ON CLOUD NINE: BATH SALTS BY ANOTHER NAME... WITH STRONG COMPULSIONS TO REDOSE

After the recent stream of disturbing news reports of people eating others' flesh, Hornaday Manufacturing has released bullets that promise to ‘make dead permanent.’

The ammunition, branded as Zombie Max offers Proven Z-Max bullets, is live ammunition, but is actually only intended for use on targets – not people.

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The Walking Dead: Hornady Manufacturing has started selling Zombie bullets, 'just in case'; it is live ammunition

Attacks: Carl Jacquneaux, left, who was arrested for allegedly biting another man's face and Brandon De Leon, right, who allegedly tried to bite two policemen while threatening to eat them

 

Hornaday spokesman Everett Deger told WWJ Newsradio 950 that the company’s president has a love of zombie culture – including popular shows like the Walking Dead – and was inspired to make the bullets in honour of the cultural phenomenon. 

ON CLOUD NINE: BATH SALTS BY ANOTHER NAME... WITH STRONG COMPULSIONS TO REDOSE

The 'bath salts' sold under the name Cloud Nine are likely to be stimulant drugs such MPDV or ephedrine. 

'Bath salts' does not refer to a single chemical, but instead to a range of synthetic drugs that can be sold legally in the U.S. as long as they are not marked for human consumption – hence the misleading name.

Drugs such as MPDV are highly potent stimulants, similar to some amphetamines, and in MPDV's case particularly, cause a strong compulsion to 'redose' with more of the drug. 

In high doses, such drugs can cause violent and unpredictable behaviour, and terrifying hallucinations – and the compulsion to take more of the drug continues, even once the 'high' has begun to make the user feel bad.

Various different compounds use the name 'Cloud Nine', and it's still not confirmed which exact chemical was in the drug reported to have caused these attacks, but some reports have pointed the finger at MPDV. 

The chemical is already illegal in Florida – although other 'bath salts' remain perfectly legal in the state.  

 

‘We decided just to have some fun with a marketing plan that would allow us to create some ammunition designed for that…fictional world,’ he told the radio station.

Mr Deger noted that the bullets are some of the ammunition company’s most popular products.

The news comes as two more cannibal attacks have been reported in the US as police warn of a dangerous new mind-altering drug called Cloud Nine.

 

Last week Rudy Eugene - who is believed to have taken the over-the-counter ecstasy-like drug - growled at officers as he chewed off most of a homeless man's face before being shot dead by Miami police.

Since then two further incidents have been linked to the substance, which is part of a new line of 'bath salts'.

 

 

More...

• Revealed: Miami cannibal's girlfriend shows herself in public for the first time and claims her beau was carrying a BIBLE before the attack
• Caught on camera: The moment woman driver rams into pedestrian and travels for hundreds of yards with him clinging on 'because of her hormones'
• Revealed: The videos 'Canadian cannibal' sent to his 'fans' while on the run from police - and one of them contains infamous song from American Psycho

 

The second occurred on Saturday when a snarling homeless man, identified as Brandon De Leon, threatened to eat two officers, echoing the Miami attack.

A third incident took place in Louisiana where Carl Jacquneaux, 43, bit off a chunk of his victim's face. Miami police have issued a warning about Cloud Nine and told their officers to exercise extreme caution when dealing with homeless men who appear to be acting unusually.

Police investigating the case of Rudy Eugene, who ate the face off a homeless man, say as well as being naked, he was carrying a bible.

Some pages had been ripped out of the book and were found close by, according to CBS Miami. A preliminary toxicology examination has also found that the 31-year-old had been smoked cannabis shortly before the incident.

They were forced to fit 21-year-old De Leon with a Hannibal Lecter-style mask after he was arrested for disturbing the peace in North Miami Beach. When put in a police cruiser De Leon slammed his head against the plexiglass divider and shouted at officers, 'I'm going to eat you', NBC Miami reported. 

He then growled, gnashed his teeth and tried to bite the hand of an officer attempting to treat his head wounds.

'Brandon growled and opened and closed his jaw, slamming his teeth like an animal would,' the report said. Miami police said they believe he was on a cocktail of drugs, including Cloud Nine. 

In a second case Carl Jacquneaux, 43, is accused of attacking Todd Credeur at his home in Scott, Louisiana, over the weekend after he became upset following a domestic issue.

Victim: Todd Credeur, though in shock, managed to spray his attacker in the face with wasp spray to stop him from eating any more of his face

 

Scene: Todd Creneur was attacked while working on the yard outside his home in Scott, Louisiana

 

KATC reported that Mr Credeur was working in his front yard when he was attacked.

Scott Assistant Police Chief Kert Thomas said: 'During the attack, the suspect bit a chunk of the victim's face off.'

Mr Credeur reportedly managed to spray Jacquneaux in the face with wasp spray to stop him from eating any more of his face.

Jacquneaux then allegedly left the home and went to another man's home where he held him at knife point and stole a hand gun. This is where police found him and arrested him.

A friend of the victim said she believes Jacquneaux was under the influence of Cloud Nine, which is the same drug which is believed to have been taken by the 'Miami Cannibal' Rudy Eugene.

Eugene ate the face of homeless man Ronald Poppo in Miami last week and a police memo to officers has highlighted the dangers surrounding the drug's use. 

It warned the De Leon case 'bears resemblance to an incident that occurred in the city of Miami last week, when a male ate another man's face'.

'Please be careful when dealing with the homeless population during your patrols.'

Police have suggested Eugene was under the influence of the synthetic stimulant usually sold in drug paraphanelia shops.

Cloud Nine is 'addictive and dangerous', the memo said, part of a 'disturbing trend in which new drugs are sold in the guise of household products'.

The drug, which is also as Ivory Wave in the U.S., comes in harmless-looking packets, police said, adding that it is illegal in Britain and Australia.

Crazed attack: Cloud Nine, which is the same drug which is believed to have been taken by the 'Miami Cannibal' Rudy Eugene (left) when he savagely attacked 65-year-old Ronald Poppo (right)

The potentially addictive drug stimulates the central nervous system and symptoms include heart palpitations, nausea, hallucinations, paranoia and erratic behaviour.

The series of shocking incidents began on May 26 when a naked Eugene encountered his victim, 65-year-old Ronald Poppo, who was sleeping in the shade on elevated train tracks.

In surveillance footage from the nearby Miami Herald building, Eugene was seen struggling with the naked homeless man, throwing him to the ground and then tearing into his face with his teeth as cars and bicycles sped by.

About 18 minutes into the attack, an officer appeared on the scene and yelled at Eugene to stop, but the 31-year-old just growled at him and continued chewing Poppo’s face.

The officer then opened fire on Eugene, shooting him to death.

Enlarge 

Horrific attack: The spot on MacArthur Causeway when a man was killed after chewing the face off a stranger

 

Disfigured: Poppo, here on a stretcher, miraculously survived the attack, but was left without a nose, mouth or eyes

Poppo remains in critical condition at Jackson Memorial Hospital with his nose, mouth and eyes torn off. He faces months of treatment to rebuild his features and psychological care.

Controversially this week the scene of the attack on Poppo has been Miami added to sites visited by a tourist tour's itinerary.

The famous Miami Mystery & Mayhem: Crime Tour tour led by Miami-Dade College professor Dr Paul George will stop on the road that connects downtown Miami to popular South Beach.

Dr Paul told the South Florida Business Journal: 'Horrible as it was, it is part of our history. Currently, our tour takes us over the causeway right past the site, so this fits well.'

In a completely separate case not involving the drug, Canadian Luka Rocco Magnotta has been sent back to his country from Germany after an international manhunt.

He is alleged to have killed his partner, Jun Lin, before eating parts of his body then chopping it to pieces that were then posted to different authorities. Mr Lun's head has not yet been found.

'ZOMBIE APOCALYPSE': RECENT CANNIBAL ATTACKS ACROSS AMERICA

Since Rudy Eugene attacked and ate the face of homeless man Ronald Poppo on May 26 in Miami, Florida, while allegedly high on 'bath salts' there has been a spate of similar attacks.

The 'Miami Cannibal' case shocked the nation after police had to shoot dead Eugene when he refused to stop eating his victim's face off. Poppo is now recovering in hospital with horrific injuries.

 

Brandon DeLeon, 21, was high on drugs and drunk on Four Loko on June 2 when he tried to bite off a police officer’s hand after he was arrested for disturbing customers in a Miami fast food restaurant.

The homeless man repeatedly banged his head against the patrol car’s Plexiglas and yelled, ‘I’m going to eat you.’

At the police station, De Leon tried to bite the officer who was taking his blood pressure and tending to his self-inflicted wounds. The police report noted that he 'growled and opened and closed his jaw slamming his teeth like an animal would.'

 

Carl Jacquneaux, 43, is accused of attacking Todd Credeur at his home in Scott, Louisiana, over the weekend after he became upset following a domestic issue.

Mr Credeur reportedly managed to spray Jacquneaux in the face with wasp spray to stop him from eating any more of his face.

A friend of the victim said she believes Jacquneaux was under the influence of Cloud Nine, which is the same drug which is believed to have been taken by the 'Miami Cannibal' Rudy Eugene.

 

Alex Kinyua, 21, a college student, used a knife to carve up Kujoe Bonsafo Agyei-Kodie, 37, before eating his heart out and parts of his brain.

He then took to his social networking site to boast about it to his friends saying: 'Are you strong enough to endure ritual HBCU mass human sacrifices around the country and still be able to function as human beings?'

He referred to the tragic shootings at Virginia Tech and 'other past university killings around the country' and warned 'ethnic cleansing is the policy, strategy and tactics that will affect you, directly or indirectly in the coming months.'

 

A mind-altering drug banned in Britain two years ago is being blamed for the spate of cannibal attacks in America.

Narcotic Cloud Nine was blamed for the attack when Rudy Eugene ate 75% of homeless man Ronald Poppo’s face in Miami last month.

Horrific images surfaced of the attack that only ended once police shot and killed 31-year-old Eugene.

Mr Poppo is still recovering from his injuries in hospital.

Police are now warning people to stay away from Cloud Nine – also known as ‘bath salts’ - after two similar attacks were reported.

The most recent prompted an internal memo to police warning officers the case “bears resemblance to an incident that occurred in the city of Miami last week, when a male ate another man’s face”.

The memo called the synthetic drug “addictive and dangerous” and said it was part of a “disturbing trend in which new drugs are sold in the guise of household products”.

It added: “Please be careful when dealing with the homeless population during your patrols.”

 

Rudy Eugene, 31: Ate 75% of a man's face in Miami before being shot dead

AP

Brandon De Leon, 21: Tried to bite two police officers after he was arrested in North Miami BeachCarl Jacquneaux, 43: Bit a man's face in Scott, Louisiania. Wasp spray was used to end the attackAlex Kinyua, 21: Accused of eating the heart and brain of friend in Maryland

Splash

Horror: Film cannibal Hannibal Lecter

Channel 5

 

During the latest attack homeless Brendon De Leon threatened to eat two Miami police officers and had to be fitted with a Hannibal Lecter-style mask to prevent him carrying his threats out.

He had been arrested for disturbing the peace in North Miami Beach while high on drugs and put in a police cruiser when he slammed his head against the plexiglass divider and shouted: “I’m going to eat you” to officers before growling and baring his teeth.

Miami police said they believe he was on a cocktail of drugs including Cloud Nine.

In another case, Carl Jacquneaux, 43, was accused of attacking Todd Credeur in his front garden in Scott, Louisiana, over the weekend after being upset over a domestic issue while under the influence of what is said to be bath salts.

Jacquneaux bit Mr Credeur before being sprayed in the face with wasp spray.

Scott Assistant Police Chief Kert Thomas said: “During the attack, the suspect bit a chunk of the victim’s face off.”

Jacquneaux was then said to have left the property and gone to another man’s home where he held him at knife-point and stole a handgun before being apprehended by police.

The drug, which is also known as Ivory Wave, was blamed for several deaths in Britain during 2010 before being banned. It is also illegal in Australia.

The potentially addictive drug stimulates the central nervous system and symptoms include heart palpitations, nausea, hallucinations, paranoia and erratic behaviour and is often sold in plain packaging with the contents purporting to be harmless.

Bank of England meets amid talk of £50bn stimulus

Bank of England policymakers meet today to decide whether to change interest rates or to pump in more money into the ailing economy, with leading economist saying they may opt to inject a further £50bn of stimulus.

Europe is on the verge of financial chaos.

Global capital markets, now the most powerful force on earth, are rapidly losing confidence in the financial coherence of the 17-nation euro zone. A market implosion there, like that triggered by Lehman Brothers collapse in 2008, may not be far off. Not only would that dismantle the euro zone, but it could also usher in another global economic slump: in effect, a second leg of the Great Recession, analogous to that of 1937. This risk is evident in the structure of global interest rates. At one level, U.S. Treasury bonds are now carrying the lowest yields in history, as gigantic sums of money seek a safe haven from this crisis. At another level, the weaker euro-zone countries, such as Spain and Italy, are paying stratospheric rates because investors are increasingly questioning their solvency. And there’s Greece, whose even higher rates signify its bankrupt condition. In addition, larger businesses and wealthy individuals are moving all of their cash and securities out of banks in these weakening countries. This undermines their financial systems. 423 Comments Weigh InCorrections? Personal Post The reason markets are battering the euro zone is that its hesitant leaders have not developed the tools for countering such pressures. The U.S. response to the 2008 credit market collapse is instructive. The Federal Reserve and Treasury took a series of huge and swift steps to avert a systemic meltdown. The Fed provided an astonishing $13 trillion of support for the credit system, including special facilities for money market funds, consumer finance, commercial paper and other sectors. Treasury implemented the $700 billion Troubled Assets Relief Program, which infused equity into countless banks to stabilize them. The euro-zone leaders have discussed implementing comparable rescue capabilities. But, as yet, they have not fully designed or structured them. Why they haven’t done this is mystifying. They’d better go on with it right now. Europe has entered this danger zone because monetary union — covering 17 very different nations with a single currency — works only if fiscal union, banking union and economic policy union accompany it. Otherwise, differences among the member-states in competitiveness, budget deficits, national debt and banking soundness can cause severe financial imbalances. This was widely discussed when the monetary treaty was forged in 1992, but such further integration has not occurred. How can Europe pull back from this brink? It needs to immediately install a series of emergency financial tools to prevent an implosion; and put forward a detailed, public plan to achieve full integration within six to 12 months. The required crisis tools are three: ●First, a larger and instantly available sovereign rescue fund that could temporarily finance Spain, Italy or others if those nations lose access to financing markets. Right now, the proposed European Stability Mechanism is too small and not ready for deployment. ●Second, a central mechanism to insure all deposits in euro-zone banks. National governments should provide such insurance to their own depositors first. But backup insurance is necessary to prevent a disastrous bank run, which is a serious risk today. ●Third, a unit like TARP, capable of injecting equity into shaky banks and forcing them to recapitalize. These are the equivalent of bridge financing to buy time for reform. Permanent stability will come only from full union across the board. And markets will support the simple currency structure only if they see a true plan for promptly achieving this. The 17 member-states must jointly put one forward. Both the rescue tools and the full integration plan require Germany, Europe’s strongest country, to put its balance sheet squarely behind the euro zone. That is an unpopular idea in Germany today, which is why Chancellor Angela Merkel has been dragging her feet. But Germany will suffer a severe economic blow if this single-currency experiment fails. A restored German mark would soar in value, like the Swiss franc, and damage German exports and employment. The time for Germany and all euro-zone members to get the emergency measures in place and commit to full integration is now. Global capital markets may not give them another month. The world needs these leaders to step up.

Louis Theroux: his new programme Twilight of the Porn Stars looks at the decline of the porn industry in America.

 BBC In a grand suburban house on a quiet cul-de-sac in California's San Fernando Valley an actor is having a problem with her moans. Alexa Nicole (her professional name) is playing the role of a Latin beauty in A Love Story, a pornographic film about an author of romance novels suffering from writer's block. They are shooting a fantasy sequence in which Alexa wanders the darkened corridors of the house in a white nightie, carrying a large candlestick. She stumbles into the arms of her forbidden lover, Miguel, played by rising star Xander Corvus, clad in leather trousers, frilly blouse and waistcoat. Helpless in the heat of passion, they make love on the chaise longue. But there is a small issue. Alexa's rapid high-pitched squeals of pleasure aren't up to the exacting standards of the film's director. "Less porno," he says. By way of illustration he offers a different read – less urgent, more ladylike. "Yes, yes, yes!" Then he announces his keyword for the day: "Romantico!" A Love Story is a new title by the high-end adult movie studio Wicked Picture. And for the world of "adult", the emphasis on the moans is a giveaway that it is not a typical sex film. For years the porn industry was dominated by an anarchic anything-goes attitude to sex. Directors competed to see who could stage the more outrageous stunts, pushing the performers to the limit of what their bodies could take. The scenes could be hard to watch, as I discovered for myself when I visited sets for a book I was writing in 2004. The sex acts seemed to owe more to reality shows where people eat live worms and pig vomit than anything conventionally erotic. But some time around 2007, the "business of X" started going into a commercial tailspin. The arrival of free YouTube-style porn sites meant that consumers could download pirated scenes from the vast backlog of old content for free. The phenomenon of DIY amateur sex – part-timers uploading their videos on sites such as clips4sale – also put a dent in the professionals' pay cheques. Suddenly an industry that was a byword for easy money, raking in billions by exploiting the anonymity of point-and-click purchasing, was fighting for its life. Making the problems of "adult" even worse was that where consumers might feel enough loyalty to, say, Radiohead to buy their latest release rather than download it illegally, porn users don't have the same feelings about the Dirty Debutantes series. In essence, as with every other media evolution of the last 30 years, from VHS to DVDs to the birth of the internet, porn was once again leading the way, only this time into obsolescence. And as goes the industry, so go the performers. It's well known that many of them come into porn looking for validation, fleeing lives of damage and abuse. They then sign up to a lifestyle that inflicts stress and illness, not to mention embarrassment, on its young foot soldiers, while offering nothing in the way of pensions and health insurance. Now they find themselves out of work, looking for a Plan B, when the only experience on their resumé is having sex for cash. On the business side, the porn industry has been desperately trying to adapt. Partly this has been a simple case of cutting back massively. In the early 2000s, a typical issue of the industry bible, the monthly Adult Video News, might have contained hundreds of reviews of new releases. One recent example had just 14. Numerous companies have gone out of business. Those movie companies that remain are focusing increasingly on high-end product, trying to beat the illegal sites by providing something like a cinematic experience. There is a flight into "quality". In an uncanny echo of a recent BBC slogan, they are embracing the idea of "Fewer, Bigger, Better". For some, this means more female-orientated scenes with less angry sex. Hence A Love Story. For others, it means parodies – of popular TV shows and recent blockbusters. One of the unlikeliest figures in the new reinvented industry – and a one-man indicator of how much it has changed – is Rob Zicari, better known as Rob Black. In the 90s, Black was one of the most notorious provocateurs in porn. He specialised in tastelessness; his films were more like grotesque exercises in taboo-breaking than anything anyone might conceivably watch for sexual pleasure. In 1997 I interviewed him in his office in LA and visited him on the set of a production entitled Forced Entry, a film about rape. He was only 23 at the time and I was struck by the strange contrast of his being a friendly, intelligent guy – albeit in an over-caffeinated way – while making porn films that specialised in degrading women. Six years later, Black's provocations caught up with him during George Bush's "war on obscenity" (the war's two other casualties were Justin Timberlake and Janet Jackson, when she exposed her nipple in a dance routine during the Superbowl). Black and his wife and business partner Janet Romano (better know as Lizzie Borden) did a year each in federal jail for obscenity. Post-prison, a chastened Black has put his Sadean grotesqueries behind him. Now he directs superhero parodies for a mainstream porn company called Vivid – Captain America XXX, Iron Man XXX – in glossy two-disc sets, some of them in 3D. "Where the business is going now is it's acceptable to sit down with your wife and girlfriend and introduce her to pornography," he tells me during a visit to his new offices. "But the stuff you're going to introduce them to is the stuff I'm making." He shows me the suit he had used for his Iron Man parody. I remark that in porn terms, it is an impressive prop. "Dude, the suit cost like four grand!" he says. Then, picking up one of his CD cases, in mock-awe at its resemblance to a "real movie", he says: "Look at that! That's a porno!" Black is adept at putting a positive spin on the retrenchment that porn had undergone. But he appears somewhat ravaged and looks older than his 38 years. He has the air of someone who has been through something that hasn't killed him, but which hasn't made him stronger either. If times are hard for the Rob Blacks of porn, they're worse still for the men on screen. Even with the superhero parodies and the couples films, and the lower-paid work doing scenes for pay-sites, there is still nowhere near enough employment for the hordes of performers who hope to make a living getting paid to have sex on camera. At one of the top LA agencies for performers, LA Direct, the accountant Francine Amidor laments the "devastating" impact of piracy. "There's less work, and there's an abundance – because of the economy – of performers. There aren't enough people shooting to give everybody a day's work." I put it to Amidor that she owes it to the young aspirants who still make their way to the LA Direct offices to explain the consequences of their decision. She demurs. "Because then I would talk three quarters of the girls out of the business and then we wouldn't be in business." Fees for scenes, not surprisingly, have taken a hit. "Some girls get $600 [£390] for a scene now," the retired performer JJ Michaels tells me. "It might be $900-$1,000 for a big-name girl. It used to get up to $3,000." For guys, rates can be $150 or lower. Women supplement their income by stripping and doing live shows over the internet, shot from home on their webcams. One evening I visit one of LA Direct's top performers, Kagney Linn Karter – star of Racktastic and Pound Round – at her house as she prepares for her bi-monthly live show. Her boyfriend and full-time assistant Monte is hanging up her dresses while Kagney bathes and puts on her makeup. Monte and I then retreat to the kitchen where he tidies and wipes down surfaces while Kagney strips on her bed and masturbates in front of the strangers viewing her through her laptop. Forty-five minutes later, she emerges. "Well, I made a hundred dollars," she says brightly. It's an open secret in the porn world that many female performers are supplementing their income by "hooking on the side". It's also called "doing privates", as in private bookings. The official industry line is that it's dangerous (because clients aren't tested the way performers are) and irresponsible (because the women could then infect the closed community of professional performers). But the women can make far more money having sex behind closed doors than doing it on film and, in fact, the practice is widespread. For many female performers nowadays, the movies are merely a sideline, a kind of advertising for their real business of prostitution. Male performers do not have the same options. For a tiny subsection of top talent, there is still a regular pay cheque, albeit a shrinking one. But work has dried up for many of the journeyman-performers in the lower ranks and there is a great deal of anxiety across the board. In the 90s one of the best-known male performers was Jon Dough – birth name Chet Anuszak. He was on contract with Vivid – the only man in the business to be exclusive to a company at that time. He had a reputation for being a dependable "woodsman" and was well liked in adult circles. I interviewed him in 1996 on the set of a remake of Debbie Does Dallas. But when he killed himself in 2006 at the age of 43 it was widely assumed that the woes of the industry – and specifically declining DVD sales – played a role. Jon Dough's widow is a fellow performer whose stage name is Monique DeMoan. They met on the set of Dr Butts 3: The Anal Asylum and eventually had a daughter together. No one in the world of porn knows Monique's whereabouts but I tracked her down to a conservative state many hundreds of miles – physically, culturally – from Los Angeles. Standing in the low-ceilinged basement flat in an insalubrious area, she says that her husband killed himself over his cocaine addiction, and the instability and sense of failure that went with it, not because of the pressures of the industry. Still, the perception among Dough's peers that DVD sales were a factor reflects an emotional truth: people in the world of porn were all too ready to believe that a top performer might have killed himself over the decline of a media format. Still they arrive, the cohorts of aspiring performers, looking for new lives of wealth and stardom in a world that can no longer offer either. If Paris Hilton and Kim Kardashian can make sex tapes, they ask, then why shouldn't they? They tour the production companies for meet-and-greets with casting agents and directors, tick boxes on questionnaires about what they are willing to do on camera. They make one or two low-end scenes for the internet, before being chucked back into anonymity. On a rainy day, back on the same spacious suburban house on the quiet street in the valley where A Love Story was filmed, another production is under way. This time, it is a more modest affair – a few scenes made for an internet site. One of the male performers is a young man on his second shoot, performing under the name Tony Prince. His partner for the scene is called Stefania. It is her third shoot and she seems excited to have press around. "I'm trying to become one of the big porn stars," she says. She asks to take a picture with me, which she later tweets. The scene is supposed to look like a real-life boyfriend and girlfriend sex tape. One advantage of this is that there is no need for a cameraman. The performers shoot the action themselves. While they got down to business, to alleviate any possible performance anxiety on Tony's part, the director and I make ourselves scarce in the kitchen. He has been in the business since 1998, and he too is pessimistic about its future. "It's like I tell guys all the time, you better make this your side gig," he says. A few hours later, the two performers are laughing and showering together, both happy with how the shoot had gone. In a reversal of the usual order of things, they are flirting and becoming friends after sex. Where the industry will end up is hard to predict. Clearly there is still a market for softcore movies made by companies such as Penthouse and Hustler, available on subscription channels. The parodies may continue for a while, too. But it is difficult to see how a business selling hardcore movies and even internet clips is sustainable when most people simply don't want to pay if they don't have to. To many people, when it comes to porn, not paying for content seems the more moral thing to do. "The way it is now, within five years I don't see how there could be a professional porn actor," Michaels tells me. It's not easy to sympathise with the porn companies, which made so much money for so long by embracing a tawdry business and a dysfunctional work-pool. But it is worth sparing a thought for the legions of performers, qualified for nothing much more than having sex on camera, who have no money saved, and no future. And there is also the wider question: do those who use porn not, perhaps, owe it a little something? Should those who download it not be ready to pass on a little cash incentive to the business? And if not, why not? Does the stigma attached to porn make it OK to steal it? These questions underpin a much bigger dilemma being faced by all media: how do you sustain an industry that provides a certain standard of product – be it journalism, music, or mainstream movies, or X-rated movies – when more and more consumers are in the habit of downloading content for free? In the world of porn, the answer is: you can't.

A Facebook crime every 40 minutes

A crime linked to Facebook  is reported to police every  40 minutes. Last year, officers logged 12,300 alleged offences involving the vastly popular social networking site. Facebook was referenced in investigations of murder, rape, child sex offences, assault, kidnap, death threats, witness intimidation and fraud.

Prince Philip in hospital

The Duke of Edinburgh has been taken to hospital with a bladder infection and will miss the rest of the Diamond Jubilee celebrations. Buckingham Palace said Prince Philip, 90, had been taken to the King Edward VII Hospital in London from Windsor Castle as a "precautionary measure". The Queen is still expected to join 12,000 others at the Jubilee concert which is under way at the palace. The prince will remain in hospital under observation for a few days. The prince had appeared to be in good health when he accompanied the Queen on Sunday on the royal barge the Spirit of Chartwell, which formed part of the rain-drenched Jubilee river pageant. He and the Queen stood for most of the 80-minute journey, as they were accompanied by 1,000 boats travelling seven miles down the river to Tower Bridge.

Luka Rocco Magnotta, the 'Canadian Psycho,' arrested in Berlin

Luka Rocco Magnotta was arrested in Berlin Monday after a four-day international manhunt that spanned three countries. The 29-year-old Canadian wanted over a horrific Montreal ice pick murder and decapitation of a Chinese student that he allegedly filmed and posted to the Internet, was arrested in or near an Internet cafe, Berlin police said. Montreal police confirmed they are aware of the reports that Magnotta was arrested, but said they are still in the process of contacting their Berlin counterparts. The arrest comes after French authorities said they were investigating a tip that Magnotta travelled from Paris to Berlin via bus on the weekend. “Somebody recognized him and (then) all the police recognized him,” Berlin police spokesperson Stefan Redlich told CP24 Monday. Handout (Click to enlarge) Magnotta's alleged victim is Lin Jun, a 33-year-old Concordia University student from Wuhan, Hubei, China. He was last seen on May 24, police said, and reported missing on May 29. Redlich said police were called in by a civilian who spotted Magnotta and he was arrested after police asked for his identification at about 2:00 p.m. local time in Berlin. Reuters is reporting it was an employee of the cafe, Kadir Anlayisli, that recognized Magnotta. The cafe is on Karl Marx Strasse, a busy shopping street filled with Turkish and Lebanese shops and cafes in the Neukoelln district of Berlin. German television quoted the owner of the cafe saying Magnotta was surfing the Internet for about an hour before his arrest. Redlich said Magnotta has been taken into custody without incident and will go in front of a judge Tuesday. Canadian officials are expected to start the extradition process for Magnotta in the near future.

Rush for safe havens as euro fears rise

US benchmark borrowing costs plunged to levels last seen in 1946 and those for Germany and the UK hit all-time lows as investors took fright at what they see as a disjointed policy response to the debt crisis in Spain and Italy. In a striking sign of the flight to haven assets, German two-year bond yields fell to zero for the first time, below the equivalent rate for Japan, meaning investors are willing to lend to Berlin for no return. US 10-year yields fell as low as 1.62 per cent, a level last reached in March 1946, according to Global Financial Data. German benchmark yields reached 1.26 per cent while Denmark's came close to breaching the 1 per cent level, hitting 1.09 per cent. UK rates fell to 1.64 per cent, the lowest since records for benchmark borrowing costs began in 1703. "They are extreme levels because we are in an extremely perilous situation. People just want to put their money somewhere where they think they will get it back. People may soon be paying Germany or the US to look after their money," said Gary Jenkins, head of Swordfish Research, an independent credit analysis company. The flight to safety came as the situation in Italy and Spain, the eurozone's third- and fourth-largest economies, deteriorated further. Italy held a disappointing debt auction and saw its benchmark borrowing costs rise above 6 per cent for the first time since January. The euro fell 0.8 per cent against the dollar to under $1.24 for the first time in two years. Confusion over how the Spanish government's rescue of Bankia, the stricken lender, will be structured led the premium Madrid pays over Berlin to borrow to hit fresh highs for the euro era at 540 basis points. Analysts said the elevated level meant that clearing houses could soon raise the amount of margin, or collateral, that traders need to post against Spanish debt, a move that led to the escalation of crises in Portugal and Ireland. The European Central Bank has made clear to Spain that it cannot use the bank's liquidity operations as part of a recapitalision of Bankia. However, the central bank said on Wednesday it had not been officially consulted on the plans. Equity markets globally fell on the eurozone fears with bourses in Paris, Frankfurt and London all dropping 2 per cent. But Nick Gartside, international chief investment officer for JPMorgan Asset Management, noted that while US bond yields had halved since April last year the S&P 500 equity market was at the same level. "One of those two markets is mispriced. Core government bonds are an efficient market and they are ahead," he added. Investors said borrowing costs for the US, UK and Germany were likely to continue to fall amid a worsening economic backdrop and the threat of more central bank intervention. Wealth managers have been moving client assets into currency havens in recent weeks, with the Swiss franc and the US dollar among the biggest beneficiaries "Risk aversion, a rapidly slowing global economy and unusually low policy rates will pin these short and intermediate maturity bonds at unprecedented low levels for quite a while," said Mohamed El-Erian, chief executive of Pimco, one of the world's largest bond investors. Mr Gartside said he could easily see German rates going below 1 per cent, following a path that only Japan and Switzerland have taken among major economies, while the US and UK could dip under 1.5 per cent. Markets are increasingly resigned to more turmoil until policy makers take more radical action. The two most popular plans of action for investors are for the ECB to buy Spanish and Italian bonds in unlimited size or for eurozone countries to agree on a fiscal union involving the pooling of debt. "You have to throw everything at it. Spain is just too big for half measures. The next intervention has to be not just massive in size but it has to show a total commitment," said Mr Jenkins. He recommends that the ECB set targets either for the premium Spain and Italy pay to borrow over Germany or for their yields.

Euro break-up 'could wipe 50pc off London house prices'

Property prices in the capital’s most sought-after postcodes have been driven up by investors moving funds out of assets held in euros to buy into what is seen as a “safe haven” alternative. Foreign money seeking a refuge from the wider economic turmoil accounted for 60pc of acquisitions of prime central London property between 2007 and 2011, according to a report by Fathom Consulting for Development Securities. If the shared currency broke up completely, London property would initially be boosted by the continued flight towards a safe haven, the report predicts. But, once the break-up had taken place, demand for these assets as an insurance against this event would start to ebb. “Although fears about a messy end to the euro debt crisis may account for much of the gain in prime central London (PCL) prices that has taken place over the past two years, we find that a break-up of the single currency area is also the single greatest threat to PCL,” said researchers.

Leveson - The Hunt is on

Up until now, Lord Justice Leveson has only held the future of the British press in his hands. Today, despite all his protests to the contrary, his inquiry may determine the fate of the culture secretary, Jeremy Hunt. The judge insists that it is not his job to put any minister in the dock and that he certainly will not be giving his verdict on whether there have been any breaches of the ministerial code. Nevertheless, the prime minister has made it clear that he sees today's hearing as the moment when Mr Hunt must defend his much criticised handling of News Corp's £8bn bid for total control of BSkyB. The culture secretary has, I'm told, submitted more than 160 pages of internal memos, emails and text message transcripts to the Leveson Inquiry. I understand that he will insist that, despite having originally been a cheerleader not just for Rupert Murdoch but also for his bid, he acted in ways which frustrated it rather than accelerated it once he was made the minister in charge. He will claim that he referred it to the broadcasting regulator Ofcom when told by officials that it wasn't necessary to do so. He is likely to face questions about why he did not follow Ofcom's advice to refer the bid to the Competition Commission. He is likely to reply that he was given legal advice that he had first to consider News Corps offer to spin off Sky News so as to deal with so-called plurality issues. The culture secretary is likely to be asked how he can claim to have been unaware of the scale or nature of the contact between News Corp and his political adviser, Adam Smith - who resigned once his flood of emails and texts were revealed. I understand that Jeremy Hunt originally believed that his adviser had done nothing wrong and told friends he would resign himself rather than letting a junior official resign for him. The prime minister shows no sign yet of wanting to force him out - believing that however bad things may now look, Mr Hunt didn't actually do anything wrong or anything which helped the Murdochs and their bid. Labour argue that - even before today's hearing - it is evident the culture secretary should go as he is in breach of the ministerial code for failing to supervise his adviser, and for misleading the House of Commons when he wrongly asserted he had published all contacts between his department and News Corp - as well as claiming never to have intervened to affect the outcome of the bid.

Coulson on Sheridan perjury charge

David Cameron's former communications chief Andy Coulson has been charged over allegations he committed perjury during the trial of former MSP Tommy Sheridan. The 44-year-old was detained for questioning at Govan police station in Glasgow by officers from Strathclyde Police. More than six hours later, the force confirmed he had been arrested and charged with perjury. A report will be sent to the procurator fiscal which will decide if Coulson is to face court proceedings. The former News of the World editor gave evidence at Sheridan's perjury trial at the High Court in Glasgow in December 2010, while he was employed by Downing Street as director of communications. At the trial, he claimed he had no knowledge of illegal activities by reporters during the time that he was editor of the now-defunct newspaper. He said: "I don't accept there was a culture of phone hacking at the News of the World." Sheridan was ultimately jailed for three years in January last year after being found guilty of perjury during his 2006 defamation action against the News of the World. He had been awarded £200,000 in damages after winning the civil case but a jury found him guilty of lying about the tabloid's claims that he was an adulterer who visited a swingers' club. The former Scottish Socialist Party (SSP) leader was convicted of five out of six allegations in a single charge of perjury relating to his evidence during the civil action at the Court of Session in Edinburgh. Sheridan was released from jail in January this year after serving one year of his sentence and vowed to continue the fight to clear his name. Coulson was arrested last year in relation to Scotland Yard's long-running investigation into phone hacking at the newspaper. He was held in July on suspicion of conspiring to intercept communications and corruption, and had his bail extended earlier this month. Coulson resigned as editor in 2007 after the paper's former royal editor Clive Goodman and private investigator Glenn Mulcaire were jailed for phone hacking. In May that year, he was unveiled as director of communications and planning with the Conservative Party. He quit his role as Downing Street communications chief in January last year after admitting the News of the World phone-hacking row was making his job impossible.

Julian Assange's fight to evade extradition to Sweden appears doomed despite stay of execution

Julian Assange's fight to evade extradition to Sweden appeared doomed today though he was given a stay of execution by the highest court in the land. His celebrity-endorsed legal battle trundled on without him as the self-proclaimed champion of truth and transparency remained stuck in London's notorious traffic, undoubtedly disappointing his legion of fans. While vastly diminished in number from the early days of the furore surrounding the WikiLeaks founder, they were as vociferous as ever, penned in outside the Supreme Court yesterday, carrying megaphones, guitars and banners proclaiming “Free Assange” and “God Save Julian”. Mr Assange, 40, had argued that an European Extradition Warrant from Sweden to face allegations of rape and sexual molestation was invalid as the public prosecutor who issued it did not constitute a “judicial authority”. He denies the accusations, insisting they are “politically motivated”. His case was partially trumped by the French translation of the words judicial authority, which judges at the Supreme Court said carried a far wider meaning that simply a judge or court. By a majority of five to two they decided the practice by many European countries to have public prosecutors issue such warrants countered the interpretation in United Kingdom and his appeal failed. Nevertheless they granted his lawyers 14 days to apply to have the case re-opened after they insisted that they had not been given an opportunity to argue on the very legal points on which the judges had based their decision.

FORMER Downing Street communications chief Andy Coulson has been arrested on suspicion of committing perjury during the Tommy Sheridan trial

Andy Coulson has been arrested on suspicion of perjury. Picture: Getty

FORMER Downing Street communications chief Andy Coulson has been arrested on suspicion of committing perjury during the Tommy Sheridan trial at the High Court in Glasgow, the Crown Office said today.

 

The 44-year-old was detained in London this morning by officers from Strathclyde Police.

 

Coulson gave evidence in Mr Sheridan’s perjury trial at the High Court in Glasgow in December 2010.

 

He was also arrested last year in relation to Scotland Yard’s long-running investigation into phone-hacking at the News of the World.

 

He was held in July on suspicion of conspiring to intercept communications and corruption and had his bail extended earlier this month.

 

A Strathclyde Police spokesman said: “Officers from Strathclyde Police Operation Rubicon detained a 44-year-old man in London this morning under section 14 of the Criminal Procedures Scotland Act on suspicion of committing perjury before the High Court in Glasgow.

 

“It would be inappropriate to comment any further at this time.”

 

It is understood Coulson is on his way to Glasgow.

 

Operation Rubicon detectives have been looking at whether certain witnesses lied to the court during Sheridan’s trial as part of a “full” investigation into phone hacking in Scotland.

 

Mr Coulson, then employed by Downing Street as director of communications, told the trial in December 2010 he had no knowledge of illegal activities by reporters while he was editor of the News of the World.

 

He also claimed: “I don’t accept there was a culture of phone hacking at the News of the World.”

Former News of the World Editor arrested in dawn raid on his London home

 

PR man: Andy Coulson was held today by Strathclyde Police,David Cameron’s former No 10 spin doctor Andy Coulson was arrested today on suspicion of committing perjury.

Mr Coulson, 44, was detained at his home in Dulwich at 6.30am by seven officers from Strathclyde police and taken to Glasgow where he will be questioned.

The case centres on claims that he misled a court about his knowledge of phone-hacking during a criminal trial in Glasgow. The former News of the World editor, hired by the Prime Minister as his director of communications, told a court in 2010 that he had no knowledge of illegal voicemail interception when in charge of the tabloid.

During the perjury trial of former Scottish MP Tommy Sheridan, Mr Coulson said: “I don’t accept there was a culture of phone hacking at the News of the World.” He also denied knowing that the

 newspaper paid corrupt police officers for tip-offs. Mr Cameron has faced questions over his decision to bring Mr Coulson into the heart of government. Mr Coulson has already been arrested by the Met on suspicion of phone-hacking and bribing public officials.

The perjury charge, which carries a maximum prison sentence of seven years, is potentially the most serious facing the former Conservative Party spokesman.

One Downing Street source said the arrest came as a “complete surprise”.

Mr Coulson was a major witness in a trial involving Sheridan who was accused of lying in court during a libel victory against the NoW.

Coulson was editor when it published a story that labelled Sheridan an adulterer who visited swingers’ clubs. He was called as a witness and told the court that he had no knowledge of illegal activities by reporters.

Sheridan was jailed for three years last year after being found guilty of perjury during his 2006 defamation action against the NoW. He had successfully sued the newspaper over its claims.

Strathclyde police announced its probe into Mr Coulson last July but it was thought to be taking a back seat as five major Scotland Yard inquiries into the Murdoch media empire rumbled on.

However, the Standard can disclose that officers from Scotland recently visited London to interview several former NoW staff about their old boss.

Under Scottish law a suspect is detained on suspicion of an offence unlike in England and Wales where a suspect is arrested. Mr Coulson has not been charged.

EU cookie implementation deadline is today

A year after its implementation in May 2011, the European Commission's Privacy and Electronic Communications Directive will finally start to be enforced as of tonight, meaning visitors to websites are required to be informed of, and given choice over, the site's intentions to store their data in cookies. Though there has been fierce opposition to the directive, some companies, such as the BBC, Channel 4 and the Guardian, have now begun implementing measures that range from multiple user choices in the level of information shared with the site, to a single message informing the user that, by continuing to browse, they have automatically agreed to have their information stored. Further reading EU cookie law is a 'restraint to trade online', says online retailer Most UK organisations not compliant with EU cookie law New EU cookie law set to come into force But the majority of companies, it is widely reported, will miss tonight's deadline. While the Information Commissioner's Office (ICO) still disagrees that a "one size fits all" policy of standardisation is not the way forward when enforcing cookie legislation, some believe such a framework is the only way forward. Society for engineering and technology professionals, the Institution of Engineering & Technology said, "The implementation of this directive is likely to prove very variable until the introduction of a set of standards on the best way to provide a balance between easy browsing and personal privacy. "We had hoped that more progress would have been made on achieving this in the 12 month implementation delay that the Information Commissioner, Christopher Graham, gave British organisations."

Google plans to warn more than half a million users of a computer infection that may knock their computers off the Internet this summer.

Unknown to most of them, their problem began when international hackers ran an online advertising scam to take control of infected computers around the world. In a highly unusual response, the FBI set up a safety net months ago using government computers to prevent Internet disruptions for those infected users. But that system will be shut down July 9 -- killing connections for those people.

The FBI has run an impressive campaign for months, encouraging people to visit a website that will inform them whether they're infected and explain how to fix the problem. After July 9, infected users won't be able to connect to the Internet.

LONG ARM OF SCOFFLAW

An online ad scam is having some unintended ramifications: The fix may prevent as many as 360,000 from getting online. Several sites will show if you're infected:

DNS Changer Working Group: can discern whether you’re infected and explain how to fix the problem.

DNSChanger Eye Chart: if the site goes red, you’re in harm’s way. Green means clean.

The FBI website: type in the IP address of your DNS server to find out if it is infected.

Read more on how to stay safe

On Tuesday, May 22, Google announced it would throw its weight into the awareness campaign, rolling out alerts to users via a special message that will appear at the top of the Google search results page for users with affected computers, CNET reported. 

“We believe directly messaging affected users on a trusted site and in their preferred language will produce the best possible results,” wrote Google security engineer Damian Menscher in a post on the company’s security blog.

“If more devices are cleaned and steps are taken to better secure the machines against further abuse, the notification effort will be well worth it,” he wrote.

The challenge, and the reason for the awareness campaigns: Most victims don't even know their computers have been infected, although the malicious software probably has slowed their web surfing and disabled their antivirus software, making their machines more vulnerable to other problems.

Last November, when the FBI and other authorities were preparing to take down a hacker ring that had been running an Internet ad scam on a massive network of infected computers, the agency realized this may become an issue.

"We started to realize that we might have a little bit of a problem on our hands because ... if we just pulled the plug on their criminal infrastructure and threw everybody in jail, the victims of this were going to be without Internet service," said Tom Grasso, an FBI supervisory special agent. "The average user would open up Internet Explorer and get `page not found' and think the Internet is broken."

On the night of the arrests, the agency brought in Paul Vixie, chairman and founder of Internet Systems Consortium, to install two Internet servers to take the place of the truckload of impounded rogue servers that infected computers were using. Federal officials planned to keep their servers online until March, giving everyone opportunity to clean their computers.

But it wasn't enough time.

A federal judge in New York extended the deadline until July.

Now, said Grasso, "the full court press is on to get people to address this problem." And it's up to computer users to check their PCs.

'We started to realize that we might have a little bit of a problem on our hands...'

- Tom Grasso, an FBI supervisory special agent

This is what happened:

Hackers infected a network of probably more than 570,000 computers worldwide. They took advantage of vulnerabilities in the Microsoft Windows operating system to install malicious software on the victim computers. This turned off antivirus updates and changed the way the computers reconcile website addresses behind the scenes on the Internet's domain name system.

The DNS system is a network of servers that translates a web address -- such as http://www.foxnews.com -- into the numerical addresses that computers use. Victim computers were reprogrammed to use rogue DNS servers owned by the attackers. This allowed the attackers to redirect computers to fraudulent versions of any website.

The hackers earned profits from advertisements that appeared on websites that victims were tricked into visiting. The scam netted the hackers at least $14 million, according to the FBI. It also made thousands of computers reliant on the rogue servers for their Internet browsing.

When the FBI and others arrested six Estonians last November, the agency replaced the rogue servers with Vixie's clean ones. Installing and running the two substitute servers for eight months is costing the federal government about $87,000.

The number of victims is hard to pinpoint, but the FBI believes that on the day of the arrests, at least 568,000 unique Internet addresses were using the rogue servers. Five months later, FBI estimates that the number is down to at least 360,000. The U.S. has the most, about 85,000, federal authorities said. Other countries with more than 20,000 each include Italy, India, England and Germany. Smaller numbers are online in Spain, France, Canada, China and Mexico.

Vixie said most of the victims are probably individual home users, rather than corporations that have technology staffs who routinely check the computers.

FBI officials said they organized an unusual system to avoid any appearance of government intrusion into the Internet or private computers. And while this is the first time the FBI used it, it won't be the last.

"This is the future of what we will be doing," said Eric Strom, a unit chief in the FBI's Cyber Division. "Until there is a change in legal system, both inside and outside the United States, to get up to speed with the cyber problem, we will have to go down these paths, trail-blazing if you will, on these types of investigations."

Now, he said, every time the agency gets near the end of a cyber case, "we get to the point where we say, how are we going to do this, how are we going to clean the system" without creating a bigger mess than before

Three killed in northern Italy earthquake

Three people have been killed in a 5.9-magnitude earthquake that struck northern Italy near Bologna, according to reports. The quake that struck at just after 4am local time was centred 21.75 miles north-northwest of Bologna at a relatively shallow depth of six miles, the US Geological Survey said. Italian news agency Ansa, citing emergency services, said two people were killed in Sant'Agostino di Ferrara when a ceramics factory collapsed. Another person was killed in Ponte Rodoni do Bondeno. In late January, A 5.4-magnitude quake shook northern Italy. Some office buildings in Milan were evacuated as a precaution and there were scattered reports of falling masonry and cracks in buildings. The tremor was one of the strongest to shake the region, seismologists said. Initial television footage indicated that older buildings had suffered damage. Roofs collapsed, church towers showed cracks and the bricks of some stone walls tumbled into the street during the quake. As dawn broke over the region, residents milled about the streets inspecting the damage. Italy's Sky TG24 showed images of the collapsed ceramics factory in Sant'Agostino di Ferrara where the two workers were reportedly killed. The structure, which appeared to be a hangar of sorts, had twisted metal supports jutting out at odd angles amid the mangled collapsed roof. The quake “was a strong one, and it lasted quite a long time”, said Emilio Bianco, receptionist at Modena's Canalgrande hotel, housed in an ornate 18th century palazzo. The hotel suffered no damage and Modena itself was spared, but guests spilled into the streets as soon as the quake hit, he said. Many people were still awake in the town since it was a “white night”, with shops and restaurants open all night. Museums were supposed to have remained open as well but closed following the bombing of a school in southern Italy that killed one person. The quake epicentre was between the towns of Finale Emilia, San Felice sul Panaro and Sermide, but was felt as far away as Tuscany and northern Alto Adige. The initial quake was followed about an hour later by a 5.1-magnitude aftershock, USGS said. And it was preceded by a 4.1-magnitude tremor. In late January, a 5.4-magnitude quake shook northern Italy. Some office buildings in Milan were evacuated as a precaution and there were scattered reports of falling masonry and cracks in buildings. In 2009, a devastating tremor killed more than 300 people in the central city of L'Aquila.

‘Save euro’ plea to Germans as Spain slumps

BRITAIN yesterday piled pressure on German Chancellor Angela Merkel to save the euro. 6 comments Related Stories PM: Make or break for euro HE to issue plea to Merkel to fork out as only way to stave off meltdown New French Pres gets a soakingFrench warning for CameronSarky poll malarky will leave PM narky David Cameron and Chancellor George Osborne said she must use her financial clout to stop the single currency collapsing. The PM hammered the message home in emergency talks via video-link with Mrs Merkel and French president Francois Hollande. It came as the chaos in Greece spread to Spain — with fears of a run on banks in both countries. Greeks have taken £560million from local banks in the past week. And yesterday Spain’s Bankia bank was forced to deny reports customers had taken £800million out of its coffers in the past seven days. Last night the fears hit Santander UK as credit rating agency Moody’s downgraded the bank along with its Spanish owner and 15 other Spanish banks. And credit agency Fitch downgraded Greece on fears it will be booted out of the Eurozone. Earlier, Mr Osborne said the Treasury had drawn up emergency plans to cope with Greece quitting the euro. He told MPs: “Britain will be prepared for whatever comes.” Mr Cameron had warned countries such as Greece and Spain can only survive if richer countries did more to “share the burden of adjustment”. He also backed Eurobonds to raise billions to prop up crisis-hit countries — a proposal that would have to be bankrolled by Berlin. After the video chat, a Downing Street spokesman said the PM urged the eurozone to take “decisive action to ensure financial stability and prevent contagion”.

Spain’s banking crisis reached Britain’s high streets last night when the credit rating of Santander UK was cut.

In a sweeping reassessment, ratings agency Moody’s announced in Madrid that it is downgrading 16 Spanish banks because it could not be sure of the ability of the country’s government to provide the necessary support.

Santander UK was among the banks highlighted after the ratings agency took aim at its parent Banco Santander, based in Spain. 

The Spanish banking crisis has hit the British high street, with the news that Santander has had its credit rating cut

Santander is one of the biggest players in UK retail banking, having taken over the former Abbey National, Alliance & Leicester, Bradford & Bingley and most recently the English branches of the Royal Bank of Scotland.

The new lower A2 credit rating is certain to be a cause of anxiety to Santander UK’s millions of British customers. 

Nevertheless, they can be confident that their deposits up to £85,000 are guaranteed by the British government should there be a loss of confidence.