SHANGHAI STYLE RETAILERS STILL FLOCK TO CITY

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AMERICAS CUP RIVALRY STARTS AT THE HELM

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RIDING THE WAVE CHOICES EXPAND FOR USING DATA

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FASHION

SPORTS

BUSINESS ASIA WITH

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MONDAY, SEPTEMBER 23, 2013

THE GLOBAL EDITION OF THE NEW YORK TIMES

GLOBAL.NYTIMES.COM

Chinas push for drones fueled by U.S. secrets

BEIJING

Bo convicted of all charges and given life in prison

BEIJING

American contractors hacked by group tied to Peoples Liberation Army

BY EDWARD WONG

Defiant throughout trial, he has told relatives that one day hell be cleared
BY ANDREW JACOBS AND CHRIS BUCKLEY

For almost two years, hackers based in Shanghai went after one foreign defense contractor after another, at least 20 in all. Their target, according to an American cybersecurity company that monitored the attacks, was the technology behind the United States clear lead in military drones. I believe this is the largest campaign weve seen that has been focused on drone technology, said Darien Kindlund, manager of threat intelligence at the company, FireEye, based in California. It seems to align pretty well with the focus of the Chinese government to build up their own drone technology capabilities. The hacking operation, conducted by a group called Comment Crew, was one of the most recent signs of the ambitions of Chinas drone development program. The government and the military are striving to put China at the forefront of drone manufacturing, for their own use and for export, and have made an all-out push to gather domestic and international technology to support the program. Foreign Ministry officials have said China does not sanction hacking and is itself a victim, but another American cybersecurity company has tracked members of Comment Crew to a Peoples Liberation Army building outside Shanghai. China is now dispatching its own drones into potential combat arenas. Every major arms manufacturer in China has a research center devoted to drones, according to Chinese and foreign military analysts. Those companies have shown off dozens of models to foreign buyers at international air shows. Chinese officials this month sent a drone near disputed islands adminDRONES, PAGE 4

JINAN INTERMEDIATE PEOPLES COURT, VIA AGENCE FRANCE-PRESSE

The former politician Bo Xilai, in the courtroom in Jinan, China, on Sunday, has retained support among some Chinese who see him as a charismatic advocate of left-leaning policies.

Fortune-seeking migrants turn to Mexico

MEXICO CITY

BY DAMIEN CAVE

Mexico, whose economic woes have pushed millions of people north, is increasingly becoming an immigrant destination. The countrys documented foreign-born population nearly doubled between 2000 and 2010, and officials now say the pace is accelerating as broad changes in the global economy create new dynamics of migration. Rising wages in China and higher

transportation costs have made Mexican manufacturing highly competitive again, with some projections suggesting it is already cheaper than China for many industries serving the American market. Europe is sputtering, pushing workers away. And while Mexicos economy is far from trouble free, its growth easily outpaced the giants of the hemisphere the United States, Canada and Brazil in 2011 and 2012, according to International Monetary Fund data, making the country more attractive to fortune seekers worldwide.

There is this energy here, this feeling that anything can happen.
The new arrivals range in class from executives to laborers; Mexican officials said Friday that residency requests had grown 10 percent since November, when a new law meant to streamline the process took effect. And they are coming from nearly everywhere. Guillaume Pace saw his native France

MEXICO, PAGE 6

wilting economically, so with his new degree in finance, he moved to Mexico City. Lee Hwan-hee made the same move from South Korea for an internship, while Spanish filmmakers, Japanese automotive executives and entrepreneurs from the United States and Latin America arrive practically daily pursuing dreams, living well and frequently succeeding. There is this energy here, this feeling that anything can happen, said Lesley Tllez, a Californian whose three-year-

Tracking thefts, for art and profit

Though crucial in finding stolen works, companys methods are criticized
BY KATE TAYLOR AND LORNE MANLY

Tropical deluge
BUSINESS ASIA

CHANCE CHAN/REUTERS

A passer-by was doused by a wave in Hangzhou, China, caused by Typhoon Usagi, the most powerful storm of the year. global.nytimes.com/asia
WORLD NEWS

Early in the morning of May 11, 1987, someone smashed through the glass doors of the Museum of Modern Art in Stockholm, removed a Matisse from a wall and fled. All it took was daring and a sledgehammer. The whereabouts of the painting, Le Jardin, remained a mystery until the work was found last year and made a celebratory trip home in January. But law enforcement agencies played

no role. The return was facilitated by the Art Loss Register, a company based in London that over the past two decades has evolved into a little-noticed but increasingly integral part of art investigation around the world. The brainchild of Julian Radcliffe, an Oxford-educated former risk consultant who speaks of once spying for British intelligence, the Register helps fill a gaping void: Billions of dollars worth of art is stolen every year, according to an F.B.I. estimate, but law enforcement agencies have too few resources to give priority to finding it. For Mr. Radcliffe, whose other company helps recover stolen construction equipment, this presented a natural opportunity. Since it began 22 years ago, the Register has developed one of the most extensive databases of stolen art
VIEWS

in the world, enabling it to recover more than $250 million worth of art, earning fees from insurers and theft victims. Along the way, the company has drawn criticism from those who say its hardball tactics push ethical, and sometimes legal, boundaries. Even so, the Register continues to count law enforcement agents among its supporters. To me, theyre very important, a very useful tool, said Mark Fishstein, the New York City Police Departments art cop. Mr. Radcliffes company operates in the dim recesses of the art world, where the prevalence of theft, fakery and works of murky provenance has given rise to many businesses that promise to help clients navigate this lucrative but largely unregulated market.
ART, PAGE 20

Bo Xilai, the pugnacious Chinese politician whose downfall shook the Communist Party, was sentenced to life in prison on Sunday after a court found him guilty of taking bribes, embezzlement and abuse of power in a failed attempt to stifle murder allegations against his wife. The sentence means Mr. Bo, the son of a Communist revolutionary leader, is unlikely to ever return to public life, unless there is an extraordinary reversal in his political fortunes. Given the Communist Partys tight control of the judiciary, there was never much doubt that the Jinan Intermediate Peoples Court in eastern China would find Mr. Bo guilty. Even before the verdict, commentaries in the state-run news media declared that Mr. Bos guilt was clear. Yet until the end, Mr. Bo remained defiant, pleading not guilty and contesting nearly every aspect of the prosecutors case during his trial in August. Family associates have said Mr. Bo would most likely appeal his sentence. Party leaders under President Xi Jinping had hoped that prosecuting Mr. Bo, once an ambitious member of the elite Politburo, would demonstrate the partys determination to tame the rampant official corruption that has stoked public ire, posing a potential threat to their hold on power. The government orchestrated an unusually public and lengthy trial for Mr. Bo lasting five days, and a court microblog gave the public selective but plentiful and salacious details of the proceedings, which included allegations of adultery by both Mr. Bo and his wife, Gu Kailai. But the courtroom drama also let the public peer into a privileged world of dizzying wealth and nonchalant excess. Prosecutors described a casual rapport between Mr. Bos family and a businessman, Xu Ming, who paid for the travel and the extravagant purchases of Mr. Bos wife and younger son, including a $3.2 million villa in France, a $12,000 Segway electric scooter and a flight aboard a private jet to Tanzania. During the trial, the prosecution said Mr. Bo had taken $4.4 million in bribes and embezzled money. Mr. Bo countered that he had been unaware of the gifts and payments. The court gave Mr. Bo a small victory. Although it found him culpable for taking bribes worth $3.2 million, it said there was insufficient evidence concerning the air travel, which it said was worth about $218,000. But many Chinese believe that that lavish lifestyle is typical for families of senior officials, not the depraved aberration presented in the state-run news media. And Mr. Bos supporters, who have remained vocal despite censorship, have argued that he is the victim of a political vendetta aimed at thwarting
CHINA, PAGE 3

Twitter has managed to spread news of its initial public offering without revealing much about its plans or finances. The company has come under some criticism for being coy as it takes advantage of a recent law signed by President Obama as a way to create more jobs. PAGE 18

The Tamil National Alliance has swept the first provincial elections in 25 years in Sri Lankas war-torn north. PAGE 3

An attack Sunday following a church service comes amid a wave of violence targeting religious minorities. PAGE 3

Two huge new forces have muscled their way into Egyptian and Iranian politics. The first newcomer is Mother Nature, the second is an emergent and empowered middle class. PAGE 12 After suffering extreme conditions at home, refugees are fleeing Syria and straining its neighbors. There are no simple fixes, but there are steps we can take that might help. PAGE 13
ONLINE

Nicholas D. Kristof

Intimacy with thousands

Improved technology in the webcam business, a kind of digital-era peep show in which models perform live on the Internet while interacting with their viewers, is inverting the usual power dynamic of the pornography industry. PAGE 19
SPORTS

Vettel cruises in Singapore

Sebastian Vettel of Red Bull won by a 32-second cushion on Sunday in the Singapore Grand Prix. Fernando Alonso of Ferrari was second, with Kimi Raikkonen of Lotus third. PAGE 15

TYLER HICKS/THE NEW YORK TIMES

Standoff in Nairobi The police swept a mall on Sunday after a deadly attack by militants who remained inside with an uncertain number of bystanders. PAGE 4
No. 40,600 Books 7 Business 17 Crossword 15 Design 7 Sports 14 Views 12
IN THIS ISSUE

Tensions are growing as more mainstream Jews seek to visit and pray at the Temple Mount in Jerusalem, a sacred site controlled for centuries by Muslims, who call it the Noble Sanctuary. Palestinian leaders say the new activity has created the worst tension in memory around the landmark Al Aksa Mosque and Dome of the Rock. global.nytimes.com/middleeast Since presiding over the trial of Saddam Hussein, Munir Haddad, who as a Shiite and a Kurd was doubly oppressed under that dictatorship, has had an unlikely trajectory in private law, and has gotten rich in the process.
global.nytimes.com/middleeast

Tensions over Temple Mount

Legal niche after Hussein trial

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Online tack for Europe colleges

Massive Online Open Courses, or MOOCs, are catching on in Europe as universities look to cut costs and reach out to a wider audience. PAGE 8

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Keeping secrets

Tamil party wins regional vote

Dozens killed in Pakistan blast

Thomas L. Friedman