European markets soared after Fitch Ratings said that it will not downgrade France’s credit rating this year.

File photo / Associated PressWorkers walk past Toy Story character Woody at the construction site of the new attraction area Toy Story Land in Hong Kong Disneyland. The theme park inched closer to profitability last year as higher visitor numbers and hotel occupancy rates helped narrow losses. Hong Kong Disneyland reported a net loss Tuesday of $30.5 million. (Photo by Kin Cheung)

NEW YORK - U.S. stocks rose solidly Tuesday after European markets rallied and corporate bellwether Alcoa predicted stronger demand in 2012. The Standard & Poor’s 500 index closed at its highest level since July.

European markets soared after Fitch Ratings said that it will not downgrade France’s credit rating this year. France’s CAC-40 index closed 2.7 percent higher; Germany’s DAX rose 2.4 percent.

A downgrade for France could scuttle the region’s efforts to stem its debt crisis. Europe’s bailout fund needs France and Germany to keep their sterling credit ratings so it can borrow at affordable rates.

Kicking off U.S. corporate earnings season, aluminum maker Alcoa said late Monday that its fourth-quarter revenue far outpaced analysts’ projections. CEO Klaus Kleinfeld predicted that global aluminum demand will increase 7 percent in 2012. Aluminum demand offers clues about for broader economic trends because so many industries rely on the metal.

Many analysts had feared weaker corporate profits in the fourth quarter because of Europe’s deepening economic troubles and slower growth in the developing world. The solid report from Alcoa seemed to quell those concerns and lifted traders’ hopes for strong corporate earnings reports in the coming weeks.

The S&P 500 index rose 11.38 points, or 0.9 percent, to 1,292.08. All 10 of its industry groups rose. Among the biggest gainers were materials companies such as Alcoa, which benefit from rising prices for metals, energy and other commodities.

Food commodities mostly edged lower, but orange juice futures shot up 11 percent. The Food and Drug Administration said it would increase testing for a fungicide that was found in low levels in orange juice.

Tiffany & Co. plunged 10 percent, the most in the S&P 500 index. The jewelry retailer cut its forecast for full-year profit and said sales grew slowly in the U.S. and Europe during the holiday season.

The Dow Jones industrial average rose 69.78 points, or 0.6 percent, to 12,462.47. The Nasdaq composite index gained 25.94, or 1 percent, to 2,702.50.

Hedge fund manager Peter Tchir said recent market swings exaggerate the importance of minor news such as Alcoa’s guidance and the Fitch announcement. The indexes are vulnerable to steep swings because relatively few shares are changing hands, he said.

Tchir is focused squarely on Europe’s fundamental problem, which remains unresolved: Sky-high borrowing costs for indebted nations such as Italy and Spain. A default by one of them could upend the global economy. Italy’s benchmark 10-year bond yield remains dangerously high at 7.10 percent.

Despite Europe’s troubles, the U.S. economy appears to have strengthened in recent weeks. A series of positive reports on hiring, manufacturing and consumer sentiment eased fears that Europe will drag the U.S. into another recession.

Traders hope the brighter economic outlook will mean U.S. corporate earnings results, which will be announced over the next few weeks. Improvements in the job market and more spending by consumers would increase companies’ sales. Household spending is the main engine of economic growth.

Corporate news in Europe reflected the region’s descent into near-inevitable recession. Dutch electronics giant Royal Philips Electronics NV kicked off the European earnings season by announcing that its fourth-quarter profits will be worse than expected as a result of Europe’s economic weakness.

Among the companies making big moves:

Yoga apparel chain Lululemon Athletica Inc. surged 12 percent after the company raised its fiscal fourth-quarter earnings and revenue forecast, citing better-than-expected sales of its athletic wear.

WebMD Health Corp. plunged 29 percent. The health-care information website said it has given up looking for a buyer, its CEO has resigned, and it expects earnings to drop this year. WebMD provides health and benefits information to employees at 121 companies and health plans.

Cirrus Logic Inc., which supplies audio chips to Apple and other electronics companies, jumped 16 percent. The company said it expects to report fourth-quarter revenue that is well above its previous forecast and analysts’ expectations.

The cause is unknown, but investigators have ruled out arson and found no signs of a suicide attempt, officials said.

The Republican file photo | John SuchockiFire investigators look over the scene of the fire that destroyed a house at 332 Sibley Ave. in West Springfield.

WEST SPRINGFIELD - Arson investigators looking into the cause of a Dec. 13 house fire that took the life of homeowner Michael Stump have determined the fire was not intentionally set, officials said.

The body of the 55-year-old Stump was found in the rear bedroom in the remains of the house at 332 Sibley Ave. The fire, reported at 2 a.m., destroyed the house.

No one else was home at the time of the fire.

State Fire Marshal Stephen D. Coan and West Springfield Fire Chief William M. Flaherty issued a statement Tuesday afternoon announcing the exact cause of the fire remains unknown, but investigators were able to rule out that it was the act of arson.

“Investigators have been able to rule out that a deliberate act caused the fire because the residence was secure, the State Police Crime Lab detected no ignitable liquids on the samples they tested and there was no sign of a suicide attempt," Coan said.

The Office of the State Medical Examiner has not concluded its report into the cause and manner of death of Mr. Stump, but was able to identify him for the family through a forensic examination, he said.

Michael Stump

Flaherty said a check of police and fire records showed that two days before the fire, Stump had a mishap in the home involving improper operation of the fireplace.

“Police responded to the home two days prior to this fire and found Mr. Stump had started a fire in the fireplace without opening the damper filling the home with smoke," he said. "The police were able to remedy the situation without summoning the fire department.”

The fire was jointly investigated by the West Springfield Fire and Police Departments, State Police assigned to the Office of the State Fire Marshal and to Hampden District Attorney Mark Mastroianni’s Office.

The judge said the state didn't prove Cayo acted recklessly or caused harm intentionally.

The Republican file photo | Mark M. Murray06.21.2010 – Joshua Cayo in Springfield District Court at his arraignment.

SPRINGFIELD – A Hampden Superior Court judge on Tuesday acquitted Joshua Cayo in a case in which the defendant was accused of striking an undercover police officer with his pickup truck and driving away.

Cayo, 22, of Chicopee, testified he did not know the man dressed in street clothes yelling “Get the ... out” of the truck, shining a flashlight in his face, banging an object on the truck and cracking the window was a police officer.

He said, “I was petrified. I was scared for my life and also my friend’s (life.) ... I drove away.”

Cayo said he and a friend were in the parked truck in the early morning hours of June 19, 2010, near his friend’s house. The man who was yelling and shining the flashlight was to the left of the truck, not in front of it, when he drove off, Cayo said.

He said he was driving to a police station to report what happened when he saw a marked cruiser and pulled over, and then was arrested.

Cayo, represented by Nancy C. Flahive, had chosen a jury-waived trial in the case assigned to Judge Cornelius J. Moriarty.

Flahive’s defense argument was that Cayo, who has been free on bail awaiting trial, was under duress when he drove away because of fear for his life. She said he did not intend harm to anyone and he did not act recklessly given the circumstances.

Moriarty, in acquitting Cayo, noted the “very conflicting accounts” from Cayo and officer James Kelly of what happened on Paramount Street. He also noted conflicting accounts of what happened from the prosecution’s witnesses, all of whom were police officers.

The judge said the prosecution did not prove beyond a reasonable doubt Cayo acted intentionally or recklessly.

Cayo, a college senior, was charged with assault and battery with a dangerous weapon (a vehicle) and leaving the scene of a personal injury accident. The charge did not specify the victim was a police officer.

A charge of resisting arrest had been dropped before the trial.

Both Kelly and Cayo testified it was totally dark when Kelly went to the driver’s side of the truck parked on Paramount Street.

Kelly said he was wearing jeans and a T-shirt, but had his police badge on a chain around his neck. He and his partner, Darren Fitzpatrick, were working an undercover patrol because of break-ins in the Paramount Street area.

Kelly said he approached the truck clandestinely from behind it, and he turned on his flashlight when he got to the window. He testified he identified himself as a police officer several times, admitting he did use profanity and a loud voice, and shone the flashlight into the truck.

Assistant District Attorney Maida Wasserman argued Cayo was not under duress and knew someone was in front of the truck. She said Kelly was hit by the truck, and slid over the hood, falling off. She said Kelly doesn’t know if his head hit the windshield or the curb.

Kelly was treated and released for the head injury after being struck. Moriarty had ruled before the trial the state didn’t need to prove any injury or offer specifics of the injury in order to prove the charges.

Cayo testified he was beaten by police during his arrest, but acknowledged he told police at booking his head was injured when he fell out of the truck. He testified he was afraid of the police officers in the booking room so he did not say officers beat him.

He said he filed a complaint against police for the beating, but no further information was given at trial about that complaint.

The dismal turnout at the hearing was startling because it came just weeks after a national transportation safety agency recommended that all use of handheld phones by drivers be banned, fanning a debate across the country about distracted driving and what states can do to keep the roads safe.

File photo / Associated PressDan Johnson uses a hands-free device to talk on a cellphone while driving, in San Diego last month The National Transportation Safety Board declared Dec. 13, that texting, emailing or chatting while driving is simply too dangerous to be allowed anywhere in the United States. (Photo by Gregory Bull)

By KYLE CHENEY

BOSTON - Although the basement room at the capitol was ringed with lobbyists and legislative aides, only one person spoke Tuesday on a slate of bills intended to restrict the use of cell phones by drivers in Massachusetts, a lack of interest that stunned lawmakers less than two years after they adopted a ban on texting by motorists.

The dismal turnout at the hearing was startling because it came just weeks after a national transportation safety agency recommended that all use of handheld phones by drivers be banned, fanning a debate across the country about distracted driving and what states can do to keep the roads safe.

After a few awkward glances, a crowded panel of lawmakers, unaccustomed to prolonged silence, opted to fill it by offering their own views on cell phone bans – a collection of opinions that demonstrated the nuances of the policy and the difficulty of threading a sweeping ban through the Legislature.

“Anybody putting one of those things in their hand while driving is potentially committing suicide,” said Rep. James Miceli, D-Tewksbury. “I think it’s ludicrous that we go on year after year … the lobbyists come right in, like they’re here today, come right in and kill the issue.”

Miceli reminded his colleagues that the House has supported an all-out ban on handheld phones before, while the policy hit a dead end in the Senate, where senators argued that holding a phone isn’t dangerous – it’s the conversation itself that presents a distraction.

Committee co-chairs Rep. William Straus, D-Mattapoisett and Sen. Thomas McGee, D-Lynn, defended the 2010 law, but added they have heard of no opposition to the outright ban on handheld phones.

“The need to get a texting ban done got us so far last session. We’re hopeful we can continue to work on the issue with some success,” Straus said.

McGee, who supported an outright ban on driver use of handheld phones last year, acknowledged that he had anticipated a larger crowd at the hearing.

“We expected this to be a much more attended hearing than one person coming in to testify,” he said. “We do get a lot of information. We do get a lot of feedback and hopefully we continue to get that.”

Citing highway deaths and injuries from distracted driving, the National Transportation Safety Board in December called on all 50 states to implement a ban on motorist use of non-emergency portable electronic devices and a high-visibility enforcement campaign

Last month, Gov. Deval L. Patrick said a total ban on cell phone use in cars “may be impractical,” but he signaled that he would be open to a move toward hands-free devices.

“I haven't thought about it much,” he said during an appearance on Boston area radio station WTKK-FM. “Certainly the question of texting is a serious problem. I am also aware that using a cell phone is or can be distracting. Hands-free is one response to that.”

Lawmakers agreed in 2010 to prohibit all drivers from texting while on the road, and they barred junior operators – those under 18 years old – from holding phones except in emergencies. The law, signed by Gov. Patrick, faced instant criticism from police, who are being asked to distinguish between drivers using their cell phones to place a call and those using them to text, and to judge whether a person using a cell phone is under or over 18.

The lone public testimony Tuesday came from Jerry Cibley, a Foxborough resident who recalled his son’s fatal accident, likely the result of a cell phone-related distraction. Cibley called last year’s texting ban a “miserable failure” and urged lawmakers to support additional measures to educate drivers on safe cell phone use and, potentially, to require the use of hands-free devices.

“If you’ve lost a child, you can truly understand what I’m talking about. If you’ve never lost a child, there’s no way that you can have any type of understanding,” he said. “Losing a parent, that’s a cakewalk, folks. Losing a child is unbearable. It’s been five years and I still cry myself to sleep many a night.”

Cibley emphasized that he doesn’t support an outright ban on phone use, but said if there had been stronger laws in place, his son might have survived.

“If my son had been on a hands-free device that day, he would be here. He would be alive. I wouldn’t be going through misery,” he said, adding, “I promised my son in his eulogy that we would do something. We would save lives. I’m asking you. I’m begging you.”

The committee considered four bills that would ban the use of cell phones by drivers, unless they are connected to hands-free devices. The proposals are sponsored by Rep. Joseph Wagner, D-Chicopee, Rep Cory Atkins, D-Concord, Sen. Cynthia Creem, D-Newton and Sen. Mark Montigny, D-New Bedford, respectively.

The 2010 law bans all operators of motor vehicles, including law enforcement, from text messaging while driving, with fines of $100 for the first offense, $250 for the second offense and $500 for subsequent offenders; made texting while driving a primary offense; bans public transportation vehicle operators from using any type of cell phone or mobile device, whether handheld or hands-free; and requires the Registry of Motor Vehicles to create a public awareness campaign on the dangers of distracted driving.

Rep. Denise Provost, D-Somerville, a member of the Transportation Committee, said Tuesday that she hoped the Senate would support a more incremental restriction on handheld cell phone use by drivers, prohibiting their use in school zones.

“I think that we should ban certainly handheld cell phones altogether. As we know from past experiences, this has proved politically impossible because the Senate did not agree on that position,” she said. “I would hope the Senate would at least agree to a ban in school zones. I have been aghast to see commuters blowing through marked crosswalks with crossing guards in them, through red lights, often on their cell phones while walking a child to school or observing other people walking their children to school.”

Provost filed one of three bills on school-zone cell phone bans. The others were filed by Montigny and Rep. Elizabeth Poirier, R-North Attleboro, respectively.

Poolice arrested Williams, 55, and Harris, 51, in connected with an armed robbery of a Route 187 gas station late Monday in which the clerk was threatened with a knife.

03.09.11 | Photo by Julian Feller-Cohen – An Agawam Police cruiser.

This is an update of a story originally posted at 7:15 a.m. Tuesday

AGAWAM - Police arrested two Springfield men, Allan Williams, 55, and Derrick Harris, 51, in connected with an armed robbery of a Route 187 gas station late Monday in which the clerk was threatened with a knife.

Each was charged with armed robbery, conspiracy and possession of a class B substance, crack cocaine, police said.

Williams was also charged with possession of a dangerous weapon. When he was arrested he was carrying what police described as a homemade weapon. It was not used in the robbery, police said.

They were charged in connection with the robbery of the Sunoco service station on Route 187, shortly after 10:30 p.m. The pair was arrested shortly afterward.

Both were scheduled to be arraigned Tuesday in Westfield District Court but arraignment information was not available.

Third-graders wrote essays to the employees thanking them for their hard work.

Photo by John Suchocki / The RepublicanFrancisco Mayonet reads an essay he wrote thanking Chicopee Electric Light linemen for the work they did after the October snowstorm. Students and staff at Anna E. Barry School held an assembly recently to honor the employees for the company.

CHICOPEE – While hundreds of people across Western Massachusetts went without electricity for as long as a week following the October snowstorm, Cory Thompson’s family saw their power restored after just one day.

He was grateful for the quick response and recently joined fellow students at Anna E. Barry School to honor employees of Chicopee Electric Light for their hard work.

In an assembly, all of the about 430 students applauded the linemen, foreman and the executive director Jeffrey Cady attended, teachers handed them a pile of hand-written thank-you notes and a handful of third-graders read essays they wrote.

“I think it was especially a treat for the linemen. They got to see how much their work was appreciated,” Cady said.

The electric department visits all the schools every year to do safety programs with children, but this was special, he said.

“I wrote that they fixed all the blocked roads and the restored power for millions of people and they restored the heat,” the 9-year-old Thompson said.

Many of the staff as well as students did lose power for a short time and the school just wanted to show the workers they appreciated all their hard work in the difficult days following the storm, said Rachel Roy, vice principal of the school.

“It is so nice to be appreciated,” she said.

After the event, the workers were treated to coffee and doughnuts and children were invited to ask them questions or thank them after the formal ceremony, Roy said.

Victoria McNally, 9, a third-grader, said her family did not lose power but friends of her mother’s did and they stayed at her home for much of the week.

“There were thousands of wires down and they picked them up,” she said.

Francisco Maysonet, 8, a third-grader said his family lost only their cable service and he was glad he had heat and electricity for the week.

“They keep our city running,” he said of the power company workers.

Mary Fierce, who works as a crossing guard, a lunch attendant and serves as a member of the Parent Teacher Organization,said she even got a little teary listening to the presentation.

“It was awesome,” she said. “The guys said it is nice to hear we are appreciated.”

Dennis Popovichenko, 8, said he admired the workers and thanked them for their work.

“They were brave and picked up a lot of wires. It must have been hard,” the third-grader said.

Police said this is Donaldson's second weapons arrest in less than three years.

The Republican file photo

Springfield police photosfrom left, Kisean Donaldson, Sean Christie

SPRINGFIELD - What started as a disturbance outside a Boston Road lounge early Tuesday escalated into shots being fired and ended with a Springfield man in custody on weapons charges following a brief car chase, police said.

Police were dispatched to the County Inn and Lounge, 339 Boston Road, at 2 a.m. after a 911 caller reported a loud disturbance in the parking lot that was described as a “girl fight,” said Sgt. John Delaney, aide to Police Commissioner William Fitchet.

The original caller reported the fight seemed to be spilling down Boston Road, and moments later other calls started coming in reporting shots being fired, Delaney said.

When police arrived they saw a large number of people in the parking lot near the hotel lounge and a car speeding away heading west on Boston Road.

Police were able to stop the car on Boston Road near Ambrose Street, and as officers approached the car, they saw the passenger trying to hide a handgun in the glove compartment, Delaney said.

The passenger, Kisean Donaldson, 22, of 41 Palmyra St., was charged with carrying a firearm without a license, possession of ammunition without a firearms identification car, possession of a large-capacity feeding device, and possession of a firearm with a defaced serial number.

According to Massachusetts general laws, a large-capacity feeding device is any gun magazine that can hold more than 10 rounds.

Donaldson was arrested on a weapons charge in Feb. 11, 2009, so police are seeking to add a subsequent offense charge to the weapons possession charge.

Police also arrested the driver, Sean Christie, 22, of Brampton, Ontario, Canada, for motor vehicle violations, including speeding, failing to signal and driving on the wrong side of the road.

Each denied the charges at their arraignments in Springfield District Court Tuesday.

Both were ordered held in lieu of $25,000 cash bail and are due back in court on Feb. 10 for a bind-over hearing to determine if their trial should proceed in Superior Court.

View Shots fired leads to arrest 1-10-2012 in a larger map

The bill passed the Senate 37-0 and now heads to the House.

File photo / The Republican

BOSTON – The Massachusetts Senate unanimously approved a bill targeting financial abuse and mismanagement at education collaboratives in the state.

The measure was prompted by investigations last year of the Merrimack Special Education Collaborative, which uncovered lavish spending on entertainment, unjustified salary expenses and improper charges to a related nonprofit group.

A state audit also turned up evidence of misspent funds at two other taxpayer-funded collaboratives, among 30 statewide that allow school districts to pool resources to serve special needs children.

Sponsors of the bill say it will improve financial oversight and accountability and require that the collaboratives be governed independently from any related nonprofit.

The bill passed the Senate 37-0 on Tuesday and now heads to the House.

An organization representing the collaboratives calls the measure “a positive step.”

"We want to make it one of the premier golf courses in the region," said Antonacci, president of USA Hauling and Recycling in Enfield.

The Republican | Michael S. GordonAuctioneer Paul W. Scheer, president of Aaron Posnik Auctioneers, gestures toward bidders during a public auction at Hampden Country Club on Tuesday.

HAMPDEN – A Connecticut businessman bought Hampden Country Club Tuesday at auction for $1.4 million, promising to keep it operating as a golf course.

“We want to make it one of the premier golf courses in the region,” said Jerry Antonacci, president of USA Hauling and Recycling in Enfield, Conn. “It is a great course. All it needs is a little work.”

He said he bought the property on behalf of his children and nephews, who will run it. That includes Antonacci’s son, Guy Antonacci, who said he’s worked as a club pro in Florida and played golf professionally before returning home to the family hauling business.

Jerry Antonacci said they also own a family recreation center in Somers, Conn., called Sonny’s Place, which features a driving range, batting cage and miniature golf.

“Now we are going into big golf,” Jerry Antonacci said.

Hampden Selectman John D. Flynn said the 295-acre parcel is one of the largest privately held pieces of land in town. It’s zoned for a golf course, and Flynn said town officials would be reluctant to rezone for it for residential use even if an owner made an application.

The Republican | Michael S. GordonJerry Antonacci

“We want it as open space,” he said. “It’s a great asset to our community.”

TD Bank foreclosed its mortgage and filed a $1.6 million lien on the property Dec. 1.

The course, first opened in 1973, closed abruptly in October, sparking fears that it was in financial trouble.

Hampden Country Club’s former director of golf, William C. Tragakis, and his partners Domenick L. Cardinale and Sebastiano Siniscalchi, all of Hampden, bought the then-295-acre club for $2.8 million in 2006, according to property records on file with the Hampden County Registry of Deeds. They purchased it from Friel Golf Management of Hudson, N.H.

Golf courses around the region were hit hard by the recession.

“No one has time to play golf anymore,” said Kevin M. Piecuch, head golf professional at the Country Club of Greenfield.

Piecuch was at Hampden Country Club on Tuesday looking to buy furnishings and equipment. The Country Club of Greenfield clubhouse was destroyed by fire in October. It is being rebuilt, but the fire left Piecuch with nothing to run his business.

‘I’m looking for sales racks, store furnishings, anything,” he said. “It was all destroyed in the fire.”

More than 400 potential bidders attended the auction looking to bid on specific items from lawnmowers to chaffing dishes.

Auctioneer Paul W. Scheer, president of Aaron Posnik Auctioneers in Springfield, first sold the real estate to Antonacci. Then he sold all the equipment and furnishings in one lump, also to Antonacci for $175,000.

The course itself occupies just 145 acres and includes an 18-hole, 6,874-yard, par-72 golf course and a two-story, 18,430-square-foot clubhouse. The property also includes three homes: a 1,170-square-foot colonial; a 1,460-square-foot Cape Cod; and a 960-square-foot bungalow.

The previous owners were about $50,000 behind on their taxes, a debt Antonacci assumes once the sale becomes final. The closing is scheduled in 30 days.

The owner of a Sibley Avenue home destroyed by a Dec. 13 fire had problems using his fireplace two days prior to the blaze.

File photo by John Suchocki / The RepublicanArson investigators look over the remains of a fatal Dec. 13 fire that took the life of a Sibley Avenue man.

WEST SPRINGFIELD – Fire investigators have ruled out arson in the Dec. 13 fire at a Sibley Avenue home that took the life of Michael R. Stump.

The news was announced Tuesday via a written statement issued by State Fire Marshal Stephen D. Coan and Fire Chief William M. Flaherty. Their offices conducted a joint investigation into the 332 Sibley Ave blaze that gutted Stump’s home.

The body of Stump, who was alone at home at the time of the fire, was recovered from a first-floor bedroom.

“Investigators have been able to rule out that a deliberate act caused the fire because the residence was secure, the State Police Crime Lab detected no ignitable liquids on samples they tested and there was no sign of a suicide attempt,” Coan stated.

The exact cause of the fire will remain undetermined, according to the statement.

Flaherty pointed out that two days prior to the blaze police responded to the home and found that Stump had started a fire in the fireplace without opening the damper, filling the building with smoke. The chief stated that police were able to remedy the situation without calling on the Fire Department.

The Office of the State Medical Examiner in Boston has not finished its report into the cause and manner of Stump’s death. It identified Stump for his family through a forensic examination.

The investigation was done by the West Springfield fire and police departments with state police assigned to the Office of the State Fire Marshal and to Hampden District Attorney Mark Mastroianni’s office.

Talbot, a former vice president with the Hartford Investment Management Co., and his nephew, Carl Binette, of Ludlow, were charged with using insider information to buy stock in a Seattle-based insurance company before its purchase by Liberty Mutual Insurance in 2008.

File photo | The Republican

SPRINGFIELD – East Longmeadow resident Peter E. Talbot pleaded guilty Monday to securities fraud for using confidential information to make a $615,000 profit in stock trading.

Talbot, 43, pleaded guilty to one count of conspiracy and five counts of securities fraud during a hearing in U.S. District Court..

Judge Michael A. Ponsor set sentencing for April 26.

Talbot, a former vice president with the Hartford Investment Management Co., and his nephew, Carl E. Binette, 29, of Ludlow, were charged with using insider information to buy stock in a Seattle-based insurance company before its purchase by Liberty Mutual Insurance in 2008.

The pair sold the stock for a $615,000 profit after its purchase by Liberty Mutual, according to a federal indictment.

Binette, who is also charged with making false statements to investigators, has pled innocent and is scheduled for trial later this year.

Talbot, meanwhile, is facing a possible maximum sentence of 20 years in prison and a $5 million fine after pleading guilty Monday.

Under an agreement with prosecutors, Talbot will not appeal any sentence less than 63 months.

Prosecutors will also ask for 36 months of supervised release.

As the judge in the case, Ponsor is not bound by any agreement between the defendant and the U.S. Attorney’s office.

After building an early lead in the nation's first primary election, a number of news organizations are calling former Massachusetts Governor Mitt Romney the winner of the state.

View full sizeSupporters at the for Romney for President New Hampshire primary night rally at Southern New Hampshire University in Manchester, N.H., Tuesday, Jan. 10, 2012 cheer as it is announced that the election has been called for former Massachusetts Gov. Mitt Romney. (AP Photo/Elise Amendola)

MANCHESTER, N.H. -- After building an early lead in the nation's first primary election, a number of news organizations are calling former Massachusetts Governor Mitt Romney the winner of the state.

Jubilant screams and cheers filled the hall at Southern New Hampshire University where Romney was holding his watch party as news organizations from CNN to Fox News called him the winner with only 11 percent of precincts reporting.

Heading into Tuesday’s first-in-the-nation primary, Romney’s corporate history was questioned by his rivals. Romney, who served as CEO of investment firm Bain Capital, was characterized as a "greedy" businessman who helped save struggling companies by cutting and outsourcing jobs to foreign countries.

With attacks aplenty at Sunday's NBC News/Facebook debate in Concord, Romney deflected and redirected attention to his rivals' records, seemingly enough to carry the state to victory.

With Texas Rep. Ron Paul and former Utah Gov. Jon Huntsman running closely for second place, the real story may be about how close whoever is directly behind Romney finishes.


This is a preliminary report and additional details will be posted on MassLive as they become available.

There is no plan to terminate any employee found to be in non-compliance, the listed penalty for violating the 1995 residency ordinance.

View full size

SPRINGFIELD – City officials said they will step up efforts to enforce a residency requirement for municipal employees, beginning with a mandate that all workers and supervisors sign a certificate of where they live by Feb. 1.

However, there is no plan at this time to terminate any employee found to be in non-compliance, which is the listed penalty for violating the 1995 residency ordinance, Human Services Director William E. Mahoney said. It is unknown how many are in non-compliance, he said.

Several city councilors, during a meeting on Monday night and reached for comment Tuesday, said they have long lobbied for enforcement of residency, believing the city benefits if its workers live in and invest in the city. In addition, it’s not fair that many employees comply with the ordinance while others are exempted, waived, or ignore the requirement, councilors said.

Timothy Allen

“I think we have to stop making apologies for Springfield,” Councilor Timothy J. Allen said Tuesday. “Springfield is a great place to live and to raise a family. We want people who work here to live here.”

Boston has a strong residency ordinance and enforces it, Allen said.

Allen and Councilor Michael A. Fenton, proposed amendments to the ordinance this week including a proposal for a two-week suspension without pay for those employees who are found in non-compliance, rather than termination. Any new employee going forward, however, would have to comply or be terminated, the draft proposal states.

The residency law was adopted in March 1995, requiring newly hired city employees from that date forward to live in Springfield and maintain residency. In addition, employees who have been promoted since 1995 are also required to live in Springfield.

However, teachers, firefighters and police are among employees exempt from the residency requirement either by contract or state law. In addition, 37 city employees and supervisors were granted waivers since 2008 by either Mayor Domenic J. Sarno or the former Springfield Finance Control Board.

William Mahoney

Mahoney, who lives in Ludlow, is among the employees granted waivers.

Many communities such as Northampton and Westfield, have no residency ordinance.

In Chicopee, residency is required for some positions such as the superintendent of schools, city solicitor and city engineer.

Holyoke has a residency requirement for some department heads, and is trying to force firefighters to live in the city.

Fenton said the residency issue has “spiraled out of control” in Springfield with mayors including Sarno not appointing a Residency Compliance Commission as stipulated in the ordinance, nor enacting other enforcement tools since 1995.

Springfield City Ordinances: Residency Requirements

Councilor Kateri B. Walsh said residency has been “a thorny issue, a tough issue.”

Bud L. Williams was among councilors saying the city needs to be “more aggressive” in collective bargaining to ensure contracts enforce the provision of residency.

Sarno said that in cases where a non-resident is chosen to fill a vacancy, he has required the department head to provide him with a written explanation, and supporting documentation on why a non-resident was ultimately chosen.

“I have always stressed the importance of having the most qualified person fill any city employment positions with city taxpayers being the ultimate beneficiaries of an employee’s work experience and expertise in a particular field,” Sarno said in a prepared statement.

View full sizeFile photo | The RepublicanThe Upper Hill neighborhood of Springfield is seen from the air.

Based on a review last August, 63 percent of city employees live in Springfield, Mahoney said. The list does not include the School Department.

Of 2,573 teachers employed in Springfield, 1,744 live outside the city, according to School Department records.

Ross Kiely, representing the United Food and Commercial Workers Local 1459, representing Public Works and Parks laborers, attended Monday’s meeting and urged city officials not to threaten existing employees’ employment.

Kiely said the law has not been enforced for many years, and people should not be faced with loss of employment and “financial ruin.” He said there has to be “a measure of fairness and justice when enforcing rules.”

Mahoney, meeting with councilors Monday, said the requirement for employees to fill out annual “Certificates of Residency” has been law since 1995, but has not been followed in perhaps 10 years. Once that information is gathered, it will be shared with councilors.

Mahoney has argued against any “blanket prohibition” on residency waivers. The city has employment needs not always met by the pool of city residents, but the mayor’s preference is to hire qualified city residents, he said. Allen said he believes there is a strong pool of talent in Springfield to fill jobs.

Level-3 offenders are people previously convicted of sexual offenses and who the registry board considers to be of high risk to re-offend again.

The Springfield and Chicopee police have issued a list of 29 residents determined by the state Sex Offenders Registry Board to be level-3 offenders.

Level-3 offenders are people previously convicted of sexual offenses and who the registry board considers to be of high risk to re-offend again. It also determined that the danger each poses makes community notification appropriate.

All people convicted of sex crimes since 1981 have to register with the Sex Offenders Registry Board, and the board determines if the person's likelihood of re-offending according to one of three categories: level 1 or low risk, level 2 or moderate risk, and level 3 or high risk.

None of the people on the list issued by police are considered wanted, and the state warns against harassment of any of them.

For more information, contact the Springfield police at (413) 787-6302 or Chicopee police at (413) 592-6431

The Pioneer Valley Chinese Immersion School in Hadley was cited by the state for punishing a student with a time-out that lasted at least 7 hours.

HADLEY – State officials reviewing the Pioneer Valley Chinese Immersion Charter School have found “several areas of concern” following a site visit last summer in the wake of another state agency finding that two staff members were guilty of neglect.

The state Department of Children and Families determined there was a case of neglect at the school involving a 9-year-old child who was confined to “a time-out” for at least seven hours. The child was allowed to use the rest room and eat lunch. The incident took place March 25, 2011.

Pioneer Valley Chinese Immersion Charter School co-founder Kathleen Wang

The state found that principal Kathleen Wang and the classroom teacher Regan Hall were guilty of neglect. They are appealing those findings, said Richard Alcorn, who co-founded the school with his wife Wang. He is also the school’s executive director.

Attorney Amy S. DiDonna, who represents the school, called it a “factually and legally erroneous finding.”

The state Department of Elementary and Secondary Education, meanwhile, visited the school in June and found areas of concerns and outlined an action plan. The purpose, according to the education department’s report “was not to reinvestigate the incident, rather to examine areas of charter school practice and operation that are the purview of the DESE as the school’s authorizer.”

That education department will be discussing the areas of concern during the school’s five-year charter renewal. Alcorn said the tentative date for that meeting is Jan. 24.

According to the report, the findings were grouped into the categories of discipline, special education, governance and leadership. When it comes to discipline, staff “did not have a common understanding of school discipline systems, definitions, or consequences,” among findings there.

The state found that special education staffing is limited, as is oversight, supervision and teacher training.

Also, the state found that board members “displayed a lack of knowledge about their role, their responsibilities, school policies and governance practices.”

Alcorn said he has responded to all of the action items in the state report sent to the school in December. He said he hopes he has satisfied them all and is willing to address anything state officials feel is missing. He said the school had been working on a number of initiatives prior to the incident.

“We’ve done a lot of work after the incident,” he said. “We were looking at behavioral stuff (before). We’re a new school.”

The school was granted its charter in 2007, beginning with kindergarten and first grade and adding a grade a year. Two years ago, it opened a sixth-grade class to launch its middle school.

The school serves students from 39 communities in Hampden, Hampshire and Franklin counties. Besides its five-year renewal, the school has filed two amendments with the state, seeking to add a high school and expand the kindergarten through eighth grade program. Last year, the state denied its request to add 120 more seats to that program.

Mitchell D. Chester, Elementary and Secondary Education commissioner, wrote, “I believe there is insufficient evidence at this time regarding the school’s overall success with respect to academic performance, organizational viability, and faithfulness to its charter. The school is still in its first charter term and has not yet reached its maximum enrollment and grade span for which it was chartered.”

The idea, Alcorn said, was to wait for the charter renewal. In 2008, the school received a five-year $1.5 million grant from the federal Department of Education to allow the high school program. Alcorn remains optimistic the state will grant the changes. More than 100 parents have signed a letter to the governor in support of the school expansion.

File photo | The RepublicanPioneer Valley Chinese Immersion Charter School principal Kathleen Wang

The special permit was needed because the parking lot did not have enough spaces to meet requirements.

File photo | Associated PressA customer grabs lunch at a McDonald's restaurant last month.

CHICOPEE – The City Council has granted a special permit to allow a new fast food restaurant on Memorial Drive, even though the site was not large enough to meet parking requirements.

The 13-member board voted unanimously last week to give the permit to McDonald’s, which plans to build a sit-down restaurant with drive-through at 639 Memorial Drive. The building will be in front of the plaza that includes the Home Depot and Walmart stores.

The permit comes with restrictions that will require motorists to exit only with a right turn to prevent cars from trying to cross three lanes of traffic. It also calls for the restaurant to negotiate with the owners of the Walmart plaza to allow an access road between the two properties, Councilor Jean J. Croteau Jr. said. “I think it will be a good thing for the city,” Croteau said. “The key is to provide a rear exit.”

The business is also required to try to find alternative parking for its employees to leave the available spaces for customers, he said.

But most councilors said they believe the 35 spaces in the lot will be enough, especially since 70 percent of customers are expected to use the drive-through window instead of parking and eating.

“I’m in favor of it because I think they will clean up this property,” Councilor Robert J. Zygarowski said.

The property the company is purchasing once housed the International House of Pancakes. The building had been closed for at least five years and was the constant source of complaints. It was demolished this spring after the city’s building department determined it was an eyesore.

While the restaurant is an area with relatively high traffic, developers for McDonald’s said their restaurants do not attract new traffic and instead serve what is already there, Councilor Charles M. Swider said.

Kellogg, who grew up in Springfield, advised students to be "energy makers" not "energy takers" at the 10th annual MassMutual Academic Achiever Conference.

View full sizeThe Republican | Michael GordonUMass men's basketball coach Derek Kellogg addresses high-achieving Springfield high school students Tuesday during the 10th annual MassMutual Academic Achievers Conference at Western New England University.

SPRINGFIELD – The key to success is a strong work ethic and being upbeat, Derek Kellogg, head coach of the University of Massachusetts men’s basketball team, told a gathering Tuesday of 400 high achieving city high school students at Western New England University.

The students were taking part in the 10th annual MassMutual Academic Achiever Conference sponsored by MassMutual and Western New England University.

Kellogg, who grew up in Springfield and played basketball at UMass under famed coach John Calipari, outlined his odyssey from growing up in the Hungry Hill neighborhood to becoming head basketball coach at his alma mater.

He described his first college basketball coaching stint at George Mason University in Fairfax, Va. It only paid $9,500 a year, but Kellogg said he worked 14 hours a day.

“It is not about the money. It is about the ability to do what you want to do,” Kellogg said.

“You be the champions. You be the leaders. You push for it,” the coach urged the students, telling them to disregard statistics and material on the Internet that discourages them from thinking they can be successful.

Kellogg also exhorted the students to be energetic.

“Are you an energy giver or an energy taker?" he asked. “I don’t want to be around an energy taker. Be an energy giver. ... Be passionate about what you do.”

Kellogg made his remarks as keynote speaker for the event, which was for Springfield high school students who had maintained a B average or better for four consecutive marking periods during grades 10 through 12.

The program included a variety of hands-on activities in various fields, including financial services, business, information technology, broadcast communications, criminal justice, medicine and the sciences.

Workshops also focused on the college admissions process, paying for college, making a good first impression and financial skills.

Uttam Adhikari, a 17-year-old junior at High School of Science and Technology who wants to become a cardiologist, was heartened by learning that there is financial aid available for college and how to apply for it.

“There are many opportunities,” Adhikari, a native of Nepal, said of his potential college career.

Fourteen-year-old Katelyn M. Ekmalian, a freshman at Springfield Renaissance School, was equally upbeat about the program.

“It is amazing,” Ekmalian said.

The workshops she took part in emphasized that to be successful in a career you have to communicate love and enthusiasm.

“You have to enjoy what you are doing,” Ekmalian said.

Ekmalian, who wants to be a television broadcaster, got a chance to give a weather report in the university’s studio.

“I love being in front of the camera and I love talking,” she said.

Of the town's 6,255 registered voters, about 600 packed the gymnasium at Southwick-Tolland-Granville Regional High School to cast their votes for the project that has been in the planning stages for the last 5 years and talked about since 1998.

SOUTHWICK – Townspeople approved Tuesday night a $72 million school building and repair project with just four votes more than the two-thirds required to move the initiative forward toward a special election seeking a Proposition 2 ½ override.

Of the town’s 6,255 registered voters, about 600 packed the gymnasium at Southwick-Tolland-Granville Regional High School to cast their votes for the project that has been in the planning stages for the last five years and talked about since 1998.

Approving the measure were 446 residents while 183 voted against the project that will raise taxes by an estimated average of about $400 per property owner annually, officials said.

Tuesday night’s special Town Meeting was the second in the three-town regional district. Granville voters approved moving forward with the project during that community’s special Town Meeting Monday night, and Tolland residents will cast their votes Wednesday night.

If all three towns accept the proposal, the next step, Southwick Town Clerk Michelle L. Hill said, is to hold a special election seeking a Proposition 2 ½ override.

“This is part of a two-step legal process,” Hill said. “If the project is approved at the special Town Meeting, the next stage is to have an override to have a way to pay for it.”

If funding is approved, voters in each community will consider excluding the cost from the restrictions of Proposition 2½ at a Jan. 31 election, school and town officials said.

According to the Massachusetts Municipal Association, Proposition 2½ limits the amount of revenue a city or town may raise from local property taxes each year to fund municipal operations. Communities must seek voter approval to raise additional funds beyond Proposition 2½ limits.

Although voters must approve funding for the entire $72 million project, the state School Building Authority will finance about $40 million of the cost, or more than 60 percent. The net cost to taxpayers, officials said, will amount to $29.1 million.

The project was recommended by the Board of Selectmen and Finance Committee before the voice vote was taken and counted with Selectman Russell S. Fox noting that while the decision was a difficult one, the town’s school buildings remain riddled with problems that must be resolved.

“This is a difficult decision to make, but we can’t just ignore the problems at our schools,” he said. “We need to address them sooner or later.”

Parents and even a former regional high school student spoke in support of the project, citing issues such as classrooms with no heat at the elementary level and unsafe conditions in high school science labs.

The much-anticipated project will address long-time space and maintenance concerns at the high school, Powder Mill Middle School and Woodland Elementary School. It will also change class makeup at the high school to include grades seven and eight. The middle school will convert to a grade three to six facility.

As the Republican presidential candidates gear up to battle it out in South Carolina, Romney is doing so with the blessing of a solid plurality of New Hampshire voters.

Updates a story posted Tuesday at 8:02 p.m.

MANCHESTER, N.H. – As the Republican presidential candidates gear up to battle it out in South Carolina in 10 days, former Massachusetts Gov. W. Mitt Romney is doing so with the blessing of a solid plurality of New Hampshire voters.

On Tuesday in the nation's first presidential primary of the 2012 campaign, Romney carried the state. With two-thirds of precincts reporting in the New Hampshire primary, he led with 38 percent of the vote. Texas Rep. Ron Paul was second with 23 percent, and former Utah Gov. Jon Huntsman was third with 17 percent.

"Tonight, we celebrate. Tomorrow, we go back to work," Romney said in his victory speech at Southern New England University in Manchester. "We remember when Barack Obama came to New Hampshire four years ago. He promised to bring people together. He promised to change the broken system in Washington. He promised to improve our nation. Those were the days of lofty promises made by a hopeful candidate. Today, we are faced with the disappointing record of a failed president."

Romney went on to say that "unemployment is too high and opportunities are too few."

"The president has run out of ideas," said Romney, focusing on the matchup against President Obama he hopes to be in come fall. "Now, he's running out of excuses. And tonight, we are asking the good people of South Carolina to join the citizens of New Hampshire and make 2012 the year he runs out of time."

Despite attempts by Republican rivals to paint Romney as a big-business bully, the GOP candidate proved he had enough steam in his tank to rise above attacks and capture a solid win in the Granite State.

Heading into Tuesday's primary, Romney's corporate history was questioned by his rivals. Romney, who served as CEO of investment firm Bain Capital, was characterized as a "greedy" businessman who helped save struggling companies by cutting and outsourcing jobs to foreign countries.

"President Obama wants to put free enterprise on trial. In the last few days, we have seen some desperate Republicans join forces with him," Romney said, referring to attacks on his tenure as a CEO. "This is such a mistake for our party and for our nation. This country already has a leader who divides us with the bitter politics of envy. We must offer an alternative vision."

Paul too will head to the South with a boost in confidence he is hoping will translate into a boost in financial donations.

Paul, whose rallies and speaking engagements across New Hampshire drew some of the best attendance levels, said he was excited to do so well in the Granite State, but he knew there were many more battles to fight.

Emboldened with promises to destroy the Federal Reserve System, reduce the military and slash spending by $1 trillion in the first year, Paul told supports what they'd started would not go unnoticed.

"The intellectual revolution going on now to restore liberty in this country is underway and there's no way they're going to undermine the revolution we've started," Paul said in a speech from his campaign headquarters in Manchester.

"We've had enough of sending our kids and money around the world to be the policemen of the world, it's time to bring them home," Paul said. "We are dangerous to the status quo in this country, and will remain a danger to the Federal Reserve System as well."

Huntsman has steadily gained momentum over the past couple weeks and had an overall strong showing in New Hampshire. Criticized during weekend debates for serving as Obama's chief ambassador to China, Huntsman spun the experience to his favor, shocking GOP candidates and onlookers with a dose of Mandarin prose during one debate. Outside polling stations Tuesday, voters said the former governor's experience with China had swayed their vote.

Undeclared voter Debi Rapson, a 55-year-old high school art and graphic design teacher, said Huntsman earned her vote because, "he's the only (candidate) who has education front and center on his website."

Rapson said she started leaning toward Huntsman at the end of last week for his positions on education and the economy, but solidified her decision because of his experience working with China, which she learned about during Saturday night's debate.

The breadth of Huntsman's experience and his conversational tone were also among the factors that drew undecided voters to the candidate, according to voters along the campaign trail.

Former Pennsylvania Sen. Rick Santorum couldn't gain the traction he achieved in Iowa, where he finished second to Romney by only eight votes. In New Hampshire, Santorum and former House Speaker Newt Gingrich were neck-and-neck for fourth place with 10 percent of the vote apiece.

When polls were released on Monday, Santorum saw his numbers slide, dropping a single point while all other presidential contenders saw their numbers rise as more undecided voters made their choice following a series of weekend debates.

Gingrich, who seemed to be well-received along the campaign trail in New Hampshire, was the candidate of choice for an 80-something-year-old Manchester resident who only identified herself as Donna.

"I've seen him speak a couple times now and I was very impressed by him," she said. "To me, he is a no-nonsense candidate. I like his 'give em' hell' attitude. He is the best hope we have of getting out of this mess, and he can't be any worse than who we have in there now."

Mostly absent from New Hampshire campaigning, Texas Governor Rick Perry instead focused on South Carolina, where he hopes a large number of evangelical voters will boost his chances for the GOP nomination. In New Hampshire, he walked away with just 1 percent of the vote.

All of the candidates are scheduled to resume campaigning later this week in South Carolina, ahead of that state's primary election on Jan. 21.

Reporter Brian Canova contributed to this report

The project would be built at Homestead Avenue and Lower Westfield Road, site of the former Atlas Copco factory.

HOLYOKE – Concerns about traffic, noise, trash and having to live near a fast-food restaurant were voiced at a public hearing Tuesday on a planned $16 million project to be anchored by a Big Y supermarket.

Most officials have heralded the project because of the estimated 250 jobs and $520,000 to $590,000 a year in property taxes the developer has said it would generate.

About 30 people, in addition to more than a dozen city officials and consultants with the developer, attended the Planning Board hearing at City Hall.

O’Connell Development pitched its plan for a 110,000-square-foot project at Homestead Avenue and Lower Westfield Road during the site-plan review hearing.

The project will have two to four stores besides the Big Y, including a bank and a restaurant, O’Connell Vice President Andrew J. Crystal said.

Tenants have yet to be chosen, he said.

O’Connell would need to seek special permits from the City Council for drive-through service windows for a possible fast-food restaurant and a bank, he said.

The site is the former Atlas Copco compressor factory, which closed in 2005.

Douglas W. Loughrey, of Whitney Avenue, said he was concerned about the project possibly having a fast-food restaurant.

Also, Loughrey said outside the hearing, neighbors should get more time to review and comment on details of the project.

“With the information given tonight, there should be more time for the residents to go over it,’ Loughrey said.

Others during the hearing discussed concerns about noise from roof-top air conditioners and other units and proximity of neighbors to the project’s trash-storage areas.

The hearing was continued after three and a half hours to Jan. 24 at 6:30 p.m. at Lt. Elmer J. McMahon School on Kane Road, said Kathleen G. Anderson, director of the city Office of Planning and Development.

Some in the audience grew frustrated. It was 90 minutes into the hearing before the public had a chance to speak as consultants discussed traffic, parking, curb cuts, stormwater, landscaping, wetlands, utilities and other issues.

Juliet Locke, an engineer with Vanasse Hangen Brustlin, said at the outset of her remarks about traffic that her presentation would be lengthy.

After a while, James P. Lavelle Sr., owner of J.P.’s Restaurant on Whiting Farms Road, spoke out from the audience and said it was unfair to make the public wait through such detail before being allowed to speak.

“It’ll be midnight by the time she’s done,” Lavelle said of Locke.

Planning Board Chairwoman Eileen Regan said O’Connell deserved the right to present its plan and public comment would follow. Lavelle left shortly after.

The retail stores on the 29.5-acre site would occupy two areas. The Big Y portion would cover 60,000 square feet, including 9,000 square feet that would be developed later, and 50,000 square feet for the other facilities, said Jean Christy, an engineer with Vanasse Hangen Brustlin.

Also, she said, the site would have 505 parking spaces.