Facebook Wants New Breed of Flash Memory for Storing Old Pics

With each passing day, more than 350 million digital photos find their way onto Facebook, joining the more than 240 billion that are already there. Jay Parikh is the man who makes sure all those photos can remain online from now until the end of time, and that’s going pretty well. But he wants a little help. He wants the world to build him a new kind of flash memory ideally suited to storing all those old pics you rarely look at anymore.

The way things are going, he’ll probably get it. As Facebook’s vice president of infrastructure engineering, Parikh oversees the development of both the software and the hardware needed to operate the world’s most popular social network, and in recent months, he and his colleagues have developed a certain knack for convincing the world’s hardware companies to build stuff that suits Facebook’s particular needs — and the needs of other massive online operations. Just yesterday, Intel, AMD, and two other chip makers put their weight behind Facebook’s effort to create a new type of server that lets you add and remove processors whenever you like.

In the spring of 2011, Facebook founded something called the Open Compute Project, hoping to remake the hardware industry through communal collaboration, and on Wednesday, even as the company was showing off the latest fruits of the project, Parikh was calling for more.

Today, Facebook stores all your photos on good old-fashioned mechanical hard disks. This works well enough, but now that the company is juggling hundreds of billions of photos, many of them dating back three or four years, it makes less sense by the day. Those older photos aren’t accessed that often, and if they remain on hard drives, they continue to sap relatively large amounts of power.

“We can’t say: ‘Hey, you want to look at that picture from Halloween five years ago? We’ll go grab the tape and put it on the drive and send it to you in the week.’”

— Jay Parikh

Traditionally, companies have moved their older digital data to, say, magnetic tape. With Facebook, there’s an added rub. Even those older photos must be stored in a way that lets you instantly retrieve them. “We can’t say: ‘Hey, you want to look at that picture from Halloween five years ago? We’ll go grab the tape and put it on the drive and send it to you in the week,’” Parikh explained on Wednesday, during a speech at the Open Compute Project’s latest summit meeting. “That just doesn’t work.”

Parikh and company could move those older photos to the sort of flash memory devices that are now invading other parts of the computer data center — devices that consumes far less power than hard disks — but these carry relatively high price tags. Today’s super-speedy flash devices are a great to store information that’s accessed all the time, but they’re too expensive for the kind of “cold storage” Facebook needs for old photos.

So Parikh wants someone to build him some flash storage that’s cheaper. Basically, today’s flash is built to maximize the number of reads and writes you can make — the medium tends to degrade as you read and write — but he wants a version that specifically designed for data that’s accessed only occasionally.

“We want something with a low write-endurance,” he told us on Wednesday. “We want to get to something with a much, much lower unit cost per gigabyte.” This will also reduce the company’s power consumption, and according to Parikh, it will give his engineers more flexibility when it comes to writing software. “You play all sorts of neat software tricks in terms of how you optimize it.” When you’re reading and writing data on spinning hard drive platters — and you want to keep speeds up — there are tight restrictions on how you can do so.

On stage, during his speech, Parikh likened storage devices to cars. Right now, he said, it was as if his only options were a minivan and a high-end sports car. What he really wants is a third option — something more like a Prius. “We want is a continuum of options,” he said. “Today, the spectrum is very coarse. There’s tape on one end. There’s flash on the other end. And spinning disks in the middle. And that’s it.”

That may seem like a tall order, but Facebook is now so large — and so influential — it can make such requests in earnest. According to Facebook hardware design and supply chain guru Frank Frankovksy, Facebook engineers have long worked hand-in-hand with the Utah-based flash storage outfit Fusion-io, playing directly into the company’s latest designs, including the new 3.2 terabyte flash introduced on Wednesday at the Open Compute Summit, and Fusion-io chief David Flynn is only too happy to advertise this relationship.

Fusion-io’s high-speed flash cards are already driving Facebook’s database software — where so much of your text-based today is stored — but someday, Facebook will also move flash into the cold storage facility it’s building outside its data center up in Prineville, Oregon. It needs to get its hands on an entirely new type of flash before that can happen. But that shouldn’t be a problem.

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Eclectic opening for Sundance with films about Mideast, Chile, U.S. Southwest

PARK CITY, Utah (Reuters) – The Sundance Film Festival opens Thursday with movies and documentaries from around the world, including a feature that examines the cultural divide between the Middle East and the United States.

The 10-day Sundance Film Festival, founded by actor-director Robert Redford and now in its 35th year, will showcase 119 films from 32 countries.

“May in the Summer,” the U.S. dramatic competition opener, comes from writer-director Cherien Dabis, who caught the eye of Sundance organizers in 2009 with her directorial debut “Amreeka,” about a Palestinian family‘s experiences living in post 9/11 America.

Palestinian-American Dabis, 36, reverses the perspective on the Middle East, showing a Jordanian woman who has established a successful life in America but undergoes an identity crisis when she returns to her family in Jordan to plan her wedding.

“May in the Summer” will join U.S. documentary “Twenty Feet from Stardom” about back-up singers, Chilean drama “Crystal Fairy,” “Who is Dayani Cristal,” about a mysterious corpse found in the Arizona desert, and five short films as part of the opening day roster at the world’s leading independent film festival.

“We want the kind of films that will really set the tone for the rest of the festival. Those four films do that perfectly. They’re very different in what they are, but they collectively represent what’s going to be unfolding over the next days,” festival director John Cooper told Reuters.

OPENING UP TO THE WORLD

Festival organizers are making efforts this year to encourage more international stories and filmmakers to come to Sundance.

“They saw the value in the continuing changing world we live in and that even American stories are coming from all over the world,” Dabis said.

“The movie is a universal story that’s set in the Middle East, and we all know the Middle East is a place where we all need to expand our perceptions of what life is like there,” she added.

Sundance founder Robert Redford said the festival was all about encouraging diversity in filmmaking.

“As long as we go forward and we adapt to change, we keep in touch with our original purpose which is simply to support and develop new voices to be seen and heard,” Redford told reporters at a news conference on Thursday.

In addition to the usual film competition and premiere categories, festival organizers have expanded their slate of edgier films and projects, including actor James Franco’s sexually explicit films “kink” and “Interior. Leather Bar.”

There is also a thriving short film initiative, with more than 40 films showcased.

Outside of the films, Sundance has become a hot spot for the film industry to escape the hustle of Hollywood’s awards season and relax in Sundance’s more relaxed vibe.

Live music will feature prominently, with a spotlight on electronic dance music and four pop-up clubs featuring DJs such as Nero and Afrojack.

VIPs can take private snowboarding lessons or take part in the culinary event ChefDance, in a fusion of food and film.

(Reporting By Piya Sinha-Roy, editing by Jill Serjeant and Cynthia Osterman)

Movies News Headlines – Yahoo! News

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Well: The Fallout of a Chance Medical Finding

An incidental finding — I was convinced of it. My patient had undergone a CT scan of the abdomen at another hospital because of stomach pains and “incidentally noted” was a 2-centimeter mass in her adrenal gland. She brought in the report for me to see, nervous that she might have cancer.

I reassured her that it was exceedingly unlikely that she had cancer. Benign masses in the adrenal gland are nearly as common as birthmarks. They almost never cause symptoms and we stumble across them only because we do so many scans for other reasons. They’ve even earned their own appellation: incidentalomas, and that’s what I was sure she had.

Of course a tiny fraction — 1 to 2 percent — of these adrenal masses can wreak havoc by churning out an excess of adrenal hormones or by being cancerous. Luckily, the mass on my patient’s scan possessed all the reassuring characteristics of benignity: it was small, low-attenuating, well circumscribed, with smooth borders. And she had no symptoms to suggest adrenal hyperactivity or cancer. It was most likely a benign adrenal adenoma that would never cause her harm.

Nevertheless, once the incidentaloma had been given life, so to speak, it was no longer incidental. We were now obliged to run some highly complicated — and expensive — lab tests. I winced as I ordered urinary metanephrines to test the adrenaline-producing capacity of the adrenal. The computer warned me with exclamation points and asterisks that this was a “greater-than-$100-send-out test.” Explaining how to correctly collect a 24-hour urine sample was its own involved discussion. Then I had to explain the even more complicated logistics of the overnight dexamethasone-suppression test to evaluate the cortisol-producing capacity of the adrenal.

After that, I considered the follow-up CT scans, recommended at six months, one year and two years, to ensure that the mass wasn’t growing. What about all that radiation? One group of endocrinologists estimated that the chance of uncovering a malignant cancer in patients like mine was roughly equal to the chance of causing a fatal cancer from the radiation of these follow-up CT scans. And might these CT scans pick up other incidental findings, opening yet more Pandora’s boxes of medical evaluation?

And what about the issue of skyrocketing medical costs? The evaluation of this incidentaloma was going to cost more than a thousand dollars. Tens of millions of CT scans are done every year in the United States. It doesn’t take many back-of-the-envelope calculations to see how quickly the costs of incidental findings, and their subsequent evaluations, add up. How much should the societal obligation weigh into the decisions for my patient?

My thoughts flitted back to the doctor who had ordered this CT in the first place. Perhaps if the doctor had had more time to spend on the history and physical, the CT would not have been necessary. From my 15 years with this patient, I knew that her symptoms could be voluminous in quantity and quality. This wasn’t to say that something serious couldn’t squeak in, but over the years I have learned that it takes immense perseverance and patience to tease out the significance of each symptom. Otherwise we’d be doing a CT every week for her.

But I could understand how a doctor in a busy ER on a weekend might have been overwhelmed by the plethora of symptoms and simply ordered a CT “to be on the safe side.” I wished that doctor had tried to call me before ordering the scan, but what’s done was done. The fallout of that decision was now in my lap.

By now we had run well over our allotted time and my patient was utterly overwhelmed by the complex testing procedures and schedules. The adrenal mass was an incidental finding, after all, but it had completely steamrolled our visit. My patient’s diabetes, obesity, depression, arthritis and elevated cholesterol all ended up with the short end of the clinical stick — an outcome that surely is not incidental to her health.

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Danielle Ofri is an associate professor of medicine at New York University School of Medicine and editor in chief of the Bellevue Literary Review. Her most recent book is “Medicine in Translation: Journeys With My Patients.”

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Media Decoder Blog: Tribune Company Names Peter Liguori as Chief After Ending Bankruptcy

Peter Liguori, a longtime television executive, was named the new chief executive of the Tribune Company on Thursday, two and a half weeks after the newspaper and television station owner emerged from a wrenching four-year bankruptcy process.

Mr. Liguori’s appointment had been expected for more than a month.

Analysts expect Tribune to sell some of its newspaper assets and rely more heavily on its television stations and Web sites as it restructures itself in the months ahead.

Tribune’s newspaper holdings include The Chicago Tribune, The Los Angeles Times and The Baltimore Sun. In an interview with The Los Angeles Times on Thursday, Mr. Liguori acknowledged that there were potential buyers for some of the newspapers and that “it is my fiduciary responsibility to hear them out and see if in fact their interest is real and their commitment is concomitant with the value of these newspapers.” But he also emphasized an internal goal to maximize revenue from the newspapers.

In an e-mail message to employees, Mr. Liguori brought up the television stations first, saying, “We must find efficient ways to create our own fresh programming.” When he brought up the newspapers, he said, “We must accelerate our digital offerings and get paid for them.”

Mr. Liguori is best known for his time at News Corporation, where he ran the popular cable channel FX and then became the chairman of entertainment for Fox Broadcasting. In 2009, he joined Discovery Communications as chief operating officer.

Eddy W. Hartenstein, Tribune’s previous chief executive, will remain the publisher of The Los Angeles Times and will be a special adviser to Mr. Liguori’s office, Tribune said Thursday.

The company also said Bruce Karsh, the president of the private equity firm Oaktree Capital Management, had been elected the chairman of Tribune’s new board. Oaktree owns nearly a quarter of Tribune. Mr. Karsh said in a statement: “The company is well-positioned across its markets and now has a strong balance sheet, significant liquidity and low debt, so there is a lot of opportunity ahead.”

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This post has been revised to reflect the following correction:

Correction: January 18, 2013

Because of an editing error, an earlier version of this article misstated when The Los Angeles Times interview with Peter Liguori occurred. It was Thursday, not last week.

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U.S. finalizes rules for financial firms to avoid foreclosures

In a major effort to heal the $10-trillion U.S. mortgage market, the Consumer Financial Protection Bureau has finalized rules designed to ensure financial firms offer every available option to keep delinquent borrowers in their homes.

The regulations, to be announced Thursday, address widespread complaints that loan servicers — the companies that collect mortgage payments and repossess homes — were woefully unprepared to help borrowers during the tsunami of foreclosures after the housing bust.

They are designed to complement previous settlements by major banks over allegations of widespread servicing and foreclosure abuses. But unlike earlier settlements, they will apply to all large mortgage servicers, not just banks, in all states.

Still, the rules drew immediate criticism from a prominent consumer group, which said they don't do enough to force servicers to consider easing the terms of mortgages and expressed fears that the rules might preempt stronger existing provisions.

"While the establishment of industrywide standards is important, the failure to require meaningful loan modification protections is a retreat from current safeguards under the soon-to-expire [Obama administration] loan modification program," said Alys Cohen, an attorney with the National Consumer Law Center.

The consumer bureau was created when Congress passed the sweeping Dodd-Frank financial reform act in reaction to the mortgage meltdown and the global economic crisis that ensued. The law also required lenders to ensure that they only make loans that borrowers can reasonably be expected to repay.

Last week, the bureau issued major regulations providing a "safe harbor" from lawsuits under that new requirement for lenders who make certain types of presumably sound home loans. A key requirement is that total debt payments for borrowers — including principal, interest, taxes and insurance on home loans — be no more than 43% of gross income.

The rules to be released Thursday, which take effect in a year, bar lenders from pursuing foreclosure proceedings against borrowers while applications for loan modifications are pending — the much-criticized practice of "dual tracking."

The consumer bureau said banks also must provide "direct, easy, ongoing access" to employees who are required to alert borrowers to missing information, provide status reports on modification requests and ensure documents don't get lost.

Banks also are required to inform borrowers who miss two monthly payments about options to avoid foreclosure and to wait until loans go 120 days delinquent before beginning a foreclosure — a provision that would preempt a 90-day requirement under California law.

Richard Cordray, the consumer bureau's director, said distressed borrowers had not gotten the help and support they deserved, such as "timely and accurate information about their options for saving their homes."

"Servicers failed to answer phone calls, routinely lost paperwork and mishandled accounts," Cordray said in remarks to be delivered at an industry conference Thursday.

"Communication and coordination were poor, leading many to think they were on their way to a solution, only to find that their homes had been foreclosed on and sold," he said. "At times, people arrived home to find they had been unexpectedly locked out."

The new rules don't apply to most small banks and credit unions. Bureau officials said they have had few complaints about these small institutions, which are more likely to keep loans on their books, rather than sell them, and generally devote more attention to individual customers.

Servicers often are collecting payments on behalf of loan owners, who may be the banks themselves but more often are trusts created on behalf of mortgage investors. The investors have mandated a wide range of relief programs for troubled borrowers in addition to government-sponsored programs such as the Obama administration's Home Affordable Modification Program.

In the past, servicers would sometimes not inform troubled borrowers about all the options, instead steering them into foreclosure or programs that provided the servicers with greater financial rewards, bureau officials said.

The servicers are now supposed to clearly explain all alternatives to borrowers so they can pick the best one. The new rules also establish clearer opportunities for borrowers to appeal servicers' denials of loan modifications.

In addition to worries that the bureau has not cracked down hard enough on servicers, consumer advocates expressed concern that the new rules will not take effect for a year.

"While we understand that servicers need time to implement complex procedures, we're still in the middle of a foreclosure crisis," Cohen said. "Many people will unnecessarily lose their homes if we wait a year."

scott.reckard@latimes.com

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A Google-a-Day Puzzle for Jan. 17

Our good friends at Google run a daily puzzle challenge and asked us to help get them out to the geeky masses. Each day’s puzzle will task your googling skills a little more, leading you to Google mastery. Each morning at 12:01 a.m. Eastern time you’ll see a new puzzle posted here.

SPOILER WARNING:
We leave the comments on so people can work together to find the answer. As such, if you want to figure it out all by yourself, DON’T READ THE COMMENTS!

Also, with the knowledge that because others may publish their answers before you do, if you want to be able to search for information without accidentally seeing the answer somewhere, you can use the Google-a-Day site’s search tool, which will automatically filter out published answers, to give you a spoiler-free experience.

And now, without further ado, we give you…

TODAY’S PUZZLE:

Note: Ad-blocking software may prevent display of the puzzle widget.

Ken is a husband and father from the San Francisco Bay Area, where he works as a civil engineer. He also wrote the NYT bestselling book "Geek Dad: Awesomely Geeky Projects for Dads and Kids to Share."

Read more by Ken Denmead

Follow @fitzwillie and @wiredgeekdad on Twitter.

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Pregnant Kim Kardashian wants to be more private

NEW YORK (AP) — As the tabloids speculated about whether Jessica Simpson is expecting again (she is) and the media zeroed in on Kate Middleton‘s acute morning sickness, Kim Kardashian says it was nice to be out of the media spotlight during the early stages of her pregnancy.

“I’m obviously so happy for them, but if anything I loved the privacy,” the 32-year-old reality TV star said in an interview Wednesday.

That bit of privacy went out the window when Kardashian’s boyfriend, Kanye West, revealed during a Dec. 30 concert in Atlantic City, N.J., that they are expecting their first child together.

Now that the word is out, Kardashian says her motherly instincts have made her pull back from being so open about her personal life.

“I think that definitely kicks in where you’re like, ‘OK, I have to go in protect mode,’ and as ironic as it sounds, you live your life on a reality show but then when you grow up … certain things change your life that make you want to be more private and this is definitely one of them.”

The couple went public with their relationship in March.

Kardashian married NBA player Kris Humphries in August 2011 and their divorce is not finalized.

West rarely grants interviews, and the 35-year-old rapper is the ying to the Kardashian family’s “out there” yang. Kardashian says she is somewhat influenced by West’s approach.

“When you spend time with someone, you learn things from them, so I see what (his) views are in wanting to be private, so that’s a choice we make together as a family just in how we’re gonna raise our kid,” she said. “… But my personal experience of having really open relationships on the show, I’ve done that, and for me I feel like I got really scrutinized when people didn’t maybe understand my decisions at some point, so I feel like after that experience I’ve become more private more so than just like Kanye’s views or anything.”

Kardashian is due in July.

A new season of her reality show with her sister Kourtney, “Kourtney and Kim Take Miami,” premieres Sunday on E! (9 p.m. EST).

___

Online:

http://www.eonline.com/shows/kourtney_and_kim_take_miami

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Alicia Rancilio covers entertainment for The Associated Press. Follow her online at http://www.twitter.com/aliciar

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Some With Autism Diagnosis Can Recover, Study Finds

Doctors have long believed that disabling autistic disorders last a lifetime, but a new study has found that some children who exhibit signature symptoms of the disorder recover completely.

The study, posted online on Wednesday by the Journal of Child Psychology and Psychiatry, is the largest to date of such extraordinary cases and is likely to alter the way that scientists and parents think and talk about autism, experts said.

Researchers on Wednesday cautioned against false hope. The findings suggest that the so-called autism spectrum contains a small but significant group who make big improvements in behavioral therapy for unknown, perhaps biological reasons, but that most children show much smaller gains. Doctors have no way to predict which children will do well.

Researchers have long known that between 1 and 20 percent of children given an autism diagnosis no longer qualify for one a few years or more later. They have suspected that in most cases the diagnosis was mistaken; the rate of autism diagnosis has ballooned over the past two decades, and some research suggests that it has been loosely applied.

The new study should put some of that skepticism to rest.

“This is the first solid science to address this question of possible recovery, and I think it has big implications,” said Sally Ozonoff of the MIND Institute at the University of California, Davis, who was not involved in the research. “I know many of us as would rather have had our tooth pulled than use the word ‘recover,’ it was so unscientific. Now we can use it, though I think we need to stress that it’s rare.”

She and other experts said the findings strongly supported the value of early diagnosis and treatment.

In the study, a team led by Deborah Fein of the University of Connecticut at Storrs recruited 34 people who had been diagnosed before the age of 5 and no longer had any symptoms. They ranged in age from 8 to 21 years old and early in their development were in the higher-than-average range of the autism spectrum. The team conducted extensive testing of its own, including interviews with parents in some cases, to gauge current social and communication skills.

The debate over whether recovery is possible has simmered for decades and peaked in 1987, when the pioneering autism researcher O. Ivar Lovaas reported that 47 percent of children with the diagnosis showed full recovery after undergoing a therapy he had devised. This therapy, a behavioral approach in which increments of learned skills garner small rewards, is the basis for the most effective approach used today; still, many were skeptical and questioned his definition of recovery.

Dr. Fein and her team used standardized, widely used measures and found no differences between the group of 34 formerly diagnosed people and a group of 34 matched control subjects who had never had a diagnosis.

“They no longer qualified for the diagnosis,” said Dr. Fein, whose co-authors include researchers from Queens University in Kingston, Ontario; Children’s Hospital of Philadelphia; the Institute of Living in Hartford; and the Child Mind Institute in New York. “I want to stress to parents that it’s a minority of kids who are able to do this, and no one should think they somehow missed the boat if they don’t get this outcome.”

On measures of social and communication skills, the recovered group scored significantly better than 44 peers who had a diagnosis of high-functioning autism or Asperger’s syndrome.

Dr. Fein emphasized the importance of behavioral therapy. “These people did not just grow out of their autism,” she said. “I have been treating children for 40 years and never seen improvements like this unless therapists and parents put in years of work.”

The team plans further research to learn more about those who are able to recover. No one knows which ingredients or therapies are most effective, if any, or if there are patterns of behavior or biological markers that predict such success.

“Some children who do well become quite independent as adults but have significant anxiety and depression and are sometimes suicidal,” said Dr. Fred Volkmar, the director of the Child Study Center at the Yale University School of Medicine. There are no studies of this group, he said.

That, because of the new study, is about to change.

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DealBook: Report Details Missteps in Trading at JPMorgan

Long seen as one of the most careful banks on Wall Street, JPMorgan Chase on Wednesday drew back a curtain on a rare breakdown, showing traders acting on their own and concealing losses while managers seemingly turned a blind eye.

In a 129-page internal report dissecting a bad bet on credit derivatives that cost the bank more than $6 billion, the bank confessed, in painstaking detail, to widespread “failures.”

Yet the report, written by a JPMorgan management task force, is not the final word on the trading blunder. Federal investigators are examining whether fraud was committed and are planning to use the report as a guide for pursuing their inquiries, say officials briefed on the matter.

The report describes traders making overly optimistic estimates of their losses, but stops short of claiming outright fraud. Showing that traders crossed a legal line presents a challenge for investigators. In some derivatives markets, traders are afforded flexibility to estimate the value of their positions.

But the F.B.I., suspecting that some employees intentionally hid the losses last year, is using taped phone conversations to build criminal cases against London-based traders involved in the debacle, according to the officials briefed on the matter. And the report could help that effort, the officials said. Authorities expect to interview one of the junior traders in the coming weeks, one official said.

Congress is exploring potential wrongdoing, as well. The Permanent Subcommittee on Investigations has taken testimony, people close to the inquiry said, from Jamie Dimon, the bank’s chief executive, and Ina R. Drew, the former leader of the chief investment office,where the trading losses occurred.

The subcommittee’s investigation has already complicated things for the bank. It is rare for a bank to expose its missteps so publicly, but JPMorgan knew that the subcommittee would have eventually received the document from regulators and made it public.

The regulators at the Office of the Comptroller of the Currency, the people close to the inquiry said, are required to turn over such documents under a subpoena they received from the subcommittee. So last fall, a person close to JP Morgan said, the bank decided to release the report on its own terms.

“This was getting out there anyway,” another person close to the situation said. This person and others interviewed for this article spoke on the condition of anonymity because the details of the case are not public.

Federal authorities responded positively to the internal report. One Congressional official privately told JPMorgan that the bank was wise to release such a detailed document, one person briefed on the matter said, while some regulators at the comptroller’s office praised it as an “important step” for corporate governance.

The report centered on a breakdown at the chief investment office in London, a group created to invest JPMorgan’s own money and offset potential losses across the bank’s disparate businesses.

JPMorgan’s troubles began in January 2012, when the investment office ignored the basic rules of trading. On a well-functioning Wall Street desk, traders are told to end a deeply vulnerable position early, even if it means sustaining some minor losses.

But under Ms. Drew, the report said, JPMorgan traders did the opposite. In response to adverse moves in the markets and regulatory changes, the group made a series of aggressive derivatives trades. As these bets began to sour, the London team increased their trades rather than exiting. The traders thought that reducing the assets was too costly, the report says.

Some questioned the strategy. By the end of January, one trader became deeply unnerved. In an e-mail to a more senior trader, he said the size of the trades were becoming “scary” and advised that the unit take the “full pain” now.

But the traders “continued to build the notional size of the positions through late March,” according to the report, which was led by Michael J. Cavanagh, the bank’s co-head of corporate and investment banking.

In an April e-mail, Mr. Dimon asked JPMorgan’s chief risk officer, John Hogan, why the chief investment office hadn’t simply cut some of its positions to reduce risk. The office, Mr. Hogan replied, indicated that adding positions was the “most ‘efficient’ way to do it.”

The report does not name the architects of the trade; British privacy laws prevented it from doing so. But they are known to be Javier Martin-Artajo, a manager who oversaw the trading strategy from the bank’s London offices; Bruno Iksil, the trader known as the London Whale for placing the outsize bet; and Achilles Macris, the executive in charge of the international chief investment office. None of the employees have been accused of any wrongdoing. They have all since departed the bank.

The JPMorgan report, while taking aim at the London office’s strategy, also exposes major gaps in oversight that allowed this headstrong team of traders to carry out their wager. Ms. Drew, who helped steer the bank through the financial crisis, received the brunt of the blame.

“Ina Drew failed in three critical areas,” the report said, pointing to lax controls and a failure to ensure that her team “understood and vetted” the trade.

The management missteps also ensnared Barry L. Zubrow, a former chief risk officer, and Douglas L. Braunstein, formerly the bank’s chief financial officer but now a vice chairman at the bank. While the report acknowledged that Mr. Dimon could “appropriately rely upon” senior managers who oversaw the trading strategy, it also concluded that he “could have better tested his reliance on what he was told.”

This slipshod culture magnified the impact of simple human errors across the bank. At one point, the mathematical mistakes of an employee in London prevented others in the bank from seeing the potential losses accumulating beneath the surface.

Still, the problems lurking in the investment office should have set off alarms for executives outside the office. The report reveals, however, that the bank dismantled its early-warning system.

The investment office’s alarm system, based on a computer model, showed risk limits were exceeded in late January, according to the report. Senior executives made a temporary exemption for the investment office, which was approved by Mr. Dimon and others. But then, the bank introduced a new model that underestimated the losses building in the investment office, and allowed the traders to fly below the bank’s internal risk radar.

The flawed model, the report says, was built by a London-based mathematician who also provided analysis to the investment office’s traders. It appears the employee, who built the model with a simple spreadsheet, was out of his depth. The model wasn’t properly back-tested and contained errors, the report said.

JPMorgan’s report raises the possibility that the investment office pressured the managers to approve the new model. The model-builder received an e-mail on Jan. 23 from the trader to whom he reported, saying that he should “keep the pressure on our friends” in a group that validated models.

The public disclosures by the bank also came under scrutiny in the report. Failure to properly report trading losses could make JPMorgan vulnerable to lawsuits from investors. The bank’s disclosures are the subject of the Congressional investigation and an inquiry from the Securities and Exchange Commission.

The problem stems in part from the London traders, who underestimated the size of their losses, a misstep that has drawn the scrutiny of the F.B.I. and federal prosecutors. The bank restated its first-quarter results to reflect that the traders may have masked their losses by $459 million.

“In the course of the task force’s ensuing work, it became aware of evidence — primarily in the form of electronic communications and taped conversations — that raised questions about the integrity of the marks,” the report said.

Still, obstacles remain for a criminal prosecution. Authorities planned to interview Mr. Macris in his native Greece, but the talks have broken down. Instead, officials said, they now expect to interview a lower-level employee.

Some people close to the investigation also note that traders have some leeway when marking the value of trades. And the internal report shows how JPMorgan, after consulting its auditor, PricewaterhouseCoopers, approved the investment office’s valuations of its trades.

The report highlighted an episode that, in theory, might have made JPMorgan think twice before initially signing off on the first-quarter results. An “internal audit group” identified deficiencies in the unit that double-checked its traders’ valuations, calling out the group last March with a simple concern: it “needs improvement.”

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Family of man killed by Santa Ana police disputes city's explanation

The family of a man killed by police in Santa Ana disputed the official chain of events leading to his shooting, saying the 39-year-old had fallen asleep in his parked car and was startled when officers began banging on his vehicle.

The death of Binh Van Nguyen has stirred protests and rumors, fanned by coverage on Vietnamese radio and conversation at local coffeehouses.

In a public outreach effort Monday, Santa Ana city leaders — including Mayor Miguel Pulido and interim Police Chief Carlos Rojas — held a town hall meeting to respond to the rumors and offer reassurance that the shooting is being investigated.

"We hope to show the community we are listening," Cpl. Anthony Bertagna said.

Police said they were forced to open fire with semiautomatic handguns when Nguyen tried to drive his white Toyota toward them in the early hours of last Friday.

Patrol officers cruising through a west Santa Ana neighborhood reported that they first spotted Nguyen sitting in the back seat of his parked car in the 200 block of Maxine Street. As two uniformed men approached, he jumped into the front seat, police said.

The officers said they asked him to exit the car, but instead he gunned it toward them, Bertagna said.

The area where the 12:45 a.m. incident unfolded is a haven for gang activity and drugs, police said.

But family members countered the official version of what happened.

"The crime scene photos show Binh's car in a stationary position curbside, with little or no room to maneuver," the Nguyens said in a statement released by their attorney, Michael Guisti.

The family asserted that the officers were not wearing uniforms and that Nguyen — startled from his sleep — had no way of knowing they were policemen.

"We are grief-stricken beyond words. Binh was a gentle and kind man with a warm personality," the family said.

Supporters staged a peaceful protest Sunday at the scene where Nguyen, who worked in a dry-cleaning shop, was shot. He is survived by his wife and two sons, ages 13 and 7.

"They need to show the greater community that this is a tragedy and police have questions to answer," Guisti said.

Both officers involved in the fatality, one a veteran and the other described as "experienced" but new to the department, are on leave but expected to return to duty.

Police found drug paraphernalia in Nguyen's car, Bertagna said.

anh.do@latimes.com

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