minister Nicholas Clegg called the rioters "opportunists -- cynical folks who are indulging in smash-and-grab criminality."
Police say they have evidence that some of the rioting was coordinated using social media, including Twitter.
Tottenham was the site of riots before. In 1985 Floyd Jarrett, who was of Afro-Caribbean origin, was stopped by police near the Broadwater Farm estate in Tottenham on suspicion of driving with a forged tax disc, a document all British vehicles must carry.
A few hours later, officers raided the nearby home of his mother, who collapsed and died during the raid. Rioting erupted shortly afterwards. Like the current violence, a protest outside Tottenham Police Station sparked the 1985 conflict.CNN's Annabel Archer, Phil Black, David Wilkinson, Atika Shubert, Bryony Jones, Erin McLaughlin, Bharati Naik, Aliza Kassim and David Wilkinson contributed to this report.

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soldier admits manslaughter

Army Spc. Adam Winfield is one of six soldiers accused of being in a squad that killed civilians and hid the alleged crimes.NEW: Winfield said he did nothing to stop his fellow soldiersHe is accused of being one of six soldiers who formed a "kill squad"Winfield originally faced five charges including murdering three Afghan civiliansWinfield's father said he tried to report the group's alleged actions to the Army but was ignored
Joint Base Lewis-Mcchord, Washington (CNN) -- During his court martial Friday, an Army specialist accused of being part of a rogue "kill squad" said he did nothing to stop fellow soldiers as they allegedly murdered an unarmed Afghan man in front of him.
At the opening of his court martial for allegedly killing civilians in Afghanistan, Army Specialist Adam Winfield pleaded guilty to manslaughter and use of an illegal controlled substance.
Winfield is one of six soldiers who, while on assignment in Afghanistan, are accused of participating in illegal killings of civilians and covered up the alleged crimes by making it appear as if they were insurgents. An additional six soldiers are accused with lesser crimes in the case, including helping to cover up the killings.
Winfield originally faced five charges including murdering three Afghan civilians. If convicted, Winfield would have faced a potential life sentence in a military prison.
As part of a plea agreement with prosecutors, Winfield agreed to testify against other soldiers in the case. During his testimony Friday, Winfield told the military court that he was afraid of his Staff Sergeant.
He said Sgt. Calvin Gibbs concocted "scenarios" where the men would select Afghan civilians to murder and then place weapons on them so they would appear to be insurgents who had attacked U.S. forces first.
During a May 2010 mission to a village called Qualaday, Winfield testified that Sgt. Gibbs pointed to an unarmed Afghan man.
"Is this the guy?" Winfield testified Gibbs asked him and Pvt. Jeremy Morlock.
"I had an idea that Sgt. Gibbs was looking for a kill," Winfield testified.
The soldiers killed the man by throwing a grenade at his feet and shooting him. They later claimed the Afghan man had thrown the grenade at them.
Winfield said Friday he fired his automatic weapon away from the man as to pretend to have taken part in the alleged murder. But he admitted he did nothing to keep his fellow soldiers from carrying out the alleged execution of an unarmed civilian.
"I didn't say no, I didn't object to it," Winfield told the court.
Winfield said Sgt. Gibbs was concerned he would talk about the alleged murders and threatened that he could kill him and make it look like an accident had taken place while Winfield was repairing a vehicle or working out in the gym. When Winfield went to speak with an Army Chaplain about depression he was suffering from, he said Gibbs intercepted him.
"Sgt. Gibbs reminded me I shouldn't be talking about things I shouldn't be talking about," Winfield testified.
Although Winfield said he was pressured to keep quiet, he testified no one forced him to take place in the alleged killings.
"If I had done my duty, he would still be alive," Winfield said, referring to the Afghan man he said his fellow soldiers murdered.
In March, another soldier, Pvt. Morlock, pleaded guilty to killing that man and two other Afghan civilians for thrills and covering up the murders.
Morlock's chilling testimony painted a picture of soldiers gone rogue -- abusing drugs, executing Afghan civilians they referred to as "savages" and posing in photographs over the dead men. Morlock is serving a 24-year sentence in prison.
The group's alleged ringleader, Sgt. Gibbs, who also faces court martial in the case, has said the killings were justified under Army rules of engagement. Gibbs is also accused of taking body parts from the dead men to keep as grisly souvenirs.
Winfield is expected to face sentencing Friday. His father Christopher Winfield previously told reporters that his son had told him about the alleged killings and that he was afraid that his fellow soldiers might target him for speaking out. Christopher Winfield said he tried to report the group's alleged actions to the Army but was ignored.
The Army has said it is investigating the claims made by Winfield's father that he tried to alert officials about the alleged murders.
Members of Winfield's family, including his father, were in court Friday for the proceedings.

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'Kill squad' soldier admits manslaughter

Army Spc. Adam Winfield is one of six soldiers accused of being in a squad that killed civilians and hid the alleged crimes.NEW: Winfield said he did nothing to stop his fellow soldiersHe is accused of being one of six soldiers who formed a "kill squad"Winfield originally faced five charges including murdering three Afghan civiliansWinfield's father said he tried to report the group's alleged actions to the Army but was ignored

Joint Base Lewis-Mcchord, Washington (CNN) -- During his court martial Friday, an Army specialist accused of being part of a rogue "kill squad" said he did nothing to stop fellow soldiers as they allegedly murdered an unarmed Afghan man in front of him.

At the opening of his court martial for allegedly killing civilians in Afghanistan, Army Specialist Adam Winfield pleaded guilty to manslaughter and use of an illegal controlled substance.

Winfield is one of six soldiers who, while on assignment in Afghanistan, are accused of participating in illegal killings of civilians and covered up the alleged crimes by making it appear as if they were insurgents. An additional six soldiers are accused with lesser crimes in the case, including helping to cover up the killings.

Winfield originally faced five charges including murdering three Afghan civilians. If convicted, Winfield would have faced a potential life sentence in a military prison.

As part of a plea agreement with prosecutors, Winfield agreed to testify against other soldiers in the case. During his testimony Friday, Winfield told the military court that he was afraid of his Staff Sergeant.

He said Sgt. Calvin Gibbs concocted "scenarios" where the men would select Afghan civilians to murder and then place weapons on them so they would appear to be insurgents who had attacked U.S. forces first.

During a May 2010 mission to a village called Qualaday, Winfield testified that Sgt. Gibbs pointed to an unarmed Afghan man.

"Is this the guy?" Winfield testified Gibbs asked him and Pvt. Jeremy Morlock.

"I had an idea that Sgt. Gibbs was looking for a kill," Winfield testified.

The soldiers killed the man by throwing a grenade at his feet and shooting him. They later claimed the Afghan man had thrown the grenade at them.

Winfield said Friday he fired his automatic weapon away from the man as to pretend to have taken part in the alleged murder. But he admitted he did nothing to keep his fellow soldiers from carrying out the alleged execution of an unarmed civilian.

"I didn't say no, I didn't object to it," Winfield told the court.

Winfield said Sgt. Gibbs was concerned he would talk about the alleged murders and threatened that he could kill him and make it look like an accident had taken place while Winfield was repairing a vehicle or working out in the gym. When Winfield went to speak with an Army Chaplain about depression he was suffering from, he said Gibbs intercepted him.

"Sgt. Gibbs reminded me I shouldn't be talking about things I shouldn't be talking about," Winfield testified.

Although Winfield said he was pressured to keep quiet, he testified no one forced him to take place in the alleged killings.

"If I had done my duty, he would still be alive," Winfield said, referring to the Afghan man he said his fellow soldiers murdered.

In March, another soldier, Pvt. Morlock, pleaded guilty to killing that man and two other Afghan civilians for thrills and covering up the murders.

Morlock's chilling testimony painted a picture of soldiers gone rogue -- abusing drugs, executing Afghan civilians they referred to as "savages" and posing in photographs over the dead men. Morlock is serving a 24-year sentence in prison.

The group's alleged ringleader, Sgt. Gibbs, who also faces court martial in the case, has said the killings were justified under Army rules of engagement. Gibbs is also accused of taking body parts from the dead men to keep as grisly souvenirs.

Winfield is expected to face sentencing Friday. His father Christopher Winfield previously told reporters that his son had told him about the alleged killings and that he was afraid that his fellow soldiers might target him for speaking out. Christopher Winfield said he tried to report the group's alleged actions to the Army but was ignored.

The Army has said it is investigating the claims made by Winfield's father that he tried to alert officials about the alleged murders.

Members of Winfield's family, including his father, were in court Friday for the proceedings.

View the original article here

Peliculas Online

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China relaxes birth limits after mudslide

A search and rescue crew working in the aftermath of the landslide in Zhouqu on August 12, 2010.Restrictions are eased so families that lost children can have more, Xinhua saysWomen are offered free operations to reverse birth-control procedures A mudslide last year in Zhouqu county left more than 1,700 people dead or missingChina enforces strict family planning controls to limit its population growth

(CNN) -- China has relaxed its strict birth-control restrictions for families that lost children in a mudslide that killed hundreds in the northwest last year, state media reported Friday.

Women in the Zhouqu area who underwent procedures to prevent further pregnancies such as having their fallopian tubes tied can now have a free reverse operation, the state-run Xinhua News Agency reported.

Liang Jianjun, head of Zhouqu's family planning bureau, said women from 27 families have had such operations.

"Some of these women are pregnant now," he is quoted as saying by Xinhua.

China enforces a strict family-planning policy that limits most families in urban areas to only one child, although those in the countryside and certain ethnic areas are allowed more.

In Zhouqu, rural families can have two children, while those in five Tibetan-dominated towns and villages can have three, Xinhua reported.

The easing of government restrictions means families who lost children in the mudslide can now have more to fill the "quotas," a government official told the news service.

The mudslide in August last year left more than 1,700 people dead or missing in Zhouqu County, in northwestern Gansu province, Xinhua said.

Thousands of homes collapsed or were damaged in the disaster, which followed weeks of heavy rains and flooding.

China's three-decade-old population control policy is controversial.

Some critics have urged Beijing to relax it, saying it has skewed China's population and that better-off families have been able to bribe officials into allowing them more children.

View the original article here

Peliculas Online

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[Smartphone Table] [Smartphone Table] N. Koreans 'hack' South game sites

South Korea has experienced a wave of cyber attacks over the past two years.S. Korean police arrest 5 men for alleged involvement in hacking online game systemsN. Koreans allegedly hacked the systems to discover how to cheat the operationsThey created programs to play online games and obtain virtual items to sell for cash on InternetPyongyang denies responsibility for a wave of cyber attacks that have targeted S. Korea

Seoul, South Korea (CNN) -- South Korean police arrested five men Thursday for allegedly collaborating with North Korean computer experts to hack into online game systems to generate millions of dollars in illicit gains.

Their investigation, which was conducted with the country's National Intelligence Service, exposed an elaborate operation in which South Koreans invited North Korean computer hackers to China to create programs that automatically play popular online games and accumulate virtual items that were later sold for cash on the Internet.

The police believe these programs, known as auto-programs, were developed by hacking into South Korean online game companies to work out how to write them to cheat their operations, according to the Seoul Metropolitan Police Agency.

South Korea has experienced a wave of cyber attacks on government, business and military websites over the past two years. Seoul has fingered North Korea for the attacks, a claim Pyongyang denies. There is rising concern about Internet security in the South as experts point to the vulnerabilities of one of the most wired countries in the world.

Police say their investigation into the gaming scheme points to the possibility of North Korea using online gaming as another tool to penetrate South Korea's computing systems.

The five men held over the illicit gaming operation allegedly invited the North Korean computer specialists to China as normal business partners and provided them with board and stipends while engaging them in developing the auto-programs, according to police.

The operation began roughly two years ago and has generated more than 6.4 billion won (US$6 million) over the span of a year and a half, according to the police.

Once invited, the North Korean computers experts, mostly graduates from top-ranking North Korean universities, stayed for roughly five months in China before returning to their home country.

They received compensation for developing auto-programs and were expected to wire a monthly fee of US$500 back to Pyongyang, according to the police.

Some of them work for the North's leading IT agency Korea Computer Center (KCC), while others operate under a trade company that is known to be involved in raising and managing funds for North Korea's leader Kim Jong Il, according to the investigation report.

"We have to some extent confirmed through the statements of the suspects that North Korea is mass mobilizing computer experts for hacking, and that they are heavily involved in cyber crimes," according to the police investigation report.

The police called on South Korean online game companies to boost their security systems in the face of North Korea's increasing hacking capabilities and potential for conducting cyber attacks in the South.



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Posted By Bapak to Smartphone Table at 9/15/2011 11:31:00 PM

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Posted By Bapak to Smartphone Table at 9/15/2011 11:31:00 PM

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[Smartphone Table] N. Koreans 'hack' South game sites

South Korea has experienced a wave of cyber attacks over the past two years.S. Korean police arrest 5 men for alleged involvement in hacking online game systemsN. Koreans allegedly hacked the systems to discover how to cheat the operationsThey created programs to play online games and obtain virtual items to sell for cash on InternetPyongyang denies responsibility for a wave of cyber attacks that have targeted S. Korea

Seoul, South Korea (CNN) -- South Korean police arrested five men Thursday for allegedly collaborating with North Korean computer experts to hack into online game systems to generate millions of dollars in illicit gains.

Their investigation, which was conducted with the country's National Intelligence Service, exposed an elaborate operation in which South Koreans invited North Korean computer hackers to China to create programs that automatically play popular online games and accumulate virtual items that were later sold for cash on the Internet.

The police believe these programs, known as auto-programs, were developed by hacking into South Korean online game companies to work out how to write them to cheat their operations, according to the Seoul Metropolitan Police Agency.

South Korea has experienced a wave of cyber attacks on government, business and military websites over the past two years. Seoul has fingered North Korea for the attacks, a claim Pyongyang denies. There is rising concern about Internet security in the South as experts point to the vulnerabilities of one of the most wired countries in the world.

Police say their investigation into the gaming scheme points to the possibility of North Korea using online gaming as another tool to penetrate South Korea's computing systems.

The five men held over the illicit gaming operation allegedly invited the North Korean computer specialists to China as normal business partners and provided them with board and stipends while engaging them in developing the auto-programs, according to police.

The operation began roughly two years ago and has generated more than 6.4 billion won (US$6 million) over the span of a year and a half, according to the police.

Once invited, the North Korean computers experts, mostly graduates from top-ranking North Korean universities, stayed for roughly five months in China before returning to their home country.

They received compensation for developing auto-programs and were expected to wire a monthly fee of US$500 back to Pyongyang, according to the police.

Some of them work for the North's leading IT agency Korea Computer Center (KCC), while others operate under a trade company that is known to be involved in raising and managing funds for North Korea's leader Kim Jong Il, according to the investigation report.

"We have to some extent confirmed through the statements of the suspects that North Korea is mass mobilizing computer experts for hacking, and that they are heavily involved in cyber crimes," according to the police investigation report.

The police called on South Korean online game companies to boost their security systems in the face of North Korea's increasing hacking capabilities and potential for conducting cyber attacks in the South.



--
Posted By Bapak to Smartphone Table at 9/15/2011 11:31:00 PM

Read more »

N. Koreans 'hack' South game sites

South Korea has experienced a wave of cyber attacks over the past two years.S. Korean police arrest 5 men for alleged involvement in hacking online game systemsN. Koreans allegedly hacked the systems to discover how to cheat the operationsThey created programs to play online games and obtain virtual items to sell for cash on InternetPyongyang denies responsibility for a wave of cyber attacks that have targeted S. Korea

Seoul, South Korea (CNN) -- South Korean police arrested five men Thursday for allegedly collaborating with North Korean computer experts to hack into online game systems to generate millions of dollars in illicit gains.

Their investigation, which was conducted with the country's National Intelligence Service, exposed an elaborate operation in which South Koreans invited North Korean computer hackers to China to create programs that automatically play popular online games and accumulate virtual items that were later sold for cash on the Internet.

The police believe these programs, known as auto-programs, were developed by hacking into South Korean online game companies to work out how to write them to cheat their operations, according to the Seoul Metropolitan Police Agency.

South Korea has experienced a wave of cyber attacks on government, business and military websites over the past two years. Seoul has fingered North Korea for the attacks, a claim Pyongyang denies. There is rising concern about Internet security in the South as experts point to the vulnerabilities of one of the most wired countries in the world.

Police say their investigation into the gaming scheme points to the possibility of North Korea using online gaming as another tool to penetrate South Korea's computing systems.

The five men held over the illicit gaming operation allegedly invited the North Korean computer specialists to China as normal business partners and provided them with board and stipends while engaging them in developing the auto-programs, according to police.

The operation began roughly two years ago and has generated more than 6.4 billion won (US$6 million) over the span of a year and a half, according to the police.

Once invited, the North Korean computers experts, mostly graduates from top-ranking North Korean universities, stayed for roughly five months in China before returning to their home country.

They received compensation for developing auto-programs and were expected to wire a monthly fee of US$500 back to Pyongyang, according to the police.

Some of them work for the North's leading IT agency Korea Computer Center (KCC), while others operate under a trade company that is known to be involved in raising and managing funds for North Korea's leader Kim Jong Il, according to the investigation report.

"We have to some extent confirmed through the statements of the suspects that North Korea is mass mobilizing computer experts for hacking, and that they are heavily involved in cyber crimes," according to the police investigation report.

The police called on South Korean online game companies to boost their security systems in the face of North Korea's increasing hacking capabilities and potential for conducting cyber attacks in the South.

Read more »

Thai lawmakers back first female PM

Thai Prime Minister Yingluck Shinawatra (C) gives a traditional greeting to members of parliament in Bangkok, on August 2.Yingluck Shinawatra has to be proclaimed by the nation's kingIf King Bhumibol Adulyadej proclaims her, she will be the 28th prime minister in Thai historyYingluck is the younger sister of one of Thailand's most polarizing political figures

Bangkok, Thailand (CNN) -- The Thai parliament elected the nation's first female prime minister Friday, with more than half the lawmakers backing her vote.

Yingluck Shinawatra has to be proclaimed by the nation's king before she can officially take office. If King Bhumibol Adulyadej proclaims her, she will be the 28th prime minister in Thai history.

Yingluck won 296 votes in the nearly 500-member parliament.

"The first thing I want to do is help people on their economic situation," she said last month.

Yingluck is the younger sister of one of Thailand's most polarizing political figures, former Prime Minister Thaksin Shinawatra, who was ousted in a 2006 military coup.

He left the country two years later after being convicted on conflict of interest charges -- accusations he denies.

Yingluck's critics worry she will do her brother's bidding -- something she has denied.

"There is a lot more hard work to do in the future for the well-being of our sisters and brothers, the people of Thailand," she said last month. "There are many things to accomplish to make reconciliation possible, paving the way for a solid foundation for a flourishing nation."

Tensions between the Democratic Party and the Pheu Thai party, which reflect deep divisions within Thai society, erupted last year, leading to a military crackdown. More than 90 people were killed and hundreds were injured.

After the riots, the Thai government pledged to work toward national reconciliation to heal class and political divisions, though the divide between the two groups remains wide.CNN's Licia Yee contribute to this report

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Opinion: Assad should be a pariah

Syria's government has killed more than 150 Syrians this week, Salman Shaikh saysPresident Bashar Al-Assad's regime will do whatever it takes to stay in power, he saysHe says the regime's actions are symptoms of an irreversible slow-motion collapseShaikh: Assad and his regime deserve international pariah statusEditor's note: Salman Shaikh is director of the Brookings Doha Center, a project of the Saban Center for Middle East Policy within the Brookings Institution.

Doha, Qatar (CNN) -- An often-heard sentiment in regional and international capitals has been that, in Syria, it is "the better the devil you know." More recently, there has been the hope that President Bashar Al-Assad will forge what some call "a regime-led transition to democratic reform," even as the killings of overwhelmingly peaceful protesters have mounted in the nearly five-month uprising.

In the lead-up to the Muslim holy month of Ramadan that started Monday, there was also a belief, including among Syrians, that the regime would refrain from killing during this period; and that Al-Assad would not repeat his father's 1982 massacre in Hama -- Syria's fourth-largest city -- which killed an estimated 20,000 to 40,000 people during a three-week artillery barrage.

The last three days have dispelled all of the above. More than 150 people have been killed -- more than half of them in Hama -- by a merciless "pre-emptive" regime campaign of gratuitous violence. Tanks are again in the center of Hama, and the regime has been shelling the town since Sunday.

Why is this happening, and what can be done to stop it?

The "why" is easy. As Mike Doran and I recently argued, the regime's Alawi-dominated "deep state" (or state within a state, to borrow a phrase from the Turkish experience), comprising the Assad family, its fellow Alawi military and security henchmen and co-opted Sunni administrators and business elites, will do whatever it takes to stay in power.

Why Obama must be cautious on Syria

Faced with a tenacious nationwide protest network that is leaderless and largely Sunni, the "deep state" is having to confront two serious problems: the creeping independence of the provinces from Damascus and a crisis of morale among the largely Sunni conscript soldiers in the regular army. Assad has therefore gone on the attack in Hama and other towns where over the past weeks, there had been huge protests and a growing sense of autonomy. By doing so, he may also be hoping that a descent into sectarian conflict, especially between the elite Alawi units of the Syrian army and its Sunni defectors, may stop the protest movement in its tracks.

These are the acts of a desperate regime. More force will not save it; rather, it will fuel greater resistance and its isolation. In fact, its actions are symptoms of an irreversible slow-motion collapse. But the challenge remains how to stop the regime from killing more of its people, and how to prevent the collapse of the entire country into a state of chaos.

The international response to events in Syria has been woeful. Wednesday's "balanced" press statement -- the weakest of all instruments -- by the United Nations Security Council condemning the use of violence against civilians and human rights abuses, but also against "state institutions," is an indication of that.

The Russians and Chinese have protected Assad while the other BRICS (Brazil, India and South Africa) have acted like spoiled brats upset about the West's military "overreach" on Libya.

Washington and Brussels have grappled for a policy on what to do with Assad. They have relied on nuanced phrases and symbolic actions such as travel bans and asset freezes on Assad, his family and senior military officers to make their point.

There is also talk of an imminent bill in the U.S. Senate that would seek to sanction Syria's oil exports and starve it of much-needed revenue. The U.S. has also outsourced the work to Turkey, which has shown its own limitations in managing Assad. The Arab League, faced with a goliath like Assad's Syria, has been pathetically impotent.

This week, both President Obama and Secretary of State Hillary Clinton have gotten tougher in their condemnation of the regime's actions and called for a democratic transition to go forward in Syria. What is not clear, however, is how they would propose that. Obama called for a post-Gadhafi Libya, but he has not called for a post-Assad Syria.

While Wednesday's events in the Security Council show how hard it will be, there is no substitute for more effective international action to pressure and isolate the regime. The target must be the "deep state" that comprises the regime's central pillars.

Members of the Assad family and senior military officers should be referred to the International Criminal Court for egregious violations of international humanitarian law, including crimes against humanity. Travel bans and asset freezes must also target the business leaders who are doing business with both the regime and the outside world. In addition, preventing oil revenues from ending up in the regime's coffers must be a collective, regional and international responsibility; otherwise, it will not work.

Many will say that it is not realistic to expect the Security Council to pass such measures. That may be the case -- for now. With protesters not backing down and the regime fighting for its survival, something will have to give. It is important that a marker is set now, spelling out the kind of action that should be taken.

In parallel to the efforts in the Security Council, Washington should convene a conference of interested powers, in conjunction with Turkey and France, to develop a Syrian "contact group" to coordinate action, including at the United Nations, and devoted to establishing a stable order in the country. Crucially, such a group should seek to involve Arab states such as Saudi Arabia and Qatar. The group would also give a much-needed incentive to help turn elements of the Syrian opposition movement into a future transitional authority.

As many in the Arab and Muslim world sit down to break their daily fasts and conduct nightly prayers, they are turning to the grainy scenes of violence captured on cell phones and broadcast on satellite channels coming from Syria. A sense of revulsion is growing that another Arab despot is using such force to suppress his people in this, the holiest of months. As Saddam Hussein once did, Assad and his regime deserve international pariah status.

The opinions expressed in this commentary are solely those of Salman Shaikh.

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