:00:16. > :00:19.One of the world's biggest banks, HSBC, in the spotlight for allowing
:00:19. > :00:22.money laundering. We look at France's role in a future
:00:22. > :00:25.Afghanistan, as a local soldier is sentenced to death for killing five
:00:25. > :00:27.French troops. American regulators approve the
:00:27. > :00:36.first drug shown to help reduce the risk of HIV infection.
:00:36. > :00:39.Welcome to BBC World News. Also in this programme.
:00:39. > :00:43.A warm welcome far above the Earth, as the Soyuz spacecraft docks at
:00:43. > :00:46.the International Space Station. Getting in the mood for the Games,
:00:46. > :00:56.thousands gather to see the Olympic torch on its tour of south-east
:00:56. > :01:00.
:01:00. > :01:09.England. One of the world's biggest banks,
:01:09. > :01:13.HSBC, has been accused of allowing Mexican drugs money to be laundered.
:01:13. > :01:16.A probe by the US Senate says huge sums of the cash almost certainly
:01:16. > :01:19.passed through the bank, as well as suspicious funds from Syria, the
:01:19. > :01:22.Cayman Islands, Iran and Saudi Arabia. The bank's senior
:01:22. > :01:25.executives are due to appear before a US Senate committee later today.
:01:25. > :01:29.HSBC says it expects to be held accountable for what went wrong.
:01:29. > :01:34.The BBC's Juliana Liu has been speaking to the bank in Hong Kong.
:01:34. > :01:39.She told us more about the Senate report.
:01:39. > :01:46.For the report which was actually released surprisingly ahead of an
:01:46. > :01:51.Actual hearing that will take place in Washington on Tuesday morning,
:01:51. > :01:57.accuses the Bank of allowing illegal funds, but Rangers from
:01:57. > :02:06.drugs money from Mexican cartels, two possible terrorist financing,
:02:06. > :02:10.in countries like Saudi Arabia and Syria, to go through HSBC's
:02:10. > :02:18.financial networks around the world. HSBC has put a day statement saying
:02:19. > :02:26.they will formally apologise at the hearing on Tuesday. That is when
:02:26. > :02:30.the senior executives will be testifying before US lawmakers.
:02:30. > :02:36.is it clear whether this is likely to be confined to HSBC?
:02:36. > :02:42.Is it possible other banks could be involved? What do the banks do to
:02:42. > :02:49.check the sources of these transactions?
:02:49. > :02:53.At the moment, it appears HSBC is the only bank being investigated.
:02:53. > :02:59.The sub committee investigated for one year, going through one million
:02:59. > :03:04.documents, speaking to people including US officials, officials
:03:04. > :03:09.at HSBC. It appears the investigation is just targeting
:03:09. > :03:15.that one company. This is one of the biggest banks in the world,
:03:15. > :03:21.founded more than 100 years ago in Hong Kong and Shanghai. A global
:03:21. > :03:26.bank these days. What her understand it is the HSBC Private
:03:26. > :03:32.Bank which deals directly with private clients has strict controls
:03:32. > :03:37.over money. If a private banker suspects his client has given him a
:03:37. > :03:42.suitcase of money, there are strict controls on whether he can accept
:03:42. > :03:50.that money, in fact he cannot. It appears this investigation is not
:03:50. > :04:00.specific to that part of the bank but the bank as a whole. A Time for
:04:00. > :04:02.
:04:02. > :04:09.the business news. Shares in HSBC are higher in Hong
:04:09. > :04:17.Kong, but why? I am slightly surprised. As the news has come up,
:04:17. > :04:22.we have seen very little movement in the share price. And some people
:04:22. > :04:27.speculating there could be fines of millions or billions of dollars.
:04:27. > :04:34.They admit they have got it wrong and a pudding in processes to
:04:34. > :04:42.correct it. It looks incredibly naive, their mistakes, classing
:04:42. > :04:52.Mexico as a low-risk company -- country. It seems we are in a
:04:52. > :04:54.
:04:54. > :05:00.moment were, another day, another bank is in trouble. Here, we have
:05:00. > :05:08.Barclays Bank, over the LIBOR fixing scandal. This is another
:05:08. > :05:11.blow to the global banking industry. It is. Three years ago, with the
:05:11. > :05:16.failure of Lehman Brothers, in financial terms that was much
:05:16. > :05:22.bigger. But three years down the line, these are the scandals doing
:05:22. > :05:28.so much damage to the reputations they tried to build back over the
:05:28. > :05:38.last few years. Clearly, public opinion is still against bankers.
:05:38. > :05:49.
:05:49. > :05:55.Investors are shying away again. As HSBC has been blamed for laundering
:05:55. > :05:58.controls being lax. What of the controls in place for moving money
:05:58. > :06:04.around? All kinds of controls to make sure
:06:04. > :06:08.people don't put of numbers into their accounts or move money in
:06:08. > :06:14.Otway's. As long as there is consistency and ordinary
:06:14. > :06:21.transactions. But they didn't have the systems in place. HSBC
:06:21. > :06:26.processes one trillion US dollars every day. 110 million customers.
:06:26. > :06:36.200,000 employees. The chances of this happening to her bank this
:06:36. > :06:37.
:06:37. > :06:42.size are fairly high. The US Senate report concludes the
:06:42. > :06:49.US back regulator failed to properly monitor HSBC. Hook is
:06:49. > :06:54.overall responsible for this? The bank or the regulator? Everyone is
:06:54. > :06:58.partially guilty. All parties involved are not want this to
:06:58. > :07:08.happen. There is no way white HSBC would allow this to happen if they
:07:08. > :07:09.
:07:09. > :07:16.knew. Neither would the regulator. We will find solutions. This should
:07:16. > :07:21.never have happened in the first place. We have seen it stories over
:07:21. > :07:26.banking issues and the big boss usually ends up going. The man who
:07:26. > :07:31.was in charge of this bank for the past decade, no longer, is Lord
:07:31. > :07:36.Stephen Green, now a member of Parliament. A man who is very vocal
:07:36. > :07:41.on banking ethics, quoted as saying, bankers need a moral compass. This
:07:41. > :07:46.has got to be embarrassing to him. If he knew this was going on, he
:07:47. > :07:55.would have stopped this immediately. He has been the moral foundation of
:07:55. > :08:05.the financial services industry for 20 years. His -- he is probably the
:08:05. > :08:07.
:08:07. > :08:11.most distraught over this situation. Your response, this adds further
:08:11. > :08:16.problems for the banking industry. Another blow to its reputation?
:08:16. > :08:19.is, and we will see more of this because the banking structures in
:08:19. > :08:29.bouts are not good enough. They need to know what is going on in
:08:29. > :08:36.
:08:36. > :08:46.every part of the banks. That is what has to change.
:08:46. > :08:46.
:08:46. > :08:52.Thank you for joining us. Internet giant, Yahoo, reports
:08:52. > :08:56.earnings later today. The numbers are likely to be overshadowed by
:08:56. > :08:59.the news that Marissa Mayer, one of the top executives at Google, will
:08:59. > :09:02.be the next chief executive of Yahoo. She's also announced on
:09:02. > :09:05.twitter that's she's pregnant, due in October. Michelle Fleury reports
:09:05. > :09:09.from New York. She was the 20th employee for
:09:09. > :09:16.Google, its first female engineer, credited with the look and feel of
:09:16. > :09:26.some of its most popular products. Now she can add aTo her CV, chief
:09:26. > :09:31.
:09:31. > :09:34.executive. In a statement, she But she faces an uphill battle re-
:09:34. > :09:39.establishing it as an internet leader. It has struggled to turn
:09:39. > :09:45.his huge presence on the internet into revenue. One area it is behind
:09:45. > :09:50.in his mobile internet. A glaring hole his mobile. Can they be
:09:50. > :09:56.successful? A lot of money can be wasted in chasing bad products. She
:09:56. > :10:02.is a product person, they will develop new products, to re- engage
:10:02. > :10:07.customers. But it is going to be in my view a risky proposition.
:10:07. > :10:12.Filling the top spot has been a headache for the company, it has
:10:12. > :10:20.been through four chief executives in four years. Now the 5th is
:10:20. > :10:25.taking over. For the company, this is a huge queue, it has struggled
:10:25. > :10:29.to attract and retain top talent. For the new chief executive, the
:10:29. > :10:37.job may be challenging but she joined a small group at the top
:10:37. > :10:47.table in silicon Valley. Just clarify if she has five
:10:47. > :11:00.
:11:00. > :11:09.children! US stocks are high, on the basis of
:11:09. > :11:19.comments in China, and we will be hearing from the Federal Reserve
:11:19. > :11:32.
:11:32. > :11:35.head. An Afghan soldier has been
:11:35. > :11:39.sentenced to death for killing five French troops in January. It was
:11:39. > :11:42.one of the worst in a wave of attacks earlier this year which
:11:42. > :11:45.also injured several soldiers. It prompted President Sarkozy, then in
:11:45. > :11:48.the height of an election campaign, to announce that French forces
:11:48. > :11:51.would leave the country a year earlier than had been planned.
:11:51. > :11:53.BBC's Bilal Sarwary has been following the case against he
:11:54. > :11:59.afghan soldier in Kabul. Doctors found out that he did not
:11:59. > :12:04.have any mental illness or history of mental problems. That would
:12:04. > :12:10.contradict the others the BBC found out that he had been hospitalised,
:12:10. > :12:14.he had threatened to burn down his house, fighting with his father.
:12:14. > :12:22.What officials are refusing to comment on it this stage is whether
:12:22. > :12:28.he had any links all ties with several of the insurgent groups. He
:12:28. > :12:33.had gone to Pakistan, where he was missing, presumably being trained
:12:33. > :12:38.in one of the training camps. But the Afghan Minister of Defence is
:12:38. > :12:43.now saying he will have the right to appeal against this decision. We
:12:43. > :12:47.understand at this stage his family has not been informed. The whole
:12:47. > :12:51.question of trust within these security operations is key. We have
:12:51. > :13:01.seen a number of these sorts of incidences, has anything been
:13:01. > :13:02.
:13:02. > :13:05.learned from this particular case? If you speak to Afghan intelligence
:13:05. > :13:13.officials under the Ministry of Defence, they will say they have
:13:13. > :13:18.made huge improvements, arrests, better mechanisms to look out for
:13:18. > :13:23.these soldiers, Taliban infiltrators. But they admit they
:13:23. > :13:26.expect this problem to exist, because it is quite difficult for
:13:27. > :13:30.them to keep an eye on all of these soldiers who go back to their homes.
:13:30. > :13:36.Motor them live in areas where the Afghan government is either a weak
:13:36. > :13:40.or does not exist -- most of them. They do admit the Taliban in some
:13:41. > :13:46.areas have been successful in hiring Afghan National Army
:13:46. > :13:52.soldiers and police soldiers, as infiltrators. But, in other cases,
:13:52. > :13:59.Taliban fighters have also managed to get into the police and army, as
:13:59. > :14:03.their fighters, and have carried out attacks. A large fire has
:14:03. > :14:06.broken out in a skyscraper in the Turkish city of Istanbul. Hundreds
:14:06. > :14:10.of people evacuated the building but no one was hurt. The 42-storey
:14:10. > :14:13.tower block is a mix of apartments and offices. The authorities say an
:14:13. > :14:23.initial inspection suggests it was caused by a problem with the air
:14:23. > :14:28.conditioners. You are watching BBC World news.
:14:28. > :14:32.The head of the security form -- security firm G4S faces a grilling
:14:32. > :14:40.over his failure to provide enough staff.
:14:40. > :14:50.And 30 Aston ups -- three more astronauts arrive at the
:14:50. > :14:50.
:14:50. > :14:54.The campaign group says its worried in Newport will disturb their
:14:54. > :14:58.sensitive breeding grounds. The Australian authorities insist that
:14:58. > :15:02.risks to wildlife will be kept to a minimum. A former Moscow policeman
:15:02. > :15:09.has been charged with involvement in the killing of the Russian
:15:09. > :15:12.journalist almost six years ago. Investigators accused the man
:15:12. > :15:16.offering her be days before she was shot dead in the hall of her
:15:16. > :15:21.apartment building. At the time she was investigating human rights
:15:21. > :15:25.abuses. An Egyptian court ruling expected today could dissolve the
:15:25. > :15:28.task of rewriting the country's new constitution. The same court will
:15:28. > :15:33.also hear a separate legal case demanding the dissolution of the
:15:33. > :15:38.upper house of parliament. The decision is crucial for the future
:15:39. > :15:44.of Egypt. This is part of the ongoing struggle for power. In
:15:44. > :15:47.Mohamed Morsi and the military. The New Court ruling, we are not
:15:47. > :15:51.totally sure if it happens today but that seems most likely, and it
:15:51. > :15:56.seems most likely the verdict will be to dissolve the constitutional
:15:56. > :16:00.assembly. Mohamed Morsi has been trying to pre-empt that. He
:16:00. > :16:06.reformed the committee, changed the membership the other day to resolve
:16:06. > :16:11.some of the objections. He's also issued a new decree himself about
:16:11. > :16:17.the membership of the committee. He has also met with members of the
:16:17. > :16:20.judiciary. In a way, to influence this debate. The feeling is he will
:16:20. > :16:25.lose this legal battle and then, according to the letter of the law,
:16:25. > :16:29.it seems the military may get some say in who writes this constitution.
:16:29. > :16:32.That is pretty important to them because their critics would say
:16:33. > :16:36.they want a constitution that is more friendly to their interests
:16:36. > :16:45.and helps protect their powers and their substantial privileges within
:16:45. > :16:47.President Obama and the First Lady have shared a very public kiss at a
:16:47. > :16:50.USA Basketball exhibition game against Brazil in Washington. They
:16:50. > :16:53.declined during the first half, when picked up by the Verizon
:16:53. > :16:56.Center's so-called "Kiss Cam", the in-house video which flashes the
:16:56. > :16:59.image of couples on a giant screen. But when the camera swung back
:16:59. > :17:03.their way later in the game, goaded by his daughter Malia, Mr Obama put
:17:03. > :17:13.his arm around his wife and they obliged, to the delight of the
:17:13. > :17:22.
:17:22. > :17:27.A US probe discloses how lax controls that Europe's largest bank,
:17:27. > :17:30.HSBC, left it vulnerable to being used to launder dirty money. An
:17:30. > :17:36.Afghan soldier who killed five French soldiers in January has been
:17:37. > :17:40.sentenced to death. Diplomatic efforts to try and end the
:17:41. > :17:45.suffering in Syria are continuing today. The UN special envoy, Kofi
:17:45. > :17:51.Annan, meets Rochette roz macro President Shawky. With Russia
:17:51. > :17:55.signalling to veto any new UN Security Council resolution.
:17:55. > :17:59.Fighting has broken out in Baghdad street, one of the main streets in
:17:59. > :18:04.the centre of the capital. Violence began in the south on Saturday,
:18:04. > :18:09.when at least 10 people were believed to have lost their lives.
:18:09. > :18:13.Joining me from Damascus is a Dutch journalist. Can you tell us what
:18:14. > :18:23.you know about the latest reports today of fighting in the centre of
:18:24. > :18:26.
:18:26. > :18:30.the city? It is very difficult today. We can see from where we are
:18:30. > :18:37.in downtown Damascus, the smoke rising up from the suburbs where a
:18:37. > :18:41.lot of fighting has been going on for a couple of days. We can hear
:18:41. > :18:49.explosions. That is something definitely knew today. They are
:18:49. > :18:54.being deployed. There is heavy fighting in certain areas. But more
:18:54. > :18:59.towards the outskirts and surrounding villages, where we see
:18:59. > :19:06.a lot of smoke rising today. As we speak, I can hear another
:19:06. > :19:09.helicopter flying over. Do you know, in this area of Baghdad street, can
:19:09. > :19:19.you describe that area to us and how many people are likely to be
:19:19. > :19:45.
:19:45. > :19:55.A lot of people... For example, you need a government minder as you go
:19:55. > :20:14.
:20:14. > :20:22.People are leaving... Sorry to cut you off, that line is quite
:20:22. > :20:27.difficult to follow. Health regulators in the US have approved
:20:27. > :20:31.the first drug shown to help reduce the risk of HIV infection. Truvada
:20:31. > :20:35.or is intended to be used by those at high risk, for example anyone
:20:35. > :20:40.having sex with HIV positive partners. Studies suggest of the
:20:40. > :20:43.drug can reduce the risk of contracting HIV by up to 75 %. Our
:20:43. > :20:47.health correspondent told me earlier that the drug is aimed at
:20:47. > :20:52.stopping the transmission of the virus itself. It helps reduce the
:20:52. > :20:57.amount of something called a viral load. We already know that treating
:20:57. > :21:00.people who've got HIV, it can reduce the amount of infection
:21:00. > :21:05.travelling around in their body but it does it in different ways. Some
:21:05. > :21:08.of them strip out the HIV infection. That, by giving it to the person
:21:08. > :21:13.that hasn't got the infection already, seems to make it harder
:21:13. > :21:18.for the infection to get a hold. there any risk attached to taking
:21:18. > :21:22.this drug itself? There are side- effects. This drug in particular is
:21:22. > :21:26.quite difficult to take. In the trials, a lot of the men who were
:21:26. > :21:28.trying to take this drug didn't take it consistently. If you don't
:21:28. > :21:33.take it consistently because of side-effects or you don't like
:21:33. > :21:36.taking it, then the efficacy comes down to about 40 %. This is not
:21:36. > :21:41.something that would be intended to roll-out widely across the
:21:41. > :21:46.population, it's got to be quite so Pacific. Experts are clear that it
:21:46. > :21:51.is still important to treat people with HIV. That is the real way to
:21:52. > :21:54.prevent this disease spreading. Because if you give and the
:21:54. > :22:01.retroviral drugs, the other types of drugs that are widely available,
:22:01. > :22:03.you can reduce the risk of transmission right down to about 3%.
:22:04. > :22:08.British Members of Parliament are due to question the chief-executive
:22:08. > :22:11.of a private security firm, G4S, shortly, about its failure to
:22:11. > :22:16.provide thousands of security staff that it promised for the Olympics.
:22:16. > :22:20.The government has called up more than 3500 soldiers to cover the
:22:21. > :22:26.shortfall. Joining me from central London is male me grimly. We've
:22:26. > :22:29.heard already today about another incident in Surrey, where staff
:22:29. > :22:33.were supposed to turn up and they simply didn't. This problem could
:22:33. > :22:37.potentially grow, couldn't it? That's right, this story doesn't
:22:37. > :22:42.seem to be going the way for G4S. Yesterday, the police in Manchester
:22:42. > :22:45.have did to -- had to be drafted in after G4S failed to provide enough
:22:45. > :22:51.security guards to guard a hotel where the Olympic athletes are
:22:51. > :22:55.going to be staying. As you mention, his second sight seems to be having
:22:55. > :22:59.problems in Surrey, where a big cycling event will be taking place
:22:59. > :23:05.once the Olympics start. MPs will want to know why these problems did
:23:05. > :23:10.not come to the surface earlier. Why were the politicians are only
:23:10. > :23:15.really alerted two weeks out from the opening ceremony? Boris Johnson,
:23:15. > :23:19.the mayor, saying London is doing pretty well and that things are
:23:19. > :23:21.largely on track, the army and the police trying to cover for any
:23:21. > :23:25.shortfalls. The opposition are saying the government should have
:23:25. > :23:29.been monitoring much more closely what security arrangements were,
:23:29. > :23:33.they just went across the detail. That's right. There's a bit of the
:23:33. > :23:37.blame game coming on as to who was supposed to be monitoring the
:23:37. > :23:41.contract between G4S and the Olympic organisers. Opposition
:23:41. > :23:45.politicians believe that the Home Office should have been much more
:23:45. > :23:49.across the detail of the shortfall and the scale of the shortfall
:23:49. > :23:54.before we got to this position, where they were literally having to
:23:54. > :23:58.send the troops in. The politicians, though, the minister themselves,
:23:58. > :24:02.are saying it is important not to try and have too much of a witch
:24:02. > :24:06.And now. They just want to get things on track as much as they can
:24:06. > :24:12.in the next two days. Once the Games start, all these worries
:24:12. > :24:15.about securities they hope will melt away. Is anyone fearful that
:24:16. > :24:20.the security is compromised or is there still a lot of confidence for
:24:20. > :24:25.people about that? They are adamant that the security isn't compromised.
:24:25. > :24:29.And because they did have these troops on standby, they will get
:24:29. > :24:33.quite a high level of security on the venues. It is things like
:24:33. > :24:37.checking handbags that these groups will now be doing. These troops
:24:37. > :24:44.have been in Afghanistan, so something like that isn't going to
:24:44. > :24:51.pose too much of a problem for them. We are following the journey of the
:24:51. > :24:58.Olympic torch. It is on the English south coast. It has been in
:24:58. > :25:03.Brighton. Thousands gathered to watch the torch and send its on its
:25:03. > :25:05.way through a tour of the surroundings. The Olympic torch
:25:05. > :25:10.left Brighton this morning and, like everywhere else in Britain,
:25:10. > :25:15.thousands of people turned up to catch a glimpse and cheer on their
:25:15. > :25:19.local heroes. With me are some of those torch bearers.
:25:19. > :25:25.Congratulations to you all. What do you call a gaggle of torch bearers?
:25:25. > :25:30.A beacon? How was it this morning? Amazing, I can't tell you how I
:25:30. > :25:34.feel. I just felt the love of the crowd, family and friends. Likewise.
:25:34. > :25:37.I did the run yesterday Ian Hope Park and I've never seen so many
:25:37. > :25:41.people in all my life. My family and friends were there, I still
:25:41. > :25:45.can't believe it and don't want it to finish. Were you surprised how
:25:45. > :25:51.many people showed up? I was, even though I'd been watching the amount
:25:51. > :25:57.of people on the torch, any weight. It was astounding. It's been a real
:25:57. > :26:01.celebration of community as well. It has. Where I come from in Greece,
:26:01. > :26:06.there are people watching the BBC World News all the time to see
:26:06. > :26:09.what's going on here. Why were you nominated? But things that I've
:26:09. > :26:14.done around the community. Party because some of the things are in
:26:14. > :26:18.the course of my work which, to me, it's a job and that's what I do.
:26:18. > :26:21.More to the point, this represented people in our community to give far
:26:21. > :26:26.more than I do and allow our community to function as it does.
:26:26. > :26:32.Is that how you will feel? Definitely. I'm representing
:26:32. > :26:36.Faversham. Hello, everybody! I've run today for Daniel and Adam. Love
:26:36. > :26:42.to their family. And also for my family and all of my friends. It's
:26:42. > :26:47.amazing. The people in Brighton - you are amazing! Are we looking