September 27, 2002

Federal prosecutors mistakenly turned over 48 classified FBI reports to Zacarias Moussaoui in what Judge Leonie M Brinkema describes as grave security breach; reports were summaries of interviews related to Moussaoui's case and bureau's larger investigation of Al Qaeda terror network; they were retrieved in searches of his jail cell this summer on order of judge after she determined that 'significant national security interests' of US could be at risk; federal prosecutors acknowledge that it was 'dangerous' for summaries to be in possession of Moussaoui, only person charged in American court in Sept 11 terror attacks; mishandling of documents is revealed by Judge Brinkema at request of court appointed lawyers acting on Moussaoui's behalf and over protests of prosecutors, who have not revealed how mistakes were made; Justice Dept officials say matter is subject of internal investigation by FBI (M)

Floyd Norris comment on how top executives at El Paso Corp got rich on fiber optic operation in early 2001 that later collapsed at expense of shareholders; graph (M)

Dresdner Bank AG confirms it is to cut 2,700 to 3,000 jobs as part of new $684 million cost-cutting program; says 1,000 to 1,200 of job cuts will come at bank's troubled investment banking operation Dresdner Kleinworth Wasserstein (S)

Deutsche Borse, which runs Frankfurt stock exchange, will close Neuer Markt--technology-related market this is Germany's answer to Nasdaq--by end of 2003; Deutsche Borse plans to establish two new categories of shares in its place; one category will have much more stringent standards of corporate disclosure than were required by Neuer Markt; reputation of market has been battered by string of bankruptcies and shareholder lawsuits; graph (M)

New York City Councilman Sheldon Leffler of Queens is under investigation for illegal fund-raising during his failed 2001 campaign for Queens Borough President; photo (M)