TLJ News from July 1-5, 2011

iPhone Design Leaker Pleads Guilty to Insider Trading

7/5. Walter Shimoon pled guilty in the U.S. District Court (SDNY) to conspiracy and securities fraud in connection with his disclosing inside information regarding iPhone design features.

The Department of Justice's (DOJ) U.S. Attorneys Office for the Southern District of New York stated in a release that Shimoon worked at Flextronics International, Ltd., "a technology company that designed, engineered and manufactured electronics products", including for Apple. During his work for Flextronics Shimoon obtained confidential inside information about products.

The DOJ stated that he disclosed that "Apple would be launching a new iPhone in 2010 that would contain two cameras. The cameras would give iPhone users the ability to videoconference, which was a significant enhancement over prior generations of the iPhone."

He disclosed this information to employees and clients of "an expert-networking firm" and to a consultant who provided the information to money managers.

FCC Releases Agenda for July 12 Meeting

7/5. The Federal Communications Commission (FCC) released an agenda [PDF] for its event on July 12, 2011, titled "open meeting".

The agenda states that the FCC is scheduled to adopt a Notice of Proposed Rule Making (NPRM) "seeking comment on the impact of the Local Community Radio Act on the future licensing of low power FM and FM translator stations". This NPRM is in MM Docket No. 99-25 and MB Docket No. 07-172.

The agenda also states that the FCC is scheduled to adopt a NPRM regarding "unauthorized telephone bill charges", "mystery fees", and "cramming". This NPRM is in CG Docket No. 09-158) and CC Docket No. 98-170.

Finally, the agenda states that the FCC is scheduled to adopt a Report and Order, Second Further NPRM, and NPRM regarding the FCC location surveillance mandates. See, the FCC's Notice of Proposed Rulemaking and Notice of Inquiry (NPRM & NOI) [36 pages in PDF] adopted and released on September 23, 2010.

For more information, see story titled "FCC Extends E911 Location Tracking Rules to Interconnected VOIP" in TLJ Daily E-Mail Alert No. 1,589, May 31, 2007, story titled "FCC Adopts E911 Location Tracking Accuracy Benchmarks" in TLJ Daily E-Mail Alert No. 1,640, September 17, 2007, story titled "FCC Files Opposition to Stay in Challenge to Its Latest Wireless E911 Location Tracking Mandates" in TLJ Daily E-Mail Alert No. 1,729, March 11, 2008, and story titled "FCC Seeks Comments on Wireless Location Tracking Rules" in TLJ Daily E-Mail Alert No. 1,833, September 26, 2008.

These items are in PS Docket No. 07-114 and WC Docket No. 05-196.

This event is scheduled to begin at 10:30 AM in the FCC's Commission Meeting Room.

People and Appointments

7/5. President Obama announced his intent to appoint Marc Lefar, the CEO of Vonage Holdings Corp., to be a member of the President's National Security Telecommunications Advisory Committee. See, White House news office release.

Obama Picks Olsen for NCTC Director

7/1. President Obama announced his intent to nominate Matthew Olsen to be the Director of the National Counterterrorism Center (NCTC). See, White House news office release. If confirmed, he will replace Michael Leiter.

Olsen is currently the General Counsel for the National Security Agency (NSA). From 2006 to 2009, he was a Deputy Assistant Attorney General in the Department of Justice's (DOJ) National Security Division (NSD) where he was responsible for Foreign Intelligence Surveillance Act (FISA) matters.

The White House news office release states that he "helped craft landmark legislative changes to the surveillance laws, and advised government officials on intelligence activities and national security".

People and Appointments

7/1. Robert Plaze was named Deputy Director in the Securities and Exchange Commission's (SEC) Division of Investment Management, and Diane Blizzard was named Managing Executive of the Division. See, SEC release.

Go to News from June 26-30, 2011.