Aaron Swartz, co-founder of Reddit and online activist, dies









NEW YORK—





A co-founder of Reddit and activist who fought to make online content free to the public has been found dead, authorities confirmed Saturday, prompting an outpouring of grief from prominent voices on the intersection of free speech and the Web.

Aaron Swartz, 26, hanged himself in his Brooklyn apartment weeks before he was to go on trial on accusations that he stole millions of journal articles from an electronic archive in an attempt to make them freely available.

He was pronounced dead Friday evening at home in Brooklyn's Crown Heights neighborhood, said Ellen Borakove, spokeswoman for New York's chief medical examiner.

Swartz was a prodigy who as a young teenager helped create RSS, a family of Web feed formats used to gather updates from blogs, news headlines, audio and video for users. He later co-founded the social news website Reddit, which was later sold to Conde Nast, as well as the political action group Demand Progress, which campaigns against Internet censorship.

In 2011, he was arrested in Boston and charged with stealing millions of articles from a computer archive at the Massachusetts Institute of Technology, Prosecutors said he broke into a computer wiring closet on campus and used his laptop for the downloads.

Swartz pleaded not guilty to charges including wire fraud. His federal trial was to begin next month. If convicted, he faced decades in prison and a fortune in fines.

Some legal experts considered the case unfounded, saying that MIT allows guests access to the articles and Swartz, a fellow at Harvard's Safra Center for Ethics, was a guest.

According to a federal indictment, Swartz stole the documents from JSTOR, a subscription service used by MIT that offers digitized copies of articles from academic journals. Prosecutors said he intended to distribute the articles on file-sharing websites.

He faced 13 felony charges, including breaching site terms and intending to share downloaded files through peer-to-peer networks, computer fraud, wire fraud, obtaining information from a protected computer, and criminal forfeiture.

JSTOR did not press charges once it reclaimed the articles from Swartz.

The prosecution "makes no sense," Demand Progress Executive Director David Segar said in a statement at the time. "It's like trying to put someone in jail for allegedly checking too many books out of the library."

Criticizing the government's actions in the pending prosecution, Harvard law professor and Safra Center faculty director Lawrence Lessig called himself a friend of Swartz's and wrote Saturday that "we need a better sense of justice. ... The question this government needs to answer is why it was so necessary that Aaron Swartz be labeled a 'felon.'"

Among Internet gurus, Swartz was considered a pioneer of efforts to make online information freely available.

"Playing Mozart's Requiem in honor of a brave and brilliant man," tweeted Carl Malamud, an Internet public domain advocate who believes in free access to legally obtained files.

Swartz aided Malamud's effort to post federal court documents for free online, rather than the few cents per page that the government charges through its electronic archive, PACER. In 2008, The New York Times reported, Swartz wrote a program to legally download the files using free access via public libraries. About 20 percent of all the court papers were made available until the government shut down the library access.



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Aaron Swartz, Coder and Activist, Dead at 26



We often say, upon the passing of a friend or loved one, that the world is a poorer place for the loss. But with the untimely death of programmer and activist Aaron Swartz, this isn’t just a sentiment; it’s literally true. Worthy, important causes will surface without a champion equal to their measure. Technological problems will go unsolved, or be solved a little less brilliantly than they might have been. And that’s just what we know. The world is robbed of a half-century of all the things we can’t even imagine Aaron would have accomplished with the remainder of his life.


Aaron Swartz committed suicide Friday in New York. He was 26 years old.


When he was a 14 years old, Aaron helped develop the RSS standard; he went on to found Infogami, which became part of Reddit. But more than anything Aaron was a coder with a conscience: a tireless and talented hacker who poured his energy into issues like network neutrality, copyright reform and information freedom.  Among countless causes, he worked with Larry Lessig at the launch of the Creative Commons, architected the Internet Archive’s free public catalog of books, OpenLibrary.org, and in 2010 founded Demand Progress, a non-profit group that helped drive successful grassroots opposition to SOPA last year.


“Aaron was steadfast in his dedication to building a better and open world,” writes Internet Archive founder Brewster Kahle. “He is among the best spirits of the Internet generation. I am crushed by his loss, but will continue to be enlightened by his work and dedication.”


In 2006 Aaron was part of a small team that sold Reddit to Condé Nast , Wired’s parent company. For a few months he worked in our office here in San Francisco.  I knew Aaron then and since, and I liked him a lot — honestly, I loved him. He was funny, smart, sweet and selfless. In the vanishingly small community of socially and politically active coders, Aaron stood out not just for his talent and passion, but for floating above infighting and reputational cannibalism.  His death is a tragedy.


I don’t know why he killed himself, but Aaron has written openly about suffering from depression. It couldn’t have helped that he faced a looming federal criminal trial in Boston on hacking and fraud charges, over a headstrong stunt in which he arranged to download millions of academic articles from the JSTOR subscription database for free from September 2010 to January 2011, with plans to release them to the public.


JSTOR provides searchable, digitized copies of academic journals online. MIT had a subscription to the database, so Aaron brought a laptop onto MIT’s campus, plugged it into the student network and ran a script called keepgrabbing.py that aggressively — and at times disruptively — downloaded one article after another. When MIT tried to block the downloads, a cat-and-mouse game ensued, culminating in Swartz entering a networking closet on the campus, secretly wiring up an Acer laptop to the network, and leaving it there hidden under a box. A member of MIT’s tech staff discovered it, and Aaron was arrested by campus police when he returned to pick up the machine.


The JSTOR hack was not Aaron’s first experiment in liberating costly public documents. In 2008, the federal court system briefly allowed free access to its court records system, Pacer, which normally charged the public eight cents per page. The free access was only available from computers at 17 libraries across the country, so Aaron went to one of them and installed a small PERL script he had written that cycled sequentially through case numbers, requesting a new document from Pacer every three seconds, and uploading it to the cloud. Aaron pulled nearly 20 million pages of public court documents, which are now available for free on the Internet Archive.


The FBI investigated that hack, but in the end no charges were filed. Aaron wasn’t so lucky with the JSTOR matter. The case was picked up by Assistant U.S. Attorney Steve Heymann in Boston, the cybercrime prosecutor who won a record 20-year prison stretch for TJX hacker Albert Gonzalez. Heymann indicted Aaron on 13 counts of wire fraud, computer intrusion and reckless damage. The case has been wending through pre-trial motions for 18 months, and was set for jury trial on April 1.


Larry Lessig, who worked closely with Aaron for years, disapproves of Aaron’s JSTOR hack. But in the painful aftermath of Aaron’s suicide, Lessig faults the government for pursuing Aaron with such vigor. “[Aaron] is gone today, driven to the edge by what a decent society would only call bullying,” Lessig writes. “I get wrong. But I also get proportionality. And if you don’t get both, you don’t deserve to have the power of the United States government behind you.”



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Mike Tyson to punch up “Law & Order: SVU” with guest appearance






LOS ANGELES (TheWrap.com) – Mike Tyson is stepping into the ring with “Law & Order: SVU.”


The former boxing champ will guest-star on the NBC procedural drama next month, a spokeswoman for the network told TheWrap on Friday.






Tyson will play Reggie Rhodes, a murderer on death row who was victimized by a difficult childhood.


The episode is currently scheduled to air on February 13, just in time for Valentine’s Day.


Tyson has acted before, though he’s primarily played himself, perhaps most notably in “The Hangover” series of movies. (He’s also played onetime presidential candidate Herman Cain in a pair of short films.)


The role likely won’t be particularly challenging for Tyson, as he’s also spent time behind bars before, serving three years in prison for rape.


TV News Headlines – Yahoo! News





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‘Bodega Clinicas’ Draw Interest of Health Officials


HUNTINGTON PARK, Calif. — The “bodega clinicas” that line the bustling commercial streets of immigrant neighborhoods around Los Angeles are wedged between money order kiosks and pawnshops. These storefront offices, staffed with Spanish-speaking medical providers, treat ailments for cash: a doctor’s visit is $20 to $40; a cardiology exam is $120; and at one bustling clinic, a colonoscopy is advertised on an erasable board for $700.


County health officials describe the clinics as a parallel health care system, serving a vast number of uninsured Latino residents. Yet they say they have little understanding of who owns and operates them, how they are regulated and what quality of medical care they provide. Few of these low-rent corner clinics accept private insurance or participate in Medicaid managed care plans.


“Someone has to figure out if there’s a basic level of competence,” said Dr. Patrick Dowling, the chairman of the family medicine department at the David Geffen School of Medicine at the University of California, Los Angeles.


Not that researchers have not tried. Dr. Dowling, for one, has canvassed the clinics for years to document physician shortages as part of his research for the state. What he and others found was that the owners were reluctant to answer questions. Indeed, multiple attempts in recent weeks to interview owners and employees at a half-dozen of the clinics in Southern California proved fruitless.


What is certain, however, is that despite their name, many of these clinics are actually private doctor’s offices, not licensed clinics, which are required to report regularly to federal and state oversight bodies.


It is a distinction that deeply concerns Kimberly Wyard, the chief executive of the Northeast Valley Health Corporation, a nonprofit group that runs 13 accredited health clinics for low-income Southern Californians. “They are off the radar screen,” said Ms. Wyard of the bodega clinicas, “and it’s unclear what they’re doing.”


But with deadlines set by the federal Affordable Care Act quickly approaching, health officials in Los Angeles are vexed over whether to embrace the clinics and bring them — selectively and gingerly — into the network of tightly regulated public and nonprofit health centers that are driven more by mission than by profit to serve the uninsured.


Health officials see in the clinics an opportunity to fill persistent and profound gaps in the county’s strained safety net, including a chronic shortage of primary care physicians. By January 2014, up to two million uninsured Angelenos will need to enroll in Medicaid or buy insurance and find primary care.


And the clinics, public health officials point out, are already well established in the county’s poorest neighborhoods, where they are meeting the needs of Spanish-speaking residents. The clinics also could continue to serve a market that the Affordable Care Act does not touch: illegal immigrants who are prohibited from getting health insurance under the law.


Dr. Mark Ghaly, the deputy director of community health for the Los Angeles County Department of Health Services, said bodega clinicas — a term he seems to have coined — that agree to some scrutiny could be a good way of addressing the physician shortage in those neighborhoods.


“Where are we going to find those providers?” he said. “One logical place to consider looking is these clinics.”


Los Angeles is not the only city with a sizable Latino population where the clinics have become a part of the streetscape. Health care providers in Phoenix and Miami say there are clinics in many Latino neighborhoods.


But their presence in parts of the Los Angeles area can be striking, with dozens in certain areas. Visits to more than two dozen clinics in South Los Angeles and the San Fernando Valley found Latino women in brightly colored scrubs handing out cards and coupons that promised a range of services like pregnancy tests and endoscopies. Others advertised evening and weekend hours, and some were open around the clock.


Such all-hours access and upfront pricing are critical, Latino health experts say, to a population that often works around the clock for low wages.


Also important, officials say, is that new immigrants from Mexico and Central America are more accustomed to corner clinics, which are common in their home countries, than to the sprawling medical complexes or large community health centers found in the United States. And they can get the kind of medical treatments — including injections of hypertension drugs, intravenous vitamins and liberally dispensed antibiotics — that are frowned upon in traditional American medicine.


The waiting rooms at the clinics reflected the everyday maladies of peoples’ lives: a glassy-eyed child resting listlessly on his mother’s lap, a fit-looking young woman waiting with a bag of ice on her wrist, a pensive middle-aged man in work boots staring straight ahead.


For many ordinary complaints, the medical care at these clinics may be suitable, county health officials and medical experts say. But they say problems arise when an illness exceeds the boundaries of a physician’s skills or the patient’s ability to pay cash.


Dr. Raul Joaquin Bendana, who has been practicing general medicine in South Los Angeles for more than 20 years, said the clinics would refer patients to him when, for example, they had uncontrolled diabetes. “They refer to me because they don’t know how to handle the situation,” he said.


The clinic physicians by and large appear to have current medical licenses, a sample showed, but experts say they are unlikely to be board certified or have admitting privileges at area hospitals. That can mean that some clinics try to treat patients who face serious illness.


Olivia Cardenas, 40, a restaurant worker who lives in Woodland Hills, Calif., got a free Pap smear at a clinic that advertises “especialistas,” including in gynecology. The test came back abnormal, and the doctor told Ms. Cardenas that she had cervical cancer. “Come back in a week with $5,000 in cash, and I’ll operate on you,” Ms. Cardenas said the doctor told her. “Otherwise you could die.”


She declined to pay the $5,000. Instead, a family friend helped her apply for Medicaid, and she went to a hospital. The diagnosis, it turned out, was correct.


Health care experts say the clinics’ medical practices would come under greater scrutiny if they were brought closer into the fold.


But being connected would mean the clinics’ cash-only business model would need to change. Dr. Dowling said the lure of newly insured patients in 2014 might draw them in. “To the extent there are payments available,” he said, “the legitimate ones might step up to the plate.”


This article was produced in collaboration with Kaiser Health News, an editorially independent program of the Kaiser Family Foundation.



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Fourth Quarter


Essay



Selling Out by Selling Off




When all other moneymaking ideas fail, you can always try selling your worldly possessions. But even that can run into a wall.



Off the Shelf



Strategic Advice, Long Before You Invest




Two new books — “Plan Your Prosperity” and “Diary of a Hedgehog” — offer ideas to consider long before you invest in any market.


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Obama moves up deadline for Afghans to take lead security role









WASHINGTON -- President Obama on Friday said he is moving up the deadline for Afghan forces to take the lead in securing their own country, a decision that could speed the withdrawal of U.S. forces in the coming months.


After a meeting with Afghan President Hamid Karzai at the White House, Obama said American troops would turn over the responsibility this spring rather than in the middle of 2013, the previous target.


“What’s going to happen this spring is that Afghans will be in the lead throughout the country,” Obama said at a joint news conference with Karzai. “That doesn’t mean that coalition forces, including U.S. forces, are no longer fighting. They will still be fighting alongside Afghan troops ... in a training, assisting, advising role.”





Obama said he hasn’t “fully determined” what that means in terms of the pace of drawdown, but that he will make that decision after consultations with commanders on the ground. Obama has vowed to withdraw nearly all of the 66,000 U.S. troops in the country by the end of 2014.


Obama and Karzai spent much of the day of meetings and a working lunch discussing the strategy and role of a residual U.S. force after that date. Obama was not willing to discuss publicly the specific numbers of troops that may be left, although he described the post-2014 mission as “very limited” and focused on training and counter terrorism missions.


Standing next to his Afghan counterpart, Obama did not mince words regarding the conditions under which troops will remain in Afghanistan after 2014. They must have immunity from prosecution for doing their jobs, he said, drawing a clear line on an issue that is expected to be a sticking point in the final negotiations between the two countries.


Based on the progress toward their agreement, Karzai told the president that he would advocate for that immunity, aides to the Obama said.


The leaders indicated that other progress had been made in the meeting. They touted an agreement to open an office in Qatar as an incentive to the Taliban to restart peace negotiations that broke off last spring.


Obama repeated his vow to end -- swiftly and responsibly -- the war whose ending will likely be central to his foreign policy legacy.  As he provided assurances that the U.S. has achieved or has “come very close to achieving” the chief goal of upending the Al Qaeda operations in Afghanistan, Obama also acknowledged how the hopes for a post-war Afghanistan have fallen.


“Have we achieved everything that some might have imagined us achieving in the best of scenarios? Probably not. You know, this is a human enterprise, and, you know, you fall short of the ideal,” Obama said, reflecting on the success of the overall mission.


Kathleen.hennessey@latimes.com


Twitter:@khennessey


Christi.parsons@latimes.com


Twitter: @cparsons





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Doomed Spacecraft Captures Awesome Close-Up Video of Moon











Three days before the moon-orbiting Ebb spacecraft collided with a lunar mountain, its on-board cameras captured some striking images of the pockmarked moon’s northern hemisphere — from just six miles up. On Jan. 10, NASA released what look like scenes from a science fiction movie: two probe’s-eye views of the lunar farside, made from Ebb’s stitched-together images.


The clips are played six times faster than the spacecraft’s flyover actually occurred. The first was shot by the forward-facing MoonKAM, and the second was taken by a rear-facing camera.


Ebb was one of the twin GRAIL spacecraft tasked with mapping the moon’s gravity field — a successful mission that came to an end in December. The images used to create this flyover video were shot on Dec. 14 as the washing machine-size probes began final preparations for the mission’s planned end. On Dec. 17, the twins crashed into a mountainous crater rim near the lunar north pole, a site which is now named after astronaut Sally Ride.


Video: NASA/JPL-Caltech/MIT/SRS


Homepage Photo: Nasa






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ABC’s “Zero Hour” Will Conclude Conspiracies After Each Season






LOS ANGELES (TheWrap.com) – Paul Scheuring, the executive producer of ABC’s “Zero Hour,” says the conspiracy driving the new ABC drama will “100 percent” wrap up at the end of its first season.


Premeiring February 14, the show follows Anthony Edwards (“ER”) as the publisher of a magazine that investigates conspiracy theories. But after his wife (Jacinda Barrett) is abducted from her antique clock shop, Edwards’ character is pulled into one of the most compelling mysteries in human history. We don’t know exactly what that mystery is yet, but it involves clocks and Nazis.






Despite the massive scale of the tale, which stretches across the globe and back in time several centuries, season one’s storyline won’t be stretched across future seasons — a practice that Scheuring says leads to writers “flapping” their wings.


“One of the things I learned from ‘Prison Break’ and making a serialized show is that if you’re a single conceived show, like ‘Prison Break’ or ‘Lost,’” he said Thursday at the Television Critics Association winter press tour. “Sooner or later you start flapping your wings because a story needs to end.”


So instead of trying to “stretch, stretch, stretch, stretch” the narrative, Scheuring modeled the series like “24.”


“It’s like the ’24′ model where you reset every year,” he continued. “This entire Nazi conspiracy thing will be done by episode 13 this year.”


But just like Jack Bauer’s addiction to danger in “24,” the characters in “Zero Hour” will dive into another conspiracy if they’re lucky enough to return for a second season.


“We have a group of investigators, headed by Anthony, at the magazine which can then apply those skills to the next investigation,” Scheuring concluded.


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Personal Health: Keeping Firearms Away From Children

I doubt that our forebears who ratified the Second Amendment in 1791 ever imagined how carelessly and callously firearms would be used centuries later. Witness the senseless slaughter of 20 innocent children and 6 adults last month in Newtown, Conn. As a mother of two and grandmother of four, I can’t imagine a more painful loss.

If you are as concerned as I am about the safety of your children and grandchildren, consider that it may be time for a grass-roots movement, comparable to Mothers Against Drunk Driving, to help break the stranglehold the National Rifle Association seems to have on our elected officials. Do you really want, as the association proposed, an armed guard in every school?

The Connecticut massacre occurred just two months after the American Academy of Pediatrics issued a new policy statement on firearm-related injuries to children. Murder and accidental shootings were not the academy’s only concerns. “Suicides among the young are typically impulsive,” the statement noted, “and easy access to lethal weapons largely determines outcome.”

In an article published online last month in The New England Journal of Medicine, Dr. Judith S. Palfrey, a pediatrician at Boston Children’s Hospital, and her husband, Dr. Sean Palfrey, also a pediatrician in Boston, highlighted the shocking statistics.

Every day in the United States, 18 children and young adults between the ages of 1 and 24 die from gun-related injuries. That makes guns the second leading cause of death in young people — twice the number of deaths from cancer, five times the deaths from heart disease and 15 times the deaths from infections.

Dr. Judith S. Palfrey has seen this heartbreak up close. “My niece, who was sad about something, might be alive today if she hadn’t had such easy access to a handgun at age 18,” she told me.

The United States has the dubious distinction of leading high-income countries in firearm homicides, suicides and unintentional deaths among young people. Among American children ages 5 to 14, an international study showed that firearm suicide rates were six times higher, and death rates from unintentional firearm injuries 10 times higher, than in other high-income countries.

Innocent Victims

The Palfreys said they were haunted by the death of one of their patients, a 12-year-old boy who went on an errand for his mother and was caught in the cross-fire of a gun battle. The boy had shortly before written a letter to his mother expressing his desire to become a doctor.

And Dr. Sean Palfrey recalls “with horror” picking up a loaded .22-caliber rifle, at age 11 or 12, and threatening his baby sitter with it. “This scared the hell out of me and remains seared in my memory. I could have killed this person.”

In explaining why he had a gun, he said, “I’m a great-grandson of Theodore Roosevelt, who was a hunter as well as a naturalist, and when I grew up guns were an acceptable part of youth. I took target practice and was an N.R.A. member myself as a child. We had guns for hunting, not automatic weapons that can shoot hundreds of rounds within seconds.”

Now, he said, “I do all my shooting with a camera. This is not the same world it was when the Second Amendment was written. Guns have to be removed so that they can’t be accessed by those who are immature, impulsive or mentally ill.”

In their article, the Palfreys pointed out that “little children explore their worlds without understanding danger, and in one unsupervised moment, an encounter with a gun can end in fatality.” School-age children who see guns used on television, in movies or video games “don’t necessarily understand that people who are really shot may really die,” they said.

Among teenagers, who may fight over girlfriends or sneakers, or have their judgment impaired by drugs or alcohol, “a fistfight may cause transient injuries, but a gunfight can kill rivals, friends, or innocent bystanders,” the pediatricians wrote. Among depressed adolescents, they said, “less than 5 percent of suicide attempts involving drugs are lethal, but 90 percent of those involving guns are.”

Preventing Access

In a 2006 study of gun-owning Americans with children under age 18, 21.7 percent stored a gun loaded, 31.5 percent stored one unlocked, and 8.3 percent stored at least one gun unlocked and loaded. And in households with adolescents ages 13 to 17, firearms were left unlocked 41.7 percent of the time.

These are accidents, or worse, waiting to happen, and the pediatrics academy reiterated its earlier recommendations that pediatricians talk to parents about guns in the home and their safe storage, and follow up by distributing cable locks.

To limit unauthorized access to guns, the academy recommended the use of trigger locks, lockboxes, personalized safety mechanisms, and trigger pressures that are too high for young children.

Still, the academy emphasized, “the safest home for a child or adolescent is one without firearms.”

The Palfreys said that when one of their colleagues asked a mother about guns in her home, she responded, “Why, yes, I have a loaded gun in the drawer of my bedside table.” It was only then the woman realized that this could be a danger to her child, Dr. Judith Palfrey said.

The academy also called for restoring the federal ban, in effect from 1994 to 2004, on the sale of assault weapons to the general public. None of the many attempts to renew it have succeeded in Congress.

The Supreme Court ruled in 2010, in the case of McDonald v. the City of Chicago, that the due process clause of the Fourteenth Amendment applied to provisions of the Second Amendment, and prevented states and localities from restricting citizens’ right to bear arms. The academy stated that the ruling “set the stage for Second Amendment legal challenges to local and state gun laws, including laws requiring the safe storage of firearms and trigger locks, as well as laws aimed at protecting children from firearms.”

In 2011, Florida passed legislation that raised First Amendment questions by forbidding doctors to ask families about guns in the home. Although a permanent injunction against the law was issued, Gov. Rick Scott has appealed the ruling. At the federal level, wording introduced into the Affordable Care Act restricts collection of data on guns in the home.


This post has been revised to reflect the following correction:

Correction: January 11, 2013

The Personal Health column on Tuesday, about firearms and children, using information from The New England Journal of Medicine, misstated the number of children and young adults between the ages of 1 and 24 who die each day in the United States from gun-related injuries. Eighteen people between the ages of 1 and 24 die every day — not seven people between those ages. (Seven deaths a day is the number for children and young adults between the ages of 1 and 19.) And the article misstated part of a Supreme Court ruling. In the case of McDonald v. the City of Chicago in 2010, the court ruled that the due process clause of the Fourteenth Amendment — not the equal protection clause — applied to provisions of the Second Amendment, which guarantees the right to keep and bear arms.

This post has been revised to reflect the following correction:

Correction: January 11, 2013

A chart posted with an earlier version of this article also misstated the number of children and young adults between the ages of 1 and 24 killed every day in the United States by gun injuries. It is 18, not seven.

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DealBook: Wells Fargo Profit Jumps 24% in Quarter, Driven by Mortgage Gains

8:46 a.m. | Updated

Wells Fargo reported $5.1 billion in profit for the fourth quarter on Friday, a 24 percent increase, driven by the bank’s lucrative mortgage business.

Seizing on low-interest rates that have spurred a flurry of refinancing activity, the bank again notched record profits. For the last 12 quarters, profits at the bank have increased.

In this latest quarter, Wells Fargo, based in San Francisco, reported earnings of 91 cents a share, which exceeded analysts’ expectations. Ahead of the report, analysts polled by Thomson Reuters estimated that the bank would report earnings of 89 a share.

Wells Fargo, unlike many of its rivals, has been able to steadily increase its revenue. The first bank to release fourth-quarter earnings, Wells Fargo reported $21.95 billion in revenue in the fourth quarter, up 7 percent from a year earlier.

Much of the revenue gains stemmed from the bank’s consumer lending business, as borrowers jumped on record low interest rates to refinance their mortgages. Wells Fargo, which dominates the market as the nation’s largest mortgage lender, notched $125 billion in mortgage originations, up from $120 billion in the fourth quarter of 2011. Refinancing applications accounted for nearly 75 percent of that total.

The big profit in the group came from the extra money that Wells Fargo makes bundling the mortgages into bonds and selling them to the government. In the fourth quarter, the bank reported $2.8 billion of so-called net gains on its mortgages activities, up 51 percent from the previous year.

The question is whether those gains are sustainable. Refinancing activity shows signs of tapering off. And the housing recovery is far from robust, which means it may be tough to make new mortgages.

Investors seemed to look beyond the strong profits to the potential challenges. Shares of the Wells Fargo were down modestly on Friday, as the bank reported a drop in its net interest margin.

Under the tenure of its chief executive, John G. Stumpf, Wells Fargo has aggressively expanded into the mortgage market, a strategy that might help the bank surpass its rivals in profits, notably JPMorgan Chase.

Wells Fargo’s net interest margin, a closely watched profit metric that measures the difference between the interest the bank collects and the interest it pays on its own borrowings, was down slightly to 3.56 percent, from 3.89 percent a year earlier.

Profit in the community banking division, which spans Wells Fargo’s retail branches and mortgage business, increased 14 percent to $2.9 billion.

The bank successfully courted more cash from depositors, adding $72 billion in total core checking and savings deposits than a year earlier.

“The company’s underlying results were driven by solid loan growth, improved credit quality, and continued success in improving efficiency,” Wells Fargo’s chief financial officer, Tim Sloan, said in a statement.

The bank has benefited from sweeping federal stimulus initiatives that have buoyed the mortgage business. The Treasury Department has helped spur Americans to refinance their mortgages.

Wells Fargo is the reigning titan in the mortgage industry, generating roughly a third of all the mortgages across the United States. Mortgage originations continued to climb, up 4 percent to $125 billion.

Adding to its mortgage-related profit, Wells Fargo reported a $926 million profit from its servicing business, in which the bank collects payments from homeowners. That’s up roughly 6 percent from a year earlier.

Alongside the consumer loan business, Wells Fargo had gains in its wealth management business, a particular focus for the bank to defray the impact of federal regulations that dragged down profits elsewhere.

Still, Wells Fargo’s profit from residential mortgages could wane this year if the Federal Reserve halts its extensive bond buying spree.

Working to move beyond the mortgage crisis woes that have dogged the bank, Wells Fargo has been brokering deals with federal regulators. Wells Fargo was one of 10 banks that signed onto an $8.5 billion settlement this week with the Comptroller of the Currency and the Federal Reserve over claims that shoddy foreclosure practices may have led to the wrongful eviction of homeowners.

The sweeping federal pact ends a deeply flawed review of millions of loans in foreclosure that was mandated by federal regulators in 2011. The review, which was ended this week, began in November 2011 amid mounting public fury that bank employees were churning through hundreds of foreclosure filings without reviewing them for accuracy.

In addition to the settlement, the bank set aside $1.2 billion to prevent foreclosures.

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