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Politics

Trump pal Tom Barrack’s arrest places the highlight on United Arab Emirates

The arrest on Tuesday of a key Trump ally accused of illegally lobbying the United Arab Emirates shows just how much the oil-rich Middle Eastern country ingratiated itself with the United States during the Trump administration.

Between arms deals and diplomatic deals, the UAE, a relatively small spit of land between Saudi Arabia and the Persian Gulf, played an important role in former President Donald Trump’s policies in the region.

An indictment filed in New York federal court on Tuesday alleges that Tom Barrack, a longtime friend and business associate of Trump, worked for years to develop that relationship by secretly advancing the interests of the UAE through his influence on Trump’s 2016 presidential campaign and administration promoted.

Barrack, a 74-year-old private equity billionaire who was president of Trump’s founding fund in 2017, was arrested Tuesday morning in Los Angeles.

The seven-point indictment also accuses Barrack of obstructing the judiciary and making several false statements in an interview with federal authorities in 2019. The indictment also includes Matthew Grimes, 27, of Aspen, Colorado; and a 43 year old UAE citizen, Rashid Sultan Rashid Al Malik Alshahhi.

A judge ordered the arrest of Barrack and Grimes, with the bail hearing scheduled for Monday.

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“Mr. Barrack volunteered to help investigators from the start. He is not guilty and will plead not guilty,” a Barrack spokesman told CNBC in a statement.

The indictment states that Barrack advised American officials informally on Middle East policy and sought a leadership role in the US government, including serving as special envoy for the Middle East.

A Trump spokeswoman did not respond to CNBC’s request to comment on Barrack’s arrest.

The United Arab Emirates – an amalgamation of seven Arab monarchies with just under 10 million inhabitants – are home to several sovereign wealth funds such as the Abu Dhabi Investment Authority, which has a weight of almost 700 billion US dollars. According to the fund’s website, between 35% and 50% of the ADIA’s investments are parked in North America.

Barrack is not the first person in Trump’s circle whose ties to the United Arab Emirates have been put to the test.

While serving as an advisor to the United Arab Emirates, George Nader, who later pleaded guilty to indicting child sex and porn in a case that emerged from Special Counsel Robert Mueller’s Russia investigation, had $ 2.5 million Transferred to the Trump fundraiser Elliott Broidy, the Associated Press reported in 2018.

Nader paid the money to Broidy, sources told the AP, to fund efforts to convince Washington to harden its stance on Qatar, a U.S. ally but a bitter rival of the UAE.

The New York Times also reported in 2018, citing hundreds of pages of correspondence between the two men, a campaign by Saudi Arabia and the United Arab Emirates to influence Trump’s White House.

Broidy pleaded guilty to a conspiracy to act as an unregistered foreign agent in October 2020.

A U.S. Air Force F-35 Lightning II Joint Strike Fighter approaches Eglin Air Force Base, Florida.

U.S. Air Force photo by Samuel King Jr.

A dealmaker

The United Arab Emirates, in which Trump established business relationships before taking office, established itself as an important partner of the United States in the region during the Trump administration.

The UAE signed the 2020 Abraham Agreement, which took steps to normalize diplomatic relations between Arab nations and Israel. The pact made the United Arab Emirates the first state on the Persian Gulf to normalize relations with Israel and the third Arab country after Egypt and Jordan.

Last November, then Secretary of State Mike Pompeo announced that the Trump administration would sell more than $ 23 billion worth of military equipment to the UAE “in recognition of our deepening relationship” and “in recognition of the nation’s need for advanced equipment Defense skills to deter and defend against ”. increased threats from Iran. “

In April, President Joe Biden’s administration reportedly notified Congress that it would continue selling weapons from the Trump era. The deal includes dozens of Lockheed Martin’s F-35 fighter jets, America’s most expensive weapons platform, as well as General Atomics-armed MQ-9 Reaper drones.

The United States, the world’s largest arms exporter, sends half of its arms to the Middle East, according to a report by the Stockholm International Peace Research Institute. Arms imports to the Middle East were 25% higher from 2016 to 2020 than from 2011 to 2015.

After Saudi Arabia and Qatar, the United Arab Emirates is the second largest buyer of US arms in the Middle East.

– Amanda Macias reported from Washington. Kevin Breuninger reported from New York.

Categories
Politics

Traditionally Black Faculties Lastly Get the Highlight

John S. Wilson Jr., who served as President of Morehouse College and White House adviser on historically black colleges, said the institutions collectively known as HBCUs need to seize this moment.

“Is this a lasting moment that represents a new era?” Said Dr. Wilson, whose forthcoming book Up From Uncertainty focuses on the future of historically black colleges. “I think this answer could be ‘yes’ for many HBCUs. Unfortunately, I think it will be ‘no’ for some institutions too. “

Most black colleges and universities were founded in the 19th century to train people to be freed from slavery. Some students literally had to build their schools: at Tuskegee University in Alabama, they dug up the clay and shaped and burned the bricks that were used to build their campus.

The schools became centers of learning and intellectualism that produced most of the country’s black doctors, teachers, and judges and alumni such as the Rev. Dr. Martin Luther King Jr., filmmaker Spike Lee, writer Toni Morrison, and the Rev. Raphael Warnock, Democratic Senator from Georgia.

The more established colleges have used the new money to build on their legacies. For example, Spelman and Morehouse, both in Atlanta, and Hampton University in Hampton, Virginia, have started entrepreneurship programs. And Howard in particular is able to attract talented faculty members who would otherwise have gone elsewhere.

Ms. Hannah-Jones, a New York Times Magazine staffer who won a 2020 Pulitzer Prize for her work on the 1619 project, turned down an offer from the University of North Carolina at Chapel Hill after controversy over whether to get a job would. She chose Howard and brought $ 20 million in donations from the Knight Foundation, Ford Foundation, MacArthur Foundation, and an anonymous donor.

Categories
Business

China’s Pressured-Labor Backlash Threatens to Put N.B.A. in Undesirable Highlight

The tensions between the US and China, human rights and the economy meet again uncomfortably on the basketball court.

In China, local brands are benefiting from a consumer backlash against Nike, H&M and other overseas brands for refusing to use Chinese cotton made from forced labor. Chinese brands have publicly accepted the cotton from the Xinjiang region, resulting in large sales to patriotic buyers and praise from the Beijing-controlled media.

In the United States, two of these Chinese brands, Li-Ning and Anta, adorn the feet of NBA players – and those players are amply rewarded for doing so. Two players signed advertising deals with Anta in February. Another signed this week. The Golden State Warriors’ Klay Thompson had previously signed a shoe deal with Anta that was widely reported to be worth up to $ 80 million.

Dwyane Wade, the three-time NBA champion and retired Miami Heat player, has a clothing line with Li-Ning that is so successful that he has recruited young players for the brand.

Like the overseas brands in China, the league and its players could soon feel squeezed between Washington and Beijing. Western companies are being pressured by American officials and lawmakers to respond to allegations of genocide in Xinjiang. But they are facing a consumer-centric backlash in China with celebrities severing ties with brands like Burberry and patriotic citizens burning their Nike shoes on social media.

The NBA and its athletes are familiar with the challenges of holding their own against China and maintaining access to their nearly 1.4 billion consumers. Just two years ago, China banned the NBA from state media outlets after the Houston Rockets general manager supported pro-democracy protesters in Hong Kong.

The league has avoided the final round of controversy so far. It can’t take long.

“It’s hard to imagine that celebrities and brand ambassadors would be able to draw that line between these negative views of China in their home countries and the increasingly clear demands in China to publicly demonstrate the use of products made in Xinjiang,” said Natasha Hassam , Director of the Public Opinion and Foreign Policy Program at the Lowy Institute in Australia.

Chinese companies are unlikely to take a significant blow themselves. The United States banned imports of Xinjiang cotton products in January, but neither Li-Ning nor Anta sell a large number of shoes there. (They are available online, however.) Still, your full support for Xinjiang could have reputational consequences for American athletes.

“It is easier for a Chinese celebrity to say that I will end my relationship with X European and that I will likely be rewarded domestically,” said Ms. Hassam. “Americans who want to benefit from the Chinese market are in a much more difficult place.”

After Li-Ning and Anta released positive statements about Xinjiang cotton last week, investors in China rocketed both companies’ shares. Chinese state media have quickly fueled the show of patriotism. At one point, a pair of Li-Ning shoes was trading under Mr. Wade’s Way of Wade line for nearly $ 7,500.

However, the statements could lead to government scrutiny of future US business operations, said Brian J. Fleming, a sanctions attorney at Miller & Chevalier Chartered.

“With their word, Anta and Li Ning are simultaneously supporting the Chinese government and reaching for US restrictions, which is a combination that is unlikely to be welcomed by the US authorities,” said Fleming.

Anta and Li-Ning did not respond to requests for comment.

Mr. Thompson, one of the NBA’s biggest stars, is known to his Chinese fans as “China Klay” and once said he wanted to be Anta’s Michael Jordan. His teammate James Wiseman and Alex Caruso from the Los Angeles Lakers signed with Anta earlier this year, according to the sportswear brand’s social media account. The Precious Achiuwa of the Heat announced this week that he would be joining Anta.

Comments from Mr. Thompson and other NBA players also went unanswered.

Outside of China, Xinjiang has become synonymous with oppression. Up to a million Uyghurs and other largely Muslim ethnic minorities have reportedly been held in detention centers. In March, Foreign Minister Antony J. Blinken accused China of continuing to commit “genocide and crimes against humanity” in the far northwest.

The NBA has strong reasons to remain silent about China. When Daryl Morey, the general manager of the Rockets, expressed his support for the Hong Kong protests on Twitter in 2019, Li-Ning and the Shanghai Pudong Development Bank’s credit card center broke their partnerships with the team. The Chinese basketball federation, of which former Rockets player Yao Ming is president, has also stopped working with the Rockets.

Mr. Morey deleted the message.

Adam Silver, the NBA commissioner, later said the Chinese government had asked the league to fire Mr Morey, a claim the Chinese Foreign Ministry was quick to deny. However, the incident scarred the NBA’s reputation for promoting free speech and severely restricted its access to the Chinese market.

China Central Television, the state television broadcaster, has stopped broadcasting NBA games following Mr. Morey’s news on Twitter. At the end of last year, coverage for Games 5 and 6 of the NBA Finals resumed for a short period of time. A week later, Mr. Morey resigned as general manager.

In a radio interview earlier this week, Mr Silver said that CCTV has stopped broadcasting NBA games, but fans can stream them through Tencent, the Chinese internet conglomerate. He said the NBA’s partnership with China is “complicated”, but that “doesn’t mean we don’t talk about what we see, you know, things in China that are inconsistent with our values.”

A league spokesman declined to comment on the article.

Money and a large Chinese fan base are at stake for players like Mr. Thompson and dozens of other American athletes, who have been heavily sponsored by Anta and Li-Ning. Mr. Thompson has partnered with Anta since 2014, which has brought him a popular shoe line and sponsored tours in China.

Newer deals between the companies and NBA players could face issues in the coming weeks as tensions between the US and China escalate. Jimmy Butler, a five-time all-star playing for the heat, and Toronto Raptors security guard Fred VanVleet signed up with Li-Ning in November. Mr. Wade, the retired Heat player, helped CJ McCollum and D’Angelo Russell, two Star Guards, close deals with Li-Ning through his line of sportswear.

“My decision to sign with Li-Ning 7 years ago was to show the next generation that this is not just a way of doing things,” Wade wrote on Twitter when he signed Mr. Russell’s contract in November 2019 announced Chance to build a global platform that provides future athletes with a canvas to create and be expressive on. “

Sopan Deb contributed to coverage from New York and Cao Li from Hong Kong.

Categories
Health

EU covid vaccine below highlight as Italy blocks cargo to Australia

Prepared syringes at the Brussels Expo Covid-19 vaccination center in Brussels, Belgium, on Friday March 5, 2021.

Bloomberg | Bloomberg | Getty Images

LONDON – Europe’s launch of coronavirus vaccines has once again been in the spotlight after the Italian government blocked a shipment of Oxford-AstraZeneca vaccines to Australia.

The EU has made an effort to spread Covid-19 shots across the 27-person region and is lagging behind other advanced economies in terms of the number of vaccinations per citizen. There have been complaints that regulators are too slow to approve vaccines, manufacturing and delivery issues, and bureaucratic issues that are hampering the process.

However, new questions were raised on Thursday when Italy became the first EU country to apply the bloc’s new rules that allow exports to be halted if necessary. The move stopped around 250,000 doses of the vaccine from its Anagni, Italy facility that was being shipped to Australia.

The introduction of vaccines in Europe “will be an uphill battle,” Daniel Gros, director of the think tank at the Center for European Policy Studies in Brussels, Belgium, told CNBC on Friday.

How the EU got here

At the end of January, the EU announced new rules that would allow European member states that manufacture coronavirus shots to ban their exports in the event that the pharmaceutical company concerned fails to comply with existing contracts with the bloc.

The EU and AstraZeneca were at odds with the drugmaker unable to fire as many shots as the bloc expected for the first quarter. There were also doubts about how many shots the company will deliver in the second quarter.

The EU is being toasted for what the US is doing in a more radical form.

Daniel Gros

Director of CEPS

Pascal Soriot, CEO of AstraZeneca, said late last month that the vaccine shortage was due to yield issues and that his company was working around the clock to increase production.

French Health Minister Olivier Veran said on Friday morning that France could repeat Italy’s step. Federal Health Minister Jens Spahn said there had been no reason to stop shipping vaccines made in Germany to other countries, according to Reuters.

Ursula von der Leyen, President of the European Commission, said last month that around 95% of EU vaccines exported since late January were made by Pfizer-BioNTech and Moderna, as both companies respected their agreement with the EU.

At the time, she also said the US and UK had systems in place to block exports of these vaccines.

Europe is being “roasted” for what others are doing too

“The EU is being roasted for something that the US is doing in a more radical form,” said Gros from the CEPS.

“The amount was tiny. But as always, people jump on symbols. The US doesn’t have the problem of having to stop vaccines at the border because no one would think of exporting anything from the US,” he added.

In an executive order in early December, then-President Donald Trump ordered that the US should only export vaccines made in the country once it was determined that there were sufficient doses to vaccinate the American population.

“Now that it is determined that there is adequate supply of COVID-19 vaccine doses for all Americans who choose to vaccinate, allies, partners and others need to facilitate international access to COVID-19 vaccines for the US government and in accordance with applicable law, “says the regulation.

Delivery to Australia has been blocked as the country is not on the EU’s list of nations at risk. The EU regulation exempts distribution to poorer nations from being blocked by the member states.

Australian Prime Minister Scott Morrison said at a news conference Friday that the country’s vaccination program would “continue unabated”, adding that the broadcast in question was not what they had anticipated for the rollout.

Australia has reportedly asked the European Commission to review Italy’s decision to block the broadcast. However, Morrison admitted that he understood why there would be high levels of concern in Italy and across Europe.

“We should not forget that the EU is providing vaccines for the south of the world and at the same time preventing this delivery to Australia,” Alberto Alemanno, professor of European law at HEC Paris, told CNBC on Friday.

He added that “the EU export control regulation embodies the EU’s legitimate attempt to gain some sovereign autonomy”.