Morning Read Thursday March 14 2019


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: U.S. aims to cut Iran oil exports to under 1 million bpd from May

The United States aims to cut Iran’s crude exports by about 20 percent to below 1 million barrels per day (bpd) from May by requiring importing countries to reduce purchases to avoid U.S. sanctions, two sources familiar with the matter told Reuters.

President Donald Trump eventually aims to halt Iranian oil exports and thereby choke off Tehran’s main source of revenue. Washington is pressuring Iran to curtail its nuclear programme and stop backing militant proxies across the Middle East. The United States will likely renew waivers to sanctions for most countries buying Iranian crude, including the biggest buyers China and India, in exchange for pledges to cut combined imports to below 1 million bpd. That would be around 250,000 bpd below Iran’s current exports of 1.25 million bpd.

“The goal right now is to reduce Iranian oil exports to under 1 million barrels per day,” one of the sources said, adding the Trump administration was concerned that pressing for a complete shutdown of Iran’s oil in the short-term would trigger a global oil price spike.

New Trump administration report softens language on Golan

The State Department’s newest Human Rights Report describes the Golan Heights as “Israeli-controlled” instead of “Israeli-occupied,” a linguistic change sure to fuel criticism that the Trump administration is bucking global consensus on Israel’s reach.

The change comes as conservative U.S. lawmakers are pushing to have the Golan Heights recognized as part of Israel. If President Donald Trump goes along with that, it would be the latest of several pro-Israel moves on his part, including moving the U.S. Embassy to Jerusalem from Tel Aviv.

Michael Kozak, a top U.S. diplomat who briefed reporters Wednesday on the human rights report, said the new language did not reflect a change in U.S. policy toward the region. Rather, he said, it was about keeping the annual report more neutral. “Occupied territory has a legal meaning to it,” he said, adding that the department is trying to stick with “just a geographic description.” He added the report avoided the word “occupied” because it is “not a human rights term and it was distracting.“

But the change comes a year after the Trump administration eliminated the report’s descriptions of the West Bank and Gaza — both territories claimed by Palestinians for a future state — as being “occupied” by Israel. [POLITICO]

Israel opens criminal probe of 11 deaths in Gaza violenceIsraeli authorities have opened criminal investigations of the deaths of 11 Palestinians who were killed by Israeli fire during protests along the Gaza border in the past year, a senior Israeli official said Wednesday.

Israeli officials briefed journalists in Geneva to rebut allegations contained in a U.N. human rights report issued last week. The report alleges Israeli soldiers intentionally fired on civilians and could have committed crimes against humanity at the border, where live ammunition killed 189 people dead and injured more than 6,000 in violence that began last March.

The senior official said full-fledged criminal investigations in such cases are opened if “reasonable grounds” of suspicion of criminal misconduct are found. Critics say such investigations rarely result in prosecution of soldiers.

Israel has defended its tactics during the protests, saying it is protecting its sovereign border. It accuses Hamas militants of using the crowds for cover, and notes that demonstrators have launched firebombs, flaming tires and incendiary kites across the border. [AP]

MPs reject ‘no-deal’ BrexitBritish MPs signalled their opposition Wednesday to leaving the EU with no deal on March 29, in another blow to Prime Minister Theresa May’s authority which opens the door to Britain requesting a Brexit delay.

The decision by parliament’s lower House of Commons is largely symbolic as Britain is still on course to leave the EU in just over two weeks unless it can decide a new plan in agreement with Brussels. And the manner in which MPs voted demonstrated once against the chaos in parliament over Brexit, and the lack of control that May has over events.

She had offered MPs a vote on a “no deal” option after they rejected for a second time on Tuesday the divorce terms she negotiated with the EU over many months. [AFP]

Gunmen kill eight, including five children, in rampage in Brazilian cityTwo gunmen wearing face masks entered a Brazilian school on Wednesday and shot and killed at least five teenagers who were on their snack breaks, as well as two school officials, before fatally turning their guns on themselves, police said.

Before entering the Raul Brasil school in the Sao Paulo city of Suzano, the assailants, aged 17 and 25 and both former pupils, shot and killed the owner of a car rental agency from which they had stolen a vehicle. Ten people, including the gunmen, were killed in total, Sao Paulo police said. The students who died were mostly 15 and 16 years old.

It was not yet known why the gunmen attacked the school, where about 1,000 children aged 11 to 16 attend classes. Marcelo Salles, commander of police forces in Sao Paulo state, spoke just outside the school and said that in his over three decades of service, he had “never seen anything like this, it was an unspeakably brutal crime.” [REUTERS]

U.S. Grounds Boeing 737 MAX Jets

President Trump said on Wednesday the Federal Aviation Administration would groundBoeing Co.’s fleet of 737 MAX airliners, after agency officials said new data indicated last weekend’s deadly crash in Ethiopia in some ways resembled another recent tragedy involving the same plane model.

Mr. Trump said the U.S. was stopping domestic airlines and others from using Boeing’s newest single-aisle plane in U.S. airspace. The order follows two high-profile crashes of 737 MAX planes within less than five months. “The airlines have been all notified,” Mr. Trump said Wednesday afternoon. He added: “The safety of the American people and all people is our paramount concern.”

The decision came three days after an Ethiopian Airlines jet crashed minutes after takeoff from Addis Ababa, killing all onboard. Boeing said it maintained full confidence in the MAX plane, but decided to recommend a temporary grounding to reassure the flying public. [WSJ]

More than 1,000 drivers stranded in Colorado Springs area as bomb cyclone paralyzes Front Range

Snow driven by winds approaching 100 mph shut down schools, highways, air travel and businesses in the Pikes Peak region Wednesday and left more than 1,000 stranded in their cars awaiting rescue.

The rapidly intensifying storm  — known as a bomb cyclone — caused whiteout conditions for drivers caught in its fury and prompted the governor to call out the National Guard and El Paso County to declare an emergency.

The storm started as forecast with heavy rains early Wednesday, turning to snow by late morning as the winds picked up. One gust was measured at a record 97 mph around 1:20 p.m. at the Colorado Springs Airport, which canceled more than 40 flights. It was a hurricane with a Colorado twist. As the wind roared, snow piled up across the region, with 6 to 10 inches in northern El Paso County and about a foot in Woodland Park.

Even before the storm hit, schools, churches and synagogues and local government waved the white flag, announcing late Tuesday that they didn’t plan to open Wednesday. All the region’s large school districts and several small school districts on the eastern plains announced they will be closed Thursday as well. [GAZETTE]

California suspends death penaltyGovernor Gavin Newsom imposed a moratorium on carrying out the death penalty in California on Wednesday, granting a reprieve to 737 condemned inmates — the largest death row population in the United States.

“The death penalty has been an abject failure. It discriminates based on the color of your skin or how much money you make,” he told a news conference. “It’s ineffective, irreversible, and immoral. “It goes against the very values that we stand for — which is why California is putting a stop to this failed system.”

Newsom, a Democrat who took office in January, has been a staunch opponent of the death penalty, last carried out in California in 2006.

In a tweet, President Donald Trump denounced the decision as a slap in the face for victims and their families. “Defying voters, the Governor of California will halt all death penalty executions of 737 stone cold killers,” he said. “Friends and families of the always forgotten VICTIMS are not thrilled, and neither am I!” [AFP]

Manafort hit with 16 charges in New York moments after being sentenced to 43 more months in prison

Paul Manafort has been indicted by a Manhattan grand jury in connection with a multimillion-dollar mortgage fraud scheme, according to court documents obtained by NBC News.

Manafort, President Donald Trump’s former campaign chairman, was indicted on 16 counts tied to residential mortgage fraud and conspiracy, according to the indictment unsealed Wednesday.

The 69-year-old longtime GOP operative is accused of falsifying business records to illegally obtain millions of dollars as part of the yearlong mortgage fraud scam. If convicted on the top count, Manafort faces a prison sentence of 8 to 25 years, a senior law enforcement official told NBC News. “No one is beyond the law in New York,” Manhattan District Attorney Cyrus Vance Jr. said in a statement. Vance said the investigation started in March 2017 and involves violations that “strike at the heart of New York’s sovereign interests, including the integrity of our residential mortgage market.”

Word of the new charges came less than an hour after Manafort was sentenced to an additional 43 months in prison by a Washington federal judge on conspiracy charges brought by special counsel Robert Mueller. Last week, in a separate case brought by Mueller, a Virginia federal judge last week sentenced Manafort to nearly four years behind bars on tax and bank fraud charges. [NBCNEWS]

Sheldon Silver could get third trial as panel reviews convictionA three-judge appeals panel took a hard, and unusually long look Wednesday at ex-Assembly Speaker Sheldon Silver’s appeal of his second conviction over $4 million in bribes — leaving open the chance that he could get yet a third trial.

The panel spent more than an hour hearing out Silver’s prosecutors and lawyers, and asked multiple questions on whether a quid-pro-quo was sufficiently proven. Circuit Judge Richard J. Sullivan said a description by prosecutors of what Silver promised to do in return for alleged bribes was “pretty squishy.”

And he seemed critical of the prosecution’s efforts to claim proof of Silver’s crimes included his advice on how to get a charity race permit, something the then-Speaker provided a doctor who referred law clients to him. “If somebody wants to pay money for that, it’s not good, but it’s not a crime, right?” Sullivan asked. Some of the payments could be seen as “just currying favor” with Silver, noted Circuit Judge Richard C. Wesley. [NYP]

Cuomo Adjusts Budget Proposal, Fearing Federal Health-Care CutsGov. Andrew Cuomo is backing off a proposal to reduce New York’s Medicaid spending in light of additional health-care cuts in President Trump’s budget proposal, state officials said Wednesday.

Mr. Cuomo, a Democrat, last month proposed reducing the state Medicaid allocation by $550 million in the coming fiscal year, which starts April 1. The reduction would still have resulted in a year-over-year funding increase, but health-care providers said it would force them to slash services.

During a news conference, Mr. Cuomo’s budget director, Robert Mujica, said proposed federal Medicaid changes—including the repeal of aspects of the Affordable Care Act—would eventually create a 20% reduction in federal aid. That includes support for the Essential Plan, a subsidized insurance option for New Yorkers who don’t qualify for Medicaid.

Mr. Mujica and Melissa DeRosa, Mr. Cuomo’s top aide, said they worried Mr. Trump’s ideas would become laws and were adjusting accordingly. Mr. Mujica said the prospect of additional Medicaid cuts “changes the dynamic significantly” as Mr. Cuomo negotiates with lawmakers over a final spending plan. [WSJ]

Cops lead lamb away from slaughter, rescue little sheep from Gowanus ExpresswayA lamb on the lam had cops on the run Wednesday morning darting in and out of rush hour traffic along Brooklyn’s Gowanus Expressway.

Video of the adventure showed the little animal evading a cop and crossing a lane of traffic in two shakes of a lamb’s tail. [NYDN


NYPD Hate Crimes Unit Investigating Vile Defacing of Ruth Bader Ginsburg Poster in Brooklyn

The NYPD’s hate crimes unit is investigating slur-ridden “DIE” graffiti scrawled on a Brooklyn subway station poster of Ruth Bader Ginsburg after a rider flagged it on Twitter Tuesday.

“What is going to be done about this?” the rider captioned in her tweet, tagging the mayor’s office, the MTA and NYPD among other accounts. She said it was spotted at the Nassau Avenue G train stop. She also shared a photo — one that is too hateful to republish. It’s a poster ad for the pictorial book, “The Unstoppable Ruth Bader Ginsburg: American Icon,” by Antonia Felix that came out to mark the justice’s 25th year on the Supreme Court. “DIE” in all capital letters is scrawled in black marker across Ginsburg’s forehead on the poster; “JEW” was written over her glasses, followed by another slur and a swastika over her mouth.

The NYPD tweeted its transit and hate crimes units were both investigating the matter, adding, “There is no room for hate in NYC.” For its part, the MTA says it removed the “offensive imagery” immediately after the NYPD collected evidence for its investigation. “We regret that our customers were exposed to this hate speech,” it said.

In a statement on Wednesday, Gov. Andrew Cuomo denounced the graffiti. “We will not stand by and allow hateful and discriminatory vandalism in New York,” he said. “I have directed the New York State Police Hate Crimes Task Force to provide the NYPD with any resources needed to assist in the investigation.” [NBC4]

Nassau and Suffolk counties want to opt out of legal weedLong Islanders getting ready for legalized marijuana are going to be disappointed because both the Nassau and Suffolk county executives said Wednesday they’re going to opt out if the state approves recreational weed.

Suffolk County Executive Steve Bellone plans on introducing a resolution placing a one-year moratorium on the growing and sale of pot in his jurisdiction. “A one-year window will provide the county the necessary time frame to solicit feedback from experts, law enforcement, and community leaders on the health and safety issues associated with this proposal,” said Bellone.

Nassau County Executive Laura Curran, also a Democrat, announced she’s planning to invoke an opt-out clause as well. [NYP]

GOP heads for unprecedented clash with TrumpPresident Donald Trump invited some Senate Republicans to the White House on Wednesday afternoon for a two-hour conversation about trade. But the president couldn’t quite get the looming GOP rebuke of his national emergency declaration off his mind. “He would like for us to vote against the [resolution]. But he understands and respects that senators may have different opinions,” said Sen. Lamar Alexander (R-Tenn.), who has yet to announce his position but has repeatedly griped about the president’s end run around Congress. “There’s a border crisis and we have to deal with it. But I still have my constitutional concern,” he said.

After more than two years of keeping his veto pen capped, Trump is going to have to put it to use — twice — courtesy of Republicans. In a remarkable bit of timing, the Senate will hold two votes this week placing GOP senators at odds with the president on foreign and domestic policy, likely forcing the first vetoes of his presidency.

On the border resolution in particular, Trump has painted the vote as Republicans either standing with him on the border wall or supporting Democrats. But Senate Republicans claim the double-barreled veto fights, on legislation to curtail the U.S. role in Yemen’s civil war and block Trump’s national emergency declaration on the southern border, aren’t intended to be a personal condemnation of Trump.

Trump seemed resigned to the result in the Thursday meeting with senators, surprising several attendees with his laid-back demeanor. He made no political threats, they said. “He said that he wanted us to vote with him but understood if we didn’t,” a Republican senator said. [POLITICO]

A political upside to impeachment for Trump? Some Trump advisers think soPresident Donald Trump and his allies weren’t shy about using the specter of impeachment during the 2018 midterm campaign to rally the President’s core supporters to the polls.

And for their 2020 campaign, they were prepared to use the real thing. With House Democrats newly in the majority and the prospects of impeachment surging, Trump and his political allies — while certainly not hankering for it — have eyed the potential political upside: using a Democratic impeachment as a powerful foil to galvanize Republicans in droves to re-elect Trump.

Several of the President’s political advisers, preparing for a re-election campaign focused on boosting turnout among the President’s base of supporters, have looked to the possibility of Trump’s impeachment as an opportunity to cast Trump as a victim of Washington politics and overzealous Democrats, three sources close to the White House and the campaign said. And with special counsel Robert Mueller’s investigation — which Trump has frequently cast on the campaign trail as a “witch hunt” — expected to end soon, Trump is looking for a new boogeyman.

But House Speaker Nancy Pelosi is throwing cold water on those prospects, declaring in an interview published Monday that she is “not for impeachment.” [CNN]

NY attorney says feds probing his pardon talks with CohenFederal prosecutors have requested copies of communications Michael Cohen had with a New York attorney who broached the possibility of a pardon from President Donald Trump, the attorney said Wednesday.

The attorney, Robert J. Costello, released a statement disputing Cohen’s claim that Trump “dangled” a presidential pardon in front of Cohen before he began cooperating with federal prosecutors and special counsel Robert Mueller.

“We have documents to back our position up, and are preparing to provide these to the U.S. Attorney’s office, who has asked for them,” Costello said in the statement. The statement referred to Cohen’s account of the pardon discussions as “utter nonsense.”

Federal prosecutors requested emails and documents from Costello last week amid an investigation into “possible violations of federal criminal law,” The New York Times reported Wednesday, citing a copy of the request. [AP]

House Democrats Target Ivanka Trump (but Through a Side Door)Rhona Graff, President Trump’s longtime executive assistant, was asked for documents related to foreign governments providing gifts or money to Ivanka Trump or her businesses. Anatoli Samochornov, the Russian translator who sat in on a meeting between Trump campaign officials and Russian lobbyists, was asked to hand over handwritten notes showing any capital investment from Russian entities to Ms. Trump or her businesses. And Jeff Sessions, the former attorney general, was asked for any documents related to loans or capital investments from Russians directed to Ms. Trump.

The president’s eldest daughter and top White House adviser was notably absent from a blitz of document requests that the House Judiciary Committee sent earlier this month to 81 individuals and organizations linked to the president. House Democrats have been cautious about targeting Ms. Trump and the other Trump children as they investigate the president, worried about triggering a backlash.

But a close read of the document requests suggests they aren’t exactly tiptoeing around the first daughter, either. Of the 81 document requests sent, 52 individuals and organizations were asked to turn over documents related to Ms. Trump or her business interests.

White House officials are viewing the document requests as an attempt by the House Judiciary Committee to set the stage for potentially impeaching the president. But the inquiries related to Ms. Trump follow a side track: They ask for documents related to any financial benefit that Ms. Trump or her businesses reaped from foreign and domestic governments after the 2016 election. And they provide a hint of how Representative Jerrold Nadler of New York, chairman of the House Judiciary Committee, may be planning to look into potential financial conflicts of interest from Ms. Trump. [NYT]

Beto O’Rourke is running for White House, says text message posted by TV stationA day before Democrat Beto O’Rourke makes his first trip to Iowa, an El Paso television station says it has confirmation from O’Rourke that he is indeed going to run for president in 2020.

According to KTSM in El Paso, O’Rourke sent an employee there a text confirming that he will run.

“I’m really proud of what El Paso did and what El Paso represents,” O’Rourke said in the text that the station posted on its website. “It’s a big part of why I’m running. This city is the best example of this country at its best.”

Speculation has been rampant for days that O’Rourke was ready to get in, especially since it became public that he is planning a 3-day swing through Iowa, the first state in the presidential primary process. O’Rourke has also been consulting with a key Iowa Democratic operative, adding yet more fuel to the speculation. [HOUSTONCHRONICLE]

Polish newspaper’s front page teaches ‘how to recognize a Jew’

A right-wing newspaper with national distribution in Poland ran on its front page an article that instructs readers on “how to recognize a Jew.”

The Polish-language weekly, Tylko Polska, or “Only Poland,” lists on its front page “Names, anthropological features, expressions, appearances, character traits, methods of operation” and “disinformation activities.” The text also reads: “How to defeat them? This cannot go on!”

The page also features a headline reading, “Attack on Poland at a conference in Paris.” The reference is to a Holocaust studies conference last month during which Polish nationalists complained that speakers were anti-Polish. That article features a picture of Jan Gross, a Polish-Jewish Princeton University scholar of Polish complicity in the Holocaust and a frequent target of nationalist attacks.

Only Poland is published by Leszek Bubl, a fringe nationalist political candidate and sometime musician who has sung about “rabid” rabbis. The paper was spotted Wednesday at the Sejm, the lower house of the Polish parliament, as part of this week’s packet of periodicals. Michał Kamiński, a conservative lawmaker, protested the article and its presence at the Sejm, Polsat news reported.

The Sejm Information Center responded by saying that “the Chancellery of the Sejm will request the publication’s removal from the press kit.” [JTA]

U.S. Workers Gain From Rising Wages, Low Inflation

WASHINGTON — Tepid inflation and rising wages are leaving extra dollars in the pockets of American workers.

The consumer-price index, which gauges what Americans pay for everything from used trucks to lipstick, rose a seasonally adjusted 0.2% in February from the prior month, the Labor Department said Tuesday. Rising gasoline prices, housing costs and grocery bills all contributed to the month-over-month increase.

Looking at a broader measure, inflation eased. Prices rose 1.5% in February from a year earlier, the slowest pace since September 2016. So-called core inflation, which excludes volatile food and energy items, ticked down to 2.1% over the past 12 months, a pace last matched in October.

After adjusting for inflation, workers’ hourly earnings increased 1.9% from a year earlier in February. Production and nonsupervisory employees, a category which includes blue-collar workers, saw their real average hourly wages rise even more, by 2.2% over the year to February. That was the strongest gain for both measures since late 2015, unadjusted for seasonality.

Although workers are benefiting from the strong labor market and rising wages, they could be stymied by an economy that by some measures is starting to creak.

For some economists, the weak inflationary trends seen in Tuesday’s report suggest the economy is cooling more than anticipated, despite a jobless rate near its lowest levels since the 1960s. [WSJ]

U.S. Durable Goods Orders Rose in JanuaryBoth orders for long-lasting goods and an underlying gauge of business investment rose in January, signaling solid domestic demand is helping buffer the U.S. manufacturing sector against slowing global economic growth.

Overall orders for durable goods, manufactured products intended to last at least three years, increased a seasonally adjusted 0.4% in January from the prior month, the Commerce Department said Wednesday. The gain, marking the third consecutive increase, was driven by a sharp rise in orders for civilian airplanes.

Michael Pearce, senior U.S. economist at Capital Economics, said taken as a whole, the report was “a bit of a relief” given the downbeat nature of other economic data recently.

Analysts project the first three months of the year will likely show economic cooling from the end of 2018 due to factors including fading fiscal stimulus and heightened trade tensions.

Following Wednesday’s durable-goods report, forecasting firm Macroeconomic Advisers left its estimate for first-quarter gross domestic product growth unchanged at 1.0%, down from its fourth-quarter growth estimate of 2.4%. [WSJ]

SoftBank, Other Investors in Talks to Invest $1 Billion in Uber’s Self-Driving Unit

A consortium that includes SoftBank Group is in late-stage talks to invest $1 billion or more in Uber Technologies Inc.’s self-driving vehicle unit, according to people familiar with the negotiations, a move that would help the ride-hailing firm make its pitch to investors ahead of its eagerly anticipated IPO.

Under terms being discussed, SoftBank’s Vision Fund and other investors, including at least one unnamed auto maker, would take a minority stake in the unit at a valuation of between $5 billion and $10 billion, the people said. The talks are fluid and could still fall apart, these people warned. Should a deal materialize, it could surface next month.

For Uber, the arrangement would provide much-needed cash for an ambitious and costly venture; it would lighten its future funding obligations, while enabling it to maintain control of the unit. In 2017, Uber spent about $750 million on self-driving development before making cuts in 2018, according to people familiar with the matter. [WSJ]
Watch Riding in a Driverless Taxi at CES 2019

Congress re-examines bill that would expose beneficial owners of LLCsA bill that would require anonymous LLCs to disclose their beneficial owners is back on the table.

Congresswoman Carolyn Maloney, of New York’s 12th congressional district, presented a draft of the Corporate Transparency Act of 2019 during a congressional hearing on Wednesday. Under the bill, corporations and LLCs would be required to disclose their beneficial owners to the Financial Crimes Enforcement Network, or FinCEN, which would then share that information with law enforcement and financial institutions.

“The problem that we’re trying to solve here is very simple,” said Maloney, who noted that she had been working on this bill for 10 years. “Criminals and terrorists have always used anonymous shell companies to finance their operations, because they never have to disclose who actually owns these shell companies.”

“Law enforcement tells me that whenever they’re following the moneyin an investigation, they always hit a dead end at an anonymous shell company,” she added.

The bill is a reintroduction of the Corporate Transparency Act of 2017, which garnered bipartisan support during the prior congressional year, but not enough to pass. [TRD]

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סגולה לשמירת עינים ולהצלחה להינצל מחטא
וִיהִי רָצוֹן מִלְּפָנֶיךָ ה’ אֱלֹקינוּ וֵאלֹקי אֲבוֹתֵינוּ שֶׁתַּרְגִּילֵנוּ בְּתוֹרָתֶךָ. וְדְבִּקֵינוּ בְּמִצְוׂתֶיךָ. וְאַל תְּבִיאֵנוּ לֹא לִידֵי חֵטְא. וְלֹא לִידֵי עֲבֵרָה וְעָוֹן. וְלֹא לִידֵי נִסָּיוֹן. וְלֹא לִידֵי בִזָּיוֹן. וְאַל יִשְׁלוֹט בָּנוּ יֵצֶר הָרָע. וְהַרְחִיקֵנוּ מֵאָדָם רָע וּמֵחָבֵר רָע. וְדַבְּקֵנוּ בְּיֵצֶר טוֹב וּבְמַעֲשִׂים טוֹבִים. וְכֹף אֶת יִצְרֵנוּ לְהִשְׁתַּעְבֶּד לָךְ.


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