OLDE FASHIONED CRIMINAL CAPITALI$M

Disgraced FTX CEO Sam Bankman-Fried 'orchestrated yearslong fraud' on investors and customers, SEC and criminal charges say

Story by Tim Stelloh and Rob Wile and Marlene Lenthang and Adam Reiss 


Sam Bankman-Fried, the former CEO of cryptocurrency giant FTX, defrauded investors by funneling money into his private hedge fund and conspired to commit wire fraud against customers and lenders, federal authorities said Tuesday.

Bankman-Fried, 30, the once-celebrated founder of FTX, was arrested in the Bahamas on Monday, following his indictment by a federal grand jury in the Southern District of New York on Friday, U.S. Attorney Damian Williams told reporters.

Bahamian Chief Magistrate Joyann Ferguson-Pratt denied Bankman-Fried's request for bail, saying she wasn't satisfied with his legal team's arguments. A hearing on his extradition to the United States is scheduled for Feb. 8.

The Manhattan panel indicted Bankman-Fried on eight counts: conspiracy to commit wire fraud on customers, wire fraud on customers, conspiracy to commit wire fraud on lenders, wire fraud on lenders, conspiracy to commit commodities fraud, conspiracy to commit securities fraud, conspiracy to commit money laundering and conspiracy to defraud the United States and violate the campaign finance laws.

"This investigation is very much ongoing, and it is moving very quickly," Williams said. "While this is our first public announcement, it will not be our last."

The federal prosecutor urged any business associates of Bankman-Fried to reach out to investigators sooner rather than later.

"I would strongly encourage you to come see us before we come see you," Williams said.

The indictment alleges Bankman-Fried knowingly devised the scheme to defraud customers of FTX by “misappropriating those customers’ deposits and using those deposits to pay expenses and debts of Alameda Research," his own privately held crypto hedge fund, to make investments.

$8 billion loss to customers

The wire fraud on lenders and customers started in or about 2019 and lasted through November, according to the filing.

Gretchen Lowe, acting director of the Commodity Futures Trading Commission's Division of Enforcement, pegged customer losses at more than $8 billion.

But that number might pale in comparison to potential damage to public trust in the system, according to Lowe.

"The rippling consequences of defendant’s fraud are vast and have done significant damage to the integrity of the evolving digital asset market," she said.

The indictment also alleges Bankman-Fried duped lenders to Alameda by obtaining money and property by providing “false and misleading information to those lenders regarding Alameda Research’s financial condition.”

The indictment also accuses Bankman-Fried of campaign finance violations for conspiring with others and making campaign contributions to candidates and political committees above the federal donation limit.

His contributions to candidates for federal office, joint fundraising committees and independent expenditure committees aggregated to $25,000 and more in a calendar year, according to the filing. He also allegedly made corporate contributions to candidates and committees in the Southern District of New York “that were reported in the name of another person.”

Seeking influence on both sides of aisle, feds say

The "tens of millions of dollars in illegal campaign contributions" were made to "candidates and committees associated with both Democrats and Republicans," according to Williams.

“These contributions were disguised to look like they were coming from wealthy co-conspirators when in fact the contributions were funded by Alameda Research with stolen customer money," the federal prosecutor said.

"All of this dirty money was used in service of Bankman-Fried's desire to buy bipartisan influence and impact the direction of public policy in Washington."

Separately, the SEC charged him in a filing Tuesday also in the Southern District of New York, with defrauding investors and enriching his hedge fund Alameda Research LLC.

The SEC said in a press release that Bankman-Fried raised more than $1.8 billion from equity investors since he founded FTX in May 2019, based in the Bahamas, and he allegedly “orchestrated a yearslong fraud to conceal” the undisclosed diversion of FTX customers’ funds to Alameda.

He also allowed the undisclosed special treatment to Alameda on the platform, including a “virtually unlimited line of credit" funded by the platform’s customers and exempted Alameda from certain key FTC risk mitigation measures, the SEC said.

He then allegedly used FTX customers’ funds at Alameda “to make undisclosed venture investments, lavish real estate purchases, and large political donations.”

The SEC further alleged that Bankman-Fried concealed from investors “undisclosed risk” from FTX’s exposure to Alameda’s “significant holdings of overvalued, illiquid assets such as FTX-affiliated tokens.”

“We allege that Sam Bankman-Fried built a house of cards on a foundation of deception while telling investors that it was one of the safest buildings in crypto,” SEC Chair Gary Gensler said.

Officials said that investigations into other securities law violations in connection with the alleged misconduct are ongoing.

What's next for FTX's Sam Bankman-Fried following his arrest?
View on Watch    Duration 3:04


The SEC’s complaint charges Bankman-Fried with violating anti-fraud provisions of securities law and seeks injunctions against future securities law violations, meaning if convicted, he could be banned from future securities trading beyond as an individual.

The SEC said the Commodity Futures Trading Commission is also charging Bankman-Fried.

FTX CEO pledges continued probe cooperation

Also on Tuesday, a congressional hearing on FTX’s collapse and missteps was underway during which the company’s new CEO, John J. Ray III, testified. Bankman-Fried was scheduled to appear at the hearing prior to his arrest.

During the House Financial Services Committee hearing, lawmakers shared harsh criticism of Bankman-Fried with Ranking Member Patrick McHenry, R-N.C., calling his arrest “welcome news.”

Ray spoke on the issues that led to FTX’s downfall and said his team is cooperating with the Southern District of New York and SEC officials.

“The FTX Group’s collapse appears to stem from absolute concentration of control in the hands of a small group of grossly inexperienced and unsophisticated individuals who failed to implement virtually any of the systems or controls that are necessary for a company entrusted with other people’s money or assets,” Ray told lawmakers.

Bankman-Fried was arrested after U.S. authorities filed criminal charges against him and he was taken into custody in the capital city, Nassau, shortly before 6 p.m. Monday.

In a statement Tuesday, a lawyer for Bankman-Fried said his client is "reviewing the charges with his legal team considering all of his legal options."

Bahamas Prime Minister Philip Davis said in a statement that the island nation is continuing a regulatory and criminal investigation into the company’s collapse.

FTX was once seen as the face of the industry, a company reported to be worth $32 billion that attracted celebrity endorsements and major sports sponsorships. Bankman-Fried was seen as a crypto wunderkind who graced the cover of Forbes and Fortune and had emerged as a major Democratic donor.

But last month, after a crypto-focused news site published the balance sheet of an investment firm also owned by Bankman-Fried, FTX experienced the equivalent of a bank run: Customers and observers questioned whether its loans and investments were worth more than its debts. They also questioned whether the company could pay people trying to withdraw funds.

In a matter of days, Bankman-Fried resigned and the company filed for bankruptcy protection. Speaking at The New York Times DealBook Summit on Nov. 30, Bankman-Fried said he didn’t “try to commit fraud on anyone.”

CORRECTION (Dec. 13, 2022, 7:55 a.m.): An earlier version of this article misstated how much Bankman-Fried raised from equity investors. It was $1.8 billion, not $1.8 million.

This article was originally published on NBCNews.com

Sen. Warren presses Defense Secretary about ex-Google CEO Schmidt's potential conflicts when he advised Pentagon on AI

Story by Eamon Javers • CNBC

Sen. Elizabeth Warren pressed Defense Secretary Lloyd Austin about former Google CEO Eric Schmidt's involvement in influential panels that helped shape policy in an industry where he was investing.

Warren, in a letter shared first with CNBC, expressed concerns about reports alleging Schmidt leveraged his positions on two federal advisory committees "to further his own personal financial interests."

Warren asked Austin to detail the Pentagon's conflict-of-interest policy for advisory board members and answer multiple questions about Schmidt's service on the panels.


Eric Schmidt, Co-Founder, Schmidt Futures, speaks during the Milken Institute Global Conference on May 2, 2022 in Beverly Hills, California.© Provided by CNBC

Sen. Elizabeth Warren on Tuesday pressed Defense Secretary Lloyd Austin about his agency's enforcement of conflict-of-interest rules for federal advisory boards, zeroing in on former Google CEO Eric Schmidt after CNBC reported on his past involvement on influential panels in an industry where he was an investor.

"Federal advisory boards can provide valuable advice and insights to federal agencies, but without strong oversight and clear guardrails they can also provide their board members an unfair competitive advantage in winning government contracts and influencing agency policy," Warren wrote in a letter to the DOD head.

Warren said she was concerned about reports alleging Schmidt leveraged his positions on two federal advisory committees "to further his own personal financial interests." Those reports could suggest the Defense Department did not adequately apply federal conflict of interest rules "and therefore failed to protect the public interest" in Schmidt's case, wrote the Massachusetts Democrat.

Warren, who sits on the Senate Armed Services Committee and leads congressional subcommittees on economic policy and fiscal responsibility, asked Austin to detail the Pentagon's conflict-of-interest policy for advisory board members and answer multiple questions about Schmidt's service on the panels.

Schmidt made more than 50 direct personal or indirect corporate investments in AI companies while he was serving as the chairman of the National Security Commission on Artificial Intelligence, or NSCAI, she said, citing a CNBC article from October. The group, established in 2018, advised the Pentagon and White House on AI policy — even crafting legislative language that later passed word for word — and helped steer billions of dollars in spending toward the AI industry. The group wound down in 2021.

Walter Shaub, a senior ethics fellow at the Project on Government Oversight, told CNBC at the time that Schmidt's investments "absolutely" posed a conflict of interest. There was no indication that Schmidt broke any ethics rules or did anything unlawful while chairing the commission.

Warren's letter referenced Schmidt's work on the NSCAI and the Defense Innovation Board. Both advisory boards are subject to conflict-of-interest rules under the Federal Advisory Committee Act.

"These boards can exert significant influence in shaping government research and procurement priorities, making it essential that agencies prevent and mitigate conflicts of interest," the senator wrote. "I am concerned by press reports indicating the Department may not have adequately followed FACA conflict of interest rules and therefore failed to protect the public interest."

The NSCAI under Schmidt advocated for a major boost in government spending on AI. "But Mr. Schmidt has a clear conflict of interest in this issue: the NSCAI recommendations could direct funds to Mr. Schmidt and his business partners, who have invested more than $2 billion in companies focused on artificial intelligence," Warren wrote, citing reporting from Protocol.

"Mr. Schmidt's investment activities, and the lack of public disclosure, create the appearance that these boards are yet another tool for influence-peddling and profiteering at DoD, raising concerns about the ethics of their members and the utility of their recommendations," Warren wrote.

AFTER SCHMIDT ADVISED NKOREA

Facebook Accused of Discriminating Against African Users in Latest Lawsuit

Story by Queenie Wong 

Two Ethiopian researchers and a Kenyan rights group have sued Facebook's parent company, Meta, alleging the social media giant failed to pull down content that fueled violence and hate across Africa.


Nearly 3 billion people use an app owned by Facebook parent company Meta every day. 

Sarah Tew/CNET© Provided by CNET

Filed in Kenya's High Court on Tuesday, the constitutional petition accuses Facebook of profiting off of harmful posts because that type of content attracts the attention of users. The lawsuit also alleges that Meta engaged in discriminatory treatment of African Facebook users and violated human rights. It says the social media giant isn't investing enough resources in its content moderation facility in Kenya and failed to take steps like it's done in the US that would reduce the spread of dangerous posts in Africa.

"The result is that some communities are left to ruin while others are proactively protected," the petition said. "This amounts to discrimination."

One of the petitioners, Abrham Meareg, an Ethiopian citizen who resides in Minnesota, says Facebook played a role in the murder of his father, who was killed last year. Meareg reported Facebook posts that called for harm against his father, Bahir Dar University Professor Meareg Amare Abrha, but the platform failed to act quickly, the lawsuit said. Online hate was directed at his father because his family is Tigrayan, an ethnic group in Ethiopia that human rights organizations say has been targeted by a campaign of ethnic cleansing after a two-year civil war broke out in 2020. Some of the harmful Facebook posts are still online, the lawsuit said.



"I'm seeking justice for millions of my fellow Africans hurt by Facebook's profiteering -- and an apology for my father's murder," Meareg said in a statement.

Fisseha Tekle, a legal advisor at Amnesty International, and the legal group Katiba Institute are also suing Meta. Tekle has also dealt with hate speech and other harmful posts on Facebook and hasn't been able to return to visit his family in Ethiopia because he "lives in constant fear that harm may come to him even in Nairobi," the lawsuit said.

The case is the latest in ongoing scrutiny Meta has faced over how well it polices harmful content outside the US, Asia-Pacific and Europe. Meta was also sued last year for $150 billion over its alleged role in fueling a genocide in Myanmar.

Meta said that it doesn't allow hate speech on Facebook and its photo-service Instagram.

Hate speech and incitement to violence are against Meta's rules, "and we invest heavily in teams and technology to help us find and remove this content," a Meta spokesperson said in a statement. "Feedback from local civil society organizations and international institutions guides our safety and integrity work in Ethiopia." The social network employs workers "with local knowledge and expertise" and continues to develop its "capabilities to catch violating content" in the most widely spoken languages in Ethiopia, the spokesperson said.

Meta said last year in a blog post that protecting users in Ethiopia has been one its highest priorities, but researchers say the company is doing a poor job of pulling down hate speech in that country. Leaked internal documents also showed that Facebook employees have raised concerns about how the social media platform is used in developing countries.

The petitioners say Meta violated the Kenya constitution and want the court to order the company to demote content that incites violence and not promote viral hateful posts. They're also asking the social network to hire more workers in its content moderation center in Nairobi, Kenya, who are equipped to review posts in more languages. Meta should create a $1.6 billion fund for victims of hate and violence incited on Facebook and contribute $400 million for harm caused by sponsored posts, the petitioners say.

SHE SOUNDS LIKE RISHI SUNAK
Italy's Meloni says EU must do more to halt migrant flows

ROME (Reuters) - The European Union must do more to protect its borders and to halt the departure of migrant boats from north Africa, Italian Prime Minister Giorgia Meloni said on Tuesday.

Confidence vote for Italy's new government at the upper house of parliament© Thomson Reuters

Meloni was speaking to the Italian parliament ahead of an EU summit this week. Italy, which has vowed a tough line on immigration, took in more than 500 migrants on Sunday when two charity rescue ships were allowed to dock.

Later in the debate Meloni said the EU relocation policy for migrants was not working for Italy which was being left to shoulder too great a burden.

"I don't think it's a solution to say that Italy should be the only port of disembarkation in the EU and then for every 100,000 people who come in, other countries take 30."

"I do not think Italy should do alone what others are not willing to do."

But other EU states are also under pressure from migration via other routes.

In September alone, France received around 15,000 asylum applications, Germany almost 21,000, Austria around 15,700 and Spain more than 11,000 compared to 8,500 for Italy, data from EU statistics agency Eurostat shows.

Tensions flared with neighbour France last month after the French took in a rescue boat carrying around 230 migrants that had been turned away by Italy.

More than 98,000 migrants have arrived in Italy by sea in the year to date, up from around 63,000 in the same period of 2021, interior ministry data shows.

(Writing by Keith Weir, Francesca Piscioneri editing by Gavin Jones, Alvise Armellini)

'Enough is enough': Rishi Sunak gets tough on migration as he unveils new laws

Rishi Sunak insisted "enough is enough" as he laid out tough new plans to stop migrants illegally entering the country.

By SAM LISTER
Tue, Dec 13, 2022 

Rishi Sunak announces plans to tackle illegal migration

The Prime Minister vowed to turn away Albanians more swiftly, clear the backlog of asylum claims by the end of next year and make the Rwanda deportation plan work. He also promised to end the use of hotels to house asylum seekers at a cost to taxpayers of £5.5 million a day by switching to disused holiday parks, former student halls and unoccupied military sites.

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A new small boats operational command unit made up of the military, civilian staff and the National Crime Agency to stop the crossing.

Mr Sunak insisted the crackdown is about “fairness” and admitted the public is right to be angry about exploitation of the system.

He said: “It is unfair that people come here illegally. It is unfair on those with a genuine case for asylum when our capacity to help is taken up by people coming through, and from, countries that are perfectly safe.

It is unfair on those who come here legally when others come here by cheating the system.
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“And above all, it is unfair on the British people who play by the rules when others come here illegally and benefit from breaking those rules.

“So people are right to be angry because they see what I see, which is that this simply isn’t fair.

“It is not cruel or unkind to want to break the stranglehold of the criminal gangs who trade in human misery and who exploit our system and laws…

“Enough is enough.”

Rishi Sunak vowed to make the Rwanda deportation plan work (Image: PA)

A judicial review on the government’s plans to deport illegal migrants to Rwanda is expected before Christmas but no date has been confirmed.

The number of Albanians, mainly young men, heading to the UK illegally has surged over the last two years and now the nationality now accounts for 35 per cent of arrivals compared with three per cent in the whole of 2021.

Under the reforms, Border Force officers will be stationed in Tirana airport in the Albanian capital “helping to disrupt organised crime and stop people coming here illegally”.

Most Albanians have claimed they were victims of modern slavery but they will now have to have evidence to back up their claims.

Other European nations return almost all Albanians arriving illegally because their home nation is a “safe country”.

Mr Sunak told MPs 400 new specialists will work in a dedicated unit expediting asylum claims from people from the Balkan state, with plans for weekly removal flights to take people back to their home country.

The Prime Minister and Home Secretary Suella Braverman have been meeting up to three times a week for more than a month to find solutions to the growing problem.

Mr Sunak has made the small boats crisis his main priority alongside restoring the country’s economic fortunes.

New laws will make it “unambiguously clear” that “if you enter the UK illegally you should not be able to remain here”.

“One of the reasons we have struggled to remove people is because they unfairly exploit our modern slavery system, so we will significantly raise the threshold someone has to meet to be considered a modern slave,” Mr Sunak said.

Contractor fined $2.8 million for spills that killed hundreds of fish in Coquitlam, Surrey creeks

A construction contractor has been fined $2.8 million for releasing contaminated water into salmon-bearing creeks in Coquitlam and Surrey in 2017.

Michels Canada Co., a construction contractor based out of Nisku, Alberta, was ordered to pay the sum on Dec. 6, after pleading guilty to two charges under the Fisheries Act.

“These creeks are inhabited by salmonids year round, and the presence of juvenile salmonids in these creeks during the summertime low flow period and hot weather emphasizes the importance of this habitat,” stated Environment and Climate Change Canada (ECCC) on Dec. 8.

The company was conducting horizontal direction boring operations in both cities, which drills tunnels underneath waterways, roads and rail when other methods are not possible.

Sediment-laden water, a byproduct of the boring process, was released through the storm sewer system in Coquitlam on Aug. 17, eventually flowing into Cape Horn Creek.

Less than two weeks later, the same spill occurred in Surrey’s sewer system, which flowed into Quibble Creek.

Twenty dead fish were later discovered in Coquitlam’s creek, while 533 dead fish were discovered in Surrey’s creek.

Federal environmental officers collected samples from the water, dead fish and other evidence related to the spills and found drilling fluids deposits in the water that were deemed harmful.

Both creeks are inhabited by coho salmon, rainbow trout, and cutthroat trout, the latter of which is considered a species at-risk.

Cape Horn Creek flows into the Coquitlam River, before entering the Fraser River; Quibble Creek flows into the Serpentine River, before entering the Georgia Straight.

The company will be added to the Environmental Offenders Registry, which lists convictions of corporations who have committed offences under federal environmental law.

“Canadians value clean water and a sustainable environment,” ECCC stated. “Enforcement officers strive to ensure that businesses and individuals comply with the laws and regulations that protect Canada’s natural environment.”

The fines will be used to support projects with a positive impact on the environment, according to the ECCC.

Patrick Penner, Local Journalism Initiative Reporter, Tri-Cities Dispatch

Amnesty condemns Spain, Morocco over Melilla border tragedy
Story by By Joan Faus • 

The border fence between Morocco and Spain's north African enclave Melilla is seen along a road

© Thomson Reuters

MADRID (Reuters) - Moroccan and Spanish authorities used "unlawful and lethal force" during a mass border crossing by migrants in June in which at least 23 people died, and their response "smacks of a cover-up," Amnesty International said on Tuesday in a report based on eyewitness testimony, video footage and satellite imagery.

The handling of the mass border crossing attempt on June 24 between Morocco and Spain's North African enclave of Melilla remains a high-stakes political headache for the Spanish government. It has been heavily criticised by Spain's ombudsman and U.N. human rights experts. The country's interior minister has been repeatedly grilled in parliament and has faced calls to resign from opposition parties.

Morocco has said that 23 people died in the incident, while Spanish authorities have argued that no deaths occurred in their territory. Amnesty said at least 37 people died and 77 others remain missing.

Related video: Migration crisis in the Sahara: Algerian police accused of violence at Niger border (France 24)   Duration 4:49  View on Watch

Moment migrant paraglides into Spain across border with Morocco

The report said that "many of the injured continued to be beaten and kicked as they lay on the ground, semi-conscious, unresponsive or struggling for breath."

It also decried the lack of information concerning the identity of the deceased and the fate of the missing.

Asked about those allegations, Spain's Interior Ministry reiterated that police acted "lawfully and proportionally with an absolute respect for human rights," and said that accusations Spain had failed in its duty to assist were false.

Moroccan authorities declined to comment.

"Moroccan and Spanish authorities failed to provide prompt and adequate medical assistance to the injured, including by denying a Red Cross ambulance team access to the area, while dozens were left unattended in the full glare of the sun for at least eight hours," Amnesty said.

One interviewee said that Spanish police forced injured people back across the border to Morocco. A 17-year-old Sudanese citizen said people arrested by Moroccan police were "beaten by hammers in their head until they passed away" in jail.

(Reporting by Joan Faus; Editing by David Latona, Aislinn Laing and Mark Porter)

Hawaii's 'last princess', 96, dies with her wife, 69, by her side



 Joe Pacheco / Bishop Museum

An elderly Hawaiian heiress who was the islands' so-called final princess has died at the age of 96. Abigail Kinoiki Kekaulike Kawānanakoa (pictured) died Sunday at her Honolulu home with her wife Veronica Gail Kawānanakoa, 69, at her side. She was worth an estimated $215 million. The late royal's lineage included the royal family that once ruled the islands and an Irish businessman who became one of Hawaii's largest landowners.



'Abigail will be remembered for her love of Hawaii and its people,' her 69-year-old wife (pictured left) said in a statement, 'and I will miss her with all of my heart.'

IMAGINE HOW MUCH IT WOULD SAVE AB

Sticking with RCMP would save Surrey, B.C., $235 million: report

SURREY, B.C. — City council in Surrey, B.C., has voted to send a plan to the province to keep the RCMP as its police force, saying it would save $235 million over five years.


Sticking with RCMP would save Surrey, B.C., $235 million: report© Provided by The Canadian Press

Mayor Brenda Locke, who campaigned on a promise to retain the RCMP, says that saving for Surrey taxpayers is enormous and the city must stick with the Mounties because it can't afford to continue with the change to a municipal force.

The report says the cost of 734 officers with the Surrey Police Service would be $249,460 per officer, while each Mountie would be $205,990.

A statement from the service, which is well into its transition, says the report overestimates how many of its officers would join the Surrey RCMP and doesn't consider $100 million in costs that have already been incurred.

The city says the plan will be sent to Minister of Public Safety and Solicitor General Mike Farnworth by Dec. 15 for his final review and approval, with Locke saying a prompt decision is essential to prevent any further unnecessary spending.

A statement from Farnworth says it's his responsibility to ensure the city's plan meets the requirements of the Police Act and public safety continues to be the "core driving principle" for all decisions about policing in Surrey.

Farnworth says he expects to receive the city's plan this week and he'll review it with B.C.'s director of police services.

Locke says she expects an answer from the government by early in the new year.

This report by The Canadian Press was first published Dec. 13, 2022.

The Canadian Press

At least 100 killed as sinkhole opens swallowing roads and entire neighbourhoods in Congo

Story by Barney Davis 

Devastating floods in Congo have killed at least 100 people with roads struck by landslides and neighbourhoods swallowed up by sinkholes.

Dozens more were injured on Tuesday after heavy rains sparked devastation across Congo’s capital, Kinshasa.

Prime Minister Jean-Michel Sama Lukonde said officials were still searching for more bodies.

“We came to assess the damage and the primary damage we see is human,” Lukonde said on state television Tuesday.

Some 12 million people live in the 24 neighbourhoods of Kinshasa hit by the floods, according to three local officials who told The Associated Press that people were killed, houses submerged and roads ruined.


People stand watch after heavy rains caused floods and landslides (REUTERS)© Provided by Evening Standard

In the Ngaliema area more than three dozen people died and bodies are still being counted, said the area’s mayor, Alid’or Tshibanda. In another part of town five members from one family were killed, some by electrocution.

Related video: DR Congo town set to 'disappear' as Chinese mine swallows it up (AFP)
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“It is a just calamity,” said Pierrot Mantuela. The 30-year-old lost his mother, nine-year-old daughter and three brothers. “It’s sad to lose all the members of my family,” he said. He was spared because he was working Monday night when the rains began, he said.



Residents clean up following torrential rains (AP)© Provided by Evening Standard

Images shared online showed entire neighbourhoods flooded with muddy water and roads ripped apart by sinkholes.

One video appeared to show a major highway cut in half by a giant hole that had swallowed several vehicles in Mont-Ngafula district. Onlookers in raincoats crept to the edge to peer into the chasm.

Once fishing villages on the banks of the Congo river, Kinshasa has grown into one of Africa’s largest megacities with a population of around 15 million.

Poorly regulated rapid urbanization has made Kinshasa increasingly vulnerable to flash floods after intense rains, which have become more frequent due to climate change.

At least 39 people died in Kinshasa in 2019 when torrential rain flooded low-lying districts and some buildings and roads collapsed.

In addition to damaged infrastructure, each day of flooding in Kinshasa costs households a combined $1.2 million due to the large-scale transport disruption, according to a 2020 World Bank paper.

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WHY HAVE AN ELECTION?!

Danish Social Democrats agree new government with right-wing opposition

COPENHAGEN (Reuters) -Denmark's Social Democratic leader Mette Frederiksen said on Tuesday she had agreed to form a rare bipartisan government with the main opposition party, the Liberal Party, and the Moderates to form a government with her as prime minister.


General election in Denmark© Thomson Reuters

"We have set high ambitions, both in terms of ensuring higher employment, more people getting work, high climate ambitions and a fairly comprehensive reform program," said Frederiksen.

The three party leaders, Frederiksen, Jacob Elleman-Jensen of the Liberal Party and Lars Lokke Rasmussen of the Moderates, will host a press briefing on Wednesday, where they will outline the broad political ideas behind the next government.

The Moderates is a new party, established in June, and is led by Rasmussen, the previous prime minister. It became Denmark's third biggest party after a trailblazing election campaign.

The three parties have a combined 89 seats in the 179-seat parliament, which also includes four seats to lawmakers from Greenland and the Faroe Islands.

This means the new government will in practice have a majority as the North Atlantic mandates traditionally don't intervene in Danish domestic politics.

Frederiksen, 45, will start her second term as premier of the Nordic nation once the new government has been formally announced on Thursday.

Since her centre-left Social Democratic Party won more than a quarter of the votes in a Nov. 1 general election, making it the biggest in parliament, Frederiksen has dropped negotiations with traditional left-wing allies.

Instead, the new coalition, which was formed after record-long talks of more than a month, she has negotiated with opposition parties to form a government across the traditional left-right divide for the first time in more than four decades.

Frederiksen argued during her campaign that a broad government across the left-right divide was needed at a time of international uncertainty.

The new government will begin work as high energy prices and the highest inflation in four decades eat into household economies, and only two months after the sabotage of two pipelines carrying gas from Russia to Germany through Danish waters.

Some pundits have warned that forming a coalition of the traditional mainstream parties might backfire, because it could eventually strengthen the more radical parties as seen in other European countries, including France.

(Reporting by Jacob Gronholt-Pedersen and Nikolaj Skydsgaard, editing by Stine Jacobsen, Tomasz Janowski and Sandra Maler)