US Politics

Donald Trump’s legal team recently urged the Manhattan district attorney’s office not to indict the former president over his role in paying hush money to a porn star, arguing that the payments would have been made irrespective of his 2016 presidential candidacy, sources familiar with the matter have said.The lawyer who represented the Trump team at the meeting with the district attorney’s office, Susan Necheles, also argued that campaign funds had not been used for the payments to the porn star, known as Stormy Daniels, and were therefore not a violation of campaign finance laws.The arguments presented to the district attorney’s office mark the most formal defense that the Trump team have raised to date, as they attempt to settle on a strategy to avoid conviction in the event that the former president is charged with a misdemeanour or felony over the payments.Trump may face an uphill struggle with those arguments, given the fact that having “mixed motives” to protect himself personally and to protect his campaign could leave him liable, and the timing of the payments suggests there was an urgency to pay the money before the end of the 2016 campaign.The effort to convince the district attorney, Alvin Bragg, not to bring charges may also prove futile amid increasing signals that an indictment is likely.On Wednesday, Trump’s former lawyer Michael Cohen testified for around two hours before the grand jury and told the Guardian that he provided the most complete account of the hush money scheme. He added that every juror asked a question, which suggested a particularly engaged grand jury.That is a typical sign for prosecutors as they weigh potential charges, legal experts say, because it could indicate the grand jury found him to be a compelling witness – and a jury at an eventual trial might be similarly convinced.Cohen is the crucial witness because he made the $130,000 payment to Daniels in late October 2016, buying her silence about the story of an affair with Trump. Trump later reimbursed him as president, through monthly $35,000 checks from his personal checking account, and Cohen pleaded guilty in 2018 to federal charges involving the hush money.The district attorney’s case is likely to focus on how Trump and the Trump Organization handled the reimbursements. According to court filings in the federal case, the Trump Organization falsely recorded the payments as legal expenses, referencing a legal retainer with Cohen that did not exist.Falsifying business records can be a misdemeanour in New York. But it can rise to a felony if prosecutors can show beyond a reasonable doubt that a defendant’s “intent to defraud” included an effort to commit or conceal a second crime.What is unclear in this investigation is the potential second crime, though Bragg could tie the falsification to a violation of state election law, arguing the payment to Daniels was an illicit contribution to the Trump campaign, given the money stifled Daniels and helped his campaign.Also on Wednesday, Daniels herself met with the district attorney’s office at their request, her lawyer said in a tweet. Daniels responded to questions, he said, “and has agreed to make herself available as a witness, or for further inquiry if needed”.The district attorney’s office has questioned at least seven other people before the grand jury and Cohen was expected to be one of the final witnesses to make an appearance. Trump was also recently invited to testify, but his legal team is understood to have declined the offer.The recent moves by the district attorney suggest criminal charges against Trump could be imminent. It would be rare for a prosecutor to question essentially every relevant witness in a high-profile white-collar criminal case and ultimately decline to seek an indictment. More

Eric Garcetti, the former mayor of Los Angeles, was confirmed on Wednesday as the nation’s next ambassador to India, 20 months after he was first nominated by Joe Biden and after weathering doubts about his truthfulness in a sexual harassment scandal involving a top adviser during his time at City Hall.The 52-42 vote in a divided Senate gave the administration a long-sought victory in filling one of the country’s highest-profile diplomatic posts.The president “believes that we have a crucial and consequential partnership with India and that Mayor Garcetti will make a strong and effective ambassador,” said a White House spokesperson, Olivia Dalton, after the vote.The session began with uncertain prospects for Garcetti, a two-term, progressive Democrat first nominated to the prominent diplomatic post by Biden in July 2021.With several Democratic defections, Garcetti’s fate rested with enlisting Republicans in a chamber often divided along partisan lines. He secured seven GOP votes to advance the nomination to a final vote.The Republican senator Susan Collins of Maine said, “I met with him personally. He clearly has an enormous amount of expertise about India. India’s been two years without an ambassador, and that is far too long. And I am going to support him.”The vacancy in the ambassadorship has left a significant diplomatic gap for the administration at a time of rising global tensions, including China’s increasingly assertive presence in the Pacific region and Russia’s war with Ukraine.India, the world’s most populous democracy, is continuing to buy oil from Russia, while western governments move to limit fossil fuel earnings that support Moscow’s budget, its military and its invasion of Ukraine. Russia also provides the majority of India’s military hardware.The nomination has been freighted with questions about what the former mayor knew, and when, about sexual harassment allegations against his friend and once-close adviser, Rick Jacobs. A lawsuit alleges that Jacobs frequently harassed one of the then-mayor’s police bodyguards while Garcetti ignored the abuse or laughed it off.Garcetti, the son of the former Los Angeles district attorney Gil Garcetti, has repeatedly denied the claims. Jacobs has called the allegations against him “pure fiction”. The case is scheduled to go to trial later this year.At a Senate committee hearing in December 2021, Garcetti said, “I never witnessed, nor was it brought to my attention, the behavior that’s been alleged … If it had been, I would have immediately taken action to stop that.”Wednesday’s vote tested Democratic loyalty to Biden, and also measured assessments of Garcetti’s judgment and trustworthiness, stemming from the City Hall allegations that shadowed him in the #MeToo era.“I think we can find somebody that will do the job better,” said Senator Sherrod Brown of Ohio, one of the Democrats who signaled opposition to Garcetti.Garcetti also failed to win over Democrat Mark Kelly of Arizona, who said he had “serious concerns”.Garcetti’s confirmation follows a contentious tenure at Los Angeles City Hall framed by the twin crises of homelessness and the pandemic, rising crime rates and sexual harassment and corruption scandals. The Los Angeles area, once known for boundless growth, has seen its population decline.The former mayor, who took office in 2013, has been credited with continuing a transit buildup in a city choked with traffic, and establishing tougher earthquake safety standards for thousands of buildings.An Ivy Leaguer and Rhodes scholar, he spent two decades in city government either as mayor or a city councilman and took a circuitous path toward the diplomatic corps. Ambassadorships are frequently a reward for political supporters.Garcetti considered a 2020 White House run but later became part of Biden’s inner circle, emerging as a widely discussed possibility to join Biden’s cabinet. He took himself out of the running after many of the plum jobs had been filled, saying the coronavirus crisis at the time made it impossible for him to step away from City Hall. More

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Guo Wengui, a self-exiled Chinese tycoon with close links to prominent Trumpist Republicans including Steve Bannon, has been indicted on 12 counts relating to an alleged $1bn fraud.The charges announced by the US attorney for the southern district of New York on Wednesday include wire fraud, securities fraud, bank fraud and money laundering.Kin Ming Je, a Hong Kong and UK dual citizen also known as William Je and described as Guo’s financier, was also named in the charges and faced a further count of obstruction of justice.The US attorney for the SDNY, Damian Williams, said Guo “led a complex conspiracy to defraud thousands of his online followers out of over $1bn.“[Guo] is charged with lining his pockets with the money he stole, including buying himself, and his close relatives, a 50,000 sq ft mansion, a $3.5m Ferrari, and even two $36,000 mattresses, and financing a $37m luxury yacht.”Guo was arrested early on Wednesday at his home in a building on 60th Street and Fifth Avenue in New York City. Just after noon, a fire broke out at the same address, according to the New York fire department.ABC News reported that FBI agents were inside the $32.5m penthouse apartment when the fire broke out, and that the bureau is now investigating whether the blaze was related to the arrest.Guo’s contacts in influential circles have been widely reported.In October 2022, the New Yorker described how his application to buy the penthouse at an exclusive building on Fifth Avenue included “a personal recommendation from Tony Blair, Britain’s former prime minister, [who] said, ‘Miles is honest, forthright and has impeccable taste.’”The same report, however, said that in China, Guo was “at the center of a burgeoning scandal involving corruption and espionage”.Guo was also reported to have “paid hundreds of thousands of dollars to Trump advisers, including Steve Bannon, Rudy Giuliani and the attorney L Lin Wood, who joined efforts to overturn the 2020 election”.Bannon, who was Trump’s campaign chair when he was introduced to Guo during the 2016 election, came to call him “the Donald Trump of Beijing”.Bannon was aboard Guo’s yacht on the Long Island Sound when he himself was arrested on fraud charges in August 2020.Guo left China in 2014 during an anti-corruption crackdown led by the president, Xi Jinping.In 2017, Guo made a series of salacious accusations about the Chinese government, accusing officials of having illegitimate children, houses and large sums of money in overseas bank accounts. The Chinese police accused him of paying associates to forge Chinese government documents and requested that Interpol issue a notice for his arrest.Guo claimed that allegations against him in China were launched in retaliation for his efforts to expose graft.On Wednesday, the Department of Justice said Guo, who is also known as Miles Guo and Ho Wan Kwok, was “an exiled Chinese businessman who has resided in the US since in or about 2015 and garnered a substantial online following.“In or about 2018, Kwok founded two purported nonprofit organizations, namely, the Rule of Law Foundation and the Rule of Law Society. Kwok used the nonprofit organisations to amass followers who were aligned with his purported policy objectives in China and who were also inclined to believe Kwok’s statements regarding investment and money-making opportunities.”Je, the department said, “owned and operated numerous companies and investment vehicles central to the scheme and served as its financial architect and key money launderer”.Guo was also charged with laundering hundreds of millions of stolen funds to conceal the conspiracy’s illegal activities and continue the fraud’s operations, Williams said.Michael J Driscoll, assistant director of the FBI, said: “Fraudulent investment scams make victims out of innocent people, ultimately harming the public’s confidence in the integrity of financial systems.“The FBI continues to make investigating complex financial crimes a top priority, and anyone attempting these crimes will be made to face the consequences in the criminal justice system.”Maximum sentences for the charges range from five years in prison, for conspiracy to commit wire fraud, bank fraud, securities fraud and money laundering, to 20 years. More

Such was Donald Trump’s troubled state of mind after the 2020 election that he would have believed aliens had stolen his ballots if anyone had told him so, a leading Republican senator said, according to a member of the special grand jury in the investigation of the former president’s attempt to overturn his defeat by Joe Biden in Georgia.According to the Atlanta Journal-Constitution, an unnamed juror described Senator Lindsey Graham, from South Carolina and a close Trump ally, as saying: “During that time, if somebody had told Trump that aliens came down and stole Trump ballots … Trump would’ve believed it.”Running for the Republican nomination again, Trump continues to push the lie that his conclusive defeat was the result of electoral fraud.The Atlanta paper interviewed five of the 23 members of the Fulton county grand jury, whose report was made partially public last month. The jury recommended indictments. Against whom is not known.In Georgia, Trump and his allies, including Graham, pressed state officials to investigate or overturn Biden’s narrow win.The Journal-Constitution said Emily Kohrs, the jury foreperson who spoke to the media last month, was not among jurors it spoke to.Lawyers for Trump have tried to use Kohrs’ comments to have the case dismissed.One juror said criticism of Kohrs led to the group being “portrayed as not serious. That really bothered me because that’s not how I felt. I took it very seriously.”Another said: “One of the most important things we’ll be a part of in our life was this eight-month process that we did … [it was] incredibly important to get it right.”Describing evidence not previously public, jurors described a call in which Trump tried to persuade the state House speaker, David Ralston, to convene a special session and overturn Biden’s win.Ralston, who died in November, “basically cut the president off”, the juror said.“He said, ‘I will do everything in my power that I think is appropriate’ … He just basically took the wind out of the sails. ‘Well, thank you,’ you know, is all the president could say.”The jurors heard from poll workers targeted by Trump and threatened by his supporters.“I was pretty emotional throughout the whole thing,” one juror said. “I wouldn’t cry in front of any of the witnesses, but when I would get in my car, I was like, I just left that and I have to just go do my job now? … I just know things that are hard to know.”Witnesses who invoked their fifth-amendment right against self-incrimination – reported to have included the former national security adviser Michael Flynn, former White House chief of staff Mark Meadows and Trump lawyer Rudy Giuliani – proved frustrating.“When people would take the fifth over and over, we could kind of go, ‘Ugh,’” a juror said. “Not because we’re like, ‘Oh my gosh you’re guilty, whatever.’ It was like, ‘We’re going to be here all day.’”One juror said prosecutors used video of speeches, interviews or other testimony if a witness did not answer.Trump did not appear. One juror said: “With the benefit of hindsight, we should have sent a voluntary invitation.”The juror said his mind had been changed by moves to indict Trump in New York, over a hush money payment to a porn star.The Fulton county district attorney, Fani Willis, is now deciding whether to convene another grand jury to issue indictments. The full report remains under wraps.One juror said: “A lot’s gonna come out sooner or later. And it’s gonna be massive. It’s gonna be massive.” More

Students at the famed Wellesley College for women voted this week to extend admission to trans men and non-binary students, though campus administrators have said there is “no plan” to immediately change school policy.In a non-binding election on Tuesday, students at the liberal arts college in Massachusetts voted to open admission to all non-binary and transgender students, including trans men, reported Wellesley News, the college’s student newspaper.Wellesley’s alumni include former presidential candidate Hillary Clinton, ex-US secretary of state Madeleine Albright, and other public figures.The proposed resolution, which will be presented to Wellesley’s board of trustees, would allow trans men to be admitted to the university. Non-binary applicants, regardless of their sex at birth, would also be considered for admission, according to the resolution approved by students.The ballot measure would also call for the university to replace gender-specific language with gender neutral language in reference to its student body, including using they/them pronouns in place of she/her pronouns, according to CNN.The admissions policy which students have voted in favor of modifying notes that anyone who identifies as a woman is eligible for admission, the college’s website says.Non-binary students “who were assigned female at birth” are currently considered eligible for admission. But trans men are not considered for admission.Students have argued that the resolution came in part because of students who transitioned in college and felt excluded by the university’s use of descriptors including “women” and “alumnae”, the Boston Globe reported.Despite the student support, Wellesley administrators have said they will not consider the ballot measure ratified by students.“Although there is no plan to revisit its mission as a women’s college or its admissions policy, the college will continue to engage all students, including transgender male and non-binary students, in the important work of building an inclusive academic community where everyone feels they belong,” Wellesley’s media relations director, Stacey Schmeidel, said.Wellesley’s president, Paula Johnson, spoke about the proposed question last week in an open message entitled: “Affirming our mission and embracing our community.”Johnson’s message said: “Wellesley is a women’s college that admits cis, trans, and non-binary students – all who consistently identify as women.” Johnson added that Wellesley’s being both a “women’s college and a diverse community” was not a mutually exclusive proposition.Several students were critical of Johnson’s open message, with the Wellesley News’s editorial board calling out Johnson for intervening in student discourse and neglecting to mention legislative attacks on transgender people in her broader statement.“The Wellesley News editorial board is once again stating that transgender and non-binary students have always belonged and will continue to belong at Wellesley, a historically women’s college,” the editorial board wrote in a letter.Students have previously criticized the university’s lack of inclusive language for transgender and non-binary students.Students also have urged Wellesley’s board of trustees to keep a mural featuring the transgender flag which was powerwashed in 2021.School administrators have said that they support students who transition after being admitted, noting on their website that “[once] accepted to Wellesley, every student receives the full support and mentorship of college faculty, staff, and administrators through graduation”.Wellesley currently has no data on how many transgender and non-binary students attend the college, according to the New York Times. More

You’d think that witnessing the second-biggest bank failure in US history would be a sobering moment. Since Silicon Valley Bank collapsed on Friday amid a bank run, however, Republicans have instead been twisting themselves into inelegant pretzels to blame “wokeness” for the financial disaster.For context, SVB – which before it collapsed was the 16th largest bank in the US and worth more than $200bn in assets – proudly reported that aside from 45% of its board being women, it also had “1 Black”, “1 LGBTQ+” and “2 Veterans”. According to Republicans, the bank’s focus on “woke” ideals is what led to its ultimate demise.“This bank, they’re so concerned with DEI and politics and all kinds of stuff, I think that really diverted from them focusing on their core mission,” the Florida governor Ron DeSantis told Fox News’s Maria Bartiromo.And according to Donald Trump, Jr: “SVB is what happens when you push a leftist/woke ideology and have that take precedent over common sense business practices. This won’t be the last failure of this nature so long as people are rewarded for pushing this bs.”This is a ridiculous and senseless leap, even for the right. “Wokeness” has gone from being a hamfisted shorthand for progressive overreach to a convenient – if lazy and illogical – explanation for every catastrophe.Of course, the actual circumstances that led to the collapse of SVB are of no importance here. Republicans have said little about the higher interest rates brought on by inflation anxiety and bad government bonds that helped SVB speed toward collapse.They’ve also refused to acknowledge that, as James Downie writes in MSNBC, “SVB might still be around today but for deregulation signed by former President Donald Trump that was supported almost unanimously by Republicans (and even some Democrats).”Look, it’s not easy to decide who deserves sympathy, or the opposite, in this moment. Nobody wants to “side” with a sinking Silicon Valley institution – we’re supposed to be eating the rich, remember? Still, it’s important to remember that while politicians spin this disaster, workers suffer. Americans will probably go without paychecks; some won’t have have jobs when this shakes out.According to The Verge, “Some people already know their paychecks will be [disrupted]; a payroll service company called Rippling had to tell its customers that some paychecks weren’t coming on time because of the SVB collapse.”Most of those people aren’t high-flying Silicon Valley tech founders. For some of these workers, money for rent, groceries, mortgage payments, childcare and other essentials simply isn’t coming.The right has always been contemptuous of corporate solidarity with marginalized people, so their disdain for SVB’s messaging is unsurprising. In a line that truly sounds like something out of an SNL sketch, Home Depot co-founder Bernie Marcus recently claimed on Fox News that SVB collapsed because the bank was overly concerned with global warming.“I feel bad for all of these people that lost all their money in this woke bank,” he said. “It’s depressing to me. Who knows whether the justice department would go after them? They’re a woke company, so I guess not. And they’ll probably get away with it.”The New York Post is also toeing the party line, accusing the bank’s head of risk management of wasting time in “spearheading multiple ‘woke’ LGBTQ+ programs, including a ‘safe space’ for coming-out stories”, even as “the firm raced toward collapse”.God forbid a financial institution be concerned with anything that even remotely falls outside their mandate of self-enrichment.SVB was a part of a Silicon Valley economic machine that has helped drive the tech industry’s success for decades. Initial reporting suggests that shoddy practices at the bank brought about its collapse; either way, that doesn’t change the essentially sad story here.As institutions continue to crumble under the weight of shaky policy and a volatile economy, it’s the people at the very bottom of that food chain who will suffer the most. That’s not because of “wokeness”. It’s just called capitalism.
Tayo Bero is a Guardian US contributing writer More

Federal prosecutors in New York involved in the criminal investigation into Donald Trump’s social media company last year started examining whether it violated money laundering statutes in connection with the acceptance of $8m with suspected Russian ties, according to sources familiar with the matter.The company – Trump Media, which owns Trump’s Truth Social platform – initially came under criminal investigation over its preparations for a potential merger with a blank check company called Digital World that was also the subject of an earlier probe by the Securities and Exchange Commission.Towards the end of last year, federal prosecutors started examining two loans totaling $8m wired to Trump Media, through the Caribbean, from two obscure entities that both appear to be controlled in part by the relation of an ally of Russian president Vladimir Putin, the sources said.The expanded nature of the criminal investigation, which has not been previously reported, threatens to delay the completion of the merger between Trump Media and Digital World, which would provide the company and Truth Social with up to $1.3bn in capital, in addition to a stock market listing.Even if Trump Media and its officers face no criminal exposure for the transactions, the optics of borrowing money from potentially unsavory sources through opaque conduits could cloud Trump’s image as he seeks to recapture the White House in 2024.The extent of the exposure for Trump Media and its officers for money laundering remains unclear. The statutes broadly require prosecutors to show that defendants knew the money was the proceeds of some form of unlawful activity and the transaction was designed to conceal its source.But money laundering prosecutions are typically based on circumstantial evidence and can be based on materials that show that the money in question was unlikely to have legitimate origins, legal experts said.The first $2m payment to Trump Media came in December 2021 when the company was on the brink of collapse after the planned merger with Digital World – that would have unlocked millions for the company – was delayed when the SEC opened an inquiry into whether the arrangement broke regulatory rules.Trump Media needed a bridge loan to keep the company afloat. But it struggled to get financing until Digital World’s chief executive Patrick Orlando sourced a $2m loan wired from Paxum Bank registered in Dominica, according to the wire transfer receipt reviewed by the Guardian.The wire transfer identified Paxum Bank as the beneficial owner, although the promissory note identified an entity called ES Family Trust as the lender. Two months later, an unexpected second $6m payment arrived in Trump Media’s account from ES Family Trust, the transfer receipt showed.In both instances, Orlando declined to provide details about the true identity of the lenders or the origin of the money to Trump Media executives, Trump Media’s since-ousted co-founder turned whistleblower Will Wilkerson recounted in an interview.Though the two payments to Trump Media ostensibly came from two separate entities – first Paxum Bank and second ES Family Trust – the trustee of ES Family Trust, a person called Angel Pacheco, appears to have simultaneously been a director of Paxum Bank.The Russian connection, as being examined by prosecutors in the US attorney’s office for the southern district of New York, centers on a part-owner of Paxum Bank – an individual named Anton Postolnikov, who appears to be a relation of Putin ally Aleksandr Smirnov.Smirnov, who heads the Russia-controlled maritime company Rosmorport, worked in the Central Office of the Russian government until 2017. Before that, Smirnov was the First Deputy Minister of Justice of Russia until 2014, and for most of Putin’s first two terms as president, Smirnov served in the executive office of the president.A spokesman for the justice department, the US attorney’s office for the southern district of New York and outside counsel for Trump Media declined to comment about the investigation. Rosmorport and Paxum Bank did not respond to requests for comment.Concern inside Trump MediaThe obscure origins about the $8m loans caused alarm at Trump Media and, in the spring of 2022, Trump Media’s then-chief financial officer Phillip Juhan weighed returning the money, according to Wilkerson.But the money was never returned, Wilkerson said, in part because losing $8m out of the roughly $12m cash that Trump Media had in its accounts at that time would have placed significant stress on its financial situation.Prosecutors appear to have also taken a special interest in the payments because the off-shore Paxum Bank has a history of providing banking services for the pornography and sex worker industries, which makes it higher risk of engaging in money laundering and other illicit financing.There appears to have been some awareness at Trump Media that the first $2m was to come through because Trump’s eldest son Don Jr, who joined the board with Trump ally Kash Patel and former Republican-turned Trump Media chief executive Devin Nunes, had confirmed to the company’s lawyers to proceed with the transaction.“Just want to keep you in the loop – no guaranty that these will get signed and funded, but we remain hopeful,” John Haley, outside counsel for Trump Media said in a 24 December 2021 email seen by the Guardian, to which Don Jr replied: “Thanks john much appreciated. d.”Since Orlando, who arranged the $8m financing, is an SEC-licensed broker-dealer, he would be subject to SEC rules governing anti-money laundering and “Know Your Customer” requirements that mandate due diligence of investors to combat the proliferation of illicit money.As a private company arranging private loans, the obligations for Trump Media to vet the financing under the SEC rules are less clear. But the securities regulations are separate to the US criminal money laundering statutes, which apply universally.A spokesman for Don Jr declined to comment. Orlando, Nunes, Patel and Juhan did not respond to requests for comment.Federal prosecutors’ interest in the two payments appear to have started when Wilkerson, through his attorneys Patrick Mincey, Stephen Bell and Phil Brewster, alerted the US attorney’s office for the southern district of New York to the payments on 23 October 2022.Trump was the chairman of Trump Media at the time, though it was unclear whether he was aware of the opaque nature of the two loans. Trump typically did not seem to be particularly interested in managing the day-to-day running of Trump Media, Wilkerson said.But Trump was interested in the deal, Wilkerson said, because he got to own 90% of the shares without putting in any money into the company. According to one source familiar with the matter, however, Trump invested some money into Digital World, which could allow him to cash out twice in the event the merger was consummated. More