Category: Business

  • MIL-Evening Report: Trump is ruling like a ‘king’, following the Putin model. How can he be stopped?

    Source: The Conversation (Au and NZ) – By William Partlett, Associate Professor of Public Law, The University of Melbourne

    A month in, and it is clear even to conservatives that US President Donald Trump is attempting to fundamentally reshape the role of the American president.

    Trump and his supporters sees the natural authority of the American president in broad terms, similar to those of the Russian president, or a king. Trump, in fact, has already likened himself to a king.

    This desire to “Russify” the presidency is not an accident: Trump and many of his supporters admire the king-like power that Vladimir Putin exercises as Russian president.

    Understanding how Trump is attempting to transform presidential power is key to mobilising in the most effective way to stop it.

    Decrees by a ‘king’

    Russia’s system of government is what I call a “crown-presidential” system, which makes the president a kind of elected king.

    Two powers are central to this role.

    First, like a king, the Russian “crown-president” does not rely on an elected legislature to make policy. Instead, Putin exercises policy-making authority unilaterally via decree.

    Putin has used decrees to wage wars, privatise the economy and even to amend the constitution to lay claim to the parts of Ukraine occupied by Russia since 2014.

    He has also used these decrees in a performative way, for example, by declaring pay raises for all Russian state employees without any ability to enforce it.

    Over the last month, Trump has made similar use of decrees (what the White House now terms “presidential actions”).

    He has issued scores of presidential decrees to unilaterally reshape vast swathes of American policy – far more than past presidents. Trump sees these orders as a way of both exercising and demonstrating his vast presidential power.

    Control over the bureaucracy

    Second, like a king, Putin does not allow the Russian legislature to use the law to organise the executive branch and create agencies independent of presidential control. Instead, he has unquestioned dominance over both the organisation and staffing of the executive branch. This has given him vast power to dominate politics by controlling information gathering and legal prosecutions.

    A similar push is underway in the United States. Trump has appointed key loyalists to head the Department of Justice and Federal Bureau of Investigation.

    Moreover, he is seeking to restructure the executive branch by abolishing some agencies altogether and vastly reducing the size of the workforce in others.

    Can the courts stop Trump?

    Trump’s attempt to Russify the American presidency undermines the American constitutional order.

    Courts are the natural “first responders” in this kind of crisis. And many courts have blocked some of Trump’s early decrees.

    This legal response is important. But it is not enough on it own.

    First, the US Supreme Court might be more willing to accept this expansion of presidential power than lower courts. In a ruling last year, for example, the court granted the president immunity from criminal prosecution, showing itself to be sympathetic to broad understandings of executive power.

    Second, presidential decrees can be easily withdrawn and modified. This can allow Trump and his legal team to recalibrate as his decrees are challenged and find the best test cases to take to the Supreme Court.

    Third, parts of the conservative right have long argued for a far more powerful president. For instance, the idea of a “unitary executive” has been discussed in conservative circles for years. This essentially claims that the president should be able to direct and control the entire executive branch, from the bureaucracy to prosecutors to the FBI.

    These arguments are already being made to justify Trump’s actions. As Elon Musk has said, “you could not ask for a stronger mandate from the public” to reform the executive branch. These arguments will be made to courts to justify Trump’s expansion of power.

    Fourth, even if the Supreme Court does block some decrees, it is possible the White House will simply ignore these actions. We had an early glimpse of this when Trump posted that “He who saves his Country does not violate any Law”.

    Vice President JD Vance has also said judges “aren’t allowed” to block the president’s “legitimate power”.

    The importance of political mobilisation and messaging

    Trump’s aggressive use of presidential power is not just a constitutional crisis, it is a political one. For those seeking to resist, this is too important to just be left to the courts; it must also involve America’s key political institutions.

    The most obvious place to start is in Congress. Lawmakers must act decisively to assert the legal power granted to them in the constitution to check the power of the presidency. This would include active Congressional use of its budgeting power, as well as its oversight powers on the presidency.

    This could happen now if a few Republicans were to take a principled position on important constitutional issues, though nearly all have so far preferred to fall in line. Democrats could retake both branches of Congress in the midterm elections in 2026, though, and assert this power.

    The states can and should also act to resist this expansion of presidential power. This action could take many forms, including refusing to deploy their traditional police powers to enforce decrees they view to be unconstitutional or unlawful.

    In mobilising to defend the constitution, these institutions could appeal to the American people with more than the narrow legal argument that Trump’s acts are unconstitutional. They could also make the broader political argument that turning the American president into a Russian-style, elected king will foster a form of inefficient, unresponsive and corrupt politics.

    Or, in the words of The New York Times columnist Ezra Klein, “it’s the corruption, stupid”.

    Time is of the essence. Russia shows the more time a “crown-president” is able to operate, the more entrenched this system becomes. For those hoping to preserve American democracy, the time is now for not just legal, but political resistance.

    William Partlett does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    ref. Trump is ruling like a ‘king’, following the Putin model. How can he be stopped? – https://theconversation.com/trump-is-ruling-like-a-king-following-the-putin-model-how-can-he-be-stopped-249721

    MIL OSI AnalysisEveningReport.nz

  • MIL-Evening Report: Creative progress or mass theft? Why a major AI art auction is provoking wonder – and outrage

    Source: The Conversation (Au and NZ) – By Jessica Herrington, Futures Specialist, School of Cybernetics, Australian National University

    Thirty-four artworks created with artificial intelligence (AI) have gone up for sale at Christie’s in New York, in the famed auction house’s first collection dedicated to AI art.

    Christie’s says the collection aims to explore “human agency in the age of AI within fine art”, prompting viewers to question the evolving role of the artist and of creativity.

    Questions are not all the collection has prompted: there has also been a backlash. At the time of writing, more than 6,000 artists have signed an open letter calling on Christie’s to cancel the auction.

    What’s in the collection?

    Sougwen Chung’s Study 33 (2024) was created through a process that captured data from an EEG headset and a computer vision system tracking body movement and fed it to a painting robot called D.O.U.G._4.
    Sougwen Chung / Christie’s

    The Augmented Intelligence collection, up for auction from February 20 to March 5, spans work from early AI art pioneers such as Harold Cohen through to contemporary innovators such as Refik Anadol, Vanessa Rosa and Sougwen Chung.

    The showcased pieces vary widely in their use of AI. Some are physical objects, some are digital-only works – sold as non-fungible tokens or NFTs – and others are offered as both digital and physical components together.

    Some have a performance aspect, such as Alexander Reben’s Untitled Robot Painting 2025 (to be titled by AI at the conclusion of the sale).

    After generating an initial image tile, the work iteratively expands outwards, growing with each new bid in the auction. As the image evolves digitally, it is translated onto a physical canvas by an oil-painting robot. The price estimate for the work ranges from US$100 to US$1.7 million, and at the time of writing the bid sits at US$3,000.

    Alexander Reben’s Untitled Robot Painting 2025 involves art generated by AI and painted by robot as bids come in.
    Alexander Reben / Christie’s

    Claims of exploitation

    The controversy surrounding this show is not surprising. Debates over the creation of AI art have simmered ever since the technology became widely available in 2022.

    The open letter calling for the auction to be cancelled argues that many works in the exhibition use “AI models that are known to be trained on copyrighted work without a license”.

    Embedding Study 1 & 2 (from the xhairymutantx series) (2024) by Holly Herndon and Matt Dryhurst explores the concept of ‘Holly Herndon’ in generative AI models.
    Holly Herndon and Matt Dryhurst / Christie’s

    The letter says:

    These models, and the companies behind them, exploit human artists, using their work without permission or payment to build commercial AI products that compete with them.

    The models in question include popular image generators such as Stable Diffusion, Midjourney and DALL-E.

    The letter continues:

    [Christie’s] support of these models, and the people who use them, rewards and further incentivizes AI companies’ mass theft of human artists’ work.

    Copyright and cultural appropriation

    Refik Anadol’s Machine Hallucinations – ISS Dreams (2021) is a video work used an AI model trained on publicly available images taken from the International Space Station.
    Refik Anadol / Christie’s

    There are several attempts by artists to bring legal proceedings against AI companies underway. As yet, the key question remains unresolved: by training AI models on existing artworks, do AI models infringe artists’ copyright, or is this a case of fair use?

    Artists who are critical of AI are rightly concerned about losing their incomes, or their skills becoming irrelevant or outdated. They are also concerned about losing their creative community – their place in the creative ecosystem.

    Last year, Indigenous artists withdrew from a Brisbane art prize, highlighting concerns about AI and cultural appropriation.

    At the same time, many AI artists don’t use copyrighted material. Refik Anadol, for instance, has stated that his work in the Christie’s collection was made using publicly available datasets from NASA.

    How the ‘work’ of art is changing

    The Christie’s event occurs during a major shift in what it means to be an artist, and to be creative. Some participants in the show even question whether the label of “artist” is even necessary or required to make meaningful imagery and artefacts.

    Many non-artists may wonder – if AI is used, where is the real “work” of art? The answer is that many forms of work will look different in the age of AI, and creative endeavours are no exception.

    Creativity gave humans an evolutionary edge. What happens if society censors or undermines certain forms of creativity?

    Pindar Van Arman’s Emerging Faces (2017) was created via two AI agents: one attempted to generate images of faces, while the other stopped the process as soon as it recognised the image as a face.
    Pindar Van Arman / Christie’s

    Clinging to traditional ideas about how things are done ignores the bigger picture. When used thoughtfully, technology can stretch our creative potential.

    And AI cannot make art without human artists. Creating with new technologies requires context, direction, meaning, and an aesthetic sense.

    In the case of the Christie’s auction, artists are doing much more than typing in prompts. They iterate with data, refine models, and actively shape the end result.

    This evolving relationship between humans and machines reframes the creative process, with AI becoming more like a “conversational partner”.

    What now?

    Calling for the Christie’s auction to be cancelled may be shortsighted. It oversimplifies a complex issue and sidesteps deeper questions about how we should think about authorship, what authenticity means, and the evolving relationship between artists and the tools they use.

    Whether we embrace or resist AI art, the Christie’s auction pushes us to rethink artistic labour and the creative process.

    At the same time, Christie’s may need to take more care to produce collections that are sensitive to contemporary issues. Artists have real concerns about loss of work and income. A “move fast and break things” approach feels ill-suited to the thoughtfulness associated with artistic production.

    Harold Cohen’s Untitled (i23-3758) (1987) was produced with the groundbreaking AARON image-generating AI system.
    Harold Cohen / Christie’s

    Beyond protest, more education and collaboration is required overall. Artists who do not adapt to new technologies and ways of creating may be left behind.

    Equally important is ensuring AI does not diminish human agency or exploit creatives. Discussions around achieving sustainable and inclusive AI could follow other sectors focusing on equally sharing benefits and having rigorous ethical standards.

    Examples might come from the open source community (and organisations such as the Open Source Initiative), where licensing and frameworks allow contributors to benefit from collective development. And in the tech realm, some software companies (such as IBM) do stand out for their rigorous approach to ethics.

    Rather than cancelling the Christie’s auction, perhaps this is a moment for us to reimagine how we do creativity and adapt with AI.

    But are artists – and audiences – prepared for a future where the nature of being an artist, and creativity itself, is radically different?

    Jessica Herrington does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    ref. Creative progress or mass theft? Why a major AI art auction is provoking wonder – and outrage – https://theconversation.com/creative-progress-or-mass-theft-why-a-major-ai-art-auction-is-provoking-wonder-and-outrage-250157

    MIL OSI AnalysisEveningReport.nz

  • MIL-OSI USA: Lummis Demands Documents from Federal Reserve on Operation Chokepoint 2.0

    US Senate News:

    Source: United States Senator for Wyoming Cynthia Lummis

    Washington, D.C.— Senator Cynthia Lummis (R-WY), Chair of the Senate Banking Subcommittee on Digital Assets, issued a slew of document demands to the Federal Reserve Board of Governors and the Federal Reserve Banks of Dallas and Richmond regarding Operation Chokepoint 2.0 and digital assets.

    “The days of the Fed hiding its policy bias and mismanagement are over,” said Lummis. “Ensuring we have transparency in the digital asset space is integral to maintaining public trust and promoting responsible innovation in this rapidly evolving space. Congress has a constitutional duty to conduct thorough oversight, and Chairman Tim Scott and I are making sure the American people get the answers they deserve on Operation Chokepoint 2.0.”

    In her requests, Senator Lummis emphasized that claims of privilege or confidentiality do not exempt the Federal Reserve from Congressional oversight under Article I of the U.S. Constitution. The letters set a deadline of March 13, 2025 for production of documents.

    As Chair of the newly formed Subcommittee on Digital Assets, Senator Lummis has made oversight of federal regulators’ approach to digital asset innovation a top priority for the 119th Congress.

    Full text of the cover letter to the Federal Reserve Board of Governors can be found here.

    Full text of the cover letter to the Federal Reserve Board Inspector General can be found here.

    Full text of the letter to the Federal Reserve Bank of Dallas can be found here.

    Full text of the letter to the Federal Reserve Bank of Richmond can be found here.

    MIL OSI USA News

  • MIL-OSI Canada: Senior leadership appointment in the Government of Yukon public service

    Senior leadership appointment in the Government of Yukon public service
    zaburke

    Premier Ranj Pillai has made a senior leadership appointment. 

    Paul Moore’s appointment as interim Deputy Minister of Energy, Mines and Resources has been extended at pleasure for up to three months. The Energy, Mines and Resources portfolio will continue to be divided between the acting Deputy and interim Deputy Ministers.

    Moore will be responsible for Land Planning, Land Management, Agriculture, Energy, Geothermal and Petroleum Resources, Forest Management, Strategic Alliances, Policy, Human Resources, Communications, Finance and Information Management.

    Van der Meer will continue to be responsible for Mineral Resources, Yukon Geological Survey, Assessment and Abandoned Mines and Compliance, Monitoring and Inspection.  
     

    Backgrounder

    Paul Moore has many years of public service experience with municipal, First Nations and territorial governments including director of the Human Resource and Education for the Tr’ondëk Hwëch’in First Nation, and the chief administrative officer for the City of Dawson. He joined the Government of Yukon in 2008 as director of Community Affairs and then became assistant deputy minister of Community Development. He has served as the Deputy Minister for Community Services, Deputy Minister of Energy, Mines and Resources and most recently as the Public Service Commissioner. He holds a Bachelor of Arts from the University of Victoria and a Master of Arts in Conflict Analysis and Management from Royal Roads University.

    MIL OSI Canada News

  • MIL-OSI USA News: Press Briefing by Press Secretary Karoline Leavitt, Deputy Chief of Staff Stephen Miller, National Economic Council Director Kevin Hassett, and National Security Advisor Mike Waltz

    Source: The White House

    class=”has-text-align-left”>
    1:05 P.M. EST
     
         MS. LEAVITT:  Hello.  Good afternoon, everybody.  I brought some heavy hitters in here with me today. 
     
    Today marks one month of President Trump’s return to the Oval Office, and there is no denying this administration is off to a historic start.  The President has already signed 73 executive orders.  That is more than double the number signed by Joe Biden and more than quadruple the number signed by Barack Obama over the same period.
     
    These executive orders have ended burdensome regulations; sealed the border; unleashed our domestic energy sector; eliminated divisive DEI from our federal government; stopped the weaponization of government; cut waste, fraud, and abuse; reinstituted “America First” trade and foreign policies; and ultimately restored common sense. 
     
    The President also signed the Laken Riley Act into law, which ensures ICE will detain illegal aliens arrested or charged with theft or violence. 
     
    As of today, the Senate has already confirmed 18 Cabinet-level nominees, which is more than at this point under the Obama administration in 2009 and more than double the pace of the Biden administration in 2021. 
     
    And today, we expect Kash Patel to be confirmed as the next director of the FBI. 
     
    We are proud to announce that the president will host his first official Cabinet meeting here at the White House next Wednesday, February 26th. 
     
    In just four weeks, President Trump has already hosted the leaders of Israel, Japan, Jordan, and India.  And next Monday, the President will host France’s President, Emmanuel Macron, and on Thursday, the UK Prime Minister, Keir Starmer, will visit the White House as well. 
     
    As you all know, over the past month, the President has taken questions from the press — all of you — nearly every single day, sometimes on multiple different occasions in the same day, on any topic any of you wish to talk about. 
     
    President Trump set the tone on this approach immediately when he took more than 12 times the questions in his first few hours in office as Joe Biden did in his entire first week. 
     
    Yesterday, we hosted a local media row here at the White House with television and radio stations from across the country that reached up to 60 million viewers and listeners. 
     
    In our ongoing pursuit of transparency, on this one-month celebration, I am thrilled to bring three of my colleagues and our policy experts here at the White House to further recap this incredible first month of accomplishments in greater detail.
     
    We have Deputy Chief of Staff for Policy and Homeland Security Advisor Stephen Miller; the Director of the National Economic Council, Kevin Hassett; and our National Security Advisor, Mike Waltz. 
     
    I will hand it over to them.  They will deliver brief remarks on the accomplishments of this administration in the first month, and then we will open it up to Q and A.  When we open up the Q and A portion, I do ask, for the sake of efficiency in this room, that you direct your question to the principal you seek an answer from.  And I will call on you in this room.
     
    But first I will let them roll through their remarks.  And first up, I’ll turn it over to Stephen Miller.
     
    MR. MILLER:  Thank you.  It’s great to be back.
     
    And I want to just thank you all for joining today our one-month celebration of the most historic opening to a presidency in American history.  No president comes close to what Donald Trump has achieved over just the last 30 days.
     
    He has packed eight years of transformative action restoring this nation, restoring our laws, restoring fairness, restoring economic opportunity, restoring national security in just one month.  No one in this country has ever seen anything like it. 
     
    And when you look at the consequentiality and the significance and the transformative nature of the actions he’s taking, it truly defies description.  For example, in just one area, this nation has been plagued and crippled by illegal discrimination: diversity, equity, and inclusion policies.  It strangled our economy.  It has undermined public safety.  It has made every aspect of life more difficult, more painful, and less safe. 
     
    He has ended all DEI across the federal government.  He has terminated all federal workers involved in promulgating these unlawful policies.  He has ended diversity, equity, and inclusion in all federal contracting.  He has restored merit as the cornerstone of all federal policy; restored the full, fair, impartial enforcement of our federal civil rights laws for the first time in generations; and he has cracked down on individuals across this government and nonprofits who have engaged in illegal racial discrimination against the American people. 
     
    This includes making clear to every educational institution in this country that ending diversity, equity, and inclusion, ending unlawful race discrimination is a precondition of receiving federal funds. 
     
    He has also saved women’s sports by ending the participation of men in women’s sports.  He has ended radical gender ideology across the entire federal government, and he’s pressured the private sector to also end and combat radical gender ideology.  He’s reestablished the scientific and biological truth that there are only two sexes in this country — male and female — that those are biologically based determinations.  They are not based and can never be based on gender identity. 
     
    That includes rooting out of the Department of Defense all DEI policies, all critical race theory, all gender madness, and once again having a military that is focused solely and exclusively on readiness, preparedness, and lethality.
     
    As I’m sure Kevin will talk about more, of course, he has undertaken a historic cost-cutting effort across the federal government, launching the first-ever Department of Government Efficiency, uncovering corruption on a scale that we never thought imaginable, terminating every single federal worker that we — that we have found to be engaged in the corruption and theft and the waste of taxpayer dollars, and already saving $50 billion in a single year, which over a 10-year period would be $500 billion.  Just think about how vast and enormous that sum is. 
     
    Of course, as you all know, he has renamed the Gulf of Mexico to its correct and proper name: the Gulf of America.  He has renamed Mount Denali into Mount McKinley, part of a historic effort to restore patriotism and national pride all across this land. 
     
    He has ended the weaponization of the federal government, restored the Department of Justice to its true mission of combating threats to this nation and keeping the American people safe. 
     
    He has ended all federal censorship of free speech.  This has been one of the greatest crises that has plagued this nation.  Years and years and years, the federal government violating the First Amendment to take away Americans’ right of free speech — President Trump has ended that.  And he has demanded that all federal workers, all law enforcement cease any effort to intimidate the rights of Americans or to police their speech. 
     
    He has also restored the death penalty at the Department of Justice, including for illegal aliens who commit murder, including for those who murder cops, and including for all of those who threaten Americans with heinous acts of violence.  The death penalty is back.  Law and order is back.  The streets are being made safe once again. 
     
    On the public health front, he has launched the nation’s first-ever commission — the MAHA Commission — Make America Healthy Again, following the historic confirmation of RFK Jr., to finally uncover the true root causes of the public health crisis in this country, the childhood disease epidemic in this country, the spiraling rates of pediatric cancer and devastating childhood sickness. 
     
    He has finally created a situation where the federal heal- — health agencies in this country will be focused on preventing disease, on keeping children from getting sick in the first place, not sentencing them to a lifetime in and out of hospitals, suffering needlessly, when we can find ways to prevent this epidemic of illness. 
     
    Then, of course, on homeland security.  Today, it is officially the law of the land at the conclusion of the congressional notification process that six Mexican cartels and two transnational gangs — Tren de Aragua, or TDA, and MS-13 — so eight organizations in total — are now formally designated as foreign terrorist organizations, which means that every single member of those organizations who operates on U.S. soil is now, as a legal matter, a terrorist, and they will be treated as terrorists. 
     
    This is a sea change in U.S. policy.  And this means the Department of Justice and the Department of Homeland Security, along with the rest of U.S. law enforcement and the Department of Defense, are now operating in a legal reality where these cartels are recognized as terrorists, and there will be a whole-of-government effort to remove these terrorists from our soil and to degrade their ability to threaten or undermine any American security or sovereignty interests.
     
    Border crossings since the day he took office are down 95 percent.  I think it’s almost impossible to even describe the scale and scope of that achievement.  President Trump, within days of taking office, cut border crossings 95 percent. 
     
    And those few who have dared to cross are being either prosecuted or deported.  They’re either facing significant jail time for trafficking, smuggling, harboring, aiding, impeding, or they’re being immediately removed from our soil.  Either way, at the end of the process, they are going home. 
     
    He has reimplemented Remain in Mexico, and he has obtained historic cooperation from foreign countries all around the world in accepting their deportees back. 
     
    And he has used the United States military to fully seal the southern border with a historic deployment of both active duty and National Guard troops, resumed the building of infrastructure.  He has opened up Guantanamo Bay, and he’s using military aircraft to carry out deportations all across this country. 
     
    And ICE is joining with ATF, DEA, and FBI to carry out the largest deportation operation in American history.  The criminals are going home.  The border is sealed shut.  America is safe, sovereign, proud, and free.  We are a nation that everyone in the world understands all across this planet: You do not come here illegally.  You will not get in.  You will go to jail.  You will go home.  You will not succeed. 
     
    This is the biggest and most successful change in any area of law enforcement that this nation has ever seen, and he did it in under one month. 
     
    Thank you.
     
    MR. HASSETT:  Should I go?
     
    MS. LEAVITT:  Yes, yes.
     
    MR. HASSETT:  Well, thank you, Karoline.  Thank you, Stephen. 
     
    You know, one of the things that President Trump cares most about is job creation.  And it was about seven years ago I had the honor of joining you in this room for the first time, and it looks like we’ve created a lot more jobs in the last month.  Look at how many people are here.  I — my estimate is about 180 but — but I didn’t count. 
     
    So, thank you.  It’s really an honor to be back here.  I think that I just want to go over a few things and then hand it off to Mike. 
     
    The first thing is that the President has told us to prioritize fighting inflation, and he had to do that because, as you know, President Biden let inflation get completely out of control.  And he did it with policies that made no sense.  They made no sense. 
     
    You know, a lot of times, you people say to us — our friends, the journalists — you know, “Why are you doing that?”  But — but, you know, I like to think, “Why did they do that?  Why did they spend so much money and then — why did the Fed print so much money so that we had inflation as high as we’ve ever seen since Jimmy Carter?  So, why did they do that?”
     
    So, we’re addressing inflation.  We didn’t have to address it in the first term, because it was always in the 1s, almost always.  But we’re going to get it back there. 
     
    And how are we doing it?  Well, we’re doing it with a plan that President Trump and I and others have talked about in the Oval that involves, like, every level of fighting inflation. 
     
    First, the macroeconomic level.  We’re cutting spending.  We’re cutting spending in negotiations with people on the Hill.  We’re cutting spending with the advice of our IT consultant, Elon Musk.  And then we’re also looking into supply-side things, like restoring Trump’s tax cuts, maybe even expensing new factories so that there is an explosion of supply.  If you have an explosion of supply and a reduction in government demand, then inflation goes way down. 
     
    And then, one of the things that you want to say is “Well, when are you going to see it?”  Well, the first thing that you’ll see when the markets believe that we’re going to get inflation under control is that the 10-year Treasury rate goes down, because that’s how they think about future expected inflation. 
     
    And so, we’re still going to see some memory of Biden’s inflation.  It’s not going to go away in a month.  But the 10-year Treasury before the last Consumer Price Index had dropped about 40 basis points.  Forty basis points because markets were optimistic about our ability to fight inflation. 
     
    Forty basis points is kind of not a fun thing to say.  I — economists talk that way.  I apologize.  But the way to think about it is, for a typical mortgage, if that affects the mortgage rate, then it’s going to save a typical family buying a house about a thousand bucks a year, and that’s just in our first month. 
     
    Okay.  The second thing we’ve done is we’ve had a lot of trade talks.  In fact, I was just meeting a minister from Mexico with Howard Lutnick just a couple of hours ago.  And we’re talking about reciprocal trade, and we’re also talking about the fentanyl crisis. 
     
    And so, reciprocal trade is about our government treating other governments the way they treat us.  We want trade to be fair.  It turns out that Americans have been disadvantaged by foreign governments over and over, and President Trump wants it to stop.  And the fact that struck me as most noticeable, when I started to look at what President Trump was asking us to do, is that last year — last year — we have data — U.S. companies paid $370 billion in taxes to foreign governments — $370 billion.  Last year, foreign multinationals paid us $57 billion in taxes. 
     
    We have one quarter of world GDP.  They have three quarters of world GDP.  And we’re paying $370.  They’re paying $57.  This is not reciprocal.  We’re going to try — or we’re going to fix it. 
     
    The other thing that we’ve done is we’ve had an all-of-the-above energy approach that’s led by Doug Burgum and Chris and a really large team — EPA — and we’ve already made so many actions that are going to affect the price of energy and lower inflation. 
     
    We’ve opened up 625 million acres to energy exploration.  We’ve cut 50 years of red tape that makes it so you can’t have permits.  And we’ve even made it so that when you go home, if you get a new one, then you can take a shower or flush a toilet or read under a light bulb.  We’re doing that too. 
     
    So — so, finally, let’s just think about, like, the facts that we can see right now that we think are awesome.  So, guess what?  Small-business optimism is — has go- — gone up by the most ever since President Trump came in.  ISM, which is the measure of what’s going on in manufacturing, it’s expanding again for the first time in years.  CEO confidence is the highest it’s been in years.  And the reason — the reason people are thinking this is that our policies give people cause for optimism. 
     
    And then I want to reiterate what Stephen Miller said, because it’s so important — and it’s so important for financial markets to start to digest this — that if, say, the Treasury secretary or the — any Cabinet secretary, with Elon Musk, is able to find some savings — say, $100 billion — well, in CBO land, that’s actually, like, about 10 times that or maybe 12 times that over a 10-year window. 
     
    And so, when you’re thinking about the negotiations right now over reconciliation and thinking about, well, $4 trillion, $5 trillion, well, those numbers, in terms of the savings, are going to end up being small because of all the waste that we’re finding. 
     
    And so, we’re incredibly optimistic about the future of inflation and the future of our economy.  And we’re optimistic because we’re making so much progress so far, and we already see it in market prices. 
     
    And, with that, I’ll hand it off to Mike. 
     
    MR. WALTZ:  All right.  Thanks, Kevin. 
     
    Well, good afternoon.  What a month and what a sea change in our — in our foreign policy.  In addition to what we’re doing on the border and restoring American sovereignty, in addition to what we’re doing in our economy and the job creation and the inflation reduction, we are bringing the world back to where it was at the end of President Trump’s first term, which is a world of peace, prosperity, and — and looking forward and getting us out of the chaos that we’ve just seen over the last four years. 
     
    So, over the last month, just to name a few, I had the honor of sitting in the Oval Office as President Trump spoke with President Putin and then immediately spoke with President Zelenskyy, and both of them said only President Trump could bring both sides to the table, and only President Trump could stop the horrific fighting that has been going on now for the better part of four years and that only President Trump could drive the world back to peace.  Both of those leaders said that in back-to-back calls.
     
    And, of course, we just had our historic talks mediated by our — our good friends and partners, Saudi Arabia — we give great thanks to Crown Prince Mohammed bin Salman for hosting — and sat down for the first time in years with the Russians and talked about a path forward with peace.
     
    On top of that and one of the things that led to that was a tremendous co- — confidence-building measure that we had with the release of Marc Fogel.  I’ll remind everyone, the last time that we had an American released from the Russians, either we gave up a deadly spy; pressured our allies to give up a lethal killer; or we released, under the Biden administration, the world’s most notorious arms dealer, Viktor Bout, who, by the way, had one of his main clients for arms the cartels in — in Mexico and Central America. 
     
    We gave up none of that.  This was released as a confidence-building measure, working with our great Middle East Envoy, Steve Witkoff, and our secretary of State as a first step towards opening these talks and then moving forward towards peace. 
     
    On top of that, we’ve secured, just in a month, the return of a dozen — 12 — American hostages from Russia, from Bulgaria, from Venezuela, the Taliban, and Hamas.  Excuse me, that’s from Belarus, not Bulgaria. 
     
    We also had — for the first time in quite some time, we took out a senior leader of ISIS, an international financier and recruiter that the military had been trying to take out for quite some time and — and wasn’t able to do so, frankly, because of a bureaucratic approval process.  President Trump said, “Take him out.”  And that ISIS financier and leader is no longer on this Earth. 
     
    We’ve also taken action to eliminate other terrorist organizations in the Middle East.  We drove — before the President was even in office, he started talking consequences for people that would hold Americans. 
     
    Heretofore, there’s been nothing but upside.  You take an American, you get some better deal.  You take another one, maybe you get a better deal.  No more.  There is now nothing but downside for taking Americans illegally, either as hostages or illegal detainees. 
     
    And when President Trump sent a very clear message across the Middle East, but particularly to Hamas, that there would be all hell to pay, we suddenly saw a breakthrough.  And now we just saw the release of yet another group of hostages.  There have been dozens now, including two Americans that we’ve seen once again reunited with their families. 
     
    As part of the talks with King Abdullah, he offered — and — and I think the entire world has graciously accepted — to take 2,000 sick children, cancer patients, and others out of Gaza.  As a humanitarian — as a humanitarian gesture, 2,000 Gazans will come out of that hellhole that it is, that wasteland that Gaza is right now, with unexploded ordnance, with debris everywhere, with no sewage, with no water.  And — and President Trump has — has put forward a plan to deal with the practical reality that is 1.8 million Gazans now — now truly suffering.
     
    And then, you know, just to bring it back to our own hemisphere, we’ve seen literally, in the last month — after years of national security experts, the generals in charge, and others testifying and ringing the alarm bells about — about the Chinese Communist Party’s presence in our own hemisphere, particularly in the Panama Canal, we’re seeing the leadership of Panama step away from the Belt and Road program, move away from China and back towards the United States, and even enter into talks and — and other negotiations about addressing the ports on either side of the canal. 
     
    And then, finally, last but not least, we’ve had four world leaders in the White House, in the Oval Office.  We’ve had the prime minister of Japan, the prime minister of India, the king of — of Jordan, and, of course, the prime minister of Israel just in the last four weeks.  And next week, we’ll have the Prime Minister of the United Kingdom and we’ll have the president of France, Macron. 
     
    So, President Trump is on what we call Trump warp speed.  We are all — we are all honored to be really serving under — under his leadership and his vision.  And truly, you know, when we all say — and the President himself say — says, he is a president of peace.  He is a president focused on restoring stability.  I think the entire world saw what the world would look like without strong American leadership in the last four years.
     
    And it’s truly been an honor to get us back to where we were and back on track under President Trump’s leadership. 
     
    MS. LEAVITT:  Thank you, Mike. 
     
    MR. WALTZ:  Mm-hmm.
     
    MS. LEAVITT:  Thank you.  Thank you, everybody.  I’m sure you’re very eager to ask questions of these very smart people working very hard on behalf of the president. 
     
    We do have somebody in our new media seat today.  We have John Stoll, who is the head of news at X.  As you all know — you’re all on X — it’s home to hundreds of millions of users, a large contingent of independent journalists and news organizations across geographies and political spectrums.  And at the same time, X remains the go-to platform for many legacy news outlets.  And I know, as I mentioned, many of the reporters in this room use X to attract eyeballs to your work. 
     
    Prior to joining X, John spent two decades in journalism, including several years as an editor at The Wall Street Journal.  We are excited to have him in the briefing room today.
     
    John, we’ll let you kick it off.  And as I said at the top, please direct your question to the individual up here who you’d like an answer from. 
     
    John, why don’t you begin.
     
    Q    All right.  Thank you very much.  I am sitting in for a thriving ecosystem of journalists, independent and — and emerging news organizations who do depend on X for publicity, for a business model.  And so, I look forward to seeing many of them in this seat in months and years to come. 
     
    I also thank you, Karoline, for opening this seat up to new media.  It — it really is a testament not only to your open-mindedness but also to innovation that you’d actually think about, you know, folks that are not traditionally credentialed to be in this room to be in this room and to not only have a question but also to witness — you know, this is at a very important intersection of power and the free press.
     
    And so, just the ability to witness this and — and be part of it, it brings everybody’s game up.  So, thank you for that. 
     
    I think this is for Mike Waltz.  My question is about Ukraine.
     
    MR. WALTZ:  Sure.
     
    Q    For about more than 10 years, I’ve been fascinated, like all — like many, with what’s going on.  I was in Northern Europe working out of the Baltics when Crimea was annexed and was — a lot — a lot of this came on Twitter.  The platform used to be known as Twitter.  Was — a lot of European leaders would — would talk about their disappointment and — and solidarity with Ukraine, but when it came to actually doing something, it felt like they were passing a hot potato and sent it over the Atlantic. 
     
    I wonder how much of what we’re seeing right now out of the administration and President Trump is a call to Europe and the European leaders and allies that we’ve traditionally had to pick up that hot potato and — and start doing something a little bit more concrete to win and preserve the peace in Ukraine. 
     
    The second question I have is — it — it’s related — is there’s been some — a lot of speculation that President Trump and the administration might be manipulated by Pre- — by Vladimir Putin.  I wonder if you can just talk a little bit about the administration’s posture —
     
    MR. WALTZ:  Yeah.
     
    Q    — and your confidence in the competence of this administration to d- — go toe to toe with Vladimir Putin. 
     
    MR. WALTZ:  Well, if there’s an- — I’ll take the l- — second question first.  If there’s anybody in this world that can go toe to toe with Putin, that could go toe to toe with Xi, that could go toe to toe with Kim Jong Un — and we could keep going down the list — it’s Donald J. Trump.  He is the dealmaker in chief.  There is no question that he is the commander in chief. 
     
    And I, for one — and I think all Americans and around the world should have no doubt about his ability to not only handle Putin but to handle the complexity of driving this war to an end. 
     
    And then on your first piece on Europe, I’ll take you back to 2014.  You’re right.  There was a lot of hand-wringing in Europe and not a lot of action.  There was also a lot of hand-wringing here in Washington under the Obama administration and not a lot of action.  They literally threw blankets at the problem. 
     
    And so, I’ll remind everyone that Putin had, you know, some type of conflict, invasion, or issue with their neighbor under President Bush, with Georgia; under President Obama, with Ukraine in 2014; not under President Trump, 45; and again with President Biden in 2022.  The war should have been deterred.  The war should have never happened, and I have no doubt it would not have happened under President Trump and will stop under President — President Trump again. 
     
    But I just want to push back on this notion of our European allies not being consulted as we’ve entered into this process.  I already mentioned the immediate phone call President Trump made to President Zelenskyy.  He has talked to President Macron of France repeatedly last week.  President Macron convened European leaders and then is coming here on Monday.  Prime Minister Starmer is coming next Thursday. 
     
    We’ve also — I’ve talked to every one of my national security — national security advisor counterparts across — across the spectrum in Europe.  I’ve talked to Secretary-General Rutte, the — the leader of NATO, the secretary-general of NATO.  We have repeatedly — oh, by the way, we had half our Cabinet — seven Cabinet officials, including the vice president, at the Munich Security Conference, all engaging, all listening, and all making sure our allies were heard. 
     
    However, we’ve also made it clear for years — decades, even — that it is unacceptable that the United States and the United States taxpayer continues to bear the burden not only of the cost of the war in Ukraine but of the defense of — of Europe.  We fully support our NATO Allies.  We fully support the Article 5 commitment.  But it’s time for our European allies to step up. 
     
    And one of the things that Secretary-General Rutte said on our call was this last couple of weeks have been a real wake-up call.  And I asked him, “What have you been missing the last couple of years?” 
     
    The fact that we are going to enter into a NATO summit this June with a third of our NATO Allies still not meeting the 2 percent minimum, a commitment they made a decade ago — literally a decade ago — with a war on their doorstep — the largest war that they’re all extremely concerned about — but yet it’s “Well, somebody else needs to pay.  We’ve got other domestic priorities.”  It’s unacceptable.  President Trump has made that clear. 
     
    And the minimum needs to be met.  We need to be at 100 percent in — this June at the NATO summit.  And then let’s talk about exceeding it, which what — is what President Trump has been talking about, with 5 percent of GDP. 
     
    Europe needs to step up for their own defense as a partner.  And we can be friends and allies and have those tough conversations. 
     
    MS. LEAVITT:  Great.  Peter.
     
    Q    Thank you, Karoline.  I have a Ukraine one and a DOGE one.  Who can talk DOGE?
     
    MS. LEAVITT:  Stephen, go ahead.
     
    Q    Well, so — so, Stephen, we’re hearing about these DOGE dividend checks that would be 20 percent back to taxpayers, 20 percent to pay down the debt.  Sixty percent is left.  Who gets that?
     
    MR. MILLER:  Well, the way that it works is when you achieve savings, you can either return it to taxpayers, you can return it to our debtors, or it can be cycled into next year’s budget, and then it just lowers the overall baseline for next year.  So, in other words, you can just transfer it into the next fiscal window and then lower the overall spending level.  And that means that you can achieve a permanent savings that way, and that reduces the deficit. 
     
    Q    And when is it that people might see those checks?
     
    MR. MILLER:  Well, this is all going to be worked on through the reconciliation process with Congress that’s going underway right now, as you’ve seen.  The Senate is moving a bill.  The House is moving a bill.  The president has great confidence in both chambers to deliver on his priorities. 
     
    I would just take this opportunity to note that President Trump has made a historic commitment to the working class of this country to fight for a major tax relief and major price relief.  And cutting spending, as DOGE is doing, and cutting taxes is the key to delivering on both of those promises.  And President Trump is resolutely committed to doing both. 
     
    Q    Thank you.  And on Ukraine.  I guess, this is for Mike.
     
    MR. WALTZ:  Sure. 
     
    Q    After the president’s post on Truth Social yesterday, need to know: Who does he think is more responsible for the Russian invasion of Ukraine, Putin or Zelenskyy?
     
    MR. WALTZ:  Well, look, his — his goal, Peter, is to bring this war to an end, period.  And there has been ongoing fighting on both sides.  It is World War I-style trench warfare. 
     
    His frustration with President Zelenskyy is — that you’ve heard — is multifold.  One, there needs to be a deep appreciation for what the American people, what the American taxpayer, what President Trump did in — in his first term, and what we’ve done since.  So, some of the rhetoric coming out of Kyiv, frankly, and — and insults to President Trump were unacceptable.  Number one. 
     
    Number two, our own secretary of Treasury personally made the trip to offer the Ukrainians what is — can only be described as a historic opportunity — that is for America to coinvest with Ukraine in their minerals, in their resources, to truly grow the pie. 
     
    So, case in point, there’s a foundry that processes aluminum in Ukraine.  It’s — it’s been damaged.  It’s not at its current capacity.  If that is restored, it would account for America’s entire imports of aluminum for an entire year — that one foundry.
     
    There are tremendous resources there.  Not only is that long-term security for Ukraine, not only do we help them grow the pie with investments, but, you know, we do have an obligation to the American taxpayer in helping them recoup the hundreds of billions that ha- — that have occurred. 
     
    So, you know, rather than enter — enter into some constructive conversations about what that deal should be going forward, we got a lot of rhetoric in the media that was — that was incredibly unfortunate. 
     
    And I could just tell you, Peter, you know, as a veteran, as somebody who’s been in combat, this war is horrific.  And I think we’ve lost sight of that, of the literally thousands of people that are dying a day, families that are going without the next generation. 
     
    And I find it kind of, you know, frankly, ridiculous.  So many people in Washington that were just demanding, pounding the table for a ceasefire in Gaza are suddenly aghast that the president would demand one and both sides come to the table when it talks to — when it comes to Ukraine, a war that has been arguably far greater in — in scope and scale and far more dangerous in terms of global escalation to U.S. security.
     
    Q    And I do have one for Karoline.
     
    MS. LEAVITT:  Sure.
     
    Q    Does President Trump have a bet with Trudeau about this USA-Canada hockey game tonight?  (Laughter.)  And when there is a big hockey game on, is the president watching for the goals or for the fights?
     
    MS. LEAVITT:  (Laughs.)  Probably both.  I think he’s watching for the United States to win tonight.  I know he talked to the USA hockey team this morning.  He talked to the players after their morning practice, around 10 o’clock.  And I also spoke to some folks from that team after.  They were jubilant over President Trump’s comments to the team.  I believe they’re going to put out a video of that call. 
     
    So, he looks forward to watching the game tonight, and we look forward to the United States beating our soon-to-be 51st state, Canada.  (Laughter.)
     
    Bloomberg, go ahead. 
     
    Q    My question is for Mike Waltz.  Can you give us a readout of Kellogg’s meeting with Zelenskyy that just wrapped up?  And, in particular, Zelenskyy publicly rejected this deal about the rare earth minerals.  Where — where does that stand?
     
    MR. WALTZ:  Well, we’re going to continue to have — he needs to come back to the table, and we’re going to continue to have discussions about where that deal is going. 
     
    Again, we have an obligation to the taxpayer.  I think this is an opportunity.  The president thinks this is an opportunity for Ukraine going forward.  There can be, in my view, nothing better for Ukraine’s future and for their security than — than to have the United States invested in their prosperity long-term.  And then a key piece of this has also been security guarantees. 
     
    Look, the — the reality that we’re talking about here is: Is it in Ukraine’s interest?  Is it in Europe’s interest?  It certainly isn’t in Russia’s interest or in the American people’s interest for this war to grind on forever and ever and ever. 
     
    So, a key part of his conversation was helping President Zelenskyy understand this war needs to come to an end.  This kind of open-ended mantra that we’ve had under the Biden administration, that’s over.  And I think a lot of people are having a hard time accepting that.
     
    And then the other piece is there’s been discussions from Prime Minister Starmer and also President Macron about European-led security guarantees.  We welcome that.  We’ve been asking Europe to step up and secure its own prosperity, safety, and security.  So, we certainly welcome that. 
     
    And we certainly welcome more European assistance.  As I told my counterparts, “Come to the table with more, if — if you want a bigger seat at the table.”  And we’ve been asking for that for quite some time. 
     
    Q    And has Russia pushed for sanctions in your talks with them?  And have you consulted with international partners and allies about potentially rolling back sanctions in these negotiations to end the war?
     
    MR. WALTZ:  Those — the talks with — with our Russian counterparts — both with my counterpart, the national security advisor; Secretary Rubio’s counterpart, the Foreign Minister, Foreign Minister Lavrov — you know, it — it really were — was quite broad, focused on what is the goals for our broader relationship, but very clear that the fighting has to stop to get to any of those brighter goals. 
     
    And as a first step, we’re just going to do some commonsense things, like restore the — the ability of both of our embassies to function. 
     
    And, again, you know, this is — this was common sense.  In — in foreign policy world, they call it “shuttle diplomacy.”  We have to talk to both sides in order to get to both sides to the table, and both sides have said only President Trump could do that. 
     
    MS. LEAVITT:  Diana.
     
    Q    Thank you.  And my question is for Mike Waltz.  (Laughter.)
     
    MR. WALTZ:  All right.
     
    Q    The president has called Zelenskyy a dictator.  Does he view Putin as a dictator? 
     
    And does he want Zelenskyy out of power?  I know he’s called for elections. 
     
    And then, thirdly, the head of the Defense Committee in Ukraine’s parliament just has claimed that the U.S. has stopped selling weapons to Ukraine.  Is that true?
     
    MR. WALTZ:  Well, most of our weapons that have gone to Ukraine have been part of a drawdown authority, where we’ve literally taken them out of our stocks and then, eventually, through appropriations, started buying them again to refill our stocks. 
     
    I’ll, you know, just state that there has been a lag in a lot of that process.  So, many of our stocks, as we look at our operations around the world, are becoming more depleted.  That’s one of the reasons many people have had a lot of concern about: When does this end?  How much is it going to take?  How many lives will be lost?  How much will we be — how much will we spend? 
     
    As a member of Congress, we repeatedly asked the Biden administration those questions, and we never got a satisfactory answer. 
     
    Look, President Trump is obviously very frustrated right now with President Zelenskyy — the fact that — that he hasn’t come to the table, that he hasn’t been willing to take this opportunity that we have offered.  I think he eventually will get to that point, and I hope so very quickly.
     
    But President Trump is — as we made clear to our Russian counterparts, and I want to make clear today — he’s focused on stopping the fighting and moving forward.  And we could argue all day long about what’s happened in the past. 
     
    MS. LEAVITT:  Reagan.
     
    Q    Thanks.  I have a question for Stephen —
     
    (Cross-talk.)
     
    Q    — and a question for Mike.
     
    MS. LEAVITT:  Excuse me, I just called on Reagan.  Reagan, go ahead. 
     
    Q    I have a question for Stephen and a question for Mike. 
     
    MS. LEAVITT:  Sure.
     
    Q    Stephen, I can start with you.  There have been reports —
     
    MR. MILLER:  Thank you.
     
    Q    — that Trump is unhappy with the rate of deportations and he wants them to be higher.  Is the president happy with the rate of deportations, and are there any plans to speed up the process?
     
    MR. MILLER:  Well, first of all, we all appreciate the encouragement from the media to deport as many illegal aliens as humanly possible.  So, thank you. 
     
    And I will promise you that the full might of the Department of Homeland Security, the Department of Justice, the Department of Defense, and every element and instrument of national power will be used to remove, with speed, all criminal illegals from the soil of the United States of America, to enforce final removal orders, and to ensure that this country is for American citizens and those who legally belong in this country.
     
    We inherited an ICE that was completely shuttered.  We inherited a Department of Homeland Security whose sole mission was to resettle illegal aliens within the United States of America. 
     
    In 30 days, the president sealed the border shut, declared the cartels to be terrorist organizations, has increased ICE deportations to levels not seen in decades, and we are shortly on the verge of achieving a pace and speed of deportations this country has never before seen. 
     
    Thank you. 
     
    Q    And Mike.
     
    MR. WALTZ:  Mm-hmm.
     
    Q    There have been reports that there’s some underground opposition to Trump’s pick for Undersecretary of Defense for Policy, Elbridge Colby.  Have you or anyone from the administration been personally lobbying senators to support Elbridge Colby? 
     
    MR. WALTZ:  Look, I’ve worked with Bridge Co- — Colby in the past.  He has the president’s full support to be the Undersecretary of policy, which will be a critical policy arm for Secretary Hegseth going forward that will implement a lot of these policies. 
     
    And — and really, that’s — that’s been the extent of it.  I think there’s been a lot of kind of, you know, breathless — I don’t know — back-and-forth in the — in the press, but we’re full speed ahead to get the president’s team in place so we can implement his America First policy. 
     
    MS. LEAVITT:  Thank you.  Mike has spoken pretty extensively.  Does anybody have questions for Stephen or for Mr. Hassett?
     
    Q    I do.
     
    MS. LEAVITT:  Nobody wants to talk about the economy?  (Laughter.)
     
    (Cross-talk.)
     
    MS. LEAVITT:  Sure. 
     
    Q    IRS.
     
    MS. LEAVITT:  IRS.  Okay.  Go ahead.
     
    Q    And this would be for either one of you.  So, we have reported, several other outlets have reported that about 3,500 people are due to be — lose their jobs at the IRS by the end of the week.  If the goal of these spending cuts across the federal government has been to reduce the debt, why impose some of the deepest cuts we’ve seen so far at the agency responsible for raising revenue for the federal government?
     
    MR. HASSETT:  Well, I think our objective is to make sure that the employees that we pay are being productive and effective.  And there are many, many — more than 100,000 people working to collect taxes, and not all of them are fully occupied.  And the Treasury secretary is studying the matter and feels like 3,500 is a small number and probably can get bigger, especially as we improve the IT at the IRS.
     
    And so — so, I think that it’s absolutely something that is on the table for good reasons.  And the point is that — don’t just talk about the IRS.  Talk about all of government, that there are so many places — I live in D.C.; you maybe live in D.C. — where you never — there — nobody — nobody is going into the buildings.  People aren’t commuting because nobody is doing their job.  We look back and we see that there are all these people doing two jobs while they’re getting a government payroll — on the payroll. 
     
    So, the point is, we’re fixing that, and the IRS is a small part of that picture. 
     
    Q    So, you’re saying that everybody who’s being let go was doing a bad job?
    MR. HASSETT:  I’m saying that we’re studying every agency and deciding who to let go and why, and we’re doing so very rationally with a lot of support from analysis. 
     
    Q    Because we’re being told by a lot of people who have been let go at other agencies that they were told they were being dismissed because of poor performance, when, in some cases, they haven’t even had a performance review yet because they’ve only been on the job a couple of months. 
     
    MR. HASSETT:  Yeah, I’ve never seen a person who was laid off for poor performance say that they were performing poorly.  (Laughter.)  Okay?
    Q    Karoline.
     
    MS. LEAVITT:  Good point.  Sure, Kaitlan.
     
    Q    I have a question.  I’ll start with you, Kevin Hassett.  Thank you for being here.  And then I’ve got a question for Mr. Waltz.
     
    On these potential checks that you might send out from DOGE, is there a concern, as you’re thinking through this, that they could be inflationary?
     
    MR. HASSETT:  Oh, absolutely not, because imagine if we don’t spend government money and we give it back to people, then the — you know, if they spend it all, then you’re even.  But they’re probably going to save a lot of it, in which case, you’re reducing inflation. 
     
    Q    Okay.  So, you’re not —
     
    MR. HASSETT:  And also, when the government spends a lot, that’s what creates inflation.  We learned that from Joe Biden.  And so, if we reduce government spending, then that’s — you know, reduces inflation.  And if you give people money, then they’re going to save a bunch of it.  And — and when they save it, then that also reduces demand and reduces inflation. 
     
    Q    Okay.  So, you’re not worried about it. 
     
    MR. HASSETT:  No, I’m not.
     
    Q    And, Mr. Waltz, to follow up on Peter’s question, you wrote in an op-ed in the fall of 2023 that, quote, “Putin is to blame, certainly, like al Qaeda was to blame for 9/11.”
     
    MR. WALTZ:  Mm-hmm.
     
    Q    Do you still feel that way now, or do you share the president’s assessment, as he says Ukraine is to blame for the start of this war?
     
    MR. WALTZ:  Well, it shouldn’t surprise you that I share the president’s assessment on all kinds of issues.  What I wrote as a Member of Congress is — was as a former Member of Congress. 
     
    Look, what I share the president’s assessment on is that the war has to end.  And what comes with that?  What comes with that should be, at some point, elections.  What comes with that should be peace.  What comes with that is prosperity that we’ve just offered in this natural resources and economic partnership arrangement: an end to the killing and European security and security for the world.  The President is not only determined to do that in Europe, he’s determined to do it in the Middle East. 
     
    And just a few months ago, we had an administration that had tried for 15 months, week after week, sitting with you here, and couldn’t get us to a ceasefire, couldn’t get our hostages out.  Now we’re at that point.  We’re back to the maximum pressure on Iran.
     
    And we will — we have just begun, and we will drive towards a ceasefire and all of those other steps.  I’m not going to pre-negotiate or get ahead of the sequencing of all of that.  It’s a very delicate situation. 
     
    But this is a president of peace.  And who here would argue against peace?
     
    Q    Okay.  So, you do share that assessment. 
     
    And can I follow up.  In 2017 —
     
    MS. LEAVITT:  No.  Go ahead, Jordan.
     
    Q    — then-President Trump —
     
    MS. LEAVITT:  Go ahead, Jordan. 
     
    Q    Can I just follow up really quickly?
     
    Q    Thank you.  So —
     
    MS. LEAVITT:  You just had two questions, Kaitlan.
     
    Q    May I — can I just —
     
    MS. LEAVITT:  Jordan, go ahead. 
     
    Q    Mr. — Mr. Hassett —
     
    MS. LEAVITT:  Thank you.
     
    Q    I have an important follow-up for Mike Waltz.
     
    MS. LEAVITT:  Jordan, go ahead.  Go ahead.
     
    Q    So, Mr. Hassett, you were speaking about tariff revenue, and you also addressed a question about the R- — IRS.  President Trump has spoken about replacing income tax with tariff revenue, especially with all this waste, fraud, and abuse that we’re seeing cut.  Is that a possibility?
     
    MR. HASSETT:  Absolutely.  And, in fact, if you think about the China tariff revenue that we’re estimating is coming in from the 10 percent that we just added, plus the de minimis thing, that it’s between $500 billion and a trillion dollars over 10 years, is our estimate.  And that’s something that is outside of the reductions that markets are seeing through the negotiations up on the Hill.
     
    And so, we expect that the tariff revenue is actually going to make it much easier for Republicans to pass a bill, and that was the President’s plan all along. 
     
    Thank you.
     
    Q    And I — I have a question for Stephen Miller about DOGE.  So, you — you spoke about DOGE.  You said roughly $50 billion is set to be cut in a year of waste, fraud, and abuse by unelected bureaucrats.  We’re hearing this ironic narrative from the President’s critics and the left-wing media that Elon Musk is an unelected bureaucrat, and he’s doing all this terrible stuff.  Isn’t one of DOGE’s objectives to get — get rid of the federal bureaucracy, the — the deep state?  And also, who was running the White House when Joe Biden was in office —
     
    MR. MILLER:  (Laughs.)
     
    Q    — because I don’t know a single person who believes it was Joe Biden? 
     
    MR. MILLER:  Yes.  You’re — you’re tempting me to say — (laughs) — some very harsh things about some of our media friends.  The — yes, it is true that many of the people in this room, for four years, failed to cover the fact that Joe Biden was mentally incompetent and was not running the country. 
     
    It is also true that many people in this room who have used this talking point that Elon is not elected fail to understand how government works.  So, I’m glad for the opportunity for a brief civics lesson. 
     
    A president is elected by the whole American people.  He’s the only official in the entire government that is elected by the entire nation.  Right?  Judges are appointed.  Members of Congress are elected at the district or state level.  Just one man. 
     
    And the Constitution, Article Two, has a clause, known as the vesting clause, and it says, “The executive power shall be vested in a president,” singular.  The whole will of democracy is imbued into the elected president.  That president then appoints staff to then impose that democratic will onto the government. 
     
    The threat to democracy — indeed, the existential threat to democracy — is the unelected bureaucracy of lifetime, tenured civil servants who believe they answer to no one, who believe they can do whatever they want without consequence, who believe they can set their own agenda no matter what Americans vote for. 
     
    So, Americans vote for radical FBI reform, and FBI agents say they don’t want to change.  Or Americans vote for radical reform in our energy policies, but EPA bureaucrats say they don’t want to change.  Or Americans vote to end DEI — racist DEI policies, and lawyers in the Department of Justice say they don’t want to change. 
     
    What President Trump is doing is he is removing federal bureaucrats who are defying democracy by failing to implement his lawful orders, which are the will of the whole American people. 
     
    Thank you. 
     
    Q    Thanks, Stephen.  Can I follow up?
     
    Q    Karoline.
     
    MS. LEAVITT:  Thank you very much, everybody.  I’m looking at the clock.  We’ve almost had an hour of time. 
     
    (Cross-talk.)

    LEAVITT:  I know a couple of these individuals have a meeting to get to at 2:00 p.m.  So, you’re welcome to follow up with my team for further questions.  We’re going to let these guys get back to running the United States government.
     
    And we will see you all later.  President Trump will be speaking at 3 o’clock at the Black History Month reception.
     
    So, thank you.  It’s good to see you.  We’ll see you in a bit.  Thanks.
     
    Q    Are you going to the Black History Month reception, Mr. Miller?
     
    Q    Stephen, on the fraud.  Should we expect indictments?
     
    Q    What is your reaction to Mitch McConnell’s retirement?
     
    Q    Are there indictments coming for all the fraud we’ve found?
     
         MR. MILLER:  I’d love to follow up with you.  Just set up a time with Karoline.
     
         Q    Okay.  Thank you. 
     
    END                   1:56 P.M. EST

    MIL OSI USA News

  • MIL-OSI Australia: Telstra found to have misled nearly 9,000 Belong customers over broadband speed claims

    Source: Australian Competition and Consumer Commission

    The Federal Court has today found that Telstra made false or misleading representations relating to the upload speed of residential broadband internet services supplied to nearly 9,000 of its Belong customers, following court action by the ACCC.

    In October and November 2020, Telstra migrated 8,897 customers who were on a Belong NBN plan with a maximum download speed of 100 megabits per second (Mbps) and a maximum upload speed of 40Mbps, to a service with a maximum upload speed of 20Mbps.

    Telstra did not notify customers of the reduction in the maximum upload speed in their service. “Telstra’s failure to inform customers that their broadband service had been altered denied them the opportunity to decide whether the changed service was suitable for their needs,” ACCC Commissioner Liza Carver said.

    “There was no reduction to the price Telstra charged its customers even though the cost charged by NBN Co to Telstra was $7 a month less for the new, lower speed service.”

    Telstra admitted that it had represented to 2,785 of the Belong customers, who acquired the 40 Mbps plan between 1 May 2017 and 19 September 2018, that they were receiving a Belong NBN Broadband service with a maximum upload speed of 40Mbps, when they were not.  

    Telstra continued to make these representations by failing to update customers once the unilateral migration had occurred. Telstra acknowledged its failure in 2021 and provided a one-off $90 credit to these consumers.

    The Court also found that Telstra had made false or misleading representations to a further 6,112 Belong customers who had acquired the 40mbps plan between 20 September 2018 and October 2020.

    While Telstra never stated the maximum upload speed to these customers, the Court found that these consumers would have reasonably construed the service to which they were bound was the same in all material aspects, including upload speed, as it had always been.

    “It is simply unacceptable for a supplier of essential services to mislead consumers when reducing the quality of the services it is providing to its customers,” Ms Carver said.

    “We expect better from the country’s largest retail broadband internet service provider and believe these customers, who ultimately received a service they did not agree to, should be compensated.”

    The ACCC is seeking declarations, penalties, consumer redress, costs and other orders.

    The Court will determine the penalty and any consumer redress after a hearing on a date to be fixed.

    Background

    Telstra is Australia’s largest telecommunications supplier, supplying the largest number of retail broadband internet services and owning the largest mobile network over which it supplies both retail and wholesale services. It is a publicly listed company, incorporated in Australia.

    Belong was launched by Telstra in 2013 as a low-cost mobile and internet service provider, operating semi-independently in a number of areas, including products, marketing, service, billing and parts of IT.

    Upload speed refers to the speed at which an internet connection can allow data to be sent from personal devices to the internet, such as sending files, presentations or media content when working or studying from home or sharing photos and videos.

    In May 2020, NBN Co launched new wholesale consumer speed tiers, including a new 100/20Mbps wholesale speed tier, which costs retail service providers $7 less per month than the 100/40Mbps plan on a wholesale level.   

    The ACCC instituted these Federal Court proceedings against Telstra in December 2022.

    The ACCC has previously instituted proceedings against Telstra on several occasions, including in August 2021 for making alleged false or misleading representations in their promotions of some 50Mbps and 100Mbps NBN plans. Telstra was subsequently ordered to pay $15 million in penalties in that case.

    MIL OSI News

  • MIL-OSI Australia: (WIP) Big batteries in 2025: the market evolution continues

    Source: Allens Insights

    Another big year for BESS 12 min read

    Utility-scale batteries reached new heights in 2024, achieving several industry firsts. Milestones include the first project-financed virtual offtake agreement and long-term energy service agreement (LTESA), coupled with inventive approaches to revenue stack structuring. As investor interest intensifies, the future of battery storage looks promising.

    This latest Insight on the Australian big battery market delves into the recent trends, the potential opportunities and hurdles for this rapidly evolving industry.

    Key takeaways

    • Project financing of battery energy storage system (BESS) projects is on the rise, with an increasingly sophisticated market, a widening pool of sponsors and diverse range of investment structures.
    • Virtual offtake agreements are dominating the offtake market, giving developers greater flexibility in their revenue stack and opportunities for equity upside through market arbitrage.
    • Interest in the Capacity Investment Scheme and LTESAs is increasing and contributing to projects reaching financial close.
    • Equity investors continue to be attracted to standalone and co-located BESS projects, as well as investment in the hardware and software of a battery.

    What we are seeing in the market

    A growing number of battery projects achieved financial close across the past year and project finance has continued to be the dominant approach. We have seen significant greenfield and operational battery projects financed on a standalone basis and as part of hybrid projects, as well as portfolio-based financings. 

    Key examples of this trend are the renewables portfolio financings for Global Power Generation, FRV and Neoen, all of which included battery projects as part of the technology mix. Akaysha Energy’s standalone financing of its Orana Battery Energy Storage System marked a financing for the largest four-hour BESS in Australia’s National Energy Market (NEM), and one of the largest in the world. 

    The continued support in the project finance market for battery storage projects has been driven by a range of factors, including:

    • a widening pool of sponsors—and, in some cases, extremely strong sponsors—who are investing in the technology;
    • a diverse range of investment structures and rationales, which have seen developers and sponsors raise debt financing for batteries on a standalone and portfolio basis, or as part of co-located or hybrid projects. In some cases, this has been motivated by a business pivot or expansion in response to an increasing need to couple projects with intermittent generation sources with a firming energy source or, more generally, net zero and decarbonisation objectives; and
    • increasing sophistication and experience of developers, contractors and other stakeholders in relation to procurement and contracting strategy, trading strategy, management of interface and gap risk in the context of split contracting, and innovation in revenue structures.

    These trends have been accompanied by—and, in some ways, conducive to—an expanding range of financiers (including mainstream commercial banks, government lenders and other non-bank lenders) participating in financings for battery projects; a greater understanding from lenders of technology and degradation risk; and a greater market acceptance of split contracting structures and non-traditional revenue structures as bankable.

    Throughout 2024 we observed a marked increase in the development and adoption of virtual offtake agreements as a preferred offtake structure. Notable examples are Neoen’s Western Downs BESS and Victorian Big Battery, and, as mentioned earlier, Akaysha’s Orana BESS. 

    A virtual offtake agreement decouples the financial offtake from the physical project. The project company may therefore choose not to follow the instructions of the offtaker and instead operate the BESS according to its own internal trading strategy, but it must still settle the financial swap on pre-agreed terms, regardless of battery capacity and how much the battery is charged or discharged. 

    From the project company’s perspective, unlike a traditional physical toll, it retains control of the physical battery. This increases the opportunities for equity upside through trading arbitrage. The structure also facilitates greater flexibility for a single project to procure offtake agreements with multiple offtakers. It may also be compatible with hybrid or co-located projects in need of multiple offtakers for different components of the project.

    Virtual offtakes are not, however, for everyone. Both the owner and the offtaker need sophisticated trading teams to allow them to make the most of the virtual arrangements and to reduce the risk of making losses. Similarly, developers who want to sell out of a project prior to financial close may want to consider whether a virtual offtake agreement could limit the potential buyer pool to those that have the technical capability to trade the asset.

    In considering this type of structure from a financing perspective, lenders will be focused on mitigating the potential downside exposure in circumstances where physical trading by the project company underperforms against the virtual nominations, eroding actual base case revenue against revenue assumptions against which debt is sized.  

    Providing lenders with appropriate oversight and protections (including, if required, agreed trading protocols), while providing sufficient room for equity to seek upside opportunities, will be the key to building broader market acceptance of the bankability of non-traditional revenue structures such as virtual offtake agreements.

    Last year saw the Federal Government launch the first five tenders in its Capacity Investment Scheme, which wrapped in a tender for the NSW Government’s LTESAs.

    Each tender round has been oversubscribed, indicating a strong appetite from project developers to secure a government underwriting contract such as a Capacity Investment Scheme Agreement (CISA) or an LTESA

    While these underwriting contracts have typically been viewed by project financiers as welcome enhancements, they have traditionally been seen as a ‘nice-to-have’ feature, with the primary focus of lenders being on whether the project has the benefit of a traditional tolling or offtake agreement. At most, we saw sponsors and borrowers proposing to recognise CISAs and LTESAs acting as a floor against any potential market risk (either due to the residual life of the BESS past the offtake tenor or for partially contracted assets). 

    More recently, we are seeing lenders develop a greater understanding of how such agreements can underpin forecast project cashflows in a way that enables higher weighting to be placed on them as a certain and bankable revenue line in the base case financial model. This approach is often supported by tailored protections that are agreed in the debt documents, such as:

    • undertakings around how the project activates and manages its rights to receive support payments;
    • information undertakings, to provide lenders with appropriate visibility over the operation of the underwriting agreement during the facility term; and
    • cash reserving requirements, to facilitate the project maximising the benefit of underwriting agreements, while providing for a buffer should there be a need to meet any payment obligations back to the counterparty (eg reconciliation payments or rebates).

    As more government underwriting agreements are awarded under the LTESA and CISA schemes, there will be an increasing number of projects in the market where such agreements are a feature of the revenue profile. We expect that market acceptance of this approach will continue to broaden over time.

    Split contracting has established itself as the market standard for BESS projects, with sponsors and financiers becoming significantly more comfortable with managing and banking the interface risks between battery supply and balance of plant (BOP) scope.

    Commissioning, handover, defects, security, liability caps and liquidated damages coverage continue to be key areas of focus in negotiations, gaps analysis and bankability assessments. However, the issues, and the related mitigation strategies and contingencies, are now well understood.

    As the BESS split contracting structure has matured, we have also begun to see sponsors with a portfolio of upcoming BESS and other renewables projects seek to partner informally with preferred battery suppliers and/or BOP contractors across that pipeline—the goal being to expedite procurement timeframes, secure production slots and standardise terms across their portfolio.

    With BESS projects increasingly being co-developed with related solar/wind projects (either greenfield or expansions), we also expect to see an increase in a common BOP contractor delivering both the battery and solar/wind BOP scope. At this stage, the BOP scope usually remains ringfenced between assets (eg there is a BESS BOP contract and a solar BOP contract). However, we expect to see sponsors push towards a single hybrid project BOP contract covering both assets, to seek to streamline contracting terms and construction programs on hybrid projects.

    In order to ensure that the structure is bankable, project financiers require a rigorous gaps analysis process underpinning the contract negotiations, along with confidence in the capability and experience of the contractors themselves. The need for a robust gaps analysis does mean more substantial engagement with financiers, and sponsors and developers have had to factor this into the overall transaction timetable. However, the continued rise in standard terms contracts from certain contractors in the market may facilitate efficiencies in the due diligence process, especially on portfolio-based financings.

    Investors continue to be attracted to BESS assets. Unsurprisingly, the reasons for their increasing investment appeal are similar to why we are seeing more and more BESS projects reach financial close.

    These factors enable BESS owners to diversify and maximise revenue output from their renewable energy portfolios. Coupled with favourable investment characteristics for BESS assets, such as lower capex costs and shorter development timelines (particularly when compared with other renewable asset types), we expect to see investment appetite for BESS assets continue to grow.

    In the Australian M&A market, this investor appetite has manifested primarily in the form of co-location ‘add-ons’—where vendors looking to sell a solar or wind project have added a BESS development opportunity to the project. If the BESS can be developed on the project’s existing land footprint, the ‘add-on’ process is relatively simple (other than for the connection process, which continues to cause headaches for developers), and the project up for sale can be rebranded as a co-located wind/solar and BESS project, unlocking for the buyer the various new revenue streams. For the vendor, those additional revenue streams mean a higher purchase price.

    What’s on the horizon

    Recognition of sub-investment grade offtakers?

    The offtaker’s credit quality will continue to be a focus for lenders when assessing BESS projects. However, as a greater range of offtakers enter the market, we can expect more frequent proposals for financiers to consider counterparties that may not have the credit ratings that would typically be required for a bankable project.

    We are seeing this area incrementally develop. This is particularly so in renewables portfolio financings, where certain sub-investment grade offtakers may be recognised and given greater weighting (and, in some cases, equivalent to an investment grade offtaker) as part of debt sizing cashflows, subject to appropriate percentage caps and other criteria being met.

    Opportunities for fully merchant BESS projects

    A further example of the evolving market for BESS financings may be found in the recent Amp Energy project financing of a fully merchant BESS project by commercial bank lenders and Export Development Canada. While we have certainly seen project financings for BESS projects with merchant exposure, those projects have typically included at least some contracted revenue component (whether through a tolling agreement, virtual power purchase agreement, LTESA or revenue risk-sharing agreement). 

    This makes the Amp transaction an interesting market development. Depending on the project and the sponsor, the debt model on the Amp transaction may not be feasible for all sponsors and developers, given that a fully merchant BESS compared with a contracted BESS would necessarily mean more conservative debt sizing, at least in the short term. However, for certain sponsors with strong equity backing, where a high percentage of equity is available to be contributed to individual projects, and where there are challenges or other commercial reasons for not procuring an offtake, a fully merchant-based project financing may still be attractive. 

    Whether this means we will see a growing number of merchant BESS project financings is unclear. The Australian Energy Market Operator (AEMO) forecasts energy storage capacity in the NEM will increase from approximately 2GW at the end of 2024 to nearly 7GW by the end of 2025.1 As more BESS projects come online over time, there may be fewer arbitrage and other similar revenue opportunities. 

    At least in the short term, we expect this may lead to certain sponsors and developers more closely exploring opportunities to raise debt against BESS projects that are fully merchant or that have substantial merchant exposure.

    Investment in BESS platforms and core components

    A growing trend is the investment in BESS-specific investment platforms. While only a limited number have come to market in Australia so far (including the recent ZEBRE BESS platform announced by ZEN Energy and HDRE), we have worked with a number of investors who are looking at opportunities in this space. Investors are drawn to the benefits of BESS projects described above and the potential to accelerate the growth of those benefits when they are aggregated on a portfolio basis.

    We have also seen increased investment interest in core BESS components, including:

    • the hardware—as rival technologies, focused on cost efficiency and safety, are emerging to challenge lithium-based batteries; and
    • the software—focusing in particular on storage and discharge optimisation.

    While the current focus from investors in these core BESS components appears to be on systems designed for the residential and commercial and industrial markets, the ambition for a number of these technologies is to scale up to the utility-scale BESS market.

    Commencement of the GO Scheme

    The Guarantee of Origin Scheme (the GO Scheme) is set to commence in 2025, bringing with it new tradeable certificates in the form of Renewable Energy Guarantee of Origin (REGO) certificates. Unlike large-scale generation certificates, REGOs will be able to be created by energy storage systems (such as batteries) where there is a ‘direct supply relationship’ with an eligible renewable energy facility.

    In addition, REGOs will be time-stamped, meaning they will record the hour of the day in which they were generated. This will allow temporal matching of electricity generation and consumption, and will likely drive a price differentiation between eg REGO certificates generated at 1pm when there is excess solar generation and 1am when renewable energy supply is scarce.

    The introduction of REGO certificates presents an interesting opportunity, and a potential new revenue source, for BESS projects.

    More information on the GO Scheme can be found in our previous Insight.

    Revenue implications from AEMO’s market interventions

    Under the National Electricity Rules, AEMO has powers to issue mandatory ‘directions’ to registered participants in the NEM in relation to the operation of their facilities. This is not uncommon, and is primarily used by the market operator to manage periods of volatility in the market and maintain the reliability standard. Participants are subsequently reimbursed for their compliance via a well-established compensation framework administered by AEMO.

    AEMO has indicated that it intends to use its directions power on battery operators to address the increasingly commonplace minimum system load issues— eg by directing an operator to fully discharge batteries early in the morning and to hold the batteries at minimum charge during the morning, with the direction lifted in the early afternoon.

    However, there are growing concerns that this directions compensation model is not fit for purpose for standalone batteries and other energy storage technologies. The financial model for a standalone BESS is particularly reliant on taking advantage of exactly these periods of financial volatility in the market, and AEMO’s directions compensation framework may not be appropriate in providing adequate financial redress for the opportunity cost that is lost by virtue of being required to comply with an AEMO direction.

    Following the AEMC’s ‘Review into electricity compensation frameworks’, the final report for which was published in December 2024 and can be found here, we expect there to be continued discussions on this issue, to ensure that BESS operators are fairly compensated for AEMO’s market interventions.

    Vanadium flow as an emerging alternative to lithium-ion?

    As the BESS market expands, we expect to see competing technologies emerge as alternatives to lithium-ion batteries. The WA Government recently announced $150 million of funding to develop a 50MW / 500MWh vanadium flow battery (VFB) in Kalgoorlie, which would be Australia’s largest VFB. While VFBs have been mooted for a number of years as a potential utility-scale alternative to lithium-ion batteries, the first (and largest) ‘commercial’ VFB in Australia (a 2MW / 8MWh battery) was only commissioned in mid-2023, as part of the Spencer Energy Project.

    The key roadblocks to the widespread adoption of utility-scale VFBs seem to be higher upfront costs compared with lithium-ion batteries (vanadium is heavily used in steel refining, which creates price and supply chain volatility), and lower roundtrip efficiency of around 70–85% (compared with 90–95% for lithium-ion batteries).

    Despite this, VFBs seemingly provide a number of commercial benefits compared with lithium-ion batteries. In particular, VFBs offer longer storage duration (between 8–12 hours), and the theoretical ability to discharge completely and for an unlimited number of times without significant degradation (providing a much longer and consistent asset life). Further, VFBs are said to be safer (and fire resistant), and storage capacity can be easily increased by adding more electrolyte. At scale and over time, these benefits could help drive a significantly lower LCOE. The WA Government’s funding may be the catalyst to cut upfront costs and kickstart VFBs as a leading alternative to lithium-ion batteries.

    The continuing evolution

    As we look ahead, it is clear that 2025 promises to be another exciting year for the BESS sector. We expect to see more diverse, and growing, opportunities for battery projects, including across construction contracting, revenue structures, project and portfolio-based financing, and M&A. 

    If you would like to hear more about what we’re seeing in the market, please contact any of the team members below.

    MIL OSI News

  • MIL-OSI USA: Grassley, Klobuchar Seek to Increase Access to Affordable Prescription Drugs

    US Senate News:

    Source: United States Senator for Iowa Chuck Grassley

    WASHINGTON – Sen. Chuck Grassley (R-Iowa), a senior member and former chairman of the Senate Finance Committee, joined Sen. Amy Klobuchar (D-Minn.) in reintroducing the Safe and Affordable Drugs from Canada Act. The bipartisan bill would allow Americans to safely import prescription drugs from Canada – lowering costs, increasing access and strengthening competition in the pharmaceutical market. 

    “Congress must take an all-of-the-above approach to lowering the price of prescription drugs. Our commonsense, bipartisan bill would provide Americans increased access to safe, affordable prescription drugs available in Canada, while boosting much-needed competition in the pharmaceutical industry,” Grassley said

    “Americans pay the highest prices in the world for prescription drugs,” Klobuchar said. “Our bipartisan legislation would save Americans money by allowing them to import their medications from pharmacies in Canada. Brand-name prescription drugs that we invent here in America cost more than twice as much in the United States as in Canada. Americans deserve better. Building on my legislation to allow Medicare to negotiate lower prescription drug costs, I will continue to work to increase competition in the pharmaceutical market so Americans no longer get ripped off by Big Pharma.” 

    Find bill text HERE. 

    Background:

    Lowering the cost of prescription drugs and increasing transparency in the pharmaceutical industry are among Grassley’s top priorities. This Congress, he introduced two bipartisan bills to shine light on the shady practices of pharmacy benefit managers (PBMs), as well as legislation to boost price transparency in prescription drug advertisements.  

    In 2017, Grassley urged the Department of Health and Human Services (HHS) to use its statutory authority under the Medicare Prescription Drug Improvement and Modernization Act of 2003 to fast-track the importation of prescription drugs from Canada under certain circumstances. In 2020, the first Trump administration finalized regulations and issued guidance allowing states and Indian Tribes to import prescription drugs from Canada under certain circumstances and with the U.S. Food and Drug Administration’s approval. Additionally, Grassley in 2021 sent a bipartisan letter to HHS highlighting his commitment to securing the importation of certain prescription drugs from Canada. 

    -30-

    MIL OSI USA News

  • MIL-OSI USA: Durbin Stresses Need To Remove Big Tech’s Liability Shield To Protect Kids From Online Fentanyl Sales

    US Senate News:

    Source: United States Senator for Illinois Dick Durbin

    February 20, 2025

    During a committee business meeting, Durbin pushed to repeal Section 230 of the Communications Decency Act

    WASHINGTON – During an executive business meeting to consider the HALT Fentanyl Act, U.S. Senate Democratic Whip Dick Durbin (D-IL), Ranking Member of the Senate Judiciary Committee, spoke about the importance of allowing people to sue social media companies when they or their loved ones are harmed by online fentanyl sales.

    Durbin offered an amendment to the bill to repeal Section 230 of the Communications Decency Act, which he ultimately withdrew after securing an agreement with U.S. Senator Chuck Grassley (R-IA), Chair of the Senate Judiciary Committee, to work together toward this goal.

    The executive business meeting concluded without action on the bill.

    Key Quotes:

    “In just a decade, fentanyl has emerged as the deadliest drug in American history. All it takes is two milligrams—a fraction of the size of a penny—to cause an overdose. There is an overdose crisis in the United States, but we have learned that evidence-based solutions reduce deaths. In fact, in 2023, overdose deaths actually decreased for the first time since 2018—by more than 10 percent.”

    “We need to look at every factor that contributed to this reduction. Counseling and treatment, training for first responders, and Naloxone, and other things are making a difference.”

    “I appreciate the hard work by the sponsors of the bill we are considering, but we can all agree that the HALT Fentanyl Act will not by itself keep our communities safe.”

    “Our law enforcement agencies are on the front lines of the fight to protect Americans. The National Crime Prevention Council estimates eighty percent of teen and young adult fentanyl poisoning can be traced to social media… which means, in my mind, we ought to consider that as part of the solution to reducing fentanyl use.”

    “Getting fentanyl off the streets is a herculean task that will require us all to put politics aside and work across the aisle to make this country a healthier, safer place to live.”

    “I don’t believe we can deal with fentanyl effectively if we don’t deal with what’s going on on social media. When 80 percent of young children who are victims of fentanyl use social media… we have to deal with it directly. Time and again, social media [companies] have made excuse after excuse that they ‘really want to cooperate with us,’ but they are never there when we need them. We have to move forward directly with this and include [social media regulation] in this effort.”

    Video of Durbin’s remarks is available here.

    Audio of Durbin’s remarks is available here.

    Footage of Durbin’s remarks is available here for TV Stations.

    -30-

    MIL OSI USA News

  • MIL-OSI: Madison Pacific Properties Inc. (TSX: MPC and MPC.C) announces results of Annual General Meeting

    Source: GlobeNewswire (MIL-OSI)

    VANCOUVER, British Columbia, Feb. 20, 2025 (GLOBE NEWSWIRE) — Madison Pacific Properties Inc. (the Company), reports the voting results of the Annual General Meeting of its shareholders held February 20, 2025 in Vancouver, British Columbia.

    The following five nominees were re-elected as directors of the Company by the following votes:

    Nominee Votes For Percent Votes Against Percent
    Sam Grippo 4,566,711 98.01% 92,925 1.99%
    Michael W. Delesalle 4,566,711 98.01% 92,925 1.99%
    Mark E. Elliott 4,566,811 98.01% 92,825 1.99%
    Jonathan H. B. Rees 4,659,411 100.00% 225
    John DeLucchi 4,552,534 97.70% 107,102 2.30%
             

    Shareholders approved, for a further period of three years, all unallocated stock options issuable pursuant to the Company’s Stock Option Plan, by the following votes:

      Votes For Percent Votes Against Percent
      4,552,434 97.70% 107,202 2.30%
             

    In addition, PricewaterhouseCoopers LLP was re-appointed as the auditor for the Company.

    About the Company: Madison Pacific Properties Inc. is a Vancouver-based real estate company.

    Contact: Mr. John DeLucchi
    President & CEO
    Ms. Bernice Yip
    Chief Financial Officer
    Telephone: (604) 732-6540 (604) 732-6540
         
     Address: 389 West 6th Avenue
    Vancouver, B.C.
    V5Y 1L1
     

    The MIL Network

  • MIL-OSI: Hundreds of Customers LLC Launches Habanero Social Platform, Revolutionizing AI-Powered Google Business Profile Management

    Source: GlobeNewswire (MIL-OSI)

    OVERLAND PARK, Kan., Feb. 20, 2025 (GLOBE NEWSWIRE) — Hundreds of Customers LLC is excited to announce the launch of HabaneroSocial.com, a state-of-the-art platform designed to transform the management of Google Business Profiles (GBP). Powered by artificial intelligence (AI) and the innovative AI assistant “Samwise,” Habanero Social offers businesses an automated solution to optimize their GBP, improve local SEO, and streamline reputation management—allowing them to focus on growth while boosting their online presence.

    Habanero Social AI-Driven Google Business Profile Automation Platform from Hundreds of Customers LLC

    In today’s digital-first world, businesses must maintain an optimized Google Business Profile to stay competitive. Traditional methods of managing a GBP can be time-consuming and inefficient. Habanero Social solves this problem by automating crucial tasks like content publishing, review management, and local SEO optimization, using Samwise to keep businesses ahead of the competition.

    In addition to Habanero Social, Hundreds of Customers LLC also offers Rank With News, a guaranteed SEO service designed to improve website rankings through strategic media placements. By combining Rank With News with Habanero Social, businesses now have a complete, integrated solution to enhance both their local search visibility and global online authority.

    Key Features of the Habanero Social Platform:

    • Automated Google Business Profile Optimization: Samwise, the platform’s AI assistant, updates and optimizes business descriptions, services, and attributes for better search engine visibility and local rankings.
    • AI-Driven Reputation Management: Automate review requests, responses, and reputation monitoring to maintain a strong, professional online presence.
    • Content Automation: Schedule and automate posts, images, and videos to keep your Google Business Profile fresh and engaging, without manual effort.
    • Enhanced Local SEO: Samwise ensures your Google Business Profile is optimized for local search terms, geotagging images and videos for maximum visibility.
    • Seamless Integration: Integrate with platforms like Zapier and CompanyCam to automate review requests, image management, and more.

    “Habanero Social is the perfect solution for businesses that want to improve their Google Business Profile and boost their local SEO without the hassle,” said Justin West, founder of Hundreds of Customers LLC. “With the added power of our Rank With News SEO service, businesses can not only dominate local search results but also enhance their brand authority through guaranteed media placements.”

    “As a business owner, you understand the importance of being visible to potential customers on platforms like Google My Business and Google Maps. With the right SEO strategy in place, your SEO efforts can help your business stand out, but managing everything manually can be overwhelming. Fortunately, using advanced SEO tools like Habanero Social allows you to automate business listings, optimize Google My Business profiles, and stay on top of important business updates—all while reducing repetitive tasks that can drain your time. Whether you’re managing multi-location businesses or working to improve customer satisfaction, our platform provides actionable insights to enhance SEO performance and boost your online visibility.

    “By automating social media posts and gathering positive reviews,” West continued, “you can improve your online reputation and drive organic traffic to your site. The platform offers real-time rank tracking, allowing you to monitor your SEO rankings and search performance as it evolves. From keyword optimization to content writers creating SEO- optimized content, you’ll gain valuable insights into your keyword rankings and see improvements in organic search results. Stay ahead of the curve with real-time updates on your social media platforms and search engine optimization, all while tracking your organic traffic and ensuring your customer interactions are optimized for success.”

    The Habanero Social platform offers businesses a comprehensive understanding of their Google Business Profile and optimizes it through AI-driven optimizations. By automating the post creation process and providing AI-generated Google Business posts, businesses can ensure relevant, high-quality content is consistently published, addressing content gaps that may hinder their visibility. The AI-powered platform streamlines data-heavy, repetitive tasks, allowing businesses to focus on growth while AI-driven summaries and data-driven insights guide their SEO efforts. 1-click publishing enables quick and easy updates, ensuring regular updates to the Google Business Profile, even for businesses with a physical location. Additionally, businesses can use this automation tool to address SEO obstacles, such as responding to negative reviews and consistently publishing high-quality content across their profiles, all without needing an SEO agency.

    With the growing importance of maintaining an active and optimized Google My Business Management profile, businesses are turning to AI-powered solutions for efficient and streamlined operations. Effective content creation, including the publishing of relevant content and regular updates, is crucial to keeping a Google Business Profile engaging and up- to-date. By automating the process of posting fresh content, businesses can ensure their profiles remain active, improving search engine rankings and increasing visibility on Google Search and Maps. These systems also help businesses monitor their customer reviews and facilitate timely review replies, which are key for fostering customer engagement and driving foot traffic. Additionally, AI tools provide comprehensive insights into search volume and customer feedback, enabling businesses to target relevant keywords that improve their visibility in local search results.

    A complete digital footprint includes not only optimized content but also accurate business details and business citations across trusted platforms. With proprietary citation management tools, businesses can easily ensure that their essential details—such as location, contact information, and services—are consistent across the web, further boosting their SEO efforts. The use of an AI-powered content editor can help businesses create content tailored to effective keywords, making it easier to address SEO obstacles and stay competitive. As businesses see progress over time through increased search visibility, these platforms provide valuable data on performance, including tracking key metrics like customer engagement and search engine rankings. By utilizing these tools, businesses can gain deeper insights into their online presence and leverage the data to optimize their approach to local SEO and increase relevant content output consistently.

    Rank With News offers businesses a guaranteed SEO solution that places them on the first page of Google through high-quality media coverage. These media placements drive traffic to their websites, strengthen their online authority, and improve search rankings, creating the perfect complement to Habanero Social’s automated GBP management and local SEO capabilities.

    Hundreds of Customers LLC on Google Maps

    Habanero Social AI-Driven Google Business Profile Automation Platform from Hundreds of Customers LLC

    About Hundreds of Customers LLC

    Hundreds of Customers LLC is a digital marketing firm focused on providing innovative solutions for businesses looking to grow their online presence. With the launch of Habanero Social, the company continues to lead the way in AI-powered marketing, offering businesses powerful tools for optimizing their Google Business Profiles. Additionally, through its Rank With News service, Hundreds of Customers LLC helps businesses achieve guaranteed SEO results through media placements that enhance their authority and search rankings.

    Press Inquiries

    Hundreds of Customers LLC / Rank With News
    https://rankwith.news
    Justin West
    justin@rankwith.news
    913 203 4252
    9200 Indian Creek Pkwy
    STE #047b
    Overland Park, KS 66210

    Photos accompanying this announcement are available at
    https://www.globenewswire.com/NewsRoom/AttachmentNg/db9f5012-89f3-4c07-bd8a-59eef0d95118
    https://www.globenewswire.com/NewsRoom/AttachmentNg/a655bea2-9f69-4f8b-abbc-cc921d39c72c
    https://www.globenewswire.com/NewsRoom/AttachmentNg/551959bd-9f31-4ed7-8c8a-c0ea74b232d5

    A video accompanying this announcement is available at
    https://www.globenewswire.com/NewsRoom/AttachmentNg/b12912c9-9328-4de4-a8ea-20f110e7e8ed

    The MIL Network

  • MIL-OSI: dLocal Refutes Short-Seller Allegations and Reconfirms Independent Investigations were Carried Out.

    Source: GlobeNewswire (MIL-OSI)

    MONTEVIDEO, Uruguay, Feb. 20, 2025 (GLOBE NEWSWIRE) — dLocal Limited (Nasdaq: DLO), a leading technology-first payments platform enabling global enterprise merchants to connect with billions of consumers in emerging markets deems the allegations made in a recent short-seller report to be inaccurate and misleading, and made by interested parties who profit from the Company’s stock price falling.

    Any suggestion that the Company failed to properly investigate identical or similar allegations in the past is inaccurate. As the Company has stated publicly, it took prompt action to investigate the allegations raised by a prior short seller report. As previously disclosed, the Company’s Audit Committee, consisting solely of independent directors, oversaw an independent review of the allegations with the assistance of independent counsel and an independent global expert services and forensic accounting advisory firm. The Company has disclosed publicly that the review overseen by the Audit Committee concluded that the prior short-seller allegations were not substantiated.

    dLocal remains committed to high standards of corporate governance, financial integrity, and regulatory compliance. It encourages investors to rely on its audited financial statements and disclosures filed with the SEC, rather than on self-serving and inaccurate reports from short-sellers with a clear financial incentive to cause short-term volatility in our stock price.

    The Company has no further comment on these allegations and remains fully focused on executing its strategy and delivering value to its merchants, shareholders, partners, and employees. It looks forward to discussing its performance during FY24 and Q4’24, and outlook going forward during the next earnings call scheduled for February 27, 2025.

    About dLocal
    dLocal powers local payments in emerging markets connecting global enterprise merchants with billions of emerging market consumers across APAC, the Middle East, Latin America, and Africa. Through the “One dLocal” concept (one direct API, one platform, and one contract), global companies can accept payments, send pay-outs and settle funds globally without the need to manage separate pay-in and pay-out processors, set up numerous local entities, and integrate multiple acquirers and payment methods in each market.

    Forward-looking statements
    This press release contains certain forward-looking statements. These forward-looking statements convey dLocal’s current expectations or forecasts of future events. Forward-looking statements regarding dLocal are based on current management expectations and involve known and unknown risks, uncertainties and other factors that may cause dLocal’s actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. Certain of these risks and uncertainties are described in the “Risk Factors,” “Forward-Looking Statements” and “Cautionary Statement Regarding Forward-Looking Statements” sections of dLocal’s filings with the U.S. Securities and Exchange Commission. Unless required by law, dLocal undertakes no obligation to publicly update or revise any forward-looking statements to reflect circumstances or events after the date hereof.

    Investor Relations Contact:
    investor@dlocal.com

    Media Contact:
    media@dlocal.com

    The MIL Network

  • MIL-OSI Video: A Message From Defense Secretary Hegseth to the American Warfighter and the American Taxpayer

    Source: United States Department of Defense (video statements)

    Defense Secretary Pete Hegseth shares his priorities of strengthening the military by cutting fiscal fraud, waste and abuse at DOD while also finding ways to refocus the department’s budget.
    —————
    Your military is an all-volunteer force that serves to protect our security and way of life, but Service members are more than a fighting force. They are leaders, humanitarians and your fellow Americans. Get to know more about the men and women who serve, who they are, what they do, and why they do it.

    For more on the Department of Defense, visit: http://www.defense.gov
    —————
    Keep up with the Department of Defense on social media!

    Like the DoD on Facebook: http://facebook.com/DeptofDefense
    Follow the DoD on Twitter: http://twitter.com/DeptofDefense
    Follow the DoD on Instagram: http://instagram.com/DeptofDefense
    Follow the DoD on LinkedIn: https://www.linkedin.com/company/DeptofDefense

    https://www.youtube.com/watch?v=P_d40cRVDbA

    MIL OSI Video

  • MIL-OSI New Zealand: Tech and Security – New Zealand’s digital wellbeing ranking declines with the biggest setback in internet affordability

    Source: SurfShark

    The Digital Quality of Life Index is an annual study that ranks 121 countries by their digital wellbeing based on 5 core pillars: internet quality, internet affordability, e-security, e-infrastructure, and e-government                                

    Surfshark’s Digital Quality of Life Index (DQL) 2024 ranks New Zealand 32nd in the world. The study indicates how well the country is performing in terms of overall digital wellbeing compared to other nations. New Zealand dropped by five places from last year, which suggests the commitment to develop the digital landscape and position the country as a leader in leveraging technological advancements to improve citizens’ quality of life has slowed down. (ref. https://surfshark.com/research/dql )

    “In an election year like 2024, where the digital realm shaped political discourse and societal values, prioritizing digital quality of life proved to be more important than ever. It helps to ensure informed citizens, protects democratic processes, and fosters innovation. Our annual project helps to better understand where each county stands in terms of digital divide, highlighting where a nation’s digital quality of life excels and where further focus is required,” says x, Surfshark’s spokesperson.

    Out of the Index’s five pillars, New Zealand performed best in e-infrastructure, claiming 19th place, but faced challenges in e-security, ranking 36th. The nation ranks 23rd in e-government, 30th in internet affordability, and 35th in internet quality. In the overall Index, New Zealand surpasses Australia (37th) but lags behind the UK (9th). In Oceania, New Zealand takes 1st place and leads the region.    

    New Zealand ranks higher in e-government than 81% of the countries analyzed, with 98 countries falling below it.       

    E-government determines how advanced and digitized a country’s government services are. A well-developed e-government helps minimize bureaucracy, reduce corruption, and increase transparency within the public sector. This pillar also shows the level of Artificial Intelligence (AI) readiness a country demonstrates. Countries with the highest readiness to adopt AI technology are also ready to counter national cyberthreats. New Zealand ranks 23rd in the world in e-government — nine places lower than last year.

    New Zealand is 36th in the world in e-security — same as last year.  

    The e-security pillar measures how well a country is prepared to counter cybercrime and how advanced a country’s data protection laws are. New Zealand outperforms Australia, which ranks 42nd, but lags behind the UK, which takes 23rd place in the e-security pillar. New Zealand is prepared to fight against cybercrime; the country has good data protection laws.     

    “New Zealand has robust data protection laws, with its Privacy Acts sharing key similarities with the GDPR — one of the world’s strictest data protection frameworks. Both regulate data collection, usage, and transfers; however, unlike the GDPR, New Zealand’s Privacy Acts do not emphasize consent or address rights such as data erasure, objection, portability, or DPIAs. On the other hand, they provide more detailed guidelines for information sharing with public agencies. Despite strong data protection laws, improving New Zealand’s ability to combat cybercrime remains an important area for growth. A 2024 study by telecommunications company Kordia highlighted vulnerabilities affecting businesses, including third-party vendor failures, cloud misconfigurations, and security lapses. Strengthening e-security will be key to enhancing New Zealand’s digital quality of life in the future,” says x, Surfshark’s representative.

    New Zealand’s internet quality is 17% higher than the global average.                                              

    New Zealand’s fixed internet averages 240Mbps. To put that into perspective, the world’s fastest fixed internet — Singapore’s — is 347Mbps. Meanwhile, the slowest fixed internet in the world — Tunisia’s — is 14Mbps.

    New Zealand’s mobile internet averages 152Mbps. The fastest mobile internet — the UAE’s — is 430Mbps, while the world’s slowest mobile internet — Yemen’s — is 12Mbps.

    Compared to Australia, New Zealand’s mobile internet is 5% slower, while fixed broadband is 115% faster. Since last year, mobile internet speed in New Zealand has improved by 19%, while fixed broadband speed has grown by 9%.  

    Despite the setback, the internet is affordable in New Zealand compared to other countries.        

    New Zealanders have to work 1 hour 15 minutes a month to afford fixed broadband internet. While this is less than average, it is 5 times more than in Bulgaria, which has the world’s most affordable fixed internet (Bulgarians have to work 14 minutes a month to afford it). 

     
    New Zealanders have to work 51 minutes 19 seconds a month to afford mobile internet. This is 4 times more than in Angola, which has the world’s most affordable mobile internet (Angolans have to work 9 minutes a month to afford it).              

    “This year’s Digital Quality of Life (DQL) ranking revealed a decline in New Zealand’s internet affordability. And DQL is not the only research that highlights this — recent research from Cable.co.uk placed New Zealand 128th globally for broadband affordability. The average monthly broadband cost in New Zealand was reported at NZD 82 — a staggering twenty times higher than Sudan, which topped the list as the most affordable. An expert from Cable.co.uk also noted that the high cost of broadband in developed nations like New Zealand is not necessarily due to the expense of deploying advanced infrastructure but is often influenced by higher earnings and market conditions. To improve its overall digital quality of life, New Zealand may need to look deeper into enhancing its internet affordability,” says x, Surfshark’s representative.

    New Zealand is 19th in e-infrastructure.  

    Advanced e-infrastructure makes it easy for people to use the internet for various daily activities, such as working, studying, shopping, etc. This pillar evaluates how high internet penetration is in a given country, as well as its network readiness (readiness to take advantage of Information and Communication Technologies). New Zealand’s internet penetration is high (96% — 14th in the world), and the country ranks 23rd in network readiness.

    On a global scale, investing in e-government and e-infrastructure improves digital wellbeing the most.                                      

    Among the five pillars, e-government has the strongest correlation with the DQL Index (0.92), followed by e-infrastructure (0.91); internet affordability shows the weakest correlation at 0.65.        

    METHODOLOGY

    The DQL Index 2024 examines 121 nations based on five core pillars that consist of 14 indicators. The study is based on the United Nations’ open-source information, the World Bank, and other sources. New Zealand’s full profile in the 2024 Digital Quality of Life report and an interactive country comparison tool can be found here: https://surfshark.com/research/dql/country/NZ

    NOTES

    Surfshark is a cybersecurity company focused on developing humanized privacy and security solutions. The Surfshark One suite includes one of the very few VPNs audited by independent security experts, an officially certified antivirus, a private search tool, and a data leak alert system. Surfshark is recognized as the Tech Advisor’s Editor’s Choice for 2024. For more research projects, visit our research hub at: surfshark.com/research

    MIL OSI New Zealand News

  • MIL-OSI Security: Lackawanna man pleads guilty to defrauding Medicaid

    Source: Office of United States Attorneys

    BUFFALO, N.Y. – Acting U.S. Attorney Joel L. Violanti announced today that Munef Fadhel, 37, of Lackawanna, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to health care fraud, which carries a maximum penalty of 10 years, and a $250,000 fine.

    Assistant U.S. Attorney Franz M. Wright, who is handling the case, stated that between June 2017, and December 2020, Fadhel defrauded the Medicaid program. Fadhel was an owner of Great Lake Transportation, Inc., a transportation company that provided rides to Medicaid beneficiaries. While working at Great Lake Transportation, he knowingly submitted multiple false and fraudulent records seeking transportation reimbursement for trips. Fadhel submitted claims for shared rides which he certified as individual rides in order to claim a higher reimbursement amount. This resulted in a loss to Medicaid in excess of $95,000.

    The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia, and the New York State Department of Financial Services, under the direction of Superintendent Adrienne A. Harris.

    Sentencing is scheduled for August 19, 2025, at 10:00 a.m. before Judge Sinatra.

    # # # #

    MIL Security OSI

  • MIL-OSI Submissions: Africa – Scottish Africa Business Association Embarks on Pioneering Trade Mission to Kenya

    SOURCE: Scottish Africa Business Association (SABA)

    This mission will take place from 12-16th May and will focus on key sectors that promise mutual growth and innovation

    ABERDEEN, Scotland, February 20, 2025/ — The Scottish Africa Business Association (SABA) (www.AfricaScot.com) is excited to announce a trade mission to Kenya to explore new business opportunities for Scottish companies and institutions, supported by the Scottish Government. This mission will take place from 12-16th May and will focus on key sectors that promise mutual growth and innovation.

    One of our key sectors of focus will be around exploring opportunities in both traditional and innovative energy solutions; our delegates will hear about how they can help enhance energy security and efficiency through strategic partnerships and technological advancements.  As Kenya leads East Africa in renewable energy production, Scottish companies specialising in wind, solar, geothermal and tidal energy will have the chance to find out more about the opportunities in country.

    Building on the strong educational links between Scotland and Africa, the delegation will explore opportunities around vocational training, skills development, and university partnerships to empower the next generation.

    With Kenya’s extensive coastline and rich marine resources, the maritime and blue economy sectors offer vast potential. Our mission will explore sustainable practices in aquaculture, fisheries, marine transport and port logistics and infrastructure to boost economic growth while preserving marine ecosystems.

    Seona Shand, Chief Operating Officer at SABA, said: “SABA’S trade mission to Kenya will feature a comprehensive and engaging programme designed to maximise the benefits for our participants.  We’ll be hosting B2B meetings, round tables, site visits, networking and receptions providing supreme opportunities for them to win new business.”

    Scottish businesses should be interested in the Kenyan market – one of Africa’s fastest growing economies with a diverse and resilient economic base, as the largest economy in East Africa it serves as a gateway to a regional market of over 450 million people.

    The country is a leader in renewable energy, with over 90% of its electricity coming from renewable sources such as geothermal, wind and solar power.  In addition, its growing youth population places high demand on quality education and skills development.  With Scotland’s globally respected higher education institutions and training providers, opportunities are abundant for leveraging talent in a pool primed for innovation.

    Frazer Lang, Chief Executive at SABA, added: “We are pleased to be organising this trade mission to Kenya, a country with immense potential and a shared vision for sustainable growth. This mission represents a significant step towards strengthening our economic ties and exploring new avenues for collaboration.  Scottish businesses can not only drive their international growth but contribute to transformative changes in one of Africa’s most vibrant markets.  Our thanks go to the Scottish Government for supporting SABA to help Scottish businesses in this market.”

    Any Kenyan businesses interested in meeting with the Scottish delegation from the aforementioned sectors are encouraged to get directly in touch with the team from SABA, along with those interested in sponsoring or partnering with SABA.

    For more information, click here (https://apo-opa.co/3X7L9qC).                

    About the Scottish Africa Business Association (SABA):
    SABA is the preeminent non-political, Africa focussed, members trade organisation with an unrivalled board of experienced directors which promotes trade, investment and knowledge sharing between Scotland’s world class expertise and Africa’s priority sectors including energy, agriculture, the blue economy, healthcare, skills training and education by leveraging extensive commercial, trade, political and government contacts across Scotland and Africa.

    As part of this, our team organises private meetings, round tables, seminars, conferences, global trade missions and offers market research, intelligence sharing and consultancy services.                  

    MIL OSI – Submitted News

  • MIL-OSI Submissions: Africa – Arab Fund and United Nations Economic and Social Commission for Western Asia (UN-ESCWA) Join Forces to Upgrade Data Portal for Sustainable Development in the Arab Region

    SOURCE: Islamic Development Bank Group (IsDB Group)

    The three-year partnership will include hands-on workshops, the creation of knowledge sharing resources, and the development of innovative strategies to improve development indicators

    KUWAIT CITY, Kuwait, February 20, 2025/ — The Arab Fund for Economic and Social Development and the United Nations Economic and Social Commission for Western Asia (UN-ESCWA) signed a Memorandum of Understanding (MoU) to enhance the Arab Development Portal (https://apo-opa.co/4h645gR), a key online data resource for Arab countries. This collaboration aims to speed up Arab countries’ progress towards achieving the Sustainable Development Goals (SDGs).

    The portal is a regional knowledge and data platform providing access to reliable development data from various credible sources. The upgraded version will include tools powered by artificial intelligence tools, user-friendly dashboards and predictive analytics, offering valuable insights into economic trends, global benchmarks, and SDG indicators.

    “This collaboration with the Arab Fund, representing ACG institutions, marks a pivotal step in strengthening data-driven, evidence-based decision-making across the Arab region. By enhancing data dissemination and accessibility, we empower policymakers and researchers with the insights needed to address critical challenges in economic development, public health, unemployment, climate resilience, and other key areas aligned with the Sustainable Development Goals,” said Rola Dashti, Under-Secretary-General and Executive Secretary of UN-ESCWA.

    The Arab Development Portal (https://apo-opa.co/4h645gR) was established by the Arab Coordination Group (ACG) (https://apo-opa.co/41ouIJ4), an alliance of 10 Arab development institutions including the Arab Fund.

    “Partnership is at the core of our new strategy to maximize our impact on social and economic development across member countries,” said Bader Alsaad, Arab Fund’s Director General and Chairman of the Board of Directors. “Together with UN-ESCWA we will use our expertise and resources to create a data-driven approach that helps policymakers make informed decisions.”

    The three-year partnership will include hands-on workshops, the creation of knowledge sharing resources, and the development of innovative strategies to improve development indicators. It will also strengthen connection between the portal and its sources and will offer specialized training on AI tools to boost skills in data management and analysis.

    MIL OSI – Submitted News

  • MIL-OSI Submissions: Business – Valsoft Financial Services Portfolio Strengthened with the Acquisition of Digital Currency Systems

    Source: Valsoft Corporation Inc

    Montreal, Canada, February 20, 2025 – Valsoft Corporation Inc. (“Valsoft”), a Canadian company specializing in the acquisition and development of vertical market software businesses, is pleased to announce the acquisition of Digital Currency Systems (“DCS”), a leading provider of cash checking point-of-sale systems for the alternative financial services industry.

    DCS solutions and expertise, empower financial service businesses with turnkey solutions, helping them optimize operations and expand service offerings. Its extensive suite of products enables merchants to provide a wide array of financial services, including check cashing, bill payment, debit card loading, money transfer, and more.

    “Joining the Valsoft family is an exciting new chapter for DCS,” said Todd Gagerman, CEO of Digital Currency Systems. “For years, we have been committed to delivering best-in-class technology solutions to our customers. With Valsoft’s support, we look forward to accelerating our growth, enhancing our technology, and expanding our reach.”

    “DCS has built a strong reputation for innovation and customer service, and we are thrilled to welcome them to Valsoft,” said Antonino Piazza, Investment Partner at Valsoft. “This acquisition reinforces our commitment to investing in industry-leading software businesses and providing them with the resources to scale and thrive. We look forward to working alongside the DCS team to drive long-term growth and success.”

    With this latest acquisition, DCS becomes the fifth financial services company to join Valsoft’s portfolio and the second specializing in check-cashing software.  The DCS team remains committed to serving its customers while leveraging Valsoft’s global expertise and resources to drive future growth.

    About Digital Currency Systems

    Digital Currency Systems is a leading technology provider in the alternative financial services space. Merchants utilize their systems and industry knowledge to manage all aspects of providing services such as check cashing, bill payment, debit card loading, money transfer, and more. For more information: https://www.dcsorg.com/.

    About Valsoft
    Valsoft acquires and develops vertical market software companies that deliver mission-critical solutions. A key tenet of Valsoft’s philosophy is to invest in established businesses and foster an entrepreneurial environment that shapes a company into a leader in its respective industry. Unlike private equity and VC firms, Valsoft does not have a predefined investment horizon and looks to buy, hold, and create value through long-term partnerships with existing management and customers. Learn more at www.valsoftcorp.com.

    Valsoft was represented internally by David Felicissimo (General Counsel). Digital Currency Systems was represented by Faegre Drinker Biddle & Reath LLP.

    MIL OSI – Submitted News

  • MIL-OSI New Zealand: Speech to Committee for Auckland

    Source: New Zealand Government

    Good afternoon. Can I acknowledge Ngāti Whātua for their warm welcome, Simpson Grierson for hosting us here today, and of course the Committee for Auckland for putting on today’s event.
    I suspect some of you are sitting there wondering what a boy from the Hutt would know about Auckland, our largest city.
    Well, let me reassure you that I know and love this city. I lived here for two years, many of my friends live here, and I am here almost every week.
    Auckland is critical to New Zealand’s future and today I want to talk about how we create that future, with central government working alongside the Auckland Council and Auckland communities.
    Growth 
    Let me start with the economic picture.
    We are in challenging economic times. The government came to office with New Zealand in the midst of a prolonged cost of living crisis, with high inflation, high interest rates, and after years of profligate debt-fuelled government spending.
    Turning that around is not going to be easy and it is not going to happen immediately.
    We have made good progress. Budget 2024 started the repair job. Business and consumer confidence is returning. The OCR was cut by another 50 basis points on Wednesday, meaning mortgage rate relief for households. The latest Federated Farmers Farm Confidence Survey shows confidence surging by 68 points since July 2024 – the largest one-off improvement in sentiment since the question was introduced.
    But there is a lot to do, and we need to be honest with ourselves. We have been slipping for years. 
    Our challenge as a country isn’t just about the last few years, or even the last decade.
    We have low productivity growth, low capital intensity in our firms, low levels of competition in many sectors, challenges in attracting and retaining skills and talent, low uptake of innovation, unaffordable housing and a growing tail of New Zealanders leaving school without basic skills. 
    But stagnation and mediocrity is not our destiny.
    Not if we make the right choices and not if we have courage.
    Going for economic growth means saying “yes” to things when we’ve said “no” in the past.
    It means taking on some tough political debates that we’ve previously shied away from. I’m going to talk about one today.
    It means bold decisions which may look difficult at the time but which in hindsight will be regarded incontrovertibly as the right thing to do.
    Managed decline is only inevitable if we let it be.
    Auckland Growth 
    So today I want to talk to you about Auckland and how important it is to our plans.
    Auckland is New Zealand’s capital city of growth. It is home to one third of New Zealand’s population and contributes nearly 40% to our national GDP. It has higher labour productivity than the rest of New Zealand, and is home to some of New Zealand’s most exciting growth-industries, with 116 of our country’s top 200 tech firms calling Auckland home. 
    We are not going to be successful in growing our economy if we don’t think carefully about how we enable Auckland, as our largest and most important city, to thrive. 
    I have the enormous privilege of being the Minister of Housing, Infrastructure, RMA Reform and now Transport.
    I am determined to help build an Auckland that is a world-class, international city.
    I make no apologies for being an urbanist. Well-functioning urban environments with abundant housing, transport that gets people where they need to go quickly and efficiently, and functional infrastructure, will do more to create a brighter future for Kiwis than just about anything else government can do. 
    Next year is shaping up as an exciting one. The first trains will run on the City Rail Link and the NZ International Convention Centre will finally open its doors.
    The government is investing heavily into transport in Auckland, through new Roads of National Significance, new busways, and commuter rail.
    These investments build on the significant progress made in recent years, particularly by National-led governments – think of Waterview, the Victoria Park Tunnel, and the starting of the City Rail Link.
    A couple of weeks ago it was my pleasure to mark the start of the extension of the Auckland commuter network to Pukekohe, with the completion of the electrification of the line from Papakura to Pukekohe.
    Later this year the Third Main line rail project will conclude, helping ease congestion and enabling faster train journeys. 
    The growth of the Auckland commuter rail network since the early 2000s has been remarkable and the government is keen to encourage that growth.
    Because the reality is that congestion is choking Auckland.
    The average Auckland commuter spends over 5 days in traffic each year. In fact, in 2024 the Auckland metro area had the highest congestion levels in Oceania. This means Auckland is less productive, less accessible, and less liveable that it should be. 
    Congestion stifles economic growth in Auckland, with studies showing that it costs between $900 million to $1.3 billion per year.
    Congestion is essentially a tax on time, productivity, and growth. And like most taxes, I’m keen to reduce it.
    The government will be progressing legislation this year to allow the introduction of Time of Use pricing on our roads.
    We will send that Bill off to a select committee before the end of March and the public will be able to have their say on it.
    There has been study after study into time of use pricing in New Zealand. It’s time to get on with it.
    The framework we have agreed to will enable local councils to propose time of use schemes on their networks.
    All schemes will be focused on increasing productivity and improving the efficiency of traffic flow in cities. Local councils will propose schemes in their region, with NZTA leading the design of the schemes in partnership with councils to provide strong oversight and to ensure motorists benefit from these schemes. 
    All schemes will require approval from the Government.
    Any money collected through time of use charging will be required to be invested back into transport infrastructure that benefits Kiwis and businesses living and working in the region where the money was raised. Councils will not be able to spend this money on other priorities.
    The Government will prioritise working with Auckland Council on designing a Time of Use pricing scheme that increases productivity and reduces congestion.
    Modelling has shown that successful congestion charging could reduce congestion by up to 8 to 12 percent at peak times, improving travel times and efficiency significantly.
    Auckland Housing 
    That brings me to housing. 
    One of the things I’ve been trying to emphasise since I became a Minister is that housing has a critical role to play in addressing our economic woes.
    There is now a mountain of economic evidence that cities are unparalleled engines of productivity, and the evidence shows bigger is better.
    New Zealand can raise our productivity simply by allowing our towns and cities to grow up and out. We need bigger cities and, to facilitate that, we need more houses. As our biggest city, Auckland has to be a leader in this mission.
    As Housing Minister I am focused on getting the fundamentals of the housing market sorted. 
    The Government’s Going for Housing Growth agenda involves freeing up land for development and removing unnecessary planning barriers, improving infrastructure funding and financing, and providing incentives for communities and councils to support growth.
    Report after report and inquiry after inquiry has found that our planning system, particularly restrictions on the supply of urban land, are at the heart of our housing affordability challenge.
    We are not a small country by land mass, but our planning system has made it difficult for our cities to grow. As a result, we have excessively high land prices driven by market expectations of an ongoing shortage of developable urban land to meet demand. 
    Last year Cabinet agreed to a number of specific actions it would take to free up land for development, which we’ve called Pillar One of our Going for Housing Growth Plan.
    These include new housing growth targets for the country’s largest councils, new rules to make it easier for cities to expand outwards at the urban fringe, such as the abolishment of the rural-urban boundary in Auckland, a strengthening of the intensification provisions in the National Policy Statement on Urban Development including requiring more mixed-use zoning, the abolishment of minimum floor areas and balcony requirements, and making the MDRS optional for councils. 
    These changes build on the existing Auckland Unitary Plan, which evidence shows has made a real difference in Auckland. 
    It also builds on the National Policy Statement on Urban Development brought in by the last government, which we support.
    I am focusing on the fundamentals because ultimately that is what drives price.
    Very soon I will announce Cabinet decisions around better infrastructure funding and financing tools, so growth can be properly funded.
    And I’ll also soon announce decisions on how we will replace the Resource Management Act, the giant millstone on the neck of the New Zealand economy. 
    City Rail Link 
    Speaking of infrastructure, let’s talk about the City Rail Link.
    Without a doubt, the most transformative and ambitious project in recent memory in Auckland is the City Rail Link. 
    Under the feet of Auckland for the better part of a decade has been the most ambitious, and one of the most expensive, projects in the city’s history. Thousands of workers building 3.5 kms of tunnel to bring Auckland’s transportation system into the 21st century.
    When I was made Transport Minister by the Prime Minister earlier this year, I said to my team that I wanted my first visit to be to see City Rail Link. To me, this project epitomises the opportunities in New Zealand’s transport future.    
    Once open next year, CRL will double Auckland’s rail capacity and reduce congestion across the city, enabling Aucklanders to get to where they want to go faster.
    This will be huge for the city. The privilege of not having to worry about missing a train because another one is only minutes away is something, up until now, Aucklanders have only been able to experience in cities like London or Tokyo. But now it’s almost Auckland’s turn.
    I’ve been down to the new stations. Aucklanders are going to be blown away. My prediction is that people will say what they always do once a big new project eventually finishes: why didn’t we do this decades ago?
    It is critical for the city’s future that we take advantage of CRL and ensure that the maximum benefits are felt by Aucklanders. That’s why today I am pleased to announce a number of steps the Government is taking to fully harness the true benefits of City Rail Link.
    Level Crossings
    The first step is removing level crossings. 
    CRL will only achieve its true potential capacity by the removal of level crossings – locations where roads and rail tracks intersect.
    Frankly, every motorist under the sun hates them, me included. They require the direct trading-off between road-user efficiency and rail-user efficiency. 
    Separating our train and roading systems by grade-separating level crossings greatly reduces traffic delays for motorists, while at the same time enables more frequent and reliable trains. It means that, in future, we can run many more trains on the Auckland network, without having to worry about disrupting the road network.
    Crucially, it will also make our railways safer. In the decade between 2013 and 2023, Auckland saw almost 70 crashes – some of these serious, as well as more than 250 pedestrian near-misses and 100 vehicle near misses at level crossings across the city. That’s almost one incident a week. 
    Investment in Auckland’s level crossings delivers a faster, safer, and more reliable transport system. It’s a win, win, win.
    Sorting level crossings in Auckland will take many years and cost a lot – but it is imperative we crack on with the job of doing the most important ones first.
    I am announcing today that, subject to final approval by the NZTA board, the Government will be allocating funding for its share of the cost of accelerating the grade-separation of 7 level crossings in Takāanini and Glen Innes. 
    The work will involve building three new grade-separated road bridges at Manuia Road, Taka Street, and Walters Road; constructing new station access bridges at Glen Innes, Te Mahia and Takāanini Stations, and closing two unsafe crossings at Spartan Road and Manuroa Road.
    Auckland Council has previously indicated that it is willing to fund its share of the cost, so this announcement will provide Aucklanders with confidence that the work will go ahead.
    Removing these level crossings now also enables us to take advantage of already planned network closures and will hopefully avoid the need for disruptions to the rail network in the future to make these much-needed changes.
    We are committed to the most efficient transport system in Auckland for everyone – no matter how you get around. For us, it’s never only about trains, or only about cars, or only about buses, or only about bikes. It must be all of the above – which is exactly why we are prioritising the removal of these level crossings 
    Transit oriented development
    As I’ve said, there are a number of actions being taken across the Auckland Rail network with a focus on transforming connectivity throughout the city. City Rail Link is just one part of it.
    This ambitious programme of work will open up job opportunities, new investment opportunities, and new places to live and work.
    It should also, in theory, result in a significant increase in development density in and around Auckland’s railway stations, especially those benefiting from City Rail Link.
    We have to ask ourselves: are we doing all we can to fully take advantage of this multi-billion-dollar transport investment? 
    I believe that in order to properly unlock economic growth in Auckland, we must embrace the concept of transit-oriented development adopted by the world’s best and most liveable cities.
    This approach promotes compact, mixed-use, pedestrian friendly cities, with development clustered around, and integrated with, mass transit. The idea is to have as many jobs, houses, services and amenities as possible around public transport stations. 
    This is not an untested theory: transit-oriented development has been adopted across the world in cities like Stockholm, Copenhagen, Hong Kong, Tokyo, and Singapore.
    Cities that embrace this approach consistently outperform those that don’t across multiple metrics: they experience increases in productivity, lower unemployment, higher population growth, increased availability of homes, and more stable rents.
    A floor filled with smart people working next to each other, in a building filled with floors of smart people working next to each other, unsurprisingly, enables greater economic opportunities for productive growth. Proximity encourages collaboration and innovation.
    Transit-oriented development creates exactly these kinds of possible agglomeration effects – for example, it has been shown that doubling job density increases productivity by 5 – 10%. 
    The evidence speaks for itself. 
    Let’s look at Stockholm, where development has generally followed the city’s main public transport corridors. There, the gross value added per capita grew 41% between 1993 and 2010. In fact, both Stockholm and Copenhagen rank as among the world’s top cities in terms of per capita GDP.  
    Across the ditch in Sydney, they have just opened their brand-new Sydney Metro development, which has been widely recognised for its successful integration of high-density housing and mixed-use developments. This project is expected to contribute around AUD $5 billion annually to the New South Wales economy.
    To answer the question: are we doing all we can to fully take advantage of City Rail Link? The answer is clearly no.
    So, today I am announcing that the Government will be kicking off a work programme to properly take advantage of the opportunities that transit-oriented development could have on Auckland, and what actions we can take in the short-term to better enable development clusters around City Rail Link stations.
    Right now, Auckland Council is only required to zone 6 stories around rapid transit stops. We are going to need to go much, much higher than that around the CRL stations if we truly want to feel the benefits of transit-oriented development.  
    My aspiration is that in 10-20 years’ time, we have 10-20 storey apartment blocks dotting the rail line as far west as Swanson and Ranui. But for right now, we need to look at how to increase development opportunities around the inner core of stations.
    Take Kingsland, for example.
    Once CRL open Kingslanders will have a 20 minute travel time saving to Aotea station from the project. But Kingsland’s population actually declined by 4.7% between 2019 and 2023; and while Auckland averaged 15,375 annual new builds over the last 5 years, Kingsland built just 22.
    Compare that to Paramatta in Sydney. It too benefits by circa 20 minute time savings from the Sydney Metro project and has upzoned from a few stories to more than 60 in some cases.
    Kingsland is still predominantly made up of single story dwelling zones.
    How about if our aim is to make the special character of suburbs be that they are thriving, liveable, affordable communities with access to regular and reliable public transport?
    For many families, the dream of home ownership looks a little different today. Many young families are now choosing to swap the station wagon for the train station, and the corner dairy for the cafe.
    There will always be a place in New Zealand for the quarter-acre section and the large family home. But we have to be honest with ourselves: that place isn’t within a stones-throw of a transformational piece of transport infrastructure with the ability to shuttle tens of thousands of passengers each day. 
    We must allow Kiwis to make the choice that’s best for them. Permitting more development close to train stations and rapid bus routes supports those who want to live nearer to their work and their friends, just like the significant investment the Government is making in new highways and roads support those who want to live in our world-class towns and suburbs. 
    Change is inevitable. My job as a Minister it to make sure that change is shaped by the lives Kiwis want to live and the homes they want to live in.
    Viewshafts 
    One barrier to proper high-density in Auckland, including around City Rail Link stations, is undoubtedly the current settings of the 73 viewshafts that have restricted the height of the city since the early 1970s. 
    In 2016, the Independent Hearing Panel for the Auckland Unitary Plan recommended further work on the viewshafts, including refining them to improve their efficiency and reduce opportunity costs. In the almost-decade since, this work has not been progressed.
    Some of these viewshafts don’t make a lot of sense. The Unitary Plan protects the view from the tolling booths on the North Shore, so that those people sitting in their cars getting ready to pay their toll for the Harbour Bridge have a nice view of Mt Eden. Of course there hasn’t been tolling booths on the North Shore since the mid-1980s. 
    Forty years later, we are still protecting a view that would be considered dangerous-driving to admire. A study done in 2018, looking at this one view shaft – the E10 – showed that its cost was roughly $1.4 billion in lost development opportunities. This is just the impact of one of the 73 viewshafts. 
    It is worth stressing that the cost is almost certainly much greater than $1.4 billion. It only includes costs to the city centre, and about half the land under E10 falls outside the city centre. So add that on.
    It doesn’t look at the positive externalities of intensification, such as agglomeration and other wider economic benefits. So add that on too.
    It doesn’t look at public land, just private. Add that on. 
    And it’s based on 2014 land values.
    And this is just one viewshaft.
    I hope you’ll agree with me that the cost is immense.
    Aucklanders and local mana whenua have always had a special relationship with the Māunga and Volcanic cones that their city is nestled between. It is right that we acknowledge and protect this special relationship. 
    But even just minor tweaks to existing viewshafts could materially lift development opportunities. The 2018 study showed that rotating the E10 viewshaft just 4.5 degrees to the left maintains the view of Mt Eden for a similar amount of time, whilst saving the city 43% of the lost development opportunity cost.
    Today I can tell you that Mayor Brown and I have had discussions on this issue, and he said he is open to a fresh look at Auckland’s viewshaft settings in its Unitary Plan. We agree that the time is right to start the conversation. This is particularly relevant where the viewshafts impact the CBD and major transit corridors.
    We are committed to trying to find a way though – alongside mana whenua – to get the balance right between economic growth, and the special role these Māunga play in the unique identity of Auckland. 
    We are not proposing to remove these viewshafts. Rather, we are recognising that as the city changes, and there will be areas where the viewshafts should change with it.
    The tollgate viewshaft example above proves that it is possible to eat our cake and have it too. We can both preserve views and enable more development. That is the kind of change that a dynamic city requires to be the best for all its people.
    Conclusion
    Auckland has a bright future. 
    You have the country’s premier convention centre opening early next year. 
    You have City Rail Link opening later next year. 
    You have what are essentially new cities being built to your west, and to your south.
    New roads are opening.
    Congestion pricing is on the way.
    And more housing is being built. 
    Whenever I come here, I get a palpable sense of opportunity knocking.
    This city isn’t waiting: it’s getting on with the mission of growth. 
    It is bursting at the seams with opportunities – now, it is the responsibility of all of us to help make it happen. 
    Thank you.

    MIL OSI New Zealand News

  • MIL-OSI Economics: IMF Executive Board Concludes 2024 Article IV Consultation with Thailand

    Source: International Monetary Fund

    February 20, 2025

    Washington, DC: On February 11, The Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation[1] with Thailand and endorsed the staff appraisal without a meeting on a lapse-of-time basis.

    Thailand’s economy is gradually recovering, but at a slower pace than peers. Economic activity expanded modestly by 1.9 percent in 2023 and 2.3 percent in the first three quarters of 2024, driven by private consumption growth and a rebound in tourism. Inflation remained subdued, averaging 0.4 percent (y/y) annually in 2024, well below the Bank of Thailand’s target range of 1 to 3 percent. External factors such as the decline in global energy and food prices, lower import prices have played a role, but domestic factors such as energy subsidies, price controls, and the unwinding of pandemic-related fiscal support have also contributed to the lower inflation. The current account balance strengthened to 1.4 percent of GDP in 2023, from -3.5 percent of GDP in 2022, and continues to register a moderate surplus as of November 2024, supported by the continued recovery in tourism and higher exports.

    A gradual cyclical recovery is expected to continue. Real GDP is projected to grow by 2.7 percent in 2024 and to increase to 2.9 percent in 2025. This is underpinned by the expansionary fiscal stance envisaged under the 2025 budget, which includes additional cash transfers of 1.0 percent of GDP and a rebound in public investment. Tourism-related sectors are expected to continue to support growth, as well as private consumption that will be further boosted by the authorities’ cash transfers. As growth continues to firm up, inflation is expected to pick up but remain in the bottom half of the target range in 2025. The current account balance is expected to improve further in 2024 and 2025, driven by the ongoing recovery in tourist arrivals.

    Risks to Thailand’s economic outlook are tilted to the downside. On the external front, an escalation of global trade tensions or deepening geoeconomic fragmentation could disrupt Thailand’s export recovery and dampen FDI inflows, while increased commodity price volatility could affect growth and lead to inflation spikes, and potentially tighter-for-longer global financial conditions. The intensification of regional conflicts could disrupt trade and travel flows while more frequent extreme climate events would adversely impact growth prospects. On the domestic front, the private sector debt overhang could impair financial institutions’ balance sheets and further decrease credit supply, negatively affecting growth. Renewed political uncertainty could hinder policy implementation and undermine confidence.

    Executive Board Assessment[2]

    In concluding the 2024 Article IV consultation with Thailand, Executive Directors endorsed the staff’s appraisal, as follows:

    Thailand’s economic recovery is ongoing, but it has been relatively slow and uneven. Economic activity expanded modestly in 2024, driven by private consumption and a rebound in tourism-related activities, while delayed budget implementation slowed the pace of public investment. The slow recovery, compared to ASEAN peers, is also rooted in Thailand’s longstanding structural weaknesses, while emerging external and domestic headwinds have also contributed to subdued inflation. The outlook remains highly uncertain with significant downside risks.

    As economic slack narrows, the focus should shift to rebuilding fiscal space. A less expansionary fiscal stance than envisaged under the FY25 budget would still provide impulse to support the recovery while helping to preserve policy space. Alternatively, reallocating part of the planned cash transfers toward productivity-enhancing investments or social protection would enable stronger inclusive growth and help reduce the public debt-to-GDP ratio. Starting in FY26, a revenue-based medium-term fiscal consolidation is needed to bring down public debt and rebuild buffers.

    Thailand’s fiscal framework can be further strengthened. This would require strengthening fiscal rules to better support the debt anchor by introducing a risk-based rules approach. Costs associated with quasi-fiscal operations such as energy price caps should be adequately accounted for, and fiscal risks closely monitored. Improving data provision for government finance statistics and SOEs is important.

    Staff welcomes the BOT’s decision to cut the policy rate in October and recommends a further reduction in the policy rate to support inflation and also translate into improvements in borrowers’ debt-servicing capacity with limited risk of additional leverage amid tight lending. Given remaining high uncertainty in the outlook, the authorities should stand ready to adjust their monetary policy stance in a data and outlook-dependent manner. Central bank independence with clear communication of policy moves is key to maintaining the credibility and effectiveness of monetary policy in anchoring inflation expectations.

    Effective coordination across policy tools, underpinned by adequate buffers, is essential for managing adverse scenarios. While the flexible exchange rate should continue to act as a shock absorber, the complementary use of FXI might alleviate policy trade-offs by smoothing destabilizing premia when large non-fundamental shocks render the FX market dysfunctional. Further liberalization of the FX ecosystem and phasing out of remaining capital flow management measures would help deepen the FX market and limit the need for FXI over time.

    A comprehensive package of prudential and legal measures needs to be deployed to facilitate an orderly private deleveraging. Staff welcomes the measures already implemented to address both the existing household debt stock and the buildup of new leverage. However, simultaneous and forceful implementation of personal debt workouts via more effective bankruptcy proceedings is essential to lower the existing household debt stock.

    The external position in 2024 was moderately stronger than warranted by fundamentals and desirable policy settings. Policies aimed at promoting investment, enhancing social safety nets, liberalizing the services sector, and minimizing tax incentives and subsidies that distort competition would facilitate external rebalancing.

    Resolute structural reforms are needed to boost productivity and competitiveness. Reform priorities include facilitating competition and openness, upgrading physical and ICT infrastructure, upskilling/reskilling the labor force, increasing export sophistication by leveraging digitalization, and strengthening governance. Providing an adequate social protection floor to vulnerable households could help enhance their resilience to shocks and address structural drivers of household debt accumulation.

    Table 1. Thailand: Selected Economic Indicators, 2019–30

    Per capita GDP (2023): US$7,338

    Exchange Rate (2023): 34.8 Baht/USD

    Unemployment rate (2023): 1 percent

    Poverty headcount ratio at national poverty line (2021): 6.3 percent

    Net FDI (2023): US$ -7.16 billion

    Population (2023): 70.18 million

                       

    Actual

    Projections

    2019

    2020

    2021

    2022

    2023

    2024

    2025

    2026

    2027

    2028

    2029

    2030

    Real GDP growth (y/y percent change) 1/

    2.1

    -6.1

    1.6

    2.5

    1.9

    2.7

    2.9

    2.6

    2.7

    2.7

    2.7

    2.7

    Consumption

    3.4

    -0.3

    1.3

    4.8

    4.6

    4.3

    4.0

    2.9

    2.1

    2.3

    2.6

    2.6

    Gross fixed investment

    2.0

    -4.8

    3.1

    2.3

    1.2

    0.1

    4.1

    2.1

    1.8

    2.3

    2.4

    2.5

    Inflation (y/y percent change)

                           

    Headline CPI (end of period)

    0.9

    -0.3

    2.2

    5.9

    -0.8

    1.2

    1.3

    1.5

    1.5

    1.7

    1.7

    1.8

    Headline CPI (period average)

    0.7

    -0.8

    1.2

    6.1

    1.2

    0.4

    1.0

    1.3

    1.5

    1.6

    1.7

    1.8

    Core CPI (end of period)

    0.5

    0.2

    0.3

    3.2

    0.6

    0.8

    1.3

    1.0

    1.2

    1.4

    1.4

    1.6

    Core CPI (period average)

    0.5

    0.3

    0.2

    2.5

    1.3

    0.6

    1.1

    1.2

    1.1

    1.3

    1.4

    1.5

    Saving and investment (percent of GDP)

                           

    Gross domestic investment

    23.8

    23.8

    28.6

    27.8

    22.5

    20.8

    21.9

    22.2

    22.0

    21.8

    21.8

    21.6

    Private

    16.9

    16.8

    16.9

    17.3

    17.3

    16.7

    16.6

    16.4

    16.3

    16.1

    16.1

    16.0

    Public

    5.7

    6.4

    6.5

    6.1

    5.6

    5.6

    5.9

    5.8

    5.7

    5.7

    5.7

    5.7

    Change in stocks

    1.2

    0.5

    5.1

    4.5

    -0.4

    -1.5

    -0.6

    0.0

    0.0

    0.0

    0.0

    0.0

    Gross national saving

    30.8

    27.9

    26.5

    24.4

    24.0

    22.6

    24.0

    24.5

    24.4

    24.4

    24.5

    24.4

    Private, including statistical discrepancy

    25.8

    26.2

    26.8

    22.6

    21.0

    19.8

    21.8

    21.9

    21.7

    21.7

    21.8

    21.6

    Public

    5.0

    1.8

    -0.3

    1.7

    3.0

    2.8

    2.2

    2.5

    2.7

    2.7

    2.7

    2.8

    Foreign saving

    -7.0

    -4.2

    2.1

    3.5

    -1.4

    -1.8

    -2.2

    -2.3

    -2.4

    -2.6

    -2.7

    -2.8

    Fiscal accounts (percent of GDP) 2/

                           

    General government balance 3/

    0.4

    -4.5

    -6.7

    -4.5

    -2.0

    -2.2

    -3.6

    -3.2

    -2.9

    -2.8

    -2.8

    -2.8

      SOEs balance

    0.4

    0.6

    -0.3

    -0.6

    -0.7

    -0.1

    -0.2

    -0.1

    -0.1

    -0.1

    -0.1

    0.0

    Public sector balance 4/

    0.8

    -3.9

    -7.1

    -5.1

    -2.7

    -2.3

    -3.8

    -3.3

    -3.0

    -2.9

    -2.9

    -2.8

    Public sector debt (end of period) 4/

    41.1

    49.4

    58.3

    60.5

    62.4

    63.3

    64.7

    65.4

    66.0

    66.1

    66.4

    66.4

    Monetary accounts (end of period, y/y percent change)

               

    Broad money growth

    3.6

    10.2

    4.8

    3.9

    1.9

    2.3

    3.7

    3.5

    3.2

    3.8

    3.2

    3.7

    Narrow money growth

    5.7

    14.2

    14.0

    3.1

    4.2

    5.9

    3.2

    4.7

    4.2

    5.1

    4.3

    4.9

    Credit to the private sector (by other depository corporations)

    2.4

    4.5

    4.5

    2.5

    1.5

    0.1

    1.0

    1.6

    1.8

    2.1

    2.3

    2.5

    Balance of payments (billions of U.S. dollars)

                           

    Current account balance

    38.3

    20.9

    -10.7

    -17.2

    7.4

    9.5

    11.9

    13.2

    14.6

    16.5

    18.2

    19.4

    (In percent of GDP)

    7.0

    4.2

    -2.1

    -3.5

    1.4

    1.8

    2.2

    2.3

    2.4

    2.6

    2.7

    2.8

    Exports of goods, f.o.b.

    242.7

    227.0

    270.6

    285.2

    280.7

    293.6

    301.8

    312.5

    327.2

    343.1

    359.0

    375.5

    Growth rate (dollar terms)

    -3.3

    -6.5

    19.2

    5.4

    -1.5

    4.6

    2.8

    3.6

    4.7

    4.9

    4.6

    4.6

            Growth rate (volume terms)

    -3.7

    -5.8

    15.4

    1.2

    -2.7

    2.1

    1.9

    2.7

    3.5

    3.6

    3.2

    3.2

    Imports of goods, f.o.b.

    216.0

    186.6

    238.6

    271.6

    261.4

    274.9

    284.6

    295.1

    309.1

    324.1

    339.1

    354.9

    Growth rate (dollar terms)

    -5.6

    -13.6

    27.9

    13.8

    -3.8

    5.2

    3.5

    3.7

    4.7

    4.9

    4.6

    4.7

            Growth rate (volume terms)

    -5.8

    -10.4

    18.0

    1.0

    -4.1

    3.7

    3.5

    3.3

    3.4

    3.3

    3.3

    3.3

    Capital and financial account balance 5/

    -24.7

    -2.6

    3.6

    6.9

    -4.9

    -9.5

    -11.9

    -13.2

    -14.6

    -16.5

    -18.2

    -19.4

    Overall balance

    13.6

    18.4

    -7.1

    -10.2

    2.6

    0.0

    0.0

    0.0

    0.0

    0.0

    0.0

    0.0

    Gross official reserves (including net forward position, end of period) (billions of U.S. dollars)

    259.0

    286.5

    279.2

    245.8

    254.6

    262.5

    262.5

    262.5

    262.5

    262.5

    262.5

    262.5

    (Months of following year’s imports)

    16.7

    14.4

    12.3

    11.3

    11.1

    11.1

    10.7

    10.2

    9.7

    9.3

    8.9

    8.5

    (Percent of short-term debt) 6/

    338.0

    315.3

    291.2

    236.3

    242.7

    239.6

    231.7

    222.5

    213.7

    206.2

    199.6

    252.3

    (Percent of ARA metric)

    252.5

    278.3

    263.3

    222.3

    233.2

    231.8

    226.4

    219.2

    212.3

    205.4

    199.3

    200.0

    Exchange rate (baht/U.S. dollar)

    31.0

    31.3

    32.0

    35.1

    34.8

    35.3

    NEER appreciation (annual average)

    7.2

    -0.3

    -4.5

    -1.8

    3.9

    REER appreciation (annual average)

    5.8

    -2.6

    -5.7

    -1.1

    1.2

    External debt

                           

    (In percent of GDP)

    31.7

    38.0

    38.9

    40.6

    38.2

    38.4

    38.5

    38.6

    38.7

    38.7

    38.8

    38.8

    (In billions of U.S. dollars)

    172.7

    190.1

    196.9

    201.4

    196.5

    202.4

    213.1

    223.8

    233.8

    245.9

    257.0

    270.0

    Public sector 7/

    38.0

    37.2

    41.5

    41.2

    35.8

    38.4

    40.8

    43.3

    45.6

    48.1

    50.8

    53.7

    Private sector

    134.0

    152.9

    155.4

    160.3

    160.7

    164.5

    172.9

    181.1

    188.8

    198.3

    206.8

    217.0

    Medium- and long-term

    74.6

    79.4

    82.3

    82.3

    80.3

    80.7

    86.5

    91.1

    95.3

    101.5

    107.1

    114.0

    Short-term (including portfolio flows)

    59.4

    73.5

    73.1

    78.0

    80.4

    83.8

    86.4

    90.0

    93.5

    96.8

    99.7

    103.0

    Debt service ratio 8/

    7.8

    7.5

    6.3

    7.3

    7.9

    7.8

    7.8

    7.3

    8.3

    9.3

    10.3

    10.3

    Memorandum items:

                           

    Nominal GDP (billions of baht)

    16889.2

    15661.3

    16188.6

    17378.0

    17922.0

    18603.0

    19371.2

    20282.2

    21143.0

    22211.7

    23164.5

    24307.8

    (In billions of U.S. dollars)

    544.0

    500.5

    506.3

    495.6

    515.0

    527.1

    553.9

    580.2

    604.8

    635.4

    662.7

    695.4

    Output Gap (in percent of potential output)

    0.2

    -4.2

    -4.1

    -2.0

    -1.5

    -0.7

    0.0

    0.1

    0.0

    0.0

    0.0

    0.0

    Sources: Thai authorities; CEIC Data Co. Ltd.; and IMF staff estimates and projections.

    1/ This series reflects the new GDP data based on the chain volume measure methodology, introduced by the Thai authorities in May 2015.

    2/ On a fiscal year basis. The fiscal year ends on September 30.

    3/ Includes budgetary central government, extrabudgetary funds, and local governments.

    4/ Includes general government and SOEs.

    5/ Includes errors and omissions.

    6/ With remaining maturity of one year or less.

    7/ Excludes debt of state enterprises.

    8/ Percent of exports of goods and services.

                                                             

    [1] Under Article IV of the IMF’s Articles of Agreement, the IMF holds bilateral discussions with members, usually every year. A staff team visits the country, collects economic and financial information, and discusses with officials the country’s economic developments and policies. On return to headquarters, the staff prepares a report, which forms the basis for discussion by the Executive Board.

    [2] The Executive Board takes decisions under its lapse-of-time procedure when the Board agrees that a proposal can be considered without convening formal discussions.

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Pavis Devahasadin

    Phone: +1 202 623-7100Email: MEDIA@IMF.org

    MIL OSI Economics

  • MIL-OSI USA: Feb 20, 2025 Local 741 Keolis Grand River Workers Ratify Strong First Contract

    Source: US Amalgamated Transit Union

    Union Wins Pay Increases and Other Improvements

    Waterloo, ON  – After months of negotiations, Keolis Grand River workers, members of ATU Local 741-London, ON, voted to ratify a strong contract, their first Labor contract.

    “This is a great day for our Keolis Grand River members to ratify their first-ever contract,” said Local 741 President/Business Agent Ian Davies. “These workers showed strength, unity, and solidarity throughout these negotiations. The result was a strong contract that recognizes the commitment and dedication of these workers to providing safe and reliable transportation that the people of Waterloo rely on each day.”

    The new 4-year contract includes wage increases, restoration of health care benefits, including short term disability, grievance rights, and other improvements. The deal comes after the more than 75 Light Rail Operators, Central Control Facilities (CCF), and Electromagnetic Technicians working for Keolis Grand River voted to join the ATU in May and began contract talks in June. Throughout negotiations, the Union conducted open bargaining to allow members to attend all bargaining sessions.

    “Congratulations to our Local 741 Keolis Grand River members for ratifying a first contract that recognizes the sacrifices they make,” said International President John Costa. “This contract ratification is not just an agreement on paper. It’s a testament to the solidarity, resilience, and spirit of our members. This is a win for our members and their passengers. I am so proud they proved that when we negotiate together, we elevate not only our wages, benefits, and rights, but also the passengers we serve each and every day.”

    MIL OSI USA News

  • MIL-OSI USA: Florida Businessman Sentenced in Connection with Migrant Labor Employment Scheme, Payroll Tax Evasion, and Worker Death

    Source: US State of California

    A Florida man was sentenced yesterday to 48 months in prison and ordered to forfeit more than $5.5 million to the United States as well as forfeit numerous real properties and cash, and to pay over $55 million in restitution for conspiracy to commit wire fraud, conspiracy to defraud the United States and willful violation of a workplace standard that resulted in the death of his employee. Manual Domingos Pita, of Wesley Chapel, previously pleaded guilty to those charges on July 9, 2024.

    According to court documents, Pita owned and operated Domingos 54 Construction, a subcontracting business for the wood framing of new construction homes. Domingos 54 was a shell construction company that Pita used to provide workers, including undocumented aliens, with construction jobs. However, Pita failed to secure the required workers compensation insurance coverage for these employees by falsifying in worker’s compensation insurance applications the number of workers for which he sought coverage. In addition, Pita failed to pay any federal employment taxes on the wages that these workers earned during the course of the scheme between 2018 and 2022. As a result, Pita caused several worker’s compensation insurance companies to sustain a loss of over $22.7 million in premiums that they could have charged had they been aware of the number of workers which they had been manipulated into covering with their policies. In addition, Pita failed to pay to the IRS over $33.7 million in federal employment taxes on those workers’ wages.

    Between February and July 2019, investigators with the Occupational Safety and Health Administration (OSHA) issued six citations to Domingos 54 for failure to provide fall protection to workers. Even after being cited for these violations, Pita continued to ignore OSHA requirements. In March 2020, Pita assigned a worker and three other carpenters to install sheeting on the roof of a residential home in windy conditions without providing the required fall-protection gear or ensuring its use. As a result, one of the workers was blown off the roof and died from his injuries.

    “Pita’s history of OSHA violations and deception tragically led to a worker’s death,” said Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department’s Environment and Natural Resources Division. “We are committed to upholding the rule of law by prosecuting fraud and enforcing worker safety standards.”

    “The defendant in this case engaged in a deliberate scheme to defraud insurance companies, the government and evade taxes, resulting in huge losses to the U.S. Treasury, and to personally enrich himself,” said Acting U.S. Attorney for the Middle District of Florida Sara C. Sweeney. “In addition, flagrant violations of OSHA safety standards put workers at unacceptable risk, ultimately resulting in the death of an employee. My office is committed to federally prosecuting and holding accountable anyone who violates these laws and regulations.”

    “Mr. Pita repeatedly violated the longstanding policies designed to protect the workforce which resulted in a tragic death,” said Special Agent in Charge Matthew Fodor of the FBI’s Tampa Field Office. “The FBI and its partners will aggressively pursue those who selfishly ignore the laws and policies in place to protect America’s workforce.”

    “Not only does this type of scheme give an illegal advantage over honest competitors, it intends to allow the use of illegal, undocumented labor to achieve that advantage,” said Special Agent in Charge Ron Loecker of IRS Criminal Investigation’s Tampa Field Office. “It’s a blatant form of cheating that undercuts fair competition, costs the government millions of dollars in tax revenue, and skirts our nation’s immigration laws. This case reaffirms our unwavering commitment to prosecuting those who engage in fraud at the expense of workers, taxpayers, and law-abiding businesses.”

    The FBI, IRS Criminal Investigation, Homeland Security Investigations, Florida Department of Financial Services’ Bureau of Insurance Fraud-Criminal Investigations and the Department of Labor’s Office of Inspector General investigated the case.

    Assistant U.S. Attorney Jay L. Hoffer for the Middle District of Florida and Senior Trial Attorney Banumathi Rangarajan of the Environment and Natural Resources Division’s Environmental Crimes Section prosecuted the case.

    MIL OSI USA News

  • MIL-Evening Report: Deepfakes can ruin lives and livelihoods – would owning the ‘rights’ to our own faces and voices help?

    Source: The Conversation (Au and NZ) – By Graeme Austin, Chair of Private Law, Te Herenga Waka — Victoria University of Wellington

    Getty Images

    Not that long ago, the term “deepfake” wasn’t in most people’s vocabularies. Now, it is not only commonplace, but is also the focus of intense legal scrutiny around the world.

    Known in legal documents as “digital replicas”, deepfakes are created by artificial intelligence (AI) to simulate the visual and vocal appearance of real people, living or dead.

    Unregulated, they can do a lot of damage, including financial fraud (already a problem in New Zealand), political disinformation, fake news, and the creation and dissemination of AI-generated pornography and child sexual abuse material.

    For professional performers and entertainers, the proliferation and increasing sophistication of deepfake technology could demolish their ability to control and derive income from their images and voices.

    And deepfakes might soon take away jobs: why employ a professional actor when a digital replica will do?

    One possible solution to this involves giving individuals the ability to enforce intellectual property (IP) rights to their own image and voice. The United States is currently debating such a move, and New Zealand lawmakers should be watching closely.

    Owning your own likeness

    Remedies already being discussed in New Zealand include extending prohibitions in the Harmful Digital Communications Act to cover digital replicas that do not depict a victim’s actual body.

    Using (or amending) the Crimes Act, the Fair Trading Act and the Electoral Act would also be helpful.

    At the same time, there will be political pressure to ensure regulation does not stymie investment in AI technologies – a concern raised in a 2024 cabinet paper.

    Legislation introduced to the US Congress last year – the Nurture Originals, Foster Art, and Keep Entertainment Safe Bill – proposes a new federal intellectual property right that individual victims can use against creators and disseminators of deepfakes.

    Known informally as the “No Fakes Bill”, the legislation has bipartisan and industry support, including from leading entertainment worker unions. The US Copyright Office examined the current state of US law and concluded that enforceable rights were “urgently needed”.

    From the New Zealand perspective, the No Fakes Bill contains both helpful ideas and possible pitfalls. As we discuss in a forthcoming paper, its innovations include expanding IP protections to “everyday” individuals – not just celebrities.

    All individuals would have the right to seek damages and injunctions against unlicensed digital replicas, whether they’re in video games, pornographic videos, TikTok posts or remakes of movies and television shows.

    But these protections may prove illusory because the threshold for protection is so high. The digital replica must be “readily identifiable as the voice or visual likeness of an individual”, but it’s not clear how identifiable the individual victim of a deepfake needs to be.

    Well known New Zealand actors such as Anna Paquin and Cliff Curtis would certainly qualify. But would a New Zealand version of the bill protect an everyday person, “readily identifiable” only to family, friends and workmates?

    Can you license a digital replica?

    Under the US bill, the new IP rights can be licensed. The bill does not ban deepfakes altogether, but gives individuals more control over the use of their likenesses. An actor could, for example, license an advertising company to make a digital replica to appear in a television commercial.

    Licences must be in writing and signed, and the permitted uses must be specified. For living individuals, this can last only ten years.

    So far, so good. But New Zealand policy analysts should look carefully at the scope of any licensing provisions. The proposed IP right is “licensable in whole or in part”. Depending on courts’ interpretation of “in whole”, individuals could unknowingly sign away all uses of their images and voice.

    The No Fakes Bill is also silent on the reputational interests of individuals who license others to use their digital replicas.

    Suppose a performing artist licensed their digital replica for use in AI-generated musical performances. They should not, for example, have to put up with being depicted singing a white supremacist anthem, or other unsanctioned uses that would impugn their dignity and standing.

    Protectng parody and satire

    On the other side of the ledger, the No Fakes Bill contains freedom of expression safeguards for good faith commentary, criticism, scholarship, satire and parody.

    The bill also protects internet service providers (ISPs) from liability if they quickly remove “all instances” of infringing material once notified about it.

    This is useful language that might be adopted in any New Zealand legislation. Also, the parody and satire defence would be an advance on New Zealand’s copyright law, which currently contains no equivalent exception.

    But the US bill contains no measures empowering victims to require ISPs to block local subscribers’ access to online locations that peddle in deepfakes. Known as “site-blocking orders”, these injunctions are available in at least 50 countries, including Australia. But New Zealand and the US remain holdouts.

    For individual victims of deepfakes circulating on foreign websites that are accessible in New Zealand, site-blocking orders could offer the only practical relief.

    The No Fakes Bill is by no means a perfect or comprehensive solution to the deepfakes problem. Many different weapons will be needed in the legal and policy armoury – including obligations to disclose when digital replicas are used.

    Even so, creating an IP right could be a useful addition to a suite of measures aimed at reducing the economic, reputational and emotional harms deepfakes can inflict.

    The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.

    ref. Deepfakes can ruin lives and livelihoods – would owning the ‘rights’ to our own faces and voices help? – https://theconversation.com/deepfakes-can-ruin-lives-and-livelihoods-would-owning-the-rights-to-our-own-faces-and-voices-help-249929

    MIL OSI AnalysisEveningReport.nz

  • MIL-OSI China: Chinese premier stresses boosting consumption, expanding domestic demand

    Source: People’s Republic of China – State Council News

    BEIJING, Feb. 20 — Chinese Premier Li Qiang has emphasized boosting consumption and improving people’s livelihoods through stronger and more targeted measures, in a bid to strengthen the fundamental role of consumption in driving economic development.

    Li made the remarks at a study session held by the State Council on Thursday.

    The premier noted that consumption must be prioritized for expanding domestic demand and driving economic growth, urging more effective measures to promote consumption and improve the consumption environment.

    More efforts should be made to facilitate service consumption, improve the supply of education, medical care, culture, sports, tourism, elderly care and household services, and accelerate the application of artificial intelligence (AI) to unlock consumption potential of AI terminal products, he said.

    He urged to develop high-quality products and services in more segments to stimulate new consumer demand.

    He also emphasized the need to relax market access in relevant industries, and boost high-quality product supply to meet emerging consumer demands.

    Liu Yuanchun, president of the Shanghai University of Finance and Economics, gave a lecture at the session. Vice premiers Ding Xuexiang and He Lifeng, and State Councilor Shen Yiqin participated in discussions.

    MIL OSI China News

  • MIL-OSI China: China’s central bank to promote cross-border RMB use

    Source: People’s Republic of China – State Council News

    BEIJING, Feb. 20 — The People’s Bank of China (PBOC) will promote the use of renminbi (RMB) in cross-border payments, pricing, investment and financing, with an aim to facilitate international trade, investment and financing, according to a statement published Thursday.

    The central bank said it would develop the offshore RMB market, leverage the roles of currency swaps and RMB clearing banks, and pledged to accelerate the construction of Shanghai’s status as an international financial center and enhancing Hong Kong’s status as an international financial center.

    By the end of 2024, the RMB’s share in global payments ranked fourth, while its share in global trade financing stood at third, indicating a steady rise in the internationalization of the RMB, according to data released at a conference held by the central bank from Monday to Tuesday.

    In 2025, efforts will be made to expand the functions of the central bank in macro-prudential management and financial stability, improve the macro-prudential policy framework, and innovate relevant tools, the PBOC said during the meeting.

    The PBOC will also improve financial management in the real estate sector to help reverse the market downturn and stabilize the sector.

    MIL OSI China News

  • MIL-OSI China: China releases framework for sovereign green bonds

    Source: People’s Republic of China – State Council News

    BEIJING, Feb. 20 — China’s Ministry of Finance released a framework for sovereign green bonds on Thursday, paving the foundation for the country to issue offshore sovereign green bonds and global capital to invest in its green development.

    The funds raised by green bonds under the framework will be allocated to eligible green projects included in the central fiscal budget. The funds are expected to contribute to achieving environmental goals such as climate change mitigation and adaptation, natural resource protection, pollution control, and biodiversity preservation.

    This initiative aims to diversify the range of high-quality green bond products in the global market and attract international capital to support domestic green and low-carbon development, according to the ministry.

    MIL OSI China News

  • MIL-OSI USA: Restoring Public Trust in New York City’s Leadership

    Source: US State of New York

    February 20, 2025

    Albany, NY

    Creates Special Inspector General for New York City Affairs To Support and Protect Independence of City Investigations

    Gives Independently-Elected City Officials Powers To Litigate Against the Federal Government and Defend the Rights of Constituents

    Strengthens New York State Comptroller Oversight of New York City’s Finances

    Special Authorities Designed To Expire at the End of 2025

    Governor Kathy Hochul today proposed new actions to restore public trust in New York City government with a sweeping expansion of state oversight and new guardrails to ensure accountability and protect New Yorkers. These actions will require legislative action and would take effect immediately upon passage.

    “To move this city forward, I am undertaking the implementation of certain guardrails that I believe are a first start toward re-establishing trust for New York City residents,” Governor Hochul said. “These proposed guardrails will help ensure that all decisions out of City Hall are in the clear interests of the people of New York City and not at the behest of the President.”

    [embedded content]

    [embedded content]

    Governor Hochul announced the following actions:

    New Special Inspector General for New York City Affairs and Protection of City Commissioner of Investigation
    A new Special Inspector General for New York City Affairs will be established within the Office of the New York State Inspector General. The Special Inspector General for New York City Affairs will receive updates and information directly from the New York City Department of Investigations (NYCDOI) about corruption investigations, and also be able to direct NYCDOI to commence investigations across city government.

    To ensure her continued independence, the New York City Charter will be revised to provide that the Mayor of New York City will not be able to terminate the New York City Commissioner of Investigation without approval by the State Inspector General.

    To move this city forward, I am undertaking the implementation of certain guardrails that I believe are a first start toward re-establishing trust for New York City residents.

    Governor Kathy Hochul

    This new structure will ensure that state officials have access to information about any current or future investigations. It will also allow the State to closely monitor or advance any such investigations into potential corruption within city government.

    Empowering Citywide Elected Leaders To Utilize Federal Litigation
    Under the Governor’s plan, the City Comptroller, Council and Public Advocate will be given explicit authority to bring litigation against the federal government using outside counsel if the City’s Law Department declines to do so promptly after a request. Such litigation could be filed against any federal government agency or entity.

    This action will ensure that New Yorkers have multiple avenues to initiate legal action in cases where the rights or freedoms of New York City residents are under attack by the federal government.

    Embedded Flickr Album

    Strengthens State Oversight of New York City’s Finances
    Given the unprecedented breadth and number of executive orders and other policy documents and notices issued by the Trump Administration, the Governor is proposing additional funds for the Office of the State Comptroller of the City to support the State’s existing ability to continue to monitor the City and its finances in this complex environment.

    The State will expand the Office of the Deputy State Comptroller for City Oversight. The new funding will be paid for using New York City tax receipts.

    These new resources will enable state officials to more closely monitor New York City’s fiscal operations, and to take any actions needed based on such review.

    MIL OSI USA News

  • MIL-OSI Security: Owner of Durable Medical Equipment Companies Charged in Nearly $30 Million Fraud Scheme

    Source: Office of United States Attorneys

    Defendant allegedly used proceeds to purchase two Ferraris, a Mercedes-Benz Model S, at least three Rolex watches

    BOSTON – The owner of Pharmagears, LLC (Pharmagears) and RR Medco, LLC (RR Medco) has been charged in connection with a nearly $30 million fraud scheme involving medically unnecessary durable medical equipment (DME), including orthotics such as back and knee braces.

    Raju Sharma, 61, of Sharon, was charged by criminal complaint with one count of conspiracy to commit health care fraud. Sharma was arrested this morning and later released on conditions following an initial appearance in federal court in Boston.

    “As alleged, Mr. Sharma exploited vulnerable Medicare beneficiaries and defrauded the system of millions of dollars meant for legitimate medical care. His actions caused millions of dollars of waste on DME products beneficiaries did not need and did not want. He did this to enrich himself – and allow him to purchase luxury cars and high-end watches – all at the expense of the American people,” said United States Attorney Leah B. Foley. “This office will continue to hold accountable those who undermine the integrity of our healthcare system for personal gain. Fraudsters who think they can manipulate the system without consequence should take heed: we will investigate you, we will prosecute you, and we will hold you accountable to ensure that justice is served.”

    “Today’s arrest underscores HHS-OIG’s commitment to protecting patients and taxpayers from fraudulent schemes that exploit our health care system and are motivated by pure greed,” stated Special Agent in Charge Roberto Coviello with the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “We will continue to work tirelessly with our law enforcement partners to investigate allegations that individuals and entities are profiting from deceiving and abusing federal health care programs.” “Today’s arrest underscores HHS-OIG’s commitment to protecting patients and taxpayers from fraudulent schemes that exploit our health care system and are motivated by pure greed,” stated Special Agent in Charge Roberto Coviello with the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “We will continue to work tirelessly with our law enforcement partners to investigate allegations that individuals and entities are profiting from deceiving and abusing federal health care programs.”

    “Raju Sharma apparently thought he had hit upon a surefire moneymaker when he allegedly conspired with others to fraudulently bill Medicare for almost $30 million worth of durable medical equipment that was unwanted, unnecessary and useless to patients so he could purchase luxury vehicles and expensive watches for himself,” said Jodi Cohen, Special Agent in Charge, Federal Bureau of Investigations, Boston Division. “Health care fraud isn’t some quick and easy way to bulk up your bank account. It’s a costly, consequential federal crime that strains the system and cheats the taxpayers who fund it. Anyone involved in, or entertaining, similar activity should know that the FBI will pursue anyone trying to steal from this country’s vital health care system.”

    According to the charging documents, between February 2021 and February 2025, Sharma, on behalf of Pharmagears and RR Medco, entered into contracts with telemarketing companies that generated DME orders by targeting Medicare beneficiaries. Sharma then allegedly billed Medicare for this medically unnecessary DME, which Medicare beneficiaries often did not want or could not use and/or a medical practitioner ordered without having met or examined the beneficiary or were ordered by the fraudulent use of practitioners’ national provider identifiers without their knowledge or assent. It is alleged that these DME orders were also obtained in violation of the Anti-Kickback Statute, because although Sharma agreed in the contracts to pay the marketing companies a flat fee for their services, Sharma in fact paid the marketing companies on a per-lead, or per-order, basis.  

    It is further alleged that Sharma worked with multiple other co-conspirators, including family and acquaintances, to open and operate additional DME companies in the same fraudulent manner. In total, the companies owned, operated, or connected with Sharma allegedly billed Medicare approximately $29.6 million for these fraudulent DME orders and were paid approximately $15.8 million. According to the charging documents, Sharma made substantial profits from this alleged fraud, which he used to purchase luxury goods, including two Ferraris, a Mercedes-Benz Model S and at least three Rolex watches. The Court issued seizure warrants for these luxury goods in connection with today’s charges.

    The charge of conspiracy to commit health care fraud provides for a sentence of up to 10 years in prison, supervised release for up to three years, and a fine of up to $250,000 or twice the gross pecuniary gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

    U.S. Attorney Foley, HHS-OIG SAC Coviello and FBI SAC Cohen made the announcement today. Valuable assistance was provided by the United States Marshals and the Sharon Police Department. Assistant U.S. Attorneys Lauren Graber and Sarah Hoefle of the Criminal Division are prosecuting the case.

    The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

    MIL Security OSI

  • MIL-OSI USA: Senators Marshall, Cornyn, and GOP Colleagues Urge ATF to Rescind Biden’s Unconstitutional 2A Rules and Align with Trump Agenda

    US Senate News:

    Source: United States Senator for Kansas Roger Marshall
    Washington, DC – U.S. Senators Roger Marshall, M.D. (R-Kansas), John Cornyn (R-Texas), and 28 of their Senate GOP colleagues today sent a letter to the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Deputy Director Marvin Richardson, urging him to align the agency with President Donald Trump’s Second Amendment priorities laid out in his recent Executive Order. 
    They also called on Deputy Director Richardson to identify and rescind former President Joe Biden’s unlawful firearms regulations, including the “Engaged in the Business” rule, pistol brace rule, so-called “ghost gun” rule, and “zero tolerance” policy under which the ATF has revoked the licenses of federal firearm licensees (FFLs) over minor bookkeeping violations.
    The Senators wrote: “On Friday, February 7, 2025, President Donald J. Trump took decisive action to reaffirm law-abiding Americans’ Second Amendment rights in issuing his Executive Order, Protecting Second Amendment Rights.  We urge you to immediately align the ATF’s rules and policies with the President’s strong support for the Second Amendment.”
    “Under former President Joe Biden, the ATF adopted numerous policies and rules that infringed upon Americans’ Second Amendment protections. President Trump’s Executive Order directs Attorney General Pam Bondi to review and develop a plan of action regarding President Biden’s unlawful firearms regulations. We ask that you work with the Attorney General to quickly identify and rescind these policies.”
    Joining Senator Marshall, Senator Cornyn, and Senate Majority Leader John Thune (R-South Dakota) are Senators Thom Tillis (R-North Carolina), John Barrasso (R-Wyoming), Cindy Hyde-Smith (R-Mississippi), Shelley Moore Capito (R-West Virginia), Jim Justice (R-West Virginia), Jim Risch (R-Idaho), Cynthia Lummis (R-Wyoming), Steve Daines (R-Montana), Ted Cruz (R-Texas), Kevin Cramer (R-North Dakota), Mike Crapo (R-Idaho), James Lankford (R-Oklahoma), John Hoeven (R-North Dakota), Rick Scott (R-Florida), Lindsey Graham (R-South Carolina), Ted Budd (R-North Carolina), Bill Hagerty (R-Tennessee), Tim Sheehy (R-Montana), Pete Ricketts (R-Nebraska), Bill Cassidy (R-Louisiana), Joni Ernst (R-Iowa), Marsha Blackburn (R-Tennessee), Todd Young (R-Indiana), Markwayne Mullin (R-Oklahoma), Deb Fischer (R-Nebraska), Jim Banks (R-Indiana), and Jerry Moran (R-Kansas).
    The full text of the letter is available HERE.

    MIL OSI USA News

  • MIL-OSI USA: Crapo on Extension of Trump Tax Cuts: Failure is Not an Option

    US Senate News:

    Source: United States Senator for Idaho Mike Crapo
    Washington, D.C.–Ahead of debate on the Senate FY2025 Budget Resolution, U.S. Finance Committee Chairman Mike Crapo (R-Idaho) set the record straight on the pro-growth Trump tax cuts, which lowered rates for Americans across the board and benefitted middle-income Americans the most.  He warned that, if the tax cuts are allowed to lapse at the end of the year, American families and businesses will face the largest tax hike in U.S. history.

    Full remarks as delivered:
    “Today, we are debating the narrow Senate FY2025 Budget Resolution that fulfills promises to secure America’s borders, increase our national defense, unleash our energy potential and finally start to get our fiscal house in order. 
    “In the near future, I expect us to move forward with a Budget Resolution that allows us to prevent a more than $4 trillion tax hike on American households–the largest tax hike in history of America–that will be felt by virtually every American if the tax cuts expire at the end of this year.
    “Because the other side has filed a litany of tax amendments that rehash various false narratives and each side will only have one minute to debate, I’m going to spend some time right now explaining why we can’t afford a $4 trillion-plus tax increase; the positive impact the Trump tax cuts had on the economy; and some of the key provisions that expire at the end of year. 
    “At the end of this year, many key provisions of President Trump’s 2017 Tax Cuts and Jobs Act are set to expire, triggering an over-$4 trillion tax hike on American families and businesses.
    “While taxes will increase on Americans of all income levels, the majority of this tax hike, about $2.6 trillion, will fall on those making less than $400,000 per year.
    “An average family of four making about $80,000 per year would see a $1,700 tax hike in 2026.
    “Another $600 billion plus will hit millions of small business owners, who could see federal tax rates skyrocket up to 43.4 percent.
    “Tens of millions of families will see their child tax credit cut in half from $2,000 to $1,000.
    “The list goes on, but first I’ll talk about what the Trump tax cuts actually did, and why failing to extend key provisions would be economically devastating for millions of hardworking taxpayers.
    “So, what did the Trump tax cuts do?
    “There’s been a lot of talk recently about how extending these expiring tax cuts are all for billionaires and corporations, but the facts show otherwise.
    “The 2017 tax bill increased take-home pay and powered a growing economy. 
    “Individuals across all income brackets received a tax cut, not just–as opponents suggest–for the uber wealthy.
    “In fact, the Trump tax cuts made the tax code more progressive, meaning the highest income earners now pay a greater share of all income taxes than they did before 2017.
    “The majority of benefits accrued to working middle-class families.
    “Between the bill’s passage in 2017 and 2021, the bottom 50 percent of earners received the largest reduction in average tax rates at 17.3 percent. 
    “In addition to lowering tax rates across the board, the Trump tax cuts doubled the standard deduction and the child tax credit and provided tax relief to America’s entrepreneurs and small businesses.
    “The effects of pro-growth tax reform were almost immediate. 
    “Not only did taxpayers get to keep more of their hard-earned money, but a growing economy helped median household income reach an all-time high.
    “The labor market improved, workers saw wage growth and the unemployment rate fell dramatically to 3.5 percent–the lowest in 50 years. 
    “And the lowest-income workers experienced the largest wage growth.
    “Corporate inversions became a thing of the past, and America became the place to do business. 
    “All Americans reaped the benefits of a booming economy. 
    “Extending this current, proven tax policy–and building on it–is the best way to restore economic prosperity and opportunity for working families, many of whom are still struggling to recover from the historic inflation of the last four years.
    “As American families contend with increased costs of everyday living, the last thing they need is another massive tax hike on top of that inflation.
    “Failure is simply not an option.
    “So, what happens if the Trump tax cuts expire?
    “As I’ve said, if we do not extend these tax policies, Americans will be hit with an over-$4 trillion tax increase.
    “More than $2.6 trillion will fall on households earning less than $400,000 per year.
    “An average family of four making $80,000 will be saddled with a $1,700 tax increase.  This is the equivalent of six to eight weeks’ worth of groceries for a family of four.
    “Tens of millions of families will see their child tax credit cut in half to $1,000, and
    90 percent of taxpayers would see their standard deduction cut in half.
    “Owners of over 20 million small businesses will face a massive tax hike, with tax rates up to 43.4 percent.
    “7 million taxpayers will be impacted by the Alternative Minimum Tax, up from just 200,000 taxpayers currently.
    “Many more small businesses and farms will have their death tax exemption cut in half.
    “The National Association of Manufacturers recently highlighted that if we allow the Trump tax cuts to expire, 6 million jobs would be at risk; $540 billion in employee compensation will be lost, and U.S. GDP will be reduced by $1.1 trillion.
    “So, while we aren’t considering tax policy as part of this reconciliation package, it is important to set the record straight on what’s at stake in the upcoming tax debate. 
    “And the stakes couldn’t be higher.
    “Tonight, you’re going to hear dozens and dozens of tax amendments, and we’re going to respond to each of those by explaining that that debate is not this budget.
    “The budget that we’re debating today is on the border, national defense, and increasing our oil and gas production to strengthen our economy.
    “And Senate and House Republicans are working together to act as quickly as possible to make the Trump tax cuts permanent, but that will be in the next step. 
    “We must prevent a massive tax hike and provide relief and certainty to families and businesses across America.”

    MIL OSI USA News