Bank of America and its Countrywide unit will pay $8.5 billion to settle claims that the lenders sold poor-quality mortgage-backed securities that went sour when the housing market collapsed.

Associated PressIn this Jan. 25, 2009 file photo, a Bank of America branch office is shown in New York. The Bank of America said Tuesday, June 29, 2011 it will pay $8.5 billion to settle with investors over housing crash claims

NEW YORK — Bank of America and its Countrywide unit will pay $8.5 billion to settle claims that the lenders sold poor-quality mortgage-backed securities that went sour when the housing market collapsed.

The deal, announced Wednesday, comes after a group of 22 investors demanded that the Charlotte, N.C. bank repurchase $47 billion in mortgages that its Countrywide unit sold to them in the form of bonds.

The group, which includes the Federal Reserve Bank of New York, Pimco Investment Management, and Blackrock Financial Management, argued that Countrywide enriched itself at the expense of investors by continuing to service bad loans while running up servicing fees.

Bank of America, which bought Countrywide in 2008 for $4 billion, has denied those claims.

Bank of America CEO Brian Moynihan said Wednesday that the settlement would minimize "future economic uncertainty" in the banking business and "clean up the mortgage issues largely stemming from our purchase of Countrywide."

The settlement is subject to court approval and covers 530 trusts with original principal balance of $424 billion.

Citi analyst Keith Horowitz said the settlement, which amounts to only 2 percent of the original principal balance, removes one of the largest investor risks for Bank of America.

"We think this could prove to be a step forward" for Bank of America, Horowitz said. It would show investors that the bank can manage through crisis without raising additional capital.

As a result of the settlement, Bank of America put its second-quarter loss at $8.6 billion to $9.1 billion. Excluding the settlement and other charges, the bank expects to post a quarterly loss of $3.2 billion to $3.7 billion.

Shares of Bank of America Corp. jumped more than 4 percent, or 48 cents to $11.30 before the market opened, with investors happy that the bank can put very big uncertainty behind it.

Investors may now be more confident that they can get similar concessions from other major U.S. banks that created markets for mortgage-backed securities with questionable pedigrees.

Yet stocks in the financial sector were rising in electronic trading Wednesday, likely because the Bank of America deal presents a framework for others to follow.

The new program will allow parents and other grown-ups to enjoy a feast of learning at the same time as kids are attending the children’s Summer Reading Program.

File photo | The RepublicanThe South Hadley Public Library on Bardwell Street.

SOUTH HADLEY – The South Hadley Public Library has long had a Summer Reading Program for children. Now, for the first time, it’s offering a concurrent Adult Summer Reading Program.

The new program will allow parents and other grown-ups to enjoy a feast of learning at the same time as kids are attending the children’s Summer Reading Program, whose theme this year is “One World, Many Stories,” in the same building.

The new adult series is called “Novel Destinations,” and it will take library patrons around the world not only through a recommended novel – “In a Sunburned Country,” by Australian Bill Bryson – but also through a series of films and talks.

“In a Sunburned Country” will be discussed book-group-style on July 20 at 6:30 p.m.

The adult program kicks off June 27 with the Egyptian-made 2007 film “Arranged.” It’s about two young women, one Jewish and one Muslim, who meet as first-year teachers at a public school in New York.

“Arranged” is the first of six acclaimed foreign films that will be shown on Wednesdays at 3 p.m.

Other films on the schedule are “The Violin,” from Mexico, on July 6; “Shall We Dance?”; from Japan, on July 13; “Noise,” from Australia, on July 20; “The Pope’s Toilet,” from Brazil, on July 27; and “Ben X,” from the Netherlands, on August 3.

Also on July 6, the program will offer a talk on Greek iconography by icon painter Jacqueline Mizaud, at 6 p.m.

On July 13 at 6:30 p.m., there will be a presentation on tea by Robert and Mary Lou Heiss, authors of “The Story of Tea” and owners of Cooks Shop Here in Northampton.

On July 25, Jonathan Evans, herbal expert and owner of The Herbarium in Chicopee, will speak on how different countries use herbs, at 6 p.m.

Davis Bates, a folksinger and storyteller, will offer adults a presentation on folk songs around the world on July 27 at 6 p.m.

On August 3 at 6 p.m., Lisa Modenos, who recently received her Ph.D. in anthropology from the University of Massachusetts, will present a talk on “The Cyprus Peace-Building Process.”

Modenos did first-hand research on the relationships between Greek and Turkish Cypriots. “I also have lots of fantastic images from Cyprus,” she says.

People can attend any of the events in the new adult reading program free of charge. Throughout the summer, they can also pick up handouts on travel and international crafts, according to librarian Desiree Smelcer.

Every adult who signs up at the screening of “Arranged” on June 27 will get a free raffle ticket. At the end of the summer, a drawing will be held, and prizes donated by local businesses will be given away.

After all – why should kids have all the fun?

The South Hadley Public Library is at 27 Bardwell St. Phone is (413) 538-5045.

The raid was conducted by Wilbraham police and federal Drug Enforcement Administration agents

Republican file photo

WILBRAHAM – Police and federal agents raided a Brainard Road home Tuesday, seized 73 marijuana plants and arrested a 35-year-old man and 38-year-old woman who live there.

The raid was followed later in the day by an unrelated raid on a Springfield home that netted the arrest of a 40-year-old man and the confiscation of 91 marijuana plants.

Wilbraham police and Drug Enforcement Administration agents, following a joint investigation, executed a search warrant at 14 Brainard Road shortly after 8:05 a.m.

The raid resulted in the seizure of the plants, in various stages of growth, from three separate rooms in the basement. Fifteen items used in the indoor cultivation of marijuana were also seized.

Mark A. and Caroline A. Shields were charged with possession of marijuana with intent to distribute and possession of marijuana.

The two were slated to be arraigned Tuesday in Palmer District Court. Information on their arraignments, however, was not immediately available.

The Land Court lawsuit by Palmer Renewable Energy does not demand a set amount of money but centers on permit restoration.

Rendering of proposed biomass plant

SPRINGFIELD – A lawsuit by the firm seeking to build a biomass plant in East Springfield charges the City Council acted with “either bad faith or at least gross negligence” when it revoked the special permit for the plant last month.

Frank P. Fitzgerald, a lawyer for Palmer Renewable Energy, said Tuesday the firm “made a conscious decision to not put a demand for a significant amount of money in this complaint.”

“They wanted the focus to be on returning the permit that was wrongfully taken from them,” Fitzgerald said of the suit filed in Land Court in Boston.

Both Fitzgerald and City Solicitor Edward M. Pikula said the company had 20 days from the revocation to file a lawsuit.

Frank Fitzgerald

Filing with Land Court within the time period, Pikula said, preserves the firm’s rights and sets the groundwork for any further legal action it wants to take in any other court.

The suit asks the court to annul the City Council’s revocation of the Sept. 25, 2008 special permit. It asks the court to award the firm “costs” and to “grant such further relief as this court deems just and proper.”

There is no dollar amount listed in the suit contrary to what was previously reported.

On May 23, the 13-member City Council voted 10-2 to revoke the Palmer-based developer’s special permit to build a $150 million, 35-megawatt biomass plant near the intersection of Page Boulevard and Cadwell Drive.

In the “factual background” written in the suit, the firm said it has spent about $5.8 million in project development.

Lawyers for Palmer Renewable Energy have said the project is eligible for $46.5 million in federal tax grants that will expire Dec. 31.

Pikula said he saw the suit, filed Friday, for the first time Monday and is still reviewing it.

Palmer Renewable Energy Lawsuit vs. Springfield City Council and Related Documents

He outlined a complex web of possible scenarios that could take place in different arenas.

“There are a lot of variables right now. There are many forks in the road so it’s virtually unknown how all the variables are going to play out,” he said.

In March, Pikula issued an opinion to the City Council saying under the developer’s revised plans to burn just green wood, the city’s code enforcement commissioner “would be warranted to allow the proposed use on this property located in an area zoned ‘Industrial A’, even without a special permit.”

The state Department of Environmental Protection will either issue an air quality permit or will not, Pikula said.

Whichever side is unhappy with the state agency’s action can appeal within the agency and if still unhappy, then appeal to Superior Court, he said.

If the firm gets the state Department of Environmental Protection approval it could apply for a building permit, Pikula said.

Edward Pikula

If the city does not issue a building permit the firm can appeal to the Zoning Board of Appeals. Whoever doesn’t like that decision, can appeal to Superior Court.

Asked if there are any other steps that will be taken aside from the Land Court suit, Fitzgerald said, “We’re evaluating all of our options.”

Pikula said the city will submit a response to the suit to Land Court.

“Typically these types of cases are resolved on motions and pleadings after oral arguments,” he said.

The Land Court suit could get amended, transferred to another court or merged with other actions, he said.

Michaelann Bewsee, a representative of Stop Toxic Incineration in Springfield, said, “We provided plenty of legal grounds for the City Council to revoke the permit and the City Council will prevail in any lawsuit if it does go forward.”

“Even if it does cost us something from our city coffers it is better for the city to pay than the individuals like people with parents of kids with asthma who are paying medical bills and have to take time off from work to deal with their kid’s illness. There’s a lot of costs with air pollution,” she said.

Some say he is a hero while others are upset that he hasn't paid the same taxes they presumably paid. What is your take on the issue?

View full size(Republican Photo/ Lori Stabile)Joseph F. "Jay" Noone stands in front of his two-family home on Main Street in Bondsville. The town of Palmer has taken over the property and is trying to evict Noone because he owes $23,000 in taxes. On Tuesday, which was supposed to be eviction day, Noone was joined by 20-plus supporters.

PALMER - The town of Palmer is taking the home of Joseph F. "Jay" Noone for his refusal to pay $23,000 in property taxes, but he isn't going down without a fight.

On Tuesday as the town held its tax auction, a group of supporters gathered at Noone's Main Street home, videoing police nearby and standing to prevent him from being evicted, as he was supposed to be out by Tuesday morning.

Some of the group was recruited through a Facebook page, "Anti-House Stealing Party! Help Jay Out!"

"Am I to understand that the state has the right to do things that the individual may not, such as steal property?" Noone said. "If you have to pay a tax on property, you don't own it."

Treasurer-Collector Paul A. Nowicki said the town is cracking down on tax scofflaws in an attempt to recoup money owed and return properties to the tax rolls.

Noone, a Bondsville firefighter, said he has never paid property taxes, and calls them "extortion." He said he has issues with the May 12 judgment from Land Court in the tax lien case that favored the town, as it bears no signature, just a stamp.

Noone contends that the town of Palmer is not a government, and accused the town attorney of trying to "line his pockets." He said if he is evicted, he will probably file a lawsuit.

Read the full report by Lori Stabile by clicking here.

Since the story hit MassLive Tuesday evening, it has quickly received many comments with readers taking a variety of stances. Some people are hailing Noone as a hero for standing up to the municipality while others are chastising him for not paying property taxes like they claim to.

Here is what some of you had to say:

majorityof1 says: It does raise an interesting point - can one really "own" anything when ownership is conditional? You buy a house, you don't pay your annual property taxes, the government takes it away from you. You buy a car, you must pay annual excise taxes. Can you truly "own" something if you are forced to pay an uninvolved third party to retain your right to it, especially when this third party owns exclusive rights to legal use of force to collect what it is owed?

joey1023 says: Home ownership is one of the dumbest investments possible. You pay and pay and pay. Then when you can't pay anymore, they kick you out and steal your home.

antiglobalist says: All Jay did was read history, and follow his core values like our founders. After all, the system Jay is asking for to be followed, is the system Massachusetts Public Schools teach is the government we have.

413 guy says: i like this guy. finally someone steps up against tyrannical state and local governments who govern the people through loopholes.

keepemrunnin says: When I bought my house, I knew taxes were part of my responsibility. Did this come as a surprise to Mr. Noone? If he didn't want to pay taxes, he shouldn't have bought the house. Go live in some state without property taxes, if you find them so horrible. Yes, it stretches our finances, but schools, police, etc, all need money to operate. Where does Mr. Noone think Palmer/Bondsville should get the money to support services to it's residents?

sampleinajar says: This really makes me mad. I cannot believe this guy bought a house and then thinks he shouldnt have to pay taxes on it. If you don't want to pay taxes on something, DON'T FREAKIN BUY IT!!!!

What is your take on the issue? Do you support Noone's stance and his plight to keep his house? Chime in below and let us know what you think.

Greek lawmakers passed a controversial austerity bill that was needed to get emergency loans.

The Standard & Poor’s 500 index was up 5, or 0.4 percent, at 1,301.

Associated Press photoA riot police officer throws a stone at protesters during clashes in central Athens Wednesday,. Greek deputies voted to approve Wednesday an unpopular austerity bill that has provoked days of rioting in the streets of Athens, with the result of the vote determining is Greece can avoid a potentially disastrous financial default in the coming weeks .

The Nasdaq composite was up less than 1 point at 2,729.

Greek lawmakers passed a controversial austerity bill that was needed to get emergency loans. The passage puts Greece closer to avoiding a debt default, which would have shocked global markets and frozen lending to other heavily indebted European countries.

Bank of America Corp. rose 3 percent after reaching an $8.5 billion settlement with investors over claims that the bank sold them low-quality mortgage-backed securities.

More details coming on MassLive and in The Republican.

BJ's Wholesale Club is being acquired for roughly $2.8 billion in a widely expected deal.

AP file photoBJ's said its board unanimously approved the buyout and is recommending that shareholders vote for it.

NEW YORK — BJ's Wholesale Club is being acquired by two private equity investors for roughly $2.8 billion in a widely expected deal.

The nation's third-largest wholesale club said Wednesday that Leonard Green & Partners and CVC Capital Partners will pay $51.25 per share in cash for BJ's common stock. That's a 6.6 percent premium over Tuesday's closing price of $48.08.

The two private equity firms disclosed the bid earlier this month, though the value was undisclosed at the time. BJ's said in February it was exploring a sale. Analysts say the takeover could help propel its growth.

BJ's said its board unanimously approved the buyout and is recommending that shareholders vote for it.

The deal is expected to close during the fourth quarter.

Shares of BJ's Wholesale Club Inc. jumped $2.27, or 4.7 percent, to $50.35 before the market opened.

Leonard Green, which has a 9.3 percent stake in BJ's already, has been expanding its retail properties. It made a bid for 99 Cents Only Stores in March, bought Jo-Ann Stores and was part of a group that acquired J. Crew this year.

CEO Laura Sen said BJ's will benefit from Leonard Green and CVC's "retail expertise."

Wholesale clubs performed well during the downturn, and BJ's has continued to attract shoppers seeking good deals on bulk items.

The company's net income rose 29 percent in the most recent first quarter as food and gasoline sales rose. Total revenue climbed 10 percent to $2.83 billion.

The move is a shrewd move for Leonard Green, said Wall Street Strategies analyst Brian S. Sozzi. The private equity firm could eventually bring the chain back to the public markets at a higher price than it paid for it, he said, since it could expand the chain both nationally and internationally.

BJ's, based in Westborough, Mass., has 190 stores in 15 states.

Zachs was convicted of the 1987 murder of Peter Carone outside a West Hartford restaurant.

HARTFORD, Conn. — A convicted killer who fled Connecticut and set up a new life in Mexico is returning to his home state for the first time in two decades to finally begin serving a 60-year prison sentence.

West Hartford Police Chief James Strillacci says town detectives and U.S. marshals are bringing Adam Zachs back to the state Wednesday. Zachs is expected to appear Thursday in Hartford Superior Court.

Zachs was convicted of the 1987 murder of Peter Carone outside a West Hartford restaurant, during an argument over a joke made at the bar. He was sentenced to 60 years in prison but posted a $250,000 bond to be released during his appeal and disappeared in 1989.

Zachs was caught in Leon Guanajuato, Mexico, in February after authorities received a tip.

Berkshire Gas made the repair, but will remain on-scene to test the pipe under pressure.

View full size

This story has been updated from its original version.

AMHERST - A gas line rupture south of the University of Massachusetts at Amherst's Boyden Gym caused the evacuations of four buildings on campus.

A construction crew rebuilding a parking lot in the area ruptured a 2" pipe at around 8:30 a.m. UMass police, the Amherst fire department, UMass's Environmental Health and Safety, and Berkshire Gas responded "promptly," said UMass spokesperson Daniel Fitzgibbons.

Berkshire Gas made the repair, but will remain on-scene to test the pipe under pressure.

Three office buildings were also briefly evacuated. EHS tested the air in Berkshire, Hampshire and Middlesex houses and re-opened them, Fitzgibbon said.

Commonwealth Avenue south of Hicks Way had been closed, but is now reopen.

Fitzgibbon said he didn't know how many people were evacuated from the gym, but that it was "probably not a huge number" because the leak happened early in the morning.

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His provisional lawyer is expected to argue that Bulger is indigent and entitled to a court-appointed attorney.

James 'Whitey' Bulger

BOSTON – James “Whitey” Bulger is headed back to court to ask for a taxpayer-funded attorney.

A new hearing has been scheduled in U.S. District Court in Boston on Thursday for the former leader of the notorious Winter Hill Gang. Bulger was captured in California last week after 16 years on the run and faces charges for his alleged participation in 19 murders.

Bulger was in federal court on Tuesday, where his provisional lawyer had been expected to argue that Bulger is indigent and entitled to a court-appointed attorney. But the hearing was postponed after prosecutors moved to drop a 1994 racketeering indictment against Bulger to focus on a later indictment charging him in the murders.

Prosecutors are objecting to the request for a public defender.

The pastor of the church wants those who suffered in the tornado to know that her congregation cares.

WEST SPRINGFIELD – The First Congregational Church will conduct a special prayer service and supper Wednesday for the community in regard to the recent tornado that wreaked havoc in the Merrick neighborhood as well as the rest of the region.

The events have been timed to coincide with the one-month anniversary of the June 1 twister.

“We want the neighborhood to know the church cares. When terrible things happen it is common to look for meaning, for God in the mess,” the church’s pastor, Jan Powers, said. “As I’ve listened to the congregation and our neighbors it is clear many people feel a little lost in the wake of the tornado.

Gary W. Boisseau, the deacon at the church organizing the service, said “We know there are a lot of people grieving and suffering and who need hope and faith....We are trying to reach out to the entire community.”

Participants will be asked to give free-will offerings that will be donated to victims of the tornado.

The service will start at 6 p.m. at the church at 20 Lathrop St. with a meal to follow it at 6:45 p.m. Parking will be available at the Senior Center next door to the church at 128 Parker St. The church’s doors will open at 5 p.m. for those who want solitude and peace before the service begins.

Powers said the service will be the first in a number of healing services around the tornado the church will conduct every other month for the next year.

The church is affiliated with the United Church of Christ.

The country store that features home furnishings and furniture was destroyed but the store that sells sheds and gazebos was not affected.

Large fire damages Kloter Farms store: wwlp.com

ELLINGTON, Conn. — A fire has caused millions of dollars in damage to a building of an Ellington company that sells handcrafted furniture and sheds.

Nobody was injured in the fire that broke out at Kloter Farms on Wednesday morning.

Marketing director Todd Root told WVIT-TV the country store that features home furnishings and furniture was destroyed but the store that sells sheds and gazebos was not affected.

Many roads in the area were closed and firefighters extinguished the blaze by about 8:30 a.m.

The family that owns the company says they will rebuild.

Four males and four females, all juveniles, have also been charged in the attack.

Shay Edwards

SPRINGFIELD – Shay Andre Edwards, the sole adult charged in beating and robbery of a 30-year-old gay man, has been released on his own recognizance pending a competency hearing set for Friday.

Four males and four females, all juveniles, have also been charged in the early Tuesday morning beating of the man near Barrows Park on Walnut Street.

Police said the suspect’s screamed such things as “That’s what we do to faggots,” during beating. The victim’s MP3 player was taken during the attack.

Police said they are treating the attack as a hate crime.

The victim, knocked down, kicked in the head and abdomen, punched in the face with closed fists, was taken to Baystate Medical Center where he was treated and released.

Edwards, 19, of 11 George St., and the eight juveniles, have been charged with unarmed robbery and civil rights violation with injury.

The 19-year-old’s arraignment in District Court was continued pending the hearing.

The victim and the people accused of attacking him all live in the same neighborhood. While none of the suspects knew the victim by name, they were familiar with him from the neighborhood, police said.

A consolidation of some School Department and city departments is expected later this year.

WESTFIELD – School officials have erased a shortfall of more than $500,000 in the new School Department budget scheduled to take effect Friday with no staff or program reductions.

The department will use a projected savings of $203,000 in transportation costs for the 2011-2012 school year along with more than $300,000 in School Choice funding to balance its Fiscal 2012 budget. The School Committee approved the financial measure this week.

Adopted is a new School Department operating budget totaling $52,190,011, down from the $52,440,000 approved earlier by the committee. The new budget reflects an increase of about $800,000 over the current school budget of $51.3 million.

Daniel Knapik

The City Council last week cut $250,000 in school spending, pointing to potential savings that will occur when several school and municipal departments are merged under future planning. That merger is aimed at human resources, financial operations and purchasing.

But Mayor Daniel M. Knapik told the School Committee on Monday night that actual savings from future consolidation will not be fully realized for about three years.

“The only savings from consolidation will be on the city side of the budget,” Knapik, who also serves as chairman of the School Committee, said. “It will take us 18 to 24 months to pass legislation allowing the consolidation and it will take about 36 months before any savings are realized,” he said.

The council made the cut just prior to adopting a city-wide $121.6 million Fiscal 2012 budget.

Cynthia Sullivan

“Schools will suffer because of that,” said School Committee member Cynthia A. Sullivan. “It is very disheartening that the council cut our budget,” she said.

School Finance Officer John E. Kane said projected savings in school bus transportation this school year is the result of a new five-year bus contract with Lecrenski Brothers Transportation Inc. That $10.2 million contract was approved by the School Committee earlier this month.

Kane also pre-paid more than $311,000 in special education tuition for the 2011-2012 school year from the current budget to offset expenses for next year.

The School Department anticipates receipt of about $350,000 in School Choice funding, funding from other school districts that send students to Westfield schools, during the new budget year.

Obituaries from The Republican

William F. Richards

William F. Richards, 88, of Westfield passed away on Sunday, June 26. Born and raised in Agawam, William had lived in Westfield since 1970. On December 5, 1942, he enlisted in the military and fought in the invasions of the Gilbert and Marshall Islands, Saipan, and Iwo Jima during World War II. He won nine medals for his service in the American and Asiatic Pacific Theaters, including four Bronze Star Medals. After the war, William was employed by the Mass. Registry of Motor Vehicles for 34 years, retiring in 1986 as Assistant Registrar.

Obituaries from The Republican:

American Red Cross mental-health workers have provided well over 1,500 consultations since the tornadoes

Mark M. Murray / The RepublicanAmerican Red Cross workers Dorothy A. Brier, left and Wendy Grolnick, at the American Red Cross of Pioneer Valley Office on Cottage Street.

SPRINGFIELD – The emotional scars left by the June 1 tornadoes, much like the tangled wreckage they left behind, could linger for some time, American Red Cross mental-health counselors say.

Since the tornadoes struck one month ago, American Red Cross mental-health workers have provided well over 1,500 consultations, both in the field and to those living in shelters, according to Rick Lee, director of the Pioneer Valley Red Cross chapter.

Those who lived through the devastation of their homes and neighborhoods may just now be dealing with the accumulated stresses of their tornado-related experiences, says Dorothy A. Brier, a licensed clinical social worker who has been volunteering her services here in Western Massachusetts since June 11.

“Very often people don’t show their stress and upset until a while afterwards,” Brier said. “There can be a delayed reaction. Sometimes it’s weeks, sometimes it’s months (and) sometimes it’s years.”

Such delayed reactions were common in the aftermath of the 911 terror attacks in New York City, says Brier, who volunteers out of the Greater New York Chapter of the Red Cross.

“Many people there thought they were coping okay until something triggered them off,” Brier said.

Those who lived through the tornadoes here face similar triggers as they move from the immediate needs of survival , finding new housing, dealing with insurance companies and the like, to the longer-range tasks of rebuilding their homes and lives.

“Everyone reacts in a different way,” said Wendy S. Grolnick, of Longmeadow, a clinical psychologist and co-leader of the mental health team at the Pioneer Valley Chapter. “For some people it kind of sneaks up on them.”

Those particularly at risk of encountering mental-health issues in wake of the tornadoes are those who lost loved ones or witnessed the destruction of their homes and neighborhoods, Brier said.

Those with limited social networks or minimal support from family and community members are also at risk, Brier said.

Symptoms can include physical reactions such as headaches, feelings of agitation, anger and anxiety, inability to concentrate.

Both Grolnick and Brier stressed that such symptoms are normal reactions to an abnormal situation and that victims should not be ashamed or embarrassed to seek help

The fierce suddenness with which the tornadoes struck, the fact that such violent weather is highly unusual here, adds another layer of mental stress to the victims, Brier said.

“It becomes for many people a spiritual experience, because they don’t expect this to happen to them,” Brier said. “It makes them realize that disaster can come anywhere, at any time, and that is a very frightening thing.”

Brier said, however, it has been her experience in the wake of such large-scale disaster, that people can be amazingly resilient, that giving victims the opportunity to talk about their feelings and experiences can go a long way.

“We find very often that just talking with a mental-health worker, with one of us, can calm people down enough and put them on the right road,” Brier said.

American Red Cross volunteers Ira and Ginny Haas illustrated the importance of listening in the immediate aftermath of the tornadoes as they drove through the tornado-wracked East Forest Park neighborhood handing out rakes, tarps and water.

Although the Haases, a retired couple from Connecticut, are not mental-health workers, they gave ample time to everyone that they encountered to share their stories. “It’s part of the healing process,” Ira Haas said.

“That’s so important,” Grolnick said. “Having that human presence, having that pat on the back. That’s the most important thing that the Red Cross offers, I think.”

Brier said friends, family and neighbors of those who have been hard-hit by the tornadoes should be aware of listening’s healing power.

Lee said the Red Cross will continue to provide mental-health counseling to tornado victims as the national response winds down to a local one.

“Obviously, there will be a need for individuals with issues to contact us for some time to come,” Lee said.

“We are here, and we are going to be here,” Grolnick said.

Those seeking information about counseling services from the American Red Cross may call (413) 737-4306.

Two pieces of steel from the World Trade Center were transported to the Military Museum of Southern New England in Danbury, Conn.

Associated PressRep. Michele Bachmann, R-Minn., left, waves to the rally crowd as Sarah Palin looks on before Paliln addressed the crowd in support of Bachmann's re-election Wednesday April 7, 2010 in Minneapolis.

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The store's marketing director, Todd Root, said the company is confident it will be able to rebuild its business.

This is an updated version of a story posted at 11:11 this morning.

Photo by Jim Michaud / Journal InquirerA firefighter directs water from the Ellington Fire Department's tower truck onto a building at the Kloter Farms complex in Ellington, Conn., Wednesday morning.

By VANESSA JOHNSON
and MARCUS HATFIELD
Journal Inquirer of Manchester

ELLINGTON, Conn. – Fire destroyed the main building at Kloter Farms Inc.’s sprawling 16-acre complex at 216 West Road Wednesday, collapsing portions of the country store’s roof and causing millions of dollars in damage but resulting in no injuries, authorities said.

State Trooper Ronald Richardson said the fire was reported around 6:45 a.m., and that there were no injuries. The blaze was essentially extinguished within 45 minutes of the firefighters’ arrival, Richardson said.

The country store sold custom furniture, crafts, home décor, and other items at Kloter Farms, a large retail operation that also sells such things as gazeboes and sheds.

Fire officials will be investigating the cause of the fire through the day Wednesday, he added.

Chet Luginbuhl, a 24-year Kloter employee, said a fellow worker arrived before 7 a.m. to open the store, heard a “bang,” then left immediately. By the time Luginbuhl arrived a short time later he could see some flames and smoke, he said.

“These people did a fantastic job,” he said. “Who knows what would have happened if they hadn’t gotten here?”

Todd Root, director of marketing and communications for Kloter Farms, said the fire was contained to the country store. The surrounding structures, such as gazeboes and sheds that are part of Kloter’s outside sales, were not affected.

He said the fire caused millions of dollars worth of damage.

A lone female employee had been in the country store on the second floor when she heard an explosion below her, Root said. She escaped without injury and within minutes the building went up in flames, he said.

An employee who declined to be identified but who worked for Kloter Farms for four years was devastated by the fire.

“It’s horrible. We put so much work into this place,” she said.

Meanwhile, about 20 feet from the fire-ravaged building a group of employees and supporters huddled together, hugging each other as they wept.

Alice Teixeira, who lives near Kloter Farms and was awakened by the sound of sirens this morning, watched the building burn.

“I’m heartbroken for the people that won’t be able to work for a while,” she said. “This is a really sad, sad day.”

Ellington Deputy Fire Chief John Turner, who is also on the Board of Selectmen, said firefighters were on the scene within five minutes.

“I could see the fire from my house and there was already a heavy column of smoke,” Turner said.

When he arrived at the scene there was heavy fire in the building, he said.

Firefighters tried to go in to fight the blaze but the fire was too heavy and they had to back up, fearing the roof would collapse, which it did, he said. They were out of the building when a large part of the roof collapsed, he added.

Firefighters took a defensive position in fighting the fire, battling it in rotating crews due to the heat and humidity, he said. Some firefighters could be seen being provided water they rested on the side of the road. No firefighters were injured.

At one point firefighters could be seen retrieving a cabinet of computer servers out of the country store, checking them over for damage.

The Ellington Fire Department was assisted by firefighters from Crystal Lake, Somers, Tolland, and Vernon, while a crew from the Broad Brook Fire Department stood by ready to take any other Ellington fire calls.

Ellington First Selectman Maurice W. Blanchette said that the loss of the company, which employees about 50 people, would have an impact on business in town for some time, but workers were confident and determined that they will maintain operations.

“We’re strong, we’re in it for the long haul, and we will rebuild,” Peter Welti, a manager at Kloter Farms told Blanchette.

“When I got there around 8 a.m. flames were coming from the roof. By the time I left, 45 minutes later, there was just black smoke. The firefighters were still pouring a lot of water on the roof,” Blanchette said.

Route 83 and adjacent roads were blocked by a half-dozen fire trucks at the time of the fire. Some areas were reopened by 10 a.m., however, especially since Gov. Dannel P. Malloy had to get through the area for a scheduled speech at 10:30 a.m. at nearby Dymotek, a plastic injection molding business at 7 Main St.

Root said that even as firefighters remained on site Kloter’s dealt with customers in its outside sales area, which was unaffected and will continue to welcome customers.

“We are confidant that we’ll be able to rebuild our business and we’ll likely open in the days ahead,” Root said.

He also said that the country store will have to be rebuilt but the site has 16 acres to work with so they’re reopen it somewhere else on the property, working with town zoning and fire officials to find the best place.

The Kloter website is still active and the business will still be taking phone orders, Root said.

Kloter Farms started in 1980 selling carriage houses from a shed on Route 83. The Kloter family business since then expanded into a large retail operation with a country store and outside sales that included ornate gazebos, swing sets, and sheds.

According to town records, the main building at Kloter Farms is a 12,501-square-foot structure with an appraised value of $1.93 million.

Journal Inquirer staff writers Howard French and Al Hemingway contributed to this report.

More than 30 legal challenges have been filed over the health care overhaul. The case is expected to eventually reach the U.S. Supreme Court.

Associated PressA protester holds a sign during a protest against President Barack Obama's health care reform plan outside the 11th Circuit Court of Appeals in Atlanta, Wednesday, June 8, 2011.

CINCINNATI — In the first ruling by a federal appeals court on President Barack Obama's health care overhaul, a judicial panel in Cincinnati on Wednesday affirmed an earlier ruling that Congress can require Americans to have minimum insurance coverage.

A conservative law center had challenged the provision, saying that it was unconstitutional and that Congress was overstepping its powers.

The three-judge 6th U.S. Circuit Court of Appeals panel delivered a long opinion with disagreement on some issues.

The 2-1 majority opinion was written by a Jimmy Carter appointee and agreed with by a George W. Bush appointee. The dissenting judge was appointed by Ronald Reagan.

More than 30 legal challenges have been filed over the health care overhaul. The case is expected to eventually reach the U.S. Supreme Court.

The suspect was ordered held in lieu of $30,000 cash bail

Nicholas J. Korniotes

SPRINGFIELD – A 40-year-old Sixteen Acres man, arrested Tuesday after police discovered what they described as a sophisticated marijuana growing operation at his Maybrook Road home, was ordered held in lieu of $30,000 cash bail during his arraignment Wednesday in district court.

Police said a reported armed invasion of the suspect’s 139 Maybrook Road home led to their discovery of 92 marijuana plants in the basement.

Nicholas J. Korniotes denied charges of cultivating marijuana, possession of marijuana with intent to distribute and violation of a drug-free school zone during his arraignment.

Police were called to the house off Wilbraham Road by Korniotes’ 14-year-old daughter who reported two armed men forced their way into their house while she was alone and locked her in a closet. She called 911 from the closet with her cell phone, Sgt. John M. Delaney said.

When police searched the house to make sure no suspects were hiding inside, they quickly detected the smell of marijuana and found the growing operation, Delaney, aide to Police Commissioner William J. Fitchet, said.

The suspects, described as two black men in their 20s, left the area in a newer silver-colored vehicle that witnesses said they parked a block away from Maybrook Road.

Delaney said police seized the suspect’s house, boat, cars, a Harley-Davidson motorcycle and froze his bank accounts.

Police are also looking into the ownership of five other properties that Korniotes owns, Delaney said.

Assessor records indicate, however, that Korniotes is listed as the owner of only one Springfield property, his home at 139 Maybrook Road. That property is assessed at $150,300.

Delaney said police could find no record that Korniotes has a job.

Assistant District Attorney Marie Angers asked Judge William J. Boyle to hold Korniotes on that $30,000 bail.

Boyle revoked Korniotes bail on a 2010 assault and battery case pending in district court because the new charge is a violation of conditions of pre-trial release in that case.

Boyle told Korniotes although he appointed lawyer Daniel Bergin for the arraignment, Korniotes’ financial statement showed he will have to hire his own lawyer from now on since he does not qualified for a court appointed lawyer.

Angers said on reason the high bail was requested is because police found paperwork from a number of accounts from different banks.

Detectives continued to probe Korniotes’ assets on Wednesday.

Earlier Tuesday, in an unrelated case, Wilbraham police and federal investigators arrested a Brainard Road couple and seized 73 marijuana plants that were growing in the basement.

Reporter Buffy Spencer contributed to this report.