Categories
Politics

Trump attorneys once more push for particular grasp in FBI raid of Mar-a-Lago

Attorneys for former President Donald Trump on Wednesday again urged a federal judge to appoint an independent “special master” to review documents seized by the FBI at Trump’s Florida home.

The tightly focused filing in US District Court in West Palm Beach came a day after the Justice Department argued that appointing a special master could harm the government’s national security interests.

The Justice Department filing also said that “efforts were likely made to obstruct the government’s investigation” regarding the records that were sent out after the end of his presidency at Trump’s Mar-a-Lago residence.

And the DOJ announced that the FBI had seized more than 100 classified documents from the Palm Beach resort during its search of the property earlier this month. The agency also shared a redacted FBI photo of documents with classification marks recovered from a container at Trump’s “45 Office.”

Trump’s legal team, in its Wednesday night response, accused the DOJ of “converting the scope of responding to a request for a special master into an all-encompassing challenge to any judicial review, present or future, of any aspect of his unprecedented conduct in this investigation.”

The government’s “extraordinary document” suggests “that the DOJ, and only the DOJ, should be charged with the responsibility of evaluating its unwarranted pursuit of criminalizing the possession of a former president’s personal and presidential records in a secure environment,” Trump’s attorneys wrote .

They also accused the DOJ of making several “misleading or incomplete statements.”[s] the alleged ‘fact'”, but offered few details.

Judge Aileen Cannon, appointed by Trump, has scheduled a hearing at a West Palm Beach courthouse for Thursday at 1 p.m. ET.

Trump had sued to prevent the Justice Department from further examining materials stolen in the Mar-a-Lago raid until a special foreman is able to analyze them. This step is typically taken when there is a possibility that evidence should be withheld from prosecutors due to various legal privileges.

The DOJ told the judge Monday that its review of the seized materials was complete and that a law enforcement team had identified a “limited number” of materials that may be protected by attorney-client privilege. This privilege often relates to jurisprudence that protects the confidentiality of communications between an attorney and his client.

Trump’s lawyers responded Wednesday that the so-called Privilege Review Team was “utterly inadequate” in identifying all potentially privileged documents and separating them from the rest of the seized materials.

Trump and his office have publicly claimed that he declassified all documents seized by the FBI. But Trump’s legal team did not make that explicit argument in the civil suit before Cannon.

The DOJ said in Tuesday’s late night filing that when 15 boxes from Mar-a-Lago were picked up by the National Archives in January, Trump “never asserted executive privilege over any of the documents and claimed that any of the documents in the boxes contain classification marks have been released.”

The administration also said no claims of declassification were made when FBI agents went to Mar-a-Lago on June 3, pursuant to a grand jury subpoena, to collect additional records in Trump’s possession that bore classification markings.

The DOJ said it received that subpoena in May after the FBI developed evidence that dozens of boxes of classified information — aside from the 15 boxes found in January — were still at Trump’s home.

“Upon submitting the documents, neither the attorney nor the administrator alleged that the former president had released the documents or made any claims for executive privileges. Instead, the attorney treated them in a manner that suggested the attorney believed the documents were classified: The submission included a single Redweld envelope, double-wrapped with tape, containing the documents,” the DOJ wrote.

At the same time, Trump’s records clerk had also produced an affidavit alleging that “any and all” documents were turned over in response to a grand jury subpoena, the DOJ wrote.

But the FBI “later discovered multiple sources of evidence,” indicating other classified documents remained at Mar-a-Lago, according to the DOJ’s filing.

“The government has also developed evidence that government records were likely hidden and removed from storage and that efforts were likely made to obstruct the government investigation,” the DOJ wrote.

This and other information prompted the government to request a search warrant for Mar-a-Lago, which was finally carried out on August 8.

In their Wednesday response, Trump’s attorneys wrote that the DOJ’s report of the June 3 meeting was “materially mischaracterized.”

“If the government made the same untrue statement in the affidavit in support of the search warrant, then they misled the magistrate judge,” the former president’s attorneys wrote.

Trump also accused the DOJ of being “very fraudulent” in a social media post earlier Wednesday night, sharing a photo that appears to show numerous classified papers strewn on a carpeted floor.

Trump clarified that the FBI “took them out of boxes and scattered them on the carpet so it looked like a big ‘find’ to them.”

“They dropped them, not me – very deceptive… And remember, we were unable to have ANY representative, including lawyers, present during the raid. They were told to wait outside,” Trump wrote.

Categories
World News

AMC inventory quadruples as retail traders raid hedge-fund brief targets

Street performers in Minnie Mouse costumes walk past an AMC movie theater in New York’s Times Square at night on October 15, 2020.

Amir Hamja | Bloomberg | Getty Images

Shares in contested cinema giant AMC Entertainment more than quadrupled at the opening bell on Wednesday, amid a spate of trading activity in some of Wall Street’s worst-shortened stocks.

Approximately 10 minutes after the session began, trading in stocks ceased for the first time due to volatility. The stocks were stopped several times during the first hour of trading when there was heavy activity.

At 3 p.m. on Wall Street, it was trading 265% higher at $ 18.06. Previously, it rose up to 310% immediately after the shares opened. During premarket trading, stocks were up as much as 360%.

About an hour after trading, more than 500 million shares had already changed hands – well above the average 30-day volume of the share of 86.8 million shares per day. More than 1 billion shares had been traded by 3 p.m. CET.

Individual investors create brief bottlenecks by piling up in these names, while hedge funds, on the other hand, in short supply, cover their losses quickly. They promote their activities on the Wallstreetbets Reddit Board, which has 2.8 million members. AMC appeared to be a growing topic on the board.

Short selling is a strategy in which investors borrow shares of a stock at a certain price in the expectation that the market value will drop below that level when it is time to pay for the borrowed shares.

Retail investor influence – most notably in GameStop – has drawn the streets under its spell for the past few days, appealing to a new class of traders who grew up amid the pandemic. GameStop stock more than doubled on Wednesday, up 110%.

“The limelight has moved from Large Cap Tech / Retail Favorites to a largely ignored corner of severely shortened small cap stocks,” Barclays said in a statement to clients on Tuesday. “Within a month, retail has made a significant impact on the price and sentiment in these heavily truncated names, cementing investor dominance of retail options.”

TD Ameritrade announced on Wednesday lunchtime that certain transactions with GameStop and AMC Entertainment have been restricted “in the interests of reducing the risk to our company and our customers”.

AMC has pegged 24% of its float to short rates, and GameStop’s short rate is 138%, according to FactSet.

AMC rose 26% on Monday and 12% on Tuesday and is up more than 370% this week. On Monday, the company announced it had received enough funding to stay open and operational through 2021.

“This means that any talk of an impending bankruptcy for AMC is completely off the table,” said CEO Adam Aron.

During the month, AMC stocks are up more than 650%. Given the stock’s downtrend over the past few years, lower profit is now responsible for a much larger percentage move.

The passion spread to some other heavily shortened names in early trading. Bed Bath & Beyond jumped more than 35%. According to data from S3 Partners, the retailer is the second most-trimmed stock on the market. 64% of its float is sold short. Eastman Kodak, another speculative name, was up 16%. The short interest in this stock is around 20%.

Amid the surge in AMC Entertainment, AMC Networks stocks were also in motion. The stock rose as much as 22% before returning those gains. Shares recently fell 7%.

Short interest is the number of stocks that are being sold short relative to a company’s total available stock of stocks.