| Huawei Hit With Racketeering Charge in Expanding U.S. Case Posted: 13 Feb 2020 06:02 PM PST  (Bloomberg) -- The U.S. raised the stakes in its battle with Huawei Technologies Co., using a law historically associated with prosecuting mafia figures to claim the Chinese company engaged in decades of intellectual property theft.Huawei, the world's largest maker of telecommunications equipment, and Chief Financial Officer Meng Wanzhou had already faced criminal charges. The fresh allegations, announced Thursday, up the ante by including racketeering conspiracy, increasing the potential punishment. They come as the global battle for supremacy in fifth-generation wireless technology, or 5G, is joined.Huawei broke the law "to drastically cut its research and development costs and associated delays, giving the company a significant and unfair competitive advantage," the Justice Department said in a statement. The company even launched a bonus program to reward employees who got their hands on confidential information from competitors, prosecutors said.The new charges depict a company that won international standing by stealing trade secrets, evading U.S sanctions and lying to authorities. They are likely to increase tensions between Beijing and Washington, which has accused Huawei of spying for the Chinese government, even as Huawei won a brief reprieve from a proposed ban on buying parts.The indictment doesn't name the businesses from which Huawei allegedly stole intellectual property, but details of the allegations match descriptions of companies including Cisco Systems Inc., Motorola Inc. and Cnex Labs Inc."The indictment paints a damning portrait of an illegitimate organization that lacks any regard for the law," Senator Richard Burr of North Carolina, the Republican chairman of the Intelligence Committee, and Senator Mark Warner of Virginia, the panel's Democratic vice-chairman, said in an emailed statement. "Intellectual property theft, corporate sabotage and market manipulation are part of Huawei's core ethos and reflected in every aspect of how it conducts business."Huawei doesn't "abide by Western business practices," Rob Spalding, a Washington-based technology and security expert at the Hudson Institute who served on the National Security Council, said in an email. "Which is why many U.S. companies are no longer competitive in the global marketplace."Read More: Why 5G Mobile Arrives With a Subplot of EspionageHuawei, in turn, has accused the U.S. of orchestrating a campaign to intimidate its employees and launching cyberattacks to infiltrate its internal network. China's Ministry of Foreign Affairs has urged the U.S to "stop unreasonably targeting Huawei and other Chinese enterprises."The new indictment "is part of the Justice Department's attempt to irrevocably damage Huawei's reputation and its business for reasons related to competition rather than law enforcement," a representative of the company said Thursday. "These new charges are without merit and are based largely on recycled civil disputes" from the last 20 years "that have been previously settled, litigated and, in some cases, rejected by federal judges and juries."Huawei was previously accused of violating U.S. sanctions against Iran and North Korea. Meng, the CFO, was charged with fraud last year, with the case rippling into Canada, where she is currently fighting extradition to the U.S. Meng's lawyers have argued in court that their client did nothing wrong.The U.S. said Huawei stole trade secrets, including copyrighted works, source code and user manuals for internet routers, to "grow and operate" its business. The company swiped antenna and robot testing technology, prosecutors said.Then, they said, it doubled down."When confronted with evidence of wrongdoing, the defendants allegedly made repeated misstatements to U.S. officials, including FBI agents and representatives from the U.S. House Permanent Select Committee on Intelligence, regarding their efforts to misappropriate trade secrets," they said.Read More: U.S. Ramps Up Huawei Fight With Iran, Trade-Secret ChargesThe U.S. dates the thefts to 2002. But the government has also linked the 2016 alleged theft of a computer chip from a California tech company for Huawei with the latest charges.Bo Mao, a Xiamen University professor, was charged in September with stealing trade secrets. His lawyers said in a court filing Thursday that the prosecution is related to the Huawei case.In the new indictment, the government is wielding some prior allegations of wrongdoing, like Huawei's alleged theft of a phone-testing robot developed by T-Mobile US Inc., to build a more muscular case. The U.S. alleged that a Huawei engineer secretly took photos of T-Mobile's robot, Tappy, took measurements of parts and even stole a piece of it. When T-Mobile threatened to sue, the U.S. said, Huawei blamed "rogue actors" within the company.Intellectual property theft "explains a lot of Huawei's success," said Jim Lewis, of the Technology Policy Program at the Center for Strategic and International Studies in Washington. "Huawei is the poster child for China's commercial spying."The case is U.S. v. Huawei Technologies Co., 18-cr-457, U.S. District Court, Eastern District of New York (Brooklyn).Read MoreHuawei Pleads Not Guilty to Bank Fraud Charges in New YorkU.S. Accuses Huawei of Trade-Secret Theft, Defrauding BanksProsecutors Say Government Used FISA to Watch HuaweiU.S. Charges Chinese Professor Accused of Theft to Help Huawei(Updates with Bo Mao case)\--With assistance from Bob Van Voris and Natalie Obiko Pearson.To contact the reporters on this story: Patricia Hurtado in Federal Court in Manhattan at pathurtado@bloomberg.net;Alyza Sebenius in Washington at asebenius@bloomberg.net;Todd Shields in Washington at tshields3@bloomberg.netTo contact the editors responsible for this story: David Glovin at dglovin@bloomberg.net, Joe Schneider, Peter BlumbergFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
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| China Moves to Ease Mounting Anger With Reset of Virus Fight Posted: 13 Feb 2020 05:52 PM PST  (Bloomberg) -- China took action on two fronts to gain control of the spiraling coronavirus outbreak gripping the country: reporting a dramatic increase in cases and ousting top officials who failed to check the disease's expansion.The moves came within hours of each other Thursday. First, health authorities revealed that cases in Hubei province, where the disease first emerged, had surged by 45% to almost 50,000 after they included a new group of patients. That raised the global tally to almost 60,000, dashing hopes that the epidemic might be easing.Then, authorities announced the replacement of the two most senior Communist Party officials in Hubei and its hard-hit capital, Wuhan. Shanghai Mayor Ying Yong -- a former top judge who once served under President Xi Jinping -- was named to replace embattled provincial boss, Jiang Chaoliang.The shakeup represented the biggest political fallout yet from an outbreak that has in a little over two months shaken confidence in China's leaders and caused countries from the U.S. to Japan to restrict or block visits by its citizens. The decision on the heels of the expanded case tally was reminiscent of a boardroom reset, in which bad numbers are disclosed first to give the new team a clean slate."First of all, they are trying to clean up the backlog of untested people who haven't been confirmed," said Ether Yin, partner at Beijing-based consulting firm Trivium China. "It's politically important for them to get the number right before the new party boss comes in, so that all the new confirmed cases happened under Jiang Chaoliang's watch. The new party secretary needs a new starting line."The surprise revision came amid mounting speculation that China was undercounting cases of the new coronavirus strain, as countries around the world struggle to contain a disease that appears to spread when patients show only mild symptoms. Daily declines in new cases in Hubei earlier this week helped push U.S. equity markets to record highs on Wednesday.U.S. equity futures followed most Asian stock markets lower on Thursday as investors digested the sudden changes at the epicenter of the outbreak. The moves came hours after Xi urged a meeting of the Politburo's supreme Standing Committee to follow through on epidemic-control efforts, which he said had achieved "positive" results.'All-Out' EffortsXi has ordered "all-out" efforts to contain the disease and forcibly quarantined more than 40 million people in Hubei, while the party appointed a task force led by Premier Li Keqiang to coordinate the nationwide response. In recent days, the central government sent two senior officials to help lead the response in Hubei, and removed two top members of the provincial health commission from their posts.Pressure has increased on the party after a nationwide outpouring of grief and fury over the death of Wuhan doctor Li Wenliang, who was accused by local police of spreading rumors after sounding one of the first warnings about the outbreak of the disease now known as COVID-19. Indications that news of Li's death from the disease was also censored by Chinese authorities prompted further outrage on social media."With the full support of the central leading team, the new frontline commanders, together with some newly appointed officials to head the local disease control and prevention systems, have been entrusted with the urgent mission of getting to grips with the situation in the hardest-hit region," the China Daily, a state-run newspaper directed at an English-speaking audience, wrote in a commentary published Thursday.The reset met was with skepticism on Chinese social media, where residents had long speculated based on anecdotes reported in local media and shared online that case numbers were higher than the official tallies. Many compared the approach to the actions of a troubled company. "Past liabilities got cleared, so the new officials can start afresh, unburdened by the prior failures," wrote a Weibo user named Maitian with more than 200,000 followers. The post was widely shared on the Twitter-like platform before disappearing. By early Friday, "Wuhan case number unclear" had become a top trending topic on Weibo. The reshuffle raises the stakes for Xi as he takes greater personal responsibility for the response. Ying was appointed mayor of Shanghai in January 2017 after a career spent mostly in the financial center and neighboring Zhejiang province, including stints under the future president.Jiang, a former governor of Jilin province who's held posts at several banks, has led Hubei's provincial party committee since October 2016. He had previously led the People's Bank of China's Shenzhen and Guangzhou branches during the Asian financial crisis.Local officials often bear the brunt when crises threaten the ruling party. China fired more than 100 officials, including the health minister and the mayor of Beijing, after allegations that local governments suppressed information about a similar outbreak of Severe Acute Respiratory Syndrome, or SARS, in 2003."This is a critical juncture of the campaign, so you also want to show resolve -- that the central government is winning the war, and is even willing to change the leadership to get that done," said Yanzhong Huang, a senior fellow for global health at the New York-based Council on Foreign Relations and director of Seton Hall University's Center for Global Health Studies. "This is a demonstration of resolve -- and the fact that they're willing to take heed of public opinion."Counting MethodThe change in counting method will renew concern over the effectiveness the tests currently used to identify stricken patients globally, and raise questions over the true scale of the outbreak that has killed more than 1,300 people, all but two on mainland China.The traditional nucleic acid test identifies the virus in a patient's body through its specific genetic sequence, but reports of a severe lack of test kits and the unreliability of test results have circulated since the start of the crisis. In Wuhan, people with symptoms like fever and coughing wait for hours in line to get tested. Those who test negative are usually turned away from the hospital.The issue has cropped up outside China, as well. On Wednesday, the U.S. Centers for Disease Control and Prevention said that test kits shipped to labs around the world last week have proved faulty.The spike in number will likely intensify public anger against the government's handling of the crisis. In an update to its treatment guidelines on Feb. 5, China's National Health Commission added the category of "clinically diagnosed cases" in recognition of a shortage of nucleic acid tests. Hubei didn't include that category in its count until Thursday, a week later.Yin, the Trivium partner, said the revision could actually help counter skepticism about China's official data on the outbreak. "If the government is willing to see numbers jump by over 10,000 overnight, I would say that actually shows the government is not hiding the numbers this time," Yin said.(Updates with Weibo reaction under 'All-Out' Efforts subheadline.)\--With assistance from Iain Marlow, Linly Lin and Yueqi Yang.To contact Bloomberg News staff for this story: Peter Martin in Beijing at pmartin138@bloomberg.net;Dandan Li in Beijing at dli395@bloomberg.net;Dong Lyu in Beijing at dlyu3@bloomberg.netTo contact the editors responsible for this story: Brendan Scott at bscott66@bloomberg.net, ;Rachel Chang at wchang98@bloomberg.net, Karen Leigh, Sharon ChenFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
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| UN official: justice for victims can't replace punishment Posted: 13 Feb 2020 05:28 PM PST |
| US offers to help virus efforts in N.Korea Posted: 13 Feb 2020 05:25 PM PST  The United States on Thursday promised to support aid work in North Korea to combat the new coronavirus, voicing alarm at the ill-equipped state's susceptibility. State Department spokeswoman Morgan Ortagus said the United States was "deeply concerned" about the vulnerability of the North Korean people to COVID-19, which originated in neighboring China where it has killed more than 1,300 people. Ortagus said the United States supported efforts of aid groups to contain the spread of the virus in North Korea.
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| Brexit robs German village of Scottish mayor Posted: 13 Feb 2020 04:15 PM PST  The tiny village of Brunsmark, an hour outside Hamburg in the lush north German countryside, might seem an unlikely spot to suffer a sudden Brexit shock. What's more, Macnab has lived outside the UK for more than 15 years -- the cutoff point for voting from abroad in elections to the London parliament.
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| Iranians feel strain of turmoil and sanctions Posted: 13 Feb 2020 04:13 PM PST  On a crisp winter's day the snow glistens on the mountains above Tehran, but the mood is as heavy as the pall of pollution that often shrouds Iran's capital. "The quality of life isn't good at all -- we have pollution, angry people, high prices," she said, pointing also to a "huge class gap" and Iran's deepening "isolation". Iran's economy has been battered since US President Donald Trump in 2018 abandoned an international nuclear deal and reimposed sanctions and a "maximum pressure" campaign.
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| 2020 Democrats step up attacks to blunt Bloomberg's rise Posted: 13 Feb 2020 04:01 PM PST  Democratic presidential candidates hoping to revive their flagging campaigns increasingly took aim at Mike Bloomberg on Thursday, blasting their billionaire rival for trying to buy his way into the White House and raising questions about his commitment to racial equality. Struggling to recover from poor showings in the Iowa caucuses and New Hampshire primary, Elizabeth Warren and Joe Biden took the lead in attacking Bloomberg. Biden, the former vice president, said on ABC's "The View" that "I don't think you can buy an election," while Warren took Bloomberg to task for his 2008 comments that ending redlining, a discriminatory housing practice helped trigger the economic meltdown.
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| The Rival Determined to Topple Merkel Refuses to Accept Defeat Posted: 13 Feb 2020 04:01 PM PST |
| U.K. Political Shock Opens the Door to Trump-Style Stimulus Posted: 13 Feb 2020 04:00 PM PST  (Bloomberg) -- Less than a month before a U.K. budget intended to set out Prime Minister Boris Johnson's post-Brexit economic vision, the reset button has been hit.The resignation of Sajid Javid, the man due to present what's traditionally a closely watched piece of political theater, has upended economic policy. It calls into question the government's fiscal prudence -- a long-standing trait of Johnson's Conservative Party -- and even when the blueprint will be unveiled.In short, it's a mess. Javid quit as chancellor of the exchequer because he was asked to fire his most senior advisers. His position is second only to that of prime minister and enjoys a degree of autonomy. The interference suggests Javid's reputation as a fiscal hawk clashed with a desire in 10 Downing Street for looser purse strings.Now, with Johnson having greater control, an even more generous tax and spending program could be in the works. In a sign of just how much is up in the air, the prime minister's own spokesman couldn't confirm that the fiscal rules Javid himself had set would still apply. The March 11 budget might be deferred.Anticipation that new chancellor Rishi Sunak, previously Javid's deputy, will be less of a brake on spending ambitions prompted the pound to rally Thursday and pushed gilts lower."Trump-style stimulus could return," said Benjamin Nabarro, an economist at Citigroup Inc. "Javid's resignation makes it more likely that the Conservatives jettison their 2019 fiscal framework sooner, paving the way for large fiscal easing."The budget was already expected to deliver a fiscal stimulus, with more money for cash-strapped public services and billions of extra pounds for infrastructure to "level up" struggling regions.Taken together, the infrastructure boost and an additional 12 billion pounds ($16 billion) for public services announced in September could deliver a stimulus of well over 1% of GDP in 2020-21. Excluding the financial crisis, that would represent the biggest fiscal loosening since the early 2000s when Tony Blair was prime minister.Nabarro says new plans could include tax cuts, which would provide a much more immediate boost to the economy than investment projects.RBS economists Cathal Kennedy and Peter Schaffrik agree that something more could be on the way."Why go through the trouble of reorganizing the workings of the Treasury and essentially push an unacceptable arrangement on the Chancellor, if there are no big changes planned, both in substance and in size," they wrote.Javid's fiscal rules allow extra infrastructure spending but also require day-to-day public spending and revenue to be in balance within three years. That goal is much tighter than had been expected, and Javid had also asked ministers to find savings ahead of a spending review due this year.Even before Thursday's political shock, there were questions over how the government could fund its spending plans and meet targets. The National Institute of Economic and Social Research estimated a 10 billion-pound gap and said the framework may have to be revisited.In his resignation letter, Javid said the Treasury must retain "as much credibility as possible."Sunak, who was chief secretary to the Treasury under Javid and previously worked at Goldman Sachs, has a very short timeframe if Johnson's administration wants to recast the rules before its first budget."The new chancellor will want to put his own mark on the budget, leading us to believe it will be much more expansionary," said David Zahn, head of European fixed income at Franklin Templeton. "This news also solidifies Boris Johnson's position giving him more free reign to get things done."\--With assistance from Joe Mayes, Robert Hutton and Andrew Atkinson.To contact the reporters on this story: Lucy Meakin in London at lmeakin1@bloomberg.net;Jessica Shankleman in London at jshankleman@bloomberg.netTo contact the editors responsible for this story: Flavia Krause-Jackson at fjackson@bloomberg.net, ;Fergal O'Brien at fobrien@bloomberg.net, Brian Swint, Paul GordonFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
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| The Senate finally found its spine when it came to limiting Trump's war powers Posted: 13 Feb 2020 03:25 PM PST  Though Mitch McConnell may ultimately defer to Trump, the Iran resolution is an important first step in Congress reasserting its prerogatives.
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| Syria says defenses engaged 'hostile targets' over capital Posted: 13 Feb 2020 03:07 PM PST |
| White House 'disappointed' in China's virus transparency Posted: 13 Feb 2020 02:38 PM PST  The United States feels let down by a lack of transparency from China over the new-coronavirus crisis, a senior White House official said Thursday, contradicting President Donald Trump's confidence in Beijing. "We are a little disappointed that we haven't been invited in and we're a little disappointed in the lack of transparency coming from the Chinese," Larry Kudlow, the director of the National Economic Council, told reporters. Trump on Thursday again praised his Chinese counterpart Xi Jinping for his government's response to the outbreak, which has officially killed 1,367 people and infected nearly 60,000 since December.
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| With Javid's Departure, Boris Johnson Really Has Seized Control Posted: 13 Feb 2020 02:18 PM PST  (Bloomberg Opinion) -- Sajid Javid's resignation as Britain's Chancellor of the Exchequer doesn't so much signal a major shift in Britain's economic policy as confirm a sea change in the rules of British politics under Boris Johnson's administration. That could be just as consequential.With the country's first post-Brexit budget due in less than a month and major trade decisions underway, this would seem an odd time to put the country's budget in a new pair of hands. It certainly wasn't expected. While there was talk of a "Valentine's Day massacre" for some weeks after the election, the chancellor's job wasn't one of those slated to change in this reshuffle; indeed he was the only cabinet minister whom Johnson had publicly promised would keep his job.The prime minister just didn't promise to make staying tenable. Javid lost a long-running battle to keep control over his team of special advisers (known as spads in Britain). These officials are very important — and usually loyal — to cabinet ministers, but the prime minister's office now wants to centralize their appointments. Javid's advisers became pawns in a bigger contest for control, a word this government rather likes.Johnson demanded that Javid fire his five most senior aides and also set up a joint economic unit with the prime minister's office. "I was unable to accept those conditions and I do not believe any self-respecting minister would," Javid told journalists.There are two big conclusions to draw from his departure. The first — reinforced by the overall cabinet reshuffle — is that the center of power in the British government is Boris Johnson and his own chief adviser and strategist Dominic Cummings. They intend to maintain an iron grip on message discipline. It was Cummings who fired Javid's media adviser Sonia Khan in August, without his knowledge. In a warning to any other advisers with their own ideas, Khan was escorted out of No. 10 Downing Street by a police officer. The prime minister's senior aide has also issued strict instructions to advisers and cabinet officials about contact with the media. In his resignation letter Javid wrote that it was important for leaders "to have trusted teams that reflect the character and integrity that you would wish to be associated with." That sounds a lot like a dig at Cummings.The second conclusion from Thursday's events is that Britain's purse strings probably just got even looser. Javid, an admirer of Margaret Thatcher, had already gone a long way to accommodating Johnson's big-spending plans; rewriting Britain's fiscal rules to allow the government to take advantage of low interest rates and to increase borrowing for investment. The new rules commit the government to balancing the budget and limiting investment spending to 3% of gross domestic product, up from 2% before. He also pledged that debt would be lower at the end of the five-year parliamentary term, rather than at the end of this year, as promised previously.But that didn't mean the fiscally conservative chancellor was happy to sign off on an all-around spending bonanza. Cabinet ministers were told to axe at least 5% of their budgets, targeting any program that doesn't impact health, crime-fighting or regional inequalities. In recent weeks, there were reports of tension between the chancellor's office and Cummings over spending.Javid's replacement, Rishi Sunak, will have less control over his advisory team. He may also have a harder time standing up to No. 10 than Javid, a Tory big beast. It's not clear whether the Javid rules will hold or even whether the budget will be delivered as planned on March 11.Educated at the elite Winchester School, Oxford and then Stanford University (he also has Goldman Sachs on his resume), Sunak arrives at the job with every elite credential apart from experience in such a huge job. Both former Tory Prime Minister John Major and Labour politician Alistair Darling also became chancellor having served as Chief Secretary to the Treasury, Sunak's last job, but each of them moved onto other major cabinet roles first. This is quite a promotion for the 39-year-old member of Parliament.Sunak has risen so far so fast that most Britons won't have heard of him before a few months ago. Back in June, he and two other lawmakers wrote an article in the Times newspaper backing Johnson as Conservative Party leader. Javid was running for the job then too, along with other now-forgotten candidates."Boris Johnson is one of life's optimists and can help us recapture a sense of excitement and hope about what we Conservatives can do for Britain," they wrote. Johnson, they argued, is a "one nation" Conservative like them, best placed not only to deliver Brexit but to unite the country. The Sunak piece arguably marked a point at which Johnson's leadership bid become unstoppable.During the general election campaign, Sunak stood in for Johnson in TV debates. His calmness and willingness to stick doggedly to the government's message saw him tipped for a big move in the cabinet reshuffle as early as December — and even as a future prime minister. Since the election, Sunak seems to have had more media appearances than other ministers combined, and he was put in charge of the government's first public spending review. If the government's lavish spending plans and reports of wealth taxes haven't unnerved traditional conservatives already, a tamed Treasury will. David Gauke, a former Remain-supporting MP and cabinet minister, suggests Javid's ouster undermines the chancellor's ability to ask hard questions about spending. "The credibility of the Treasury also matters internationally," Gauke tweeted Thursday. "Governance matters to foreign investors. The strength of the Treasury is embodied in the Chancellor."It isn't so much the personnel change but the way it signals the centralizing stranglehold of Cummings and Johnson that suggests fiscal discipline might weaken.Of course, Sunak — who, until now, has been fiscally hawkish — will want to prove otherwise. And it would be wrong to suggest that chancellors are always right on spending or that they don't also act politically. Sunak has one handy advantage, though: It will be very hard for Johnson to sack a second chancellor in a row.(This column was updated with details from Javid's resignation letter.)To contact the author of this story: Therese Raphael at traphael4@bloomberg.netTo contact the editor responsible for this story: James Boxell at jboxell@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Therese Raphael writes editorials on European politics and economics for Bloomberg Opinion. She was editorial page editor of the Wall Street Journal Europe.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
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| With Javid's Departure, Boris Johnson Really Has Seized Control Posted: 13 Feb 2020 02:18 PM PST  (Bloomberg Opinion) -- Sajid Javid's resignation as Britain's Chancellor of the Exchequer doesn't so much signal a major shift in Britain's economic policy as confirm a sea change in the rules of British politics under Boris Johnson's administration. That could be just as consequential.With the country's first post-Brexit budget due in less than a month and major trade decisions underway, this would seem an odd time to put the country's budget in a new pair of hands. It certainly wasn't expected. While there was talk of a "Valentine's Day massacre" for some weeks after the election, the chancellor's job wasn't one of those slated to change in this reshuffle; indeed he was the only cabinet minister whom Johnson had publicly promised would keep his job.The prime minister just didn't promise to make staying tenable. Javid lost a long-running battle to keep control over his team of special advisers (known as spads in Britain). These officials are very important — and usually loyal — to cabinet ministers, but the prime minister's office now wants to centralize their appointments. Javid's advisers became pawns in a bigger contest for control, a word this government rather likes.Johnson demanded that Javid fire his five most senior aides and also set up a joint economic unit with the prime minister's office. "I was unable to accept those conditions and I do not believe any self-respecting minister would," Javid told journalists.There are two big conclusions to draw from his departure. The first — reinforced by the overall cabinet reshuffle — is that the center of power in the British government is Boris Johnson and his own chief adviser and strategist Dominic Cummings. They intend to maintain an iron grip on message discipline. It was Cummings who fired Javid's media adviser Sonia Khan in August, without his knowledge. In a warning to any other advisers with their own ideas, Khan was escorted out of No. 10 Downing Street by a police officer. The prime minister's senior aide has also issued strict instructions to advisers and cabinet officials about contact with the media. In his resignation letter Javid wrote that it was important for leaders "to have trusted teams that reflect the character and integrity that you would wish to be associated with." That sounds a lot like a dig at Cummings.The second conclusion from Thursday's events is that Britain's purse strings probably just got even looser. Javid, an admirer of Margaret Thatcher, had already gone a long way to accommodating Johnson's big-spending plans; rewriting Britain's fiscal rules to allow the government to take advantage of low interest rates and to increase borrowing for investment. The new rules commit the government to balancing the budget and limiting investment spending to 3% of gross domestic product, up from 2% before. He also pledged that debt would be lower at the end of the five-year parliamentary term, rather than at the end of this year, as promised previously.But that didn't mean the fiscally conservative chancellor was happy to sign off on an all-around spending bonanza. Cabinet ministers were told to axe at least 5% of their budgets, targeting any program that doesn't impact health, crime-fighting or regional inequalities. In recent weeks, there were reports of tension between the chancellor's office and Cummings over spending.Javid's replacement, Rishi Sunak, will have less control over his advisory team. He may also have a harder time standing up to No. 10 than Javid, a Tory big beast. It's not clear whether the Javid rules will hold or even whether the budget will be delivered as planned on March 11.Educated at the elite Winchester School, Oxford and then Stanford University (he also has Goldman Sachs on his resume), Sunak arrives at the job with every elite credential apart from experience in such a huge job. Both former Tory Prime Minister John Major and Labour politician Alistair Darling also became chancellor having served as Chief Secretary to the Treasury, Sunak's last job, but each of them moved onto other major cabinet roles first. This is quite a promotion for the 39-year-old member of Parliament.Sunak has risen so far so fast that most Britons won't have heard of him before a few months ago. Back in June, he and two other lawmakers wrote an article in the Times newspaper backing Johnson as Conservative Party leader. Javid was running for the job then too, along with other now-forgotten candidates."Boris Johnson is one of life's optimists and can help us recapture a sense of excitement and hope about what we Conservatives can do for Britain," they wrote. Johnson, they argued, is a "one nation" Conservative like them, best placed not only to deliver Brexit but to unite the country. The Sunak piece arguably marked a point at which Johnson's leadership bid become unstoppable.During the general election campaign, Sunak stood in for Johnson in TV debates. His calmness and willingness to stick doggedly to the government's message saw him tipped for a big move in the cabinet reshuffle as early as December — and even as a future prime minister. Since the election, Sunak seems to have had more media appearances than other ministers combined, and he was put in charge of the government's first public spending review. If the government's lavish spending plans and reports of wealth taxes haven't unnerved traditional conservatives already, a tamed Treasury will. David Gauke, a former Remain-supporting MP and cabinet minister, suggests Javid's ouster undermines the chancellor's ability to ask hard questions about spending. "The credibility of the Treasury also matters internationally," Gauke tweeted Thursday. "Governance matters to foreign investors. The strength of the Treasury is embodied in the Chancellor."It isn't so much the personnel change but the way it signals the centralizing stranglehold of Cummings and Johnson that suggests fiscal discipline might weaken.Of course, Sunak — who, until now, has been fiscally hawkish — will want to prove otherwise. And it would be wrong to suggest that chancellors are always right on spending or that they don't also act politically. Sunak has one handy advantage, though: It will be very hard for Johnson to sack a second chancellor in a row.(This column was updated with details from Javid's resignation letter.)To contact the author of this story: Therese Raphael at traphael4@bloomberg.netTo contact the editor responsible for this story: James Boxell at jboxell@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Therese Raphael writes editorials on European politics and economics for Bloomberg Opinion. She was editorial page editor of the Wall Street Journal Europe.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
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| U.S. says prepared to help North Korea combat threat from coronavirus Posted: 13 Feb 2020 02:01 PM PST |
| Limbaugh draws bipartisan criticism for Buttigieg remarks Posted: 13 Feb 2020 01:53 PM PST  Conservative talk show host Rush Limbaugh drew bipartisan criticism Thursday for saying the country won't elect Pete Buttigieg president because he's been "kissing his husband" on stage after debates. Limbaugh's comments came eight days after President Donald Trump awarded him the nation's top civilian honor during the State of the Union address. Limbaugh, a staunch Trump ally who recently announced he has advanced lung cancer, made the remarks on his nationally syndicated radio show.
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| Holding-cell stats raise questions about Trump asylum policy Posted: 13 Feb 2020 01:49 PM PST  Many U.S. holding cells along the Mexican border were less than half-full, even empty, during an unprecedented surge of asylum-seeking families from Central America, newly unsealed court documents show, raising questions about the Trump administration's claims that it had to make people wait in Mexico because it didn't have the means to accommodate them. Holding cells were no more than half-full at 18 of 24 border crossings on a majority of days between July 2018 and June 2019, according to the analysis of government data. Legal advocates for migrants say the figures show that Trump administration officials were making up excuses to keep people from entering the U.S. to apply for asylum.
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| Barr: Trump tweets on cases make it 'impossible' to do job Posted: 13 Feb 2020 01:32 PM PST  Barr made the comment during an interview with ABC News just days after his Justice Department overruled its own prosecutors — who had recommended in a court filing that Trump's longtime ally and confidant Roger Stone be sentenced to 7 to 9 years in prison — and took the extraordinary step of lowering the amount of prison time it would seek. Barr himself has been under fire for the Justice Department action, and Thursday's comment served as a defense of his own integrity. The remarks, made so quickly after the decision to back away from the sentencing, suggested that Barr was aware the reversal had chipped away at the department's historic reputation for independence from political sway.
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| World's Largest Platform for Air Quality Data launched at Tenth World Urban Forum Posted: 13 Feb 2020 12:59 PM PST  The United Nations Environment Programme (UNEP), together with UN-Habitat and IQAir, a Swiss air quality technology company, launched the world's largest air quality data platform, bringing together real-time air pollution data from over 4,000 contributors, including citizens, communities, governments and the private sector to work towards healthier, more sustainable cities.
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| U.S., Iran use Swiss as go-between to negotiate release of Americans held in Iran Posted: 13 Feb 2020 12:57 PM PST  Despite nearly going to war, the U.S. and Iran have kept a channel open to discuss the possible release of prisoners.
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| US Senate votes to restrain Trump on Iran Posted: 13 Feb 2020 12:56 PM PST  The US Senate voted Thursday to rein in President Donald Trump from attacking Iran, sharply rebuking his foreign policy despite a week earlier acquitting him in his impeachment trial. Eight senators of Trump's Republican Party, which enjoys a majority, bucked their leadership to join Democrats in a resolution that bars any military action against Iran without an explicit vote from Congress. "The Senate just sent a clear shot across the bow -- a bipartisan majority of senators don't want the president waging war without congressional approval," Democratic Senate leader Chuck Schumer said after the vote.
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| Buttigieg's rocky record on race gets a closer look Posted: 13 Feb 2020 12:47 PM PST  Democratic presidential candidate Pete Buttigieg is facing a more intense spotlight on his past leadership on issues of race and policing as he tries to translate his strong showing in Iowa and New Hampshire into support in more diverse states. Buttigieg, who spent eight years as mayor of South Bend, Indiana, has tripped up in recent days as he was grilled about his record, including the racial disparity in marijuana arrests in South Bend and decisions that led to him having no African American leaders in his administration during a crucial stretch of his tenure in a city where more than a quarter of residents are black. "Before anybody cares what's in your plans, they want to know if you're a serious contender, and I think up until we had the results we did here in Iowa and New Hampshire, it was difficult for us to prove," Buttigieg said Wednesday on PBS.
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| Senate passes Iran war powers resolution, Schumer admits it would take a 'miracle' for Trump not to veto Posted: 13 Feb 2020 12:24 PM PST  The Senate has voted to limit President Trump from pursuing military action against Iran without approval from Congress, and Senate Minority Leader Chuck Schumer (D-N.Y.) is holding out some hope he won't veto it.The Senate in a 55 to 45 vote Thursday passed Sen. Tim Kaine's (D-Va.) resolution, with eight Republicans joining the effort to ensure Trump receive authorization from Congress before taking military action against Iran, The New York Times reports. The resolution was not passed with enough support to override a veto from Trump. "Miracles happen," Schumer said in a press conference after the vote, BuzzFeed News reports. "Maybe President Trump will come to his senses and not veto this."That certainly would be a miracle. A recent White House statement of administration policy makes clear that Trump's "advisors would recommend that he veto the joint resolution,"and Trump ahead of the vote this week tweeted that passing the resolution "sends a very bad signal," also writing that "if my hands were tied, Iran would have a field day." More stories from theweek.com Andrew Yang asks his gang to support Democrats everywhere in DNC email blast The sidelining of Elizabeth Warren The Don seizes the Justice Department
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| Officials: Eastern forces bomb Tripoli neighborhoods, 1 dead Posted: 13 Feb 2020 12:13 PM PST  Libya's eastern-based forces indiscriminately shelled residential neighborhoods around the capital on Thursday, health authorities reported, killing one woman and wounding at least four civilians. The renewed clashes came just hours after the United Nations Security Council endorsed a 55-point road map for ending the war that demanded foreign backers of Libya's warring sides uphold a widely flouted arms embargo. On Wednesday, errant artillery shells had killed a 38-year-old man in a coffee shop in eastern Tripoli and wounded 14 others, said Amin al-Hashmi, a spokesman for the Tripoli-based health ministry.
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| Here's why Trump will veto Iran war powers bill even after Senate Republicans defy him Posted: 13 Feb 2020 11:43 AM PST  The Senate, including a handful of Republicans, have defied Donald Trump by approving a measure to limit his war powers on Iran – but the president is poised to ensure it never becomes law.A group of moderate and libertarian-minded GOP senators – Lamar Alexander of Tennessee, Bill Cassidy of Louisiana, Susan Collins of Maine, Lisa Murkowski of Alaska, Todd Young of Indiana, Mike Lee of Utah, Rand Paul of Kentucky and Jerry Moran of Kansas – ignored the president's call for the measure to be scuttled. It amounted to a rare rebuke from some members of Mr Trump's own party as members of both parties were worried either about his order to kill a top Iranian general or that his office has become too powerful.
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| Iraqi officials: Mortar shell hits airbase, no casualties Posted: 13 Feb 2020 11:43 AM PST |
| Trump-Iran conflict: Senate Republicans defy president by voting to limit his war powers Posted: 13 Feb 2020 11:40 AM PST  A handful of Republican senators ignored Donald Trump's warnings about a Democratic-crafted measure designed to limit his ability to go to war with Iran.The upper chamber passed the bill, authored by Senator Tim Kaine, with all 43 Democrats in support and eight Republicans joining them. Senators were both concerned that Mr Trump's killing of a top Iranian general – whom they all agree was a terrorist leader – was too brazen and that Congress since 9/11 has given too many war powers to the executive branch.
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| Senate passes bipartisan resolution to curb Trump's war authority on Iran Posted: 13 Feb 2020 11:38 AM PST  The Senate passed a bipartisan war powers resolution on Thursday aimed at reining in President Donald Trump's ability to use military action against Iran without prior Congressional approval. Eight Republican senators supported the resolution, despite pushback from Trump and Republican leaders on Capitol Hill.
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| NASA's space snowman reveals secrets: few craters, no water Posted: 13 Feb 2020 11:35 AM PST  NASA's space snowman is revealing fresh secrets from its home far beyond Pluto. More than a year after its close encounter with the snowman-shaped object, the New Horizons spacecraft is still sending back data from more than 4 billion miles (6.4 billion kilometers) away. "The data rate is painfully slow from so far away," said Will Grundy of Lowell Observatory in Flagstaff, Arizona, one of the lead authors.
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| Senate Votes to Curb Trump’s War Powers Over Soleimani Strike Posted: 13 Feb 2020 11:31 AM PST  (Bloomberg) -- The Senate voted to restrict President Donald Trump's ability to take military action against Iran, with eight Republicans joining Democrats to approve a measure that would require express congressional approval before a strike.The resolution, introduced by Democratic Senator Tim Kaine, bars U.S. troops from engaging in hostilities against Iran or any part of its government or military, unless Congress declares war or specifically authorizes the use of military force. The president said he will veto the legislation."With passage of this resolution, we sent a powerful message that we don't support starting a war with Iran unless Congress votes that military action is necessary," Kaine said in a statement after the vote. "If we're to order our young men and women in uniform to risk their lives and health in war, it should be on the basis of careful deliberation."The resolution was adopted on a 55-45 vote and next goes to the Democratic-led House, where it's expected to be approved. Thursday's Senate vote fell short of the margin that would be needed to override a Trump veto.Senate Minority Leader Chuck Schumer called Thursday's vote a "clear shot across the bow," to show Trump that "a bipartisan majority of senators don't want the president waging war without congressional approval."Inadequate BriefingRepublican senators Mike Lee and Rand Paul signed on as cosponsors of the measure last month after a briefing by Trump administration officials about the drone strike that killed Iranian General Qassem Soleimani in early January. The two senators said the explanation from officials, including Secretary of State Michael Pompeo, was inadequate and condescending.Lee opposed one of several attempts by GOP colleagues to sink or weaken the legislation by amending it on the Senate floor. The Utah Republican said the "military-industrial complex" has grown too powerful during the country's longest period at war. He said measures like the Kaine resolution will clarify that it is Congress's responsibility to debate and declare war."We've been lied to by the Pentagon for years regarding a war that's gone on two decades," Lee said. "We don't want additional ambiguities, we don't want any more war."Lee and Paul were joined by fellow Republicans Susan Collins of Maine and Todd Young of Indiana, who signed on to the measure after Kaine removed direct references to Trump and the Soleimani strike. Kaine said Wednesday the resolution is "not directed toward President Trump," but rather to the executive branch in general.Bipartisan VoteIn addition to GOP Senators Lee, Paul, Collins and Young, four other Republicans voted for the resolution: Lamar Alexander of Tennessee, Bill Cassidy of Louisiana, Jerry Moran of Kansas and Lisa Murkowski of Alaska.The three senators seeking the 2020 Democratic presidential nomination -- Bernie Sanders, Amy Klobuchar and Elizabeth Warren -- also left the campaign trail to be in Washington and support the measure.Kaine has said that the resolution would not prevent the president from taking action to defend U.S. troops in harm's way or to take defensive action against an imminent threat."While the president does and must always have the ability to defend the United States from imminent attack, the executive power to initiate war stops there," Kaine said. "An offensive war requires a congressional debate and vote."The president would veto the resolution, according to a Wednesday statement from his administration that called it "untimely and misguided." Kaine's resolution was drafted several weeks ago and is no longer relevant since the U.S. is not currently engaged in any hostilities against Iran, the statement said.(Updates to add lawmaker comments and vote counts beginning in the third paragraph.)To contact the reporter on this story: Daniel Flatley in Washington at dflatley1@bloomberg.netTo contact the editors responsible for this story: Joe Sobczyk at jsobczyk@bloomberg.net, Anna EdgertonFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
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| While US worries about China, Europe stays focused on Russia Posted: 13 Feb 2020 11:13 AM PST  China and its increasingly sophisticated and far-flung military sit atop U.S. Defense Secretary Mark Esper's list of international security worries, but in Europe a bigger concern is closer to home: Russia. The Trump administration has been trying since 2018 to reorient its defense strategy toward China, with reduced focus, when possible, on Russia and the years-long insurgency wars in the greater Middle East. Russia remains a U.S. worry, but Esper and other administration officials want the allies to see China as Washington does – as a far more capable adversary.
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| Trump says he might keep others from listening in on calls Posted: 13 Feb 2020 11:12 AM PST  President Donald Trump said Thursday that he might end the long-running practice of letting other administration officials listen in on presidential calls with foreign leaders. "I may end the practice entirely," Trump told Geraldo Rivera in a radio interview that aired Thursday. Trump also offered new insights into his feelings about being impeached, saying it made him think about the "dark" days when Richard Nixon resigned over the Watergate scandal before his own likely impeachment.
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| Economic Policy in Disarray After Javid Quits: U.K. Reshuffle Posted: 13 Feb 2020 10:53 AM PST  (Bloomberg) -- Sign up to our Brexit Bulletin, follow us @Brexit and subscribe to our podcast.Sajid Javid quit as Chancellor of the Exchequer following a row with Boris Johnson, sending the prime minister's Cabinet reshuffle off course and raising questions over U.K. economic policy.Rishi Sunak was appointed to replace Javid, but the prime minister's spokesman was unable to confirm that the budget will still be held on March 11 or if the government will stick to Javid's fiscal rules.Johnson earlier fired a clutch of senior ministers, including Business Secretary Andrea Leadsom, as he seeks to stamp his authority on his top team after winning a big majority in December's general election.Sajid Javid Quits as U.K. Chancellor in Major Blow to JohnsonKey Developments:Javid quits after argument with Johnson over advisersSunak named Chancellor; he has long been viewed as a rising star in the Conservative PartyAttorney General Geoffrey Cox and Northern Ireland Secretary Julian Smith confirm their dismissalsForeign Secretary Dominic Raab, Cabinet Office Minister Michael Gove, Home Secretary Priti Patel stay in their postsJavid: Johnson Must Protect Treasury Credibility (5:45 p.m.)Sajid Javid's resignation letter included a warning to Johnson not to risk the Treasury's reputation and to "ensure the Treasury as an institution retains as much credibility as possible."He told the premier that ministers should be able to have their own teams around them who can give them "clear and candid" advice, a riposte to Johnson's demand that he should fire all his advisers as a condition for keeping his job (see 5 p.m.).Javid: I had 'No Option' But to Quit (5 p.m.)Sajid Javid told reporters outside his home that he had "no option" but to resign after Boris Johnson told him the conditions for keeping his job as chancellor of the exchequer."'Whilst I was very pleased that the prime minister wanted to reappoint me, I was unable to accept the conditions that he had attached, I felt I was left with no option other than to resign." Javid said."The conditions that were attached was a requirement that I replace all my political advisers, these are people who had worked incredibly hard on behalf of not just the government but the whole country, done a fantastic job, I was unable to accept those conditions," he said. "I don't believe any self-respecting minister would accept such conditions, so therefore I decided the best thing to do was to go."Brandon Lewis Named Northern Ireland Secretary (4:40 p.m.)Brandon Lewis was appointed Northern Ireland Secretary, replacing Julian Smith, who was the first cabinet minister to be fired this morning.Lewis has held a string of ministerial roles, most recently serving as security minister for Johnson's government since July. He's also been the Conservative Party Chairman and held the ministerial briefs for immigration, policing and housing.He takes the job at a tricky time, with the devolved government in Northern Ireland only just resuming activity after three years of suspension. Since Smith was fired, a succession of figures from both side of the border have praised him for his role in helping restore power sharing to Northern Ireland and Lewis will hope the goodwill is extended to him.Javid Move Throws Economic Plans Into Doubt (4:27 p.m.)The resignation of Sajid Javid has thrown the U.K.'s economic plans into doubt.Speaking to reporters on Thursday, Boris Johnson's spokesman could not confirm that the budget will still be held on March 11 or whether Sajid Javid's fiscal rules would still apply. The comments are a sign that changes at the Treasury will go deeper than the personnel at the top."The government has a very ambitious agenda in relation to leveling up and you can expect to see No. 10 and the Treasury working closely together to deliver on promises to the British public," Johnson's spokesman James Slack said at a briefing.The fiscal rules introduced by Javid allow for an extra 20 billion pounds ($26 billion) of infrastructure spending but require day-to-day spending and revenue to be in balance within three years.Barclay Appointed Chief Secretary to the Treasury (4:20 p.m.)Former Brexit Secretary Stephen Barclay was appointed chief secretary to the Treasury, replacing Rishi Sunak after his promotion to Chancellor.It's a reward for Barclay's handling of the Brexit portfolio, where he focused on domestic preparations, and which ceased to exist after Britain left the EU on Jan. 31.Barclay worked as economic secretary to the Treasury from June 2017 to Jan. 2018, and has also been a health minister.Braverman Wants to Curb Powers of Judiciary (3:30 p.m.)The appointment of Suella Braverman as Attorney General – the government's chief legal adviser – could be seen as a signal of intent by Johnson to curb the powers of the judiciary (see 2:45 p.m.)The prime minister was humiliated in September when the Supreme Court ruled he had acted wrongly by pushing through a five-week suspension of Parliament in the run-up to his deadline for leaving the European Union. That decision was cited by Braverman in an article less than three weeks ago entitled "People we elect must take back control from people we don't. Who include the judges.""Repatriated powers from the EU will mean precious little if our courts continue to act as political decision-maker, pronouncing on what the law ought to be and supplanting Parliament," Braverman wrote on the ConservativeHome website. "To empower our people we need to stop this disenfranchisement of Parliament."George Eustice appointed Environment Secretary (3:20 p.m.)George Eustice has been appointed environment secretary, replacing Theresa Villiers.A long-serving minister in the Environment department, Eustice campaigned for Britain to leave the EU and briefly resigned from his post in 2019 in protest over Theresa May's handling of Brexit.The same year, he wrote an article for the Guardian newspaper saying food standards should not be sacrificed in any trade deal between the U.K. and the U.S., putting him on collision course with President Donald Trump's administration.Eustice worked on his family fruit farm before starting a career in politics, which included being David Cameron's press secretary from 2005 until 2007. Eustice was elected to Parliament in 2010, and has worked in the Environment department since 2013.Braverman appointed Attorney General (2:45 p.m.)Staunch Brexit supporter Suella Braverman has been appointed attorney general, replacing Geoffrey Cox, Johnson's office said.A lawyer by training, Braverman was chairwoman of the pro-Brexit European Research Group from June 2017 to January 2018. She quit as parliamentary under-secretary at the Brexit department in Nov. 2018 in protest at then Prime Minister Theresa May's draft withdrawal agreement. She was one of the self-styled "Spartans" who voted three times against May's deal.Born in Harrow, London, her parents emigrated to Britain in the 1960s from Kenya and Mauritius. She studied Law at Cambridge and read a Masters at the Pantheon-Sorbonne in Paris. Before being elected to Parliament, she worked as a barrister.Dowden Promoted to Culture Secretary (2:10 p.m.)Oliver Dowden was promoted to Culture Secretary, replacing Nicky Morgan, who said earlier she stood down on her own volition (see 10:30 a.m.)Dowden inherits the tricky task of piloting controversial legislation through Parliament allowing Chinese firm Huawei Technologies Co. to help develop Britain's next-generation broadband networks. It's an issue that's seen significant opposition from Conservative lawmakers.Dowden supported Britain remaining in the EU in the 2016 referendum and was a deputy chief of staff to former Prime Minister David Cameron. He was elected to Parliament in 2015 and elevated to Johnson's top team as a minister for the Cabinet Office in July.Trevelyan Named Development Secretary (1:40 p.m.)Anne-Marie Trevelyan was named international development secretary, replacing Alok Sharma, who took the business portfolio.Previously minister for the armed forces, Trevelyan is a vocal Brexit supporter. She resigned from her position as a parliamentary private secretary in 2018 in protest over former Prime Minister Theresa May's draft divorce deal with Brussels.Elected in 2015, she joined the pro-Brexit European Research Group and represents the northern community of Berwick-upon-Tweed, which has an active fishing community. She has been a regular advocate of the U.K. regaining control of its fishing waters after leaving the EU.McDonnell Bids Farewell to 'Chino' (12:50 p.m.)John McDonnell, economy spokesman for the main opposition Labour Party, said Sajid Javid's resignation showed that Dominic Cummings, Johnson's most senior adviser, had taken over the U.K.'s purse strings."Dominic Cummings has clearly won the battle to take absolute control of the Treasury and install his stooge as Chancellor," McDonnell, who earlier this week taunted Javid as "Chino," or "Chancellor in name only," said in a statement.Javid was in the job for less than seven months, making him the shortest-serving chancellor for 50 years.Sharma Named Business Secretary (12:45 p.m.)Alok Sharma has been promoted to Business Secretary, replacing Andrea Leadsom.Sharma, previously International Development Secretary, will also oversee the next stage of global climate change talks, known as COP 26, in Glasgow this year.Climate Summit Row Overshadows Johnson's Clean Cars PledgeDespite backing Remain in the 2016 referendum on the U.K.'s EU membership, Sharma, 52, was loyal to both Theresa May and Boris Johnson on Brexit, consistently voting for their divorce deals in the House of Commons.Pound Rallies on Fiscal Speculation (12:30 p.m.)The pound rallied above $1.30 while gilts fell after Sajid Javid resigned as Chancellor of the Exchequer, causing speculation the U.K. may move toward more fiscal stimulus.Javid's departure led to speculation there may be increased fiscal spending as Boris Johnson moves away from Javid's already loosened fiscal rules.Pound Rallies as Javid Resignation Prompts Fiscal SpeculationSunak appointed Chancellor (12:20 p.m.)Rishi Sunak, who was chief secretary to the Treasury before Sajid Javid's dramatic resignation, was appointed to succeed him in the top job at the Treasury.Sunak is seen as a rising star in the Conservative Party, who worked at Goldman Sachs and in hedge funds before his career in politics. Elected to Parliament in 2015, he backed Brexit and was promoted to his Treasury role by Johnson last year.A graduate of Oxford with an MBA from Stanford, he represented the Tories in TV debates during the 2019 general election.Gove, Raab, Patel Stay in Post (12:15 p.m.)Foreign Secretary Dominic Raab and Michael Gove, the Chancellor of the Duchy of Lancaster, will stay in their jobs, Johnson's office said in an email. Home Secretary Priti Patel is also staying on.Javid Quits as Chancellor (12 p.m.)Sajid Javid quit as U.K. Chancellor of the Exchequer, a shock departure from Boris Johnson's government.Javid was offered the job on the condition that he sacked all five of his special advisers at the request of the prime minister, which he refused, according to two people familiar with the matter.Javid had served as Britain's finance minister since July 2019. His departure comes just weeks before the budget, where he was expected to announce a "decade of renewal" with tax cuts and spending for disadvantaged areas.Javid stood for leadership of the Conservative Party against Johnson last year, coming fourth in the race, before being appointed Chancellor.Javid Quits as Chancellor, Sun Reports (11:50 a.m.)Sajid javid has quit as chancellor of the exchequer, the Sun newspaper reported, without saying where it got the information.Varadkar Adds to Praise for Smith (11:30 a.m.)Ireland's Prime Minister Leo Varadkar added to the praise for fired Northern Ireland Secretary Julian Smith, further underlining the respect there is for him across the Irish Sea.Smiling Ministers Remaining in Cabinet (11:25 a.m.)Several Cabinet ministers have already been spotted arriving at Johnson's office in Number 10 Downing Street with smiles on their faces. The fact that they are walking up Downing Street is a clear sign that they'll still be in Johnson's top team at the end of the day -- though they may change jobs.Chancellor Sajid Javid, Foreign Secretary Dominic Raab, Cabinet Office Minister Michael Gove, Home Secretary Priti Patel, Justice Secretary Robert Buckland and International Development Secretary Alok Sharma have all entered Number 10 through the famous black door.Ireland's Coveney Thanks Smith (10:45 a.m.)Simon Coveney, Ireland's deputy prime minister, sent a message of support to Julian Smith, who won the respect of politicians in Dublin and Belfast for his role in restarting power-sharing in Northern Ireland last month (See 9.25 a.m).Coveney described Smith as "effective" at "a time of real challenge and risk" and said the restoration of the government in Northern Ireland would not have been possible without his leadership.Smith's replacement will have to work fast to build up trust on both sides of the border. Trade arrangements on the island of Ireland, and the continuation of the peace process, will come under strain in ongoing negotiations on the U.K.'s future partnership with the EU.Morgan Leaves Cabinet of Own Volition (10:30 a.m.)Nicky Morgan told Bloomberg that she's left the cabinet of her own volition, in a move that had been widely expected. She stepped down from the House of Commons at the general election, but Johnson appointed her to the House of Lords and persuaded her to stay on in her role as Culture Secretary until the reshuffle.Morgan's successor will inherit a headache in the government's decision to allow Huawei Technologies Co. to be involved in the U.K.'s 5G telecom networks: there's growing opposition to the decision among rank-and-file Conservative members of Parliament.Cox Quits at PM's Request (10:25 a.m.)Attorney General Geoffrey Cox confirmed he has been forced out of the cabinet by Johnson, publishing a letter to the prime minister in which he said he was "writing to resign that office, as you requested."Cox, who provided often controversial legal advice to the government as first Theresa May, then Johnson, tried to get Brexit through Parliament, said he had sought to give "candid and independent" guidance to ministers.He also used the letter to remind the prime minister that he had introduced him at the launch of his campaign to be Tory leader last summer, underlining the turnaround in the relationship between the two men.Villiers Confirms She's Been Fired (10:10 a.m.)Theresa Villiers confirmed she's been fired as environment secretary in a post on Facebook listing her achievements in office, including publishing "the most important Environment Bill for decades.""What the Prime Minister giveth, the Prime Minister taketh away," Villiers wrote. "Just over six months ago, I was delighted to be invited by the Prime Minister to return to government after three years on the backbenches. This morning he told me that I need to make way for someone new."Johnson Ousts Business Secretary Leadsom (10 a.m.)Prominent Brexiteer Andrea Leadsom confirmed she's been fired from Boris Johnson's Cabinet and will no longer serve in his government.Leadsom, 56, twice ran for leader of the Tory party and had been business secretary in Johnson's government since July. Her resignation from Theresa May's Cabinet last year helped to precipitate the former prime minister's downfall, which paved the way for Johnson to take over.McVey Fired From Cabinet (9:55 a.m.)Esther McVey has been fired as housing minister, she said on Twitter, before pledging her continuing support to the government."I'm very sorry to be relieved of my duties as Housing Minister," she wrote. "I'm very grateful to the Prime Minister for having given me the opportunity to serve in his government & he will continue to have my support from the back benches."McVey, a prominent Brexiteer, was appointed to the role by Johnson when he took office in July.Smith Confirms He's Left Cabinet (9:40 a.m.)Julian Smith confirmed by phone that he's been sacked as Northern Ireland Secretary, clarifying his Tweet earlier suggesting that was the case (see 9:35 a.m.)Smith Suggests He's Been Fired (9:25 a.m.)Julian Smith indicated on Twitter he's been dismissed as Northern Ireland Secretary."Serving the people of Northern Ireland has been the biggest privilege. I am extremely grateful to Boris Johnson for giving me the chance to serve this amazing part of our country," Smith wrote. "The warmth & support from people across NI has been incredible. Thank you so much."Nightmare on Downing Street as Team Johnson Fears Brexit MutinySmith appears to have been sacked from the role despite being credited with bringing the opposing parties in Northern Ireland together to restart the province's power-sharing executive last month after a three-year hiatus.Tory Party's Challenge With Women (8:45 a.m.)While Boris Johnson plans to promote more women to junior roles in Thursday's government reshuffle, a look at the makeup of the Parliamentary Conservative Party shows the challenge it faces in pushing women up through the ranks.While a record 87 women were elected Conservative Members of Parliament in December's election, that's still just 24% of the party's 365 MPs. The opposition Labour Party, by contrast, has 104 women among its 202 MPs.Currently, seven out of the Cabinet's 22 full members are women; of the 32 ministers who attend Cabinet (including full members), 8 are women.Pickles: Reshuffle Vital for Getting Things Done (Earlier)Former Conservative Party chairman Eric Pickles urged Boris Johnson to select people who can deliver on policies by effectively running their departments, rather than just because they are good media performers."Who can get things done? You can be the greatest communicator in the world, but if you can't get things done you're not that much use to a government," Pickles told Sky News. "The big question is what is the government going to be like for Boris over the next two years, because ff he gets this reshuffle wrong, he isn't really going to be able to change very much."Meanwhile Tobias Ellwood, Tory chairman of the House of Commons Defence Committee, said the prime minister needs to ensure there are dissenting voices around the cabinet table. "A good confident prime minister needs people round the table who will take collective responsibility but also tell perhaps the things he doesn't want to hear," he told Sky News.Earlier:Women Set for Junior Jobs in Johnson's U.K. Government ReshuffleJohnson Heralds U.K. 'Golden Age' as He Pushes On With Brexit\--With assistance from Thomas Penny, John Ainger and Alex Morales.To contact the reporters on this story: Joe Mayes in London at jmayes9@bloomberg.net;Jessica Shankleman in London at jshankleman@bloomberg.net;Tim Ross in London at tross54@bloomberg.netTo contact the editors responsible for this story: Tim Ross at tross54@bloomberg.net, Stuart Biggs, Thomas PennyFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
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| The New Faces in Boris Johnson’s Cabinet After His Dramatic Reshuffle Posted: 13 Feb 2020 10:53 AM PST |
| Prankster films residents reacting to latest stunt: 'Is this for real right now?' Posted: 13 Feb 2020 10:48 AM PST  A Russian man thought it would be funny to stick a fake portrait of Russian President Vladimir Putin to his building's elevator wall.
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| U.S. says Chinese telecom giant Huawei did business with Iran, North Korea Posted: 13 Feb 2020 10:48 AM PST  Prosecutors in Brooklyn, New York, alleged that Huawei set up a shell company in Iran so the subsidiary could purchase U.S. goods, technology and services in an effort to skirt sanctions.
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| U.K. Economic Policy Left in Disarray After Chancellor Resigns Posted: 13 Feb 2020 10:46 AM PST  (Bloomberg) -- The U.K.'s economic policy was thrown into disarray after Sajid Javid dramatically quit as Chancellor of the Exchequer following a row with Prime Minister Boris Johnson.Johnson's office could not confirm that the budget will go ahead as planned on March 11, or that the government will keep to fiscal rules -- announced by Javid -- which require day-to-day public spending and revenue to be in balance within three years.Though Johnson's office moved swiftly to appoint Javid's deputy, Rishi Sunak, as the new chancellor, the sudden shift in personnel risks throwing Britain's preparations for life outside the European Union into chaos. Next month's budget was planned to show a key part of Johnson's vision for the country outside the world's largest trading bloc.Javid resigned after a face-to-face argument with Johnson inside his 10 Downing Street office. The prime minister demanded that Javid fire all five of his most senior aides and set up a new joint economic unit with Johnson's office. The chancellor refused and quit, pushing the prime minister's Cabinet reshuffle into chaos."I don't believe any self-respecting minister would accept such conditions and so therefore I felt the best thing to do was to go," Javid later told the BBC. "The conditions that were attached were a requirement to replace all my political advisers. These are people who had worked incredibly hard on behalf of not just the government but the whole country."Javid, who had served as Britain's finance minister since July 2019, had been locked in a power battle with Johnson's top adviser Dominic Cummings for months over control of the Treasury.Earlier SpatLast year, a furious Javid confronted Johnson and Cummings over the dismissal of Sonia Khan, his media adviser. Cummings had fired her on Aug. 29 after accusing her of lying about being in contact with former colleagues close to Javid's predecessor, Philip Hammond, who was committed to preventing a no-deal Brexit.Javid's resignation letter to Johnson contained a parting shot in the dispute, emphasizing that it is important to "have people around you who can give you clear and candid advice" and warning the prime minister not to allow the Treasury's reputation to be damaged."I would urge you to ensure the Treasury as an institution retains as much credibility as possible," he wrote. "They are among the very best public servants we have and I hope they can continue to play a central role in driving an economic agenda that puts people and place at its heart."Sunak has agreed to work with the prime minister's office to set up the joint economic unit rejected by Javid, with appointments expected over the coming days, a government official said. The unit will feed into the budget process.One of five sons of Pakistani immigrants, Javid worked in business and finance before joining Parliament in 2010, with roles at Chase Manhattan Bank and Deutsche Bank. A major figure in the Tory party, he has held various Cabinet posts, including the culture, business and housing portfolios.Brief TenureHis departure is the most dramatic of any chancellor since Nigel Lawson resigned in 1989. Lawson quit because Margaret Thatcher refused to fire her personal economic adviser Alan Walters, whom he accused of undermining his position.Javid's replacement, who was chief secretary to the Treasury, is seen as a rising star in the Conservative Party. He worked at Goldman Sachs and in hedge funds before his career in politics.Elected to Parliament in 2015, Sunak backed Brexit and was promoted to his Treasury role by Johnson last year. He studied at Oxford and has an MBA from Stanford, and represented the Tories in TV debates during the 2019 general election.Sunak must now rapidly prepare for a budget that was already set to provide a major fiscal boost after a decade of austerity, and there is speculation the new chancellor may prove less of a brake on Johnson's spending ambitions. The pound rallied and gilts fell on the news of Javid's resignation.Budget GoalFiscal rules introduced by Javid allow for an extra 20 billion pounds ($26 billion) of infrastructure spending but require day-to-day spending and revenue to be in balance in the third year of any forecast.The balanced-budget goal is much tighter than had been expected, possibly reflecting the restraining influence of Javid, who last month asked ministers to find savings ahead of a spending review due to take place later this year.During his Tory leadership campaign, Johnson had promised tax cuts totaling more than 20 billion pounds, including raising the point at which people pay higher-rate income tax. But most of these pledges were ditched ahead of the general election, with giveaways limited to a payroll saving of less than 100 pounds a year for most workers.Sunak may try to reassure markets by pledging to stick to Javid's fiscal rules but the risk of tax rises and additional borrowing have increased, according to Mujtaba Rahman, managing director at Eurasia Group.\--With assistance from Andrew Atkinson.To contact the reporters on this story: Joe Mayes in London at jmayes9@bloomberg.net;Jessica Shankleman in London at jshankleman@bloomberg.net;Robert Hutton in London at rhutton1@bloomberg.netTo contact the editors responsible for this story: Tim Ross at tross54@bloomberg.net, Thomas Penny, Alex MoralesFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
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| Rights group: Jailed Egyptian activist's conditions worsen Posted: 13 Feb 2020 10:31 AM PST  Police transferred an Egyptian activist who was arrested upon arrival at the Cairo airport from Italy to a "less favorable" detention facility Thursday, a local rights group said, just as his parents showed up for visiting hours. Officials detained Patrick George Zaki, 28, a human rights advocate and student at the University of Bologna in Italy, after he landed in Cairo for a brief trip home.
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| U.S. accuses Huawei of stealing trade secrets, assisting Iran Posted: 13 Feb 2020 10:16 AM PST  U.S. prosecutors on Thursday accused Huawei of stealing trade secrets and helping Iran track protesters in its latest indictment against the Chinese company, escalating the U.S. battle with the world's largest telecommunications equipment maker. In the indictment, which supersedes one unsealed last year in federal court in Brooklyn, New York, Huawei Technologies Co was charged with conspiring to steal trade secrets from six U.S. technology companies and to violate a racketeering law typically used to combat organized crime.
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| Marie Yovanovitch: former ambassador warns of ‘amoral’ US foreign policy Posted: 13 Feb 2020 10:10 AM PST  She cited a need for the country to be 'principled, consistent and trustworthy' while accepting an award for diplomacyThe former US ambassador to Ukraine, Marie Yovanovitch, has warned that the US had adopted an "amoral" foreign policy that "substitutes threats, fear and confusion for trust".In her first public remarks since leaving the US foreign service two weeks ago, Yovanovitch said that the Trump administration's handling of foreign policy risked alienating allies and driving them into the arms of other partners they find more reliable.The veteran former ambassador was ousted from her post in Kyiv by Donald Trump last May, at the time the president and his associates were putting pressure on the Ukrainian government to launch investigations of Trump's political opponents. Yovanovitch gave evidence about the pressure campaign at congressional impeachment hearings before retiring from the foreign service altogether."We need to be principled, consistent and trustworthy," she said while accepting an award for diplomacy at Georgetown University. "To be blunt, an amoral, keep-them-guessing foreign policy that substitutes threats, fear and confusion for trust cannot work over the long haul.""At some point, the once unthinkable will become the inevitable – that our allies who have as much right to act in their own self-interest as we do, will seek out more reliable partners partners whose interests might not align well with ours."Yovanovitch was given a lengthy, thunderous standing ovation by an audience of students and diplomats and beamed as she took the stage. She warned that the state department was "in trouble" adding that its leadership lacked "policy vision" and "moral clarity".The secretary of state, Mike Pompeo, did not defend her when she was smeared by the president's lawyer, Rudy Giuliani, and did not appear to try to stop her removal from her post. When asked about her last month, Pompeo launched an obscenity-laced tirade against the journalist who raised the question.Yovanovitch described her months at the centre of the impeachment uproar as a "through-the-looking-glass experience", and said she was forced to "dig deep a little bit" and rely on family, friends, faith and, in the wake of her retirement, fun.She was given the Trainor Award for Excellence in the Conduct of Diplomacy at Georgetown University. Previous winners have been the then US secretary of state, Madeleine Albright, and then secretary general of the United Nations, Kofi Annan.And on a brighter note, she said: "With all the focus on Ukraine, it has meant that there is continued bipartisan support for a strong Ukraine policy."Yovanovitch spoke out in an opinion article for the Washington Post earlier in the month.She wrote: "These are turbulent times, perhaps the most challenging that I have witnessed. But I still intend to find ways to engage on foreign policy issues and to encourage those who want to take part in the important work of the Foreign Service."She added: "Like my parents before me, I remain optimistic about our future. The events of the past year, while deeply disturbing, show that even though our institutions and our fellow citizens are being challenged in ways that few of us ever expected, we will endure, we will persist and we will prevail."Testifying before the House of Representatives in the impeachment inquiry last year, Yovanovitch spoke about the devastating campaign to undermine her work in Ukraine by the president and his confidants, before he ultimately recalled her from the job.She told impeachment investigators she felt "shocked and devastated" by Trump's personal attacks on her, and that she was "amazed" corrupt elements in Ukraine had found willing American partners to take her down.Trump tweeted attacks on her even as she testified, accusing Yovanovitch of incompetence, an experience she told the committee that she found intimidating.
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| John Kelly Unites Trump and His Critics in Hatred Posted: 13 Feb 2020 10:02 AM PST  President Trump trashed his former Chief of Staff John Kelly on Thursday after the retired Marine Corps general finally let loose on his misgivings about Trump's behavior regarding North Korea, illegal immigration, military discipline, Ukraine, and the news media.In a 75-minute speech and Q&A session at Drew University, first reported by The Atlantic, Kelly, who left the White House in early 2019, took some less-than-subtle shots at his former boss. He said ousted impeachment witness Alexander Vindman was rightly disturbed by Trump's infamous phone call with Ukrainian President Volodymyr Zelensky and was simply doing his job when he reported his concerns."He did exactly what we teach them to do from cradle to grave," Kelly reportedly said. "He went and told his boss what he just heard."Trump hit back, suggesting Kelly—whom he once called "a Great American"—was in "way over his head" as chief of staff and "went out with a whimper" and that he "terminated" him.Trump then dragged Kelly's wife into the fray, claiming she once promised that the four-star general would only speak well of Trump.Anthony Scaramucci, the short-lived member of the Trump administration, and Kellyanne Conway's husband George Conway, a vocal Trump critic, stepped in to defend Kelly.But Trump critics weren't ready to welcome Kelly into the fold, questioning his convenient discovery of a moral compass now, rather than during his time in the White House and as Homeland Security secretary.Political analyst and prominent Never Trumper Bill Kristol said it would have been better to hear Kelly's defense of Lt. Col. Vindman during the impeachment debate."Nice to see John Kelly's Please Forgive Me Tour is off to a strong start. Would have been nice if he had spoken out a long time ago," Congressman David Cicilline (D-RI) tweeted."If he despised the president so much why did he accept the chief of staff job after having served as DHS secretary?" right-wing radio host Mark Levin tweeted.Walter Shaub, former director of the Office of Government Ethics, said he didn't care what Kelly had to say."He disqualified any opinion he'll ever have when, before the separation policy, he said stealing children from their parents would be a good way to 'deter' other families. He also likely knows things about Trump's corruption he isn't sharing," he posted.Kelly, who helped Trump enforce a policy of putting migrant children in cages, told the college audience Wednesday that he though migrants were "overwhelmingly good people" and "not all rapists... and it's wrong to characterize them that way. I disagreed with the president a number of times."Since he left the White House, Kelly has served on the board of Caliburn International, which is the parent company of a firm that operates shelters for unaccompanied migrant children.John Kelly Pushing Out Omarosa for 'Triggering' TrumpHe said he didn't support Trump's characterization of the press as the "enemy of the people," and he was skeptical of Trump's lofty ambitions to get North Korea to give up its nuclear weapons."President Trump tried—that's one way to put it. But it didn't work," he said. Kelly ran the Department of Homeland Security before being tapped by Trump to replace outgoing Chief of Staff Reince Priebus. He had a strained relationship with the president throughout his tenure, looking visibly troubled during Trump's Charlottesville speech and enduring persistent rumors of a rift with his boss. On Wednesday, he said it was a "killer" working for Trump and he disagreed with the president a number of times. He said his wife, Karen, encouraged him to take the job at DHS in the Trump administration."I frankly think he needs you and people like you," she told him, according to Kelly. Read more at The Daily Beast.Got a tip? Send it to The Daily Beast hereGet our top stories in your inbox every day. Sign up now!Daily Beast Membership: Beast Inside goes deeper on the stories that matter to you. Learn more.
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| Brrrr! Arctic front brings dangerous wind chills to Midwest Posted: 13 Feb 2020 09:53 AM PST  Students stayed home from school Thursday and several businesses were closed in parts of the upper Midwest as arctic air pushed wind chill readings to dangerously low temperatures. A wind chill warning was in effect for northeastern North Dakota and northern Minnesota, with wind chill readings plunging to more than 40 below zero (-40 Celsius) in some areas. Forecasters from the National Weather Service urged people to limit time outdoors and bundle up, as exposed skin could be subject to frostbite in as little as 10 minutes.
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| Puerto Rico online scam targeted more than $4M amid crisis Posted: 13 Feb 2020 09:43 AM PST  An online scam that targeted Puerto Rican agencies attempted to steal more than $4 million, police said Thursday, deepening concerns about the management of local government finances during an economic crisis. The scam began when someone hacked into the computer of a finance worker at the island's Employee Retirement System in December, said José Ayala, director of the fraud unit within the bank robbery division. The hacker then posed as the female employee and sent emails to various government agencies alleging a change in bank accounts, he told The Associated Press.
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| Women protesters in Iraq defy radical cleric, take to street Posted: 13 Feb 2020 09:43 AM PST  Hundreds of Iraqi women took to the streets of central Baghdad and southern Iraq on Thursday in defiance of a radical cleric's calls for gender segregation at anti-government protest sites. An anti-government protest movement began Oct. 1 to decry rampant corruption, poor services and unemployment in Baghdad and Iraq's predominantly Shiite south. The protests have been unique because they have drawn both men and women who have camped out alongside each other in protest squares, a rare occurrence in Iraq, a conservative majority Muslim country.
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| Regime offensive in NW Syria displaces more than 800,000: UN Posted: 13 Feb 2020 09:37 AM PST  A Russia-backed Syrian regime offensive on the last major rebel bastion in the country's northwest has displaced more than 800,000 people since December, the United Nations said on Thursday. "Of the more than 800,000 people who have been displaced in northwest Syria from 1 December 2019 to 12 February 2020, some 60 percent are estimated to be children," said the United Nation's humanitarian coordination office, OCHA. The Idlib region, including parts of neighbouring Aleppo province, is home to some three million people, half of them already displaced from other parts of the country.
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| British finance minister quits in reshuffle shock Posted: 13 Feb 2020 09:35 AM PST  Sajid Javid quit as Britain's finance minister on Thursday just weeks before the scheduled annual budget statement, in a shock move provoked by Prime Minister Boris Johnson's attempts to shake up his cabinet after Brexit. The chancellor of the Exchequer said he had "no option but to resign" after Johnson offered to keep him on but only if he got rid of all his political advisers. Javid was immediately replaced by his 39-year-old deputy, Rishi Sunak, a former investment banker and Brexit supporter who is seen as close to Johnson.
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| Sudan says deal signed with families of victims of USS Cole bombing Posted: 13 Feb 2020 09:34 AM PST  Sudan said Thursday it has signed a deal with the families of the victims of the 2000 bombing of the USS Cole in Yemen, meeting a key condition for removing the country from Washington's terrorism blacklist. The United States has set certain benchmarks that Sudan has to meet to be removed from its state sponsor of terrorism list, which also includes North Korea, Iran and Syria. Compensating the victims of the USS Cole attack had been a key condition imposed by the US administration.
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| Ex-White House chief of staff John Kelly speaks out against Trump Posted: 13 Feb 2020 09:31 AM PST  Kelly defended fired impeachment inquiry witness Alexander Vindman and criticized Trump's policiesThe former White House chief of staff John Kelly has backed the fired impeachment inquiry witness Alexander Vindman, launching a spirited defense of the former National Security Council official and criticizing the Trump administration across a range of issues.Kelly, a retired four-star Marine Corps general, told an audience at Drew University in New Jersey on Wednesday evening that Vindman was simply following the training he had received as a soldier when he flagged his concerns about Donald Trump's phone conversation with the Ukrainian president, Volodymyr Zelenskiy, last summer."He did exactly what we teach them to do from cradle to grave," Kelly said. "He went and told his boss what he just heard." Kelly's comments were first reported in the Atlantic.Vindman, a Ukraine policy specialist, complied with a congressional subpoena and spoke out about hearing Trump tie US military aid for Ukraine to an agreement by Zelinskiy to investigate Joe Biden, Kelly said.Trump responded abrasively, tweeting: "He came in with a bang, went out with a whimper, but like so many X's, he misses the action & just can't keep his mouth shut, which he actually has a military and legal obligation to do."He added: "His incredible wife, Karen, who I have a lot of respect for, once pulled me aside & said strongly that John respects you greatly. When we are no longer here, he will only speak well of you.' Wrong!"In his address, Kelly spoke of Trump's Ukrainian phone call."Through the Obama administration up until that phone call, the policy of the US was militarily to support Ukraine in their defensive fight against … the Russians. And so, when the president said that continued support would be based on X, that essentially changed. And that's what that guy [Vindman] was most interested in."But when Vindman heard Trump tell his counterpart he wanted to see the Biden family investigated, he understood he was hearing an "an illegal order", Kelly said.He said: "We teach them, 'Don't follow an illegal order. And if you're ever given one, you'll raise it to whoever gives it to you that this is an illegal order, and then tell your boss."The former chief of staff also criticized the president's attacks on certain media outlets – which Trump has often accused of being "fake news" and sought to sideline or restrict access to the White House – saying he did not view the media as "the enemy of the people"."The media, in my view, and I feel very strongly about this, is not the enemy of the people. We need a free media," he said, according to the Daily Record.Kelly continued: "That said, you have to be careful about what you are watching and reading, because the media has taken sides. So if you only watch Fox News, because it's reinforcing what you believe, you are not an informed citizen."Kelly also questioned Trump's intervention in the case of Eddie Gallagher, the Navy Seal convicted of posing with the body of a dead Isis fighter. Trump quashed Gallagher's demotion and then ordered the navy to drop the revocation of his special forces status, leading to the resignation of the navy secretary, Richard Spencer.The intervention, Kelly said, "was exactly the wrong thing to do. Had I been there, I think I could have prevented it."Kelly said he took issue with Trump's policies in a number of key areas. He said migrants to the US are "overwhelmingly good people" and "not all rapists" – a reference to comments Trump made about Mexican immigrants in 2015."In fact, they're overwhelmingly good people," Kelly said. "They're not all rapists and they're not all murderers. And it's wrong to characterize them that way. I disagreed with the president a number of times."Trump's border wall, he added, doesn't need to extend "from sea to shining sea".Kelly's 75-minute address also touched a number of international topics. He said he considered the administration's efforts to convince North Korea's leader, Kim Jong-un, to abandon the country's nuclear weapons program hopeless.Kelly said: "I never did think Kim would do anything other than play us for a while, and he did that fairly effectively."Asked why he had accepted the White House position, Kelly said he didn't know Trump before 2016, but had been "fascinated – not necessarily in a good way – but fascinated as to what that election meant to our country".When he was approached to become secretary of homeland security, he said, his wife urged him to accept the position. "I, frankly, think he needs you and people like you," she told him.
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| Russian WWII intelligence veteran Botyan dies at 103 Posted: 13 Feb 2020 09:29 AM PST  Alexei Botyan, a veteran of Soviet intelligence hailed for saving the Polish city of Krakow from being blown up by the Nazis during World War II, has died at 103. Russian President Vladimir Putin hailed Botyan as a "legendary intelligence officer" and a "true patriot" in a telegram of condolences. Botyan died in Moscow on Thursday just three days after his 103rd birthday.
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| UN says 140,000 displaced in 3 days amid Syrian offensive Posted: 13 Feb 2020 09:15 AM PST  Over 140,000 Syrians have been displaced in the last three days alone by violence in the country's northwest, bringing the total of those uprooted in a Syrian government offensive against the last opposition stronghold to over 800,000, the United Nations said Thursday. The U.N. said at least 60% of the more than 800,000 displaced since Dec. 1 are children. The government offensive, backed by Russia, has intensified and expanded to include southern and eastern Idlib province as well as southern and western Aleppo, an area home to an estimated 4 million people.
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