CRIMINAL CAPITALI$M
Jury orders egg suppliers to pay $17.7 million in damages for price gouging in 2000s

ISABELLA VOLMERT
Fri, December 1, 2023 

Chickens stand in their cage at the Rose Acre Farms, Monday, Nov. 16, 2009, near Stuart, Iowa. A federal jury in Illinois delivered $17.7 million in damages to several major food manufacturing companies who had sued major egg producers over a conspiracy to limit the supply of eggs in the U.S. in a lawsuit originally filed 12 years ago, according to attorneys representing the companies. The damages verdict was reached Friday, Dec. 1, 2023. 

(AP Photo/Charlie Neibergall, File) (ASSOCIATED PRESS)More


INDIANAPOLIS (AP) — A federal jury in Illinois ordered $17.7 million in damages — an amount tripled to more than $53 million under federal law — to several food manufacturing companies who had sued major egg producers over a conspiracy to limit the egg supply in the U.S.

The jury ruled last week that the egg producers used various means to limit the domestic supply of eggs to increase the price of products during the 2000s. The time frame of the conspiracy was an issue throughout the case; jurors ultimately determined damages occurred between 2004 and 2008.

The damages verdict was reached Friday in the Northern District of Illinois. According to federal antitrust law, the damages are automatically tripled, bringing the total to over $53 million. Court documents on the verdict were not readily available Friday evening, but statements from the manufacturers' attorney and one of the egg producers confirmed a total of about $17.7 million.


“We are extremely grateful for the jury’s service and findings,” Brandon Fox, an attorney representing the food manufacturers, said in a statement. “This was an important case for many reasons, and the jury’s award recognizes its significance.”

Attorneys for the four egg suppliers named in the lawsuit did not immediately return phone messages on Friday. Court documents show the defendants have denied the claims.

The egg suppliers include the family company of its former Chair John Rust, who's running for the U.S. Senate in Indiana. In a written statement on the verdict, Rust said the jury's decision “will be appealed.”

The jury found that the egg suppliers exported eggs abroad to reduce the overall supply in the domestic market, as well as limited the number of chickens through means including cage space, early slaughter and flock reduction, court documents say.

Jurors were specifically told not to consider more recent changes in egg pricing during their deliberations.

Food manufacturers joining as plaintiffs in the lawsuit against the egg producers are Kraft Foods Global, Inc., The Kellogg Company, General Mills, Inc. and Nestle USA, Inc. The jury found the egg suppliers who participated in the conspiracy were Cal-Maine Foods, Inc., United Egg Producers, Inc., United States Egg Marketers, Inc. and Rose Acre Farms, Inc., a southern Indiana-based company previously chaired by Rust.

Rose Acre Farms, which identifies itself as the second-largest egg producer in the U.S., disagreed with the jury's verdict in a written statement.

“Rose Acre has and continues to steadfastly deny being part of any anticompetitive egg price-fixing conspiracy, and we will continue to explore and consider all legal options, including post-trial relief and appeal,” the statement said.

Cal-Maine Foods, Inc. said in a written statement it has petitioned the court to rule in its favor and will continue to evaluate its options, “including, if necessary, an appeal.”

“Cal-Maine Foods respects the jury’s decision and appreciates that the damages awarded by the jury are relatively modest compared to the damages sought but remains disappointed with the verdict as Cal-Maine Foods continues to believe that the Company did nothing wrong,” the statement said.

Email messages sent to the United Egg Producers and United States Egg Marketers representatives were not immediately returned Friday.

In his statement, Rust attacked his opponent U.S. Rep. Jim Banks, saying he has sided with “mega corporations over the American farmer” in the aftermath of the jury's ruling.

“Voters can be certain that, if elected, Banks will bring his anti-agriculture and pro-mega corporation platform to the chamber,” Rust said.

In response, Banks said in a written statement, "Hoosiers aren’t going to vote for a crook.”

Rust is currently suing Indiana’s Secretary of State over a contested state law that could prevent his name from getting on the primary ballot as a Republican candidate. According to the law, a candidate must vote in two primaries with the party they are affiliated with or the county party chair must approve their candidacy. Rust has argued the law is unconstitutional and vague.

Rust faces an uphill battle for the GOP nomination: Banks has received the endorsement of the Indiana Republican Party and former President Donald Trump. The seat is currently held by Republican Mike Braun, who is instead running for governor next year.

26 kids were buried alive in California. A new CNN Film shows how one plotted their escape – and what happened years later

Holly Yan, CNN
Sat, December 2, 2023 at 2:02 PM MST·12 min read
293

CNN Films’ chilling crime documentary “Chowchilla” explores one of the strangest mass kidnappings in history. It premieres on Sunday, December 3, at 9 p.m. ET/PT.

In 1976, gunmen stormed a school bus carrying 26 children – ages 5 to 14 – and their bus driver in Chowchilla, California. As part of a ransom plot, they drove the hostages into a rock quarry and forced them into what could have become a mass grave: a moving van soon to be covered with 6 feet of dirt.

Almost 50 years on, those students have become unwitting pioneers in what child trauma can look like decades later. Now, the new CNN Film, “Chowchilla,” delves into how the largest mass kidnapping in US history became a catalyst for change.

There’s the 14-year-old hero who devised a cunning escape to free the hostages – but didn’t get due credit and spiraled down a dark chasm of substance abuse.

There’s the 10-year-old girl who comforted other terrified kids, then spent decades confronting the kidnappers at parole hearings until the agony became too much to bear.

And there’s the 6-year-old boy who fought relentless nightmares and all-encompassing anger before finding unexpected peace.
‘Like an animal being taken to slaughter’

On July 15, 1976, summer school students were headed home from the Dairyland School when a van parked in the middle of a narrow road blocked their driver. A trio of gunmen – pantyhose over their heads – emerged and hijacked the bus.

The gunmen drove it through a thicket of tall bamboo until they reached a ditch hiding two vans.

The Dairyland Union School District bus carrying 26 children and their bus driver was found empty and abandoned in July 1976. - UPI/Bettmann/Getty Images

They ordered the children to get in. Then, for 11 hours, they drove.

“It was just stifling,” said Larry Park, who was 6 at the time.

The kids had no bathroom or water. Some whimpered and cried.

“I remember (10-year-old) Jodi Heffington was one of the older girls who tried to keep the younger kids calm somewhat,” recalled Jennifer Brown Hyde, who was 9 at the time.

“I just felt like an animal being taken to slaughter,” she said.

Their convoluted, unnecessarily lengthy route ended after nightfall at a rock and gravel quarry near Livermore, about 100 miles northwest of Chowchilla. The kidnappers ordered the children and their bus driver into a moving van hidden underground.

Workers unearth the buried kidnap van where 27 people were held hostage. The weight of dirt crushed the top. - Fresno Bee/Tribune News Service/Getty Images

“It was like a coffin,” Lynda Carrejo Labendeira, who was 10 at the time, told CNN in 2015. “It was like a giant coffin for all of us.”

The dark chamber – outfitted with some mattresses and meager snacks – quickly filled with the stench of vomit and filth, intensified by the searing California heat.
A daring plan takes shape

The lone adult trapped underground, bus driver Edward Ray, was reluctant to try to escape, “fearful that somebody was up there just waiting,” Brown Hyde recalled.

But Michael Marshall, who was 14, was willing to take the chance.

“I thought to myself: If we’re going to die, we’re going to die getting the hell out of here,” he recalled in “Chowchilla.”

It seemed the only way out might be through a sealed manhole at the top of the entombed van. Marshall climbed onto mattresses the hostages had stacked under it and pushed with all his might.

It barely budged.

The inside of this van was used as the children's prison. Hostages had to use a box with a hole as a toilet. - Jim Palmer/AP

Ray joined him, and eventually they pushed the cover open – only to watch two massive truck or bus batteries that had covered it plummet into the underground cell. Then they discovered another sick challenge: a large, reinforced plywood box surrounding the manhole, with more dirt on top.

Undaunted, Marshall pounded the dirt sealing the bottom edges of the box. He dug and dug and dug – until a cascade of dirt fell into the box, through the manhole and into the coffin, revealing “the most glorious ray of sunlight that I had ever seen,” Park recalled.

After 16 hours in the subterranean hell, the 27 hostages climbed their way to freedom.

But the effects of the kidnapping would soon plague the children in myriad ways.
A young hero ‘robbed’

Just freed, the kids went to officially report their ordeal to police. Nearby, news crews gathered. As Marshall walked past them on his way home, a broad grin eclipsed his exhaustion. He had a chance to tell the world how the escape had unfolded.

Mike Marshall, who was 14 when he helped save his fellow hostages, said he was looking forward to telling his story to the media shortly after the escape -- but said his principal thwarted the opportunity. - CNN

“Then out of nowhere, Principal (LeRoy) Tatum stepped in and said, ‘Why don’t we just give them a break, boys. Let them go home, get some sleep,’” Marshall recalled. “And so we got in the car and left.”

The diversion would haunt Marshall for decades.

“It was my chance to tell the world what happened – getting out and everything,” he said. “And I didn’t do it; I let the grown-ups do it.”

People across the country quickly assumed Ray was the hero, and lavish praise for the humble bus driver followed. One reporter declared the children had been saved “due to the heroic efforts of their bus driver, Ed Ray.” Chowchilla hosted a parade on “Ed Ray Day” on August 22, 1976. The city named a park after him.

Bus driver Edward Ray speaks to reporters in 1976. - Skip Shuman/Sacramento Bee/Tribune News Service/Getty Images

“But Edward was not the only hero,” Brown Hyde said.

Park was more blunt: “I was telling people, ‘Mike Marshall dug us out. It was Mike that dug us out.’ But nobody was listening.”

Photos of Marshall during “Ed Ray Day” festivities show a forlorn young teenager, one his mother could “see was really depressed.”

Even Marshall “felt guilty for feeling bad,” he said. “I remember thinking to myself, ‘Why am I feeling like this? What’s wrong with me?’” He tried to pivot to thinking: “Hey, you know what? Who cares? We all got out. We’re all out, that’s what matters.”

But it cost his mental health.

“Some of that pride from having been the kids’ hero had been robbed from him by the town’s response; he was never acknowledged,” said Dr. Lenore C. Terr, a child and adolescent psychiatry specialist and author of “Children of Chowchilla: A Study of Psychic Trauma.”

Marshall’s fortitude and optimism devolved to hopelessness.

“Before the kidnapping, I could see so much light ahead of me – see my future,” he said. “But then after the kidnapping, I couldn’t see anything.”

By 19 or 20, Marshall was “blackout drunk every single night. I just didn’t want to remember any more about the kidnapping,” he said. “I was drinking and using and all of that to the point where … I was living in insanity.”
‘I wanted to torture those men’

The horror also took a profound toll on Park. His older sister and “best friend” Andrea, 8, had also been kidnapped – and comforted him through the ordeal. But soon after their escape, “I hated going to sleep because every night, I was having nightmares,” he recalled in CNN Films’ “Chowchilla.”

“Mom and Dad were told not to come in when we have nightmares,” he said, recalling experts’ advice at the time to stop “rewarding our behavior of having the nightmares” so the dreams in turn would stop.

But it didn’t work. And soon, Park’s best friend became a distant stranger.

“Andrea became very introverted, where she had been outgoing before. She preferred to hide in her room. She wouldn’t hug me. I would tell her that I loved her, and she would just ignore it like it was never said,” the little brother recalled.

“Over the years, there was an anger building in me that infested absolutely every aspect of my life,” he said. “I was replaying the kidnapping constantly. I wanted to torture those men.”

Stunning revelations about the kidnappers

Authorities said the trio of abductors had tried to land $5 million in ransom as part of the botched kidnapping scheme. When their identities were revealed, Chowchilla residents were flabbergasted.

Frederick Newhall Woods IV, 24 at the time, was from a family that gained prominence during the California Gold Rush. The other two convicted kidnappers, James Schoenfeld, then 24, and his brother Richard Schoenfeld, then 22, were the sons of a well-known doctor.

From left, brothers James and Richard Schoenfeld and Fred Woods are taken to prison in 1978. - Joe Rosenthal/San Francisco Chronicle/Getty Images

Each kidnapper soon was sentenced to life in prison without the possibility of parole – a relief to many of the children who’d been taken. But then in the early 1980s, they successfully appealed the sentences based on an argument the kidnapping victims did not suffer serious physical harm, according to the film.

They won: Parole was now an option for all three.

“I couldn’t believe it,” said Terr, a pioneer in the research of long-term childhood trauma. “The mind and the brain – that’s not bodily harm, what you do to a person’s mind? What you do to a young child’s developing mind?”

For Park, the self-loathing and thirst for revenge against his kidnappers became overwhelming. “I was in a prison of my own making,” he said.

“It was one thing that (the kidnappers) hurt me. But they completely shattered my family. Andrea had disassociated from the family and left Chowchilla. My mom lost faith in my dad as a protector.

“I was surviving day-to-day, hated my life, hated myself and hated everyone around me.”

‘I’ve been my own victim’

News that the kidnappers might one day be released horrified many survivors. Over the next 30 years, Jodi Heffington Medrano – the big-sister figure on the bus – traveled to virtually every parole hearing to try to ensure they stayed behind bars.

But each hearing reopened painful wounds for Heffington Medrano, her son Matthew Medrano recalled in “Chowchilla.”

“My mom talked about how she didn’t feel safe around men, her depression, her struggle with addiction issues,” he said.

Park, meanwhile, was searching for a way out of his fury. “I decided to pray,” he explained. “I said, ‘God forgive them, because I can’t. God bless them, because I can’t.’”

Larry Park - CNN

He also participated in what’s known as the restorative justice process, which helps crime victims speak with their perpetrators to try to gain closure.

“So I got to go in, and I said, ‘I was your victim for 36 hours. And for the last 38 years, I’ve been my own victim.’ I told them that I forgave them,” Park said. “But forgiving them wasn’t enough. I had spent my lifetime hating them. And so I asked for their forgiveness.”

Park then began speaking out in support of parole – a stance many other survivors vehemently opposed.
‘It’s all my fault they’re getting out’

The kidnappers were repeatedly denied parole until the 2010s, when supporters of their release – including retired judge William Newsom, the father of California’s current governor – publicly advocated for the kidnappers’ parole.

“Nobody was physically injured – huge factor in the case,” the elder Newsom said at a news conference, according to the documentary.

A former detective who’d helped in the prosecution of the kidnappers also later spoke out in favor of their release. “He was one of the people who assured us they would never get out,” Carrejo Labendeira said.

But they did.

In 2012, Richard Schoenfeld, the youngest kidnapper, was released on parole.

Three years later, James Schoenfeld was also released on parole.

Fred Woods, Richard Schoenfeld and James Schoenfeld - California Department of Corrections/AP

“Jodi went into a huge depression,” Carrejo Labendeira recalled. She would say, “‘Lynda, it’s all my fault. It’s all my fault they’re getting out.’”

Soon afterward, Heffington Medrano “couldn’t get out of bed no more. She was so weak because she was just drinking so much,” her son said, sobbing. “She wouldn’t eat because she was so depressed. And she basically just couldn’t process life the way she was supposed to.

“My mom did her best for as long as she could.”

Heffington Medrano died in 2021 at age 55. Her cause of death was not publicly released. But “it was their f*cking fault,” her son asserted.

A year later, the final kidnapper, Fred Woods, was also released on parole. He now regrets the emotional and physical harm caused by the kidnapping, his attorney Dominique Banos told CNN.

“Mr. Woods is truly sorry and remorseful for the mental and physical suffering experienced by the victims because of what they endured,” wrote Banos, who started representing Woods in 2017.

An attorney who represented the Schoenfeld brothers has told CNN, “There’s no justifying this crime, obviously.” But after decades in prison, he said, the kidnappers no longer posed a danger to society.
‘You don’t give up. You keep digging’

Decades later, Marshall is starting to be recognized for his valor – a change that’s boosted him immeasurably, he said. He and Park recently reunited for the first time since 1977.

The two men embraced, and Park called Marshall his “hero.”

“I didn’t realize how much it would help me to understand and to actually hear one of the kids tell me that I saved their lives and that they were grateful,” Marshall said. “Not very many people can relate.”

Mike Marshall - CNN

As a group, the kidnapping victims have been instrumental in teaching the public that childhood trauma doesn’t just cause physical harm – and can fester beyond imagination, Terr said.

“Chowchilla children are heroes,” she said in the CNN Film. “And they continue to teach us what childhood trauma is 46, 47, 48, 50 years after the fact.”

In the end, Park said, Marshall’s courage and strength in those dark hours played an enormous role in helping him persevere after decades of trauma, depression and self-hatred.

“I never gave up – not completely,” he said, “because I was taught, at 6 years old by a 14-year-old boy: You don’t give up. You keep digging.”

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Trump Says if Jesus ‘Came Down’ He’d Win the Blues States in Unhinged Iowa Speech

JESUS IS A GODDAMN LIBERAL

Althea Legaspi

ROLLING STONE
Sat, December 2, 2023

Donald Trump was in Iowa on Saturday for two campaign stops, the first in Ankeny, followed by a stop in Cedar Rapids. And his obsession with the 2020 election continues to be a subject he seems to think is crucial as he campaigns to win the Republican presidential nomination, despite his position being unsubstantiated time and again. His fixation appeared to be a strategy to sow doubt should the 2024 election not go his way.

During his “Commit to Caucus” speech in Ankeny, he went over similar tropes he’s been touting throughout his campaign, calling media “fake news” and reiterating his false claim that the 2020 election was stolen when President Biden was rightfully declared president. “The one thing they don’t want to talk about is the [2020] election. They are guilty as hell, they cheated like hell,” Trump claimed, presumably of everyone who correctly recognized and validated the actual election results. “They know it, and you’ll never find out all the ways. But we don’t need all the ways because, you know, it was, I think 22,000 votes separated it, and we have millions and millions of votes. It’s a very sad thing.”

He then appeared to encourage the crowd to pursue voter intimidation and election interference while comparing the United States to a third world country: “So the most important part of what’s coming up is to guard the vote. And you should go into Detroit and you should go into Philadelphia and you should go into some of these places, Atlanta —  and you should go into some of these places, and we got to watch those votes when they come in, when they’re being, you know, shoved around in wheelbarrows and dumped on the floor and everyone’s saying what’s going on? We’re like a third world nation, a third world nation. And we can’t let it happen.”

At his Cedar Rapids event dubbed his “Save America” rally that followed, Trump homed in on attacking “crooked” President Biden while continuing to harp on his unsubstantiated claim that the 2020 election was rigged and even further, that Jesus and God would declare him a winner now. “I think if you had a real election and Jesus came down and God came down and said, ‘I’m gonna be the scorekeeper here,’ I think we’d win there, I think would win in Illinois, and I think it we’d win in New York.”

“I got indicted four times because I’m questioning a crooked election,” Trump later added per his own assessment of his alleged crimes. “But we’re not questioning it. We know the results, we know. And when we go through courts — if we ever even have to do it because you have presidential privilege. And also, if we ever, we should never have to do that, but if we do, we want to redo the election — only from the standpoint we want that election, we want to look at it very carefully. We have so much information. There was so much corruption in that election.”

He also claimed that he invented the word “caravan” again, for some reason, and also inexplicably claimed that he saved Obamacare. He concluded by saying that his was “one of the great presidencies,” and claiming that even his opponents have said so.

In the ultimate irony, Trump early on accused his opponents of “waging an all-out war on American democracy.”

“You look at what they’ve been doing, and becoming more and more extreme and repressive. They have just waged an all-out war with each passing day,” the man who has torn the country apart claimed.

While Trump stumped in Iowa, so did Ron DeSantis, where he appeared in Sioux City. DeSantis, once thought to be Trump’s biggest challenger continues to lag in the polls with a widening gap between him and poll-leading Trump in the last few weeks before the caucuses. DeSantis has been endorsed by Iowa Governor Kim Reynolds and evangelical leader Bob Vander Plaats.

Dozens of Troops Suspected of Advocating Overthrow of US Government, New Pentagon Extremism Report Says

Konstantin Toropin
Fri, December 1, 2023 


An annual Pentagon report on extremism within the ranks reveals that 78 service members were suspected of advocating for the overthrow of the U.S. government and another 44 were suspected of engaging or supporting terrorism.

The report released Thursday by the Defense Department inspector general revealed that in fiscal 2023 there were 183 allegations of extremism across all the branches of military, broken down not only into efforts to overthrow the government and terrorism but also advocating for widespread discrimination or violence to achieve political goals.

The statistics indicate the military continues to grapple with extremism following its public denunciations and a stand-down across the services ordered by Defense Secretary Lloyd Austin in 2021. Furthermore, the numbers do not make it clear whether the military's approach is working. In 2021, the year the data was first released to Congress, there were 270 allegations of extremist activities. In 2022, that figure dropped to 146 before rebounding over the past year.

The Army had the most allegations in fiscal 2023 with 130 soldiers suspected of participation in extremist activity. The Air Force suspected 29 airmen; the Navy and Marine Corps reported 10 service members each. For the first time, the inspector general also reported numbers for the Space Force as a separate entity from the other services -- it suspected four Guardians of extremism.

The IG report also included instances of alleged criminal gang activity: There were 58 allegations of gang activity across the military.

However, the report did note that, out of all the suspected extremism and criminal gang activity, 68 of the total cases were investigated and cleared or deemed unsubstantiated.

In the U.S., extremist activity, including neo-Nazi, white supremacist and anti-government movements, has been growing, and numerous violent plots by veterans and even active-duty troops have been thwarted in recent years. Experts on extremist movements have warned about the growing potential of more violence and future attacks, similar to the Oklahoma City federal building bombing in 1995 that killed 168 and was carried out by an Army veteran.

In February, a former National Guardsman, Brandon Russell, who founded the Atomwaffen Division, a neo-Nazi hate group, was charged with plotting to blow up Baltimore's electrical grid and cause as much suffering as possible. Russell, who allegedly kept a framed photo of Oklahoma City bomber Timothy McVeigh, was sentenced to five years in prison in 2018 after an arrest in Florida for possessing explosives.

In the wake of the Jan. 6 siege of the U.S. Capitol building, the Pentagon tried to make a show of dealing with the problem of extremism among troops after it became clear that veterans as well as some active-duty troops were among the mob that stormed the halls of Congress in an effort to halt the certification of the 2020 election.

Military.com has reported that many of those efforts -- including the military-wide extremism training stand-down ordered by Austin -- were largely symbolic and were widely considered as just another box for commanders to check.

One active-duty noncommissioned officer said that, aside from the fact that no one was paying attention at the stand-down briefing he attended, the commander giving the lecture was "talking about what he thought were radical groups like Black Lives Matter."

The idea that far-left groups are just as problematic as far-right ones is a popular talking point among conservatives and Republican lawmakers. However, law enforcement officials and experts who study the topic have consistently noted that far-right groups espousing anti-government and white supremacist views are the biggest threat to the U.S. today.

The report also revealed that other efforts such as screening prospective recruits before enlistment are not working as well as intended.

Some recruiters did not complete all of the screening steps and "as a result, military service recruiters may not have identified all applications with extremist or criminal gang associations," according to the inspector general report.

"Further, the audit found that one military service entered data indicating applicants disclosed extremist or gang associations even though the applicants had not made such disclosures," the IG said, but it did not reveal which of the services falsely accused some of its recruits of having extremist ties.

What the report does make clear, however, is that when allegations are made, they are being referred for investigation, and when allegations are substantiated, some action is taken.

Of all the extremist and gang activity allegations, 135 were reported to military or civilian law enforcement, and 109 of the allegations were reported to another DoD organization or official.

Furthermore, 69 of all the allegations were substantiated at the time the report was written and the vast majority of those -- 50 -- were handled through administrative actions. That included involuntary discharge for 19 and counseling in three instances, while 17 more were handled by nonjudicial punishment and two went to court-martial.

There were no substantiated cases of extremism or gang activity where no action was taken.

While these figures, compared with the overall size of the services, are small, research and experts say that military service members and veterans pose an outsized danger to communities when they go down the path of extremism, given their increased familiarity with firearms and ability to organize and plan effectively.

In 2020, an Air Force sergeant at Travis Air Force Base in California pulled up to a federal courthouse in Oakland, California, in a white van and opened fire on security guards, killing one before going on the run and murdering a county sheriff's deputy a week later as part of a larger plan to incite a civil war.

Also in 2020, members of a group that included two Marines and styled itself as a "modern day SS" were arrested on allegations that they were plotting to destroy the power grid in the northwest. U.S. court records in that case say members discussed recruiting other veterans, stole military equipment, asked others to buy explosives, and discussed plans to manufacture firearms.

-- Konstantin Toropin can be reached at konstantin.toropin@military.com. Follow him on X at @ktoropin.

Related: What the Pentagon Has, Hasn't and Could Do to Stop Veterans and Troops from Joining Extremist Groups


Problems persist with how services report extremism, DOD watchdog says

Nikki Wentling
Fri, December 1, 2023 

Manuel Balce Ceneta

The Defense Department investigated 183 allegations of extremist activity among service members in the past year, including 78 cases of troops advocating for the overthrow of the U.S. government, according to a report published Thursday by a Pentagon watchdog.

New findings from the Pentagon’s Office of Inspector General reveal DOD investigated 37 more cases of extremism this year than in 2022, which was the first year the IG issued a report on the subject. Congress mandated in 2021 that the IG annually gauge how effectively the Defense Department prevents and responds to extremist activities in the ranks.

The report’s findings show ongoing issues with how the services track and report data, which in turn makes measuring the military’s response challenging. While the Army, Navy and Air Force reported the number of allegations that were investigated, the departments did not track how many allegations of extremist activity were received but not investigated, the IG found.

“Tracking of allegations not referred for inquiry or investigation is challenging, impacting data accuracy,” the IG’s office said in a news release Thursday. “The report highlights ongoing challenges in compiling and validating data, emphasizing the need for consistent implementation of data collection.”

Earlier this year, the IG’s office found that the Army, Navy and Air Force each had a different reporting structure and used different electronic systems for reporting allegations of extremism.

The Army uses several independent databases to collect information, “making it impossible to track” the number of allegations that weren’t referred for investigation, the report states.

The Air Force also lacks a single reporting system, and the Air National Guard was inconsistent at reporting allegations it received because of the complexity of cases in which members weren’t activated at the time of the alleged misconduct.

The Navy said reporting the data to the IG was “time consuming” and that multiple policies “created confusion.” The sea service also cited concerns about compromising the privacy of troops.

All services are in the process of implementing a standardized system to streamline how data is collected and reported, the analysis said. The new process includes notifying the IG’s office about new allegations and reporting whether the allegations are referred for investigation.

The system is also designed to notify the IG about decisions on whether the allegations are substantiated and what punishments are doled out. The report didn’t say when that new process is expected to go into effect.

Though the information was difficult to compile and validate, the IG’s office did report a breakdown of allegations that were investigated from Oct. 1, 2022, through Sept. 30, 2023. During that period, the Defense Department investigated 58 allegations of gang activity, in addition to the 183 cases of extremism.

Of those 275 total allegations, 68 were not substantiated and 136 are open cases. Sixty-nine of the allegations led to service members receiving some sort of punishment, including two courts-martial and 19 involuntary discharges. The report did not specify what types of allegations led to disciplinary measures.

In addition to the 78 allegations involving troops wanting to overthrow the US government, the 183 cases of extremist activity included 44 instances of service members advocating for terrorism and 22 cases of service members advocating for or committing violence to achieve political, religious or discriminatory goals.

Three allegations were made about troops advocating for or committing violence to deprive people of their rights, and 32 allegations centered on troops advocating for widespread discrimination of people based on race, religion, sex, gender identity or sexual orientation.

The final four allegations involved service members encouraging other military personnel or DOD civilians or contractors to break the law or disobey orders in order to disrupt military activities.

This story was produced in partnership with Military Veterans in Journalism. Please send tips to MVJ-Tips@militarytimes.com.

A Labour government would consider new powers to prevent UK ‘banking deserts’


Patrick Daly, PA Political Correspondent
Thu, 30 November 2023

Labour is considering bringing in powers that would prevent communities being left in “banking deserts” if it wins the next election.

The party has pledged to bring banks back to British high streets after a series of closures in recent years as customers switch to online and telephone banking.

Labour plans to accelerate the rollout of so-called banking hubs where people can deposit and take out cash, as well as access wider banking services.

Officials said the party would be working with banks on the proposal but Sir Keir Starmer’s outfit is prepared to bring in new powers for the financial services regulator to prevent areas becoming “banking deserts”.

The Opposition party said extra controls could allow the Financial Conduct Authority to step in and stop people being left without access to face-to-face services.

Shadow chancellor Rachel Reeves said: “Labour’s plan will bring banking services back to communities who have seen them disappear over recent years, meaning more people across the country will be able to access the services they need closer to home.

“Labour will tackle ghost high streets and ensure that every community has access to high street banking services.”

Labour believes its policy proposal could see at least 350 banking hubs established on local high streets.

With the hubs designed to be shared by major banks, customers from almost every bank will be able to use them, it said.

The boss of the Post Office suggested his organisation is well placed to support any expansion of banking hubs.

Shadow chancellor Rachel Reeves (James Manning/PA)

Chief executive Nick Read said: “Post Office handles over £3 billion of cash every month and, as the operator of all the existing banking hubs, is best placed to lead their expansion across the UK, thanks to our customer-facing postmasters and our dedicated cash supply chain.”

The Treasury has been approached for comment.

Citing data from consumer group Which?, Labour said almost half of bank branches in the UK have shut in the eight years since the Conservatives won a majority in 2015, with about 3,200 remaining in England.

Regions such as the South West of England and Yorkshire have lost nearly two-thirds of their bank branches, according to Which?

On Thursday, Lloyds Banking Group announced it is shutting another 45 branches across its network and the Halifax and Bank of Scotland brands.

The news came a week after NatWest Group said it plans to shut 19 branches, mostly in the early part of next year.

The Conservatives said Labour had not explained how it would pay for the banking hub rollout.

Bim Afolami, Economic Secretary to the Treasury, said: “Another day, another example of Labour taking the easy way out and just saying what they think people want to hear — without saying how they would pay for it.

“Their sums don’t add up: Keir Starmer is claiming Labour can afford to launch new banking hubs, scrap business rates which would cost tens of billions of pounds, borrow £28 billion more every year, cut people’s taxes and somehow keep debt falling.

“This is simply not possible – they are not being straight with the public.

“The Conservatives are taking the long-term decisions to strengthen the economy, including ensuring that people, wherever they live, can access banking and cash services.

“This includes working with banks to roll out banking hubs across the country whilst ensuring access to banking services is available in almost 12,000 Post Office branches.”

Labour’s blueprint to restore banking facilities to the high street follows the publication by the party this week of its Plan For Small Business.

Ben Houchen to strike deal with US company to develop mini-nukes in the North East UK

Jonathan Leake
Thu, 30 November 2023 

Lord Houchen said the project will be ‘completely privately funded’, without taxpayer subsidies - Danny Lawson/PA

The mayor of Tees Valley is on the cusp of striking a deal with a US nuclear power company to build small modular nuclear reactors (SMRs) in northeast England.

Lord Houchen is poised to sign an agreement with Westinghouse to allow the manufacturer to develop four mini-nukes near the mouth of the River Tees, close to the existing Hartlepool nuclear power station.

SMRs are far smaller than conventional nuclear reactors and can be built in factories rather than being assembled on site.

Developers claim this new approach will make construction faster and cheaper, although none have yet been built in Britian.

Lord Houchen said: “Our region now is home to the UK’s largest and first operational freeport, attracting billions of pounds in investment and securing thousands of jobs for local people.

“That new industry will need energy, and now we have a real chance of Teesside leading the way in the UK for the roll out of SMRs.”

The announcement comes as the UK government prepares to publish its long-awaited nuclear roadmap, which will set out plans to build a new generation of nuclear reactors, both large and small, at sites around the UK.

The Teesside plan has been developed separately by a group of nuclear engineers and investors whose company, Community Nuclear Power, has won the backing of both Westinghouse and Tees Valley Combined Authority.

Paul Foster, Community Nuclear Power’s chief executive, said: “This project brings together Westinghouse’s proven technology and mature supply chain with our depth of expertise in nuclear programme delivery, in a region that is transforming its industrial landscape.”

Three sites are expected to host the SMRs, including the former Redcar steel works, the ICI Wilton chemical works site and one next to the existing Hartlepool nuclear power station.

Lord Houchen has said the four reactors are expected to cost less than £10bn and generate 1.2 gigawatts of power – enough for 1.6m homes.

He also said the project will be “completely privately funded”, without taxpayer subsidies.

Tom Greatrex, chief executive of the Nuclear Industry Association said: “Nuclear has to be the foundation of the UK’s future energy system. It is our only source of clean, reliable, and sovereign power, and according to the UN, it has the lowest carbon footprint of any electricity source.”

Industry analysts are also cautiously positive, Cornwall Insight analyst Tom Edwards said SMR sites are needed to prove whether the technology works.

He said: “The key benefit here is the scalability of the technology.”

A Department for Energy Security and Net Zero spokesperson said: “We are expanding UK nuclear power as part of our ambition to reach up to 24GW by 2050 – small modular reactors will help deliver cheaper, cleaner and more secure energy for families and businesses across the UK.

“This agreement showcases the potential of SMR technologies in supporting local jobs and growing the UK economy and we will soon be consulting on alternative routes to market for private sector projects.”

X /Twitter on the brink as Elon Musk falls down conspiracy rabbit hole


Matthew Field
Thu, 30 November 2023

Twitter

With Twitter losing advertisers left and right because of Elon Musk’s tweets, contrition from the billionaire would have been expected.

Yet on stage at an event in New York this week, he was anything but. Musk had a blunt three word missive for companies that had stopped advertising with his social network: “Go f— yourself.”

Speaking at a New York Times event before an audience of business executives and billionaires, the Twitter chief accused companies of trying to “blackmail” him and suppressing free speech.

Musk waved to Bob Iger, the Disney chief executive sitting in the audience who is among those to have stopped advertising on the social network.

“Hey Bob, if you’re in the audience,” Musk said after his expletive. “That’s how I feel: don’t advertise.”

The defiance has stunned the business world. Any hope of the advertising boycott reversing now looks vanishingly slim.

Musk’s outburst will also lead to renewed questions about the future of Twitter, since rebranded as X, under his ownership.


Since his $44bn takeover a little more than a year ago, Musk has overseen the destruction of more than half of the company’s value. After burning any remaining bridges with adland this week, how much longer does Twitter have before it runs out of road?

Twitter’s ad boycott stems from the man at the top. Companies have become increasingly concerned about Musk’s approach to tackling hate speech, his impulsive personal use of the social network and his endorsement and boosting of conspiracies and anti-Semitism.

Musk’s increasingly erratic online remarks have included calling an anti-Semitic conspiracy “the actual truth” and this week posting, then deleting, a meme related to the “Pizzagate” conspiracy – a bizarre and false claim that Democrat politicians ran a child abuse ring from beneath a pizza restaurant.

Advertisers are fearful of the impact of their brands appearing near objectionable content and have quit in droves.

Speaking at the New York Times event prior to Mr Musk’s appearance, Disney chief Iger said: “By him taking the position he took, we felt that the association with that position, and Elon Musk and X, was not a positive one for us.”

He refused to be drawn on whether Disney would return to the platform.

Other major advertisers that have quit include Sky-owner Comcast, Coca Cola, IBM, Warner Bros Discovery and Apple.

Disney chief executive Bob Iger spoke at the same event at which Elon Musk rebuffed the ad boycott and outlined the logic behind the move - Michael M. Santiago/Getty Images

Market intelligence company Sensor Tower estimates that around half of Twitter’s top 100 advertisers have stopped advertising on the site completely since Musk’s October 2022 takeover. The list of brands that remain, which includes Amazon and Mondelez, is growing shorter by the day.

The Telegraph this month revealed that the UK Government has also stopped advertising on the site, echoing similar moves by the European Commission. Musk’s “actual truth” remark prompted a rare direct criticism from the White House.

Musk has expressed regret for the tweet, calling it the “dumbest post that I’ve ever done”.

“I arguably handed a loaded gun to anti-Semites,” he said. “For that I am quite sorry, that was not my intention.”

But he has also sought to downplay his incendiary style, saying: “Once in a while I will say something foolish”.

The F-bomb he dropped on stage has only worsened his pariah status in adland.

Paul Bainsfair, director general of the IPA, which represents British ad agencies, says Musk’s comments were the “exact opposite of the reassurance that advertisers and their agencies are looking for”.

“Twitter was once a highly regarded platform by our industry… Given recent activity, however, is it a surprise that some advertisers are responding directly to Musk’s words and actions?”

One industry source says the reaction to Musk’s comments was “incredulity”, adding: “He’s basically sacking off the platform – intentionally or otherwise.”

Musk’s outbursts have yet again undermined the efforts of his recently-installed chief executive Linda Yaccarino to repair relations between Twitter and advertised.

Twitter chief executive Lind Yaccarino's effort to draw advertisers back to the platform are being derailed by Elon Musk's outbursts - Slaven Vlasic/Getty Images

A former advertising bigwig at NBCUniversal, Yaccarino has recently launched a charm offensive in a desperate bid to win back brands’ trust.

Earlier this month she flew to London to woo executives in Soho, meeting with figures including Mark Read, chief executive of WPP.

In an effort to smooth over relations following Musk’s comments, Yaccarino on Thursday said: “X is standing at a unique and amazing intersection of Free Speech and Main Street.”

For his part, Musk has argued that concerns about his tweets and, more broadly, hate speech on the platform are overblown.

He has accused campaign groups of driving away advertisers and is suing activist groups Media Matters and the Centre for Countering Digital Hate.

Musk has also been critical of the Anti-Defamation League, the US group that campaigns against anti-Semitism.

The billionaire this week argued that he should be judged by his actions – such as the success of Tesla or Starlink – rather than off-colour remarks online. “I see a lot of people who care about looking good while doing evil, f--- them,” he added.

Despite Musk’s huge personal wealth, Twitter is now in a precarious financial position. The billionaire vastly overpaid for the social network, valuing it at $44bn at a time when technology stocks were plunging.

In October, he estimated it was worth closer to $19bn.

Musk has tried to encourage Twitter users to pay a monthly fee for the site to drive new revenue streams. Yet it is not enough to offset the advertising exodus. The billionaire estimates Twitter will draw in $3bn this year, down from $5bn in 2021.

The takeover has loaded up Twitter with debt – around $13bn – and Musk owes roughly $1.5bn a year in interest payments to a series of banks.

Musk could continue to use his vast pool of Tesla stock – worth some $100bn – to prop up the company, but he previously said he would not sell any more stock for two years.

Bruce Daisley, the former head of Twitter in the UK, says: “They’re losing more money and internally they’ve already started talking about another round of job cuts.”

The exodus of advertisers threatens to “kill the company”, Musk said on stage, adding: “The whole world will know that those advertisers killed the company.”

Industry watchers speculate that Musk knows Twitter is in its death spiral and the only thing left to do is blame boycotting brands.

“Musk seems to be preparing everyone for him calling it a day,” says Daisley. “He doesn’t want failure to be pinned to him so he’s ready to blame Disney and global brands: ‘Look what you made me do.’”

A BP case study: time to end FTSE 100 share buybacks?


James Beard
Fri, 1 December 2023 

Share buybacks are in fashion. According to AJ Bell, at 30 September 2023, 37 FTSE 100 companies had announced £46.6bn of them during the first nine months of the year.

It’s expecting the total for 2023 to be the second-highest on record, beaten only in 2022 (£58.2bn).
Good in theory

A share buyback has the effect of increasing earnings per share (EPS).


And because nothing has changed that will affect the financial performance of the company, the price-to-earnings (P/E) ratio should remain the same.

Therefore, in theory, the share price should increase as illustrated below.

Measure

No action

Repurchase shares (cost £50m)


Earnings (£)

10m

10m


No. of shares in issue

20m

10m


Earnings per share (£)

0.5

1


P/E ratio

10

10


Share price (£)

5

10

Not so good in reality

In my opinion, this is all smoke and mirrors.

In the example, the company spent £50m of its cash that it will never get back. The value of the business should therefore go down.

In reality, a share buyback is no different to paying a dividend. But instead of giving surplus cash to shareholders, it’s spent on stock. When a share goes ex-dividend, its price falls as new holders are not entitled to the payout.

The management team will claim that a buyback is good for the owners of the business but, in my opinion, all it’s doing is increasing EPS, which is to their benefit.

Let’s look at a real example.

On page 115 of the 2022 BP (LSE:BP.) annual report, the oil giant reveals that part of the remuneration of its senior executives will be based on the growth rate of adjusted EBIDA (earnings before interest, depreciation, and amortisation) per share.

No wonder the board like share buybacks so much.

From 1 January to 24 November 2023, the company spent $7.66bn buying 1.22bn of its own shares. At current exchange rates, that’s an average of 498p a share. Not a good deal considering its current share price is around 475p.
Other ideas

If I was a shareholder, I’d rather have a bigger dividend.

This year’s payout is likely to be at least 28.42 cents (22.46p). However, the company could have increased this by 33.3p a share if it stopped buying its own shares and used the money to boost the dividend.

As a consequence, the current yield would increase from 4.7% to 11.8%.

I’m sure that would drive the share price higher.

The last year in which BP didn’t repurchase any of its shares was in 2015. Instead, shareholders received cash of 26.39p — more than they are going to get in 2023.

BP halved its dividend in 2020, blaming the pandemic. But it’s still well below its pre-Covid levels.
Forever in debt

Another way that BP could increase shareholder value is to use the money to pay down its debt, the size of which has been a concern for some investors.

At 31 December 2022, it had borrowings of $46.9bn. Reducing this by around 15% would significantly improve the company’s balance sheet. And earnings would increase due to lower interest payments.

After studying 250 companies in the S&P500 between 2004 and 2014, McKinsey & Co found there was “no correlation” between the level of share purchases and the total return to shareholders.

The research concluded that cash flow generates value, irrespective of how it’s returned to the owners.

Therefore, in my view, the time has come to end share buybacks and focus on creating real shareholder value.

The post A BP case study: time to end FTSE 100 share buybacks? appeared first on The Motley Fool UK.

UK
'Santa' and 'elf' job listings down from 2022 as retailers expect slower Christmas


Daniel O'Boyle
Fri, 1 December 2023 

The number of job listings for the roles of “Santa Claus” and “Elf” is down compared to 2022, in a sign the retail sector is expecting lower footfall this Christmas (Getty Images for Hamleys)

The number of job listings for the roles of “Santa Claus” and “Elf” is down compared to 2022, in a sign the retail sector is expecting lower footfall this Christmas.

According to jobs platform Indeed, listings are down 15% from 2022, as cost of living pressures threaten to spoil the Christmas cheer this year.

But the number of jobs advertised is still above pre-pandemic levels.

Indeed’s senior UK economist Jack Kennedy added that, while overall listings have been down, retailers started their search for Father Christmas earlier this year.

“That’s possibly a reflection of the fact that hiring conditions have been challenging. So perhaps they felt that it would be prudent to get all their ducks in a row early on.”

Kennedy said Santa jobs are typically listed at around £14 an hour, but a handful were paying significantly more.

“The highest I saw was about £27 an hour at a garden centre,” he said.

Average pay is up by 4.2%, but that’s well below the 7.7% average wage growth across the nation. It's also not enough to keep up with increases in the price of a mince pie, carrot and a glass of brandy, which have risen by about 15% since last Christmas, official figures suggest.

Overall, seasonal jobs are down by 19% on last year, while searches for roles over the Christmas period are up.

Kennedy said: “Christmas hiring is peaking as we approach the holidays. Strong seasonal job interest potentially reflects cost-of-living pressures, prompting more people to look to earn extra money over the festive period.

“However, workers may find themselves facing holiday hurdles when it comes to securing a role, with jobseeker interest in seasonal roles exceeding employer demand. With retail sales down at present, employers appear more cautious this holiday season.”

More UK  households turning to debt to pay for essentials, survey shows

Anna Wise, PA Business Reporter
Fri, 1 December 2023 


Nearly a fifth of households in Britain owe money after missing a repayment on credit or a loan, as consumers turn to debt to fund everyday expenses, new research has revealed.

Families in serious financial difficulty are increasingly taking on debt to pay for essentials, according to a survey from the Abrdn Financial Fairness Trust and the University of Bristol.

It comes as the cost of living continues to rise, with food prices still more than a 10th higher last month than the same time last year, according to official figures.

The survey found that 16% of households owe money due to missing at least one payment on a credit commitment, which can include a credit card, personal loan, motor finance, and buy-now-pay-later.

It is higher than the 11% who said so in a survey conducted in May this year.

Nearly two thirds of all households across the UK have some consumer debt, the survey of about 5,600 adults showed.

But middle-income households, incorporating the middle 20% of incomes among working-age households, were more likely to owe at least £5,000 across their various forms of credit than those on the lowest 20% of incomes.

It suggests the total amount of credit owed does not always relate to the level of financial difficulty that households experience – with people often using credit cards for benefits such as building credit scores and benefiting from cashback and rewards.

Meanwhile, the survey found that around 15% of households in Britain have borrowed money in the past month to cover everyday expenses such as food and bills, up from the 13% who said so in May.

The figure rises to 35% of those who are in financial difficulty.

Karen Barker, head of policy and research at Abrdn Financial Fairness Trust, said: “It is particularly worrying that many in serious financial difficulties continue to take on debt just to pay for essentials.

“This group is also more likely to borrow from friends and family, meaning their loved ones may be going without to help keep them warm and fed.”

She added that energy bills are set to rise from January, adding to the risk of those in serious financial difficulty being “forced to fall even further into debt to stay afloat”.