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DOJ Backs 'State Secrets' Defense » The Obama administration invoked the same "state secrets" privilege as its predecessor in federal court in San Francisco yesterday in opposing the reinstatement of a lawsuit that alleges that a Boeing Co. unit flew people to countries where they were tortured as part of the CIA's "extraordinary rendition" program. — Washington Post

Judges: Inmate Overcrowding Violates Rights » A panel of three federal judges, saying overcrowding in state prisons has deprived inmates of their right to adequate healthcare, has tentatively ruled that the state must reduce the population in those lockups by as many as 57,000 people. — Los Angeles Times

Floating In on Golden Parachutes » As part of his battle against excessive pay packages, President Obama has taken aim at golden parachutes for top executives. But the practice is so entrenched that many of the president's own top recruits for White House positions are receiving generous severance packages from their previous employers. — Washington Post

Leahy's 'Truth Commission' » Sen. Patrick Leahy, chairman of the Senate Judiciary Committee, has proposed a "truth commission" to investigate the Bush administration, though President Obama issued a lukewarm response to the idea at last night's press conference. Meanwhile, the Post offers a look at some of the 100 end-of-term appointments Bush made for faithful staffers. — Washington Post

FDA to Limit Narcotic Prescriptions » Many doctors may lose their ability to prescribe 24 popular narcotics as part of a new effort to reduce the deaths and injuries that result from these medicines' inappropriate use, federal drug officials announced Monday. — New York Times

After the jump...

BEST OF THE REST
» Prosecutors Want Barry Jailed Over Tax Returns (WaPo)
» Madoff, SEC Agree on Partial Settlement (NYT)
» SEC Enforcement Chief Stepping Down (WaPo)
» Ex-Gov. Rendell Testifies at Ex-Senator's Trial (NYT)
» Report: FBI Raided Lobbying Firm Connected to Murtha (ABC)
» 'Painful Lessons': Abuse At Chicago Public Schools (WBBM-TV)
» Renzi's troubles leave hurdles for replacement (ArizonaRepublic)
» Will Rangel Test Fla. Lawmaker's Reformer Image? (MediaGeneral)