U.S. charges three Swiss bankers in offshore account case

(Reuters) - Three Swiss bankers accused of conspiring with American clients to hide more than $420 million from the tax-collecting U.S. Internal Revenue Service were indicted, the U.S. Attorney's Office in Manhattan said on Wednesday.
The indictment named Stephan Fellmann, Otto Huppi and Christof Reist, all former client advisers with an unnamed Swiss bank. None of the bankers have been arrested, authorities said.
Their attorneys were not immediately known.
The indictment said the unnamed bank did not have offices in the United States.
Banking secrecy is enshrined in Swiss law and tradition, but it has recently come under pressure as the United States and other nations have moved aggressively to tighten tax law enforcement and demanded more openness and cooperation.
In April, two Swiss financial advisers were indicted on U.S. charges of conspiring to help Americans hide $267 million in secret bank accounts.
In January, prosecutors charged three Swiss bankers with conspiring with wealthy taxpayers to hide more than $1.2 billion in assets from tax authorities.
UBS AG, the largest Swiss bank, in 2009 paid a $780 million fine as part of a settlement with U.S. authorities who charged the bank helped thousands of wealthy Americans hide billions of dollars in assets in secret Swiss accounts.
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"Fiscal cliff" turmoil could hit 100 million taxpayers: U.S. IRS

WASHINGTON (Reuters) - U.S. tax authorities warned on Wednesday that as many as 100 million taxpayers - far more than previously estimated - could face refund delays if lawmakers' "fiscal cliff" negotiations fail to fix the alternative minimum tax (AMT) before year-end.
The Internal Revenue Service said in a letter to lawmakers that it was raising its estimate on AMT impact from 60 million.
"It is becoming apparent that an even larger number of taxpayers - 80 to 100 million of the 150 million total returns expected to be filed - may be unable to file," IRS Acting Commissioner Steven Miller wrote.
The AMT is a levy designed to ensure that high-income taxpayers pay a minimum tax. Democrats and Republican typically agree to adjust the tax for inflation to prevent unintended taxpayers from being hit by it.
This year, however, its fate is tied to heated negotiations - primarily between President Barack Obama and House Speaker John Boehner - over future taxes and federal spending as they try to avoid the automatic tax increases and spending cuts known as the fiscal cliff.
The AMT fix for calculating 2012 income tax has broad bipartisan support, but so far been drowned out by the larger federal budget questions.
Without action soon to fix the AMT, there could be "lengthy delays of tax refunds and unexpectedly higher taxes for many taxpayers," Miller said.
The IRS needs congressional authority to update tax-filing software and forms so that Americans can start their tax returns next year. Inaction by Congress on the AMT has left IRS unsure which taxpayers will need to pay the AMT tax.
An IRS spokesman declined to comment on the agency's AMT preparations to date.
"Failure to act on the fiscal cliff will throw the 2013 tax filing season into chaos," Representative Sander Levin, a Michigan Democrat, said in a statement.
About 4 million taxpayers pay the AMT now because Congress routinely "patches" it for inflation to keep it from reaching down into middle-income tax brackets.
Without a patch for 2012, up to 33 million taxpayers will have to pay the AMT, according to IRS.
Obama's most recent offer to Republicans included a permanent AMT patch.
House Republicans plan to vote Thursday on a bill to address the fiscal cliff that also includes an AMT patch.
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What's on the table now in 'fiscal cliff' talks

An update on the latest offers on the table in negotiations to avert a year-end avalanche of federal tax increases and spending cuts known as the "fiscal cliff":
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INCOME TAXES
House Speaker John Boehner would allow income tax rates to rise for people making more than $1 million per year and would hold rates where they are for everyone making less. The top rate on income exceeding $1 million would go from 35 percent to 39.6 percent.
President Barack Obama would freeze income tax rates for taxpayers making $400,000 or less and raise them for people making more.
The two sides are moving closer together. Previously, the Republican House leader opposed allowing any tax rates to go up; Obama wanted higher taxes for individual income above $200,000, or $250,000 for couples.
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PAYROLL TAX
Obama has dropped his proposal to extend a temporary cut in Social Security payroll taxes paid by 163 million workers. Republicans want that tax to go back up.
Raising the payroll tax by 2 percentage points to its old level would cost a worker making $50,000 a year another $1,000 — or a little more than $19 per week — during 2013.
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SOCIAL SECURITY
Obama is offering to reduce cost-of-living increases for Social Security recipients. Republicans have been seeking this as a key to long-term deficit reduction. But many congressional Democrats oppose it.
Government pensions and veterans' benefits would also get smaller cost-of-living increases.
In addition, taxpayers, especially low- and middle-income families, would pay more because of changes in the way that tax brackets are adjusted for inflation.
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MEDICARE
Obama continues to reject Republicans' plan to raise the eligibility age for Medicare from 65 to 67. Boehner now says raising the eligibility age is not essential to a deal.
Obama wants to limit cuts in Medicare and other health care programs to about $400 billion over 10 years; Republicans want to overhaul Medicare to save even more money.
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DEBT LIMIT
Obama wants a deal that would raise the amount the government is allowed to borrow to cover the next two years, to avoid another debt showdown with Congress until after the 2014 midterm elections.
Previously, Obama had demanded permanent authority to increase the debt ceiling without congressional approval. Republicans want Congress to be part of the decision-making process so they can demand budget-cutting in exchange for additional borrowing.
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OTHER TAXES
Obama and Boehner both propose raising taxes on dividends and capital gains from 15 percent to 20 percent.
Both sides would reduce the number of deductions and exemptions that wealthy taxpayers can claim.
Obama would also let estate taxes revert to a 45 percent rate, after the first $3.5 million of an estate is exempted. Boehner backs a plan for a 35 percent rate and $5 million exemption.
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Swiss lender ZKB says three charged by U.S. authorities

(Reuters) - Swiss lender Zuercher Kantonalbank (ZKB) said two of its bankers and one former employee had been charged by U.S. authorities, which had accused them of helping U.S. clients avoid taxes.
The three were indicted over changes of conspiring with American clients to hide more than $420 million from the U.S. Internal Revenue Service, the U.S. Attorney's Office in Manhattan had said on Wednesday.
The indictment did not identify the bank concerned but named Stephan Fellmann, Otto Hueppi and Christof Reist, who it said were all former client advisers for the unnamed institution.
None of the bankers had been arrested, authorities said.
Banking secrecy is enshrined in Swiss law and tradition but has recently come under pressure as the United States and other nations have moved aggressively to tighten tax law enforcement and demand more openness and cooperation.
U.S. authorities are investigating at least 11 banks, including Julius Baer , Credit Suisse and other Swiss regional banks, along with UK-based HSBC Holdings and Israel's Hapoalim, Mizrahi-Tefahot Bank Ltd and Bank Leumi .
In February, Wegelin & Co, Switzerland's oldest private bank, was indicted.
UBS AG , the largest Swiss bank, in 2009 paid a $780 million fine as part of a settlement with U.S. authorities who charged the bank helped thousands of wealthy Americans hide billions of dollars in assets in secret Swiss accounts.
ZKB said in a statement it was cooperating with U.S. authorities. The bank said it could give no details about the employees due to the ongoing investigation and did not confirm what they had been changed with.
ZKB bankers Fellmann and Reist could not be reached for comment. Hueppi declined to comment.
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Heisman winner Manziel glad to get back in huddle

Johnny Manziel is ready to get back to being Johnny Football.
After not talking to the media all season until Nov. 26, two days after the regular season finale, the Texas A&M quarterback has been from Florida to New York to Hollywood. Along the way, he won the Heisman Trophy and a host of other major awards.
Manziel is back on the College Station campus after a "Tonight Show" appearance this week, when he presented actress Megan Fox with a No. 12 Texas A&M baby jersey for her newborn son. Manziel did a Top 10 list for David Letterman last week, along with plenty of other media appearances as the Heisman winner.
"He got back in here the other day, he just said, 'Hey, coach, I'm ready to play some football.' He's through with all that," Aggies coach Kevin Sumlin said Wednesday.
"He can get back to just being with his teammates and practicing," the coach said during a conference call featuring the Cotton Bowl coaches. "Just talking with him yesterday, he looks excited to just be off the circuit, be back in the huddle calling plays."
No. 10 Texas A&M (10-2) plays 12th-ranked Oklahoma (10-2) at Cowboys Stadium on Jan. 4. While Manziel will be the eighth Heisman winner to play in the Cotton Bowl, he is the first since Texas running back Ricky Williams 14 years ago.
Oklahoma coach Bob Stoops said preparing to face Manziel presents unique challenges.
"Unique in that he's the leading rusher. It makes it really difficult. He throws the ball so well, throws it so well on the run," Stoops said. "But he's one of those guys, maybe sometimes the worst thing you can do is cover everybody because there he goes. He just has a great knack, an instinct for avoiding pressure and creating plays."
Manziel had 4,600 yards of total offense in 12 games to break the SEC record set two years earlier by Heisman winner Cam Newton, who needed 14 games to gain 4,327 yards. Manziel became the first freshman, first player in the SEC and the fifth player overall with 3,000 yards passing and 1,000 yards rushing in the same season.
Along with the Heisman Trophy, Manziel was named The Associated Press Player of the Year, the SEC's top player and the winner of the Davey O'Brien Award that goes to the nation's top quarterback.
All of this for a kid who just turned 20 years old two weeks ago.
Sumlin said he has had a conversation with his young quarterback about handling things moving forward, and the fact that he's just getting started.
"People are asking, What are you going to do now? With success, there comes other things," Sumlin said. "I think we've got a lot of the things in place here to help him, which really helped him through the process originally, and we've got a lot of things in place that are going to continue to help him handle a lot of these things. ... I think you can see he's pretty mature for a 20 year old."
Without being specific, Sumlin said the Aggies would help Manziel through that process.
"But, like I said, shoot, he's happy to be back here in the building," Sumlin said. "Sitting in meetings, watching video."
Notes: With Aggies offensive coordinator Kliff Kingsbury gone to become Texas Tech's head coach, Sumlin said running backs coach Clarence McKinney will call plays in the Cotton Bowl. ... Before becoming Houston's head coach in 2008, and going to A&M after last season, Sumlin was an Oklahoma assistant for Stoops from 2003-07. Before that he was offensive coordinator at Texas A&M for a win over Oklahoma. "I had great respect for Kevin before he was the O-coordinator there when they beat us," Stoops said. "Heck, Kevin and I used to run around South Florida together recruiting when he was at Purdue, I was at K-State. We were chasing the same kids all the time.
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Minn. college coach cleared in porn case off leave

MANKATO, Minn. (AP) — A Minnesota college football coach cleared by a judge of child porn charges stemming from cellphone video of his naked children is no longer on administrative leave, but hasn't yet been reinstated atop the program, his school said Wednesday.
Minnesota State University, Mankato coach Todd Hoffner had been on leave since the videos were discovered on his university-issued phone last August. A judge last month tossed out the charges, agreeing with Hoffner's assertion that the video captured an innocent family moment.
Though Hoffner was cleared, school officials didn't immediately reinstate him, and he continued to watch from afar as the Mavericks played the final two games in a 13-1 season that carried them within a game of the NCAA Division II final.
In a brief two-paragraph statement late Wednesday night, the school said Hoffner's administrative leave had ended Monday. But the statement also said one of two complaints against Hoffner was still pending, and said Aaron Keen — who steered the Mavericks all season — remained in that capacity.
School spokesman Dan Benson, citing privacy laws, said he couldn't comment on the nature of that complaint, or another unspecified complaint that was investigated and resolved.
"The word 'reinstated' would not be accurate," Benson said. "He is no longer on leave. He remains on the payroll ... but he has not assumed duties as the head football coach again at this time." Benson said he couldn't say whether Hoffner had returned to campus this week.
Hoffner's home number in Mankato is no longer listed. A message left at his attorney's office after hours was not immediately returned.
After he was cleared Nov. 30, Hoffner said he wanted to return to work. At the time, he said being cleared of the charges made him "so thankful to be waking up from this nightmare."
Hoffner was charged after a school employee found the video on his university-issued cellphone and notified authorities. Hoffner had taken his problematic phone to work to be checked out.
Hoffner testified earlier that his three young children asked him to videotape a skit they had concocted after taking a bubble bath. His wife defended him, as have supporters who even held candlelight vigils on his behalf.
A search of his home computer found no evidence of child porn, and social workers found no evidence that the couple's children had been abused. Hoffner said he had never even watched the video.
Minnesota State, Mankato is part of Minnesota State Colleges and Universities, which has a policy prohibiting using university-issued cellphones or mobile devices for personal use.
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Canada's Cam Levins wins award as NCAA's top male track and field athlete

ORLANDO, Fla. - Canada's Cam Levins capped a memorable 2012 in style on Wednesday.
The long-distance runner from Black Oak, B.C., won the Bowerman award as the NCAA's top male track and field athlete after a standout year for Southern Utah University.
Levins, who competed for Canada at the London Olympics, swept the NCAA outdoor crowns at 5,000 and 10,000 metres.
His time of 28 minutes 7.14 seconds was the best 10,000-metre time at the U.S. collegiate event since 1984. Meanwhile in the 5,000 metres, Levins closed in 54.28 seconds on the final lap and 1:59.66 over the last 800 metres to win by over a second (13:40.05).
At the NCAA indoor championships, he placed third in the 3,000 metres and fourth in the 5,000 metres.
At the London Games, Levins held his own in a star-studded 10,000-metre field, finishing 11th. He then battled a chest ailment to cross 14th in the 5,000.
LSU's Kimberlyn Duncan won The Bowerman award as the top female track and field athlete.
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AP IMPACT: Steroids loom in major-college football

WASHINGTON (AP) — With steroids easy to buy, testing weak and punishments inconsistent, college football players are packing on significant weight — 30 pounds or more in a single year, sometimes — without drawing much attention from their schools or the NCAA in a sport that earns tens of billions of dollars for teams.
Rules vary so widely that, on any given game day, a team with a strict no-steroid policy can face a team whose players have repeatedly tested positive.
An investigation by The Associated Press — based on interviews with players, testers, dealers and experts and an analysis of weight records for more than 61,000 players — revealed that while those running the multibillion-dollar sport say they believe the problem is under control, that control is hardly evident.
The sport's near-zero rate of positive steroids tests isn't an accurate gauge among college athletes. Random tests provide weak deterrence and, by design, fail to catch every player using steroids. Colleges also are reluctant to spend money on expensive steroid testing when cheaper ones for drugs like marijuana allow them to say they're doing everything they can to keep drugs out of football.
"It's nothing like what's going on in reality," said Don Catlin, an anti-doping pioneer who spent years conducting the NCAA's laboratory tests at UCLA. He became so frustrated with the college system that it was part of the reason he left the testing industry to focus on anti-doping research.
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EDITOR'S NOTE — Whether for athletics or age, Americans from teenagers to baby boomers are trying to get an edge by illegally using anabolic steroids and human growth hormone, despite well-documented risks. This is the first of a two-part series.
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While other major sports have been beset by revelations of steroid use, college football has operated with barely a whiff of scandal. Between 1996 and 2010 — the era of Barry Bonds, Mark McGwire, Marion Jones and Lance Armstrong — the failure rate for NCAA steroid tests fell even closer to zero from an already low rate of less than 1 percent.
The AP's investigation, drawing upon more than a decade of official rosters from all 120 Football Bowl Subdivision teams, found thousands of players quickly putting on significant weight, even more than their fellow players. The information compiled by the AP included players who appeared for multiple years on the same teams.
For decades, scientific studies have shown that anabolic steroid use leads to an increase in body weight. Weight gain alone doesn't prove steroid use, but very rapid weight gain is one factor that would be deemed suspicious, said Kathy Turpin, senior director of sport drug testing for the National Center for Drug Free Sport, which conducts tests for the NCAA and more than 300 schools.
Yet the NCAA has never studied weight gain or considered it in regard to its steroid testing policies, said Mary Wilfert, the NCAA's associate director of health and safety.
The NCAA attributes the decline in positive tests to its year-round drug testing program, combined with anti-drug education and testing conducted by schools.
The AP's analysis found that, regardless of school, conference and won-loss record, many players gained weight at exceptional rates compared with their fellow athletes and while accounting for their heights.
Adding more than 20 or 25 pounds of lean muscle in a year is nearly impossible through diet and exercise alone, said Dan Benardot, director of the Laboratory for Elite Athlete Performance at Georgia State University.
In nearly all the rarest cases of weight gain in the AP study, players were offensive or defensive linemen, hulking giants who tower above 6-foot-3 and weigh 300 pounds or more. Four of those players interviewed by the AP said that they never used steroids and gained weight through dramatic increases in eating, up to six meals a day. Two said they were aware of other players using steroids.
"I ate 5-6 times a day," said Clint Oldenburg, who played for Colorado State starting in 2002 and for five years in the NFL. Oldenburg's weight increased over four years from 212 to 290.
Oldenburg told the AP he was surprised at the scope of steroid use in college football, even in Colorado State's locker room. "There were a lot of guys even on my team that were using." He declined to identify any of them.
The AP found more than 4,700 players — or about 7 percent of all players — who gained more than 20 pounds overall in a single year. It was common for the athletes to gain 10, 15 and up to 20 pounds in their first year under a rigorous regimen of weightlifting and diet. Others gained 25, 35 and 40 pounds in a season. In roughly 100 cases, players packed on as much 80 pounds in a single year.
In at least 11 instances, players that AP identified as packing on significant weight in college went on to fail NFL drug tests. But pro football's confidentiality rules make it impossible to know for certain which drugs were used and how many others failed tests that never became public.
Even though testers consider rapid weight gain suspicious, in practice it doesn't result in testing. Ben Lamaak, who arrived at Iowa State in 2006, said he weighed 225 pounds in high school. He graduated as a 320-pound offensive lineman and said he did it all naturally.
"I was just a young kid at that time, and I was still growing into my body," he said. "It really wasn't that hard for me to gain the weight. I love to eat."
In addition to random drug testing, Iowa State is one of many schools that have "reasonable suspicion" testing. That means players can be tested when their behavior or physical symptoms suggest drug use. Despite gaining 81 pounds in a year, Lamaak said he was never singled out for testing.
The associate athletics director for athletic training at Iowa State, Mark Coberley, said coaches and trainers use body composition, strength data and other factors to spot suspected cheaters. Lamaak, he said, was not suspicious because he gained a lot of "non-lean" weight.
But looking solely at the most significant weight gainers also ignores players like Bryan Maneafaiga.
In the summer of 2004, Bryan Maneafaiga was an undersized 180-pound running back trying to make the University of Hawaii football team. Twice — once in pre-season and once in the fall — he failed school drug tests, showing up positive for marijuana use but not steroids.
He'd started injecting stanozolol, a steroid, in the summer to help bulk up to a roster weight of 200 pounds. Once on the team, he'd occasionally inject the milky liquid into his buttocks the day before games.
"Food and good training will only get you so far," he told the AP recently.
Maneafaiga's former coach, June Jones, said it was news to him that one of his players had used steroids. Jones, who now coaches at Southern Methodist University, believes the NCAA does a good job rooting out steroid use.
On paper, college football has a strong drug policy. The NCAA conducts random, unannounced drug testing and the penalties for failure are severe. Players lose an entire year of eligibility after a first positive test. A second offense means permanent ineligibility for sports.
In practice, though, the NCAA's roughly 11,000 annual tests amount to a fraction of all athletes in Division I and II schools. Exactly how many tests are conducted each year on football players is unclear because the NCAA hasn't published its data for two years. And when it did, it periodically changed the formats, making it impossible to compare one year of football to the next.
Even when players are tested by the NCAA, experts like Catlin say it's easy enough to anticipate the test and develop a doping routine that results in a clean test by the time it occurs. NCAA rules say players can be notified up to two days in advance of a test, which Catlin says is plenty of time to beat a test if players have designed the right doping regimen. By comparison, Olympic athletes are given no notice.
Most schools that use Drug Free Sport do not test for anabolic steroids, Turpin said. Some are worried about the cost. Others don't think they have a problem. And others believe that since the NCAA tests for steroids their money is best spent testing for street drugs, she said.
Doping is a bigger deal at some schools than others.
At Notre Dame and Alabama, the teams that will soon compete for the national championship, players don't automatically miss games for testing positive for steroids. At Alabama, coaches have wide discretion. Notre Dame's student-athlete handbook says a player who fails a test can return to the field once the steroids are out of his system.
The University of North Carolina kicks players off the team after a single positive test for steroids. Auburn's student-athlete handbook calls for a half-season suspension for any athlete caught using performance-enhancing drugs.
At UCLA, home of the laboratory that for years set the standard for cutting-edge steroid testing, athletes can fail three drug tests before being suspended. At Bowling Green, testing is voluntary.
At the University of Maryland, students must get counseling after testing positive, but school officials are prohibited from disciplining first-time steroid users.
Only about half the student athletes in a 2009 NCAA survey said they believed school testing deterred drug use. As an association of colleges and universities, the NCAA could not unilaterally force schools to institute uniform testing policies and sanctions, Wilfert said.
"We can't tell them what to do, but if went through a membership process where they determined that this is what should be done, then it could happen," she said.
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Associated Press writers Ryan Foley in Cedar Rapids, Iowa; David Brandt in Jackson, Miss.; David Skretta in Lawrence, Kan.; Don Thompson in Sacramento, Calif., and Alexa Olesen in Shanghai, China, and researchers Susan James in New York and Monika Mathur in Washington contributed to this report.
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Contact the Washington investigative team at DCinvestigations (at) ap.org.
Whether for athletics or age, Americans from teenagers to baby boomers are trying to get an edge by illegally using anabolic steroids and human growth hormone, despite well-documented risks. This is the first of a two-part series.
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Cleared Minnesota college coach fights suspension

MINNEAPOLIS (AP) — A Minnesota college football coach who was cleared of child porn charges is fighting a suspension, his union said Thursday, although neither it nor the university would say what prompted the punishment or shed light on his prospects for reinstatement.
Coach Todd Hoffner received a written notice from Minnesota State University, Mankato late Tuesday afternoon about a 20-day unpaid suspension that begins Jan. 7, the general counsel for the Inter Faculty Organization said in an email to The Associated Press. Connie Howard said the union has filed a grievance challenging the suspension.
Hoffner was put on paid administrative leave after videos of his naked children were found on his university-issued cellphone in August. A judge ruled Nov. 30 that the videos were not pornographic and dismissed the felony charges against Hoffner, accepting his testimony that the videos merely showed his children acting silly after a bath.
"The grievance charges that the university failed to follow progressive discipline and did not have just cause to issue the suspension," Howard wrote. She declined to provide further details and would not say what reason the university gave for Hoffner's suspension, whether it was related to the videos or what his prospects might be for being reinstated as head coach of the Mavericks.
The MnSCU system has a policy prohibiting the use of university-issued cellphones or mobile devices for personal business.
Hoffner was beginning a new four-year contract when he was escorted off a practice field in August, a few days after he returned his malfunctioning phone to the school. University technicians found the videos and notified university officials, who contacted police. Hoffner was not allowed back and had to miss the Mavericks' 13-1 season, including their appearance in the NCAA Division II semifinals Dec. 8. He had a 34-13 record in his first four years at Mankato.
Minnesota State issued a brief statement Wednesday night saying Hoffner's administrative leave ended Monday and he remains on the university's payroll, but Aaron Keen remains acting coach.
"One complaint against the football coach was investigated and the investigation has been completed. One complaint against Mr. Hoffner is pending and is under investigation," the statement said without elaboration.
University spokesman Dan Benson, citing privacy laws, told the AP he couldn't comment on the nature of the complaints.
"The word 'reinstated' would not be accurate," Benson said. "He is no longer on leave. He remains on the payroll ... but he has not assumed duties as the head football coach again at this time."
Hoffner could not be reached immediately for comment Thursday. He does not have a listed phone number. His civil attorney, Chris Madel, was in court and unavailable Thursday. His attorney for the criminal case, Jim Fleming, said he was not directly involved in the personnel case.
Minnesota State athletics director Kevin Buisman did not immediately return a call seeking comment Thursday.
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'Dwarf': Undergoing Controversial Lengthening Surgeries

Tiffanie DiDonato  said everything she has ever wished for has come true: a handsome husband, loving friends and a new baby. But most of her childhood dreams play out in simple, everyday victories, like taking out the trash or driving.

DiDonato, 32, was born with diastrophic dysplasia, a rare form of dwarfism. The condition left her with a "typical size" torso, but abnormally short arms and legs. By the time she was in middle school, she was only three-and-a-half feet tall.

Watch the full story on "Nightline" tonight at 11:35 p.m. ET

Growing up in Marlborough, Mass., DiDonato fantasized about being tall enough to grab something off the grocery store shelf, cook on the stove, take out the trash and drive a car, but almost everything was out of reach.

But that all changed when DiDonato endured an excruciating and controversial series of limb-lengthening surgeries, which breaks bones and forces them to re-grow longer. It was a decision she made when she was very young, knowing that it would have risks and rewards with a lifetime of consequences.

At age 8, DiDonato had her first surgery to lengthen her arms and gain four inches of height.

"When I woke up, when it hurt so much, you freeze it, almost like if you scream it is going to hurt worse," she said. "All you can do is kind of let the tears fall and deal with it and suck it up and let it ride."

When she was 15, DiDonato decided to have the surgery again. Ignoring the recommended maximum of four inches, she and her doctor decided not to put a cap on her growth. Her mother, who raised her to be a fierce fighter, said she supported her daughter's decision.

"It was all about independence," Robin DiDonato said. "It was doing things on her own, brushing her own hair. My biggest fear was her being dependent on others for her care because, let's face it, Gerry and I won't be around forever."

Her father, Gerry DiDonato, said he told her she didn't need to have the surgery, and it was torture to him to watch his daughter suffer.

"It was very nerve-racking," he said. "She would cry it out. It was tough … it's horrible."

But Robin never wavered. She said she didn't let herself cry in front of her daughter, even during the most gut-wrenching days.

"I was not going to because if I broke, maybe she would have too, maybe she would have stopped," Robin said. "Who knows what she would have done. I think she needed me to be strong for her."

After her second surgery, Tiffanie DiDonato gained an unprecedented 10 inches of additional height, putting her at 4-foot-10 -- right on the cusp of little-person status. She kept a journal, which she said helped her get through the painful process.

"I was honest with myself, if I wanted to die, if I felt like that's what I wanted to do, then I wrote it down," she said.

Her journal was turned into a memoir she defiantly titled "Dwarf." In it, DiDonato chronicles her "no pain, no gain" view of life and how surprisingly grateful she is for the experience.

"If you go through a struggle, if you know what sacrifice is, and you have felt a little pain, it makes you that much braver," she said. "It makes you a little bit more aware."

DiDonato is now married to Eric Gabrielse, a nearly-six-foot-tall Marine, and they recently welcomed a baby boy.

"She's so powerful and strong," Gabrielse said of his wife. "Being in the military, you need somebody that one, can be independent, but two, can be extremely supportive and because everything she's gone through, she's been through her own battles, so she knows exactly how to support me through mine."

Controversy Around Lengthening Surgeries

We first met DiDonato four years ago when she and Gabrielse were about to tie the knot. After her story aired, she caught flack for her lengthening surgeries from critics who said The Little People of America organization doesn't support the risky procedures.

Reza Garakani was also born with dwarfism and said he regrets that his father pushed him to have the lengthening surgery back in the '80s. He was 12.

"I did not want to undergo the painful procedure which, in my mind, I was worried that, what if this fails," he said. "For a few inches, I didn't want to damage my life. I was happy with who I am."

Unlike DiDonato, Garakani said the surgery left him paralyzed.

"Because of this procedure, I lost a major part of me," he said. "Before I was just an average dwarf. I could run around, I could play sports, I could swim and do things. Now, I can't do what I was able to do. I would have rather been three feet tall than be a few inches tall with all the complications."

Even DiDonato's father, who still has mixed feelings about the surgery, said it may have taken a physical toll on his daughter.

"Personally, I feel she lost a little mobility with the extreme lengthening," he said. "I'll always remember her with her little jeans on chasing a ball, but she feels good about herself and that's the most important thing."

But DiDonato said she was well aware of the risks from the start and has no regrets. It seems to have paid off. Being a new mom and the wife of a Marine, she seems to personify the Marine's fighting philosophy: Adapt and overcome.

"Having a baby, every day I'm adapting and overcoming, but I kind of feel like that's for every parent," she said. "Every mom, every dad, you have to take the punches as they come."
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