Category Archives: News

Worldwide news. News is information about current events. This may be provided through many different media: word of mouth, printing, postal systems, broadcasting, electronic communication, or through the testimony of observers and witnesses to events. News is sometimes called “hard news” to differentiate it from soft media

Top Democrats Vow to Intensify Trump Probes

Top Democratic lawmakers vowed Sunday to step up their investigations of U.S. President Donald Trump and his connections to Russia during the 2016 presidential election.

House Judiciary Committee Chairman Jerrold Nadler told ABC News that on Monday his panel would be issuing requests for documents to 60 people, “to begin the investigations to present the case to the American people about obstruction of justice, corruption and abuse of power.”

He said the requests would be sent to officials at the White House and Justice Department, along with Trump’s oldest son, Donald Trump Jr., and Allen Weisselberg, the chief financial officer of the Trump Organization, the president’s global business empire.

Nadler said he believes the president has obstructed justice during his two years in office. He said that Trump’s former long-time personal lawyer, Michael Cohen, in his lengthy public testimony to Congress last week, “directly implicated the president in — in various crimes, both while seeking the office of president and while in the White House.”

“We don’t have the facts yet,” Nadler said. “But we’re going to initiate proper investigations.”

Cohen, who called Trump “a racist, a con man, a cheat,” showed a House panel two $35,000 checks — one signed by the president and one signed by the younger Trump and Weisselberg — to Cohen to partly reimburse him for $130,000 he paid shortly before the 2016 election to adult film star Stormy Daniels as hush money, to keep her quiet about an alleged affair she claims to have had with then real estate mogul Trump more than a decade ago.

Sen. Mark Warner, the top Democrat on the Senate Intelligence Committee, told CNN that after hearing Cohen’s testimony, “We’ve got to dig deeper” about the extent to which Trump pursued construction of a skyscraper in Moscow during the 2016 campaign even as he told voters he was not involved in any Russian business deals.

Cohen has been sentenced to prison for three years after pleading guilty to financial crimes and to lying to Congress that Trump’s Russian business overtures ended in January 2016 at the outset of the presidential campaign. Now, Cohen says Trump’s Russian business involvement extended for months after that.

Warner said he will reach his decision on whether Trump colluded with Russia to help him win the election after more investigation. But he said, “The claim that there is no evidence is factually wrong.”

Nadler’s committee would be first to initiate impeachment proceedings against Trump, but he said that no decisions have been reached on that. His Judiciary committee and other panels in Congress are awaiting release of special counsel Robert Mueller’s report on his 22-month investigation of Trump campaign links to Russia and whether Trump, as president, obstructed justice by trying to thwart the investigation.

Mueller’s report could be turned over to Attorney General William Barr in the coming days, but how much of it will be made public is uncertain. Democratic lawmakers have called for its full release, but Barr has said he would only do so to the extent that Justice Department regulations allow him to.

Nadler said, “The Republicans spent two years shielding the president from any proper accountability.” He said Republican lawmakers “threatened to impeach people in Justice Department, they threatened the — the Mueller investigation. It’s our job to protect the rule of law. That’s our core function.”

Trump, since returning from his collapsed summit in Hanoi last week with North Korean leader Kim Jong Un, has resumed his attacks on Mueller’s investigation and the growing number of inquiries in Congress.

“After more than two years of Presidential Harassment, the only things that have been proven is that Democrats and other [sic] broke the law,” Trump said on Twitter Sunday.

“The hostile Cohen testimony, given by a liar to reduce his prison time, proved no Collusion!” Trump said. “His just written book manuscript showed what he said was a total lie. but the Fake Media won’t show it. I am an innocent man being persecuted by some very bad, conflicted & corrupt people in a Witch Hunt that is illegal & should never have been allowed to start – And only because I won the Election! Despite this, great success!”

 

 

Space X Crew Capsule Reaches Space Station

The first American commercially built-and-operated crew spacecraft in eight years docked successfully Sunday at the International Space Station.

There was, however, no crew aboard the spacecraft, just a test dummy named Ripley, in a nod to the lead character in the Alien movies.

The docking was carried out autonomously by the Crew Dragon capsule, as the three astronauts on board the International Space Station watched.

The Space X Crew Dragon capsule lifted off atop a Falcon 9 rocket early Saturday from Florida’s Kennedy Space Center.

The Dragon brought supplies and test equipment to the space station where it will spend five days as astronauts conduct tests and inspect the Dragon’s cabin.

NASA has awarded millions of dollars to Space X and Boeing to design and operate a capsule to launch astronauts into orbit from American soil some time this year.

It is not immediately clear whether that goal will be reached.

Space X is entrepreneur Elon Musk’s company. Musk is also the CEO of electric carmaker Tesla.

Currently, America relies on Russia to launch astronauts to the space station.

Russia charges about $80 million per ticket.

 

Smog-Fighting Shingles Helping to Clean California Air

Northern California is famous for many things, the sun, the surf, the wine, but it has also been infamous for its smog. Smog is a noxious collection of nitrogen and sulfur oxides, along with smoke and dirty particles, which all combine to form a foglike haze in the air. But some new technology is promising to turn a roof into an air cleaner. VOA’s Kevin Enochs reports.

US Congress Wades Into Britain’s Brexit Drama

With Britain deadlocked on negotiating its divorce from the European Union, an unexpected side-front is emerging, the U.S. Congress.

Conservatives who pushed the June 2016 referendum that ended in the shock decision to leave the 28-member bloc dangled the prospect of a free trade agreement with the United States as proof that Britain would not be isolated.

But while nationalist-minded President Donald Trump has welcomed Brexit, the main hitch to Britain’s exit has raised alarm among key U.S. lawmakers — the prospect of the return of a physical border that divides Ireland.

The elimination of the border between the Republic of Ireland and British-ruled Northern Ireland was a key component of the Good Friday agreement of 1998, brokered with the United States and made possible through the fruition of the integrated EU, which largely ended three decades of conflict that killed around 3,500 people.

Unified Ireland

Representative Peter King, long one of the highest-profile supporters in Congress of a unified Ireland, warned at a recent event in Washington that the direction of Brexit would be critical to any future U.S. trade deal.

“It’s important for we, as Irish Americans, to make clear when we deal with the British that this is very, very important to us,” he said.

“And if the British want to consider any type of trade agreement with the United States, it’s important that a soft border be maintained.”

While King is a Republican, his stance has appeared to gain steam since the Democrats won control of the House of Representatives in November because of the party’s historic Irish base and its generally more skeptical take on free trade.

Representative Richard Neal, a co-chairman of the Friends of Ireland Caucus who has voiced unease about Brexit’s effects, has taken charge of the powerful tax-writing House Ways and Means Committee, which will review any trade deal.

Eleven lawmakers led by a Democrat recently introduced a resolution that would state the House of Representatives’ opposition to a hard border in Ireland.

Worries politely rebuffed

Daniel Dalton, a British Conservative member of the European parliament who visited Washington for talks with U.S. lawmakers, voiced concern that the Irish question could hold up a U.S.-Britain trade agreement.

He rebuffed, ever politely, U.S lawmakers’ worries on Ireland, saying that nobody was out to end the Good Friday agreement.

“I think the worry is a little bit that there might be an assumption from people here and that they jump into a discussion on what is a hugely complex issue when there is no will from London or from Dublin to have a hard border,” Dalton told AFP.

“That is a point that we have to make time and time again,” he said.

“The issue is how do we ensure that the Good Friday agreement isn’t accidentally breached, which is a very different position to start off from,” he added.

Brexit day March 29

Britain is set to leave the European Union on March 29, with Prime Minister Theresa May scrambling to seek changes after the House of Commons overwhelmingly rejected her divorce deal negotiated with the EU.

May has given MPs the option to delay Brexit and the opposition Labour Party has supported a fresh referendum.

Dalton said that the possibility of a U.S.-Britain trade agreement played “a very big psychological role” for Brexit voters, seeing as Washington has not been able to seal a deal with the EU as a whole.

A major issue, Dalton said, will be seeing whether post-Brexit Britain gravitates toward U.S. or EU standards on agriculture and manufacturing, crucial in sealing a trade pact.

For Dalton himself, the results of Brexit will not be abstract: He will be out of a job.

And the European lawmaker may not find comfort in going back to Britain as his wife is German.

“We, like many people, aren’t sure where actually we can live together and how all these things are going to play out,” he said. “And there are many couples across that particularly divide.”

Anti-Muslim Signs in Statehouse Roil West Virginia, Draw Outrage

An anti-Muslim poster outside the West Virginia House of Delegates chamber falsely connecting a freshman congresswoman to the Sept. 11 terrorist attacks has drawn strong rebukes from local and national lawmakers, while causing the resignation of a Capitol staffer and the reported injury of another.

The sign, which loomed over a table loaded with other Islamophobic flyers on a “WV GOP Day” at the legislature Friday, bore an image of the burning World Trade Center juxtaposed with a picture of U.S. Rep. Ilhan Omar, a Minnesota Democrat and one of the first Muslim congresswomen ever elected. “‘Never forget’ — You said,” was written over the Twin Towers. On Omar’s picture, a caption read, “I am the proof you have forgotten.”

 

​On Saturday, the West Virginia’s Republican Party condemned the appearance of the anti-Muslim flyers and posters.

“Our party supports freedom of speech, but we do not endorse speech that advances intolerant and hateful views,” West Virginia Republican Party Chairwoman Melody Potter wrote in a statement, which added that they did not approve of the sign and had asked the exhibitor to remove it. No one acknowledged permitting the display.

Designated hate group

The group responsible for the display, ACT for America, has been designated by the Southern Poverty Law Center as a hate group. Onlookers outside the House chambers Friday snapped photos of the poster and the additional literature.

“Readin’, Writin’, And Jihadin,’ The Islamization of American Public Schools,” read one of the pamphlets. Another flyer warned of “The Four Stages of Islamic Conquest.”

A phone number listed for the organization went straight to a voicemail box that was full and could not accept messages. The answering machine message described the group as “the nation’s largest nonprofit grassroots organization devoted to promoting national security and defeating terrorism.”

‘Beyond shameful’

Many House delegates denounced the group just as the body convened. One lawmaker admitted to getting so mad that he kicked a House door open, which resulted in a doorkeeper being physically injured, according to the speaker of the House. Another delegate grew furious, saying he had heard a staffer make an anti-Muslim remark.

“The sergeant of arms of this body, that represents the people of the state of West Virginia, said, ‘All Muslims are terrorists.’ That’s beyond shameful,” said Del. Michael Angelucci, a Democrat, his voice rising to a shout. “And that’s not freedom of speech. That’s hate speech, and it has no place in this house.”

The sergeant of arms, Anne Lieberman, resigned later Friday. She has declined to comment after being reached by phone by The Associated Press.

Republican House Speaker Roger Hanshaw questioned how things had gone so wrong.

“We owe it to ourselves; we owe it our constituents; we owe it to the men and women and children and families that we represent to do better than we are,” Hanshaw told lawmakers.

“We have allowed national level politics to become a cancer on our state, to become a cancer on our legislature, to invade our chamber in a way that frankly makes me ashamed,” Hanshaw said.

Sanders Holds Campaign Kickoff Rally in Birthplace

Bernie Sanders, the independent U.S. senator who represented third-party interests in the 2016 U.S. presidential race, on Saturday stepped back into the spotlight with a rally for his 2020 run at the presidency. 

 

The rally at Brooklyn College, which he attended, was meant to showcase a more personal aspect of the candidate not emphasized during his 2016 run. His working-class background — he grew up living in a small, rent-controlled Brooklyn, N.Y., apartment — served to contrast with that of sitting President Donald Trump, who grew up wealthy in nearby Queens. 

 

“I know what it’s like to be in a family that lives paycheck to paycheck,” he said, describing his immigrant father’s struggle to establish himself in the United States. While Sanders made little of his Jewish ancestry in the 2016 race, on Saturday he said his father’s family was “wiped out” in Nazi-occupied Poland. 

 

Sanders also called Trump “the most dangerous president in modern American history,” and promised to fight for “economic justice, social justice, racial justice and environmental justice.”  

He also said, “The underlying principles of our government will not be greed, hatred and lies. It will not be racism, sexism, xenophobia, homophobia and religious bigotry. That is going to end.” 

 

Seeking to broaden his appeal to minorities, Sanders will appear in Selma, Ala., on Sunday to participate in events commemorating the Selma civil rights march, which took place in 1965. 

 

While Sanders is one of the best-known candidates of the already crowded race for the 2020 Democratic nomination, he is noted for his grass-roots following, which made him a surprisingly strong challenger to Democratic favorite Hillary Clinton in 2016. 

Trump Vows Executive Order Requiring ‘Free Speech’ at Colleges

U.S. President Donald Trump said Saturday that he would soon sign an executive order requiring American universities and colleges to maintain “free speech” on campuses and threatened that schools not complying could lose 

federal research funds. 

Trump made his remarks at the annual Conservative Political Action Conference after bringing to the stage Hayden Williams, a conservative activist who was punched at the University of California-Berkeley last month while recruiting students for a conservative group. 

“Today, I am proud to announce that I will be very soon signing an executive order requiring colleges and universities to support free speech if they want federal research funds,” Trump said.

‘Very costly’

If universities do not comply, “it will be very costly,” he said. The U.S. government awards universities more than $30 billion annually in research funds. 

The White House did not immediately respond to a request for comment on details of the order. 

Freedom of speech is enshrined in the First Amendment to the U.S. Constitution.

It is not the first time that Trump, who has repeatedly lashed out at the media with cries of “fake news” and has called current defamation laws “a sham and a disgrace,” has threatened retaliatory action related to free speech. Last September, he suggested in a tweet that the license of television networks 

could be at risk, though he offered no specifics in his tweet, which singled out NBC. 

Broadcast networks do not receive general licenses, but they do hold licenses from the Federal Communications Commission for individual local stations they own. 

In 2017, FCC Chairman Ajit Pai said the agency does not have the authority to revoke broadcast licenses over editorial decisions. 

“I believe in the First Amendment,” said Pai, whom Trump appointed as the FCC chair. 

Trump on Saturday suggested that Williams sue the man who punched him and also “sue the college, the university. And maybe sue the state.” He suggested that Williams was going to be “a very wealthy young man.” 

If universities “want our dollars — and we give to them by the billions — they have to allow people like Hayden and many other great young people and old people to speak — free speech,” Trump said. 

Anti-conservative bias seen

Trump administration officials have suggested that the rights of speakers on college campuses have been trampled by student protesters who find their views offensive and suggested conservatives have been unfairly targeted. 

The U.S. Justice Department filed a statement of interest in 2018 in a free-speech lawsuit filed against UC-Berkeley, accusing the school of discriminating against speakers with conservative views. 

In a settlement announced in December, the university will modify its procedures for handling “major events,” which typically draw hundreds of people, and agreed not to charge “security” fees for a variety of activities, including lectures and speeches. It will also pay $70,000 to cover legal costs of the Berkeley College Republicans and the Tennessee-based Young America’s Foundation, a conservative youth organization.

SpaceX Tests Crew Capsule in Flight to Space Station

America’s newest capsule for astronauts rocketed Saturday toward the International Space Station on a high-stakes test flight by SpaceX.

The only passenger was a life-size test dummy, named Ripley after the lead character in the “Alien” movies. SpaceX needs to nail the debut of its crew Dragon capsule before putting people on board later this year.

This latest, flashiest Dragon is on a fast track to reach the space station Sunday morning, just 27 hours after liftoff.

Five day round trip

It will spend five days docked to the orbiting outpost, before making a retro-style splashdown in the Atlantic next Friday — all vital training for the next space demo, possibly this summer, when two astronauts strap in.

“This is critically important … We’re on the precipice of launching American astronauts on American rockets from American soil again for the first time since the retirement of the space shuttles in 2011,” said NASA Administrator Jim Bridenstine. He got a special tour of the pad on the eve of launch, by SpaceX founder and chief executive Elon Musk.

An estimated 5,000 NASA and contractor employees, tourists and journalists gathered in the wee hours at Kennedy Space Center with the SpaceX launch team, as the Falcon 9 rocket blasted off before dawn from the same spot where Apollo moon rockets and space shuttles once soared. Across the country at SpaceX Mission Control in Hawthorne, California, company employees went wild, cheering every step of the way until the capsule successfully reached orbit.

Looking on from Kennedy’s Launch Control were the two NASA astronauts who will strap in as early as July for the second space demo, Doug Hurley and Bob Behnken. It’s been eight years since Hurley and three other astronauts flew the last space shuttle mission, and human launches from Florida ceased.

Private companies

NASA turned to private companies, SpaceX and Boeing, and has provided them $8 billion to build and operate crew capsules to ferry astronauts to and from the space station. Now Russian rockets are the only way to get astronauts to the 250-mile-high outpost. Soyuz tickets have skyrocketed over the years; NASA currently pays $82 million per seat.

Boeing aims to conduct the first test flight of its Starliner capsule in April, with astronauts on board possibly in August.

Bridenstine said he’s confident that astronauts will soar on a Dragon or Starliner, or both, by year’s end. But he stressed there’s no rush.

“We are not in a space race,” he said. “That race is over. We went to the moon and we won. It’s done. Now we’re in a position where we can take our time and make sure we get it right.”

White House Worries Too Few American Kids Study Science & Math

White House officials are worried that unless more American students study math and science the United States won’t be able to compete with China, India and other nations. The U.S. administration has just published a five-year plan to boost the number of kids who go into Science, Technology, Engineering and Math, or STEM subjects. VOA’s Sahar Majid has more in this report narrated by Bezhan Hamdard.

How Trump May Have Covered Up Hush Payment Scheme

It barely registered with lawmakers during disgraced lawyer Michael Cohen’s dramatic congressional testimony Wednesday about President Donald Trump’s alleged misdeeds throughout the 2016 presidential campaign and his first year in office.

But in what could spell a major legal headache for Trump, House Democrats are investigating whether the president hid from government ethics officials hundreds of thousands of dollars he paid Cohen as part of a scheme to silence porn star Stormy Daniels about her allegations that she and Trump had an affair years before.

The investigation by the House Committee on Oversight and Reform is part of a wide-ranging probe by newly empowered House Democrats that is gaining momentum two months after Democrats regained control of the chamber. At least three other House panels, the Intelligence, Judiciary and Ways and Means committees, are mounting related investigations of Trump and his associates. 

Scott Amey, general counsel of the Project on Government Oversight in Washington, said Trump could potentially face civil or criminal charges of submitting false or fraudulent government financial disclosure forms to hide his involvement in paying hush money during the campaign. 

‘Low-hanging fruit’

“That could be a major problem and it could be some low-hanging fruit for the Committee on Oversight and Reform to take up in going after Trump if they so choose,” Amey said. 

While the potential ethics violation has received little attention until now, some experts say it may rank in seriousness along with higher profile problems, such as allegations Trump violated campaign finance laws and colluded with the Russians during the 2016 election.

The president’s lawyer, Rudy Giuliani, has acknowledged the hush money payment but has said it did not violate campaign finance laws because it came from Trump’s personal funds rather than his campaign.

Cohen, the star witness for House and Senate investigative committees this week, pleaded guilty last year to violating federal election law by arranging hush money payments to Daniels and former Playboy model Karen McDougal that far exceeded legal limits to campaign contributions.

Cohen paid Daniels $130,000 and arranged for a payment of $150,000 to McDougal after both women threatened to go public with their stories of sexual relations with Trump just as the Republican candidate was close to locking down his party’s nomination. Trump has denied their allegations.

Reimbursement for payments

Cohen detailed how he received $420,000 from Trump for his efforts to buy the silence of Daniels. The reimbursement included $130,000 for the hush money payment; $50,000 for “tech services” both of which were doubled for tax purposes, as well as a $60,000 bonus. The payment was spread out over 11 months to make it appear Cohen was receiving monthly payments for ongoing legal services. 

Cohen has been sentenced to three years in prison for financial crimes as well as for lying to Congress and violating campaign laws in connection with the hush money payments to the two Trump accusers.

After Cohen’s testimony Wednesday, Democratic lawmakers said the former Trump lawyer may have implicated the president in committing a crime while in office. In a report released this week, the ethics watchdog Citizens For Responsibility and Ethics in Washington said Trump could potentially face eight criminal charges in connection with the hush money payments. 

In a flurry of tweets Friday, Trump blasted his former attorney as “totally discredited” and wrote that Cohen had made “fraudulent and dishonest statements” during his testimony.

In recent weeks, House Oversight Committee investigators have zeroed in on Trump’s failure to fully disclose the Cohen payments in his annual financial disclosure forms. Investigators are demanding documents from the White House and the Trump Organization, and asking the president’s lawyers to answer their questions. 

Financial disclosure requirements

All senior government officials — including the president — are required to file with the Office of Government Ethics annual financial disclosure forms, listing their assets and liabilities. OGE regulations require that each disclosure form describe liabilities in excess of $10,000 and identify the creditor. 

In his 2017 financial disclosure form, Trump left out all that information. In his 2018 form, he noted cryptically that he’d “fully reimbursed” Cohen for unspecified expenses in the amount of $100,000 to $250,000, far less than what Cohen had actually received. 

The June 2018 filing came as the hush money scandal broke and government ethics officials contacted Trump’s lawyers for an explanation, demanding the president revise his report if he owed Cohen any money in 2016. 

Notes of conversations between OGE officials and Trump lawyers in April and May 2018, and obtained by the House Oversight Committee, show the president’s attorneys struggling to offer a consistent answer. The president’s tax lawyer, Sheri Dillon, initially maintained that she did not believe that Trump owed Cohen any money in 2016. 

Later, White House ethics lawyer Stefan Passantino offered a different explanation: Cohen was allowed to charge additional expenses for providing “legal services” under a “retainer agreement.”

But Cohen has told prosecutors that there was no retainer agreement in place and that he arranged for his own reimbursement through “fraudulent invoices for nonexistent legal services … under a nonexistent retainer agreement.”

Other committee action

Now, House investigators want to talk to Passantino and Dillon. In letters sent to Dillon and Passantino just hours before Cohen’s testimony, House Oversight Committee Chairman Elijah Cummings expressed concern that the two lawyers may have provided “false information” to government ethics officials reviewing Trump’s financial disclosure records. 

Passantino and Dillon did not respond to requests for comment.

Filing a false financial disclosure could result in a civil penalty, such as a fine or prosecution by the Department of Justice, although the Justice Department, as a rule, would not prosecute a sitting president. But illegally withholding information from ethics officers regarding illegal campaign finance transactions could become grounds for impeachment, if House Democratic leaders eventually decide to pursue that course of action.

“There is a likelihood President Trump violated that law when he submitted these financial disclosure forms that were either missing liabilities or misrepresenting them,” said Amey, of the Project on Government Oversight. “All of that taken as a whole could put the president in some hot water for filing a fraudulent or misleading financial disclosure statement.”

Hawaii Decides Again Not to Legalize Marijuana

On the political spectrum, Hawaii is among the bluest of states. Democrats control all the levers of power at the state and federal levels, and voters back Democratic presidential candidates over Republicans by some of the widest margins in the U.S.   

 

The state has committed to the Paris climate agreement that President Donald Trump rejected and was the first state to require people to be 21 to buy cigarettes. The tourist haven even banned certain types of sunscreen because they can harm coral reefs.   

 

But when it comes to legalizing recreational marijuana for adult use, the islands are out of step with liberal stalwarts such as California and Vermont that have already done so, and other left-leaning states such as New York and New Jersey that are racing toward joining them. On Friday, a legalization bill that made it farther in the legislative process than previous efforts died when lawmakers failed to consider it in time for a deadline.  

 

Senate Majority Leader J. Kalani English has introduced marijuana legalization bills for the past 15 years — but Hawaii has a track record of moving slowly on social issues. For example, other states moved far more quickly to sanction gay marriage and medically assisted suicide.  

Half the Democrats in the state Senate co-sponsored English’s measure, helping spur speculation this would be the year legalization became a reality.  

Consideration of federal law

 

But the effort fizzled as other leaders worried about contradicting federal law, which continues to classify marijuana as an illegal drug, and jeopardizing Hawaii’s existing medical marijuana program. 

 

To move forward, the bill had to pass the Senate Health Committee and Senate Ways and Means Committee by a Friday deadline so it could be considered by the full Senate. But the Health Committee did not schedule a meeting on Friday to consider any bills, effectively killing the marijuana legalization measure.   

Rep. Della Au Belatti, the House majority leader, said before the bill died that she believes Hawaii will legalize adult use marijuana at some point. But she said lawmakers will vet the issue carefully. 

 

“I also think that we have enough folks who are sitting around the table who are saying ‘Let’s do it right. Let’s not just rush into things and let’s do it right,’ ” she said.   

 

Belatti said lawmakers must closely study the experiences of states that have legalized marijuana. She also wants to have abuse prevention, treatment and education programs set up before legalization. Hawaii also will have to make sure legalized marijuana doesn’t lead to more impaired driving, she said.  

 

For now, Belatti said she’s just inclined toward decriminalizing marijuana, or reducing fines and criminal penalties for possession. 

 

Twelve states and the District of Columbia have recreational marijuana laws. All except Vermont did it by ballot initiative, an option not available in Hawaii. 

 

Sen. Karl Rhoads, the chairman of the Senate Judiciary Committee, said Hawaii residents are becoming more accepting of legalization now because it has happened elsewhere and “the world hasn’t come to an end.” There’s also recognition that the status quo isn’t working, he said, noting that juniors at a high school near his district tell him they can get pot whenever they want. 

 

“It’s like Prohibition,” he said. “We’ve been trying to squish it out, squeeze it out, by making it illegal. And it’s just failed miserably.”  

Hurdle cleared

 

Rhoads’ committee passed an amended version of English’s bill last month, the first time a legalization measure has made it out of any committee.  

 

Health Committee Chairwoman Roz Baker said she did not want to do anything that would threaten Hawaii’s nascent medical cannabis dispensary system. Dispensary sales began just two years ago.  

 

Baker believes the federal government will leave medical marijuana alone but might take a more active approach to enforcing federal drug laws if Hawaii takes the next step. Democratic Gov. David Ige expressed similar concerns.  

 

Rep. Joy San Buenaventura said it did not make sense to push the measure through without Ige’s support. San Buenaventura represents Puna, a mostly rural area on the Big Island long known for pot growing.   

Brian Goldstein, the founder and CEO of the medical marijuana dispensary Noa Botanicals, said it is inevitable Hawaii will eventually allow adult use. He acknowledged it may take a while.  

 

Hawaii’s Legislature approved medical marijuana in 2000 — four years after California became the first state with such a law — but it took island lawmakers another 15 years to set up a dispensary system.  

 

Carl Bergquist, the executive director of the pro-legalization Drug Policy Forum of Hawaii, said progress is being made even though the idea failed again this year.  

 

“It’s a huge step … just to have that conversation started,” he said.

Lawyers for Ex-Trump Campaign Chief Manafort Argue for Leniency

Lawyers for President Donald Trump’s former campaign chief Paul Manafort urged a judge Friday to impose a sentence “substantially below” the potential 19 to 24 years in prison he is facing for tax crimes and bank fraud.

Manafort, 69, is to be sentenced March 7 by Judge T.S. Ellis of the Eastern District of Virginia after being convicted of five counts of filing false income tax returns, two counts of bank fraud and one count of failing to report a foreign bank account.

Manafort’s attorneys, in a filing with the judge, said the sentencing guidelines, which call for a prison term of 235 to 293 months, are “clearly disproportionate to the offense conduct for which Mr. Manafort was convicted.”

“Mr. Manafort acknowledges that he received a fair trial before this Court, he accepts the jury’s verdict, and is truly remorseful for his conduct,” they said.

A ‘bold criminal’

His attorneys suggested a “sentence substantially below the range,” arguing that Manafort is a first-time offender and is in poor health after spending the past nine months in prison.

Manafort is one of seven former Trump associates and senior aides who have been charged by Special Counsel Robert Mueller’s team, which is investigating Russian interference in the 2016 presidential election and possible collusion with the Trump campaign.

Mueller’s office said in their own sentencing memo that Manafort was a “bold” criminal who “repeatedly and brazenly” broke the law but did not recommend a specific sentence.

Mueller’s office said that Manafort violated the law for years and his sentence “must take into account the gravity of this conduct,” to deter both Manafort and anyone else who would commit similar crimes.

“His criminal actions were bold,” Mueller’s office said, and included attempting to tamper with witnesses and lying to the FBI, government agencies and even his own lawyers.

Ukraine campaign work

Manafort’s attorneys took issue with that characterization.

“The Special Counsel’s attempt to vilify Mr. Manafort as a lifelong and irredeemable felon is beyond the pale and grossly overstates the facts before this Court,” they said.

“The cases that Special Counsel have brought against Mr. Manafort have devastated him personally, professionally and financially,” they said.

The charges against Manafort were not connected to his role in the Trump campaign but were for work he did for Russian-backed political parties in Ukraine between 2004 and 2014.

Manafort was also charged in Washington with money laundering, witness tampering and other offenses and faces separate sentencing in that case.

Trump has repeatedly denied any collusion with Moscow and denounced the probe by Mueller, a former FBI director, as a “political witch hunt.”

US Stocks Rise as Trade Optimism Counters Weak Data

The S&P 500 and the Dow Jones industrial average snapped a three-day run of losses on Friday as optimism about the prospects for a U.S.-China trade agreement countered downbeat U.S. and China manufacturing data. 

The Nasdaq, meanwhile, marked its longest streak of weekly gains since late 1999. 

Following President Donald Trump’s announcement last weekend of a delay in higher tariffs on Chinese imports, Bloomberg reported late Thursday that a summit between Trump and his Chinese counterpart, Xi Jinping, to sign a final trade deal could happen as soon as mid-March.

“The optimism over trade resolution is outweighing the weakening economic data,” said Ryan Detrick, senior market strategist at LPL Financial in Charlotte, N.C. 

A private survey showed China’s factory activity contracted for a third straight month in February, though at a slower pace, indicating a marginal improvement in domestic demand as a flurry of policy stimulus kicked in from late last year. 

ISM data also showed U.S. manufacturing activity for February dropped to its lowest since November 2016, and the University of Michigan survey showed consumer sentiment fell short of expectations in the month. 

Detrick said that while the data were weak, investors hoped a U.S.-China trade deal would improve global growth prospects. 

The Dow Jones industrial average rose 110.32 points, or 0.43 percent, to 26,026.32; the S&P 500 gained 19.2 points, or 0.69 percent, to 2,803.69; and the Nasdaq Composite added 62.82 points, or 0.83 percent, to 7,595.35. 

Good sign

Friday marked the first close above 2,800 for the S&P since Nov. 8. Nate Thooft, global head of asset allocation for Manulife Asset Management in Boston, said technical investors would see a close above that level “as a good omen.” 

The index closed 4.2 percent under its September record closing high. It has risen 11.8 percent so far this year, bolstered by trade hopes and the Federal Reserve’s cautious stance on interest rates. 

For the week, the S&P rose 0.4 percent while the Dow fell 0.02 percent and the Nasdaq rose 0.9 percent. 

Of the 11 major S&P 500 sectors, eight were gainers on the day. The health care sector rose 1.4 percent, providing the biggest boost and supported by gains in companies including health insurer UnitedHealth Group which bounced back after falling for much of the week. 

The consumer discretionary sector rose 0.9 percent, with the biggest lift from Amazon.com. 

Foot Locker shares rose 5.9 percent after the retailer beat quarterly same-store sales estimates and helped drive a 1.9 percent gain in shares of Nike Inc., the second-biggest boost to the sector. 

Gap Inc. surged 16 percent, making it the biggest percentage gainer in the S&P, after it said it would separate its better-performing Old Navy brand and close about 230 Gap stores. 

The energy sector rose 1.8 percent despite a decline in oil prices. 

A U.S. Commerce Department report showed inflation pressures remaining tame, which along with slowing domestic and global economic growth gave more credence to the Federal Reserve’s “patient” stance toward raising interest rates further this year. 

Advancing issues outnumbered declining ones on the NYSE by a 1.79-to-1 ratio; on Nasdaq, a 1.86-to-1 ratio favored advancers. 

The S&P 500 posted 54 new 52-week highs and no new lows; the Nasdaq Composite recorded 92 new highs and 29 new lows. 

Volume on U.S. exchanges was 7.95 billion shares, compared with the 7.27 billion average for the last 20 trading days. 

US Consumer Spending Fell 0.5 Percent in December

U.S. consumer spending tumbled 0.5 percent in December, the biggest decline in nine years, as the holiday shopping season ended in disappointment. Meanwhile, incomes rose sharply in December but edged down in January.

The fall in consumer spending followed sizable gains of 0.7 percent in October and 0.6 percent in November, the Commerce Department reported Friday. December’s result means that spending for the quarter decelerated significantly, a primary factor in the slowing of overall economy in the final three months of the year. Gross domestic product recorded a growth rate of 2.6 percent after a 3.4 percent gain in the third quarter.

Incomes jumped 1 percent in December, though slipped 0.1 percent in January. The government did not release spending data for January because of delays stemming from the government shutdown.

The big fall in spending reflected sizable declines in purchases of durable goods such as autos, as well as nondurable goods such as clothing during the all-important holiday shopping season. The result shows that consumer spending, which accounts for 70 percent of economic growth, was showing significant weakness heading into the current quarter.

Many economists believe that GDP growth will slow further during the current January-March period, with some expecting GDP to drop to a growth rate of 2 percent or lower.

Inflation, as measured by a gauge preferred by the Federal Reserve, was up 1.7 percent for the past 12 months ending in December. That’s the slowest 12-month pace since a similar 12-month gain for the period ending in October 2017 and is below the Fed’s 2 percent target for annual price increases.

Federal Reserve Chairman Jerome Powell told Congress this week that with a number of economic risks facing the country and with inflation so low, the central bank intends to be “patient” in deciding when to change interest rates again.

The move to a prolonged pause in further rate hikes, which the Fed had announced at its January meeting, has cheered financial markets which had been worried that the central bank, which hiked its benchmark rate four times last year, could move rates up too quickly, raising the risks of an economic downturn.

The spending and income report showed that the saving rate jumped to 7.6 percent of after-tax income in December, compared to 6.1 percent in November. That was the highest saving rate since January 2016.

Casino Mogul, GOP Donor Adelson Battling Cancer

Casino magnate and GOP donor Sheldon Adelson has cancer and has not been at his company’s offices in Las Vegas since around Christmas Day.

Adelson’s poor health was revealed earlier this week by one of his company’s attorneys during a court hearing in a years-old case brought by a Hong Kong businessman. The founder and CEO of Las Vegas Sands Corp. did not participate in the casino operator’s conference call with analysts and investors following its earnings report in January.

Attorney James Jimmerson told the court Monday that he learned last month “of the dire nature of Mr. Adelson’s condition, health.” The comment from the attorney came when discussing whether Adelson could sit for a deposition in the case and was first reported by The Nevada Independent.

Cancer treatment

Las Vegas Sands Corp. Thursday told The Associated Press that Adelson has cancer.

“Mr. Adelson is still dealing with certain side effects from medication he is taking for the treatment of non-Hodgkin’s lymphoma,” company spokesman Ron Reese said in an emailed statement Thursday night. “These side effects have restricted his availability to travel or keep regular office hours.”

The effects haven’t prevented Adelson, 85, from fulfilling his duties as chairman and CEO, Reese said. The company expects he’ll return after he completes treatment.

Adelson also suffers from peripheral neuropathy, a condition that affects the nervous system.

The billionaire and his wife, Miriam, gave President Donald Trump’s campaign $30 million in 2016. They followed that by contributing $100 million to the Republican Party for the 2018 midterm elections.

Court case

Adelson is Las Vegas Sands’ largest shareholder and regularly participates in the company’s earnings calls, but was absent when it reported results Jan. 23. Sands President Robert Goldstein said at the time that Adelson was “a little bit under the weather.”

“We met with him yesterday,” Goldstein said of Adelson during the January call. “He’s taking some medications making him a bit drowsy, so he decided this morning to take a rain check on this one.”

Adelson was expected to testify in the case brought by Hong Kong businessman Richard Suen and his company, Round Square Co. He testified in 2013 and 2008 in the case’s two previous trials.

Suen has been seeking compensation because he said he helped Sands secure business in the Chinese gambling enclave of Macau. Sands has argued Suen didn’t help get crucial approval to build casinos in Macau and deserves nothing.

Oregon OKs 1st Statewide Mandatory Rent Control Law in US

Oregon Gov. Kate Brown signed the nation’s first statewide mandatory rent control measure on Thursday, giving a victory to housing advocates who say spiraling rent costs in the economically booming state have fueled widespread homelessness and housing insecurity.  

  

Brown, a Democrat, said the legislation will provide “some immediate relief to Oregonians struggling to keep up with rising rents and a tight rental market.” 

 

Landlords are now limited to increases once per year that cannot exceed 7 percent plus the change in the consumer price index, which is used to calculate inflation. 

 

The law prohibits them from serving no-cause evictions after a tenant’s first year of occupancy, a provision designed to protect those who are living paycheck to paycheck and who affordable housing advocates say are often most vulnerable to sudden rent hikes and abrupt lease terminations. 

 

New York has a statewide rent control law, but cities can choose whether to participate. California restricts the ability of cities to impose rent control. Last November, voters defeated a ballot initiative that would have overturned that law. 

Emergency measure

 

The Oregon law takes effect immediately. Democrats who control the Legislature say the state’s housing crisis justified passing the bill as an emergency measure. 

 

In hearings for the bill passed, tenants testified that they have struggled to keep up with skyrocketing rents, with many said they’ve been forced from their homes. Kori Sparks, a resident of the fast-growing city of Bend, said she relies on disability and has “to deal with the stress of losing an accessible home on short notice.” 

 

She said rent control will protect vulnerable people from “a predatory system where profit comes before people and denies them of a basic human right.”  

  

Builders in Oregon have not been able to construct enough houses and apartments to meet the demands of the thousands of people moving to the state for jobs and, in some cases, for a lower cost of living. Many people move to the state from California. 

 

A state report estimated that a renter would need to work 77 hours a week at minimum wage to afford a two-bedroom apartment. One in three renters in Oregon pays more than 50 percent of his or her income for rent, far higher than the congressionally set definition of housing affordability, which suggests setting aside 30 percent toward rent.   

  

In the Portland metropolitan area, rent began to plateau in 2017 after four consecutive years of rent hikes averaging 5 percent or more. The average rental unit costs about $1,400 a month, according to data released by the city.  

Many are homeless

  

Oregon is also suffering from a lack of affordable housing and has one of the highest rates of homelessness in the country. 

 

Landlords and developers argued that rent control would make the housing crisis worse, saying investors will now be less willing to build or maintain properties.  

  

“History has shown that rent control exacerbates shortages, makes it harder for apartment owners to make upgrades and disproportionately benefits higher-income households,” said Doug Bibby, president of the National Multifamily Housing Council, a national association representing apartment building owners. 

 

The governor acknowledged that rent control alone isn’t enough, and that the state needs an “all hands on deck” solution. Brown has proposed a $400 million investment in affordable housing solutions in her two-year budget proposal. 

 

“It will take much more to ensure that every Oregonian, in communities large and small, has access to housing choices that allow them and their families to thrive,” she said. 

Tesla to Close Stores, Take Orders for $35,000 Model 3

Tesla says it is now taking orders for the long-awaited $35,000 Model 3, will close stores and move to online orders.

Tesla says it is now taking orders for the long-awaited $35,000 Model 3, a car for the masses that is essential for the company to survive.

The company says to reach the lower price, it’s shifting all sales worldwide from stores to online only. Some high-traffic stores, however, will remain open.

The company will offer the standard base model, which can go 220 miles (350 kilometers) per charge. It also will offer a $37,000 version with a premium interior that accelerates faster and can go 240 miles (385 kilometers) per charge.

Tesla started taking orders for the Model 3 in March of 2016, but until now hasn’t been able to cut costs enough to sell them for $35,000 and make a profit.

The cheapest one that could be ordered until Thursday started at $42,900.

 

 

Gap to Separate Old Navy, Close Stores; Shares Jump 

Gap Inc. said Thursday that it would separate its Old Navy brand into a publicly traded company in order to focus on its struggling namesake apparel business, sending its shares up 18 percent. 

Old Navy has had a better success than the Gap brand in recent years as a wide range of budget apparel has made it more appealing to a broader base of consumers. 

“It’s clear that Old Navy’s business model and customers have increasingly diverged from our specialty brands over time,” Gap’s Chairman Robert Fisher said. 

The company also said it planned to close 230 Gap specialty stores over the next two years. 

Gap’s overall same-store sales fell 1 percent in the fourth quarter ended Feb. 2, compared with analysts’ average estimate of a 0.3 percent rise, according to IBES data from Refinitiv. 

Gap, Athleta, Banana Republic and the remaining brands will be part of a yet-to-be-named company. The separation is expected to be completed by 2020, Gap said. 

The company’s shares were up 17.7 percent at $29.89 in extended trading.

YouTube to Block Comments on Most Videos Showing Minors

YouTube said Thursday it will disable user comments on a broad array of videos featuring children to thwart “predatory behavior” after revelations about a glitch exploited for sharing of child pornography.

The Google-owned video sharing service announced further steps to crack down on inappropriate comments a week after an investigation showing how comments and connections on child porn were being displayed alongside innocuous videos.

“We recognize that comments are a core part of the YouTube experience and how you connect with and grow your audience,” YouTube said in a posted message to creators.

“At the same time, the important steps we’re sharing today are critical for keeping young people safe.”

YouTube said that during the past week it has suspended comments on tens of millions of videos to prevent users from exploiting of the software glitch for nefarious purposes.

“These efforts are focused on videos featuring young minors and we will continue to identify videos at risk over the next few months,” YouTube said.

“Over the next few months, we will be broadening this action to suspend comments on videos featuring young minors and videos featuring older minors that could be at risk of attracting predatory behavior.”

A small number of video creators will be allowed to keep comments enabled, but will be required to carefully moderate commentary and to deploy software tools provided by YouTube, according to Google.

YouTube accelerated the release of an improved “classifier” that it said will detect and remove twice the number of policy-breaking comments by individuals.

‘Wormhole’

A YouTube creator last week revealed what he called a “wormhole” that allowed comments and connections on child porn alongside videos.

Shortly thereafter, YouTube deleted many comments and blocked some accounts and channels showing inappropriate comments.

Matt Watson, a YouTube creator with some 26,000 subscribers, revealed the workings of what he termed a “wormhole” into a pedophile ring that allowed users to trade social media contacts and links to child porn in YouTube comments.

The post by Watson sparked a series of news reports and boycotts of YouTube ads from major firms.

The incident raised fears of a fresh “brand safety” crisis for YouTube, which lost advertisers last year following revelations that messages appeared on channels promoting conspiracy theories, white nationalism and other objectionable content.

Trump’s Ex-lawyer Cohen Testifies Again, This Time Behind Closed Doors

President Donald Trump’s former lawyer Michael Cohen returned to Capitol Hill on Thursday to speak behind closed doors with a congressional panel investigating Russia’s interference in the 2016 U.S. election, capping a week of testimony in which he leveled new allegations of wrongdoing at his former boss.

Cohen did not respond to questions as he arrived for his third and final session in Congress this week. His private testimony before the House Intelligence Committee was expected to last into the evening. The panel has been probing Russian election meddling and any collusion with the Trump campaign.

In dramatic public testimony on Wednesday before the House Oversight Committee, the one-time “fixer” for Trump accused the president of breaking the law while in office and said for the first time that Trump knew in advance about a WikiLeaks dump of stolen emails that hurt his 2016 election rival Hillary Clinton.

Committee chairman Elijah Cummings, a Democrat, said his panel would further investigate issues raised by Cohen’s testimony and may try to get the president’s son, Donald Trump Jr., and his former accountant, Allen Weisselberg, to testify.

“I think there are still a number of other shoes to drop,” Cummings told reporters after the hearing.

Other Democrats said they would try to verify whether Trump manipulated financial statements to reduce taxes and secure bank loans, as Cohen alleged.

Two top Republicans on the committee, Jim Jordan and Mark Meadows, asked the Justice Department to investigate Cohen for perjury, saying he lied during his appearance on Wednesday about his efforts to land a White House job and his work for two foreign companies, among other topics.

Cohen has already pleaded guilty to lying to Congress. In 2017, he submitted a statement saying efforts to build a Trump Tower in Moscow had ceased by January 2016, when those talks in fact continued until June of that year, after Trump had clinched the Republican presidential nomination.

Cohen was sentenced to three years in prison for that lie and other crimes.

Democratic House Intelligence Committee Chairman Adam Schiff said in a tweet that on Thursday he planned to dig into the Trump Moscow project, the revelations about WikiLeaks and any White House role in Cohen’s prior false statements.

“Today Cohen provided the American public with a first-hand account of serious misconduct by Trump & those around him,” Schiff said. “Tomorrow we’ll examine in depth many of those topics.”

At Wednesday’s hearing, Cohen said Trump never explicitly told him to lie to Congress about the Moscow skyscraper negotiations. But Cohen said he believed he was following implicit directions to minimize their efforts on the tower.

Cohen said he had no direct evidence that Trump or his campaign colluded with Moscow during the election campaign, but that he had suspicions that something untoward had occurred.

Cohen also testified privately before the Senate Intelligence Committee on Tuesday.

Possible collusion is a key theme of Special Counsel Robert Mueller’s Russia investigation, which has dogged the president during his first two years in office. Trump has repeatedly denied the allegation, as has the Kremlin.

Thai Lawmakers Approve Controversial Cybersecurity Act

Thailand’s legislature has passed a cybersecurity bill that would allow authorities access to people’s personal information without a court order.

The Cybersecurity Act addresses computer hacking crimes, but activists fear it will allow the government sweeping access to people’s personal information.

The National Legislative Assembly, which passed the bill in its final reading Thursday by a vote of 133-0, was appointed by the junta that came to power after a 2014 coup. It becomes law when published in the Royal Gazette.

The cybersecurity bill allows state officials to seize, search, infiltrate, and make copies of computers, computer systems and information in computers without a court warrant if an appointed committee sees it as a high-level security threat, and relevant courts can later be informed of such actions.

Klobuchar Defends Her Record on Regulating Medical Devices

In her more than two terms as a U.S. senator representing Minnesota, Amy Klobuchar has built a reputation as an effective champion for consumer safety, sponsoring bills that improve swimming pool safety, ban lead in children’s products and tackle the nation’s opioid crisis.

“Consumers deserve products that have been tested and meet strong health and safety standards,” her website declares.

But Klobuchar, who announced two weeks ago she will contend for the 2020 Democratic presidential nomination, has also forcefully advocated for the medical device industry — a huge employer in her home state — in ways that complicate her reputation as a consumer defender.

During her time in the Senate, Klobuchar has advanced proposals championed by the medical device industry that some consumer advocates claim would put patients’ safety at risk, a review of her record by The Associated Press and the International Consortium of Investigative Journalists found. Safety and regulatory concerns relating to medical devices have come under scrutiny since the AP, ICIJ and other media partners began publishing a series of investigative stories about the industry in late 2018.

Klobuchar has pushed the federal Food and Drug Administration to approve medical devices faster and called for a greater presence of industry-backed experts at the agency. Not all of her proposals became law, but bills she introduced called for reducing the use of randomized clinical trials for some devices and limiting the amount of information FDA reviewers can ask of companies when evaluating devices. Language in bills she sponsored to streamline device approvals and increase the influence of industry-recommended experts ultimately ended up in landmark legislation signed into law by President Barack Obama.

While many of her Democratic presidential rivals promote ambitious proposals for free health care and college tuition, Klobuchar’s work on medical devices is a window into her narrower, often more moderate policy portfolio.

Klobuchar defends her record on regulating medical devices, telling the AP in a statement, “Patient and consumer rights have always been a major focus of mine.”

Klobuchar did not make herself available for an interview for this story. Her statement highlights her efforts to speed up approvals of new devices, noting that approvals for many life-saving devices had languished for years.

“The legislation to improve the process was passed as part of a larger package of reforms, signed into law by President Obama, in response to slow-downs and workforce shortages at the FDA,” Klobuchar said. “The legislation also included more funding for the FDA to hire medical experts to examine the safety of products that came before them for approval. The final legislation was supported by numerous patient safety groups.”

Diana Zuckerman, president of the nonpartisan National Center for Health Research think tank, said that Klobuchar’s legislative record has put the demands of the device industry above patient safety. It has also provided political cover that makes it easier for other progressive lawmakers to embrace pro-industry measures, Zuckerman said.

“When a liberal Democrat actively champions a position that harms patients, as Sen. Klobuchar has done on FDA legislation, it helps to persuade other liberal Democrats,” Zuckerman said.

Dr. Margaret Hamburg, head of the FDA from May 2009 to April 2015, said Klobuchar worked on streamlining the process, but was also concerned about conflict of interest issues that could put consumers at risk — sponsoring legislation that required both medical device makers and drug companies to disclose payments they make to doctors and researchers.

Hamburg said others in Congress expressed similar concern.

“There was a great deal of concern about making sure that American consumers were getting cutting-edge medical devices as soon or sooner than anyone else in the world, but also concern about ensuring the safety of those products,” Hamburg said. “She was an advocate and supportive of a number of things that we were doing and she held our feet to the fire to make sure we were keeping our promises.”

That a U.S. senator would work to advance the interests of a powerful home-state industry is not necessarily surprising.

She’s obligated to support “job makers,” said Larry Jacobs, a political scientist at the University of Minnesota. “Every presidential candidate is going to have issues that put them in sticky spots between the national political centers of the party and their constituents back home,” he said.

“I think Sen. Klobuchar has been a very good representative of the state and a leader in Congress in being able to facilitate important conversations around medical devices,” said Shaye Mandle, chief executive and president of the Medical Alley Association, which represents device makers and other health care businesses in Minnesota. “Most states don’t have a medical device industry — every state has millions of patients that rely on medical technology.”

Politics of medical devices

Medical devices provide clear benefits to millions of people, but a yearlong investigation by ICIJ, the AP and media partners in 36 countries has called into question whether the device industry has put patients in harm’s way by rushing poorly tested products to market. Governments around the world, including the United States, hold even complex implants to a lower safety testing standard than most new drugs.

Many devices are implanted near vital organs or pressed against sensitive nerves. If they corrode or rupture, the results can be catastrophic. An entire generation of metal-on-metal artificial hips was discontinued after they were found to rot flesh and poison blood at high rates.

Minnesota is widely seen as the capital of the U.S. device industry. Medtronic, the world’s largest medical device company, has its operational headquarters in Minneapolis. Klobuchar has developed relationships with the company’s leadership — even inviting Medtronic’s then-chief executive to be her guest at Obama’s State of the Union address in 2011.

Hundreds of other device makers have offices in Minnesota and the industry employs nearly 30,000 people in the state. As a result, Democratic and Republican lawmakers from Minnesota have traditionally supported the industry’s interests. Erik Paulsen, a Republican House member who was defeated in November, received more financial support from the device industry over the past 10 years than any other member of Congress.

Legislators from other states with device businesses have also gained reputations as friendly to the industry. Sen. Elizabeth Warren, a Massachusetts Democrat also running for president, has been criticized for omitting medical devices from her tough stance on the pharmaceutical industry. Sen. Bob Casey, a Democrat from Pennsylvania, is a leading recipient of device industry money and has fought for years to repeal a long-delayed 2.3 percent tax on medical devices intended to help fund the Affordable Care Act. Klobuchar has also fought to repeal the tax.

Over the past 10 years, Klobuchar’s Senate campaigns have received more than $300,000 from the device industry, including corporations, unions, political action committees and individuals, according to the Center for Responsive Politics. Among Democrats, only Casey received more money from the device industry during the period.

In a statement, Medtronic said its dealings with government officials are consistent with its mission to alleviate pain, restore health and extend life.

“Medtronic has engaged with Senator Klobuchar on a range of policy issues over the years,” Medtronic said in its statement. “She listens to our positions as one of her constituents, advocates for them when she agrees, and doesn’t when she disagrees.”

There have been times when Klobuchar has spoken out against the industry. In 2016, after the Minneapolis Star Tribune revealed that Medtronic failed to disclose more than 1,000 reports of “adverse events” relating to its Infuse Bone Graft device, Klobuchar wrote Medtronic asking why the company didn’t report the information sooner.

She also criticized a program that allowed device makers to report some patient injuries and product problems years after the fact.

After the newspaper reported more details about Infuse device problems last year, Klobuchar and fellow Minnesota Sen. Tina Smith wrote Medtronic about the company’s “failure to quickly and accurately report data to the FDA.”

 

Regulatory fights

In 2010, halfway through Klobuchar’s first Senate term, the device industry became alarmed about a looming report that it feared would lead to heightened regulation — and a slower, and more expensive, path to get new products to market.

After a series of device safety scandals, the FDA had commissioned the Institute of Medicine, a nonpartisan group that advises federal authorities on health issues, to conduct an independent review of its fast-track device approval process.

The process allows companies to get approval for new devices based on “substantial equivalence” to previously approved products. It’s how the vast majority of new medical devices are approved for the American public.

Already worried about a backlog in approvals, a prominent device trade group and its allies in Washington began pressing the FDA to ignore the Institute of Medicine’s findings even before the institute finished its review. In a May 2010 letter, Klobuchar and Paulsen said they were concerned with the review and called for the FDA “to reject proposals that unduly burden small businesses and suppress the development of promising medical breakthroughs.”

In July 2011, the Institute of Medicine concluded that the streamlined approval pathway was flawed and should be dismantled. The FDA quickly dismissed that recommendation.

Three months later, Klobuchar introduced legislation seeking to speed up medical device approvals by reducing the use of randomized and controlled clinical trials for some devices and limiting the amount of information medical device makers needed to provide to the FDA.

The consumer advocacy group Public Citizen denounced the bill, writing to Klobuchar that it would “weaken the already inadequate regulatory requirements for medical devices” and “would undoubtedly accelerate the rate of patient casualties.”

The bill never left the Senate, but some key provisions that required the FDA to take a lighter approach with industry during device approvals and language that eased conflict of interest rules at the agency were ultimately included in the Senate’s version of the landmark Food and Drug Administration Safety and Innovation Act, according to a press release from Klobuchar’s office.

The senator characterized the changes as “common-sense reforms” that would give patients access to vital devices. Obama signed the legislation into law in 2012.

In 2016, Klobuchar introduced another bill aimed at easing device regulation. The Improving Medical Device Innovation Act would have required the FDA to explore alternatives for some device types to existing reporting requirements for patient injuries and device malfunctions “that will be least burdensome for device manufacturers.” These reports are a primary way the FDA learns about dangerous devices once they are already on the market.

The bill also contained a provision to give device companies a voice in recommending which experts the FDA includes on panels reviewing their devices. “This is really noxious,” said Dr. Peter Lurie, who held senior posts at the FDA from 2009 to 2017 and now heads the nonprofit watchdog group, the Center for Science in the Public Interest. “The last thing the agency needs is a bunch of self-interested input from sponsoring companies.”

The Senate bill was never voted on but the provision regarding FDA expert panels lived on. In late 2016, Klobuchar joined an overwhelming majority of legislators to approve the 21st Century Cures Act. Signed into law by Obama, the measure seeks to accelerate product development for drugs and devices and strengthens the requirement that the FDA emphasize the “least burdensome means” for reviewing medical devices.

Analysis: Cohen Hearing Stokes Touchy Topic of Impeachment

Michael Cohen’s testimony is just the beginning.

The House oversight hearing with President Donald Trump’s former attorney, coming in advance of special counsel Robert Mueller’s report, heralds what Democrats in Congress view as the long days ahead providing checks and balances on the Oval Office.

For some, the outcome may – or may not – lead to grounds for impeachment. For others, impeachment cannot come fast enough.

What is certain, though, is the mounting tension. As the hearings and investigations unfold, Democrats, particularly those running for the White House, may be speeding toward a moment when they have no choice but to consider the I-word.

Newly elected Democratic Rep. Rashida Tlaib, among the most outspoken lawmakers on impeachment, says that as the 2020 presidential candidates visit her Detroit-area district, “most residents are going to ask where they stand on this issue.”

Voters are less concerned with Mueller’s Russia investigation, Tlaib said, than with the day-to-day White House operations and “whether or not there’s a crooked CEO in the Oval Office.”

Hours into Cohen’s testimony Wednesday, New Hampshire’s statehouse Speaker Steve Shurtleff, a Democrat, said that impeaching the president was becoming a realistic option.

“They’re putting a lot of meat on the bone,” Shurtleff said in an interview. “It could be a one-two punch,” he said of the Cohen hearing and Mueller report. “I think it’ll connect a lot of dots.”

Trump allies have tried to use the prospect of impeachment as a political weapon. The president’s former chief counselor, Steve Bannon, had warned before the 2018 elections that Democrats would impeach the president if they won control of Congress.

Republicans are taking up that mantle. At the start of the Cohen hearing, the top Republican on the panel, Rep. Jim Jordan of Ohio, said the only reason for the session was so Democrats could pursue impeachment. Another committee Republican, Rep. Chip Roy of Texas, called the hearing a “circus” not worth Americans’ time. And newly elected Republican Rep. Carol Miller of West Virginia said the sole purpose was “discrediting the president.”

“If it was not already obvious,” Miller said, “there are members here with a singular goal in Congress to impeach President Trump.”

House Speaker Nancy Pelosi has kept calls for impeachment at bay by insisting that Mueller first must be allowed to finish his work, which reports suggest could happen in the coming weeks, and present his findings publicly – though it’s unclear whether the White House will allow its full release.

Pelosi says the House shouldn’t pursue impeachment for political reasons, nor should it hold back for political reasons. Instead, she says lawmakers need to do their jobs as a co-equal branch of government and go wherever the facts lead.

“The American people expect us to hold the administration accountable,” said Rep. David Cicilline, D-R.I, a member of House leadership. “And if during the course of that we come upon sufficient evidence that warrants his removal, I think they expect us to do that.”

But Democrats are not there yet, at all.

So far, the Democratic Party’s potential 2020 class has tried to avoid the impeachment question altogether, fearful that calling for impeachment before the Mueller report is out could undermine the process and trigger a voter backlash.

Among them, only former Texas Rep. Beto O’Rourke has directly called for Trump’s impeachment. Others approached the Cohen hearing in more cautious and creative ways.

Sen. Kamala Harris of California, used the hearings as a fundraising opportunity. “Are you watching Michael Cohen testify before Congress today?” campaign manager Juan Rodriguez wrote. “There’s a lot to unpack, but it’s abundantly clear: if we are finally going to get to the truth, Congress must act to protect Robert Mueller from being fired before his findings in the Russia investigation are made public.” He asked for donations of between $10 and $250.

Sen. Elizabeth Warren of Massachusetts sent an email during the hearing promising, if she becomes president, not to pardon anyone implicated in the Trump investigations. She set down a challenge for others running to do same.

Sen. Amy Klobuchar of Minnesota tweeted that Cohen’s testimony “is a big deal.” Sen. Cory Booker of New Jersey said in a brief chat that he wasn’t watching the hearing but was “looking to digest it.’

And Howard Schultz, the former Starbucks CEO considering an independent bid, said the testimony is “another stark reminder of President Trump’s utter disregard for honesty and decency.”

The liberal base is restive, though. A new group, By the People, launched a pledge drive urging members of both parties in Congress to show leadership by extending the legislative branch’s oversight to the next step of impeachment.

“We already know Donald Trump has committed impeachable offenses,” said Alexandra Flores-Quilty, a spokesperson for the group. “We can’t wait any longer and want our representatives to move forward now.”

So far only Tlaib and fellow newly elected Rep. Ilhan Omar of Minnesota have signed on.

Another new Democrat, Rep. Joe Cunningham of South Carolina, said impeachment was not central to his campaign for office. “Our constituents back home sent me up here to do a job and focus on certain issues and that’s not something I’m focused on right now,” he said.

Surveys show impeachment has merit for some voters. In a January Washington Post-ABC News poll, about as many Americans said Congress should begin impeachment proceedings (40 percent) as said they approved of the job Trump is doing as president (37 percent).

Billionaire liberal activist Tom Steyer, who has poured millions of dollars into a campaign calling for Trump’s impeachment, said Cohen’s testimony marked a turning point in the debate because it’s clear Trump broke the law. His group is launching a TV ad over the next week to highlight that point.

“It ended the argument. It didn’t end the fight,” Steyer said in an interview.

Steyer says Democrats can only wait on the Mueller report for so long before they have to make their own decisions. His group is hosting town halls in the hometown districts of key House chairmen – including Rep. Elijah Cummings of Maryland, who presided over the Wednesday’s hearing.

But as the Oversight Committee chairman exited the hourslong sessions, Cummings told reporters the only people using the I-word were the Republicans.

“Not one person on our side mentioned the word impeachment,” the chairman said.