miércoles, 1 de agosto de 2012

Judges blast Serious Fraud Office for catalogue of blunders in Tchenguiz ... - Daily Mail

By Mark Duell

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The Serious Fraud Office committed a catalogue of errors during its disastrous probe into the Tchenguiz brothers, two leading judges said yesterday.

Their scathing High Court ruling found that the agency had unlawfully obtained search warrants for its investigation of the property magnates.

The agency is bracing itself for a huge damages lawsuit which could run into tens of millions of pounds – possibly dwarfing its annual budget of 32million.

Seeking damages: Vincent Tchenguiz and companion in Camden, north London

Seeking damages: Vincent Tchenguiz and companion in Camden, north London

Property ycoons Robert Tchenguiz, left, and his brother Vincent Tchenguiz before they were arrested last year by the Serious Fraud Office

Property ycoons Robert Tchenguiz, left, and his brother Vincent Tchenguiz before they were arrested last year by the Serious Fraud Office

The judges warned that 'incalculable damage' will be done to markets if proper resources are not made available for future fraud investigations. Last month the SFO began investigating attempts to manipulate the Libor interbank lending rates.

Judges ruled today that Vincent Tchenguiz was unlawfully arrested and searched

Judges ruled today that Vincent Tchenguiz was unlawfully arrested and searched

Oral evidence given by the SFO at the original search warrants hearing was 'unfair and inaccurate' and its tone was 'unjustified', the court found.

The judges said there was a failure to set out the background, a lack of clarity, errors and a failure to put forward the issues against them being granted.

Investigators have been probing the Tchenguizes' dealings with Icelandic bank Kaupthing, which they tapped for large loans shortly before it buckled in 2008.

The brothers were arrested and questioned last March after their offices were searched – but both were released on bail without charge, pending further investigation.

Yesterday Queen's Bench Division president Sir John Thomas and Mr Justice Silber upheld the challenge against the legality of the warrants and sent the case to another court to assess the level of damages.

The ruling piles further pressure on new SFO chief David Green, who dropped the case against Vincent Tchenguiz in June as one of his first jobs in office.

But the SFO last night vowed to press ahead with its probe into brother Robert who, along with his firms, owed Kaupthing 1.6billion when it collapsed.

A Police van outside in central London during the swoop on the two brothers in March 2011

A Police van outside in central London during the swoop on the two brothers in March 2011

A branch of Iceland's Kaupthing Bank, in Reykjavik, which collapsed in 2008. The Serious Fraud Office are investigating its failure.

A branch of Iceland's Kaupthing Bank, in Reykjavik, which collapsed in 2008. The Serious Fraud Office are investigating its failure.

The brothers said the publicity surrounding their arrest and raids has inflicted lasting damage on their reputations and businesses.

In a statement Vincent said he would be seeking compensation.

'The series of concessions made by the SFO following the raids on my home and offices had already shown that the search warrants were flawed,' he added.

'Today's judgment highlights that the orders for those searches, which have caused massive damage to my business and to my reputation, should never have been granted.

'I will be seeking damages from the SFO – and from any other parties who contributed to the court being misled.'

Google Delays Nexus Q Launch In Order to Add New Features - Wired News

Google's Nexus Q won't go on sale in July as previously promised, but the delay is actually a win for would-be fans of the streaming media device.

The team behind Google's first independently engineered and manufactured hardware is delaying the public product launch to add new functionality to the device. But there is a silver lining for those who've already committed to a life with Nexus Q. While Google isn't providing any information on exactly when the hardware will launch, and has also stopped accepting pre-orders, those who've already pre-ordered a Nexus Q from the Google Play store will still be getting their devices in the next few weeks.

What's more, instead of paying $300 for a device that's still in a process of becoming, Google is going to ship Nexus Qs to pre-order customers for free. In essence, Google will be treating all its general-public pre-order customers just like the thousands of developers (and journalists) who received Nexus Q for free at the Google I/O conference. Nice move, Google!

After Nexus Q was revealed at I/O, the hardware itself received much praise, but the general consensus was that the streaming media sphere supports too few services. In its current iteration, it only plays streaming audio tracks from Google Music, and video from Google Play and YouTube. Like our own reviewer, most technology critics gave the Q lackluster marks.

Those who pre-ordered a Nexus Q on Google's Play storefront were notified of the delay via email on Tuesday. The message, with the subject line of "Status of Your Nexus Q Pre-Order," reads:

We have an important update about your Nexus Q pre-order.

When we announced Nexus Q at Google I/O, we gave away devices to attendees for an early preview. The industrial design and hardware were met with great enthusiasm. We also heard initial feedback from users that they want Nexus Q to do even more than it does today. In response, we have decided to postpone the consumer launch of Nexus Q while we work on making it even better.

To thank you for your early interest, we'd like to extend the Nexus Q preview to our pre-order customers and send you a free device. If you had other items in your order, your credit card will be charged for those items only.

Your Nexus Q will be on its way soon and you will receive a notification and tracking number from Google Play when it ships.

The Nexus Q Team

So what features will Google be adding to the Nexus Q? Google declined to comment for now, but told us that the Android team is hard at work adding more functionality.

We, however, have some ideas on what Google should add. Why not load up Nexus Q with a graphical user interface, such as Android or Google TV (which is built on Android), and give the hardware the ability to run Android apps? Right now, the Q's audio functionality is entirely tied into three Google services, and that's way too limiting. Hackers have already shown us that the Nexus Q can handle Netflix just fine, but the $100 Apple TV already does Netflix and Hulu Plus. Allowing the Nexus Q to easily run any Android app could push the gadget beyond these lower-priced set-top boxes.

Adding full Android support would also allow us to play back music via Rdio and Spotify, as well as play games such as Angry Birds, Canabalt and Shadowgun.

Another welcome addition would be the ability to stream audio from Nexus Q to wireless speakers via Bluetooth or AirPlay. While the Nexus Q's wonderful, built-in 25-watt amp paired with a set of $400 speakers is a beautiful sound system for those who can afford it, the orb should be able to stream to a Jambox and other wireless speaker hardware as well.

What would you like to see the Nexus Q do? Sound off in the comments below. Maybe Google's listening.

India suffers world's biggest power outage - ABC Online

ASHLEY HALL: It's been described as the world's biggest power outages.

A massive power failure yesterday in India blacked out more than half the country.

More than 600 million people were left without power.

Hundreds of miners were trapped underground, trains stopped on their tracks, and businesses ground to a halt.

Indians are well used to power outages. There was a similar but smaller blackout on Monday.

But it's causing huge embarrassment for a nation that promotes itself as a powerhouse of economic growth.

Massoud Amin is a professor of electrical engineering at the University of Minnesota, who was a key player in the effort to secure US infrastructure in the aftermath of 9/11.

And he's studied India's power system first-hand.

MASSOUD AMIN: You know, India, given that 25 per cent comes from hydro dams and this year they have had a relatively low rainfall - that may be part of that problem.

The other part is we become interconnected. We connect different regions really to help each other out. When one area is low, the other areas compensate, and as long as we have sufficient high voltage transmission, you can bring power from one region to another.

Except the infrastructure itself is an aging infrastructure with the demand growing in India, with the hi-tech growing in India, economic growth, similar to other parts of the world. Brazil has the same type of situation in the sense of they're upgrading their grid,

China has done it on the Eastern Interconnection. In North America we are facing similar situations, not quite as adverse or as extreme.

And what mix of generation do you incentivise or do you build in order to have a risk managed, long term strategic approach to economic growth enabled by electricity?

ASHLEY HALL: We've identified one of what I think are the three elements there to India's power problems, and that is one around infrastructure. The other one that you touched on before was around coal.

And The New York Times reports at the end of March, there were 32 power plants which had coal stocks described as critical, that's less than seven days supply on hand, and the bill for importing coal is mounting. How sustainable is India's reliance on coal?

MASSOUD AMIN: Fifty-seven per cent of electricity comes from coal. Do you have the rail to actually transport the coal - and India has upgraded its rail system. But there are typically very few mines and sources available.

So this type of infrastructure are typically dependent, highly dependent on, I call it from end to end, from fuel source to the end use, that systems, if you will, this whole system from end to end often doesn't have sufficient shock absorptions in it.

It's a business issue. Ends up being, how do we increase the efficiency without compromising the reliability and security of the system.

ASHLEY HALL: The third element that you've identified is the amount of theft from the grid. I think you described some streets in some cities is like spaghetti junctions with the number of people who were stealing power from the grid.

How big a problem is it and how do you combat that?

MASSOUD AMIN: Losses in transmission distribution in the big wire and in the smaller wires is about 10 per cent losses or at most 15 per cent losses.

India, in some states experience as much as 50 per cent because of theft and because of corruption by employees in the power industry, and some of it is actually individuals that are actually wiring it. That's a source of concern and that can add up to about 50 per cent.

So it makes the operation of the system a challenge.

ASHLEY HALL: Should the national grid be privatised? Would it be more efficient, would it spread more quickly if it was in the hands of private operators?

MASSOUD AMIN: As long as you can have a body that can decide on what's the public good and what level of investment is required, that can be set up as a public/private infrastructure bank and with investments.

Because otherwise we are faced with the - in the west especially - with what we call NIMBY - not in my backyard - or BANANA - build absolutely nothing anywhere near anyone.

And then the cost also - how do you justify a return on investment if there is a cloud of uncertainty as a private venture? Can you invest in infrastructure when you're uncertain with how your infrastructure is going to be managed?

In many developing parts of the world also you invest in an infrastructure in the middle of the night, you leave it, and people come and cut the wires, the copper. In Africa I witnessed that unfortunately.

So it's not as simple as one way I'm swinging the pendulum from the public sector to private sector. I think accountability, transparency and monitoring of the system are absolutely essential.

ASHLEY HALL: The University of Minnesota's professor of electrical engineering, Massoud Amin.

Rebels overrun Aleppo police stations - News24

2012-07-31 15:51

Anadan - Syrian rebels attacked key military targets and overran two police stations in Aleppo, killing 40 officers, a watchdog said, as the pivotal battle for the commercial capital raged on Tuesday.

Clashes between the rebels and loyalists of President Bashar Assad were also reported in the capital Damascus, the eastern city of Deir Ezzor and Daraa in the south, cradle of the more than 16-month uprising.

The Syrian Observatory for Human Rights said Aleppo was on Tuesday rocked by the fiercest fighting of a military offensive on rebels in the city, which came after the government had warned of a looming "mother of all battles".

Rebels used rocket-propelled grenades in pre-dawn attacks on a military court, an air force intelligence headquarters and a branch of the ruling Baath Party in Aleppo, said the Observatory's Rami Abdel Rahman.

Later, "hundreds of rebels attacked the police stations in Salhin and Bab al-Nayrab [neighbourhoods] and at least 40 policemen were killed during the fighting, which lasted for hours," Abdel Rahman said.

The police chief was among those killed at the Salhin station in the south of the city, while three vehicles were destroyed, he added.

Conflicting claims

The attacks came as the UN observer mission said government forces were using helicopters, tanks and artillery to fight the rebels, while appealing for both sides to protect civilians in the city of 2.7 million people.

Through the night, government troops had shelled the neighbourhoods of Salaheddin, Marjeh, Firdoss, Al-Mashhad, Sakhur, Al-Shaar and Ansari, before the army and rebels clashed at dawn in Al-Meesr and Al-Adaa.

A security official in Damascus said on Monday that the army had regained some of Salaheddin but it was facing "a very strong resistance". The rebels, however, denied that the army had advanced even "one metre".

"The fierce fighting in Aleppo shows how crucial this city is for a regime that does not want a Benghazi in Syria," said Abdel Rahman, referring to the coastal city secured by Libyan rebels as a base in their fight to bring down strongman Muammar Gaddafi.

Gunmen from loyalist Arab tribes in Aleppo, including the al-Berri family, had joined the fray and were fighting alongside the army.

"All of this links back to calls by Syrian media and talking heads on some Lebanese satellite stations that loyal Syrian citizens should take up arms and fight with the regime troops," Abdel Rahman added.

Upsurge in violence noted

Rebels on Monday seized the strategic Anadan checkpoint, about 5km northwest of Aleppo, securing a direct route to the Turkish border.

"During the next few hours, the impact of rebel control over this checkpoint will be proven by the amount of supplies brought to Aleppo," said Abdel Rahman.

The fight for Aleppo erupted on Saturday when the regime launched an all-out offensive to overrun rebel-held districts, after massing its forces on the city's outskirts for two days.

United Nations mission chief Lieutenant General Babacar Gaye said he was "deeply concerned about the ongoing violence from both sides in Aleppo".

"My observers there have reported an upsurge in the violence, with helicopters, tanks and artillery being used," the Senegalese general said.

"It is imperative that both sides respect international humanitarian law and protect civilians."

93 killed in a day

UN humanitarian chief Valerie Amos said an estimated 200 000 people had fled from Aleppo in two days and that an unknown number were still trapped in the city.

Many people in Aleppo had sought shelter in schools and other public buildings.

"They urgently need food, mattresses and blankets, hygiene supplies and drinking water," she said.

The Observatory, which reported 93 people killed across Syria on Monday, says it cannot swiftly give an authoritative death toll for the fierce battles in Aleppo.

Elsewhere in Syria, clashes erupted in multiple districts of Deir Ezzor city, including near a police station, while one civilian was killed by sniper fire, the Observatory said.

In the southern province of Daraa, regime troops shelled a camp for displaced persons as the towns of Tafas and Al-Ghariyeh also came under shelling, leaving an unknown number of casualties.

20 000 dead in uprising

Clashes and the sound of explosions were reported at the University of Idlib in the northwestern city.

US President Barack Obama and Turkish Prime Minister Recep Tayyip Erdogan spoke by telephone on Monday "to coordinate efforts to accelerate a political transition in Syria", the White House said.

Obama and Erdogan shared their concerns over the crackdown "and the deteriorating humanitarian conditions throughout Syria as a result of the regime's atrocities".

On Tuesday, Iran's military said it will "not allow the enemy to advance" in its key ally Syria, but that it does not yet see the need to directly intervene in the country.

More than 20 000 people have been killed in Syria since the anti-regime revolt began in March 2011, according to the Observatory. There is no way to independently verify the figure, while the UN has stopped keeping count.

Salmond spends £400k on London visitor centre... but no one turns up! - Daily Mail

By Mario Ledwith

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It was billed by First Minister Alex Salmond as Scotland's London 'embassy', aimed at attracting foreign investment into the country.

But the exclusive Pall Mall club hired by the Scottish National Party for the duration of the Games was largely empty yesterday.

Mr Salmond was widely condemned for spending 400,000 of taxpayers' money hiring the Army and Navy Club – described by critics as a 'vanity project'.

Bare: The exclusive Pall Mall club hired by the Scottish National Party for the duration of the Games was largely empty yesterday

Bare: The exclusive Pall Mall club hired by the Scottish National Party for the duration of the Games was largely empty yesterday

Not popular: Ministers had hoped to create a hive of activity, attracting masses of foreign interest in Scottish industries  but the venues lavish conference suites and hosting rooms were mostly unoccupied

Not popular: Ministers had hoped to create a 'hive of activity', attracting masses of foreign interest in Scottish industries - but the venue's lavish conference suites and hosting rooms were mostly unoccupied

Ministers had hoped to create a 'hive of activity', attracting masses of foreign interest in Scottish industries – but the venue's lavish conference suites and hosting rooms were mostly unoccupied.

The majority of those within the club, grandly renamed Scotland House, were government officials and staff from quangos including VisitScotland and Creative  Scotland, which are funding the venture.

The building, a stone's throw from Buckingham Palace, was ignored by passers-by and most visitors yesterday were from Scotland itself.

They were greeted by a huge portrait of SNP supporter Sir Sean Connery. The image of the James Bond actor appeared in front of a blue background beside the slogan 'Scotland welcomes the world'.

It was joined by other celebrities including golfer Colin Montgomerie and singer Emeli Sande, on backgrounds which replicated the saltire.

Visitors to the lavish building were also given entry to the  Chariots of Fire suite, a wood-panelled bar renamed after the 1981 film following 'Flying Scotsman' Eric Liddell.

One of the Army and Navy Club's other lounges was also renamed The Whisky Bar, serving a range of spirits and beers from Scotland.

Unfortunate: The building, a stones throw from Buckingham Palace, was ignored by passers-by and most visitors yesterday were from Scotland itself

Unfortunate: The building, a stone's throw from Buckingham Palace, was ignored by passers-by and most visitors yesterday were from Scotland itself

The First Minister could have hired space at the Scotland Office's equally luxurious Dover House in the capital for a significantly lower cost.

His decision to open a separate venue in London is believed to be an attempt at distancing himself from Westminster ahead of the forthcoming referendum on Scotland's independence.

But despite being billed as a 'unique opportunity' to promote Scottish culture, visitors to the club appeared uninterested.

Ambitious: The visitor centre was billed by First Minister Alex Salmond as Scotlands London embassy, aimed at attracting foreign investment into the country

Ambitious: The visitor centre was billed by First Minister Alex Salmond as Scotland's London 'embassy', aimed at attracting foreign investment into the country

They were offered miniature national flags and a list of times when Scottish athletes were competing.

But not one person watched Andy Murray defeat Finnish player Jarkko Nieminen in the tennis on two large screens.

Mr Salmond has been ridiculed for encouraging Scots to support 'Scolympians', rather than all members of Team GB.

His sports minister Shona Robison visited the club yesterday evening to promote 'our athletes', a statement seeking to separate Scottish athletes from their team-mates in Team GB.

The Scottish government insists its focus will be on promoting Scotland, despite David Cameron having already announced a programme of events promoting the United Kingdom, including Scotland, during the Games.

Speaking at the opening of Scotland House last Friday, Mr Salmond said: 'This is a little bit of England that will be forever Scotland.'

The cost of the venue will be shared between the Scottish government and five of its quangos – VisitScotland, EventScotland, Scottish Enterprise, Creative Scotland and sportScotland.

A Scottish government spokesman said last night: 'The venue is the best base to present Scotland's interests to a worldwide audience.

'Guests have been using Scotland House day and night and tonight over 200 people are in Scotland House for a range of events to promote the best of Scotland.'

Badminton racket: teams charged ... for allegedly trying to lose - Sydney Morning Herald

China's Wang Xiaoli, right. and Yu Yang

Controversy ... China's Wang Xiaoli, right. and Yu Yang Photo: Reuters

Eight female Olympic badminton players have been charged by their federation after two extraordinary women's doubles matches in which the pairs appeared to fight hard ... to lose.

The World Badminton Federation (BWF) said in a statement that "the pairs have been charged ... with 'not using one's best efforts to win a match' and 'conducting oneself in a manner that is clearly abusive or detrimental to the sport'," Reuters reported.

I can understand the motives but that they have the guts to actually stand in a crowded hall and put such shame in the game - it's such a bad image for badminton 

A BWF official said after the matches this morning that the behaviour of the players - which included the competition's top seeds - was "not in a good spirit" and embarrassing.

South Korea's Jung Kyung-eun and Kim Ha-na.

South Korea's Jung Kyung-eun and Kim Ha-na. Photo: Reuters

The players could be disciplined for their actions, but it was not specified what sanctions might be imposed on them.

'The Chinese started this'

The head coach of South Korea, Sung Han-kook, admited his doubles players threw the games, but only after the Chinese tried started playing to lose.

"The Chinese started this. They did it first," Reuters quoted Sung as saying. "It's a complicated thing with the draws. They didn't want to meet each other in the semi-final. So we did the same. We didn't want to play the South Korean team again [in the knockout stages]."

In the match, the two teams - Chinese top seeds Wang Xiaoli and Yu Yang, and South Koreans Jung Kyung-eun and Kim Ha-na - were booed off the court after the Group A clash which saw them regularly serving into the net or hitting shuttlecocks wide on purpose, media reports said.

At one point, match referee Torsten Berg had to go out on to the court to warn the players, the reports added.

Both pairs already qualified for the last 16 and the alleged attempts to lose could be a way to alter their final standings in Group A and obtain a favourable draw for the knock-out rounds. The Chinese eventually lost the 23-minute match 14-21, 11-21, meaning they would not have to play their compatriots Tian Qing and Zhao Yunlei - the second seeds - until the final.

Tian and Zhao had earlier lost to Kamilla Rytter Juhl and Christinna Pedersen from Denmark.

Same tactics, different match?

But the Chinese-Korean match was not the only one mired with controversy. In a later match, the third seeds, South Koreans Ha Jung-eun and Kim Min-jung, and Indonesians Meiliana Jauhari and Greysia Polii, also appeared to be trying to lose.

Mr Berg pulled out a black card during the game - meaning disqualification - but it was rescinded after protests from the Indonesians.

London's Daily Telegraph quoted China's Yu as saying after the match: "Actually these opponents really were strong. This is the first time we've played them and tomorrow it's the knockout rounds, so we've already qualified and we wanted to have more energy for the knockout rounds.

"Really, it's not necessary to go out hard again when the knockout rounds are tomorrow."

Paisan Rangsikitpho, a Badminton World Federation's technical committee member, told Reuters earlier his governing body would "have a real discussion tonight to see what has happened".

"If it's true what I hear, this is a shame and I don't like it. And I'm not going to accept anything that I don't like at all. It's not in a good spirit," he said. "It is [embarrassing] at the Games. I apologise to the public, I apologise for everyone and I am not happy. If we have to stay up all night, we will have a serious meeting."

'Such a bad image for badminton'

The chaos sparked a series of finger-pointing among athletes and coaches. Bulgarian singles player Alesia Zaitsave said China "do what they want". "They did so many times last year, they did not play between each other like 20 matches," he said.

German singles player Marc Zwiebler said South Korea manipulated matches in the 2008 Thomas Cup.

"Against England they wanted to get second in their group so all the doubles players played singles and the singles players played doubles and they were just laughing on the court and let England win," Mr Zwiebler said.

"England finished top of the group and had to play a stronger team."

He added: "If it was the case they wanted to purposely lose, then it's a big shame ... it's absolutely stupid and shameful sport.

"I can understand the motives but that they have the guts to actually stand in a crowded hall and put such shame in the game - it's such a bad image for badminton."

In China, some netizens criticised the players on the Chinese version of Twitter, Weibo, saying they should be thrown out of the Olympics.

But others defended them, saying that the Games were not just about athletic prowess. "It's also about whether you can use your wits," one user wrote.

with Reuters

 

As a Teenage Chinese Swimmer Strikes Double Gold, Doping Allegations Swirl - TIME

Now the real uproar will begin. On July 28, Ye Shiwen, a 16-year-old Chinese swimmer, shattered the world record in the 400-m individual medley by more than one second, the equivalent of an eon in an event where victories are usually measured in the briefest of intervals. Her blazing time was five seconds faster than her personal best. Then, three days later, on Tuesday night, Ye claimed gold in the 200-m individual medley, with a time of 2 min. 07.57 sec., an Olympic record.

So, the big question is: Did China's sensational double-gold medalist dope?

At the victory ceremony on July 31, the timid teenager looked more overwhelmed than overjoyed as China's March of the Volunteers played in the Aquatics Centre. Perhaps the sheltered swimmer knew what was to come. Later that evening, at a packed press conference, Ye reiterated that she had never doped, barely cracking a smile even though she had won gold less than two hours earlier. Nearly all the questions during the 20-minute press conference danced around the drug question. "I think it's unfair," she said, after a series of brief answers to pointed questions. "I feel like it's a prejudice [against China]. Other people from other countries have won multiple gold medals, but they are not questioned."

(MORE: Doping Suspicions About Gold-Medal Swimmer Trigger Angry Response in China)

Ye has never failed a drug test, and Chinese supporters grumbled about the drug suspicions swirling around the young swimmer. "We never questioned Michael Phelps when he bagged eight gold medals in Beijing," said Jiang Zhixue, a Chinese antidoping official, according to China's state-run Xinhua news agency. "I think it is not proper to single out Chinese swimmers once they produce good results." Ye's father, Ye Qingsong, was quoted by China's Tencent website, defending his daughter. "I saw a lot of Western media expressing their doubts about her, but Western media have always been very arrogant," he said. "They always doubt the Chinese people. The best answer is data, tests. The Chinese national swimming team has always been given 'special' care internationally. I remember sometimes they have to do six or seven tests. So I think as long as there is data and there are tests, we don't need to say anything more."

But China's history is not inspiring when it comes to swimming and drugs. In the 1990s, the country's swimmers came out of nowhere to break world records and grab golds. Just as predictably, the drug busts followed. In one particularly telling incident, Chinese swimmers captured 12 gold medals at the 1994 Asian Games. But a surprise drug test then caught seven of those Chinese swimmers. At the 1998 world championships, a Chinese swimmer was stopped at an Australian airport carrying vials of human growth hormone.

Past cheaters are held to a higher standard, as Ye's father alluded. That's fair. But there's also no question that China has tried to clean up its act in the pool. Chinese swimmers have not been caught doping at a high-profile international competition in years. At the Beijing Olympics four years ago, the country's swimmers passed all drug tests. Now that it's a sporting powerhouse that captured the most gold medals of any nation at the Beijing Games, China must fear losing face by having any of its victories questioned. The antidoping campaign is so rigid in China that national-team athletes are forbidden to eat outside of official canteens. Why? Because Chinese meat is so tainted with additives like clenbuterol that athletes could test positive simply by chowing on stir-fried pork.

(PHOTOS: Olympic Highlights in Photographs)

A steady stream of Chinese athletes have gotten caught in domestically administered drug tests. Even though the central government seems committed to combating doping, it's another story on the provincial level where local sports budgets depend on the performances of athletes during the hotly contested National Games. Each major domestic contest seems to bring another embarrassing drug bust; out-of-competition positives aren't uncommon either. In March, another 16-year-old female swimmer, Li Zhesi, was busted for EPO, a blood-boosting agent. Li was part of a 4×100-m medley relay that won at the 2009 world championship and had been expected by some to compete in London.

Ye's performance in London has been characterized in the West as a come-from-nowhere stunner. But that's not accurate. At the Asian Games in 2010, she racked up the second fastest times of the year in the 200-m and 400-m individual medleys. In the world championships last year, Ye glided past the then world-record holder Ariana Kukors of the U.S., to claim first place in the 200-m individual medley.

She's also at the age when the best swimmers commonly make huge breakthroughs. Ian Thorpe, for instance, also shaved five seconds off his personal best around the same age. Janet Evans, the American swimmer, was 17 years old at the 1988 Olympics when she won triple gold and broke a world record.

That didn't stop U.S. coach John Leonard from casting doubts on Ye's performance. But others rallied to her defense — or at least cautioned against pronouncing her guilty with no evidence. London 2012 organizer Sebastian Coe told ITV News that it would be "very unfair to judge an athlete by a sudden breakthrough."

In 2002, China began pouring resources into its swimming program, through the high-profile Project 119, which targeted medals in Olympic sports in which China had yet to dominate. Those events included track and field, rowing, and swimming. Money was lavished on these disciplines. The nation's thousands of state-sponsored sports academies focused their efforts on cultivating talent in disciplines beyond traditional Chinese mainstays, such as diving and table tennis. The effort began to pay off at the Beijing Games, when a nearly unknown 19-year-old Chinese swimmer named Liu Zige captured gold in the 200-m butterfly with a world-record-breaking performance. In 2011, China clocked six of the fastest results of the year in various swimming races.

(MORE: China's Gold Standard)

Then came the medal rush in London. The same night that Ye won her gold on Tuesday, the Chinese men captured bronze in the 4×200-m freestyle relay. Three nights before, Sun Yang became the first Chinese man to win gold in the pool, when he powered to a new Olympic record in the 400-m freestyle. He also won a silver in the 200-m freestyle on Monday.

Ye, who was picked for swimming when her kindergarten teacher noticed her large hands and feet, is part of this new generation of Project 119 swimmers. Her parents were happy to have her pursue the sport. They liked to go boating on the lake in Hangzhou, the pleasant eastern Chinese city where Ye grew up, and knowing how to swim would keep their daughter safe.

It's possible that China's swimmers could be amped up on some agent for which there is no test available yet. After all, antidoping efforts are often one — or 10 —  steps behind scientific advances. But if that's the case, then it's also conceivable that swimmers from other nations are drugging too. Doping is hardly the unique domain of Chinese athletes. The list of Western Olympians who eventually have been caught doping — Marion Jones, Michelle Smith, a brace of American cyclists, to name just a few — is long.

But here's the difference: Western athletes make an individual choice to subject their bodies to the dangers of performance-enhancing agents. In sports systems like those of China or East Germany, the decision to dope is made by the state. Athletes sometimes have no idea that the supplements they thought were simply herbs or vitamins are illegal substances. Take the case of Zou Chunlan, a former weight-lifting national champion. During her years as a lifter in the 1980s and '90s, Zou was given mysterious pills that, it turned out, flooded her system with male hormones. She grew a beard. Today, she is unable to bear children. She told Chinese media she had no idea what it was she was taking at the coaches' behest. "Everything is for the gold medals," she told TIME, of the Chinese sports system. "I think that's still the same today."

(PHOTOS: The Gold Standard: James Nachtwey Photographs China's Female Weight Lifters)

And here's one last anecdote that, in its very ambiguity, proves the difficulties the Chinese sports system faces in earning the world's trust. In June, when I was reporting a story on China's national weight-lifting team, I asked the head coach whom I should focus on as a future Olympian. Immediately, he suggested Tian Yuan, a 19-year-old lifter in the 48-kg weight class. The advice seemed sound. Tian had recently broken the world record by more than 5 kg. But I couldn't help but notice that she looked different from all her teammates. While they — even the ones in the larger weight classes — looked feminine, with body curves and rounded faces, Tian had a cut jaw and a high hairline. Her hands, with their prominent knuckles and veins, looked like miniature versions of men's hands. Most noticeable was her voice, a raspy timber that had she called me on the phone I would have mistaken for a man's.

Tian never made it to the Olympics. The July morning when China's Olympic weight-lifting roster was announced, her name was there. But the early evening brought a dramatic announcement. The world-record holder had been booted from the team. On Sina Weibo, China's version of Twitter, Tian released an anguished note: "I feel very shocked. I don't know what the reason is … I passed all antidoping tests. I am perfectly fine. I don't understand why I can't take part in the Olympics. I feel very sad." Shortly after the decision, national team coach Xu Jingfa said by telephone that the last-minute change was due to complicated provincial politics. The next morning, a national weight-lifting press official told TIME that Tian was injured and that was why she wasn't going to London. But a later call to her coach resulted in contradictory information. Tian wasn't in the least bit injured, he said.

I have no proof that Tian was doping. There are women who look more manly, like Caster Semenya of South Africa, who, after months out of competition because of a controversy over her sex, was cleared for the London Olympics. Chinese journalists have found childhood photographs of Tian, and she certainly looked more feminine then than she does now. Whatever the truth, the Chinese Internet public has speculated widely that drugs were at the root of Tian's last-minute cut from the Olympic team.

In some ways, you could argue that the Chinese system prevailed, that if she was doping, the country's sports officials were making sure she wouldn't participate in London. But the other lesson to draw from Tian's case is that opacity still cloaks Chinese sports. And until those shadows are cast away, people, unfairly or not, are going to ask questions. If 16-year-old swimmer Ye is clean, it's tragic that her moment of victory has been fouled by the taint of drugs. But the very Chinese system that made this remarkable young swimmer also laid the ground for doping allegations to flourish. Let the debate rage on.

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