In this morning's news...

Sep 30, 2011

Snyder wrapping up in Asia, highlights mining in the U.P. as one business opportunity

Governor Rick Snyder is wrapping up his trip in Asia with a visit to Seoul, South Korea. Michigan Radio's Tracy Samilton reports the governor is expected to sign an agreement with the Governor of  Gyeonggi Province. The agreement states that Michigan and the province will work together to establish trade.

Of his visit to China, Snyder said he was surprised by the positive response he received from businesses. "Many of them are seriously looking at Michigan already as a good place to do business," Snyder said. He pointed to mining copper or other deposits in the U.P. as one business opportunity for Chinese companies.

Welfare recipients file class action lawsuit against state

Governor Rick Snyder signed legislation that places tighter limits on cash assistance benefits to the poor. It puts a four-year lifetime cap on cash assistance payments from the state.

For some, that cap starts tomorrow (October 1).

Some recipients facing the cap have filed a class action lawsuit. From the Detroit News:

The lawsuit, filed against Human Services Director Maura Corrigan, said immediate intervention is needed to prevent more than 25,000 parents and children from losing benefits. The welfare recipients from Saginaw, Genesee and Macomb counties asked a federal judge to issue a temporary restraining order and preliminary injunction, according to the complaint filed in U.S. District Court in Detroit.

Gov. Rick Snyder signed the legislation Sept. 6 and said the state would offer exemptions to those with disabilities that prevent them from working.

Cost of new cars higher as a result of price fixing? The U.S. Department of Justice's Antitrust Division announced that several Japanese executives have plead guilty in a price-fixing scheme: 

Furukawa Electric Co. Ltd., a supplier of automotive wire harnesses and related products, headquartered in Tokyo, has agreed to plead guilty and to pay a $200 million fine for its role in a criminal price-fixing and bid-rigging conspiracy involving the sale of parts to automobile manufacturers...  Three executives, who are Japanese nationals, have also agreed to plead guilty and to serve prison time in the United States ranging from a year and a day to 18 months. 

DOJ officials say these are the first charges "as a result of its ongoing international cartel investigation of price fixing and bid rigging in the auto parts industry."