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      Trump’s hubris has brought about the downfall of his family’s business empire | Sidney Blumenthal

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      Judge Arthur Engoron’s ruling on Friday concludes the nearly century-long history of the Trump Organization in New York in disgrace and ruin. For his financial fraud, Donald Trump must pay $355m in fines. He is suspended for three years from doing business in New York. His sons – Donald Jr and Eric, executives of the company – are barred for two years. “New York means business in combating business fraud,” the judge stated in his decision. The Trump brand is now adjudicated to be synonymous with fraud and failure.“In order to borrow more and at lower rates, defendants submitted blatantly false financial data to the accountants, resulting in fraudulent financial statements,” the judge wrote in his decision. “When confronted at trial with the statements, defendants’ fact and expert witnesses simply denied reality, and defendants failed to accept responsibility or to impose internal controls to prevent future recurrences … Their complete lack of contrition and remorse borders on pathological.”The hundreds of millions that Fred Trump bestowed on his son could not prevent him from steering the family legacy on to the rocks.The Trumps were Democrats. They had always been Democrats. Fred Trump had made his fortune through the Democrats. There was no Trump Organization apart from the Democratic organization of Brooklyn. Who Fred knew was what he was worth.In 1977, Fred Trump and Donald Trump reached a pinnacle of acceptance: they were listed as sponsors on the invitation for New York’s Salute to the President, a fundraiser for the Democratic National Committee held in the ballroom of the Waldorf Astoria. The political, corporate and social cream of the city were present to toast Jimmy Carter. The Trumps’ high-dollar donation got them an invitation to the exclusive party at the Upper East Side home of the dinner’s organizer, Arthur Krim, the chair of United Artists.The Trumps mingled there with Governor Hugh Carey, Mayor Abe Beame, Senator Daniel Patrick Moynihan and John Glenn, Hubert Humphrey and Vice-President Walter Mondale. Donald posed for a photo with the president. Between them stood an unsmiling Louise Sunshine, Fred’s executive vice-president of the Trump Organization, his all-purpose lobbyist, and finance co-chair of the New York Democratic party. She was the granddaughter of Barney Pressman, who had founded the Barney’s department store.Donald Trump had been working out of his father’s nondescript office on Avenue Z in Brooklyn. But he was restless being sent as his father’s rent collector. He was intent on conquering the heights of Manhattan, making all the money in the world, basking in the glow of fame and being ushered past the rope line into the pulsating clubs with the celebrities and the models. He had the arrogance and complacency of a pampered heir who wouldn’t have to claw his way upward.Donald was uncontrollable and Fred was controlling. Fred was self-disciplined, meticulous down to his monogrammed shirts and cufflinks, and brutally demanding. He had dispatched the unruly Donald to a military academy in his early teens hoping he would learn to conform. Now he thought he might harness Donald to be useful to the family business.Fred bought a new Cadillac every two years and he wanted Donald to be more than the equivalent of a hood ornament. His older son, Fred Jr, his namesake, had sorely disappointed him. Resisting Fred’s pressure, Fred Jr had gone off to become an airline pilot, only to become an alcoholic, and was at the moment living in the top floor of the Trump home in Queens. Fred had ordered his sons to be “killers”. Fred and Donald derided Fred Jr as a loser. Fred’s hopes devolved on to his second son.View image in fullscreenFred was hardly an outlier among the powerful at Krim’s townhouse. He had helped make many of the New York politicians there. They were among his closest friends, some since the 1930s and 1940s. Donald trailed after Fred through the crowd until finally Fred located the DNC official with whom he had arranged his donation.The DNC official, a friend of mine, recalled that Fred had asked him: “Wouldn’t it be great if Donald got experience in Washington?” Clearly, he wanted to get Donald a gig so that he could make national connections. Donald’s expression was unhappy. He opened his mouth, getting out only a couple of words: “Well, I … ”Fred cut him off before he could say anything else. “Shut the fuck up,” he said sternly. “We didn’t fucking ask you. Who the fuck cares what you think?” And Donald shut up. The official told Fred he would look into it. But Donald wasn’t interested in Washington, at least not then.Donald Trump had crossed the East River into Manhattan with the ambition to be the king of the heap. Walking through Central Park in 1974 with the manager of the bankrupt Penn Central yards he sought to develop, he boasted: “I’ll be bigger than all of them. I’ll be bigger than Helmsley in five years.” To attain the stratospheric level of Helmsley was Donald’s ultimate aspiration.He was referring to Harry Helmsley, the billionaire real estate developer, owner of the Empire State Building and other trademark properties, married to the flamboyant Leona Helmsley, notorious tabloid grist as the Queen of Mean. (In 1988, Helmsley was charged with financial fraud for inflating the value of his buildings and tax evasion, but was judged too frail to stand trial, while Leona was convicted and sent to prison.)Then, Trump and the Penn Central manager walked down Lexington Avenue, where a tabloid headline shrieked about the arrest of a New Jersey mayor for taking an $800,000 bribe. “There is no goddamn mayor in America worth $800,000,” Trump said, according to his biographer, Wayne Barrett. “I can buy a US senator for $200,000.”But Donald had not bought any politicians. He stood on his father’s wealth and connections surveying the island he planned to capture as his own. Donald would catapult to the top by starting at the top.Fred Trump built his real estate empire favor by favor, brick by brick. From the 1930s onward, starting in Flatbush, relying on the New Deal program of the Federal Housing Authority to underwrite loans, he made millions, then tens of millions, then more. He was the biggest operator in Brooklyn. He built thousands of homes and owned tens of thousands of apartments. He didn’t want to edge into the Manhattan market, where the land prices were high and the competition fierce. He had Brooklyn wired.Fred was an indispensable player in the borough’s political machine. His rise in Brooklyn would explain Donald’s calculation about invading Manhattan. In the naked city, Fred’s story was inextricable from that of the Madison Democratic Club. He stood at the center of a dense network of patronage, influence and money. From his relationships and donations flowed land deals and tax abatements. The clubhouse was his cornucopia.Fred’s clout originated with his relationship with the Brooklyn political boss Irwin Steingut, a powerful member of the New York state assembly for 30 years and once the speaker. His chief fundraiser, Abe “Bunny” Lindenbaum, provided the insurance for Fred’s buildings. On Steingut’s recommendation, he became Fred’s attorney. Steingut’s accountant and Lindenbaum’s closest friend, Abe Beame, became the city comptroller.Fred Trump and Beame were friends for 30 years, with Trump financially backing his career for decades. After Steingut’s death in 1952, his son Stanley succeeded him in the assembly and as the Brooklyn boss. Fred’s biggest project, Trump Village, received approval from the city planning commission and the board of estimate in 1960 after Lindenbaum and Steingut lobbied its key members. Fred got a 72% tax write-off on a parcel, too. A week later, Lindenbaum became the city’s new planning commissioner.Beame was elected mayor in 1973 and Stanley Steingut became speaker of the state assembly two years later. Moreover, Hugh Carey had been elected governor in 1974; Bunny and the Trumps were the first donors to his campaign. The Trumps had co-signed a loan for $23,000 to open his headquarters. The influence of the Brooklyn machine – and Fred Trump – was at its peak.Donald not only had his eye on the Penn Central yards but also spotted the seedy Commodore hotel next to Grand Central Station. The part-owners of the Penn Central property were owners of the hotel. He thought he could get a two-for-one bargain. Donald got an agreement from the Hyatt hotels to manage it, but it was non-binding. He needed a huge tax abatement to finance the $80m renovation to pay the mortgage and property taxes. This is when the art of the deal kicked in. Its secret was the friends of Fred Trump.Beame and Steingut got behind a bill in the assembly crafted to provide exactly this unique type of tax abatement. Unfortunately, the assembly was overwhelmed with the city fiscal crisis and adjourned before passing it in the 1975 session. Beame’s administrator for the Lower Manhattan Development Corporation, Michael Bailkin, devised a scheme for Trump to buy the Commodore from Penn Central and donate it to the city, which would pay the taxes to itself and lease it to Trump for 99 years, who would reap the benefits but pay no taxes.Donald hired a lawyer, Bunny Lindenbaum’s son, Samuel “Sandy” Lindenbaum, who would become renowned as the “dean of zoning”. The idea of the 99-year lease wouldn’t fly. If the city owned the hotel, it would have to put it up for sale to public bidding. So Bailkin proposed using the state’s Urban Development Corporation as a vehicle to give the tax exemptions and evade public bidding.Promising this to the brash young Donald was a problem. Mayor Beame had his deputy John Zuccotti check in with Fred, who promised he’d oversee it all. That satisfied Beame, who announced the project as the first of his brand-new business incentive program. But it still had to pass the board of estimate, where there was static from the Hotel Association, led by Helmsley, peeved because its operators would not get the tax abatement under the plan.Louise Sunshine, Fred’s right-hand person in the Trump Organization, also fundraising for Governor Carey’s re-election, happened to be hired just then as the lobbyist for the UDC. She arranged with Carey’s chief counsel, Charles Goldstein, for the city development chief, Richard Kahan, to be appointed the new UDC head, who wrote Donald a letter approving the terms of the Commodore deal. But it still had to pass the hurdles of the board of estimate and the bureau of franchises.Stanley Friedman, the deputy mayor and former secretary of the Bronx Democratic organization, took charge. He enlisted help in wrangling quid pro quos from Roy Cohn, mob lawyer extraordinaire, another heir to power, whose father had been an influential judge in the Bronx. Cohn happened to be the lawyer for the Commodore. The consent agreement was rewritten so that Donald would pay less in franchise fees for using public space than the hotel restaurant would earn in a day. The boards approved the deal.But there was one more requirement. There would be no mortgage unless it was financially guaranteed by a third party. Donald himself didn’t have the money. The banks lacked confidence in him and withheld financing. Fred stepped forward to sign the guarantee. Only then did the banks provide the money.“When it came to the financial bottom line of the deal, Donald was barely a factor,” wrote Wayne Barrett. An investigative reporter for the Village Voice, Barrett was the most dedicated pursuer of fact about Trump’s financial chicanery for decades.The day after Beame left office, with the deal signed, sealed and delivered, Stanley Friedman joined Cohn’s law firm. (He would be convicted of corruption in 1986 and sentenced to prison.)View image in fullscreenThe Commodore deal was the making of Donald Trump. All his father’s powers had been exerted invisibly to move the pieces. Donald entered into Cohn’s demimonde for the first time. While Cohn applied his dark arts to secure the Commodore, he convinced Donald to force his fiancé, Ivana Winklmayr, to sign a harsh pre-nuptial agreement. Donald owed him. Roy was a man for all seasons. Donald brought Roy as his guest to the Carter event. Roy hated Carter.Donald stomped through the city like he was King Kong. He built Trump Tower on Fifth Avenue with ready-mix cement from the mob, the “Concrete Club”, they called it, provided by Anthony “Fat Tony” Salerno, boss of the Genovese crime family, the client of Roy Cohn, and under the supervision of teamster boss John Cody, under the control of Paul Castellano, boss of the Gambino crime family. Cody bought an apartment for his mistress in the completed building without filing a loan application to show his income.(Cody was convicted of labor racketeering in 1982 and sentenced to prison. Salerno was convicted in 1988 and sent to prison. His contract for concrete to build Trump Plaza was listed in his indictment as one of the charges of racketeering. Castellano was assassinated at Sparks Steak House in Manhattan in 1985 on the orders of John Gotti, who assumed control of the Gambino family.)“If people were like me, there would be no mob, because I don’t play that game,” Trump said when asked later about his ties to what he called “OC”, or organized crime. He called himself “the cleanest guy there is”.Fred’s Cadillac bore the vanity license plate “FCT”. (His middle name, from his mother’s family, was “Christ”.) Louise Sunshine arranged a little present for Donald to get his own vanity license plate reading “DJT”.He wanted to shake off the image of the outer borough. He raced in his limo from Fifth Avenue to a red banquette at 21 for lunch with Roy, to leering at the celebs and models frolicking at Studio 54.Donald tried to imitate Fred’s methods, but misunderstood them. Fred had slowly nurtured relationships with the Brooklyn clubhouse. The line between business and friendship was seamless. There were Brooklyn Democratic dinners where Fred brought his family. He hosted lavish parties at the country club, inviting everyone and their families. He knew how to become the godfather. But when Beame left office, Fred’s glory days of connections were fading.Donald was crass, belligerent and bullying. He believed that the conspicuous display of gold-plated wealth showed an irresistible Midas touch and that all publicity was good publicity. He threw $70,000 in campaign contributions at Ed Koch, who replaced Beame, and turned up at his election night victory party to celebrate like he had made Koch.Koch, a former reform Democrat, was voluble and insecure, with a penchant for turning political disagreements into personal battles. Trump yelled at him for easements and tax abatements. Koch detested him. “I wouldn’t believe Donald Trump if his tongue were notarized,” he said.Trump bloated his holdings, emblazoning his name in gold letters on everything he could get his hands on. He bought the Eastern airline shuttle and renamed it the Trump shuttle. He started the United States Football League. He built the Taj Mahal casino in Atlantic City. He dumped Ivana for an actress, Marla Maples.And he floated his greatest scheme of all, a multibillion-dollar complex over the West Side railyards, “a new mini-city on the Hudson River … containing thousands of luxury apartments, the world’s tallest building, a huge shopping mall and a television studio complex that he said would be ‘the largest and most spectacular’ in the world,” according to the New York Times. He called it Television City. In his plan, NBC would relocate from Rockefeller Center. Then he changed its name to Trump City. He would rebrand New York in his own image.After seeming to approve the deal, Koch killed it in 1987. He wouldn’t become in effect Trump’s partner through tax abatements and zoning. The Television City debacle was the reverse of the Commodore bonanza. Trump called Koch “a moron”, and Koch called him “greedy, greedy, greedy”, and said that if he was “squealing like a stuck pig, I must have done something right”. The house of cards began to crumble.Trump tried to cover his financial crisis with stories about his sex life. He leaked to the New York Post a fake quote, supposedly Maples’ statement about his sexual prowess, timed for just after Valentine’s Day 1990, splashed on the front page: Best Sex I Ever Had.Spy magazine, edited by Kurt Andersen and Graydon Carter, had pegged Trump as “a short-fingered vulgarian” from the start. Along with the Village Voice, Spy pointed out Trump’s financial trickery for years. In April 1991, it published a compendium: How to Fool All of the People, All of the Time: How Donald Trump Fooled the Media, Used the Media to Fool the Banks, Used the Banks to Fool the Bondholders, and Used the Bondholders to Pay for the Yachts and Mansions and Mistresses.Trump’s Atlantic City properties were leveraged with debt to the hilt. In November 1991, he failed to meet the debt payment. Fred dispatched a lawyer to buy $3.35m in chips at the Trump Castle casino to give Donald cash to meet the bill. The New Jersey gaming authorities found him guilty of violating the Casino Control Act and fined him $33,000. In 1998, the US Treasury fined Donald’s casino $477,000.Trump filed six bankruptcies. He was forced to sell his airline, the Plaza Hotel on Fifth Avenue and his yacht, named Princess for his daughter Ivanka. The Taj Mahal and the Castle went belly up. Fortune dumped him from its list of billionaires. Forbes reported he had a negative net worth. The New York banks cut him off from future loans. They put him on an allowance to give him a chance to repay part of his debts. His casino company filed for bankruptcy protection in 2014 for the fifth time.Trump eventually found a new lender to guarantee loans in Deutsche Bank. Its records were subpoenaed in the New York state financial fraud case. “The bank did not trust all of Trump’s numbers, but it underestimated the depth of Trump’s lies,” Forbes reported in 2023.What If You Could Have It All? read the chyron to the throbbing beat of the O’Jays’ For the Love of Money, to open The Apprentice television series in 2004, featuring Trump striding as the master of the universe. His limo, his helicopter, his Trump Tower and even the bankrupt Taj Mahal flashed as fantasy images of his brilliant success. He was the top of the list, king of the hill, a No 1.During the 2016 campaign, Donald lied that he was a self-made man who started with a measly $1m loan from Fred. But the New York Times, after reviewing his tax records, determined in 2018 that he had “received the equivalent today of at least $413m from his father’s real estate empire”.Fred died in 1999. He is not here to buy the chips.
      Sidney Blumenthal is a Guardian US columnist. He is a former senior adviser to President Bill Clinton and Hillary Clinton and has published three books of a projected five-volume political life of Abraham Lincoln: A Self-Made Man, Wrestling With His Angel and All the Powers of Earth More

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      Donald Trump banned from running businesses in New York for three years – live

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      The New York fraud case ruling is a massive blow to Trump and his business empire and a big win for New York attorney general Leticia James, who is expected to speak on the ruling at a press conference this afternoon.In addition to the big fine and ban on doing business, Trump also is barred from obtaining loans from New York banks for three years.Trump’s conduct in the case entered into the judge’s opinion.“Overall, Donald Trump rarely responded to the questions asked, and he frequently interjected long, irrelevant speeches on issues far beyond the scope of the trial,” Judge Engoron wrote. “His refusal to answer the questions directly, or in some cases, at all, severely compromised his credibility.”Buried in the middle of judge Arthur Engoron’s almost-100 page judgement in the Trump family business fraud case is a smoothly-delivered but absolutely stinging rebuke of Ivanka Trump’s truthiness.Ivanka was a witness not a defendant in the Trump Org civil case in New York and she took the stand last November, testifying in a calm and orderly manner most memorable for the infamous little phrase “I don’t recall”.Well it didn’t fool Engoron. On Page 45 of his ruling today he excoriates the former president’s older daughter thus: “Ivanka Trump was a thoughtful, articulate, and poised witness, but the Court found her inconsistent recall, depending on whether she was questioned by OAG [Office of the Attorney General] or the defense, suspect.”Ivanka Trump, 42, left her fashion business, which is now discontinued, while she was working as an unpaid senior adviser in the White House for the Trump administration. She’s also been an executive vice president in the Trump Organization and a judge on her dad’s television show The Apprentice.Judge Engoron completed his trump hand today thus: “In any event, what Ms Trump cannot recall is memorialized in contemporaneous emails and documents; in the absence of her memory, the documents speak for themselves.”But the judge canceled his prior ruling from September ordering the “dissolution” of companies that control pillars of Trump’s real estate empire, Reuters reports.Engoron said on Friday that this was no longer necessary because he is appointing an independent monitor and compliance director to oversee Trump’s businesses.Trump’s legal team has responded to the massive fine and three-year ban. Via Reuters:Trump’s lawyer Alina Habba said in a statement that the ruling was a “manifest injustice” and “culmination of a multi-year, politically fueled witch-hunt” against him.“This is not just about Donald Trump – if this decision stands, it will serve as a signal to every single American that New York is no longer open for business,” Habba said, adding that she plans to appeal.The New York fraud case ruling is a massive blow to Trump and his business empire and a big win for New York attorney general Leticia James, who is expected to speak on the ruling at a press conference this afternoon.In addition to the big fine and ban on doing business, Trump also is barred from obtaining loans from New York banks for three years.Trump’s conduct in the case entered into the judge’s opinion.“Overall, Donald Trump rarely responded to the questions asked, and he frequently interjected long, irrelevant speeches on issues far beyond the scope of the trial,” Judge Engoron wrote. “His refusal to answer the questions directly, or in some cases, at all, severely compromised his credibility.”The New York attorney general Leticia James secured a fine of more than $350m against Trump, his eldest sons and their associates after a judge found them guilty of intentionally committing fraud by falsifying government disclosures.Judge Arthur Engoron also banned the former president from serving as an officer or director or any New York corporation or entity for three years. Eric Trump and Donald Trump Jr were issued two-year bans.The full ruling can be found here. We’re reading through it now.The ruling in the New York fraud case against former president Donald Trump has been released, banning Trump from serving as an officer or director of any New York corporation or other legal entity in New York for three years.The New York attorney general’s office sued Trump for inflating the value of his assets on government financial statements in the case, which also includes Trump’s adult sons, Donald Trump Jr and Eric Trump, and two former Trump Organization executives, Allen Weisselberg and Jeff McConney, as defendants.The stakes in the case relate to Trump’s businesses, but his political career could be affected by the case as well. It’s factored into his 2024 campaign, where he talks about the “witch hunt” he’s facing across multiple court cases.Lawyers who’ve been watching the hearings in the Fulton County case against Trump where defense attorneys are trying to get DA Fani Willis and special prosecutor Nathan Wade removed from the case have said there’s been little evidence offered of any potential conflict – though the salacious nature of the allegations have done damage to Willis and potentially the case in the court of public opinion.Friday’s hearings have not been as heated or sordid as yesterday’s, instead probing the people surrounding the relationship who may have some information on it. It’s been, at times, tedious and wonky, and the defense hasn’t gotten any kind of smoking gun to prove its claims of a conflict.Terrance Bradley, Wade’s former law partner and onetime divorce attorney, is on the stand now and not offering much to help the defense’s case that the relationship is a conflict of interest or that the timeline of the relationship Willis and Wade have put forward isn’t accurate.Robin Yeartie, a former employee in the DA’s office, had testified that Willis started her relationship Wade before he was hired on the Trump case, but she also affirmed she had been ousted over performance. Other witnesses have not shown evidence of a different timeline, nor did Yeartie.On the southern border of the US and Mexico, the Republican governor of Texas, Greg Abbott, said he’s going to build a military “base camp” in Eagle Pass, the city where there’s an ongoing standoff between US Border Patrol and the Texas National Guard.Here’s more from Reuters:The facility – dubbed Forward Operating Base Eagle – will be an 80-acre complex along the banks of the Rio Grande and house up to 1,800 troops, with the ability to expand to 2,300, Abbott and state officials said at a press conference.The move is part of a broader effort by Abbott to try to stop migrants from crossing the border illegally into Texas, including a makeshift barrier of shipping containers and concertina wire in a city-owned park in Eagle Pass. The state intends to install more barriers north and south of the park, officials said on Friday.U.S. immigration enforcement historically has been the responsibility of the federal government and Abbott’s moves to secure the border have triggered legal standoffs with U.S. President Joe Biden’s administration.Back to the Fulton County hearing…Special prosecutor Nathan Wade’s former law partner who at one point represented him in his divorce proceeding is on the stand now. Terrance Bradley is testifying on some things, but is limited in what he can talk about because of attorney-client privilege, making for a stilted line of questioning for someone once called the defense’s “star witness.”Bradley may have some texts that would suggest Wade and Fulton County DA Fani Willis were in a relationship earlier than they’ve claimed, but Willis’ attorneys have disputed this and said he can’t talk about the texts anyway because of attorney-client privilege.For now, those texts are off the table in the testimony.During remarks at the White House this afternoon, President Joe Biden touched on the Russian satellite issue that’s caused some alarm over security this week.Biden said there was no sign Russia has decided to deploy an emerging anti-satellite weapon, the Associated Press reports. The White House has confirmed that U.S. intelligence officials have information indicating Russia has obtained such a capability, although such a weapon is not yet operational. Biden said Friday that “there’s no evidence that they have made a decision to go forward with doing anything in space.”“There is no nuclear threat to the people of America or anywhere else in the world with what Russia’s doing at the moment,” Biden said.The president confirmed that the capability obtained by Russia “related to satellites and space and damaging those satellites potentially,” and that those capabilities could “theoretically do something that was damaging.”But Russia hasn’t moved forward with plans yet, and, Biden added: “My hope is, it will not.”Supreme Court Justice Samuel Alito on Friday temporarily halted the Boy Scouts of America’s $2.46 billion settlement of decades of sex abuse claims, which is being appealed by a group of 144 abuse claimants, Reuters reports.Alito’s brief order freezing the settlement gives the court more time to decide a February 9 request by the abuse claimants to block the settlement from moving forward.They contend that the deal unlawfully stops them from pursuing lawsuits against organizations that are not bankrupt, such as churches that ran scouting programs, local Boy Scouts councils and insurers that provided coverage to the Boy Scouts organization.NPR reported last April that the Boy Scouts of America (BSA) announced, as it was emerging from Chapter 11 bankruptcy reorganization, that it would establish a $2.4bn fund for those in the organization who were victims of sexual abuse. as it emerges out of Chapter 11 bankruptcy, covering more than 82,000 men who said they were victims.The BSA had urged the supreme court on Thursday not to stop the settlement from moving forward, saying that a delay could “throw the Scouting program into chaos” and “potentially destroy BSA’s ability to carry out its 114-year-old charitable mission”, Reuters further reported.Joe Biden commented briefly at the White House a little earlier about the development yesterday where a man at the center of congressional Republicans’ push to impeach the US president was arrested for lying about Joe and Hunter Biden.“He is lying and it [impeachment] should be dropped – and it’s been an outrageous effort from the beginning,” Biden said. He made the brief remark in response to the last question he took from reporters, returning to the lecturn to do so, after appearing to talk chiefly about the deal of Russian opposition leader Alexei Navalny.The news emerged yesterday evening that an FBI informant has been charged with lying to his handler about ties between Biden, his son Hunter and a Ukrainian energy company.Alexander Smirnov, 43, falsely told FBI agents in June 2020 that executives associated with the Ukrainian energy company Burisma paid Hunter and Joe Biden $5m each in 2015 and 2016, prosecutors said on Thursday.Smirnov told the FBI that a Burisma executive had claimed to have hired Hunter Biden to “protect us, through his dad, from all kinds of problems”, prosecutors said in a statement.The allegations became a flashpoint in Congress over the summer as Republicans demanded the FBI release the unredacted form documenting the allegations as they pursued investigations of Biden and his family. They acknowledged at the time that it was unclear if the allegations were true.The new development sharply undermines the thrust of congressional Republicans’ corruption accusations that the US president was making money from his son Hunter’s business dealings in Ukraine. Full story here.Incidentally, the misconduct hearing in Georgia for the leading prosecutors in the election interference case against Donald Trump and more than a dozen co-defendants has resumed after lunch. It’s in the weeds at the moment, but we’ll bring you highlights.Joe Biden, speaking at the White House moments ago about temporary ceasefire talks with Israel in its war on Hamas, reminded the public that Americans are among the hostages still held inside Gaza.“And my hope and expectation is that we will get this hostage deal, we will get these Americans home, and the deal is being negotiated now,” the US president said.At least 120 hostages are believed still to be held in Gaza by Hamas, the Islamist militant group that controls the Palestinian territory and took more than 240 hostages from southern Israel after launching a massive attack on the area on 7 October last year. Most of the hostages are Israelis.The White House said earlier this week that it was not known how many of the remaining hostages are still alive.Joe Biden has just spoken at the White House about the death of Russian activist Alexei Navalny but also discussing Nato, Israel and Burisma.The US president expressed outrage at Navalny’s death in a Russian arctic prison camp. Biden’s remarks on that are in our live blog dedicated to Navalny news, here, and his comments responding to Donald Trump’s position on Nato earlier this week will also be in the blog.But Biden also took some questions and one was about the latest on negotiations with Israel and the US demands that Israel have a credible plan for the 1.7 million people trapped in Rafah in the far south of Gaza before attacking the city in continued efforts to destroy Hamas. He said he has had “extensive talks” with Israeli prime minister Benjamin Netanyahu this week “over an hour each” during phone calls.“I have made the case and I feel very strongly about it – there has to be a temporary ceasefire to get the hostages out. I’m still hopeful that that can be done,” he said.Biden added: “In the meantime, I do not anticipate … I’m hoping that the Israelis will not make a massive land invasion [of Rafah]. It’s my understanding that that will not happen.”Eight members of the House of Representatives have unveiled a bipartisan proposal to provide $66.3bn in military aid for Ukraine, Israel and Taiwan as they attempt to make progress in the lower chamber amid the logjam, Politico reports today.The total is lower than the $95bn bill for similar purpose passed by the Senate earlier this week but which has shaky prospects in the Republican-controlled House.Politico writes:
      Spearheaded by Ukraine caucus co-chair Brian Fitzpatrick, Republican of Pennsylvania, the House counterproposal also includes provisions aimed at tightening border security and winning over Republicans who won’t approve Ukraine aid without addressing the border.
      The bill is sponsored by an equal number of Republicans and Democrats. In addition to Fitzpatrick, the bill is co-sponsored by GOP Reps. Don Bacon of Nebraska, Mike Lawler of New York and Lori Chavez-DeRemer of Oregon.
      Four centrist Democrats also signed on: Reps. Jared Golden of Maine, Ed Case of Hawaii, Marie Gluesenkamp Pérez of Washington and Jim Costa of California.
      House Speaker Mike Johnson opposes the Senate version, and it’s unclear how he will respond to the new bill. But the new proposal creates yet another bipartisan pressure point as Ukraine advocates look to force a vote on the House floor after months of inaction.
      Full report here.Joe Biden is due to make public remarks shortly about the death in custody of Alexei Navalny, the Russian opposition leader and courageous critic if Russia’s president Vladimir Putin.Our Guardian colleague in Moscow, Andrew Roth, writes in this report that the death of Navalny, once Putin’s most significant political challenger, is a watershed moment for Russia’s shattered pro-democracy movement, which has largely been jailed or driven into exile since the Ukraine invasion of 2022.Navalny, 47, was being held in a jail about 40 miles north of the Arctic Circle, where he had been sentenced to 19 years under a “special regime”.We are covering developments and reaction to this tragedy in a dedicated Guardian live blog, which you can follow here.That blog will feature Joe Biden’s remarks as they happen.After Fulton County district attorney Fani Willis was not called back to the stand, the county’s hearing has continued with other witnesses, albeit much less explosive than yesterday’s testimony.
      Former Georgia governor Roy Barnes testified that he was asked to be special prosecutor, but turned it down because it didn’t pay enough and would risk his safety.
      John Floyd, Willis’ father, testified that he hadn’t met special prosecutor Nathan Wade until 2023 and didn’t know they were in a relationship until it became public. He also said he taught his daughter to keep cash on hand, something Willis said she used to pay back Wade for anything he paid for while they dated.
      More witnesses should take the stand this afternoon. You can livestream the courtroom here.
      Beyond the hearing, the big news of the day: US Sen. Joe Manchin, the Democrat from West Virginia, will not run for president, ending speculation that he could spoil the election as a third-party option. That’s a sigh of relief for President Joe Biden.We’re still keeping an eye out for the expected ruling out of New York on the Trump fraud case, which should come sometime today. Stay tuned!Joe Manchin, the Democratic senator from West Virginia, announced in a speech today that he officially will not be running for president, ending speculation that he could run as a third-party candidate and throw President Joe Biden’s reelection prospects for a loop.“I will not be a deal breaker or a spoiler,” Manchin said, according to the New York Times.Manchin had considered running under the No Labels banner, a group that’s gotten on the ballot as a party in multiple states and is trying to recruit someone to run as an alternative to Trump and Biden this year. More

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      Biden ‘privately defiant’ over chaotic 2021 Afghanistan withdrawal, book says

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      Joe Biden is “privately defiant” that he made the right calls on the US withdrawal from Afghanistan in summer 2021, a new book reportedly says, even as the chaos and carnage that unfolded continues to be investigated in Congress.“No one offered to resign” over the withdrawal, writes Alexander Ward, a Politico reporter, “in large part because the president didn’t believe anyone had made a mistake. Ending the war was always going to be messy.”Ward’s book, The Internationalists: The Fight to Restore Foreign Policy After Trump, will be published next week. Axios reported extracts on Friday.Ward adds: “Biden told his top aides, [national security adviser Jake] Sullivan included, that he stood by them and they had done their best during a tough situation.”Ward quotes an unnamed White House official as saying: “There wasn’t even a real possibility of a shake-up.”The US invaded Afghanistan in October 2001, a month after the 9/11 attacks on New York and Washington. The Taliban, which had sheltered the leader of al-Qaida, Osama bin Laden, was soon ousted but fighting never ceased.Figures for the total US death toll in the country since 2001 vary. The United States Institute of Peace, an independent body established by Congress, says that 2,324 US military personnel, 3,917 US contractors and 1,144 allied troops were killed during the conflict. More than 20,000 Americans were wounded.“For Afghans,” the institute goes on, “the statistics are nearly unimaginable: 70,000 Afghan military and police deaths, 46,319 Afghan civilians (although that is likely a significant underestimation) and some 53,000 opposition fighters killed. Almost 67,000 other people were killed in Pakistan in relation to the Afghan war.”Hundreds of thousands were displaced. Furthermore, according to the Watson Institute of International and Public Affairs at Brown University, “four times as many [US] service members have died by suicide than in combat in the post-9/11 wars [including Iraq and other campaigns], signaling a widespread mental health crisis”.Biden entered office determined to withdraw, and in late summer 2021 US forces pulled out, leaving the defense of the country to US-trained Afghan national forces.The Taliban swiftly overran that opposition, and soon scenes of chaos at Kabul airport dominated world news. Tens of thousands of Afghans who sought to leave, fearing Taliban reprisals after a 20-year US occupation, were unable to get out. More than 800 US citizens were left behind, notwithstanding Biden’s promise on 18 August that troops would stay until every US citizen who wanted to leave had done so.skip past newsletter promotionafter newsletter promotionWard, Axios said, quotes a senior White House official as saying: “There’s no one here who thinks we can meet that promise.”On 26 August, 13 US service members were killed in a suicide attack. Three days later, a US drone strike killed 10 Afghan civilians, seven of them children. No Americans faced disciplinary action over the strike, which a US air force inspector general called “an honest mistake”.According to Axios, Ward also details extensive infighting over the withdrawal between the Departments of State and Defense.Biden, Ward says, tended to favour the state department, having been chair of the Senate foreign affairs committee, and to be wary of the Pentagon, having been vice-president to Barack Obama through eight years of inconclusive war. More

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      in US Politics

      FBI informant charged with lying about Bidens’ role in Ukraine business

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      An FBI informant has been charged with lying to his handler about ties between Joe Biden, his son Hunter and a Ukrainian energy company.Alexander Smirnov falsely told FBI agents in June 2020 that executives associated with the Ukrainian energy company Burisma paid Hunter and Joe Biden $5m each in 2015 and 2016, prosecutors said on Thursday.Smirnov told the FBI that a Burisma executive had claimed to have hired Hunter Biden to “protect us, through his dad, from all kinds of problems”, prosecutors said in a statement.The allegations became a flashpoint in Congress over the summer as Republicans demanded the FBI release the unredacted form documenting the allegations as they pursued investigations of Biden and his family. They acknowledged at the time that it was unclear if the allegations were true.The new development sharply undermines the thrust of congressional Republicans’ corruption accusations that the US president was making money from his son Hunter’s business dealings in Ukraine.Smirnov, 43, was charged with making a false statement and creating a false and fictitious record. No attorney was immediately listed for him in court records.Smirnov appeared in court in Las Vegas briefly on Thursday after being charged with making a false statement and creating a false and fictitious record. He did not enter a plea. The judge ordered the courtroom cleared after federal public defender Margaret Wightman Lambrose requested a closed hearing for arguments about sealing court documents. She declined to comment on the case.The charges were filed by the justice department special counsel David Weiss, who has separately charged Hunter with firearm and tax violations.Hunter’s legal team did not immediately return a message seeking comment.The informant’s claims have been central to the Republican effort in Congress to investigate the president and his family, and helped spark what is now a House impeachment inquiry into Biden.Prosecutors say Smirnov had contact with Burisma executives, but it was routine and actually took place in 2017, after Barack Obama, the US president, and Biden, his vice-president, had left office – when Biden would have had no ability to influence US policy.Smirnov “transformed his routine and unextraordinary business contacts with Burisma in 2017 and later into bribery allegations against public official 1, the presumptive nominee of one of the two major political parties for president, after expressing bias against public official 1 and his candidacy,” the indictment said.He repeated some of the false claims when he was interviewed by FBI agents in September last year and changed his story about others and “promoted a new false narrative after he said he met with Russian officials”, prosecutors said.If convicted, Smirnov faces a maximum penalty of 25 years in prison.The House oversight committee chairman James Comer, a Republican representing Kentucky, had subpoenaed the FBI last year for the so-called FD-1023 document as Republicans deepened their inquiries into the US president and Hunter ahead of the 2024 presidential election.Working alongside Comer, the Republican senator Chuck Grassley of Iowa released an unclassified document that Republicans at the time claimed was significant in their investigation of Hunter.It added to information that had been widely aired during Donald Trump’s first impeachment trial involving Trump attorney Rudy Giuliani’s efforts to dig up dirt on the Bidens ahead of the 2020 election. The White House said at the time that the claims had been debunked for years.The impeachment inquiry into Biden over his son’s business dealings has lagged in the House, but the panel is pushing ahead with its work. Hunter is expected to appear before the committee later this month for an interview.The Associated Press contributed reporting More

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      in US Politics

      Personal questions, and a witness stays mum: key moments from the Fani Willis hearing

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      On the first day of a heated hearing, the Fulton county district attorney Fani Willis and her deputy, special prosecutor Nathan Wade, took the stand, hoping to put an end to the allegations that their past relationship threatens the criminal case against Donald Trump and his allies in their attempts to overturn the 2020 election.A defendant in the Trump case, Mike Roman, is seeking to have Willis and Wade disqualified, alleging their relationship constituted a conflict of interest. His lawyer attempted to prove Willis financially benefitted from her relationship with Wade.If Roman is successful in having Willis relieved from bringing the case, it would result in the disqualification of the entire district attorney’s office.Here were some key moments from the hearing on Thursday.A key witness decided to stay mumTerrence Bradley, a former law partner of Nathan Wade, was supposed to be the witness that set up the dominoes to fall by testifying that the district attorney’s relationship began earlier than Wade had asserted in an affidavit. Superior court judge Scott McAfee implied that a decision to quash subpoenas for Wade, Willis and others depended in part on whether Bradley’s testimony was powerful enough to overcome suspicions that the whole legal gambit was a fishing exercise and a distraction.But Bradley, who served as Wade’s divorce lawyer for a time, cited attorney-client privilege and refused to testify about the details of his knowledge about the relationship between Wade and Willis.For a moment, it appeared that this would be the beginning and end of the hearing.A former friend gave perhaps the most damning testimony – if trueRobin Bryant-Yeartie, a former friend of Willis’s, testified that she was aware that Willis was romantically engaged with Wade. Bryant-Yeartie said they had started dating in 2019, before Willis had been elected as district attorney and before Donald Trump’s “perfect phone call” to Georgia secretary of state Brad Raffensberger, which set off the investigation.Bryant-Yeartie’s testimony directly contradicted Wade’s sworn statement in an affidavit in his divorce case, which said he had not been involved in a relationship with someone else while still married. Prosecutors noted in Willis’s defense that Bryant-Yeartie and Willis had had a falling out and that Bryant-Yeartie had left the district attorney’s office in acrimony, but the testimony was enough to open the door, compelling Wade, and then later Willis, to take the stand.Wade was backed into a corner, but he still surprised the courtWade’s testimony had twists and turns, revealing more of the timeline and that he had cancer in 2020, limiting his time for outside relationships during the pandemic. He also tried to underscore the way he and Willis say they shared the bills: with him paying by credit card and her reimbursing him with cash.skip past newsletter promotionafter newsletter promotionBut the lawyers, with their persistence, sometimes left him with no choice but to be direct.“Are you asking me if I had intercourse with the district attorney?” Wade said, after attorney Steve Sadow asked him if they had any kind of personal relationship after June 2023. Wade said no and that he has had no romantic relationship since.Fani came to fight, her wayOriginally objecting to taking the stand, Willis essentially overrode her lawyers to testify on Thursday afternoon. “I’m ready to go,” she said.With the spotlight on her, Willis attempted to explain and rebuff every allegation, and refocus the message. Sometimes, she was cheeky. “He likes wine. I don’t really like wine, to be honest with you,” she said, when explaining a trip to Napa Valley with Wade. “I like Grey Goose.”At other times, she called the lawyers liars, and tried to circumvent the questions to send a message to the public. “You’re confused … I’m not on trial,” she said to attorney Ashleigh Merchant. “These people are on trial for trying to steal an election in 2020.” More

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      in US Politics

      Marjorie Taylor Greene claims ‘bullshit’ as expert says Covid vaccine saved 14m lives

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      Responding to an expert’s statement that “about 3.2 million” American lives have been saved by vaccines against Covid, with “over 14 million lives” saved globally, the far-right Republican Marjorie Taylor Greene said: “I’m not a doctor, but I have a PhD in recognising bullshit when I hear it.”On Capitol Hill on Thursday, Greene attended a hearing staged by the House oversight select subcommittee on the coronavirus pandemic.The expert Greene responded to, Dr Peter Marks, the director of biologics evaluation and research at the Food and Drug Administration, also described how at the height of the pandemic in the US, “about 3,300 [people], about a World Trade Center disaster a day”, were dying of Covid-19, contributing to a death toll of more than 1.1m.Marks later apologised to viewers, after Greene claimed children should not be given Covid vaccines.Greene, from Georgia, is a former CrossFit gym owner, conspiracy theorist and controversialist who entered Congress in 2021 and has assumed an influential position in a House Republican caucus controlled by the far right.Touting herself as a possible vice-presidential pick for Donald Trump, she is set to act as a manager in the impeachment of Alejandro Mayorkas, the secretary of homeland security, a process Greene drove in the House.Speaking after Marks answered questions from the Maryland Democrat Jamie Raskin, Greene first dismissed the doctor’s comments as “bullshit”.Then she used her allotted five minutes to deliver rambling remarks about “all kinds of injuries, miscarriages, heart attacks, myocarditis, permanent disability, neurological problems” that she said had arisen from “people being forced to take vaccines”.“There’s been thousands of peer-reviewed medical studies, thousands of them studying vaccine injuries,” Greene said. “They are real. People are dying.“People are having heart attacks, strokes, blood clots, and many other countries are dropping the Covid-19 vaccine and saying we shouldn’t give them to children. It’s time to be honest about the vaccine-injured and we need to stop allowing these Covid-19 vaccines to be given out to children.”The next speaker, the California Democrat Robert Garcia, said: “I’m sorry you all had to go through that. That was a lot of conspiracy theories and wild accusations, which we know have been debunked by medical science. We should be clear that vaccines work and have saved lives, and have saved millions of lives in this country.”Garcia displayed blow-ups of tweets and comments in which Greene has spread conspiracy theories and misinformation including comparing pandemic public health rules to the Holocaust, encouraging parents to deny Covid vaccines to children and claiming vaccines contribute to an increase in “turbo cancers”.As Greene indicated her displeasure, Garcia asked Dr Marks to “clarify once again for the American people, do the Covid vaccines cause ‘turbo cancers’?”“I’m a haematologist and oncologist that’s board certified,” Marks said. “I don’t know what a ‘turbo cancer’ is. It was a term that was used first in a paper on mouse experiments, describing an inflammatory response. We have not detected any increase in cancers with the Covid-19 vaccines.”As Garcia began to speak, Marks interjected.“May I just add something here,” he said. “I do need to apologise to the thousand or so parents of children under four years of age who have died of Covid-19, who were unvaccinated. Because there were deaths and there continue to be deaths among children, and that is the reason why they need to get vaccinated. Thank you.” More

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      Larry Hogan says he doesn’t want to be a senator – but he’s polling well anyway

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      Larry Hogan, the Republican candidate for US Senate in Maryland who says he doesn’t really want to be a US senator but is running anyway, is tied with or leads his possible Democratic opponents, according to a poll released on Thursday.The former governor of Maryland leads Angela Alsobrooks, a state politician, by seven points in a hypothetical matchup and ties at 42% support with the US congressman David Trone, in a poll by Emerson College, the Hill and DC News Now.Governor from 2015 to 2023, Hogan left office as a popular moderate Republican in an otherwise generally Democratic state. Opposing Donald Trump’s grip on his party, and flirting with a third-party presidential run, Hogan repeatedly said he did not want to succeed the Democrat Ben Cardin in the Senate after Cardin retires next year.Last week, Hogan said he would run after all.Last May, Hogan said he did not “have a burning desire to be a senator”, would find sitting in the Senate “really frustrating on a personal human level”, thought being a senator was “not where my skill set lies” and said that although he could win a seat, “the problem was I would win and I would have to go be a senator”.On Wednesday he told CNN “not much” had changed.“I still feel exactly the same way,” he said. “Not a lot gets done in Washington. Who in their right mind would want to go in and be a part of that divisiveness and dysfunction? I said I wasn’t going to walk away from politics, I was going to try to be a voice, standing up to try to fix things, and you can’t just sit back and complain about things if you’re not willing to try to make a difference.“Still personally, there’s not a burning desire to go be a senator … I’m only doing it because I think I have a unique voice and perspective.”Hogan also said he only decided to run “a week ago, after the debacle that took place on the Senate floor”, when Republicans sank a border and immigration deal they themselves helped draft apparently in part because Trump told them to do so.The poll noted that Hogan also holds broad appeal in a matchup against Trone among independents, at 48%, and would attract the support of nearly a quarter of Democratic voters.Hogan was therefore a prized target for Mitch McConnell, the Republican Senate minority leader, who is seeking to take control of the chamber in November.“In Maryland I won huge numbers of suburban women and Black voters,” Hogan told CNN. “I have been able to reach out to people across the spectrum.”Asked about appealing to such voters while on a Republican ticket headed by Trump, Hogan said: “It’s a big challenge. Maryland is the most Democratic state in the country. But I’m not running as Donald Trump … I’m not running for the Republican party or for any candidate for president. I decided to run to kind of stand up and fight for the people of Maryland, and stand against the broken politics in Washington.”Hogan has held positions that could reduce his bipartisan appeal. Asked on CNN about his record on abortion – an issue that has fueled Democratic victories since the US supreme court removed the federal right in 2022 – Hogan said he was a moderate.“I’m personally not a proponent of abortion,” he said, “but I said I’m not going to take away that right for others to make that decision for themselves.”Calling Democratic attacks on the issue “tired”, Hogan said that as a senator, he would not vote for a national abortion ban.“I understand why this is such an important and emotional issue for women across Maryland and across the country,” he said, adding: “There’s no threat to the protection of these rights in Maryland, where it’s already a law. Voters have already weighed in on it. It’s settled law.”Hogan’s successor as governor, the Democrat Wes Moore, hit back, telling the Baltimore Banner: “Anyone who thinks that there is no threat to women’s reproductive rights and abortion access is delusional.” More

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      in Elections

      Special counsel urges supreme court to reject Trump’s bid to delay election trial

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      The special counsel prosecuting Donald Trump on federal charges involving the former president’s efforts to overturn his 2020 election loss has urged the US supreme court to reject Trump’s bid to further delay trial proceedings as he presses his claim of immunity.Jack Smith’s filing to the justices responded to a request by Trump’s lawyers on Monday to put on hold a decision by a three-judge panel of the US court of appeals for the District of Columbia circuit rejecting the claim of presidential immunity from prosecution.If the justices do not immediately reject Trump’s request Smith asked the court to take up the case and hear it on a fast-track basis.Trump’s lawyers asked the justices to halt the trial proceedings pending their bid for the full slate of judges on the DC circuit to reconsider the case, and, if necessary, an appeal to the supreme court.The supreme court in December declined Smith’s request to decide the immunity claim even before the DC circuit ruled – a bid by the special counsel to speed up the process of resolving the matter. The justices opted instead to let the lower appeals court rule first, as is customary.A 4 March trial date for Trump in federal court in Washington on four criminal counts pursued by Smith in the election subversion case was postponed, with no new date yet set. Trump has pleaded not guilty and has sought to portray the case as politically motivated.“The nation has a compelling interest in seeing the charges brought to trial,” Smith said in his filing to the justices, adding that “the public interest in a prompt trial is at its zenith where, as here, a former president is charged with conspiring to subvert the electoral process so that he could remain in office”.Smith said Trump’s criminal charges reflect an alleged effort to “perpetuate himself in power and prevent the lawful winner of the 2020 presidential election from taking office. The charged crimes strike at the heart of our democracy.”“A president’s alleged criminal scheme to overturn an election and thwart the peaceful transfer of power to his successor should be the last place to recognize a novel form of absolute immunity from federal criminal law,” Smith added.Trump’s lawyers claim a months-long criminal trial of Trump “at the height of election season will radically disrupt” his ability to campaign against Joe Biden.Trump is charged with 91 felony counts across four criminal cases – in New York, Florida, Washington and Georgia. He denies all the charges and faces the threat of prison if convicted.In the federal election interference case, Trump is charged with conspiracy to defraud the United States, conspiracy to obstruct an official proceeding, obstruction of and attempt to obstruct an official proceeding, and conspiracy against rights, in his relentless pursuit to reverse the outcome of the 2020 election and remain in office.On 6 January 2021, a group of Trump’s supporters broke in to the US Capitol in a deadly but failed effort to prevent the congressional certification of Joe Biden’s victory in the 2020 election. Trump had urged them to “fight like hell” at a rally near the White House just before the insurrection, then did not take strong action to call the mob off after they attacked police officers and invaded Congress.On Thursday, two hearings will take place in two of the other cases. Trump is expected to attend a hearing in New York in the case involving an alleged hush money scheme during the 2016 presidential election. Prosecutors accuse Trump of illegally reimbursing his former fixer Michael Cohen for money paid to the adult film producer and actor Stormy Daniels. This case is due to go to trial in March.And in Atlanta, a judge will hold a hearing in the state election interference and racketeering case brought against Trump and multiple co-defendants, where details will be presented about Fulton county district attorney Fani Willis’s relationship with special prosecutor Nathan Wade.And Trump awaits the decision of a civil judge in New York on the fraud case against his family business, the Trump Organization, which could gut his real estate empire. More