Shareholder Sues Google Over Illegal Pharmacy Ads

Google and its directors were accused in a shareholder lawsuit of breaching their fiduciary duty by facilitating illegal imports of prescription drugs, leading to a $500 million settlement with the U.S. government. Chief Executive Officer Larry Page and the company’s board knew or should have known it was illegal for pharmacies outside the U.S. to ship prescription drugs into the country, according to a complaint filed in federal court in San Jose, California, by a Pennsylvania woman who owns Google shares.

Chinese Courts to Increase Hacking Penalties

China's Supreme Court and prosecutors office will step up the fight against computer hacking by toughening penalties for those caught doing it, state media said. Under rules coming into effect from September 1, people who "knowingly purchase, sell or cover-up illegally obtained data or network control will be subject to criminal penalties," the official Xinhua news agency cited a statement as saying.

Man Faces Criminal Charges for Harassing Tweets

Relentless tweets against a Buddhist leader have landed a man in jail on charges of online stalking and placed him at the center of an unusual federal case that asks the question: Is posting a public message on Twitter akin to speaking from an old-fashioned soapbox, or can it also be regarded as a means of direct personal communication, like a letter or phone call?

Amazon Spending Millions to Overturn Sales Tax Law

More than nine months before a proposed June 2012 referendum asking that California’s new Internet sales tax law be overturned, Amazon, the Seattle-based online retailer, has already spent $5.25 million, state records show, more than any company has spent in California this far from a vote in at least a decade. “The initiative and referendum process have been hijacked,” said Loni Hancock, a state senator from Berkeley, who wrote the law Amazon is trying to overturn and who is now pushing legislation that could block Amazon’s referendum effort.

Google's Page Said to Know of Illegal Pharmacy Ads

Behind Google Inc.'s decision this week to settle a U.S. criminal probe into ads it carried for unlicensed online pharmacies lies a previously undisclosed factor: Justice Department investigators believed company co-founder Larry Page knew of, and allowed, the ads for years. Sorting through more than four million documents, prosecutors found internal emails and documents that, they say, show Mr. Page was aware of the allegedly illicit ad sales.

German Judge Favors Apple in Samsung Patent Case

A judge in Düsseldorf said that Apple’s intellectual property rights are probably strong enough to ban sales of Samsung Electronics’ rival Galaxy 10.1 tablet computers in Germany. The court is unlikely, however, to expand the ban beyond Germany to other European Union countries as Apple had sought, the presiding judge, Johanna Brückner-Hofmann, said in a preliminary assessment.

U.K. Police Charge Man in 'Anonymous' Hacking Attacks

A 22-year-old man was charged with computer offenses by U.K. police investigating attacks on companies carried out by the hacking group Anonymous. Peter David Gibson, a student from Hartlepool, England, was charged with a conspiracy to impair the operation of a computer or hinder access to a program or data, the Metropolitan Police in London said today in a statement.

Google Settles Online Pharmacy Charges for $500 Million

Google Inc. reached a long-awaited $500 million legal settlement with the U.S. Justice Department to avoid prosecution on charges that it knowingly accepted hundreds of millions of dollars in illegal ads from Canadian online pharmacies. The ads resulted in the unlawful importation of prescription drugs, including controlled substances, into the U.S., potentially placing consumers at risk, the Justice Department said.