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Tag: international alerts

  • Nikola to pause truck production after posting bigger quarterly loss | CNN Business

    Nikola to pause truck production after posting bigger quarterly loss | CNN Business

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    CNN
     — 

    Nikola Corp on Tuesday reported a bigger quarterly loss and said it would pause production to streamline the assembly line at its Coolidge, Arizona factory amid sluggish demand for its battery-powered trucks.

    Investors have focused at cash reserves at Nikola and other EV makers amid fears that slowing sales could push the companies to pursue more share sales to raise funds.

    “At the end of May, we plan to pause truck production as we convert the line to accommodate both hydrogen fuel cell and battery electric trucks on the same line and will resume production in July with the first saleable hydrogen fuel cell trucks,” Nikola said.

    Earlier in the day, Fisker Inc cut its full-year production target as the electric-vehicle startup seeks to keep a leash on expenses and reported a smaller first-quarter loss.

    Nikola’s net loss widened to $169.09 million in the quarter, from $152.94 million a year earlier.

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  • Lyft stock plunges nearly 15% on weaker than expected revenue forecast | CNN Business

    Lyft stock plunges nearly 15% on weaker than expected revenue forecast | CNN Business

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    CNN
     — 

    Lyft may have a bumpy road ahead to recovery.

    The ride-hailing company reported revenue of $1 billion for the quarter ending in March, marking a 14% year-over-year increase and beating Wall Street estimate’s. But the company forecast weaker-than-expected revenue for the current quarter, which was enough to jitter investors.

    Shares of Lyft plunged nearly 15% in after-hours trading Thursday following the earnings results.

    The latest earnings report comes on the heels of Lyft shaking up its the C-suite and announcing plans to cut 26% of its employees as it fights for market share and profitability.

    David Risher, who previously worked at Amazon and Microsoft, recently took over as CEO of Lyft and the company’s two co-founders stepped down from their management positions at the company. Risher has been a member of the Lyft board since 2021.

    On a conference call with analysts on Thursday to discuss the results, Risher said Lyft is currently at “an inflection point” as people return to pre-pandemic social habits.

    “I am very aware of our current levels of growth and profitability are not acceptable,” Risher said on the call, his first as CEO. “I am committed to growing Lyft into a large, durable, profitable business, that our riders, drivers and shareholders love, and I look forward to keeping you informed on our progress.”

    Compared to its chief rival Uber, Lyft has so far struggled to bounce back from the pandemic’s hit to its business. While Uber diversified its business beyond ride-hailing by delivering meals and grocery items during the health crises, Lyft never did. Uber also was able to attract drivers back to the platform better than Lyft as pandemic restrictions eased in the U.S.

    Earlier this week, Uber said in its quarterly earnings report that revenue was up 29%, as demand for its rideshare and delivery services held firm despite lingering recession fears.

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  • What to know about Florida’s challenge to the immigration parole policy | CNN Politics

    What to know about Florida’s challenge to the immigration parole policy | CNN Politics

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    CNN
     — 

    A federal judge late Thursday night temporarily blocked one of the Biden’s administration’s key tools to try to manage the number of migrants in US Customs and Border Protection custody.

    The ruling came just before Title 42 expired, and administration officials say it will make their job more difficult amid the expected influx of migrants at the US-Mexico border. An appeal is expected.

    Here’s what to know:

    The plan, released Wednesday, allowed the release of migrants from CBP custody without court dates, or, in some cases, releasing them with conditions.

    As number of migrants increases at the border, the Department of Homeland Security said its plan would help release the immense strain on already overcrowded border facilities. As of Wednesday, there were more than 28,000 migrants in Border Patrol custody, stretching capacity.

    The administration previously released migrants without court dates when facing a surge of migrants after they’re screened and vetted by authorities. The plan would have allowed DHS to release migrants on “parole” on a case-by-case basis and require them to check in with Immigration and Customs Enforcement.

    Florida sued to halt the policy, and District Judge T. Kent Wetherell, agreed to block the plan for two weeks.

    Wetherell, an appointee of former President Donald Trump, said the administration’s explanation for why its policy was only unveiled on Wednesday, when the end of Title 42 was anticipated for months, was lacking. He also said the Biden administration simply failed to prepare.

    “Putting aside the fact that even President Biden recently acknowledged that the border has been in chaos for ‘a number of years,’ Defendants’ doomsday rhetoric rings hollow because … this problem is largely one of Defendants’ own making through the adoption and implementation of policies that have encouraged the so-called ‘irregular migration’ that has become fairly regular over the past 2 years.”

    Wetherell added: “Moreover, the Court fails to see a material difference between what CBP will be doing under the challenged policy and what it claims that it would have to do if the policy was enjoined, because in both instances, aliens are being released into the country on an expedited basis without being placed in removal proceedings and with little to no vetting and no monitoring.”

    Homeland Security Secretary Alejandro Mayorkas, speaking on “CNN This Morning,” called the ruling “very harmful” and said the administration is considering its options.

    “The practice that the court has prevented us from using (is) a practice that prior administrations have used to relieve overcrowding,” Mayorkas said. “What we do is we process screen and vet individuals and if we do not hold them, we release them so that they can go into immigration enforcement proceedings, make whatever claim for relief, they might and if they don’t succeed, be removed.”

    Assistant secretary for border and immigration policy Blas Nuñez-Neto said the ruling “will result in unsafe overcrowding at CBP facilities and undercut our ability to efficiently process and remove migrants, which will risk creating dangerous conditions for Border Patrol agents as well as non-citizens in our custody.”

    Wetherell’s ruling will block the policy for two weeks. A preliminary injunction hearing has been scheduled for May 19.

    The Justice Department has requested a stay on the court ruling, according to a Friday filing. The filing addresses two separate rulings in the case, both of which have to do with the release of migrants. If the request is not granted, the Justice Department said it intends to seek emergency relief from the Eleventh Circuit by Monday afternoon.

    This story has been updated with additional information.

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  • Mr. ChatGPT goes to Washington: OpenAI CEO Sam Altman set to testify before Congress | CNN Business

    Mr. ChatGPT goes to Washington: OpenAI CEO Sam Altman set to testify before Congress | CNN Business

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    CNN
     — 

    OpenAI CEO Sam Altman is set to testify before a Senate Judiciary subcommittee on Tuesday after the viral success of ChatGPT, his company’s chatbot tool, renewed an arms race over artificial intelligence and sparked concerns from some lawmakers about the risks posed by the technology.

    “Artificial intelligence urgently needs rules and safeguards to address its immense promise and pitfalls,” said Connecticut Democratic Sen. Richard Blumenthal, who chairs the Senate panel on privacy and technology. “This hearing begins our Subcommittee’s work in overseeing and illuminating AI’s advanced algorithms and powerful technology.”

    He added: “I look forward to working with my colleagues as we explore sensible standards and principles to help us navigate this uncharted territory.”

    A growing list of tech companies have deployed new AI tools in recent months, with the potential to change how we work, shop and interact with each other. But these same tools have also drawn criticism from some of tech’s biggest names for their potential to disrupt millions of jobs, spread misinformation and perpetuate biases.

    Also testifying Tuesday will be Christina Montgomery, IBM’s vice president and chief privacy and trust officer, as well as Gary Marcus, a former New York University professor and a self-described critic of AI “hype.”

    Montgomery is expected to urge Congress to adopt a “precision regulation” approach for AI based on specific use cases, and to suggest that lawmakers push companies to test how their systems handle bias and other concerns – and disclose those results.

    As the CEO of OpenAI, Altman, perhaps more than any other single figure, has come to serve as a face for a new crop of AI products that can generate images and texts in response to user prompts.

    Earlier this month, Altman was one of several tech CEOs to meet with Vice President Kamala Harris and, briefly, President Joe Biden as part of the White House’s efforts to emphasize the importance of ethical and responsible AI development.

    In interviews this year, Altman has presented himself as someone who is mindful of the risks posed by AI and even “a little bit scared” of the technology. He and his company have pledged to move forward responsibly.

    Others want Altman and OpenAI to move more cautiously. Elon Musk, who helped found OpenAI before breaking from the group, joined dozens of tech leaders, professors and researchers in signing a letter calling for artificial intelligence labs like OpenAI to stop the training of the most powerful AI systems for at least six months, citing “profound risks to society and humanity.”

    Altman has said he agreed with parts of the letter. “I think moving with caution and an increasing rigor for safety issues is really important,” Altman said at an event last month. “The letter I don’t think was the optimal way to address it.”

    – CNN’s Jennifer Korn contributed to this report.

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  • Montana governor bans TikTok | CNN Business

    Montana governor bans TikTok | CNN Business

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    New York
    CNN
     — 

    Montana Gov. Greg Gianforte signed a bill Wednesday banning TikTok in the state.

    Gianforte tweeted that he has banned TikTok in Montana “to protect Montanans’ personal and private data from the Chinese Communist Party,” officially making it the first state to ban the social media application.

    The controversial law marks the furthest step yet by a state government to restrict TikTok over perceived security concerns and comes as some federal lawmakers have called for a national ban of TikTok. But it is expected to be challenged in court.

    The bill, which will take effect in January, specifically names TikTok as its target, prohibiting the app from operating within state lines. The law also outlines potential fines of $10,000 per day for violators, including app stores found to host the social media application.

    Last month, lawmakers in Montana’s House of Representatives voted 54-43 to pass the bill, known as SB419, sending it to Gianforte’s desk.

    In a statement to CNN, TikTok said it would push to defend the rights of users in Montana.

    “Governor Gianforte has signed a bill that infringes on the First Amendment rights of the people of Montana by unlawfully banning TikTok, a platform that empowers hundreds of thousands of people across the state. We want to reassure Montanans that they can continue using TikTok to express themselves, earn a living, and find community as we continue working to defend the rights of our users inside and outside of Montana.”

    The law comes as TikTok faces growing criticism for its ties to China. TikTok is owned by China-based ByteDance. Many US officials have expressed fears that the Chinese government could potentially access US data via TikTok for spying purposes, though there is so far no evidence that the Chinese government has ever accessed personal information of US-based TikTok users.

    NetChoice, a technology trade group that includes TikTok as a member, called the Montana bill unconstitutional.

    “The government may not block our ability to access constitutionally protected speech – whether it is in a newspaper, on a website or via an app. In implementing this law, Montana ignores the U.S. Constitution, due process and free speech by denying access to a website and apps their citizens want to use,” said Carl Szabo, NetChoice’s general counsel.

    The ACLU also pushed back on the bill, releasing a statement saying that “with this ban, Governor Gianforte and the Montana legislature have trampled on the free speech of hundreds of thousands of Montanans who use the app to express themselves, gather information, and run their small business in the name of anti-Chinese sentiment.”

    On Wednesday, Gianforte signed an additional bill that prohibits the use of any social media application “tied to foreign adversaries” on government devices, including ByteDance-owned CapCut and Lemon8, and Telegram Messenger, which was founded in Russia.

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  • Sullivan declines to say if Biden brought up jailed Navy officer with Japanese PM but says US working ‘extremely hard’ on case | CNN Politics

    Sullivan declines to say if Biden brought up jailed Navy officer with Japanese PM but says US working ‘extremely hard’ on case | CNN Politics

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    CNN
     — 

    Jake Sullivan, the national security adviser, said Sunday that the White House is working “extremely hard” on the case of a US Navy officer jailed in Japan but declined to say whether President Joe Biden had brought it up during his trip to the country.

    “There are certain times when saying less in public and more in private is the best way to resolve these cases. This is one of those instances,” Sullivan said on “State of the Union” when asked if Biden had raised the case of Lt. Ridge Alkonis with Japanese Prime Minister Fumio Kishida during his trip to Hiroshima for the Group of Seven summit, which concluded Sunday.

    On Friday, a pair of Democratic lawmakers from California had asked Biden to once again bring up the issue with Kishida.

    In a letter addressed to Biden and Vice President Kamala Harris, US Sen. Alex Padilla and US Rep. Mike Levin said that “while we understand the sensitive nature of this case” around Lt. Ridge Alkonis, “it is important to resolve this situation promptly to prevent further irritants in the U.S.-Japan relationship.”

    “Lieutenant Alkonis has served almost a year in Japanese prison after being involved in a tragic and unforeseeable car accident due to a medical emergency he suffered while driving. Despite your repeated interventions from your Administration, including National Security Advisor Jake Sullivan and Ambassador Rahm Emanuel. Lieutenant Alkonis’ case remains stalled in the Japanese system,” the pair wrote.

    Alkonis, who was stationed in Japan, was sentenced to three years in Japanese prison in October 2021 for negligent driving resulting in the death of two people and injuries to a third person in May 2021. CNN previously reported that Alkonis said he suffered from acute mountain sickness as he was driving with his family from Mount Fuji, which caused him to lose consciousness. That argument was rejected by the court, and his appeal was denied in July 2022.

    Biden raised the Alkonis case with Kishida during the prime minister’s visit to the White House in January, and the two countries agreed to establish a working group to solve the problem. But Alkonis has since expressed despair about his situation, according to a handwritten note to his wife.

    “I’m not doing that good,” he wrote in a letter dated April 30, which was shared with CNN. “The walls and bars seem to be making my cell even smaller as of late.”

    His family has requested that he be transferred back to the US under the Council of Europe’s Convention on the Transfer of Sentenced Persons, which would allow him to serve out his sentence there.

    Alkonis’ wife, Brittany Alkonis, told CNN earlier this week that parts of the US government have been “incredibly proactive” on that request but claimed that the US Department of Defense as well as the Japanese government had not productively engaged. Ridge Alkonis has not been designated as wrongfully detained by the US State Department.

    “Prison has always been a hard place. You know, he talks about how just anything that would bring you happiness is not allowed. He says it’s just soul crushing,” Brittany Alkonis told CNN.

    “Lieutenant Alkonis’ service records make clear that he is an extraordinary officer, and we believe he deserves better,” the Democratic lawmakers wrote to Biden and Harris. “We ask that you insist on a prompt prisoner transfer under the Council of Europe Convention on the Transfer of Sentenced Persons, so that he, his wife, and their three young children can be reunited in California.”

    Brittany Alkonis and her children have been able to visit Ridge Alkonis every few weeks in prison, with the current setup allowing for five half-hour visits per month, she said. Her children – all under the age of ten years old – are the ones who are “paying the price” for this challenging situation, she said.

    “They’re hurting. They try to make sense of this. We talk about it all the time,” Brittany Alkonis said. “But my son asked me the other day, he said, ‘Mommy, you said the president is getting daddy home, then why isn’t he home yet.’”

    This story and headline have been updated with additional details.

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  • China imposes sales restrictions on Micron as it escalates tech battle with Washington | CNN Business

    China imposes sales restrictions on Micron as it escalates tech battle with Washington | CNN Business

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    Hong Kong
    CNN
     — 

    China has banned US chip maker Micron from selling to Chinese companies working on key infrastructure projects, in a major escalation of an ongoing battle between the world’s top two economies over access to crucial technology.

    The Cyberspace Administration of China (CAC) announced the decision on Sunday, saying the US chip maker had failed to pass a cybersecurity review. The news came shortly after the close of the Group of Seven (G7) summit in Hiroshima, Japan, where leaders of major democracies spoke in one voice on their growing concerns over China.

    “The review found that Micron’s products have relatively serious cybersecurity risks, which pose significant security risks to China’s critical information infrastructure supply chain and would affect national security,” the Chinese regulator said in a statement.

    As a result, operators involved in domestic critical information infrastructure projects should stop purchasing products from Micron, it said.

    Shares of Micron Technology

    (MU)     sank about 3% Monday. Its Asian rivals had finished the day higher. Shares of Chinese memory chip maker Ingenic Semiconductor jumped 2.8%. Shenzhen Techwinsemi Technology surged 6.3%. Toyou Feiji Electronics soared 14%. In Seoul, SK Hynix, one of the world’s largest memory chip makers, gained 0.9%, outperforming the South Korean market.

    The Chinese regulator’s decision came seven weeks after it kicked off a cybersecurity review of Micron’s products, in apparent retaliation against sanctions imposed by Washington and its allies on China’s chip sector.

    Micron is one of the largest memory chip makers in the United States. It derives more than 10% of its revenue from mainland China.

    The company told CNN that it had received the regulator’s notice and was assessing its next steps.

    “We look forward to continuing to engage in discussions with Chinese authorities,” it said in a statement.

    Micron’s chief financial officer, Mark Murphy, said separately on Monday that the company was unclear what security concerns Beijing had. He said the company is evaluating what portion of its sales could be impacted.

    “We are currently estimating a range of impact in the low single digits percent of our company total revenue at the low end and high single-digit percentage of total company revenue at the high end,” he said at a conference.

    The US Commerce Department said it firmly opposed the restrictions that “have no basis in fact,” according to Reuters.

    “This action, along with recent raids and targeting of other American firms, is inconsistent with [China’s] assertions that it is opening its markets and committed to a transparent regulatory framework,” it was quoted as saying.

    The US State Department similarly said it has “very serious concerns” about the ban.

    “The Department of Commerce is engaging directly with the PRC to make our view clear, and broadly, this action appears inconsistent with the PRC’s assertions that it is open for business and committed to a transparent regulatory framework,” US State Department spokesperson Matthew Miller said Monday.

    On Sunday, China’s Foreign Ministry accused G7 leaders of “hindering international peace” and said the group needed to “reflect on its behavior and change course.”

    In a landmark joint communique Saturday, G7 member countries had made the group’s most detailed articulation of a shared position on China to date — stressing the need to cooperate with the world’s second-largest economy, but also to counter its “malign practices” and “coercion.” in a landmark joint communique Saturday.

    Since October 2022, Washington has imposed sweeping export curbs on advanced chips and chip-making equipment to China, in an attempt to cut off China’s access to critical technology for military purposes.

    In March, Japan and the Netherlands, both key US allies, also announced restrictions on overseas sales of chip-making technology to countries including China. China has strongly criticized the restrictions, labeling them “discriminatory containment” directed at the country.

    Chips are at the center of Beijing’s bid to become a tech superpower. China has its own chip manufacturers, but they supply mostly low- to mid-end processors used in home appliances and electric vehicles.

    The semiconductor battle is part of a growing divide between the United States and China. In recent years, relations between the two have reached their lowest level in decades.

    Tensions escalated this year after a suspected Chinese spy balloon was shot down by US fighter jets in February and Beijing continued to deepen its ties with Russia despite its continued invasion of Ukraine.

    However, US President Joe Biden said on Sunday that he expected ties between the two countries to improve soon.

    “I think you are gonna see that begin to thaw very shortly,” Biden told a news conference at the end of the Group of Seven summit in Japan.

    He said he had agreed with Chinese President Xi Jinping in November to keep communications open, but that everything changed after a “silly balloon that was carrying two freight cars worth of spying equipment” was shot down.

    “We are not looking to decouple from China,” he said. “We are looking to de-risk and diversify our relationship with China.”

    — CNN’s Simone McCarthy, Jennifer Hansler and Saba Haroon contributed to this report

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  • Jessica Watkins: Oath Keepers member and Army veteran sentenced to 8.5 years in prison for January 6 | CNN Politics

    Jessica Watkins: Oath Keepers member and Army veteran sentenced to 8.5 years in prison for January 6 | CNN Politics

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    CNN
     — 

    Jessica Watkins, an Army veteran and member of the far-right Oath Keepers, was sentenced Friday to 8.5 years in prison for participating in a plot to disrupt the certification of the 2020 presidential election culminating in the January 6, 2021, attack on the US Capitol.

    Judge Amit Mehta said Watkins’ efforts at the Capitol were “aggressive” and said she did not have immediate remorse, even though she has since apologized.

    “Your role that day was more aggressive, more assaultive, more purposeful than perhaps others’. And you led others to fulfill your purposes,” Mehta said. “And there was not in the immediate aftermath any sense of shame or contrition, just the opposite. Your comments were celebratory and lacked a real sense of the gravity of that day and your role in it.”

    At trial, prosecutors showed evidence that Watkins founded and led a small militia in Ohio and mobilized her group in coordination with the Oath Keepers to Washington, DC, on January 6. Watkins and her counterparts ultimately marched in tactical gear to the Capitol and encouraged other rioters to push past police outside the Senate chamber.

    “I was just another idiot running around the hallway,” Watkins told the court before the sentence was handed down Friday. “But idiots are responsible, and today you are going to hold this idiot responsible.”

    Two of Watkins’ codefendants, Stewart Rhodes and Kelly Meggs, were sentenced Thursday to 18 and 12 years in prison, respectively, for seditious conspiracy.

    Unlike Rhodes and Meggs, Watkins was acquitted of the top charge of seditious conspiracy, but convicted of conspiracy to obstruct an official proceeding – which carries the same 20-year maximum prison sentence as seditious conspiracy – as well as other felony charges.

    “Nobody would suggest you are Stewart Rhodes, and I don’t think you are Kelly Meggs,” Mehta told Watkins on Friday. “But your role in those events is more than that of just a foot soldier. I think you can appreciate that.”

    Watkins, who is transgender, gave emotional testimony during the trial about struggling with her identity in the Army while the “don’t ask, don’t tell” policy was still in effect, and about being dragged into the underbelly of conspiracy theories around the 2020 presidential election.

    She tearfully reiterated to the judge on Friday that she was “very fearful and paranoid” at that time, and that while “for a long time I was in denial of my own culpability,” she now “can see my actions for what they were – they were wrong and I am sorry.”

    “I understand now that my presence in and around the Capitol that day probably inspired those individuals to a degree,” Watkins said. “They saw us there and that probably fired them up. Oath Keepers are here, and they were patting us on the back.”

    She continued: “How many people went in because of us? We’re responsible for that.”

    Prosecutor Alexandra Hughes disagreed, telling Mehta that Watkins was not remorseful.

    Hughes quoted a January phone call from jail, in which Watkins allegedly said of officers at the Capitol “boo hoo the poor little police officers, got a little PTSD, waaaa, I had to stand there and hold a door open for people waaaaaa.”

    “It is perhaps an unsurprising fact of human nature that those who are subjected to injustice occasionally bring injustice on others,” Hughes said. “We do not dispute what she has been through, but what she did on that day has deep and devastating – devastating – effects on individuals who showed up to work that day and never did anything to Jessica Watkins.”

    Before handing down the sentence, Mehta addressed Watkins’ traumatic history directly, saying that “I think you would not have a human … who heard your testimony and would not have been moved.”

    “Your story itself shows a great deal of courage and resilience,” Mehta said. “You have overcome a lot, and you are to be held out as someone who can actually be a role model for other people in that journey. And I say that at a time when people who are trans in our country are so often vilified and used for political purposes.”

    The judge added: “It makes it all the more hard for me to understand the lack of empathy for those who suffered that day.”

    Surveillance footage shows Kenneth Harrelson in the hallway of the Comfort Inn in Arlington, Virginia, on January 7, 2021.

    Kenneth Harrelson, an Oath Keeper from Florida who chanted “treason” inside the Capitol on January 6, was also sentenced Friday to four years in prison for his role in the sprawling conspiracy.

    Prosecutors alleged that Harrelson was appointed the “ground team leader” of the Oath Keepers on January 6, stockpiled weapons at a so-called quick reaction force just outside Washington, DC, and moved through the Capitol chanting “treason.”

    In an address to the judge before he was sentenced, Harrelson said that he has “no gripes against the government, then or now” and merely “got in the wrong car at the wrong time and went to the wrong place with the wrong people.”

    “I didn’t have a clue,” Harrelson said. “It’s not to say I didn’t have signs or warnings that I should have paid attention to, but it just didn’t register.”

    He continued, at times sobbing and supporting his body with a lectern inside the well of the court: “I don’t know why. I have destroyed my life and I am fully responsible.”

    This story has been updated with additional developments.

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  • Top House progressive says Democratic leaders should be concerned about debt deal support | CNN Politics

    Top House progressive says Democratic leaders should be concerned about debt deal support | CNN Politics

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    Washington
    CNN
     — 

    Washington Rep. Pramila Jayapal, the chair of the Congressional Progressive Caucus, said Sunday that White House negotiators and Democratic leaders should be concerned about progressive support for the tentative deal to raise the debt ceiling for two years

    “Yes, they have to worry,” Jayapal told CNN’s Jake Tapper on “State of the Union,” referring to some of the concessions made by the White House to reach the agreement with Republicans.

    Following the announcement of the deal Saturday night, the White House and Republican leaders in Congress have been mounting an intensive push to consolidate support. But the marathon is far from over, and there remains little certainty the nation will avoid a default.

    Whether House progressives will ultimately support the deal depends on the specifics of the agreement, Jayapal said, including how many people would be affected by expanded work requirements for certain adults receiving food stamps. The deal would also expand exemptions for certain recipients.

    “It is really unfortunate that the president opened the door to this, and while at the end of the day, you know, perhaps this will – because of the exemptions – perhaps it will be OK, I can’t commit to that. I really don’t know,” Jayapal said.

    The Washington Democrat said that she was briefed by top White House official Lael Brainard after the current framework came together but that she will not make her position clear until she can see legislative text.

    “That’s always, you know, a problem, if you can’t see the exact legislative text. And we’re all trying to wade through spin right now,” Jayapal said.

    The deal – which would also freeze spending on domestic programs and increase spending on defense and veterans issues, among other things – was meant to include provisions that could sway members of both parties to vote for it.

    Senior White House officials have been calling House Democrats since Saturday night to shore up support as some in the party say the Biden administration conceded too much.

    Connecticut Rep. Jim Himes, the former chair of the pro-business New Democrat Coalition, told “Fox News Sunday” he was leaning toward a “no” vote on the tentative deal.

    Himes said he did not want to validate the negotiating process used by Republicans, “which at the end of the day is a hostage-taking process,” adding that, “as the speaker said, there is absolutely nothing for the Democrats in these things.”

    But in a positive sign for the White House’s efforts to wrangle in Democratic votes, New Hampshire Rep. Ann McLane Kuster, the current head of the New Democrats bloc, signaled that her 99-member group may support the plan.

    “Our Members are encouraged that the two sides have reached an agreement, and are confident that President Biden and White House negotiators have delivered a viable, bipartisan solution to end this crisis,” Kuster said in a statement. “We are doing our due diligence as lawmakers to ensure that this agreement can receive support from both parties in both chambers of Congress.”

    Republican Rep. Dusty Johnson of South Dakota, one of the GOP negotiators on the deal, maintained that there were “no wins for Democrats” in the agreement.

    “There is nothing after the passage of this bill that will be more liberal or more progressive than it is today. It is a remarkable conservative accomplishment,” the chair of the center-right Republican Main Street Caucus said in a separate interview on “State of the Union.”

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  • Trump on tape: Here’s what it means and what’s next | CNN Politics

    Trump on tape: Here’s what it means and what’s next | CNN Politics

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    CNN
     — 

    Former President Donald Trump’s history of making inappropriate or questionable comments on tape got another chapter on Wednesday with fresh revelations from his post-White House life.

    The latest example emerged from CNN’s exclusive reporting that federal prosecutors have an audio recording of Trump acknowledging he held onto a classified Pentagon document after leaving office. The tape seems unlikely to dent his political position as the frontrunner for the GOP nomination in 2024. But it could have real consequences in the legal limbo where he lives.

    Most people recall the “Access Hollywood” tape of Trump using vulgar language to argue that “stars” can grab women. The emergence of that tape just before the 2016 election didn’t hurt him politically. But he later defended that statement as true, “unfortunately or fortunately,” in a video deposition, and jurors in New York recently found him liable for sexual abuse after the deposition was played back to them.

    And then there’s the recording of him asking election officials in Georgia to “find” votes to help him change the results of the 2020 presidential election. Those efforts to overturn President Joe Biden’s win in the Peach State are part of an ongoing investigation.

    This latest tape could also end up as part of a criminal case. The recording is in the possession of the Department of Justice special counsel Jack Smith, who’s investigating the retention of national defense information. Smith’s investigation has shown signs of nearing its end, although it hasn’t resulted in any criminal charges.

    So why is this revelation so significant?

    “First of all, prosecutors love tapes,” CNN senior legal analyst Elie Honig, a former federal prosecutor, told Jake Tapper on “The Lead” Wednesday.

    “If you have a subject on tape, that’s his own words, that’s his own voice. The defense can’t say, well, some witness is fudging the truth.”

    The recording of the July 2021 meeting, which CNN has not listened to but was described by multiple sources, seriously undercuts Trump’s longstanding argument that he mentally declassified material he took with him from the White House. It also adds his Bedminster club to the potential locations where Trump had classified documents after leaving office.

    The recording of the meeting captures the sound of paper rustling, sources said, though it is not clear if it was the actual document in question. That raises questions about exposure of the document since attendees at the meeting included people who did not have security clearances that would have allowed them to access classified information, sources said.

    Smith has focused on the meeting as part of the criminal investigation into Trump’s handling of national security secrets, and prosecutors have asked witnesses about the recording and the document before a federal grand jury, CNN’s Katelyn Polantz, Paula Reid and Kaitlan Collins reported.

    In response to the report, a Trump campaign spokesman said “leaks” are meant to “inflame tensions” around Trump.

    The recording also recalls the chaos at the end of his presidency. On the tape, sources tell CNN, Trump points to a classified Pentagon document to try to refute the idea that Chairman of the Joint Chiefs of Staff Gen. Mark Milley had been trying to stop him from starting a war with Iran.

    In July 2021, journalist Susan Glasser had reported that, near the end of Trump’s presidency, Milley had raised concerns about Trump trying to strike Iran and had told the Joint Chiefs to ensure Trump issued no illegal orders and that he be informed if there was any concern.

    That New Yorker story outraged Trump. On the tape, he mentions the document, which he said came from Milley, in response to that story – arguing that if others could see it, it would discredit Milley, sources said. (The document Trump references was not produced by Milley, CNN was told.)

    The document’s existence is hardly unusual. The Joint Chiefs of Staff has a directorate focused on developing and proposing strategies and plans for the chairman, and another that provides guidance about current plans and operations to commanders throughout the force.

    “You could pick any country and scenario and there is likely a contingency plan,” a US official told CNN’s Haley Britzky.

    It is even less unusual for Milley to have briefed Trump on those plans, the official added. As chairman of the Joint Chiefs, Milley’s job is to advise and brief the president on his military options as commander in chief.

    “That does not mean that Gen. Milley is a warmonger,” Beth Sanner, a former deputy director of National Intelligence who was involved with intelligence briefings during her career, said on CNN. “Quite the opposite. I spoke to him many times during my role as an intelligence official, and he absolutely did not want to go to war with Iran.”

    CNN’s report on the recording also includes the incredible development that investigators have questioned Milley, who is still the nation’s top general.

    The most important thing here could be Trump’s acknowledgment that the document is classified, contradicting his argument that he had the unilateral power to declassify things and take them from the White House.

    During a CNN town hall in New Hampshire earlier this month, CNN’s Kaitlan Collins asked Trump if he had shown anyone classified documents to anyone.

    “Not really,” he told her, adding, “Let me just tell you, I have the absolute right to do whatever I want with them.”

    He had said that any classified documents he had were declassified, which is apparently contradicted by the audio recording.

    As CNN reported, Trump’s comments on the tape suggested he wanted to share the information but was aware of limitations on his ability post-presidency to declassify records, two of the sources said.

    The documents case is hardly the only legal matter hanging over Trump.

    The former president, and the country he wants to lead again, needs a color-coded calendar to keep track of all the legal developments involving him – and help separate potential trials and appeals from upcoming debate and primary dates.

    Besides the ongoing investigations into the aftermath of the 2020 election, here’s what else is looming over Trump.

    • His criminal trial in New York, which stems from the investigation into his alleged role in a hush money scheme, will coincide with March primary contests.
    • More immediately, there’s an October 2023 trial for the New York attorney general’s $250 million lawsuit against Trump, his eldest children and the Trump Organization. The Trump Organization was already convicted of criminal tax fraud in December.

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  • Elizabeth Holmes reports to prison | CNN Business

    Elizabeth Holmes reports to prison | CNN Business

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    CNN
     — 

    Elizabeth Holmes reported to prison on Tuesday, capping off a stunning downfall for the disgraced founder of failed blood testing startup Theranos.

    Holmes was sentenced to more than 11 years in prison last November, after she was convicted months earlier on multiple charges of defrauding investors while running the now-defunct startup.

    Her request to remain free on bail while she fights to overturn her conviction was denied by an appellate court earlier this month. Judge Edward Davila, who presided over her trial, ordered Holmes to turn herself in to the Bureau of Prisons by May 30 to begin serving her sentence.

    Holmes arrived Tuesday at Federal Prison Camp Bryan in southern Texas, a minimum security federal prison camp that is approximately 100 miles from Houston, where she grew up before moving to California to attend Stanford.

    “We can confirm Elizabeth Holmes has arrived at the Federal Prison Camp (FPC) Bryan in Bryan, Texas, and is in the custody of the Federal Bureau of Prisons,” a spokesperson for the Bureau of Prisons said in a statement provided to CNN.

    Her ex-boyfriend and former Theranos COO Ramesh “Sunny” Balwani was also convicted of fraud, and reported to prison in California last month to begin serving out his sentence.

    Holmes was once an icon in the tech world, serving as a posterchild for the limitless ambitions and potential of Silicon Valley. Now, she and Balwani are the rare tech executives tried for, and convicted on, fraud charges.

    Holmes dropped out of Stanford at the age of 19 to focus full-time on Theranos, a startup that claimed to have invented technology that could accurately test for a range of conditions using just a few drops of blood. Theranos raised $945 million from an impressive list of investors and was valued at some $9 billion at its peak – making Holmes a paper billionaire. She graced magazine covers and engaged in public speaking events wearing a black turtleneck that invited comparisons to the late Apple CEO Steve Jobs.

    Her company began to unravel after a Wall Street Journal investigation in 2015 reported that Theranos had only ever performed roughly a dozen of the hundreds of tests it offered using its proprietary technology, and with questionable accuracy. It also came to light that Theranos was relying on third-party manufactured devices from traditional blood testing companies rather than its own technology.

    Theranos ultimately dissolved in September 2018.

    Dawn breaks at the Federal Prison Camp where Elizabeth Holmes, the former founder and CEO of Theranos, is expected to arrive to begin her 11 year sentence for fraud relating to the defunct company Tuesday, May 30, 2023, in Bryan, Texas.

    Holmes and Balwani were first indicted together nearly five years ago on the same 12 criminal charges. Their trials were severed after Holmes indicated she intended to accuse Balwani of sexually, emotionally and psychologically abusing her throughout their decade-long relationship, which coincided with her time running the company. (Balwani’s attorneys have denied her claims.)

    This month, Davila ordered Holmes and Balwani to pay restitution of roughly $452 million to victims of their crimes.

    Before her sentencing was announced in November, a tearful Holmes spoke to the court in San Jose, California.

    “I loved Theranos. It was my life’s work,” she said. “The people I tried to get involved with Theranos were the people I loved and respected the most. I am devastated by my failings.”

    She went on to apologize to the employees, investors and patients of Theranos.

    “I’m so, so sorry. I gave everything I had to build our company and to save our company,” she said. “I regret my failings with every cell in my body.”

    – CNN’s Brad Parks contributed to this report.

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  • Convicted spy Robert Hanssen dies in prison | CNN Politics

    Convicted spy Robert Hanssen dies in prison | CNN Politics

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    CNN
     — 

    Robert Philip Hanssen, who received payments of $1.4 million in cash and diamonds for the information he gave the Soviet Union and Russia, has died, the Federal Bureau of Prisons announced Monday. He was 79 years old.

    Hanssen had been in custody at Colorado’s USP Florence ADMAX since July 17, 2002.

    “On Monday, June 5, 2023, at approximately 6:55 am, inmate Robert Hanssen was found unresponsive at the United States Penitentiary (USP) Florence ADMAX in Florence, Colorado,” a release from the Federal Bureau of Prisons said. “Responding staff immediately initiated life-saving measures. Staff requested emergency medical services (EMS) and life-saving efforts continued.”

    “Mr. Hanssen was subsequently pronounced deceased by EMS personnel,” the release said.

    In 2001, Hanssen pleaded guilty to 15 counts of espionage and conspiracy in exchange for the government not seeking the death penalty. He was sentenced to life in prison without possibility of parole.

    Investigators accused him of compromising dozens of Soviet personnel who were working for the United States, some of whom were executed. He shared details of several US technical operations such as eavesdropping, surveillance and interception of communications. And he gave the Soviets the US plans of how it would react to a Soviet nuclear attack, both in protecting top government officials and retaliating against such an attack.

    The

    Hanssen case rocked the US intelligence community    , exposing major flaws in how the FBI and other agencies vet those with access to the nation’s secrets.

    After Hanssen’s treachery was exposed, investigators learned he had full access to the FBI and State Department’s computer systems and would spend hours trawling undetected for classified information. In his 25 years with the bureau, with access to highly sensitive sources and methods about US intelligence efforts targeting the Soviet Union and Russia, Hanssen had never been subjected to a polygraph examination.

    After the Hanssen case, the FBI moved to strengthen its so-called insider threat programs aimed at safeguarding the nation’s secrets by closely scrutinizing the finances and travel of personnel with access to classified information, and increasing the use of polygraphs to routinely assess employees for continued allegiance and suitability.

    Before Hanssen was exposed, then-FBI Director Robert Mueller said, “security was not a principle priority. There was no security division. The FBI didn’t have enough expertise. We moved to address that.”

    Hanssen began spying for the Soviet Union in 1979, three years after he had joined the FBI as a special agent.

    The counterintelligence officer worked as a spy for nearly 15 years, during some of the most consequential times for US and Russia relations and continuing past the end of the Cold War. He took a hiatus from spying for four years in the 1980s after being convinced by his wife, Bonnie.

    In a letter allegedly written by Hanssen to the Russians, he said that he was inspired as a teen by the memoirs of British double agent Kim Philby.

    “I decided on this course when I was 14 years old,” says the letter cited in the FBI’s affidavit. “I’d read Philby’s book. Now that is insane, eh!”

    The FBI began surveilling Hanssen in 2000 after he was identified from a fingerprint and from a tape recording supplied by a disgruntled Russian intelligence operative.

    After he was caught in 2001, Hanssen told his US interrogators, “I could have been a devastating spy, I think, but I didn’t want to be a devastating spy. I wanted to get a little money and get out of it.”

    Hanssen apologized for his actions during his sentencing in 2002. “I am shamed by it. Beyond its illegality, I have torn the trust of so many. Worse, I have opened the door for calumny against my totally innocent wife and our children. I hurt them deeply. I have hurt so many deeply,” he said.

    This story has been updated with additional details.

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  • Russian-speaking cyber gang claims credit for hack of BBC and British Airways employee data | CNN Business

    Russian-speaking cyber gang claims credit for hack of BBC and British Airways employee data | CNN Business

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    CNN
     — 

    A group of Russian-speaking cyber criminals has claimed credit for a sweeping hack that has compromised employee data at the BBC and British Airways and left US and UK cybersecurity officials scrambling to respond.

    The hackers, known as the CLOP ransomware gang, say they have “information on hundreds of companies.” They’ve given victims until June 14 to discuss a ransom before they start publishing data from companies they claim to have hacked, according to a dark web posting seen by CNN.

    The extortion threat adds urgency to an already high-stakes security incident that has forced responses from tech firms, corporations and government agencies from the US to Canada and the UK.

    The compromise of employee data at the BBC and British Airways came via a breach of a human resources firm, Zellis, that both organizations use.

    “We are aware of a data breach at our third-party supplier, Zellis, and are working closely with them as they urgently investigate the extent of the breach,” a BBC spokesperson told CNN Wednesday. The spokesperson declined to comment on the hackers’ extortion threat.

    A British Airways spokesperson said the company had “notified those colleagues whose personal information has been compromised to provide support and advice.”

    The hackers — a well-known group whose favored malware emerged in 2019 — last week began exploiting a new flaw in a widely used file-transfer software known as MOVEit, appearing to target as many exposed organizations as they could. The opportunistic nature of the hack left a broad swath of organizations vulnerable to extortion.

    Numerous US state government agencies use the MOVEit software, but it’s unclear how many agencies, if any, have been compromised.

    The US Cybersecurity and Infrastructure Security Agency has ordered all federal civilian agencies to update the MOVEit software in light of the hack. No federal agencies have been confirmed as victims, a CISA spokesperson told CNN.

    Together with the Federal Bureau of Investigation, CISA also released advice on dealing with the CLOP hack. Progress, the US firm that owns the MoveIT software, has also urged victims to update their software packages and has issued security advice.

    CISA Executive Director for Cybersecurity Eric Goldstein said in a statement: “CISA remains in close contact with Progress Software and our partners at the FBI to understand prevalence within federal agencies and critical infrastructure.”

    But the effort to respond to the cyber attack is very much ongoing.

    The CLOP hackers are “overwhelmed with the number of victims,” according to Charles Carmakal, chief technology officer at Mandiant Consulting, a Google-owned firm that has investigated the hack. “Instead of directly reaching out to victims over email or telephone calls like in prior campaigns, they are asking victims to reach out to them via email,” he said on LinkedIn Tuesday night.

    Allan Liska, a ransomware expert at cybersecurity firm Recorded Future, also told CNN: “Unfortunately, the sensitive nature of the data often stored on MOVEit servers means there will likely be real consequences stemming from the [data theft] but it will be months before we understand the full fallout from this attack.”

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  • Timeline: The special counsel inquiry into Trump’s handling of classified documents | CNN Politics

    Timeline: The special counsel inquiry into Trump’s handling of classified documents | CNN Politics

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    Washington
    CNN
     — 

    The federal criminal investigation into former President Donald Trump’s potential mishandling of classified documents escalated in stunning fashion this week with Trump’s indictment.

    The indictment hasn’t been unsealed yet, so details of the charges aren’t publicly available. But the investigation – led by Justice Department special counsel Jack Smith – revolves around sensitive government papers that Trump held onto after his White House term ended in January 2021. The special counsel has also examined whether Trump or his aides obstructed the investigation.

    Federal authorities have recovered more than 325 classified documents from Trump. He has voluntarily given back some materials, his lawyers turned over additional files after a subpoena, and the FBI found dozens of classified records during a court-approved search of his Mar-a-Lago home last summer.

    Trump has denied all wrongdoing and claims the investigation is a politically motivated sham, intended to derail his ongoing campaign to win the Republican 2024 nomination and return to the White House.

    Here’s a timeline of the important developments in the blockbuster investigation.

    An official from the National Archives and Records Administration contacts Trump’s team after realizing that several important documents weren’t handed over before Trump left the White House. In hopes of locating the missing items, NARA lawyer Gary Stern reaches out to someone who served in the White House counsel’s office under Trump, who was the point of contact for recordkeeping matters. The missing documents include some of Trump’s correspondence with North Korean leader Kim Jong Un, as well as the map of Hurricane Dorian that Trump infamously altered with a sharpie pen.

    In a taped conversation, Trump acknowledges that he still has a classified Pentagon document about a possible attack against Iran, according to CNN reporting. The recording, which was made at Trump’s golf club in New Jersey, indicates that Trump understood that he retained classified material after leaving the White House. The special counsel later obtained this audiotape, a key piece of evidence in his inquiry.

    NARA grows frustrated with the slow pace of document turnover after several months of conversations with the Trump team. Stern reaches out to another Trump attorney to intervene. The archivist asks about several boxes of records that were apparently taken to Mar-a-Lago during Trump’s relocation to Florida. NARA still doesn’t receive the White House documents they are searching for.

    After months of discussions with Trump’s team, NARA retrieves 15 boxes of Trump White House records from Mar-a-Lago. The boxes contained some materials that were part of “special access programs,” known as SAP, which is a classification that includes protocols to significantly limit who would have access to the information. NARA says in a statement that some of the records it received at the end of Trump’s administration were “torn up by former President Trump,” and that White House officials had to tape them back together. Not all the torn-up documents were reconstructed, NARA says.

    NARA asks the Justice Department to investigate Trump’s handling of White House records and whether he violated the Presidential Records Act and other laws related to classified information. The Presidential Records Act requires all records created by a sitting president to be turned over to the National Archives at the end of their administration.

    NARA informs the Justice Department that some of the documents retrieved from Mar-a-Lago included classified material. NARA also tells the department that, despite being warned it was illegal, Trump occasionally tore up government documents while he was president.

    On April 7, NARA publicly acknowledges for the first time that the Justice Department is involved, and news outlets report that prosecutors have launched a criminal probe into Trump’s mishandling of classified documents. Around this time, FBI agents quietly interview Trump aides at Mar-a-Lago about the handling of presidential records as part of their widening investigation.

    The FBI asks NARA for access to the 15 boxes it retrieved from Mar-a-Lago in January. The request was formally transmitted to NARA by President Joe Biden’s White House Counsel’s office, because the incumbent president controls presidential documents in NARA custody.

    The Justice Department sends a letter to Trump’s lawyers as part of its effort to access the 15 boxes, notifying them that more than 100 classified documents, totaling more than 700 pages, were found in the boxes. The letter says the FBI and US intelligence agencies need “immediate access” to these materials because of “important national security interests.” Also on this day, Trump lawyers ask NARA to delay its plans to give the FBI access to these materials. Trump’s lawyers say they want time to examine the materials to see if anything is privileged, and that they are making a “protective assertion of executive privilege” over all the documents.

    Trump’s lawyers write again to NARA, and ask again that NARA postpone its plans to give the FBI access to the materials retrieved from Mar-a-Lago.

    Debra Steidel Wall, the acting archivist of the United States, who runs NARA, informs Trump’s lawyers that she is rejecting their claims of “protective” executive privilege over all the materials taken from Mar-a-Lago and will therefore turn over the materials to the FBI and US intelligence agencies, in a four-page letter.

    The Justice Department subpoenas Trump, demanding all documents with classification markings that are still at Mar-a-Lago. At some point after receiving the subpoena, Trump asks his lawyer Evan Corcoran if there was any way to fight the subpoena, but Corcoran tells him he has to comply, according to notes Cochran took and later gave to investigators. Also after getting the subpoena, Trump aides are captured on surveillance footage moving document boxes into and out of a basement storage room – which has become a major element of the obstruction investigation.

    News outlets report that investigators subpoenaed NARA for access to the classified documents they retrieved from Mar-a-Lago. The subpoena is the first public indication of the Justice Department using a grand jury in its investigation.

    As part of the effort to comply with the subpoena, Corcoran searches a Mar-a-Lago storage room and finds 38 classified documents. According to a lawsuit that the former president later filed, Trump invites FBI officials to come to Mar-a-Lago to retrieve the subpoenaed materials.

    Federal investigators, including a top Justice Department counterintelligence official, visit Mar-a-Lago to deal with the subpoena for remaining classified documents. The investigators meet with Trump’s attorneys, including Corcoran, and look around the basement storage room where the documents were stored. Trump briefly stops by the meeting to say hello to the officials, but he does not answer any questions. Corcoran hands over the 38 classified documents that he found. Trump lawyer Christina Bobb signs a sworn affidavit inaccurately asserting that there aren’t any more classified documents at Mar-a-Lago.

    Trump’s attorneys receive a letter from federal investigators, asking them to further secure the room where documents are being stored. In response, Trump aides add a padlock to the room in the basement of Mar-a-Lago.

    Federal investigators serve a subpoena to the Trump Organization, demanding surveillance video from Mar-a-Lago. Trump’s company complies with the subpoena and turns over the footage. CNN has reported that this was part of an effort to gather information about who had access to areas at the club where government documents were stored.

    The FBI executes a court-approved search warrant at Mar-a-Lago – a major escalation of the investigation. The search focused on the area of the club where Trump’s offices and personal quarters are located. Federal agents found more than 100 additional classified documents at the property. The search was the first time in American history that a former president’s home was searched as part of a criminal investigation.

    Trump sends a message through one his lawyers to Attorney General Merrick Garland, saying he has “been hearing from people all over the country about the raid” who are “angry,” and that “whatever I can do to take the heat down, to bring the pressure down, just let us know,” according to a lawsuit he later filed. Hours later, after three days of silence, Garland makes a brief public statement about the investigation. He reveals that he personally approved the decision to seek a search warrant, and that the Justice Department will continue to apply the law “without fear or favor.” Garland also pushes back against what he called “unfounded attacks on the professionalism of the FBI and Justice Department.”

    Federal Magistrate Judge Bruce Reinhart approves the unsealing of the Mar-a-Lago search warrant and its property receipt, at the Justice Department’s request and after Trump’s lawyers agree to the release. The warrant reveals the Justice Department is looking into possible violations of the Espionage Act, obstruction of justice and criminal handling of government records, as part of its investigation.

    Trump files a federal lawsuit seeking the appointment of a third-party attorney known as a “special master” to independently review the materials that the FBI seized from Mar-a-Lago. In the lawsuit, Trump’s lawyers argue that the Justice Department can’t be trusted to do its own review for potentially privileged materials that should be siloed off from the criminal probe.

    In a major ruling in Trump’s favor, Federal District Judge Aileen Cannon, a Trump appointee, grants Trump’s request for a special master to review the seized materials from Mar-a-Lago. She says the special master will have the power to look for documents covered under attorney-client privilege and executive privilege.

    The Justice Department appeals Cannon’s decision in the special master case.

    Cannon appoints senior Judge Raymond Dearie to serve as the special master and sets a November 30 deadline for the Brooklyn-based federal judge to finish his review of the seized materials.

    A maintenance worker drains the swimming pool at Mar-a-Lago, which ends up flooding a room where there are computer severs that contain surveillance video logs, according to CNN reporting. It’s unclear if the flood was accidental or on purpose, and it’s possible that the IT equipment wasn’t damaged, but federal prosecutors found the incident to be suspicious.

    Former Trump administration official Kash Patel testifies before the federal grand jury in the classified documents investigation. A Trump loyalist, Patel had publicly claimed that Trump declassified all the materials that ended up at Mar-a-Lago, even though there is no evidence to back up those assertions.

    Garland announces that he is appointing special counsel Jack Smith to take over the investigation.

    A federal appeals court shuts down the special master review of the documents that the FBI seized from Mar-a-Lago. The appeals panel rebuked Cannon’s earlier decisions, writing that she essentially tried to “interfere” with the criminal probe and had created a “special exception” in the law to help Trump.

    Trump attorney Timothy Parlatore testifies before the special counsel’s grand jury, where he described how Trump’s lawyers scoured his properties for classified materials. He later left Trump’s legal team.

    Trump’s legal team searches four of his properties in Florida, New York and New Jersey for additional classified material. They find two more classified files in a Florida storage unit, and give them to the FBI. Around this time, Trump’s team also finds additional papers with classification markings at Mar-a-Lago, and they give those materials to the Justice Department. They also turn over a laptop belonging to a Trump aide who had copied those documents onto the computer, not realizing they were classified.

    A string of key witnesses testify before the special counsel’s grand jury in Washington, DC. This includes Trump administration officials Robert O’Brien and Ric Grenell, who handled national security and intelligence matters; Margo Martin, a communications aide who continued working for Trump after he left the White House; and Matthew Calamari Sr. and his son, Matthew Calamari Jr., longtime Trump employees who oversee security for the Trump Organization.

    In response to a new subpoena from the special counsel, Trump’s lawyers turn over some material related to a classified Pentagon document that he discussed at a recorded meeting in 2021. However, Trump’s team wasn’t able to find the specific document – about a potential US attack on Iran – that prosecutors were looking for.

    Corcoran, the lead Trump attorney, testifies before the grand jury in Washington, DC. This occurred after a federal judge ordered him to answer prosecutors’ questions, ruling that attorney-client privilege did not shield his discussion with Trump because Trump might been trying to commit a crime through his attorneys. Corcoran later recused himself from handling the Mar-a-Lago matter.

    The first public indications emerge that the special counsel is using a second grand jury in Miami to gather evidence. Multiple witnesses testify in front of the Miami-based panel, CNN reported.

    Trump lawyers meet with senior Justice Department officials – including special counsel Smith – to discuss the Mar-a-Lago investigation. The sitdown lasted about 90 minutes, and Trump’s team raised concerns about the probe, which they have called an “unlawful” and “outrageous” abuse of the legal system.

    News outlets report that the Justice Department recently sent a “target letter” to Trump, formally notifying him that he’s a target of the investigation into potential mishandling of classified documents.

    News outlets report that Trump has been indicted in connection with the classified documents investigation. Trump also says in a social media post that the Justice Department informed his attorneys that he was indicted – and called the case a “hoax.”

    This story has been updated with additional developments.

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  • EU officials accuse Google of antitrust violations in its ad tech business | CNN Business

    EU officials accuse Google of antitrust violations in its ad tech business | CNN Business

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    Washington
    CNN
     — 

    Google’s advertising business should be broken up, European Union officials said Wednesday, alleging that the tech giant’s involvement in multiple parts of the digital advertising supply chain creates “inherent conflicts of interest” that risk harming competition.

    The formal accusations mark the latest antitrust challenge to Google over its sprawling ad tech business, following a lawsuit by the US Justice Department in January that also called for a breakup of the company.

    The EU Commission has submitted its allegations to Google in writing, officials said, kicking off a legal process that could potentially end in billions of dollars in fines in addition to a possible breakup that could impact part of its core advertising business.

    The commission alleges that since 2014, Google has unfairly boosted its own proprietary ad exchange — the online auction house known as AdX that matches advertisers and publishers — through its simultaneous ownership of some of the most popular ad tools for publishers and advertisers.

    For example, the commission claims, advertisers who used Google’s ad buying tools frequently had their purchases routed to AdX instead of to rival ad exchanges.

    Meanwhile, Google’s publisher-facing tools unfairly gave AdX a leg up over rival ad exchanges, the commission alleged, because Google’s publisher tools gave AdX competitive bidding information that the exchange could use to help advertisers win an auction.

    One proposed solution by the commission would spin off Google’s ad exchange and publisher tools from the ad-buying tools it provides to advertisers.

    “@Google controls both sides of the #adtech market: sell & buy,” tweeted Margrethe Vestager, the commission’s top competition official. “We are concerned that it may have abused its dominance to favour its own #AdX platform. If confirmed, this is illegal.”

    In a statement, Dan Taylor, Google’s vice president of global ads, said the EU’s probe “focuses on a narrow aspect of our advertising business,” that the company opposes the commission’s preliminary conclusions and that Google plans to “respond accordingly.”

    “Our advertising technology tools help websites and apps fund their content, and enable businesses of all sizes to effectively reach new customers. Google remains committed to creating value for our publisher and advertiser partners in this highly competitive sector,” Taylor said.

    A Google spokesperson told CNN Wednesday that the company has only just received the commission’s complaint and that it will take time to review the commission’s claims. Google also added that it will oppose calls for a breakup.

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  • New US Army regulation could result in more soldiers failing body fat assessments | CNN Politics

    New US Army regulation could result in more soldiers failing body fat assessments | CNN Politics

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    CNN
     — 

    As the US Army moves to a new way to measure soldiers’ body fat, officials acknowledged Wednesday that some soldiers who had previously passed under the old regulations may now fail under the new.

    The Army is changing its tape test – a method to measure soldiers’ body fat by taking the circumference of various parts of a soldier’s body with a measuring tape. The tape test, an often-dreaded practice among soldiers, is used when soldiers’ weights do not fall within the mandated body mass index screening table.

    Previously, men were taped around their neck and abdomen, while women were taped around their neck, waist, and hips. Now, all soldiers regardless of gender will be taped in one area – around the navel – to calculate their body fat.

    Many soldiers had cheered the Army’s efforts to update its Body Composition Program when the study started in 2021.

    But Holly McClung, a lead researcher on the Army’s Body Composition Study that resulted in the change, told reporters Wednesday that more soldiers will fail the new test.

    Army data provided to CNN showed that 34% of people were passing the previous version of the tape test when they should have failed. The new test is expected to align with the regulations and lead to more failures, the data said.

    The change is a potential concern considering that soldiers who fail to meet the weight standards can be separated from the service, after several months of attempting to get within their weight standard.

    Asked about concerns over more soldiers potentially failing because of the updated body composition study, Sgt. Maj. Christopher Stevens, the senior enlisted leader of the Army’s personnel office, told reporters on Wednesday that the Army is “putting everything on the table to really look at how we can ensure that we continue to assess and retain quality.”

    The tape test practice has long been criticized as outdated and inaccurate, particularly as the Army shifted to a new fitness test that introduced more weightlifting than the old test, sparking concerns that the body assessment wouldn’t account for gaining muscle mass.

    The US Centers for Disease Control and Prevention says that the measurement of waist circumference can help predict who may be at higher risk of developing obesity-related health problems like diabetes and heart disease, but it is not a diagnostic tool to determine body fatness or health.

    Indeed, the Army said in March that soldiers “with a high volume of lean muscle mass were still at risk of failing the body fat assessment.” So the Army made an exemption for soldiers who scored a 540 out of 600 total points on the Army Combat Fitness Test, saying that those soldiers would not need to be taped. The exemption requires a minimum of 80 out of 100 points earned in each of the six fitness tests.

    “As soldiers leverage all domains of Holistic Health and Fitness and strive to reach their maximum potential, our policies should encourage their progress, not constrain It,” Sgt. Maj. of the Army Michael Grinston said at the time.

    McClung said Wednesday that efforts by the Army to link data of body composition to soldiers’ performance is “kind of groundbreaking.”

    “And what we hope is that over years to come, maybe the bar will get heightened and that it won’t be a 540 it’ll be a 550, it’ll be a continuous moving benchmark because the soldiers will become more fit,” she said.

    For the next year, soldiers will have the option of using the previous measuring methods if they fail the tape test under the new regulations. If a soldier fails both, they have the option of requesting another assessment using specific machines that use X-ray or other methods to measure body fat.

    Soldiers who still weigh outside the required standard for their gender and height are enrolled in the Army Body Composition Program, which is meant to help them lose weight and get back within standards. Army regulations say they will be provided “exercise guidance” by a fitness trainer in the unit and meet with a registered dietitian.

    Soldiers who fail to get within standards after six months can be separated from the service.

    McClung said Wednesday that those who had been inaccurately passing would not be “necessarily separated from the Army.”

    “We want to help them,” she said, “we want to put them on a health promotion track, work with some dietitians and some trainers, and bring them up to standards.”

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  • New York State Legislature passes bill to protect doctors who prescribe abortion pills for out-of-state patients | CNN Politics

    New York State Legislature passes bill to protect doctors who prescribe abortion pills for out-of-state patients | CNN Politics

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    CNN
     — 

    A bill that would legally protect doctors who prescribe and send abortion pills to patients in states where abortion services are outlawed or restricted is now headed to New York Gov. Kathy Hochul’s desk after the state legislature passed the legislation on Tuesday.

    The bill ensures that doctors, medical providers and facilitators in the state will be able to provide telehealth services to patients out of state, according to a news release from the New York State Assembly.

    The new legislation also protects New York health providers from out-of-state litigation, meaning the state will not cooperate with cases prosecuting doctors in New York who provide telehealth abortion or reproductive services to people in other states.

    “This bill expands protections for telehealth providers by providing them the same protections afforded to doctors in other states with strong reproductive healthcare shield laws,” according to the news release.

    The bill also ensures that New York medical providers, complying with their practice, who offer telehealth services are not subject to professional discipline, “solely for providing reproductive health services to patients residing in states where such services are illegal.”

    CNN has reached out to the governor’s office to see if she will sign the legislation.

    CNN previously reported Hochul has indicated support for a shield law protecting medical providers of out of state abortion and reproductive services.

    Assemblymember Karines Reyes, a registered nurse who sponsored the bill, said she was “proud to sponsor this critical piece of legislation to fully protect abortion providers using telemedicine.”

    According to the state assembly’s news release, the bill recognizes the common use of medication abortion drugs, stating that 54% of abortions across the country are now medication abortions.

    Speaker of the New York State Assembly Carl Heastie said, “It is our moral obligation to help women across the country with their bodily autonomy by protecting New York doctors from litigation efforts from anti-choice extremists. Telehealth is the future of healthcare, and this bill is simply the next step in making sure our doctors are protected.”

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  • Biden says Putin has ‘absolutely’ been weakened after revolt in Russia | CNN Politics

    Biden says Putin has ‘absolutely’ been weakened after revolt in Russia | CNN Politics

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    CNN
     — 

    President Joe Biden told CNN on Wednesday his Russian counterpart Vladimir Putin has “absolutely” been weakened by the short-lived mutiny over the weekend.

    It was his most definitive comment to date on how the rebellion by Wagner Group boss Yevgeny Prigozhin affected the Russian leader’s stature.

    Biden and his team have been cautious in commenting on the events, wary of providing Putin pretext for claiming a western plot to oust him. But on Wednesday, Biden expanded on his views of Putin’s diminished stature.

    Asked whether the Russian president had been weakened, Biden said: “Absolutely.”

    Later, expanding on the extent of Putin’s weakness, Biden said it was difficult to ascertain.

    “It’s hard to tell but he’s clearly losing the war,” Biden told reporters on the White House South Lawn, mistakenly referring to the war in Iraq instead of Ukraine.

    “He’s losing the war at home. He’s become a bit of a pariah around the world. And it’s not just NATO, it’s not just the European Union, it’s Japan,” he added.

    Asked again if Putin is weaker today than he was last week, Biden said: “I know he is.”

    Earlier this week, Biden sought to distance the United States from the weekend rebellion in Russia, insisting in his first public remarks since the episode that the West had nothing to do with the mutiny.

    Still, American intelligence agencies were able to determine ahead of time that Prigozhin was preparing to challenge the Russian military, a sign of how closely the US had been monitoring tensions between Moscow and the Wagner boss.

    Speaking from the White House, Biden suggested it was too early to say how the situation would unfold going forward.

    “It’s still too early to reach a definitive conclusion about where this is going,” he said in the East Room. “The ultimate outcome of all this remains to be seen, but no matter what comes next I will keep making sure that our allies and our partners are closely aligned in how we are reading and responding to the situation.”

    Biden has spoken to the leaders of France, Germany, the United Kingdom, Canada and Italy since the events over the weekend. He also spoke with Ukrainian President Volodymyr Zelensky.

    Earlier Wednesday, US Secretary of State Antony Blinken said that Prigozhin’s rebellion could be beneficial to Ukraine’s counteroffensive.

    “To the extent that Moscow is distracted by its own internal divisions, that may help,” Blinken said in an interview with MSNBC’s “Morning Joe.”

    “To the extent that the Wagner forces themselves are no longer on the front lines, that could help, because they have been effective. They just literally throw people into a meat grinder of Putin’s own making, but that’s had some effect,” Blinken continued.

    This story has been updated with additional reporting.

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  • Snapchat+ gains 4 million paying subscribers in its first year | CNN Business

    Snapchat+ gains 4 million paying subscribers in its first year | CNN Business

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    New York
    CNN
     — 

    Snap said Thursday that it has garnered more than 4 million paying customers for its subscription service Snapchat+.

    The news comes on the one-year anniversary of Snap launching the service on its flagship platform, Snapchat, and shows how it is finding some early success in getting users to shell out cash for access to premium features. The service costs $3.99 a month.

    The tally of paying subscribers disclosed by Snap on Thursday still represents a small fraction of the 750 million monthly active users that the platform boasted about hitting at its Investor Day event earlier this year.

    Snapchat+ offers access to “exclusive, experimental and pre-release features,” according to a blog post from Snap Thursday. As of Thursday, subscribers have access to more than 20 features, “including custom app themes, unique app icons, and the ability to pin your #1 BFF,” the company added.

    The announcement comes as a handful of other social media platforms are similarly trying to find new ways to get users to pay for services.

    Under the new ownership of Elon Musk, Twitter unveiled an $8-per-month subscription service that offered users the once-coveted blue check mark on the platform, as well as additional features such as seeing fewer ads and having their tweets prioritized in replies, mentions and search. The service, dubbed Twitter Blue, had an estimated 550,000 paying subscribers as of late April. Meta, the parent company of Facebook and Instagram, similarly began rolling out a paid service for users called Meta Verified earlier this year with a price tag of $11.99 per month.

    After taking a battering last year, shares of Snap have climbed roughly 30% in 2023. Still, the stock is down about 86% from its all-time high in late 2021.

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  • A flying car prototype just got an airworthiness certificate from the FAA | CNN Business

    A flying car prototype just got an airworthiness certificate from the FAA | CNN Business

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    New York
    CNN
     — 

    The Federal Aviation Administration has certified for testing a vehicle that a California startup describes as a flying car — the first fully electric vehicle that can both fly and travel on roads to receive US government approval.

    Alef Automotive said that its vehicle/aircraft, dubbed the “Model A,” is the first flying vehicle that is drivable on public roads and able to park like a normal car. It also has vertical takeoff and landing capabilities. It apparently will be able to carry one or two occupants and will have a road-range of 200 miles and a flying range of 110 miles.

    The company expects to sell the vehicle for $300,000 each with the first delivery by projected for the end of 2025.

    The FAA confirmed that it has issued the company a special airworthiness certificate, allowing for limited purposes that include exhibition, research and development.

    Numerous companies are working on all-electric VTOLs, which stands for vehicle takeoff and landing aircraft. The FAA said that Alef is “not the first aircraft of its kind” to get a special airworthiness certificate. However, Alef noted that its vehicle is different because of its ability to function both on roads and in the air, to appear like a normal car and to park in a normal parking space.

    “We’re excited to receive this certification from the FAA. It allows us to move closer to bringing people an environmentally friendly and faster commute, saving individuals and companies hours each week. This is a one small step for planes, one giant step for cars,” said Jim Dukhovny, the CEO of Alef.

    The company’s website said the flying car will be a certified as a “low speed vehicle,” which means it won’t be able to go faster than about 25 miles per hour on a paved road. “The assumption is that, if a driver needs a faster route, a driver will use Alef’s flight capabilities,” the company posted on the site.

    Regardless, It also still needs approval from the National Highway Traffic Safety Administration to go on roads.

    Development has been underway on the vehicle since 2015. Four friends, Constantine Kisly, Pavel Markin, Oleg Petrov and Dukhovny, inspired by the “Back to the Future” movies (which foresaw flying cars being available in that year), decided to form a company to try to develop them.

    According to the company, an initial automated test flight of a skeleton version of the car was successfully conducted in 2018, and a full-size prototype was flown the following year. But Alef said that it needed the FAA’s special airworthiness certificate to continue conducting the necessary research and development.

    The company also said that earlier this year that it had taken refundable pre-orders for more than 400 of the vehicles, with the cost of $150 for to be in the general queue or $1,500 for the priority queue.

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