Braun says he used Fla clinic owner as consultant

NEW YORK (AP) — Milwaukee Brewers slugger Ryan Braun said the person who ran the Florida clinic being investigated by Major League Baseball was used only as a consultant on his drug suspension appeal last year.

"I have nothing to hide," Braun said in a statement released by his representatives on Tuesday night.

Earlier in the day, Yahoo Sports reported the 2011 NL MVP's name showed up three times in records of the Biogenesis of America LLC clinic. Yahoo said no specific performance-enhancing drugs were listed next to his name.

The Miami New Times recently released clinic documents that purportedly linked Alex Rodriguez, Gio Gonzalez, Melky Cabrera and other players to purchases of banned drugs from the now-closed anti-aging center.

Rodriguez and Cabrera were on the list with Braun that also included New York Yankees catcher Francisco Cervelli and Baltimore Orioles infielder Danny Valencia.

Braun said his name was in the Biogenesis records because of an issue over payment to Anthony Bosch, who ran the clinic near Miami.

"There was a dispute over compensation for Bosch's work, which is why my lawyer and I are listed under 'moneys owed' and not on any other list," Braun said.

"I have nothing to hide and have never had any other relationship with Bosch," he said. "I will fully cooperate with any inquiry into this matter."

On Tuesday, MLB officials asked the Miami New Times for the records the alternative newspaper obtained for its story.

Asked specifically about Braun's name in the documents before the five-time All-Star released his statement, MLB spokesman Pat Courtney said: "Aware of report and are in the midst of an active investigation in South Florida."

Braun tested positive during the 2011 postseason for elevated testosterone levels. He maintained his innocence and his 50-game suspension was overturned during spring training last year when arbitrator Shyam Das ruled in favor of Braun due to chain of custody issues involving the sample.

With that, Braun became the first major leaguer to have a drug suspension overturned.

"During the course of preparing for my successful appeal last year, my attorneys, who were previously familiar with Tony Bosch, used him as a consultant. More specifically, he answered questions about T/E ratio and possibilities of tampering with samples," Braun said.

The T/E ratio is a comparison of the levels of testosterone to epitestosterone.

Braun led the NL in homers (41), runs (108) and slugging percentage (.595) last season while batting .319 with 112 RBIs and 30 stolen bases. He finished second to San Francisco catcher Buster Posey in MVP balloting."

Cervelli, who spent nearly all of last season in Triple-A, posted a statement on Twitter later Tuesday night.

"Following my foot injury in March 2011, I consulted with a number of experts, including BioGenesis Clinic, for (cont)," Cervelli posted, "(cont)legal ways to aid my rehab and recovery. I purchased supplements that I am certain were not prohibited by Major League Baseball."

An email sent to Valencia's agent was not returned.

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Ipswich Journal: Paul Mason Is One-Third the Man He Used to Be

Paul Nixon Photography

Paul Mason in 2012, two years after gastric bypass surgery stripped him of the unofficial title of “the world’s fattest man.”

IPSWICH, England — Who knows what the worst moment was for Paul Mason — there were so many awful milestones, as he grew fatter and fatter — but a good bet might be when he became too vast to leave his room. To get him to the hospital for a hernia operation, the local fire department had to knock down a wall and extricate him with a forklift.

That was nearly a decade ago, when Mr. Mason weighed about 980 pounds, and the spectacle made him the object of fascinated horror, a freak-show exhibit. The British news media, which like a superlative, appointed him “the world’s fattest man.”

Now the narrative has shifted to one of redemption and second chances. Since a gastric bypass operation in 2010, Mr. Mason, 52 years old and 6 foot 4, has lost nearly two-thirds of his body weight, putting him at about 336 pounds — still obese, but within the realm of plausibility. He is talking about starting a jewelry business.

“My meals are a lot different now than they used to be,” Mr. Mason said during a recent interview in his one-story apartment in a cheerful public housing complex here. For one thing, he no longer eats around the clock. “Food is a necessity, but now I don’t let it control my life anymore,” he said.

But the road to a new life is uphill and paved with sharp objects. When he answered the door, Mr. Mason did not walk; he glided in an electric wheelchair.

And though Mr. Mason looks perfectly normal from the chest up, horrible vestiges of his past stick to him, literally, in the form of a huge mass of loose skin choking him like a straitjacket. Folds and folds of it encircle his torso and sit on his lap, like an unwanted package someone has set there; more folds encase his legs. All told, he reckons, the excess weighs more than 100 pounds.

As he waits to see if anyone will agree to perform the complex operation to remove the skin, Mr. Mason has plenty of time to ponder how he got to where he is. He was born in Ipswich and had a childhood marked by two things, he says: the verbal and physical abuse of his father, a military policeman turned security guard; and three years of sexual abuse, starting when he was 6, by a relative in her 20s who lived in the house and shared his bed. He told no one until decades later.

After he left school, Mr. Mason took a job as a postal worker and became engaged to a woman more than 20 years older than him. “I thought it would be for life, but she just turned around one day and said, ‘No, I don’t want to see you anymore — goodbye,’ ” he said.

His father died, and he returned home to care for his arthritic mother, who was in a wheelchair. “I still had all these things going around in my head from my childhood,” he said. “Food replaced the love I didn’t get from my parents.” When he left the Royal Mail in 1986, he said, he weighed 364 pounds.

Then things spun out of control. Mr. Mason tried to eat himself into oblivion. He spent every available penny of his and his mother’s social security checks on food. He stopped paying the mortgage. The bank repossessed their house, and the council found them a smaller place to live. All the while, he ate the way a locust eats — indiscriminately, voraciously, ingesting perhaps 20,000 calories a day. First he could no longer manage the stairs; then he could no longer get out of his room. He stayed in bed, on and off, for most of the last decade.

Social service workers did everything for him, including changing his incontinence pads. A network of local convenience stores and fast-food restaurants kept the food coming nonstop — burgers, french fries, fish and chips, even about $22 worth of chocolate bars a day.

“They didn’t deliver bags of crisps,” he said of potato chips. “They delivered cartons.”

His life became a cycle: eat, doze, eat, eat, eat. “You didn’t sleep a normal sleep,” he said. “You’d be awake most of the night eating and snacking. You totally forgot about everything else. You lose all your dignity, all your self-respect. It all goes, and all you focus on is getting your next fix.”

He added, “It was quite a lonely time, really.”

He frequently got infections and was transported to the hospital — first in a laundry van, then on the back of a truck and finally on the forklift. For 18 months after a hernia operation in 2003, he lived in the hospital and in an old people’s home — where he was not allowed to leave his room — while the local government found him a house that could accommodate all the special equipment he needed.

This article has been revised to reflect the following correction:

Correction: February 6, 2013

The headline on an earlier version of this article misstated Paul Mason’s current weight relative to what he weighed nearly a decade ago. He is now about one-third of the weight he was then, not two-thirds.

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DealBook: Liberty Global Reaches Deal for Virgin Media

8:07 p.m. | Updated

LONDON – Liberty Global, the international cable company owned by the American billionaire John C. Malone, agreed on Tuesday to buy the British cable company Virgin Media for about $16 billion.

The deal gives Liberty Global access to Europe’s largest cable market, and pits Mr. Malone against Rupert Murdoch, his longtime rival and biggest shareholder in Britain’s largest pay-TV provider British Sky Broadcasting.

Under the terms of the deal, Liberty Global said it had offered a package of cash and stock that it valued at $47.87 for each share in Virgin Media, a 24 percent premium over Virgin Media’s closing price on Monday.

The takeover ranks as one of the 10 largest cable deals of all time, according to figures from the data provider Thomson Reuters.

“Virgin Media will add significant scale and a first-class management team in Europe’s largest and most dynamic media and communications market,” Mike Fries, Liberty Global’s president and chief executive, said in a statement.

“After the deal, roughly 80 percent of Liberty Global’s revenue will come from just five attractive and strong countries — the U.K., Germany, Belgium, Switzerland and the Netherlands.”

News of the talks, confirmed earlier in the day in a statement by Virgin Media, came amid heightened merger and acquisition activity in the European television business. As European broadcasters suffer from stagnant or falling advertising revenue, American media conglomerates, looking to expand their international presence, are playing a significant role.

Mr. Malone and Mr. Murdoch have gone head-to-head before. From 2004 to 2006, they fought for control of DirecTV, the American satellite television provider.

The clash ended with Mr. Malone yielding a stake that he had built up in News Corporation. But the Liberty Group, which has operations in 13 countries, completed its purchase of a controlling stake in DirecTV from News Corporation in a cash-and-equity deal worth roughly $11 billion.

In recent years, Liberty Global has been expanding its presence in Europe and has operations from Ireland to Romania, though it failed last month in its bid to acquire the Telenet Group of Belgium for $2.7 billion. Liberty Global owns a 58 percent stake in Telenet.

Since early 2010, Liberty has bought two German rivals to build its operations in Europe’s largest economy.

In response, News Corporation has been expanding its global cable business, including the $2.1 billion acquisition of Consolidated Media, the Australian pay-television company, late last year.

Since the beginning of the financial crisis, Virgin Media, whose commercials feature the Olympic sprinting star Usain Bolt, has announced job cuts and invested in its broadband structure to reduce costs and increase its market share in Britain’s competitive cable market.

The company’s market capitalization stands at more than $10 billion. Including debt, its enterprise value is around $19.4 billion, according Thomson Reuters. Shares of Virgin Media, which are primarily traded on the Nasdaq, were up nearly 18 percent to $45.61 on the news of the Liberty talks.

Virgin’s shares have jumped almost 90 percent in the last 12 months, as more consumers sign up for so-called bundled services, including Internet and cellphone contracts. Virgin Media will announce its earnings on Wednesday.

Analysts warned that it would be difficult for Liberty Global to make additional savings between its current European operations and those of Virgin Media because Liberty does not have a business in Britain.

They said Liberty waited to make its move until Virgin made several upgrades to its network and restructured its debt. While Virgin has been gaining market share, it has 4.9 million customers, or roughly half the number of subscribers as its larger rival, BSkyB, according to filings by the companies.

The British billionaire Richard Branson, whose Virgin brand is used for a variety of products and services, including airlines and banks, owns less than 3 percent of Virgin Media.

News of the talks also came amid heightened merger and acquisition activity in the European television business. In December, Discovery Communications agreed to pay $1.7 billion for the Scandinavian operations of a large German commercial television company.

According to news reports this week, the majority owners of the German company are considering a sale. American media companies, including Time Warner, have been mentioned as potential buyers.

Analysts say the flurry of activity is driven by a desire among pay-television companies and broadcasters to diversify revenue sources that are coming under increased pressure. So broadcasters are setting up pay-television channels, and cable and satellite companies are looking to new content delivery platforms, like the Internet.

While commercial broadcasters remain powerful in Germany, Britain is the most lucrative pay-television market in Europe, according to Screen Digest, a research firm.

The deal for Virgin Media is expected to close during the second quarter of this year.

LionTree Advisors, Credit Suisse and the law firms Shearman & Sterling and Ropes & Gray advised Liberty Global, while Goldman Sachs, JPMorgan Chase and the law firms Fried Frank and Milbank advised Virgin Media.

Mark Scott reported from London, and Eric Pfanner from Paris.

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This post has been revised to reflect the following correction:

Correction: February 5, 2013

Because of an editing error, an earlier version of this article misstated the first name of the leader of News Corporation. He is Rupert Murdoch, not Richard.

A version of this article appeared in print on 02/06/2013, on page B6 of the NewYork edition with the headline: Liberty Global Reaches Deal for Virgin Media That May Inflame Old Rivalry.

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Bulgaria Implicates Hezbollah in Deadly Israeli Bus Blast

Reuters

Bulgaria's Burgas airport on July 18 after an explosion on a bus carrying Israeli tourists outside the airport.

SOFIA, Bulgaria — The Bulgarian government said on Tuesday that two of the people behind a deadly bombing attack that targeted an Israeli tour bus six months ago were believed to be members of the military wing of the Lebanese militant group Hezbollah.

The announcement could force the European Union to reconsider whether to designate the group as a terrorist organization and crack down on its extensive fund-raising operations across the continent. That could have wide-reaching repercussions for Europe’s uneasy détente with the group, which is an influential force in Middle East politics, considers Israel an enemy and has extensive links with Iran.

Bulgaria’s interior minister, Tsvetan Tsvetanov, said at a news conference that the investigation into the bombing in Burgas in July 2012 found that a man with an Australian passport and a man with a Canadian passport were two of the three conspirators involved in the attack, which claimed the lives of five Israeli tourists and a Bulgarian bus driver.

Bulgarian investigators had “a well-founded assumption that they belonged to the military formation of Hezbollah,” Mr. Tsvetanov said.

Bulgarian officials have found themselves under pressure from Israel and the United States, which consider Hezbollah a terrorist organization, to blame it for the bus attack. But the Bulgarians also have been facing pressure from European allies like Germany and France, which regard Hezbollah as a legitimate political organization, to temper any finding on the sensitive issue.

Mr. Tsvetanov spoke to reporters here after briefing top government officials and security personnel about the state of the investigation.

“We have followed their entire activities in Australia and Canada so we have information about financing and their membership in Hezbollah,” he said.

Mr. Tsvetanov did not mention Iran, however, Hezbollah’s ally and chief backer.

Analysts said the bombing was just one chapter in a shadow war pitting Israel against Iran and Hezbollah. Israel is believed to be behind the killings of Iranian nuclear scientists. Operatives of the Iranian Quds Force, an elite international operations unit within Iran’s Islamic Revolutionary Guards Corps, were believed to be behind a series of plots against Israeli targets in Thailand, India and Georgia. Israeli officials said the Burgas attack bore the hallmarks of a Hezbollah operation.

The European calculation all along has been that whatever its activities in the Middle East, Hezbollah does not pose a threat on the Continent. Thousands of Hezbollah members and supporters operate in Europe essentially unrestricted, raising money that is funneled back to the group in Lebanon.

Changing the designation to a terrorist entity raises the prospect of unsettling questions for Europe — how to deal with those supporters, for example — and the sort of confrontation governments have sought to avoid.

“There’s the overall fear if we’re too noisy about this, Hezbollah might strike again, and it might not be Israeli tourists this time,” said Sylke Tempel, editor in chief of the German foreign affairs magazine Internationale Politik.

The significance of their determination has put pressure on Bulgarian officials, who would like to maintain strong ties with Israel and the United States, and European allies like France and Germany. Bulgarian officials had maintained a studied silence for more than six months since the attack.

“If you factor in the suspicion that there are political implications beyond Bulgaria’s borders, it’s completely understandable that they’ve been playing for time,” said Dimitar Bechev, head of the Sofia office of the European Council on Foreign Relations.

Mr. Tsvetanov spoke after the meeting of the president’s council for national security, which includes the prime minister, top cabinet members and military and security personnel.

Bulgarian officials are acutely aware of the consequences of their findings even though larger European Union members did not exert blatant pressure on them regarding the Hezbollah question. “It was not a campaign,” said Philipp Missfelder, a leading member of Chancellor Angela Merkel’s Christian Democrats and the foreign policy spokesman for the party in Parliament. “Some German officials dropped a few words.”

But Mr. Missfelder said that attitudes toward Hezbollah were gradually shifting. “It’s clear that they are steered from Iran and they are destabilizing the region,” Mr. Missfelder said. “The group that thinks Hezbollah is a stabilizing factor is getting smaller.”

Hezbollah’s dual nature as what Western intelligence agencies call a terrorist organization and a political party with significant social projects, including schools and health clinics, make it more difficult to dismiss. Hezbollah is a significant political actor in Lebanon, and many European officials are particularly wary of upsetting the status quo as the civil war drags on in Syria.

Jodi Rudoren contributed reporting from Jerusalem.

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Vonn hospitalized after crash in super-G at worlds

SCHLADMING, Austria (AP) — Lindsey Vonn crashed during the super-G Tuesday and was taken to a hospital by helicopter after apparently hurting her right knee at the world championships.

The four-time overall World Cup champion lost balance on her right leg while landing after a jump. Her ski came off immediately, and Vonn slid off course and hit a gate before coming to a halt.

She received treatment on the slope for 12 minutes before going to the hospital. Her U.S. team had no immediate information on her condition.

The crash came almost exactly one year before the start of the 2014 Winter Olympics in Sochi, Russia.

Vonn returned to the circuit last month after an almost monthlong break from racing to fully recover from an intestinal illness that put her in a hospital for two days in November.

Vonn trailed race winner Tina Maze of Slovenia by 0.12 seconds shortly before the crash.

The race, which was postponed for 3½ hours because of fog, resumed after another 15-minute delay. Several racers struggled with the conditions.

"It's not a very difficult course, but in some parts you couldn't see anything," Fabienne Suter of Switzerland said.

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Well: Gluten-Free for the Gluten Sensitive

Eat no wheat.

That is the core, draconian commandment of a gluten-free diet, a prohibition that excises wide swaths of American cuisine — cupcakes, pizza, bread and macaroni and cheese, to name a few things.

For the approximately one-in-a-hundred Americans who have a serious condition called celiac disease, that is an indisputably wise medical directive.

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One woman’s story of going gluten-free.

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Now medical experts largely agree that there is a condition related to gluten other than celiac. In 2011 a panel of celiac experts convened in Oslo and settled on a medical term for this malady: non-celiac gluten sensitivity.

What they still do not know: how many people have gluten sensitivity, what its long-term effects are, or even how to reliably identify it. Indeed, they do not really know what the illness is.

The definition is less a diagnosis than a description — someone who does not have celiac, but whose health improves on a gluten-free diet and worsens again if gluten is eaten. It could even be more than one illness.

“We have absolutely no clue at this point,” said Dr. Stefano Guandalini, medical director of the University of Chicago’s Celiac Disease Center.

Kristen Golden Testa could be one of the gluten-sensitive. Although she does not have celiac, she adopted a gluten-free diet last year. She says she has lost weight and her allergies have gone away. “It’s just so marked,” said Ms. Golden Testa, who is health program director in California for the Children’s Partnership, a national nonprofit advocacy group.

She did not consult a doctor before making the change, and she also does not know whether avoiding gluten has helped at all. “This is my speculation,” she said. She also gave up sugar at the same time and made an effort to eat more vegetables and nuts.

Many advocates of gluten-free diets warn that non-celiac gluten sensitivity is a wide, unseen epidemic undermining the health of millions of people. They believe that avoiding gluten — a composite of starch and proteins found in certain grassy grains like wheat, barley and rye — gives them added energy and alleviates chronic ills. Oats, while gluten-free, are also avoided, because they are often contaminated with gluten-containing grains.

Others see the popularity of gluten-free foods as just the latest fad, destined to fade like the Atkins diet and avoidance of carbohydrates a decade ago.

Indeed, Americans are buying billions of dollars of food labeled gluten-free each year. And celebrities like Miley Cyrus, the actress and singer, have urged fans to give up gluten. “The change in your skin, physical and mental health is amazing!” she posted on Twitter in April.

For celiac experts, the anti-gluten zeal is a dramatic turnaround; not many years ago, they were struggling to raise awareness among doctors that bread and pasta can make some people very sick. Now they are voicing caution, tamping down the wilder claims about gluten-free diets.

“It is not a healthier diet for those who don’t need it,” Dr. Guandalini said. These people “are following a fad, essentially.” He added, “And that’s my biased opinion.”

Nonetheless, Dr. Guandalini agrees that some people who do not have celiac receive a genuine health boost from a gluten-free diet. He just cannot say how many.

As with most nutrition controversies, most everyone agrees on the underlying facts. Wheat entered the human diet only about 10,000 years ago, with the advent of agriculture.

“For the previous 250,000 years, man had evolved without having this very strange protein in his gut,” Dr. Guandalini said. “And as a result, this is a really strange, different protein which the human intestine cannot fully digest. Many people did not adapt to these great environmental changes, so some adverse effects related to gluten ingestion developed around that time.”

The primary proteins in wheat gluten are glutenin and gliadin, and gliadin contains repeating patterns of amino acids that the human digestive system cannot break down. (Gluten is the only substance that contains these proteins.) People with celiac have one or two genetic mutations that somehow, when pieces of gliadin course through the gut, cause the immune system to attack the walls of the intestine in a case of mistaken identity. That, in turn, causes fingerlike structures called villi that absorb nutrients on the inside of the intestines to atrophy, and the intestines can become leaky, wreaking havoc. Symptoms, which vary widely among people with the disease, can include vomiting, chronic diarrhea or constipation and diminished growth rates in children.

The vast majority of people who have celiac do not know it. And not everyone who has the genetic mutations develops celiac.

What worries doctors is that the problem seems to be growing. After testing blood samples from a century ago, researchers discovered that the rate of celiac appears to be increasing. Why is another mystery. Some blame the wheat, as some varieties now grown contain higher levels of gluten, because gluten helps provide the springy inside and crusty outside desirable in bread. (Blame the artisanal bakers.)

There are also people who are allergic to wheat (not necessarily gluten), but until recently, most experts had thought that celiac and wheat allergy were the only problems caused by eating the grain.

For 99 out of 100 people who don’t have celiac — and those who don’t have a wheat allergy — the undigested gliadin fragments usually pass harmlessly through the gut, and the possible benefits of a gluten-free diet are nebulous, perhaps nonexistent for most. But not all.

Anecdotally, people like Ms. Golden Testa say that gluten-free diets have improved their health. Some people with diseases like irritable bowel syndrome and arthritis also report alleviation of their symptoms, and others are grasping at gluten as a source of a host of other conditions, though there is no scientific evidence to back most of the claims. Experts have been skeptical. It does not make obvious sense, for example, that someone would lose weight on a gluten-free diet. In fact, the opposite often happens for celiac patients as their malfunctioning intestines recover.

They also worried that people could end up eating less healthfully. A gluten-free muffin generally contains less fiber than a wheat-based one and still offers the same nutritional dangers — fat and sugar. Gluten-free foods are also less likely to be fortified with vitamins.

But those views have changed. Crucial in the evolving understanding of gluten were the findings, published in 2011, in The American Journal of Gastroenterology, of an experiment in Australia. In the double-blind study, people who suffered from irritable bowel syndrome, did not have celiac and were on a gluten-free diet were given bread and muffins to eat for up to six weeks. Some of them were given gluten-free baked goods; the others got muffins and bread with gluten. Thirty-four patients completed the study. Those who ate gluten reported they felt significantly worse.

That influenced many experts to acknowledge that the disease was not just in the heads of patients. “It’s not just a placebo effect,” said Dr. Marios Hadjivassiliou, a neurologist and celiac expert at the University of Sheffield in England.

Even though there was now convincing evidence that gluten sensitivity exists, that has not helped to establish what causes gluten sensitivity. The researchers of the Australian experiment noted, “No clues to the mechanism were elucidated.”

What is known is that gluten sensitivity does not correlate with the genetic mutations of celiac, so it appears to be something distinct from celiac.

How widespread gluten sensitivity may be is another point of controversy.

Dr. Thomas O’Bryan, a chiropractor turned anti-gluten crusader, said that when he tested his patients, 30 percent of them had antibodies targeting gliadin fragments in their blood. “If a person has a choice between eating wheat or not eating wheat,” he said, “then for most people, avoiding wheat would be ideal.”

Dr. O’Bryan has given himself a diagnosis of gluten sensitivity. “I had these blood sugar abnormalities and didn’t have a handle where they were coming from,” he said. He said a blood test showed gliadin antibodies, and he started avoiding gluten. “It took me a number of years to get completely gluten-free,” he said. “I’d still have a piece of pie once in a while. And I’d notice afterwards that I didn’t feel as good the next day or for two days. Subtle, nothing major, but I’d notice that.”

But Suzy Badaracco, president of Culinary Tides, Inc., a consulting firm, said fewer people these days were citing the benefits of gluten-free diets. She said a recent survey of people who bought gluten-free foods found that 35 percent said they thought gluten-free products were generally healthier, down from 46 percent in 2010. She predicted that the use of gluten-free products would decline.

Dr. Guandalini said finding out whether you are gluten sensitive is not as simple as Dr. O’Bryan’s antibody tests, because the tests only indicate the presence of the fragments in the blood, which can occur for a variety of reasons and do not necessarily indicate a chronic illness. For diagnosing gluten sensitivity, “There is no testing of the blood that can be helpful,” he said.

He also doubts that the occurrence of gluten sensitivity is nearly as high as Dr. O’Bryan asserts. “No more than 1 percent,” Dr. Guandalini said, although he agreed that at present all numbers were speculative.

He said his research group was working to identify biological tests that could determine gluten sensitivity. Some of the results are promising, he said, but they are too preliminary to discuss. Celiac experts urge people to not do what Ms. Golden Testa did — self-diagnose. Should they actually have celiac, tests to diagnose it become unreliable if one is not eating gluten. They also recommend visiting a doctor before starting on a gluten-free diet.

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This post has been revised to reflect the following correction:

Correction: February 4, 2013

An earlier version of this article misspelled the surname of Thomas O'Bryan. It is O'Bryan, not O'Brien.

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You're the Boss Blog: Our Vision: Make Sales to End Sweatshops

There have been a lot of grim stories lately involving the manufacture of clothing.

Over the last few months, there have been factory fires in Bangledesh that have taken the lives of hundreds of men and women who endured depressing sweatshop environments in order to feed their families. These factories were producing products for global brands like Wal-Mart, Disney, and Enyce. And a recent study by Greenpeace International concluded that Calvin Klein, GAP, Zara, Diesel, and other top apparel brands produce clothes that contain high levels of dangerous chemicals.

Does it make sense that these and other brands are allowed to make products that expose people throughout their supply chains — cotton farmers to garment workers to consumers — to cancer-causing and endocrine-disrupting agents that can cause birth defects, learning disorders, and even death? If clothing were food, wouldn’t there be a recall?

In most cases, these brands have little to fear in the way of regulation. What they do fear is a loss of sales – and that is where my start-up, Fashioning Change, hopes to play a role. We have built a marketplace that offers stylish, money-saving, safe, sustainable, and sweatshop-free alternatives. Our goal is to support manufacturers that are doing things right – and to leave the big brands no option but to adopt authentic practices that protect health, the Earth, and human rights. That’s our plan, any way.

When we share that plan with venture capitalists, we are often told, “but shoppers won’t pay more for products that are green or socially responsible.” And we don’t think they should have to. That’s why, in addition to showcasing socially responsible brands, we are using our marketplace to demonstrate that shopping “green” doesn’t have to mean spending more or compromising on style and quality.

To prove our point, we built a feature on our Web site that we call Wear This, Not That (see photo above). Here’s how it works: We look for styles that are trending within mainstream brands, and then we review the Fashioning Change catalog for items that are comparable in price and style. When we find a match, we feature a side-by-side comparison of the Fashioning Change alternative to the mainstream product. Every comparison presents the fashion aesthetics and the price and also highlights the brand’s manufacturing process. Here’s an example, Wear This, Not That: Reuse Jeans vs Guess.

We did an analysis comparing more than 100 products from 27 mainstream brands to the Fashioning Change equivalent, and the data showed that shoppers can save an average of 27 percent with our alternatives. From Black Friday through Cyber Monday, we calculated that shoppers buying through Fashioning Change saved $25,509.84 — the difference between our retail price and what these shoppers would have spent on the mainstream option.

All of this may sound simple but making it happen isn’t easy, especially when you don’t have a huge budget to spend on marketing. To help us connect with each member of our growing audience, we built a targeted e-mail system that reviews shared preferences and site behavior to help us understand what e-mail content is relevant for each person. We use that data to share relevant information with each person who signs up for Fashioning Change. Every day, we work to increase our relevancy to each person so that we can make more sales while reducing pollution and the use of sweatshops.

So far, all of the money we make goes back into building Fashioning Change. My co-founder Kevin and I have forgone salaries until we can get Fashioning Change to profitability (something we look forward to in the near future). In order to live without a salary, I gave up my two-bedroom apartment, sold all of my furniture, and moved into my parent’s guest room. I lived there for more than a year on savings while getting the company started. Now I split time between the Fashioning Change house in Santa Monica and my parent’s house in San Diego. (I also gave up health insurance, which I will discuss in my next post.)

We see fashion as just the beginning for us. We have built a Web platform that will eventually allow us to provide access to authentic, great-looking, money-saving, sustainable, and sweatshop-free alternatives to almost everything that goes on (or in) our bodies, in our homes, or into our communities: clothes, food, detergents, cars, bedding, toothpaste, etc. While we could start adding all different types of products, I believe our success will lie in attacking one vertical at a time. We will see how quickly our vision gains momentum.

Some of the older investors we meet seem skeptical that we can create this mix of business and ethics. We’re looking forward to proving them wrong.

Questions? Thoughts? Lets connect, talk shop, and build some original and meaningful start-ups in the process. You can leave a comment below, or e-mail me at adriana@fashioningchange.com. You can also find me on Twitter at @adriana_herrera.

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Investigation Finds Suspected Fixing in 680 Soccer Matches

THE HAGUE — Criminal organizations have infiltrated the highest levels of European and international soccer, threatening the very integrity of the sport, global law enforcement officials said on Monday as they unveiled the results of a 19-month investigation that indicated that hundreds of people had been involved in match-fixing.

At least 425 people from more than 15 countries — including club and match officials, and current and former players — are suspected of conspiring in 680 matches on behalf of Asian criminal syndicates that made millions of dollars in profits by betting on the results, they said.

Those matches included qualifying games for both the World Cup and the European Cup, and two Champions League matches, including one in England.

“This is a sad day for European football, and more evidence of the corrupting influence of organized crime,” said Rob Wainwright, the director of Europol, which helped coordinate the investigation among European Union member states, Interpol and non-European nations.

Citing the doping scandal that has undermined public trust and interest in cycling, Mr. Wainwright warned that the problem must be tackled quickly or soccer would lose the trust of the public.

In all, 680 matches have been identified as suspect, officials said, including 300 outside Europe, primarily in Asia, Africa and Latin America.

It was not immediately clear how many of the matches identified were already known to the public or were the result of new discoveries.

Officials declined to identify any of the teams or individuals involved in the investigations, citing the need to guard the confidentiality of police procedures.

The officials, speaking to journalists at Europol headquarters, said that a joint team was created in July 2011 after investigators in several European countries came to realize that there was a major overlap between suspects in separate match-fixing inquiries.

A single criminal group, based in Asia, is behind most of the matches identified in the investigations, Europol and Interpol officials said, and an international arrest warrant has been issued seeking the extradition of the ringleader to Europe to face fraud and bribery charges.

Europol did not publicly identify the ringleader of the gang, but several knowledgeable law enforcement officials later said on the condition of anonymity that it was a Singapore-based man, known as Dan Tan. Mr. Tan has been implicated in match-fixing cases dating back at least to 1999, the officials said.

Asked about the level of international cooperation Europol was getting from other national authorities involved in enforcement of the warrant, Mr. Wainwright said, “I’m satisfied that Interpol is in active dialogue” with the other parties. “It’s important that all international arrest warrants are pursued.”

The officials repeatedly dodged questions from reporters seeking to learn just how many of the suspected match-fixing cases they announced on Monday were new.

German prosecutors, for example, have themselves previously identified dozens of cases and it was not clear how many of those were included in the tally. The country with the most cases identified by Europol was Turkey, with 79. Germany was next with 70, followed by Switzerland, with 41. The agency also reported cases in Belgium, Croatia, Austria, Hungary, Bosnia and Herzegovina, Slovenia and Canada.

To rig the matches, officials said, the criminals operated a sophisticated organization, employing some people to deal with players and referees, others to handle money and place bets, others to carry out money laundering, on up to a strategic command at the top.

Any one match-rigging operation might have involved as many as 50 people in 10 countries, they said.

The actual business of rigging a match typically involves bribing players or a referee, or possibly both, in an effort to deliver a predetermined result. The Asian crime syndicates typically want to achieve a particular margin of victory, rather a precise outcome, officials said.

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The Future of BlackBerry 10 Sales Looks Hazy

Early sales figures from abroad suggest high demand for one of BlackBerry‘s two big comeback phones… in the struggling Canadian company’s strongest market. As the U.S. market remains on standby for sales and even ads, reports from both analysts and suppliers suggest sold-out new models in the United Kingdom, the first and only place the BlackBerry Z10 is available yet. “We believe Carphone Warehouse is seeing widespread sell-outs, while O2, Vodafone, Orange and EE are seeing robust demand,” Jefferies analyst Peter Misek writes. “We estimate sell-in to be at least several hundred thousand units,” he added. It’s not that these sales aren’t deserved — the gadget reviewers loved the touchscreen Z10, for the most part, and the full-keyboard Q10 model that also works with the new BlackBerry 10 OS isn’t on sale anywhere yet. But if any place would like a touchscreen BlackBerry, it would be the UK. Because the British may not have abandoned the smartphone keyboard, but they fell out of love it with a lot more slowly than Americans did  — BlackBerry held on to 12 percent of its market share there last year, compared to the 2 percent in the U.S. Unfortunately for the company formerly known as Research in Motion, the earliest signs suggest the Z10 may not change that lack of enthusiasm in the states.

RELATED: Everything You Need to Know About BlackBerry 10

The lack of stateside BlackBerry enthusiasm starts with American wireless carriers. U.S. customers can’t even buy the Z10 until sometime in March — we’ll be the last country to get it in this initial wave. The delay stems from a Federal Communications Commission approval process that will take weeks. While that might sound like a regulatory technicality, it may also reflect a lack of excitement to get the phone out there. None of the cellphone companies have started taking pre-sale orders, and all but one failed to provide an executive quote playing up the new BlackBerry, as PC Mag’s Sascha Segan pointed out. Sprint won’t even sell the Z10, opting to push out the more traditional Q10 and its signature keyboard when that phone starts to hit carriers in April. 

RELATED: Blackberry’s New OS Met With Resounding ‘Meh’

The Z10 sales delay could work in BlackBerry’s favor in one peculiar way — it should give consumers enough time to forget about the very weird, very desperate product unveiling. Still, two months is also enough time for initial hype to wear off, as other, newer phones get more and more attention — the much anticipated Samsung Galaxy SIV will supposedly come out around March as well. To keep Americans excited, BlackBerry has spent hundreds of millions on an ad campaign in the U.S., reports The Wall Street Journal. But the company’s new Super Bowl ad, which focused on all the things the new BlackBerry can’t do, has techies baffled:

RELATED: Look How Desperate the BlackBerry 10 Unveiling Event Actually Was

RELATED: RIM Says Sorry to Customers with Free Apps

“It’s just hard to see how you can introduce a new product without covering a single feature,” wrote The Verge’s T.C. Sotteck of the new spot. Lucky for BlackBerry, the ad was a one-time Super Sunday move. Its “Keep Moving” campaign, which focuses on what the phone can do, will debut today. The 60-second preview sampled over at The Verge sounds like it does a better job selling Z10′s features. “[The ad] featured a side-scrolling view of people moving through different variations on work and play: a nod to the company’s enterprise-focused heritage,” Sottech writes.

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Ravens edge 49ers 34-31 in electric Super Bowl

NEW ORLEANS (AP) — For a Super Bowl with so many story lines, this game came up with quite a twist.

Try a blackout that turned a blowout into a shootout — capped by a brilliant defensive stand.

The Baltimore Ravens survived a frenzied comeback by the San Francisco 49ers following a 34-minute delay in the third quarter for a power outage Sunday night, winning their second championship 34-31. Super Bowl MVP Joe Flacco threw three first-half touchdown passes, Jacoby Jones ran back the second-half kickoff a record 108 yards for a score, and star linebacker Ray Lewis' last play fittingly was part of a defensive effort that saved the victory.

"To me, that was one of the most amazing goal-line stands I've ever been a part of in my career," said Lewis, who announced a month ago he would retire when the Ravens were done playing.

They are done now, with another Vince Lombardi Trophy headed for the display case.

"What better way to do it," Lewis said, "than on the Super Bowl stage?"

That stage already was loaded with plots:

—The coaching Harbaughs sibling rivalry, won by older brother John, who said the postgame greeting with Jim was "painful."

—Flacco's emergence as a top-level quarterback, and his impending free agency.

—Colin Kaepernick's rapid rise in the last two months as 49ers QB.

—The big game's return to the Big Easy for the first time in 11 years, and the first time since Hurricane Katrina ravaged the city in 2005.

—Lewis' self-proclaimed "last ride."

But when the Superdome lost power, well, that wasn't in anyone's scenario.

Flacco and the Ravens (14-6) were turning the game into a rout, leading 28-6 when, without even a flicker of warning, several banks of lights and the scoreboards went dark. Players from both sides stretched and chatted with each other in as bizarre a scene as any Super Bowl has witnessed.

"The bad part was we started talking about it," said safety Ed Reed, who had the game's only interception. "That was mentioned. It was like they were trying to kill our momentum."

After power was restored, the 49ers began playing lights out.

San Francisco (13-5-1), in search of its sixth Lombardi Trophy in as many tries, got back in the game almost immediately.

Michael Crabtree's 31-yard touchdown reception, on which he broke two tackles, made it 28-13. A few minutes later, Frank Gore's 6-yard run followed a 32-yard punt return by Ted Ginn Jr., and the 49ers were within eight.

Ray Rice's fumble at his 24 led to David Akers' 34-yard field goal, but Baltimore woke up for a long drive leading to rookie Justin Tucker's 19-yard field goal.

San Francisco wasn't done challenging, though, and Kaepernick's 15-yard TD run, the longest for a quarterback in a Super Bowl, made it 31-29. A 2-point conversion pass failed when the Ravens blitzed.

Tucker added a 38-yarder with 4:19 remaining, setting up the frantic finish.

Kaepernick couldn't get the 49ers into the end zone on the final three plays. The last was a pass into the right corner of the end zone to Crabtree that involved some incidental bumping. Jim Harbaugh insisted a flag should have been thrown.

"There's no question in my mind that there was a pass interference and then a hold," Jim Harbaugh said.

Ravens punter Sam Koch took a safety for the final score with 4 seconds left. Koch's free kick was returned by Ginn to midfield as time ran out.

"How could it be any other way? It's never pretty. It's never perfect. But it's us," John Harbaugh said of his Ravens. "It was us today."

Barely.

"Yeah, I think that last drive when we got the ball and had time to go down and score a touchdown," Kaepernick said, "we thought it was our game."

But the championship is Baltimore's.

As for the foul-up at America's biggest sporting event, officials revealed that an "abnormality" in the power system triggered an automatic shutdown, forcing backup systems to kick in. But no one was sure what caused the initial problem.

Everything changed after that until Lewis and Co. shut it down. But there were plenty of white-knuckle moments and the Ravens had to make four stops inside their 7 at the end.

"I think it speaks to our resolve, speaks to our determination, speaks to our mental toughness," John Harbaugh said. "That is what wins and loses games."

At 4 hours, 14 minutes, it was the longest Super Bowl ever.

Flacco's arrival as a championship quarterback — he had 11 postseason TD passes, tying a league mark, and no interceptions — coincides with Lewis' retirement. The win capped a sensational four games since Lewis announced he was leaving the game after 17 Hall of Fame-caliber years.

The Ravens will become Flacco's team now, provided he reaches agreement on a new contract.

Flacco's three TD passes in the opening half tied a Super Bowl record. They covered 13 yards to Anquan Boldin, 1 to Dennis Pitta and 56 to Jones.

That start boosted him to the MVP award.

"They have to give it to one guy and I'm not going to complain that I got it," Flacco said.

John Harbaugh had no complaints about getting that other trophy named after that Green Bay coach. But he struggled to balance it with the disappointment his brother was feeling.

"The meeting with Jim in the middle (of the field for the postgame handshake) was probably the most difficult thing I have ever been associated with in my life," the Ravens coach said.

The wild scoring made this the second championship in the NFL's 80-year title game history in which both teams scored at least 30 points. Pittsburgh's 35-31 win over Dallas in 1979 was the other.

The Ravens stumbled into the playoffs with four defeats in its last five regular-season games as Lewis recovered from a torn right triceps and Flacco struggled. Harbaugh even fired his offensive coordinator in December, a stunning move with the postseason so close.

But that — and every other move Harbaugh, Flacco and the Ravens made since — were right on target.

New Orleans native Jones, one of the stars in a double-overtime playoff win at Denver, seemed to put the game away with his record 108-yard sprint with the second-half kickoff.

Soon after, the lights went out — and when they came back on, the Ravens were almost powerless to slow the 49ers.

Until the final moments.

"The final series of Ray Lewis' career was a goal-line stand," Harbaugh said.

Lewis was sprawled on all fours, face-down on the turf, after the end zone incompletion.

"It's no greater way, as a champ, to go out on your last ride with the men that I went out with, with my teammates," Lewis said. "And you looked around this stadium and Baltimore! Baltimore! We coming home, baby! We did it!"

Jim Harbaugh, the coach who turned around the Niners in the last two years and brought them to their first Super Bowl in 18 years, had seen his team make a similarly stunning comeback in the NFC championship at Atlanta, but couldn't finish it off against Baltimore.

"Our guys battled back to get back in," the 49ers coach said. "I thought we battled right to the brink of winning."

The 49ers couldn't have been sloppier in the first half, damaging their chances with penalties — including one on their first play that negated a 20-yard gain — poor tackling and turnovers. Rookie LaMichael James fumbled at the Baltimore 25 to ruin an impressive drive, and the Ravens converted that with Flacco's 1-yard pass to Pitta for a 14-3 lead.

On San Francisco's next offensive play, Kaepernick threw behind Randy Moss and always dependable Reed picked it off. A huge scuffle followed that brought both Harbaughs onto the field and saw both sides penalized 15 yards for unnecessary roughness.

Reed, also a New Orleans native, tied the NFL record for postseason picks with his ninth.

Baltimore didn't pounce on that mistake for points. Instead, Tucker's fake field goal run on fourth-and-9 came up a yard short when Chris Culliver slammed him out of bounds.

The Ravens simply shrugged, forced a three-and-out, and then unleashed Jones deep. Just as he did to Denver, he flashed past the secondary and caught Flacco's fling. He had to wait for the ball, fell to the ground to grab it, but was untouched by a Niner. Up he sprang, cutting left and using his speed to outrun two defenders to the end zone.

Desperate for some points, the 49ers completed four passes and got a 15-yard roughing penalty against Haloti Ngata, who later left with a knee injury. But again they couldn't cross the goal line, Paul Kruger got his second sack of the half on third down, forcing a second field goal by Akers, from 27 yards.

When Jones began the second half by sprinting up the middle virtually untouched — he is the second player with two TDs of 50 yards or more in a Super Bowl, tying Washington's Ricky Sanders in 1988 — the rout was on.

Then it wasn't.

"Everybody had their hand on this game," 49ers All-Pro linebacker Patrick Willis said. "We point the fingers at nobody. We win together and we lose together, and today we lost it."

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