New rules seek to shield consumers, mortgage lenders

WASHINGTON Federal regulators for the first time are laying out rules designed to ensure that mortgage borrowers can afford to repay the loans they take out.

The rules being unveiled Thursday by the Consumer Financial Protection Bureau impose a range of obligations and restrictions on lenders, including bans on the risky "interest-only" and "no documentation" loans that helped inflate the housing bubble.

Lenders will be required to verify and inspect borrowers' financial records. They generally will be prohibited from saddling borrowers with loan payments totaling 43 percent of the person's annual income.

CFPB Director Richard Cordray, in remarks prepared for an event Thursday, called the rules "the true essence of 'responsible lending."'

The rules, which take effect next year, aim to "make sure that people who work hard to buy their own home can be assured of not only greater consumer protections but also reasonable access to credit," he said.

Cordray noted that, in years leading up to the 2008 financial crisis, consumers could easily obtain mortgages that they could not afford to repay. In contrast, in subsequent years, banks tightened lending so much that few could qualify for a home loan.

The new rules seek out a middle ground by protecting consumers from bad loans while giving banks the legal assurances they need to increase lending, he said.

The mortgage-lending overhaul is a priority for the agency, which was created under the 2010 financial law known as the Dodd-Frank Act. The agency is charged with reducing the risk of a credit bubble by helping to ensure that borrowers are better informed and loans are more likely to be repaid.

The agency is charged with writing and enforcing rules that flesh out the law passed by Congress. Some provisions are required under the law, but the agency had broad discretion in designing many of the new requirements.

The rules limit features like teaser rates that adjust upwards and large "balloon payments" that must be made at the end of the loan period.

They include several exceptions aimed at ensuring a smooth phase-in and protecting access to credit for underserved groups. For example, the strict cap on how much debt consumers may take on will not apply immediately. Loans that meet separate federal standards also would be permitted for the first seven years.

Balloon payments would be allowed for certain small lenders that operate in rural or underserved communities, because other loans may not be available in those areas.

The bureau also proposed amendments that would exempt from the rules some loans made by community banks, credit unions and nonprofit lenders that work with low- and moderate-income consumers.

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Holmes 'Delighted' by Creepy Self-Portraits: Victims

After two days of apparent indifference, accused Aurora shooter James Holmessmiled and smirked at disturbing self-portraits and images of weapons shown in court today, according to the families of victims who watched him.

"When he sees himself, he gets very excited and his eyes crinkle," Caren Teves said outside of the courthouse, after the hearing. "Your eyes are the window to the soul and you could see that he was very delighted in seeing himself in that manner."

Teves' son Alex Teves, 24, died in the shooting.

Prosecutors showed photos that Holmes took of himself hours before he allegedly carried out a massacre at a Colorado movie theater. He took a series of menacing self-portraits with his dyed orange hair curling out of from under a black skull cap and his eyes covered with black contacts. In some of the photos, guns were visible.

Those haunting photographs, found on his iPhone, were shown in court today on the last day of a preliminary testimony that will lead to a decision on whether the case will go to trial. The hearing concluded without Holmes' defense calling any witnesses.

The judge's decision on whether the case will proceed to trial is expected on Friday.

James Holmes: Suspect in Aurora Movie Theatre Shootings Back in Court Watch Video

Police Testify at Hearing for Accused Colorado Gunman Watch Video

Couple Surprised by Rebuilt Home After Sandy Watch Video

Holmes, 25, is accused of opening fire on a crowded movie theater in Aurora, Colo., on July 20, 2012, killing 12 people and wounding dozens others during a showing of "Dark Knight Rises."

The court room's set-up kept members of the media from being able to see Holmes' face as the photos were displayed, but victims and their families could watch him.

Teves said that Holmes was "absolutely smirking" when images of his weapons and the iPhone photos he took of himself were shown in court.

"I watched him intently," Caren Teves' husband Tom Teves said. "I watched him smile every time a weapon was discussed, every time they talked about his apartment and how he had it set up (with booby traps), and he could have gave a darn about the people, to be quite frank. But he's not crazy one bit. He's very, very cold. He's very, very calculated."

Holmes' has exhibited bizarre behavior after the shooting and while in custody. His defense team has said that he is mentally ill, but have not said if he will plead insanity.

"He has a brain set that no one here can understand and we want to call him crazy because we want to make that feel better in our society, but we have to accept the fact that there are evil people in our society that enjoy killing any type of living thing," a frustrated Tom Teves said. "That doesn't make them crazy. And don't pretend he's crazy. He's not crazy."

The photos presented in court showed Holmes mugging for his iPhone camera just hours before the shooting.

Click here for full coverage of the Aurora movie theater shooting.

Half-a-dozen photos showed Holmes with his clownish red-orange hair and black contact lenses giving the photos a particularly disturbing edge.

In one particularly odd image, he was making a scowling face with his tongue out. He was whistling in another photo. Holmes is smiling in his black contacts and flaming hair in yet another with the muzzle of one of his Glock pistols in the forefront.

Yet another photo showed him dressed in black tactical gear, posing with an AR-15 rifle.

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Case of Wall Street greed gone too far

Goldman Sachs CEO Lloyd Blankfein was one of the executives whose stock award was accelerated to beat higher tax rate.

STORY HIGHLIGHTS

• Goldman Sachs granted $65 million in stock to execs before new tax rates began


• Susan Antilla says the firm's CEO had endorsed higher rates, called for entitlement cuts


• She says Goldman benefits from the implicit promise that U.S. will bail it out


• Antilla: It was unseemly for Goldman to rush the payments to shield execs from new rates

Editor's note: Susan Antilla is a columnist at Bloomberg View and a contributor to TheStreet.com. She has written about finance for more than 30 years. She is author of "Tales From the Boom-Boom Room: The Landmark Legal Battles That Exposed Wall Street's Shocking Culture of Sexual Harassment." Follow her on Twitter @antillaview.

(CNN) -- Nobody likes to pay taxes, so can you blame the good folks at Goldman Sachs & Co. for doing what they could to avoid the higher rates that kicked in on January 1?

While the rest of us were donning our party clothes on New Year's Eve, the legal worker bees at Goldman were pushing the send button on 10 regulatory filings to the Securities and Exchange Commission.

By the time the ball dropped in Times Square, regulators had been notified that $65 million in Goldman stock had been granted a month early, helping a cluster of powerful multimillionaire executives trim their tax tab.

Among the 10 who shared that $65 million, Chief Executive Officer Lloyd Blankfein, Chief Operating Officer Gary Cohn and Chief Financial Officer David Viniar wound up with $8.4 million apiece in Goldman stock.

Susan Antilla

Blankfein's compensation in 2011 was $16.2 million. Cohn and Viniar that year made $15.8 million. Even Gordon Gekko would be impressed to see that bosses making that much money were able to catch a tax break for a couple hundred thousand.

The 10 executives who skirted 2013's higher rates were not the only Goldmanites who benefited from the "accelerated" vesting. Michael DuVally, a Goldman spokesman, acknowledged there was "a group larger than" the 10 but declined to say how many. DuVally would not comment on who made the decision to grant the shares early.

The shrewd Goldman move is hardly unique among rich business executives or even 99 percenters of more modest means. It was no secret that higher taxes were coming this year, and taxpayers of all shapes and sizes did what they could to ensure that "tax events" would occur in 2012.

Even environmental activist and Nobel Prize winner Al Gore tried, albeit without success, to unload his Current TV to Al Jazeera before the new year dawned.

What makes the Goldman move distasteful is that it wasn't even two months ago that CEO Blankfein was mouthing off in a Wall Street Journal op-ed that he endorsed tax increases "especially for the wealthiest" -- along with a plug to cut entitlements to all you freeloaders out there.

If you're pushing the position that the rich should pay more to help fix the deficit, it doesn't quite follow to employ a tax dodge, says Dennis Kelleher, president of the Washington-based public interest group Better Markets Inc.

"Goldman's quickie year-end tax shenanigans deprived the government of what it otherwise would get," he says. "So they either cause the debt to go up, or cause others to pay more by the taxes they are avoiding."

DuVally, the Goldman spokesman, declined to comment when I asked whether it was inconsistent for Goldman to make a move for its executives to avoid taxes after Blankfein endorsed increases for the wealthy.

I've got to hand it to Goldman. The firm is a master of the "have-your-cake-and-eat-it-too" brand of politics and public relations. One minute, Goldman is cranking out press releases about its devotion to women entrepreneurs in its philanthropic "10,000 women" program. The next, it is announcing its annual list of new partners that includes a paltry 10 women but 60 men.

Goldman was a victim on the defensive when Greg Smith, a former employee, wrote a New York Times op-ed on March 14, blasting the firm for having "morally bankrupt people" who needed to be weeded out. You could almost feel sorry for poor Goldman, which shipped out a memo reminding employees that their estimable employer had been named one of the best places to work in the United Kingdom only weeks before the London-based Smith's "Why I Am Leaving Goldman Sachs" essay.

By the time Smith published a book seven months later, the firm had turned ruthless revenge-seeker, even sharing parts of Smith's self-evaluations with the media. A "best place to work?" Really? Careful what you say in the press -- and in your HR file -- if you get your paycheck from a Goldman-style operation.

The brouhaha over Smith's op-ed and book stirred up debate of the "What did you expect of an investment bank operating in capitalistic society?" type.

Fair enough. Banks are not in the philanthropy business -- even if they spend as much time as Goldman does talking about its good deeds and famous "business principles." ("Our clients always come first" is famously No. 1 on the list.)

At Goldman and other "too big to fail" banks, though, employees walk through the doors each morning knowing that the rest of us will be forced to bail them out again should another crisis ensue. We taxpayers provide the insurance policy that they enjoy without ever sending us premiums. In October of 2008, Goldman got $10 billion in taxpayer money from the Troubled Asset Relief Program, which it ultimately paid back.

Blankfein, like other bank CEOs, would later make the case that Goldman wasn't "relying on" that government help.

But leaf through the tomes of some of the regulators who lived through the crisis, and you start to wonder whether our tax-dodging heroes might be out of jobs today if the public hadn't fronted a bailout.

From "Bull by the Horns," by former Federal Deposit Insurance Corp. chairman Sheila Bair: Goldman and Morgan Stanley were "teetering on the edge" in the fall of 2008.

From "Bailout: An Inside Account of how Washington Abandoned Main Street While Rescuing Wall Street," by Neil Barofsky, former special inspector general to oversee the Troubled Assets Relief Program: Federal Reserve chairman Ben Bernanke "confided that he believed that Goldman Sachs would have been the next to go" after Morgan Stanley.

We need to change the conversation here.

Goldman and its too-big-to-fail brethren are banks that accepted welfare and are in debt to U.S. taxpayers for averting disaster. This hasn't been about hard-nosed capitalism since those first TARP wire transfers made their way into Goldman Sachs' coffers.

As for the bank's recent tax-reduction maneuver, it's another reminder that Goldman's management is either clueless about how bad it looks or doesn't care. Sometimes bad PR is a just a cost of doing business.

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The opinions expressed in this commentary are solely those of Susan Antilla.

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Third Delhi gang-rape suspect to plead not guilty: lawyer

NEW DELHI: A third suspect accused of fatally gang-raping a 23-year-old student in a moving bus in New Delhi last month will plead not guilty to all charges, his lawyer said on Wednesday.

Advocate M L Sharma said he would file the plea on behalf of Ram Singh, the driver of the bus where the attack allegedly took place which has fuelled angry protests across India.

"I am representing Ram Singh and I will file a 'not guilty' plea," Sharma, who is also representing Singh's brother Mukesh and labourer Akshay Thakur in the case, told AFP.

The advocate said on Tuesday that the other two men would also plead not guilty to the string of charges including gang-rape, murder and kidnapping.

"Whoever committed this heinous crime should be punished but my clients are not the real culprits," he said.

It is not yet clear who will represent the two remaining defendants. All five men are residents of New Delhi slums aged from 19 to 35. A sixth accused, who is 17, is to be tried in a separate court for juveniles.

Officials at Tihar jail, the maximum security prison where the accused are held, confirmed that Sharma had met Ram Singh late on Tuesday.

Prosecutors have said they have evidence of bloodstains linking the men to the attack, but the advocate said he would challenge the police over their handling of evidence, while refusing to give details.

The next hearing, to be held behind closed doors, has been scheduled for Thursday when a magistrate is expected to transfer the case for trial in a special fast-track court.

The brutal attack on the medical student and her boyfriend has stirred anger in India, with politicians and the murder victim's family calling for the death penalty for the culprits.

The pair had been to watch a film when they were lured onto a bus. The gang are accused of repeatedly raping and violating the woman with an iron bar, causing horrific internal injuries.

- AFP/xq

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National Cathedral to wed same-sex couples

By Ben Brumfield, CNN

updated 2:37 AM EST, Wed January 9, 2013

STORY HIGHLIGHTS

• Same-sex couples have lined up to marry in city halls


• Washington National Cathedral is the site of presidential funerals


• Four presidents have had inaugural prayers there


• It is also a place of worship for the Episcopal Church

(CNN) -- When laws went into effect in three states for same-sex couples to marry, many were quick to line up at their city halls to exchange vows. Now they may do so in one of the nation's most prominent churches -- the Washington National Cathedral.

Most Americans know the house of God, also called the Cathedral Church of St. Peter and St. Paul, as a place where sacred rites are carried out on behalf of the nation. It has been host to the funerals of numerous presidents and of inaugural prayer services for four presidents, including Barack Obama.

But it is also an active house of worship in the Episcopalian Church, said the Cathedral's dean, Gary Hall. The denomination has developed a blessing rite that mirrors current wedding ceremonies for heterosexual couples and allows each bishop to decide to allow same-sex marriages in their churches or not.

Bishop Mariann Budde decided to allow the rite, since same-sex marriage is legal in the District of Columbia and now in neighboring Maryland as well, Hall said.

Same-sex marriage amendments in U.S.

HIDE CAPTION

It was Budde's decision that led Hall to create the same-sex rite.

He sees it as "another historic step toward greater equality."

The states of Washington, Maine and Maryland all legalized same-sex marriages in referendums during the 2012 general election. It was already legal in the nation's capital.

In March, the Supreme Court will hear oral arguments in two appeals cases related to same-sex marriage -- California's Proposition 8, which bans same-sex marriage and the federal Defense of Marriage Act, which denies federal benefits to same-sex couples.

The American Episcopal Church is intimately connected with the Church of England, which last week approved the advancement of male priests in same-sex committed relationships to the position of bishop. But those relationships must be celibate.

City halls in Baltimore; Portland, Maine; and Seattle erupted in celebration as the first same-sex couples tied the knot in December and January. Seattle's ceremony included 133 couples, who walked outside and down rain-slickened steps afterward, where they were greeted by cheers, confetti and a brass band celebrating the first day same-sex couples could marry in Washington.

To wed at the National Cathedral, one member of the couple must be baptized into the Church, and both must commit to a Christian marriage of "lifelong faithfulness, love, forbearance and mutual comfort."

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N.Y.'s Cuomo pushing for much tougher gun law

A deal that would give New York one of the toughest gun control laws in the nation was being sought by Gov. Andrew Cuomo who, sources told CBS New York station WCBS-TV, was hoping to announce the plan Wednesday during his State of the State address.

The sources said Cuomo was negotiating furiously with legislative leaders in an attempt to reach a deal before the address.

The measures would be a response to gun violence in the U.S., including the tragic shooting at Sandy Hook Elementary School in Newtown, Conn., in which 26 children and adults were killed.

Sources said the package was expected to include new restrictions on assault weapons, stiffer penalties for using a gun to commit a crime, and new limits on the number of bullets in a gun magazine.

Cuomo's move comes as New York City Mayor Michael Bloomberg's Mayors Against Gun Violence released a new commercial to push for federal action.

It features Roxanna Green, the mother of Christina Taylor-Green, who was killed two years ago Tuesday in the Tucson, Ariz., massacre in which former Rep. Gabby Giffords was wounded.

"How many more children must die before Washington does something to end our gun violence problem?" Roxanna Green asks in the ad.

It would be quite a coup for Cuomo, a potential 2016 presidential candidate, to show progress on gun control as Washington stays divided on the controversial topic.

Late Tuesday night, a Cuomo spokesman said the sides still had not reached an agreement, but sources said there was talk of keeping the legislature in session the rest of the week to make sure a deal gets done.

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Dead Lotto Winner's Wife Seeks 'Truth'

The wife of a $1 million Chicago lottery winner who died of cyanide poisoning told ABC News that she was shocked to learn the true cause of his death and is cooperating with an ongoing homicide investigation.

"I want the truth to come out in the investigation, the sooner the better," said Shabana Ansari, 32, the wife of Urooj Khan, 46. "Who could be that person who hurt him?

"It has been incredibly hard time," she added. "We went from being the happiest the day we got the check. It was the best sleep I've had. And then the next day, everything was gone."

Ansari, Khan's second wife, told the Chicago Sun-Times that she prepared what would be her husband's last meal the night before Khan died unexpectedly on July 20. It was a traditional beef-curry dinner attended by the married couple and their family, including Khan's 17-year-old daughter from a prior marriage, Jasmeen, and Ansari's father. Not feeling well, Khan retired early, Ansari told the paper, falling asleep in a chair, waking up in agony, then collapsing in the middle of the night. She called 911.

Khan, an immigrant from India who owned three dry-cleaning businesses in Chicago, won $1 million in a scratch-off Illinois Lottery game in June and said he planned to use the money to pay off his bills and mortgage, and make a contribution to St. Jude Children's Research Center.

"Him winning the lottery was just his luck," Ansari told ABC News. "He had already worked hard to be a millionaire before it."

Illinois Lottery/AP Photo

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Jimmy Goreel, who worked at the 7-Eleven store where Khan bought the winning ticket, described him to The Associated Press as a "regular customer ... very friendly, good sense of humor, working type of guy."

In Photos: Biggest Lotto Jackpot Winners

Khan's unexpected death the month after his lottery win raised the suspicions of the Cook County medical examiner. There were no signs of foul play or trauma so the death initially was attributed to arteriosclerotic cardiovascular disease, which covers heart attacks, stroke or ruptured aneurysms. The medical examiner based the conclusion on an external exam -- not an autopsy -- and toxicology reports that indicated no presence of drugs or carbon monoxide.

Khan was buried at Rosehill Cemetery in Chicago.

However, several days after a death certificate was issued, a family member requested that the medical examiner's office look further into Khan's death, Cook County Medical Examiner Stephen Cina said. The office did so by retesting fluid samples that had been taken from Khan's body, including tests for cyanide and strychnine.

When the final toxicology results came back in late November, they showed a lethal level of cyanide, which led to the homicide investigation, Cina said. His office planned to exhume Khan's body within the next two weeks as part of the investigation.

Melissa Stratton, a spokeswoman for the Chicago Police Department, confirmed it has been working closely with the medical examiner's office. The police have not said whether or not they believe Khan's lottery winnings played a part in the homicide.

Khan had elected to receive the lump sum payout of $425,000, but had not yet received it when he died, Ansari told the AP, adding that the winnings now are tied up as a probate matter.

"I am cooperating with the investigation," Ansari told ABC News. "I want the truth to come out."

Authorities also have not revealed the identity of the relative who suggested the deeper look into Khan's death. Ansari said it was not her, though she told the AP she has subsequently spoken with investigators.

"This is been a shock for me," she told ABC News. "This has been an utter shock for me, and my husband was such a goodhearted person who would do anything for anyone. Who would do something like this to him?

"We were married 12 years [and] he treated me like a princess," she said. "He showered his love on me and now it's gone."

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Why Al Jazeera deal doesn't seem right

STORY HIGHLIGHTS

• Al Gore sold Current to al Jazeera and could net an estimated $70 million


• Howard Kurtz: Gore's Current network failed to gain an identity or viewers


• He says it's odd that the former vice president is selling to an oil-rich potentate


• Kurtz: Al Jazeera may have a tough time getting traction with U.S. viewers

Editor's note: Howard Kurtz is the host of CNN's "Reliable Sources" and is Newsweek's Washington bureau chief. He is also a contributor to the website Daily Download.

(CNN) -- So Al Gore starts a liberal cable network, which turns into a complete and utter flop, then sells it to a Middle East potentate in a deal that will bring him an estimated $70 million.

Is America a great country or what?

There is something highly unusual -- OK, just plain weird -- about a former vice president of the United States doing this deal with the emir of Qatar, Sheikh Hamad bin Khalifa al-Thani.

Howard Kurtz

Al Jazeera, owned by said emir's government, is trying to buy its way into the American television market by purchasing Current TV for a half billion dollars. The only thing stranger would be if Gore had sold Current to Glenn Beck -- oh wait, Beck did try to buy it and was told no way within 15 minutes.

So the sale was in part about ideology, which opens the door to examining why Gore believes Al Jazeera gives "voice to those who are not typically heard" and speaks "truth to power."

Bill O'Reilly, on Fox News, calls the network "anti-American." Fox pundit Dick Morris says Gore has sold to a fount of "anti-Israel propaganda." Such labels are rooted in the network's role during the height of the war on terror, when it aired smuggled videos of Osama bin Laden and was denounced by Bush administration officials.

Watch: How Lance Armstrong lied to me about doping

But Al Jazeera English, the spinoff channel launched in 2006, doesn't have the same reputation. In fact, no less a figure than Secretary of State Hillary Clinton has praised it as "real news," and the channel has won journalism awards for its reporting on the Arab Spring and other global events.

To be sure, the main Al Jazeera network gives a platform to such figures as Yusuf al-Qaradawi. He's the Muslim cleric in Egypt who, The Washington Post gas reported, frequently appears on air to castigate Jews and America and has praised suicide bombings. But when I went to the home page of Al Jazeera English the other day, there was video of David Frost, the acclaimed British journalist who now works for the main network, interviewing Israeli President Shimon Peres.

That's not to say Al Jazeera America, the working name for the new channel, won't have its own biases. Al Jazeera English is sometimes determined to paint the U.S. in a negative light.

During a report on President Barack Obama signing a renewal of the Foreign Intelligence Surveillance Act, which entails a legitimate controversy over civil liberties, the reporter said flatly that the law "violate(s) U.S. constitutional rights in the name of national security."

Watch: Can Al Jazeera make it in the American market?

Dave Marash, the ABC News veteran who once worked for Al Jazeera English, told me the network has a "post-colonial" view of America and its stories can be infused with that attitude.

And there are real questions about how independent these channels are from the Qatar government that helps bankroll them. The director-general of Al Jazeera, Sheikh Ahmed bin Jassim al-Thani, is a member of the country's royal family and has no background in journalism.

Such details add to the odd spectacle of the ex-veep, who would have been running Mideast policy had he won a few more votes in Florida, selling -- and some say selling out -- to the emir. Not to mention that the crusader against climate change is taking petrodollars from an empire built on oil, the bete noire of environmentalists.

Watch: Hey Fox, Hillary Clinton was sick after all

But what is Al Jazeera buying? The network is going to have a tough time cracking the American market.

Its earlier reputation makes the company highly controversial, and other cable carriers might follow the lead of Time Warner Cable (which is no longer owned by CNN's parent company, Time Warner) in refusing to carry it. These carriers agreed to air Current TV, after all, and contracts generally require them to approve a major change in programming.

Global politics aside, it may just be bad business. There's a reason Al Jazeera English, which will supply 40% of the content to the new channel, has barely gotten a foothold in the United States. Most Americans aren't lusting for a steady diet of international news.

Watch: Did Nancy Pelosi go too far in photoshopping picture of congresswomen?

There's no denying that Gore, a onetime newspaper reporter who had testy relations with the press during his 2000 campaign, presided over a lousy cable channel. No one quite knew what Current was during the years when it aired mostly low-rent entertainment fare and was famous mainly for North Korea taking two of its correspondents, including Lisa Ling's sister Laura, into custody.

Then Gore tried to relaunch it as a talking head channel to the left of MSNBC, hiring Keith Olbermann -- a relationship that ended with his firing and mutual lawsuits -- along with the likes of Eliot Spitzer and Jennifer Granholm, former Michigan governor. Gore himself offered commentary during major political events.

It was the utter failure of that incarnation of Current that prompted Gore and co-founder Joel Hyatt to put the thing up for sale.

Some detractors have slammed Gore for hypocrisy because, while he has advocated higher taxes on the rich, he tried to get the Al Jazeera deal done by December 31 to avoid the Obama tax hike. (The sale didn't close until January 2.) I don't see a problem trying to legally take advantage of changes in the tax code, no matter what your political stance.

Nor do I want to prejudge Al Jazeera America. The marketplace will decide its fate.

But there is something unsettling about Gore making off with such a big payday from a government-subsidized channel after making such bad television. Nice work if you can get it.

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The opinions expressed in this commentary are solely those of Howard Kurtz.

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Korean pop icon Rain confined to barracks to "repent"

SEOUL: South Korean pop icon Rain has been confined to barracks for a week, the defence ministry said Tuesday, after his dating put him on the wrong side of the country's strict military service rules.

"Under a decision by the disciplinary commission of his unit, Rain will be confined to his barracks to spend seven days of repentance," a defence ministry spokesman said.

The 30-year-old singer is a little over halfway through the two-year military service that is mandatory for all able-bodied South Korean men.

The country's well-oiled celebrity gossip machine went into overdrive last week when it was confirmed that Rain had begun dating Kim Tae-Hee, 32, a TV drama star with a massive following in Japan.

But fan excitement was tempered by questions over how the couple had managed numerous reported dates. During their military service men are given little free time, even for family visits.

"He breached regulations against having private meetings while on official duty," the ministry spokesman said.

The punishment was one of the lightest options open to the disciplinary committee.

Rain, whose real name is Jung Ji-Hoon, is one of the biggest names in the world of K-pop, which commands a huge following in South Korea, across much of Asia and beyond.

After tabloid pictures of his dates with Kim emerged, the defence ministry's website was bombarded with messages calling for him to be disciplined.

Some suggested he be forced to repeat his military service like the "Gangnam Style" star Psy, who was made to serve twice after it emerged he had furthered his showbiz interests during his first stint.

Military service is taken extremely seriously in South Korea, which remains technically at war with North Korea because the 1950-53 Korean War ended with a ceasefire rather than a peace treaty.

Apart from those with physical disabilities, exemptions are rare and anyone refusing to serve -- for moral or religious reasons -- faces an automatic jail term.

Celebrities are frequently caught attempting to evade military service for fear they might be forgotten by their fans while in uniform.

Just as he was about to be called up in 2002, Korean-American pop singer Steve Yoo gave up his Korean nationality and became a naturalised US citizen.

The South Korean government considered it an act of desertion and he was deported and banned from returning for life.

-AFP/fl

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Cyanide linked to $1 million lottery winner's death

Urooj Khan, 46, won $1 million before taxes on an Illinois lottery scratch ticket in June.

STORY HIGHLIGHTS

• Urooj Khan, 46, won $1 million before taxes on an Illinois lottery scratch ticket


• He died suddenly weeks later; authorities first ruled his death "natural"


• Revisiting the case, they found he died of "cyanide toxicity," a medical examiner says


• Chicago police are investigating, but haven't made any arrests

(CNN) -- One day, Urooj Khan literally jumped for joy after scoring a $1 million winner on an Illinois lottery scratch ticket.

The next month, he was dead.

The Cook County medical examiner's office initially ruled Khan's manner of death natural. But after being prompted by a relative, the office revisited the case and eventually determined there was a lethal amount of cyanide in Khan's system.

"That ... led us to issue an amended death certificate that (established) cyanide toxicity as the cause of death, and the manner of death as homicide," Chief Medical Examiner Dr. Steve Cina said Monday.

Why did Khan, an Indian immigrant who was described as a well-liked, hardworking and successful businessman, die? And who is responsible?

Finding that out is now up to the Chicago police. No arrests have been made.

"We are investigating it as a murder, and we're working closely with the medical examiner's office," Chicago police spokeswoman Melissa Stratton said Monday.

On June 26, Khan was all smiles at a 7-Eleven in the Rogers Park section of Chicago. Surrounded by his wife, daughter and friends, he held an oversized $1 million check and recalled his joy upon playing the "$3 million Cash Jackpot!" game, where tickets sell for $30 apiece.

"I scratched the ticket, then I kept saying, 'I hit a million!' over and over again," the 46-year-old Khan said, according to a press release from the Illinois Lottery.

"I jumped two feet in the air, then ran back into the store and tipped the clerk $100."

The plan, he explained, was to use the money for his mortgage, paying off bills, a donation to St. Jude Children's Research Hospital and investing more in his dry cleaning businesses.

"Winning the lottery means everything to me," Khan said.

He would have to wait a few weeks to collect his actual winnings, which amounted after taxes to about $425,000. According to CNN affiliate WGN, that check was issued July 19, but Khan never got to spend it.

The next night, Khan came home, ate dinner and went to bed, according to an internal police department document obtained by the Chicago Tribune. His family later heard him screaming and took him to a local hospital, where he was later pronounced dead, the paper reported, citing the document.

That's where the Cook County medical examiner's office came in, investigating Khan's death because it was "sudden and unexpected," Cina said.

At the time, there were no allegations of foul play or evidence of trauma. So, following the office's policy, Khan's body underwent what Cina described as an "external examination (and) basic toxicology testing," neither of which turned up anything abnormal.

So the medical examiner ruled Khan had died of arterial sclerotic cardiovascular disease -- which encompasses incidents like heart attacks, strokes and aortic ruptures -- and that his manner of death was natural, according to Cina.

A few days later, a family member approached the doctor who had examined the body "and said they felt uncomfortable that it was being ruled a natural and they suggested that we look into it further," the chief medical examiner said.

"So we did that," he added. "Forensics is not a static field. If new evidence comes to light, we'll revisit cases."

That meant more in-depth toxicology tests. In early September, new screening results came back indicating cyanide in Khan's blood. With that, the official manner of death was changed from natural to pending, Cina said, and Chicago police got involved.

In late November, a more detailed blood analysis came back showing "a lethal level of cyanide" and Khan's death became a murder case.

Chicago police haven't offered details, including a possible motive, about what they call an "ongoing investigation." Talking briefly with CNN affiliate WBBM and the Tribune, Khan's widow described her husband as kind and exemplary.

Jimmy Goreel, who runs the 7-Eleven where the winning lottery ticket was sold, offered similarly glowing comments about Khan.

"I would never think that anybody ... would hurt him," Goreel told WGN. "(He was a) nice person, very hopeful and gentle (and) very hardworking."

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